Allo Bank Targets Loans To Grow 12 Percent By 2024

Rupiah illustration (photo: between)

JAKARTA - PT Allo Bank Indonesia Tbk (BBHI) or Allo Bank is aiming for credit growth of 12 percent (year-on-year/yoy) in 2024.

"We are targeting credit growth in 2024 in the range of 12 percent yoy with a credit disbursement value of IDR 8.5 trillion," said Allo Bank President Director Indra Utoyo quoting Antara.

Bank loans until the third quarter of 2023 were recorded at IDR 7.32 trillion, slightly increasing compared to credit in the same period the previous year of IDR 7.2 trillion.

The ratio of non-performing loans (NPL) of gross banks is at the level of 0.1 percent.

Indra said credit performance boosted the total recorded banking assets of IDR 11.99 trillion, up from the same period the previous year of IDR 11.05 trillion.

On the other hand, third party funds (DPK) were recorded at IDR 4.89 trillion or grew 19.85 percent yoy. Meanwhile, equity was reported at IDR 6.81 trillion until September 2023.

Net interest margin (NIM) is at the level of 8.8 percent, showing an increasing trend since 2021 of 4.4 percent and 6.0 percent in the following year period.

Return of assets (ROA) also grew consistently from 2.7 percent in 2021, 3.8 percent in 2022, then to 4.8 percent in 2023.

Capital adequacy ratio (CAR) also increased, from 78.4 percent in September 2022 to 84.6 percent in the same period in 2023.

Bank operating income was recorded at IDR 833 billion, while operating costs were IDR 395 billion. Meanwhile, net interest income was reported at IDR 757 billion.

Overall, the bank's net profit was IDR 339 billion or grew from the previous year's profit of IDR 209 billion.

"We are but optimistic for the 2024 performance, but still vigilant and cautious," said Indra.