PT Bank Rakyat Indonesia (Persero) Tbk, or BRI, is harboring increasing optimism about the nation’s economic recovery on account of the positive performance of BRI and other state-owned banks in the first semester of 2021.

“Himbara’s (Association of State-Owned Banks’) performance in the first semester of 2021 and optimism until the end of this year is present owing to the right government policy in responding to the economic crisis due to the COVID-19 pandemic,” Himbara Chairman Sunarso noted in a written statement received here on Saturday.

Sunarso elaborated that amid the crisis, as of June 2021, the cumulative assets of state-owned banks grew by 7.7 percent to Rp3,904.30 trillion (almost US$280 billion). The assets were channeled in the form of loans valued at Rp2,552.9 trillion (almost US$180 billion). Himbara bank lending also grew by 5.4 percent, while public fund collections rose by 8.7 percent (yoy) to reach Rp2,948.78 trillion (around US$206 billion).

Non-performing loans (NPLs) are faring well, as they are pegged in the ideal range of three percent. As for profits, in the first half of 2021, four Himbara banks were able to record a growth of 18.4 percent, or Rp29.9 trillion (almost US$2.1 billion).

“Specifically for BRI, until June 2021, assets grew by 7.8 percent (yoy), with loans growing five percent (yoy), third-party funds increasing by 6.5 percent, and profits growing by 22 percent to reach Rp12.45 trillion,” he affirmed.

Sunarso noted that Himbara had prioritized business sustainability amid the crisis due to the pandemic. Usually, Himbara bank would maintain liquidity, quality, and profitability. However, during the COVID-19 pandemic situation, profitability is set aside. “In this very challenging condition, we cannot lose, (and we must) still win, but with a score that is 2-1. Thus, what we have to maintain is liquidity and quality. It is fine to reduce profitability,” he noted.

Furthermore, Sunarso echoed his side’s optimism that the economy would be pushed further in the rest of 2021, driven by various stimuli and government assistance. Himbara is ready to continue to support the business climate to strengthen the national economy, he affirmed.

“With the implementation of good and appropriate risk management, we are optimistic of being able to maintain positive performance until the end of the year,” Sunarso added.

Source: Antara News