Bank Indonesia: Loans Grow Until June, Terms Of Disbursement Are Projected To Ease In The Third Quarter

JAKARTA - Bank Indonesia (BI) reports that based on the results of a banking survey conducted in June 2021, it indicated that on a quarterly basis (quarter-to-quarter/qtq) new lending in the second quarter of 2021 grew positively.

Head of the BI Communications Department Erwin Haryono said the signal was reflected in the weighted net balance (SBT) of new credit requests of 53.9 percent.

"Based on the type of use, new credit growth is indicated for all types of credit, the highest for working capital loans with WNB 45.0 percent, followed by consumption loans and investment loans with WNB 31.3 percent and 13.3 percent, respectively. ” he said on the official website, Monday, July 19.

Meanwhile, in the third quarter of 2021, he estimates that new lending will increase as seen from the WNB, the forecast for new credit distribution is 87.1 percent, higher than 53.9 percent in the second quarter of 2021.

"This increase will be driven by working capital loans, followed by consumption loans and investment loans," he said.

Furthermore, Erwin projects that credit disbursement standards in the third quarter of 2021 will not be as stringent as the previous period.

This is indicated by the Lending Standard Index (ILS) of 0.3 percent or lower than 1.2 percent in the previous quarter. Aspects of the disbursement policy that are expected to be less stringent than in the previous quarter include credit ceilings, credit terms, credit agreements, and collateral.

"As for the whole of 2021, the survey results indicate that respondents remain optimistic about credit growth. Respondents predict credit growth in 2021 at 6.3 percent on an annual basis. This optimism is driven by, among other things, monetary and economic conditions, as well as the relatively controlled risk of lending," concluded Erwin.