Accommodative macroprudential policy in synergy with KSSK, limited transmission of policy rate hike to banking interest rate, and ample liquidity are able to sustain the improvement of banking intermediation. As explained above, credit growth accelerated to reach 11.95% in October 2022, supported by improvements on both the demand and supply sides.
On the supply side, credit growth was also supported by the policy of providing reserves requirement Graph 15.