Credit in East Priangan Grows, Risk Looms
The Financial Services Authority (OJK) Tasikmalaya has recorded that credit growth remains buoyant in the East Priangan region, even as the risk of non-performing loans (NPL) looms and approaches the 5 percent threshold.
“Banking NPL in East Priangan stands at 4.75 percent. It has indeed fallen by 0.14 percent compared with the same period last year,” said Head of OJK Tasikmalaya Nofa Hermawati on Friday (21/8/2026).
Her office noted that the largest NPL risk is in Banjar City at 8.8 percent, followed by Sumedang Regency at 5.73 percent and Tasikmalaya City at 4.90 percent.
“Banking activity in the East Priangan region is concentrated in Tasikmalaya City, with credit disbursement as of June 2026 reaching Rp 20.62 trillion.”
“Credit disbursement grew 3.26 percent to Rp 58.19 trillion across East Priangan. In terms of performance, banking is still able to grow positively,” said Nofa.
She explained that consumer credit dominates at Rp 30.87 trillion, or 53.06 percent. Working capital credit reached Rp 19.12 trillion and investment credit Rp 8.20 trillion.
SME credit reached around Rp 33.34 trillion, with the micro segment dominating at Rp 15.70 trillion in disbursement.
“There are many factors, including a number of policies and economic conditions that affect debtors’ repayment capacity, coupled with the still-incomplete recovery from the Covid-19 pandemic,” she said.
Her office also observed the growing popularity of pawnshops among the public. Ease of access and fast processing make them an alternative source of financing, particularly for the micro segment.
Meanwhile, Head of the Indonesia Stock Exchange (BEI) West Java Representative Office Achmad Dirgantara highlighted the trend of a new investment instrument in the form of gold ETFs.
Indonesia’s first gold ETFs officially listed on the exchange on 10 August 2026 with five products, and began trading with a mechanism similar to share transactions.
“Gold investment is not for getting rich overnight, but for preserving wealth over the long term.”
“ETFs can be an alternative for investors who want gold exposure with relatively affordable capital,” he said.