Banking - Bank Muamalat targets gold financing of IDR500 bn in ‘25F

Banking - Bank Muamalat targets gold financing of IDR500 bn in ‘25F Bank Muamalat's gold financing through its "Solusi Emas Hijrah" product is growing rapidly, reaching Rp 348 billion as of June 2025, a significant increase from the previous year. The bank is targeting IDR500 bn by the end of 2025, driven by strong public interest in gold. While gold loans make up only 10% of total outstanding consumer loans, they represent 50% of new consumer loan disbursements year-to-date, showing a major strategic focus on this product for future growth. (Source : Kontan) Comment : Bank Muamalat's gold financing strategy appears to be a key driver of growth within its retail financing segment. The bank is capitalizing on the public's rising interest in gold as an investment.Its strategy to aggressively grow its gold financing business is a calculated move to capture a growing market segment. The strong year-to-date disbursement figures and the ambitious end-of-year target suggest that this product is a central pillar of the bank's retail growth strategy for 2025.