This is reflected in the low gross non-performing loan (NPL) ratio, reaching only 2.7%, far below the indicative threshold of 5%, while capital adequacy ratio (CAR) was recorded at 17.2% at end of October 2011. Despite pressures on domestic foreign exchange market, the rupiah liquidity condition in the interbank money market (PUAB) remains unaffected, while banking liquidity also continues to be adequate.
The department also conducts a bi-monthly survey of retailers through its regional offices, collecting information from retailers on expected price changes of essential food items one-month ahead, which it uses in its nowcast of inflation.