Moody's Changes Outlook for 5 Banks, Perbanas Assures Stable Conditions

JAKARTA, KOMPAS.com - The National Banks Association (Perbanas) assesses that the downgrade of the outlook for several Indonesian banks by Moody’s does not reflect a decline in the fundamental condition of the national banking sector.

OCE Perbanas Chief Economist Dzulfian Syafrian stated that various key indicators show that the foundation of the performance of the national banking sector, particularly those included in the State-Owned Banks Association (Himbara), remains very strong.

The downgrade of the outlook for five major banks by Moody’s more indicates a signal of caution towards potential future risks, especially related to the effectiveness and governance of national economic policies.

He detailed several key indicators of the national banking sector that remain solid.

This is reflected in the banking performance from the aspects of intermediation, asset quality, capitalisation, and liquidity, which remain well-maintained.

Up to December 2025, credit growth was recorded above 9% year-on-year (yoy), while third-party funds (DPK) grew more than 13% yoy.

In addition, liquidity indicators such as the Liquidity Coverage Ratio (LCR) are also at safe levels, reflecting the banking sector’s resilience in terms of short-term funding.

“Aggregately, the fundamentals of Indonesian banking remain very strong,” said Dzulfian.

He added that this resilience in the banking sector is also in line with Bank Indonesia’s assessment, which affirms that financial system stability remains strong until early 2026.

“So, from both the micro-banking perspective and the macro-financial system, the foundation of our banking and financial system remains solid,” he explained.

Specifically for the Himbara group, Dzulfian noted that performance still shows strong resilience.

Himbara banks’ credit growth is double-digit, even recorded higher than the industry average.