BBNI - Eyeing credit growth to reach 10% yoy in 2024

BBNI - Eyeing credit growth to reach 10% yoy in 2024 Bank Negara Indonesia (BBNI), estimates that credit next year could grow in the range of 8% yoy to 10% yoy or in line with industrial growth. According to BBNI, the target is still an initial projection and at the same time the bank continue to pay attention to the further developments in the macroeconomic indicators. To reach the projection, the bank will focus on the corporate segment, especially blue-chip corporate, both private and state-owned, as well as value chain derivatives in the enterprise to consumer segments. (Source: Kontan). Comment: Despite initial projection, we believe BBNI target is achievable. We also like its focus on corporate segment, especially on blue-chip and by designed strategy to reduce SOE loan segment to reduced risk. On consumer loan, we think the bank will continue to enjoy higher yields segment. Our ‘24F for BBNI loan growth is 10.27% yoy with corporate segment remain as the main driver. Maintain BUY with DDM TP of IDR5,750 (1.3x ‘24F P/B)