JAKARTA - Liquidity of the economy or money in circulation in a broad sense (M2) increased in January 2020. M2 position in January 2020 was recorded at Rp6,046.7 trillion or grew 7.1% (yoy), higher than the previous month's growth of 6.5% (yoy).
The accelerated growth in M2 was contributed by an increase in all its components, both the money in circulation in the narrow sense (M1), quasi money, and securities other than shares. money in circulation in a narrow sense (M1) increased, from 7.4% (yoy) in December 2019 to 7.9% (yoy) in January 2020, mainly due to the growth of currency.
Quasi money in January 2020 also increased by 6.8% (yoy), higher than the growth in the previous month (6.1%, yoy). The increase also occurred in securities other than shares, from 26.5% in the previous month to 31.8% (yoy) in January 2020.
Based on influencing factors, the increase in M2 growth in January 2020 was due to accelerated growth in net foreign assets. Growth in net foreign assets increased, from 4.4% (yoy) in December 2019 to 9.9% (yoy) (LM)