The good progress of Indonesian trade financing is expected to be better in 2005 due to the improvements in macro condition, banking performance, and higher international confidence. This positive progress of trade financing is reflected by increasing number of credit line provided by foreign banks, decreasing cost of trade financing and increasing trade finance facility from domestic banks to private sector.
However, since the end of September, the Japan premium has expanded and interest rates on Euro-yen deposits 1  2  This report was written based on data and information available when the Bank of Japan Monetary Policy Meeting was held on October 13, 1998.