Bank Muamalat's Assets Reach IDR 66.09 Trillion In 2023

Illustration. (Photo: Doc. Antara)

PT Bank Muamalat Indonesia Tbk (Bank Muamalat) recorded a total bank only (udited) asset of IDR 66.9 trillion in 2023 or grew by 9 percent on an annual basis (yoy).

Bank Muamalat President Director Indra Falatehan said the company could record positive performance despite the potential risks of economic slowdown and global financial market uncertainty throughout 2023.

"This is indicated by the continued growth of assets, financing and third party funds (DPK). The profit before tax was recorded at Rp. 14.1 billion," said Indra in his statement in Jakarta, quoted from Antara, Thursday, March 28.

He added that Bank Muamalat's asset growth was supported by an increase in financing of 19 percent yoy to IDR 22.5 trillion.

Bank Muamalat's financing quality is also positive as indicated from the decrease in net non-performance financing (NPF) ratio from 0.86 percent to 0.66 percent as of December 31, 2023.

Meanwhile, the DPK increased by 3 percent yoy to Rp47.6 trillion, where low-cost funds or current account and saving accounts (CASA) increased by 8.5 percent yoy to Rp23.7 trillion.

Bank Muamalat recorded a total capital of IDR 7.0 trillion as of December 31, 2023, with a capital adequacy ratio of 29.42 percent or far above the regulatory threshold.

Indra said the company is trying to increase profitability in 2024, one of which is by reducing the burden of margins through the collection of low-cost funds.

"We continue to maximize the acquisition of cheap funds through digital channels, namely the Muamalat DIN mobile banking application and Madina internet banking services," he said.

To spur the growth of low-cost funds, Bank Muamalat encourages an increase in account opening online through the digital customer on board feature.

According to the company, online account opening through Muamalat DIN has reached an average of 350 accounts per day or an increase of more than three times.

In 2024, Bank Muamalat will also focus on the consumer retail segment which is considered more in accordance with the competencies owned by the bank.

The retail customers targeted include the Hajj and Umrah business segment, retirees, entertainment/corporation, hospitals, education, and State Civil Apparatus (ASN).

To support this business strategy, Bank Muamalat improves all aspects of service starting from the process of submitting easy financing, fast service level agreement (SLA) and attractive margins.

According to Indra, product development and process improvement are the keys to creating competitive advantages to support business growth at Bank Muamalat.