BTN Is Able to Reduce Bad Debt

INDUSTRY.co.id - Jakarta - Bank Tabungan Negara (BTN) said the positive rate of credit distribution is also followed by credit quality improvement.

President Director of BTN Maryono said Bank BTN's non-performing loan (NPL) ratio in December 2017 was at 1.66 percent or improved from 1.85 percent in the same month of the previous year.

"The gross NPL of the company was recorded at only 2.66% per December 2017 or down from 2.84% in December 2016," he said in Jakarta on Tuesday (13/2/2018).

According to him, the loan portfolio also increased the assets of Bank BTN by 22.04% yoy from Rp214.16 trillion to Rp261.36 trillion by the end of 2017. "The current assets of BTN have reached Rp261.36 trillion and soon we are optimistic that the largest bank target to -5 based on assets will be met," said Maryono.

On December 31, 2017, Bank BTN has also raised Third Party Funds (DPK) worth Rp192, 95 trillion. The gain was up 20.45% yoy from Rp160.19 trillion on December 31, 2016.

The growth of public savings was also higher than the national banking average which only increased by 8.3% yoy (BI data).

Maryono said that the growth of Bank BTN's DPK is supported by positive growth of demand deposits, savings and time deposits, which grew by 19.21% yoy, 17.57% yoy and 22.42% yoy respectively.

"The performance of Bank BTN's intermediary function contributed to the company's net interest income growth of 14.45% yoy from Rp8.25 trillion to Rp9.44 trillion in the fourth quarter of 2017. Net interest income also hoisted up Bank BTN's net profit by 15, 59% yoy to Rp3.02 trillion," he said.