# Indonesian financial policy and credit cost reduction > Live situation record from CLSTR: https://clstr.news/situations/indonesian-financial-policy-and-credit-cost-reduction > Updated: 2026-08-28T13:01:01.000Z. Sources: 5. Developments: 2. Indonesia is implementing several financial measures aimed at reducing credit costs and supporting economic growth. In late August 2026, PT Permodalan Nasional Madani (PNM) prepared to lower interest rates to 8 percent for its Mekaar financing program to provide more affordable capital for ultra-micro entrepreneurs. This initiative involved coordinating with the Ministry of Finance and securing liquidity support from state-owned banks. Concurrently, the government moved to cap deposit interest rates for Special Mission Vehicles (SMV) under the Ministry of Finance at 80 percent of the Bank Indonesia rate. This policy targets entities such as PT Sarana Multi Infrastruktur and PT Penjaminan Infrastruktur Indonesia to lower bank funding costs. The Financial System Stability Committee (KSSK) is overseeing these discussions to balance market mechanisms with national development and financial stability. ## Timeline ### 2026-08-28: Indonesia to cap SMV deposit interest rates to lower credit costs Indonesia plans to cap deposit interest rates for Ministry of Finance Special Mission Vehicles at 80% of the BI rate to lower credit costs and boost economic growth. 2 sources. https://clstr.news/cluster/indonesia-to-cap-smv-deposit-interest-rates-to-lower-credit-costs ### 2026-08-20: Indonesia prepares PNM Mekaar rate cuts and Rp10 trillion sukuk auction Indonesia is preparing to lower PNM Mekaar interest rates to 8 percent by September 2026 and plans to auction Rp10 trillion in Sharia government securities next week. 4 sources. https://clstr.news/cluster/indonesia-prepares-pnm-mekaar-rate-cuts-and-rp10-trillion-sukuk-auction --- Cite as: Indonesian financial policy and credit cost reduction. CLSTR, https://clstr.news/situations/indonesian-financial-policy-and-credit-cost-reduction