27 October 2020

Bank BTPN Books 6% Credit Growth at End of September 2020

Jakarta, 26 September 2020 – PT Bank BTPN Tbk recorded healthy credit growth and maintained its solid fundamentals at the end of September when uncertainties in the global and domestic economy remained high due to the COVID-19 pandemic.


Bank BTPN booked Rp 148.8 trillion in loan disbursement as of the end of September, up 6% from a year ago. The number was a far cry from 0.12% on year in the same period that Bank Indonesia reported for the banking industry.


The Bank’s credit growth was mainly supported by a 21% on-year rise in the corporate segment to Rp 89.3 trillion as of the end of September. Bank BTPN dedicates the corporate segment for long-term financing, such as energy, food and infrastructure projects, as part of the Bank’s commitment to supporting sustainable economic development in Indonesia.


“We are grateful that Bank BTPN still managed to book sound growth, even above the industry’s, amid challenging situations in the economy. This may not have happened if it was not because of our customers who maintained their trust towards our banking services,” said Ongki Wanadjati Dana, President Director of Bank BTPN.


Bank BTPN’s credit quality also remained healthy, as reflected on gross non-performing loan ratio that stood at 1.10% as of the end of September. The figure was relatively low, compared with 3.22% recorded for the banking industry at the end of August, according to Bank Indonesia’s latest data.


In order to meet its financing needs, Bank BTPN raised funding worth Rp 149.9 trillion as of the end of Q3-2020, higher by 3% than that recorded in the same period last year. Of that amount, Rp 100.8 trillion came from deposits, Rp 42.6 trillion from bilateral loans, and Rp 6.5 trillion from sub-ordinated loans.


With such credit and funding figures, the Bank’s liquidity and funding ratios were at a healthy level. LCR (Liquidity Coverage Ratio) stood at 246.45% and NSFR (Net Stable Funding Ratio) at 113.13% as per 30 September, 2020.


Bank BTPN’s assets also grew 3% on year to Rp 186.9 trillion from Rp 182.2 trillion, while its capital adequacy ratio (CAR) stood at 24.9%.


“We believe that we will be able to provide better and more services for millions of customers and contribute more to the economy, given our strong capital and global support from SMBC,” said Ongki.


COVID-19 hit the banking industry’s performance this year, including that of Bank BTPN. The sluggish economy and its impact to banking customers caused Bank BTPN’s loan loss provisioning to rise 84% to Rp 1.95 trillion and net interest income to drop 2% to Rp 7.9 trillion. Lower yield due to the downtrend in Bank Indonesia’s benchmark rate, coupled with credit restructuring, also contributed to the drop in net interest income. Bank BTPN managed to lower operating expenses by 2%.


An increase in loan loss provisioning and pressure to the Bank’s net interest income led to a 21% on-year drop in net profit to Rp 1.5 trillion for the January-September period.


Bank BTPN carried out a loan restructuring program for debtors who were affected by the pandemic. As of the end of September, Bank BTPN approved the restructuring of Rp 11.6 trillion of loans, or roughly around 7.8% of total credit portfolios.


With the vision to be the first choice bank in Indonesia that gives significant change in the life of millions of people through digital technology, Bank BTPN consistently develops Jenius as a platform to serve a wider customer segment and meet digital economic participants’ demand.


The number of Jenius users increased by 37% to 2.8 million, and deposits in Jenius leaped by 136% to Rp 12.2 trillion by the end of September. The growth both in number of Jenius users and deposits was partly due to the increasing demand from public members for savings products during the pandemic.


Jenius also launched a number of features between January and September to respond to digital-savvy customers’ needs that were born during the pandemic through co-creation. The features are Moneytory, Jenius QR, Multi Flexi Saver, Jenius for Bisnis, and Top Up BNI TapCash.


As part of its efforts to combat COVID-19 in Indonesia, Bank BTPN’s parent company, Sumitomo Mitsui Financial Group (hereinafter referred to as “SMBC Group”), donated Rp 1.3 billion (equal to 10 million yen) to the Indonesian General Physicians Association (PDUI). The association planned to use the donation to assist medical response efforts across Indonesia.


The SMBC Group previously had also donated 100 million yen (equal to Rp 13.17 billion) to UNICEF to assist the organization to expand its response programs in mitigating the COVID-19 pandemic affecting children’s and women’s health and livelihoods throughout the country.

For further information please contact:

PT Bank BTPN Tbk
Andrie Darusman – Daya & Corporate Communications Head
Telp: 021-30026200
Email: andrie.darusman@btpn.com or corporate.communications@btpn.com


Bank BTPN in brief

Bank BTPN is a foreign exchange bank and is a merger between PT Bank Tabungan Pensiunan Nasional Tbk (BTPN) and PT Bank Sumitomo Mitsui Indonesia (SMBCI). Bank BTPN is focusing to serve the mass market segment comprising of retirees, micro-, small- and medium-enterprises (MSME) and mass market; the consuming class segment; and corporate segment. The business focuses are supported by Bank BTPN business units including BTPN Sinaya– a financing business unit, BTPN Purna Bakti– a business unit focusing to serve retirees, BTPN Mitra Usaha Rakyat– a business unit focusing on micro businesses, BTPN Mitra Bisnis– a business unit focusing on serving small and medium enterprises, BTPN Wow!– a financial inclusiveness focusing on the unbanked segment, Jenius– a digital banking platform serving the consuming class segment, and corporate business unit which focuses on serving national, multinational and Japanese companies. BTPN also has a subsidiary namely theBTPN Syariahwhich focuses on serving customers from the mass market. Through the Daya Program, which is a sustainable and measurable empowerment program for the mass market, Bank BTPN regularly gives training and information to improve the customers’ capacity so they can grow and have a chance to live better.