OJK: Receivables For Financing Industry Grow 13.07 Percent In January 2024

JAKARTA - The Financial Services Authority (OJK) noted that the financing industry receivables grew 13.07 percent year on year (yoy) in January 2024 to Rp475.58 trillion in January 2024.

"In the PVML sector, financing receivables grew at a high level even though they were again moderated to 13.07 percent (yoy) in January 2024," said OJK Chief Executive of Financing Institutions, Ventura Capital Companies, Micro Financial Institutions, and Other Financial Services Institutions (PVML) Agusman, in Jakarta, quoted from Antara, Tuesday, March 5.

In the press conference on the results of the OJK Board of Commissioners' Meeting (RDK), Agusman said the increase in financing receivables was supported by working and multipurpose capital financing, which grew by 15.29 percent (yoy) and 14.04 percent (yoy), respectively.

The risk profile of financing companies is maintained with a net Non Performing Financing (NPF) ratio of 0.69 percent and a gross NPF of 2.50 percent. The ratio of down financing companies was recorded at 2.24 times, far below the maximum limit of 10 times.

The growth in venture capital financing in January 2024 was corrected by 8.50 percent (yoy), with a financing value of IDR 16.40 trillion.

For fintech peer to peer (P2P) lending, outstanding financing growth in January 2024 continues to increase to 18.40 percent (yoy), with a nominal value of IDR 60.42 trillion. The risk rate of credit is aggregated (TWP90) in a maintained condition at 2.95 percent.

Furthermore, during February 2024, OJK has imposed administrative sanctions on nine finance companies, 10 venture capital companies, and 34 P2P Lending organizers for violations committed against the applicable OJK Regulation (POJK) and/or follow-up to direct examinations.

The imposition of administrative sanctions consists of 14 fines and 65 written warnings/reprimand sanctions, and three sanctions for limiting business activities.

Chief Executive of Insurance Supervisory, Guarantee and OJK Pension Fund Ogi Prastomiyono said, on the side of the pension fund industry, voluntary pension fund assets as of January 2024 grew 6.75 percent (yoy) with an asset value of IDR 370.28 trillion from IDR 346.86 trillion in January 2023.

In the guarantee company, the asset value grew 18.91 percent (yoy) with a value of Rp46.65 trillion in January 2024 from Rp39.23 trillion in January 2023.

In the position in January 2024, the total assets of the program related to insurance were recorded at IDR 1,122.43 trillion, an increase of 3.47 percent (yoy), while for the total assets of the program related to retirement, it was IDR 1,413.62 trillion or grew 10.22 percent (yoy).