BI records 9.49% growth in banking credit for March, here are the drivers

Jakarta (ANTARA) - Bank Indonesia Governor Perry Warjiyo revealed that banking credit in March 2026 grew by 9.49% year-on-year (yoy), higher than the 9.37% yoy growth in February 2026. Based on usage categories, Perry continued in Jakarta on Wednesday, this development was supported by investment credit, working capital credit, and consumer credit, which grew by 20.85% yoy, 4.38% yoy, and 5.88% yoy respectively in March 2026. He also stated that interest in banking credit disbursement remains strong, except in the consumer and Micro, Small, and Medium Enterprises (MSME) segments. “Interest in banking credit disbursement remains strong, as reflected in the still loose lending requirements, except in the consumer credit and MSME segments due to the still high credit risk in both segments,” he said. He conveyed that banking credit growth continues to be strengthened to support economic growth. BI projects credit growth for 2026 to remain stable in the 8-12% range, influenced by both demand and supply sides. From the demand side, the utilisation of bank financing is said to still be able to be increased, particularly by optimising undisbursed loan facilities that are still substantial, reaching Rp2,527.46 trillion or 22.59% of the available credit ceiling. From the supply side, bank financing capacity remains adequate, supported by a Loan-to-Deposit Ratio (LDR) of 27.85% and third-party funds (DPK) that continue to grow strongly at 13.55% yoy in March 2026. In the future, said Perry, Bank Indonesia will continue to strengthen banking funding capacity, including the development of non-traditional funding instruments (non-DPK) to support banking credit disbursement. “Coordination with the government and the Financial System Stability Committee (KSSK) continues to be strengthened to improve the interest rate structure and encourage banking credit/financing growth,” the BI Governor stated.