OJK Call Banking Credit Restructuring Translucent Nearly IDR 1,000 Trillion

Chairman of the Board of Commissioners of the Financial Services Authority (OJK), Wimboh Santoso. (Photo: Doc. OJK)

JAKARTA - The Financial Services Authority (OJK) revealed that the bank credit restructuring policy had touched IDR987.48 trillion from 7.94 million debtors.

Chairman of the OJK Board of Commissioners Wimboh Santoso said this amount was an accumulation that was calculated until February 8, 2021.

"For the UMKM sector, it reaches 6.15 million debtors with a value of Rp. 388.33 trillion. Meanwhile, non-MSMEs reached 1.79 million debtors with a value of Rp.599.15 trillion, "he said through an official statement, Thursday, February 25.

He added, for the restructuring of finance companies up to February 8, it had reached IDR193.5 trillion for the 5.04 million contracts approved.

"This note is a responsive effort by industry players to respond to the stimulus policies of the OJK to encourage economic recovery," he said.

Furthermore, Wimboh also explained about the steps taken by the authorities to continue to push for adjustments to bank lending rates in order to be in line with Bank Indonesia's decisions.

"OJK has succeeded in encouraging banks to lower productive credit interest rates, which have been falling since 2016 to below 10 percent," he claimed.

To note, working capital credit interest rates have decreased starting in May 2016 from 11.74 percent to 9.27 percent in January 2021.

Then, the investment credit interest rate in the position of May 2016 at 11.42 percent fell to 8.83 percent in January 2021. Meanwhile, the interest rate for consumption credit has decreased from May 2016 in the position of 13.74 percent to 10.95 percent in January 2021.

"OJK is strongly committed to supporting programs to accelerate national economic recovery and has issued further stimulus policies in a measured and timely manner to maintain the momentum of national economic recovery," he said.

"Going forward, OJK will continue to optimize various policies by strengthening synergy and coordination with all stakeholders in order to maintain financial system stability," concluded Wimboh.