BPR Assets Grow 3.7 Per Cent to Rp 236 Trillion

The Financial Services Authority (OJK) reported that as of March 2026, the total consolidated assets of Rural Banks (BPR) and Sharia Rural Banks (BPRS) grew by 3.70 per cent compared to the same period the previous year, reaching Rp 236.69 trillion. Credit distribution or financing within the industry grew by 2.83 per cent to Rp 176.96 trillion.

Agus Firmansyah, Head of the Surveillance and Integrated Financial Services Sector Policy Department at OJK, stated that this development was supported by a 3.16 per cent growth in Third-Party Funds (DPK), reaching Rp 165.49 trillion. In terms of capital, the aggregate Capital Adequacy Ratio (CAR) for the BPR and BPRS industry stood at 2t7.20 per cent, which is significantly above regulatory requirements, he noted in a written statement on Tuesday, 2 June 2026.

Rural Banks are micro-scale banking institutions with a minimum core capital of Rp 6 billion. According to Agus, the industry continues to strive to strengthen risk mitigation measures through the implementation of good management and governance in credit distribution, intensive post-disbursement supervision, and the formation of loss reserves in accordance with applicable regulations.

Previously, OJK Banking Supervision Chief Executive Dian Ediana Rae explained that from the beginning to the middle of this year, the authority has approved the consolidation of 57 BPR/BPRS into 18 banking entities. This process is set to continue, as more than 200 banks are currently awaiting approval or permits for merger from the OJK.

Dian stated that this unification aims to strengthen the capital and competitiveness of BPR/S through the implementation of good governance and risk management. Furthermore, the strengthening of banking capital and competitiveness is being pursued through organisational restructuring, financial performance improvements, and efficient management.

To facilitate the acceleration of these mergers, the OJK continues to coordinate with shareholders, including local governments. Through these efforts, the number of BPR/S is expected to decrease, with the goal that the BPR/S industry becomes more efficient and competitive in its business operations, said Dian.