Panin focuses new loans on retail sector<\/p>\n
Tony Hotland, The Jakarta Post\/Jakarta<\/p>\n
Publicly listed Panin Bank wishes to channel more loans to the
\nretail sector in the coming years to capitalize on the growing
\ndemand.<\/p>\n
\"This year, we have targeted to add another Rp 2 trillion in
\nloans, or about 20 percent, from our total loans last year. We
\nexpect to channel the loans more to the retail sector,\" Panin
\ndeputy director Roosniati Salihin said on Thursday after the
\nlaunch of the bank's newest product MagnaCard.<\/p>\n
Panin channeled Rp 8.26 trillion (US$897.83 million) in loans
\nin 2003. By the end of June, the bank had disbursed Rp 10.09
\ntrillion. With total assets of Rp 21.36 trillion, Panin's loan to
\ndeposit ratio (LDR) stands at 71.13 percent.<\/p>\n
Roosniati said that currently, 60 percent of the bank's loans
\nwent to corporations, while the rest went to consumers and small
\nand medium-sized enterprises.<\/p>\n
\"We have a target of equaling the percentage,\" she added.<\/p>\n
Panin, one of the few banks that survived the financial crisis
\nin the late 1990s without the help of the government's bail-out
\nprogram, recorded a staggering 315 percent increase in its after-
\ntax profit last year due to a rise in net interest margin.<\/p>\n
It booked Rp 418.5 billion in profit, surging high from Rp 101
\nbillion recorded in 2002.<\/p>\n
Regarding the bank's plan to acquire the government's major
\nshares in Bank Permata, Roosniati stated that the management of
\nPanin had yet to hold discussions with other parties about the
\npossibility of forming a consortium.<\/p>\n
\"We've talked only with (Australia-based) ANZ, but that's
\nbecause ANZ owns 29 percent of Panin shares. Even if we didn't
\nacquire Permata, we could always acquire shares in other banks in
\nthe future as part of our efforts to increase our assets,\" said
\nRoosniati.<\/p>\n
She, however, refused to disclose whether Panin had sent a
\nbidding letter to the Asset Management Company (PPA), only saying
\nthat \"we'll do everything by the procedures\".<\/p>\n
The PPA, which now manages the government's shares in Permata,
\nputs the deadline for bidding letters on August 23.<\/p>\n
Also on Thursday, Panin launched its MagnaCard, which can
\nfunction as both an ATM card and a Debit card.<\/p>\n
The bank collaborates with payment company MasterCard
\nInternational, allowing the card owners to be able to use the
\ncard in over 900,000 MasterCard's ATMs across the globe.<\/p>",
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