SEMARANG – In the midst of concerns about the ongoing Covid-19 pandemic, Bank Jateng was able to record the good performance growth and strong resilience.
Some various responsive policies have been taken, therefore Bank Jateng shows the positive growth. Until the First Semester – 2021, Bank Jateng’s financial performance showed an improvement, as shown in the following table:
“We would like to thank to our customers, shareholders, authorities, and the public for their trust, therefore the company’s performance is still able to grow positively,” said the Bank Jateng’s President Director, Supriyatno through a press release on Monday, July 5, 2021.
The Covid-19 pandemic has put considerable pressure on banks, particularly credit risk. “Bank Jateng has responded to these challenges by implementing some various initiatives and the effective risk management to maintain the business growth and asset quality,” said Supriyatno.
At the end of June 2021, Bank Jateng’s assets reached up to 81.62 trillion rupiahs and grew 12.45% (year on year = yoy). The assets improvement was supported by the third party funds (DPK) collection which reached of 67.81 trillion rupiahs and grew by 17.81% (yoy).
Meanwhile, the lending reached of 51.89 trillion rupiahs and grew by 4.88% (yoy). “Although moderate, Bank Jateng’s credit growth is better than other banks, which was actually decreased by 2.89%,” said Supriyatno.
Even more to be proud, the improvement in Bank Jateng’s credit was supported by the MSME loans which grew by 12.40% and the consumer loans which grew by 4.42%. Meanwhile, loans to the corporate segment are carried out restrictions for mitigating the credit risk.
Business Profit Increase
During the first Semester -2021, Bank Jateng recorded an business profit of 1.09 trillion rupiahs and grew 16.09% from the same period last year.
“Achieving a good business profit cannot be separated from the company’s strategy in the asset management and operational efficiency,” said Supriyatno.
In addition to improvie financial indicators, Bank Jateng’s resilience is also well maintained, as reflected in the financial ratios that are in a healthy composite in accordance with the authorities provisions.
The ratio of third party lending funds (DPK) or loan to deposit ratio (LDR) is in the ideal range of 76.52%. The current saving account (CASA) ratio reached 54.01%, indicating that the majority of TPF are Current and Savings Accounts as sources of low-cost funds.
Bank Jateng is also able to maintain the operational efficiency well, which is indicated by the of Operating Costs ratio to Operating Income (BOPO) of 70.92% below the average of banking industry which is around 85%.
The economic conditions that have not yet recovered and the restrictions on activities due to the pandemic have resulted a business activity decline in many business sectors.
To help business doers affected by Covid-19, Bank Jateng has restructured the loans for 17,201 business doers worth 6.85 trillion rupiahs. The credit relaxation is aimed at enabling business doers to reorganize the business.
However, certain debtors cannot be restructured thus which causing thenon-performing loans ratio or non-performing loans (NPL) to 3.73%. The NPL ratio is still below the limit according to the regulatory authority of 5%.