ID :
47267
Tue, 02/24/2009 - 11:25
Auther :
Shortlink :
https://www.oananews.org//node/47267
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BI: CREDITS TO GROW 15.6 PERCENT
Jakarta, Feb 23 (ANTARA) - Bank Indonesia deputy governor Mulyaman D Hadad said credits had been projected to grow 15.6 percent this year according to bank business plans received by the central bank.
"All banks in Indonesia have submitted their business plan. Based on their figures the growth of credits, as we have predicted, will not drop steeply. Indeed it will be lower than last year. It is projected at 15.6 percent or almost 16 percent," he said at a meeting with Regional Representatives Council members here on Monday.
He said this year banks would focus more on micro-, small and medium businesses so that credit growth was predicted to reach 20 percent or higher than the total credit growth.
He said credit growth was expected to be able to support the country's economic growth which was projected to drop to four to five percent from 6.1 percent last year.
He said until now Bank Indonesia still continued studying and had not yet revised down its forecast on credit growth set earlier at 18 to 20 percent.
He said BI would still study further figures from the banks. "We are now reviewing them one by one to see why banks which are expected to be able to extend more credits could only distribute smaller credits," he said.
Based on indicators Bank Indonesia still considered condition of banks in the country remained quite strong. He said bank capital supply from 2008 was still sufficient to pass this year's crisis period.
He said at the end of 2008 the bank's capital adequacy ratio reached 16 percent or higher than the minimum 8.0 percent ratio required by Bank Indonesia.
He said based upon the results of various simulations that had been carried out so far Bank Indonesia discovered that the countries' banks still had resilience.
"With their sufficient supply it is hoped they could pass through the difficult times one or two years ahead," he said.
He said the country's banks were better prepared than those of the neighbouring countries such as Singapore and Malaysia with regard to dealing with the impact of the current global financial crisis.
Based on the central bank's data on December 2008, Indonesia's total bank credits reached Rp1,353.6 trillion with third-party funds reaching Rp1,939.2 trillion while the amount of bad credits reached Rp50.9 trillion or just 3.8 percent.
"All banks in Indonesia have submitted their business plan. Based on their figures the growth of credits, as we have predicted, will not drop steeply. Indeed it will be lower than last year. It is projected at 15.6 percent or almost 16 percent," he said at a meeting with Regional Representatives Council members here on Monday.
He said this year banks would focus more on micro-, small and medium businesses so that credit growth was predicted to reach 20 percent or higher than the total credit growth.
He said credit growth was expected to be able to support the country's economic growth which was projected to drop to four to five percent from 6.1 percent last year.
He said until now Bank Indonesia still continued studying and had not yet revised down its forecast on credit growth set earlier at 18 to 20 percent.
He said BI would still study further figures from the banks. "We are now reviewing them one by one to see why banks which are expected to be able to extend more credits could only distribute smaller credits," he said.
Based on indicators Bank Indonesia still considered condition of banks in the country remained quite strong. He said bank capital supply from 2008 was still sufficient to pass this year's crisis period.
He said at the end of 2008 the bank's capital adequacy ratio reached 16 percent or higher than the minimum 8.0 percent ratio required by Bank Indonesia.
He said based upon the results of various simulations that had been carried out so far Bank Indonesia discovered that the countries' banks still had resilience.
"With their sufficient supply it is hoped they could pass through the difficult times one or two years ahead," he said.
He said the country's banks were better prepared than those of the neighbouring countries such as Singapore and Malaysia with regard to dealing with the impact of the current global financial crisis.
Based on the central bank's data on December 2008, Indonesia's total bank credits reached Rp1,353.6 trillion with third-party funds reaching Rp1,939.2 trillion while the amount of bad credits reached Rp50.9 trillion or just 3.8 percent.
