BBTN - BTN Syariah assets will reach IDR50 tn by the end of 2023

BBTN - BTN Syariah assets will reach IDR50 tn by the end of 2023 The sharia business unit (UUS) of Bank Tabungan Negara (BBTN) or BTN Syariah is certain to record assets of more than IDR50 tn by the end of 2023. Meanwhile, as of November 2023, BTN Syariah's assets have reached IDR49 tn. BTN is optimistic that its UUS assets will soon reach IDR50 tn because it is supported by rapid financing distribution last year. According to BBTN, the bank is optimistic that BTN Syariah assets will reach above IDR50 tn by the end of 2023 and historically starting from 2018 to 2022, BTN Syariah recorded an annual asset growth rate (CAGR) of 9.8%. Apart from that, the quality of BTN Syariah financing is continuously has been maintained. Therefore, the bank believe that BTN Syariah will be able to become one of the large sharia banks that can serve the various needs of customers to own a house with a sharia financing scheme. (Source: Kontan) Comment: We believe that BBTN syariah growth likely to intact in the year future. On BTN Syariah we expect the plan to merge with others syariah bank will turn into reality this year and thus will overall support BBTN growth and the development of Indonesia’s syariah promising market. Maintain Buand the syariah industry development. Maintain BUY BBTN with GGM-based TP of IDR1,770, pegged at 0.6x ‘24F P/B.