OJK Says Property Industry Will Grow Positively In 2024
JAKARTA - The Financial Services Authority (OJK) through the Banking Business Orientation Survey in the second quarter of 2024 stated that the real estate and property industry in Indonesia is believed to grow positively in 2024.
"The real estate and property industry in Indonesia in 2024 is also believed to be growing positively in line with maintained demand amid improvements in purchasing power," said Head of the Department of Literacy, Financial Inclusion and OJK Communications Aman Santosa quoting Antara.
From the survey results, information was also obtained regarding the impact of property and real estate sector problems in several countries for banks in Indonesia, which are believed to have no significant direct or indirect impacts.
Aman said that the survey involving 95 respondents' banks showed optimism for an increase in credit growth in the second quarter of 2024 was driven by expectations of improving domestic economic growth after the 2024 General Election (Pemilu), the momentum of Eid al-Fitr, and the number of holidays throughout April to June which increased public consumption, and maintained people's purchasing power.
In terms of fund raising, respondents estimate that in the second quarter of 2024, third party funds (DPK) will also grow in line with improving economic activities, bank businesses will obtain funding sources to support credit growth, and government funds will be included in regional banks.
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In the Banking Business Orientation Survey, OJK also collected information regarding the prospect of distributing Motor Vehicle Loans (KKB) in the future which is believed to still grow even though it had slowed down in early 2024 because it was influenced by uncertain political situations, thus making customers tend to wait and see and refrain from buying motorized vehicles.
The thing that underlies the majority belief that the prospect of KKB's future growth is quite high, among others, is because the potential for the automotive market in Indonesia, which is still very large, is supported by fairly high economic growth.
This is believed to encourage increased public consumption, which will also have an impact on the sale of motorized vehicles.