Bank Indonesia Claims New Credit Growth Will Be Maintained Despite Declining

Illustration (Photo: Doc. Antara)

JAKARTA – Bank Indonesia (BI) reported that there was a decrease in the value of the Weighted Net Balance (SBT) of new loans to 64.8 percent in the first quarter of 2022 from 87 percent in the fourth quarter of 2021.

Head of the BI Communications Department Group, Junanto Herdiawan, said that new credit growth was indicated for all types of usage, as reflected in the positive SBT value.

"(Despite the decline) New credit distribution in the first quarter of 2022 was maintained and grew positively," he said in a press statement today, Thursday, April 21.

According to Junanto, in the second quarter of 2022, new loan disbursement is estimated to grow at a higher rate, as indicated by the WNB forecast for new credit disbursement of 79 percent. Then, he also revealed that credit disbursement standards in the second quarter of 2022 are predicted to be slightly looser than the previous period.

This is indicated by the negative Lending Standard Index (ILS) of minus 0.4 percent, in contrast to 3.3 percent in the previous quarter.

"This condition is influenced by the estimated reduction in loan interest rates by some banks," he said.

Meanwhile, the survey results show that respondents remain optimistic about future credit growth. Respondents estimate credit growth in 2022 at 9.3 percent year on year (yoy) or an increase compared to 5.2 percent growth in 2021.

"This optimism is driven, among other things, by monetary and economic conditions, as well as the relatively controlled risk of lending," concluded Junanto.