Buana eyes 16% rise in profit

Buana eyes 16% rise in profit

JAKARTA (JP): Publicly listed PT Bank Buana Indonesia expects
to achieve a net profit of Rp 118.24 billion this year, a 16
percent increase on the Rp 101.52 billion recorded last year.

The bank said in a statement on Friday that total assets were
also projected to increase by 12 percent, from Rp 10.6 trillion
to 11.95 trillion, with productive assets rising to Rp 10.5
trillion from Rp 9.6 trillion.

The company's total lending is projected to increase to Rp
2.76 trillion, as compared to Rp 1.81 trillion in the previous
year, while equity is estimated to reach Rp 830.11 billion
against the previous year's Rp 696.27 billion.

The bank also said that its capital adequacy ratio (CAR) --
the ratio between capital and risk-weighted assets -- fell to
24.65 percent last year from 24.41 percent in 1999 and would
remain at a safe level.

The central bank requires commercial banks to have a CAR of at
least 8 percent by the end of this year.

"We are optimistic that we will achieve the targets. As of
March 31, 2001, our total assets reached Rp 11.68 trillion and
third party funds reached Rp 10.35 trillion," the bank said in a
statement.

Bank Buana's shareholders' meeting on Friday approved cash
dividends at Rp 32 a share for the 2000 financial year. The total
dividends will account for about 30 percent of the bank's 2000
net earnings. (tnt)