Banking Credit Growth Slows to 9.37 Percent
The pace of banking credit growth recorded a slowdown in February 2026. Based on data from Danantara Indonesia and Bank Mandiri, citing Bank Indonesia figures, credit growth in February 2026 stood at 9.37 percent year-on-year (yoy), down from January 2026’s 9.96 percent (yoy).
“This slowdown is in line with the moderation in third-party funds (DPK) collection, which also grew more slowly to 13.18 percent (yoy), a slight decrease from January 2026’s 13.48 percent,” stated Dendi Ramdani, from the Office of Chief Economist Group at PT Bank Mandiri Tbk., at the Bengkulu Economic Seminar on Thursday, 9 April 2026.
Dendi explained that corporate sector credit growth still dominates, while MSMEs remain in the red zone, contracting. In detail, by segment, credit growth shows contrasting performance across sectors. Corporate credit serves as the main driver with significant growth of 14.77 percent (yoy).
Consumer credit shows positive growth, although slowing to 6.58 percent (yoy). Meanwhile, MSME credit is in the red zone with a contraction of -0.30 percent (yoy), continuing the downward trend since mid-2023.
“Although credit growth is slowing, the banking sector remains resilient. However, banks need to be wary of the non-performing loan (NPL) ratio in certain segments,” he added.
Dendi said the data shows NPL in the MSME segment remains the highest at 4.33 percent, though it has slightly eased from its peak of 4.49 percent at the end of 2025. Meanwhile, corporate segment NPL is recorded as the healthiest at 1.24 percent, followed by the consumer segment at 2.25 percent.
From a liquidity perspective, the national banking loan-to-deposit ratio (LDR) stood at 84.72 percent in February 2026. This figure indicates a decline compared to the end of 2024 position, which reached 88.62 percent. This suggests that banks have sufficiently loose liquidity room amid the moderation in credit disbursement.
“Regarding deposit growth based on the nominal amount of deposits, it shows an interesting dynamic. Customers with balances above Rp 5 billion recorded the most aggressive deposit growth compared to other balance groups, reflecting liquidity concentration among large capital owners,” said Dendi.