Indonesian households are holding roughly 1,800 tons of gold outside the formal financial system, according to a report from detikFinance. The stored metal is valued at more than Rp 4,460 trillion, the outlet said on Thursday.
The figure underscores the scale of informal gold savings in the country, where much of the metal is kept at home rather than in banks or other financial institutions. detikFinance’s report highlights the size of this idle asset base, which has drawn attention from policymakers and financial firms looking to channel it into the formal economy.
The report aligns with recent moves by Indonesian financial institutions to tap into the country’s gold potential. KONTAN reported that Islamic banks are eyeing opportunities in the gold sector, while ANTARA News noted that President Prabowo has discussed the potential of a gold bank. BRI Group, through its ultra-micro ecosystem, is managing a gold ecosystem of 153 tons, according to the same report.
Industry efforts are also underway to formalize and deepen the gold market. Tempo.co reported that the director of Pegadaian, the state pawnshop, has become chairman of IBMA, an association pushing for internationally standardized gold practices. Kompas.com added that Indonesia now has a bullion market association aimed at expanding gold trading.
The push reflects a broader goal: converting the gold currently stored under mattresses and in homes into productive assets that can support lending, investment, and financial inclusion. With 1,800 tons sitting idle, the potential upside for the financial sector is significant.
Watch for whether the planned gold bank and new bullion association can persuade households to move their holdings into regulated channels.
