Positive Stress Test Results, but Banks Remain Wary of Economic Pressures

JAKARTA, KOMPAS.com — Regulators are encouraging the banking sector to strengthen risk mitigation amid unrelenting global and domestic economic volatility. Bank Indonesia (BI) has reported positive results from banking stress tests, assessing banks’ resilience as remaining strong against economic pressures. PT Bank Central Asia Tbk (BCA) is one of the banks that has conducted a stress test. Management states readiness to face potential economic slowdowns. BCA’s EVP for Corporate Communication & Social Responsibility, Hera F. Heryn, noted that business fundamentals remain solid, with strong capital and liquidity. However, pressures are beginning to appear in asset quality. The loan at risk (LAR) ratio rose to 5.1% in March 2026, from 4.8% at the end of 2025. The non-performing loan (NPL) ratio remains low at around 1.8%. Hera assessed that the LAR position is still well-maintained with provisioning at 69.7%. NPL provisioning is also high, reaching 174.6%. “BCA is also continuing to maintain communication and coordination with debtors whose businesses are expected to be impacted, as well as conducting industry sector evaluations,” she explained to Kontan on Friday (24/4/2026). CIMB Niaga’s President Director, Lani Darmawan, stated that the bank has prepared mitigation steps based on stress test results. “We ensure that our operations can carry out mitigation to face shocks as in the stress test scenarios,” she said. CIMB Niaga is also following regulators’ directives to be more cautious in credit expansion. “We realistically see that credit growth will be flat this year in general, and banks are expected to be more prudent,” she added.