Bank Indonesia: New Credit Distribution To Corporations Increases

Illustration (Photo: Doc. Antara)

JAKARTA Bank Indonesia (BI) reported that corporate financing in June 2023 was indicated to increase. This is reflected in the Weighted Net Balance (SBT) of corporate financing of 17.8 percent, higher than SBT 12.5 percent in May 2023.

"The majority of financing comes from their own funds followed by financing derived from the use of attractive concession facilities, both of which increased compared to the previous month," said Head of the BI Communications Department Erwin Haryono, quoted Wednesday, July 19.

According to Erwin, banking's new lending in June 2023 is indicated to grow limited compared to the previous month. The new credit disbursement SBT in June 2023 was recorded at 81.7 percent, slightly lower than the 82.6 percent SBT in the previous month.

It was stated that the main factors that affected the distribution of the new credit included demand for financing from customers, prospects for monetary and economic conditions in the future, as well as levels of business competition from other banks.

"Meanwhile, for the entire second quarter of 2023, the offer of new credit disbursement from banks is expected to increase," said Erwin.

On the household side, demand for new financing is indicated to grow limited in June 2023. The majority of households apply for types of financing in the form of multi-purpose loans and choose commercial banks as the main source of additional financing.

"Other financing sources that are household preferences to meet financing needs include cooperatives and leasing," Erwin concluded.