Danamon sets lending priority

JAKARTA: Bank Danamon, the country's fifth largest bank by assets, has decided to prioritize corporations engaged in telecommunications, natural resources, trading and infrastructure in corporate lending next year, a bank official said.

"We plan to prioritize the four sectors due to their projected high growth in profitability and sales next year," said Danamon vice president director Emirsyah Satar on Wednesday.

Corporate lending accounts for some 30 percent of total loans.

Danamon's outstanding loans grew by 12.4 percent to Rp 23.8 trillion (US$2.64 billion) in the first half of 2004, from Rp 21.2 trillion in the corresponding period last year, mainly due to significant growth in consumer loans and loans to small and medium enterprises. Loans in the two categories increased by Rp 2.4 trillion and Rp 753 billion, respectively. -- JP