ILLUSTRATION. Customers make transactions at the BNI Jakarta branch office. pho KONTAN / Carolus Agus Waluyo.
Reporter: Laurensius Marshall Sautlan Sitanggang | Editor: Herlina Kartika Dewi
KONTAN.CO.ID – JAKARTA. In the Covid-19 pandemic situation, economic growth tends to slow down. This also had an impact on bank credit distribution which also shrank. Data from Bank Indonesia (BI) shows that as of August 2020, bank credit growth only increased by 0.6% year on year (yoy) to IDR 5,520.9 trillion.
This growth was even slower than the previous month, which rose 1% yoy. Credit slowdown actually occurs in all types of credit. However, the hardest hit was working capital credit (KMK), which according to data from the central bank in the last two months of July-August 2020 had fallen 1.7% yoy.
With the sectors most affected by none other than trade, hotels and restaurants which have grown negatively by 4.3% on an annual basis to IDR 840.9 trillion as of August 2020.
Nevertheless, some bankers remain optimistic that credit at the end of 2020 will still grow, albeit slightly.
PT Bank Negara Indonesia Tbk (BNI), for example, still believes that credit can grow by around 4% at the end of the year.
Bank BNI Finance Director Novita Widya Anggraini explained that this optimism emerged after in the last few months BNI’s average credit growth was still in line with the target.
“For the third quarter of 2020, the growth is still in line with the Bank’s Business Plan (RBB) target of between 4% -4.5% yoy,” he told Kontan.co.id, Sunday (11/10).
As an illustration, as of August 2020, BNI’s credit realization based on monthly financial reports was recorded at IDR 548.8 trillion. This figure is still growing by 4.39% yoy, in line with the company’s year-end target.
Likewise with PT Bank Tabungan Negara Tbk (BTN) which still believes that credit can still grow at the end of the year.
President Director of Bank BTN Pahala N. Mansury explained, even though it is thin, his party is optimistic that the company’s credit can grow 2% -3%. “We are optimistic that the target can be achieved, because the trend of credit realization continues to rise,” said Pahala recently.
He also explained that at the end of September 2020 the company’s credit growth tended to slow down. However, it is still in the 0% -1% range.
However, according to Pahala, the credit growth niche is still large. This is reflected in the position of the loan to deposit ratio (LDR) which was at the level of 93.26% as of September 2020.
According to Pahala, this position is the lowest in the company’s history. One of them was supported by an increase in third party funds (DPK) which was quite large in the third quarter of 2020 by 18.7%.
Apart from sufficient liquidity, Bank BTN also received a mandate from the government in the PEN program. Until September 2020, Bank BTN has distributed PEN funds reaching Rp. 18.15 trillion which has been used by around 60,000 debtors.
With this positive note, the company is also trusted by the government again with an additional placement of state funds of Rp 5 trillion.
Not only big banks, small banks are still confident in trying out growth even though the Covid-19 pandemic is haunted. One of them, PT Bank Mayora, which, although thin, is targeting credit to grow 2% -3% yoy.
“By the end of the year we are targeting to increase by around 2% -3% yoy,” said President Director of Bank Mayora, Irfanto Oeij.
Referring to the company’s financial statements, as of August 2020 Bank Mayora actually recorded credit growth of 3.72% yoy from Rp 3.99 trillion to Rp 4.14 trillion. Practically in line with the company’s target.
Just so you know, at the beginning of the third quarter of 2020 the Financial Services Authority (OJK) has indeed revised up the target for bank credit growth this year to 3-4%. Higher than the previous projection of 1% -2%.
This projection, among others, is supported by the rise of economic stimulus from the government, especially to state-owned banks.
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Reporter: Laurensius Marshall Sautlan Sitanggang
Editor: Herlina Kartika Dewi