Dividend Season, OJK Ensures Banking Capital Remains Strong

Jakarta (ANTARA) - The Financial Services Authority (OJK) has assured that banking capitalisation remains strong amid the dividend distribution season at the start of the year, as reflected in the capital adequacy ratio (CAR) of 25.09% as of March 2026. Although the CAR experienced a slight decline of 0.74 percentage points from the previous month’s level of 25.83%, this level is still considered high. OJK’s Executive Head of Banking Supervision, Dian Ediana Rae, stated during a press conference on the Banking Data and Information Centre (RDKB) in Jakarta on Tuesday that this solid CAR indicates the banking sector’s capital resilience remains strong as an adequate buffer for risk mitigation. Overall, the banks’ profitability levels remain stable, with return on assets (ROA) recorded at 2.47% and net interest margin (NIM) at 4.38% as of March 2026. “Various other indicators are also positive for the same period, with industry liquidity remaining adequate and asset quality well-maintained,” she said. The liquid assets to non-core deposits ratio (AL/NCD) and liquid assets to third-party funds ratio (AL/DPK) stood at 122.55% and 27.85%, respectively, still above their respective thresholds of 50% and 10%. Meanwhile, the liquidity coverage ratio (LCR) was at 193.64%, while the net stable funding ratio (NSFR) was at 128.84%. On the other hand, the gross non-performing loan (NPL) ratio was recorded at 2.14%, with the net NPL stable at 0.83%. Meanwhile, the loan at risk (LaR) was at 8.94%. In March 2026, bank credit grew 9.49% year-on-year (yoy) to Rp8,659 trillion. By usage type, investment credit grew the highest at 20.85% (yoy), followed by consumer credit at 5.88% (yoy), while working capital credit was at 4.38% (yoy). By debtor category, the highest growth was in corporate credit, which expanded by 14.88% (yoy). Meanwhile, SME credit has shown improvement, growing positively by 0.12% (yoy) from a contraction of 0.56% (yoy) in February 2026. By ownership, credit from state-owned banks grew the highest at 13.66% yoy. The share of bank buy now pay later (BNPL) credit products was recorded at 0.33%. As of March 2026, the outstanding BNPL credit balance as reported in SLIK grew 24.20% yoy to Rp28.3 trillion, with the number of accounts reaching 30.81 million. On the other hand, third-party funds (DPK) grew 13.55% yoy to Rp10,231 trillion, with demand deposits, time deposits, and savings growing 21.37% (yoy), 11.57% (yoy), and 8.36% (yoy), respectively.