BBNI - Aiming for 10% Credit Growth in 2023

BBNI - Aiming for 10% Credit Growth in 2023 Bank Negara Indonesia (BBNI) is optimistic that credit growth this year will grow in the range of 8% to 10% yoy. This is in line with increasingly improving economic performance and encouragement from government spending in the second half of this year. BBNI is confident that credit growth in the second semester will be better. The trend of increasing credit is in line with projected growth in loans in industry and also government spending. According to BBNI, credit will be supported by low-risk sectors and focus on top tier debtors in the industry. Moreover, corporations during this year have carried out excellent credit expansion, thus providing a significant stimulus to overall economic growth. (Source: Kontan). Comment: We believe BBNI loan target in 2023 is achievable. Corporate will continue to support the overall growth, while at the same time consumer will also play important role. On the P&L side, the continuing asset quality should help the bank to consistently reporting better CoC and soft provisions which at the end will drive earnings to grow higher year on year.