PORTALJABAR, BANDUNG CITY - Banking performance in West Java in March 2024 experienced positive growth yoy, reflected in several indicators, including the realization of Commercial Bank credit of IDR 126 trillion, growing 7.88 percent yoy.

This credit growth is lower than banking in West Java at 9.21 percent yoy and nationally at 12.52 percent.

The growth in credit distribution or banking financing as of March 2024 in West Java reached IDR 598 trillion, supported by 63 BU/BUS entities and 252 BPR/BPRS.

This nominal value is equivalent to a portion of 8.25 percent of total national credit or the second largest after DKI Jakarta. The NPL level was maintained at 3.17 percent, an improvement compared to the position in Merat 2023 (yoy) which was recorded at 3.47 percent.

Banking credit reached IDR 625 trillion and grew 9.21 percent (yoy). The gross NPL ratio was also maintained at 3.17 percent.

Meanwhile, Sharia Commercial Bank financing reached IDR 67.1 trillion and had a portion of 10.73 percent of all credit in West Java and grew 12.52 percent (yoy). NPF was also maintained at the level of 2.76 percent.

Commercial Banks with their head offices in West Java also recorded quite good growth performance compared to the average banking sector in West Java, reflected, among other things, in Assets growing 10.38 percent, Third Party Funds growing 13.51 percent and Credit growing 7.68 percent.

"This performance is supported by two Commercial Banks, namely Bank BJB and Krom Bank Indonesia, as well as one Sharia Commercial Bank, namely Bank BJB Syariah," said Head of West Java OJK Imansyah, Monday (13/5/2024)

Meanwhile, the performance of BPR and BPRS is classified as moderate, which is reflected in the growth of assets and deposits respectively of 6.07 percent and 5.94 percent (yoy).

Distribution of BPR & Sharia BPR Credit/Financing reached IDR 23.11 trillion and had a portion of 3.70 percent of all credit in West Java, West Java and grew 8.52 percent (yoy).

The majority of BPR credit & BPRS financing is channeled for working capital credit. However, the quality of BPR and BPRS credit is relatively high as reflected in the gross NPL and gross NPF ratios of 11.46% and 7.18%.

The total distribution of National People's Business Credit (KUR) as of March 2024 reached IDR 49.9 trillion, while KUR in West Java reached IDR 5.3 trillion which was distributed to 93,836 business actors or had a portion of 9.84 percent compared to the total National KUR distribution.

"Based on the KUR financing scheme, the micro sector has the largest portion, reaching IDR 3.47 trillion or 64.9 percent compared to the total KUR distribution in West Java," he concluded.