OJK Projects Ramadhan-Idulfitri to Boost Credit Growth Positively in Early 2026

JAKARTA - The Head of the OJK Banking Supervisory Executive, Dian Ediana Rae, predicts that bank credit growth will continue to grow positively in the first quarter of 2026.

This growth is supported by the momentum of Ramadan and Eid al-Fitr which has historically increased economic activity.

"Historically, the momentum of Ramadan and Eid al-Fitr tends to encourage an increase in economic activity, especially household consumption and supporting productive sectors such as trade, transportation, accommodation, as well as the food and beverage industry," said ANTARA, Tuesday, January 27.

This momentum is expected to increase credit demand, including consumption credit and working capital credit.

Apart from seasonal factors, Dian said a number of other factors will also support credit growth in early 2026, including an increasingly improved monetary policy transmission, a trend of declining loan interest rates, as well as an acceleration of government spending and private investment.

In terms of performance, OJK noted that banking intermediation until November 2025 was in a relatively stable condition with a maintained risk profile and adequate liquidity.

Credit growth on an annual basis (yoy) was recorded at 7.74 percent, an increase compared to October 2025 which was 7.36 percent.

Credit quality is also maintained, reflected by the gross non-performing loan (NPL) ratio of 2.21 percent, improving compared to October 2024 which was 2.25 percent.

This condition is supported by the growth of productive credit, especially Investment Credit (KI) which grew 17.98 percent year-on-year (yoy).

"This shows that the banking industry has been able to overcome various challenges in credit distribution and the real sector has begun to show improvement in demand," he said.

OJK also encourages banks to optimally channel credit to segments that are in accordance with the expertise and risk appetite of each bank, so that business opportunities can be well utilized while maintaining healthy and sustainable credit growth.

Based on the type of use, investment loans as of November 2025 recorded the highest growth of 17.98 percent year-on-year, followed by consumer loans growing by 6.67 percent year-on-year.

Meanwhile, working capital credit grew by 2.04 percent year-on-year.

From the debtor category, corporate loans grew by 12 percent year-on-year. Meanwhile, SME loans are still facing quite a heavy challenge or are still contracting.

On the other hand, third-party funds (DPK) in November 2025 grew by 12.03 percent year-on-year or increased from the previous 11.48 percent year-on-year to Rp9,899.07 trillion.