{
    "success": true,
    "data": {
        "id": 1486684,
        "msgid": "bni-q3-profit-almost-doubles-on-consumer-loans-1447893297",
        "date": "2004-10-28 00:00:00",
        "title": "BNI Q3 profit almost doubles on consumer loans",
        "author": null,
        "source": "AP",
        "tags": null,
        "topic": null,
        "summary": "BNI Q3 profit almost doubles on consumer loans PT Bank Negara Indonesia (BNI), the nation's third-biggest lender, almost doubled its profit in the third-quarter as a drop in interest rates reduced funding costs and spurred consumers to borrow more to buy homes and cars. Net income rose to Rp 1.26 trillion (US$138 million) in the three months ended Sept. 30, from Rp 645 billion a year earlier.",
        "content": "<p>BNI Q3 profit almost doubles on consumer loans<\/p>\n<p>PT Bank Negara Indonesia (BNI), the nation's third-biggest<br>\nlender, almost doubled its profit in the third-quarter as a drop<br>\nin interest rates reduced funding costs and spurred consumers to<br>\nborrow more to buy homes and cars.<\/p>\n<p>Net income rose to Rp 1.26 trillion (US$138 million) in the<br>\nthree months ended Sept. 30, from Rp 645 billion a year earlier.<br>\nThe profit was derived by subtracting first-half earnings from<br>\nnine-month results published by the bank on Wednesday.<\/p>\n<p>Jakarta-based BNI and other Indonesian lenders are expanding<br>\nloans to consumers, whose spending makes up 70 percent of the<br>\n$208 billion economy, after interest rates in May fell to their<br>\nlowest level in six years. Rates are set to rise as inflation<br>\naccelerates, curbing demand for loans.<\/p>\n<p>\"Indonesian banks are performing well, mainly because of the<br>\nstrong growth in loans to consumers and small businesses,\" said<br>\nKelvin Miranda, who helps manage the equivalent of $180 million<br>\nat Asian Asset Management Sdn. in Malaysia. \"Loan growth may slow<br>\nbecause interest rates may start rising.\"<\/p>\n<p>The central bank said on Sept. 24 it may raise rates this year<br>\nto slow inflation and stabilize the rupiah. Inflation is forecast<br>\nby the bank to average 7 percent for 2004.<\/p>\n<p>Miranda, who said he has sold his stakes in Indonesian banks,<br>\nis considering investing again once it becomes clear what<br>\npolicies will be followed by the week-old government of President<br>\nSusilo Bambang Yudhoyono.<\/p>\n<p>Net interest income at BNI, or revenue from borrowers after<br>\ndeducting interest paid to depositors, rose 27 percent to Rp 1.73<br>\ntrillion in the quarter, helped by a 39 percent drop in interest<br>\ncosts.<\/p>\n<p>BNI's earnings last year were crimped by losses stemming from<br>\na fraud case that involved Rp 1.7 trillion of loans to fund<br>\ncommodity shipments to Africa. The lender's 2003 profit fell 67<br>\npercent to Rp 829 billion after it set aside money to cover those<br>\nlosses. BNI and police last year disclosed an investigation into<br>\nthe case.<\/p>\n<p>For the nine months to Sept. 30, BNI's net income rose to Rp<br>\n2.32 trillion, or Rp 175 rupiah, from Rp 1.05 trillion, or Rp 47<br>\nrupiah, a year earlier. -- Bloomberg<\/p>",
        "url": "https:\/\/jawawa.id\/newsitem\/bni-q3-profit-almost-doubles-on-consumer-loans-1447893297",
        "image": ""
    },
    "sponsor": "Okusi Associates",
    "sponsor_url": "https:\/\/okusiassociates.com"
}