PT Rabobank Indonesia is reducing headcounts following stiff competition from local banks. The BI rate (Indonesia’s LIBOR) had been hovering around 6.5% lately. The rate had been a ride from as high as 12.75% down to a recent low 6.75%. Market competition is tricky and that spread had become thinner due to lower BI rate though market risk is more or less at similar level and thus, foreign banks are facing uphill battle in securing new customer base especially in a developing economy whereby stability in politics, laws and regulations are still not very predictable.

EditorBanking & Financebanking,finance,Indonesia,rabobankPT Rabobank Indonesia is reducing headcounts following stiff competition from local banks. The BI rate (Indonesia's LIBOR) had been hovering around 6.5% lately. The rate had been a ride from as high as 12.75% down to a recent low 6.75%. Market competition is tricky and that spread had become...