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Loan, deposit growth to beat forecast this year: Bank Mandiri
State-owned publicly listed Bank Mandiri has noted further improvements in the banking sector, prompting the bank to expect loan and deposit growth to exceed its own latest forecast at 3 and 8 percent, respectively
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Cash flow: Bank Mandiri employees mark packets containing Rp 100,000 (US$7.10) banknotes at the state-owned bank’s cash center in Jakarta on March 20, 2020. (JP/Dhoni Setiawan)
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tate-owned publicly listed Bank Mandiri is expecting credit and deposit growth to exceed its latest forecast following further signs of improvement in the banking sector in line with the country’s economic recovery.
Loan disbursement grew by 3.24 percent year-on-year (yoy) to Rp 5.65 quadrillion (US$391.1 billion) in October, Bank Indonesia (BI) data show. This marks the fastest growth in 18 months.
Third-party funds grew by 9.44 percent to Rp 7.24 quadrillion in October from a year earlier, according to the central bank.
Bank Mandiri chief economist Andry Asmoro said credit and deposit growth was expected to exceed the bank’s forecast for this year at 3 and 8 percent, respectively. Before the Delta wave, the bank forecast a 5 percent credit growth for this year.
“We are expecting loan growth to continue improving in the coming months,” Andry said on Monday.
“The banking industry remains strong, with sufficient capital and liquidity as well as stable asset quality and improving confidence in the domestic economy. Monetary and fiscal policies, as well as banking regulation, will remain accommodative.”
Read also: BI expects rapid loan growth in 2022
