Study of the Currency Distribution Strategy
Bank Indonesia’s system for currency distribution,
which is built around cash depots, in practice has both
advantages and disadvantages. Advancements in infrastructure
and information technology offer Bank Indonesia an
opportunity for future improvement in the system and
mechanism for currency distribution.
However, over time as issues and demands emerged for
efficiency and effectiveness in money circulation, Bank
Indonesia became aware of the need for a quick and
comprehensive evaluation of the effectiveness of existing
currency distribution. As it is, supply of needed cash
throughout Indonesia frequently encounters obstacles in
regard to the needed denominations and volume of cash. To
address these issues, Bank Indonesia conducted a study that
it hoped would devise improvements to the currency
distribution system with the ultimate objective of creating
an effective and efficient mechanism at the implementation
level.
The objectives of the study were to identify, evaluate
and assess the functions of the existing cash depots and
make fine tuning adjustments related to transportation
links, modes of transport and vault capacity. Another
purpose of the study was to revamp the currency distribution
designation of cash depots and/or delegating powers to cash
depots to play an active role in monitoring the adequacy of
cash supply and implementation of the Currency Distribution
Plans (CDP) of Bank Indonesia Regional Offices in their
working areas.
The final result of the evaluation suggested changes in
the currency distribution format as follows:
Matrix: Changes in Strategy Format for Currency Distribution
Cu rre n t D is trib u tio n S tra te gy
Existing Form at N e w Fo rm a t
Ca s h D e p o ts Ca s h U n its Ca s h D e p o ts Ca s h U n its
N o te s
Medan B a n d a Ac e h Lh oks eu m a we
Sibolga
Med an B a n d a Ac e h Lh okseu m a we Sibolga
Un chan ged
Padan g Ben gkulu Padan g B e n g k u l u Pekan baru
Chan ged
Bandun g Cirebon Tasikm alaya
Bandun g C i r e b o n Tasikm alaya
Un chan ged
Sem aran g Pu rwokerto Solo
Yogyakarta
Sem aran g Purwokerto Solo
Yogyakarta
Un chan ged
Cu r re n c y D i s t ri b u ti o n S tr a t e g y
Ex is ti n g Fo rm a t N e w Fo rm at
Ca s h D e p o t Ca s h U n its Ca s h D e p o t Ca s h U n its
N o te s
Su rabaya Malan g
Ked iri J e m b e r Den p asa r Mataram
Su rabaya Ma la n g Ked ir i J em ber
Ch an ged
Ban jarm asin Palan gkar aya Ban jarm asin Palan gkaraya Un chan ged Balikpap an Sam ar in da Balikpap an Sam ar in d a
Palu
Ch an ged
Makassar Ke n d a r i Am bon
Palu
Makassar Ken d a r i Am b o n Kupan g
Ch an ged
Manado Ter nate Man ado Ternate Un chan ged Palem ban g J am bi Ch an ged
