Indonesia Banking Industry Report - H1, 2012
Consistent with Indonesia’s robust economic growth, the domestic banking industry continued to post significant gains in 2011. Total assets of banks in Indonesia stood at IDR 3,653tn as of December 2011, an increase of 21.4% year on year, while the asset quality remained strong over the same period. Total lending reached IDR 2,200tn in 2011, up 24.6% year on year. The increase occurred across all segments, both for working capital and consumption loans for both business and consumer lending.
On the funding side, total third party funds grew 19.1% year on year to IDR 2,785 in 2011, with increases in funding across all types of third party funds (savings, time and demand deposits). Faster paced growth in lending compared to that of funding resulted in a higher loan-to-deposit ratio (LDR) in 2011.
The overall performance of the Indonesian banking system improved in 2011, with banks achieving higher net interest margin (NIM) of 5.9% and industry’s profits rising to IDR 75tn. The banking industry’s capital also remained at a healthy level at 16.1% due to strong sector profitability.
The five leading banks in Indonesia recorded strong financial performance in 2011, thanks to favourable economic environment. Total loans were up with strong growth across all customer segments, while net income increased due to strong growth in lending and transaction accounts.
Key Points:
On the funding side, total third party funds grew 19.1% year on year to IDR 2,785 in 2011, with increases in funding across all types of third party funds (savings, time and demand deposits). Faster paced growth in lending compared to that of funding resulted in a higher loan-to-deposit ratio (LDR) in 2011.
The overall performance of the Indonesian banking system improved in 2011, with banks achieving higher net interest margin (NIM) of 5.9% and industry’s profits rising to IDR 75tn. The banking industry’s capital also remained at a healthy level at 16.1% due to strong sector profitability.
The five leading banks in Indonesia recorded strong financial performance in 2011, thanks to favourable economic environment. Total loans were up with strong growth across all customer segments, while net income increased due to strong growth in lending and transaction accounts.
Key Points:
- Total third party funds increased across all types in 2011, with saving deposits recording the highest growth rate of 22.5% year on year, followed by demand deposits (21.8%) and time deposits (15.3%).
- The industry’s net profits reached IDR 75tn in 2011, up 31.6% from IDR 57tn in 2010 with strong growth in NIM and loan portfolio.
1. INDUSTRY PROFILE
1.1 Sector Overview
1.1.1. Asia-Pacific
1.1.2. Indonesia
1.2 Sector Size and Value
1.2.1. Total Assets
1.2.2. Total Deposits and Credits
1.2.3. Interest Rates
1.3 Sector Performance
1.3.1. Banking Profit and Loss
1.3.2. Capital Adequacy Ratio (CAR)
1.3.3. Non-Performing Loans (NPL)
2. MARKET TRENDS AND OUTLOOK
2.1 Economic Indicators
2.2 Micro Small Medium Enterprise (MSME) Financing
2.3 Islamic Banking
2.4 Rural Banks
3. LEADING PLAYERS AND COMPARATIVE MATRIX
3.1 Leading Players
3.1.1. Bank Mandiri (BMRI)
3.1.2. Bank Rakyat Indonesia (BBRI)
3.1.3. Bank Central Asia (BBCA)
3.1.4. Bank Negara Indonesia (BBNI)
3.1.5. Bank Danamon Indonesia (BDMN)
3.2 Comparative Matrix
3.3 SWOT Analysis
4. TABLES AND CHARTS
Table 1: Number of Banks and Bank Branches
Table 2: Indonesia Banking Indicators
Table 3: Deposit Interest Rates of Commercial Banks (%)
Table 4: Credit Interest Rates of Commercial Banks based on Type of Use (%)
Table 5: Commercial Banks Performance
Table 6: Indonesia Key Economic Indicators
Table 7: MSME’s Credit based on Economic Sector
Table 8: Sharia Bank Office Network
Table 9: Growth of Sharia Bank Assets
Table 10: Composition of Third Party Funds of Sharia Banks
Table 11: Financing of Sharia Banks
Table 12: BMRI Operational Highlights
Table 13: BMRI Financial Highlights
Table 14: BBRI Financial Highlights
Table 15: BBCA Operational Highlights
Table 16: BBCA Financial Highlights
Table 17: BBNI Operational Highlights
Table 18: BBNI Financial Highlights
Table 19: BDMN Financial Highlights
Table 20: Key Financial Ratios of Leading Players
Chart 1: Growth of Commercial Banks Assets
Chart 2: Commercial Bank Assets based on Group Bank
Chart 3: Composition of Commercial Bank Deposits
Chart 4: Credit of Commercial Banks based on Economic Sector
Chart 5: Credit of Commercial Banks based on Type of Use
Chart 6: Growth of Total Bank Deposits and Credits
Chart 7: Earning Assets of Commercial Banks
Chart 8: Capital Adequacy Ratio (CAR)
Chart 9: Non-Performing Loans (NPL)
Chart 10: Non-Performing Loans by Types of Loans
Chart 11: Share of MSMEs Credit based on Economic Sector
Chart 12: Earning Assets of Sharia Banks
Chart 13: Growth of Total Rural Banks
Chart 14: Rural Banks Performance: Credits and Total Assets
Chart 15: Rural Banks Performance: LDR and NPL
Chart 16: Credit of Rural Banks based on Economic Sector
Chart 17: Composition of Deposit Funds of Rural Banks
Chart 18: BBRI Composition of Loans
Chart 19: BBNI Profile of Third Party Funds in 2011
Chart 20: BDMN Gross Loans by Segment
1.1 Sector Overview
1.1.1. Asia-Pacific
1.1.2. Indonesia
1.2 Sector Size and Value
1.2.1. Total Assets
1.2.2. Total Deposits and Credits
1.2.3. Interest Rates
1.3 Sector Performance
1.3.1. Banking Profit and Loss
1.3.2. Capital Adequacy Ratio (CAR)
1.3.3. Non-Performing Loans (NPL)
2. MARKET TRENDS AND OUTLOOK
2.1 Economic Indicators
2.2 Micro Small Medium Enterprise (MSME) Financing
2.3 Islamic Banking
2.4 Rural Banks
3. LEADING PLAYERS AND COMPARATIVE MATRIX
3.1 Leading Players
3.1.1. Bank Mandiri (BMRI)
3.1.2. Bank Rakyat Indonesia (BBRI)
3.1.3. Bank Central Asia (BBCA)
3.1.4. Bank Negara Indonesia (BBNI)
3.1.5. Bank Danamon Indonesia (BDMN)
3.2 Comparative Matrix
3.3 SWOT Analysis
4. TABLES AND CHARTS
Table 1: Number of Banks and Bank Branches
Table 2: Indonesia Banking Indicators
Table 3: Deposit Interest Rates of Commercial Banks (%)
Table 4: Credit Interest Rates of Commercial Banks based on Type of Use (%)
Table 5: Commercial Banks Performance
Table 6: Indonesia Key Economic Indicators
Table 7: MSME’s Credit based on Economic Sector
Table 8: Sharia Bank Office Network
Table 9: Growth of Sharia Bank Assets
Table 10: Composition of Third Party Funds of Sharia Banks
Table 11: Financing of Sharia Banks
Table 12: BMRI Operational Highlights
Table 13: BMRI Financial Highlights
Table 14: BBRI Financial Highlights
Table 15: BBCA Operational Highlights
Table 16: BBCA Financial Highlights
Table 17: BBNI Operational Highlights
Table 18: BBNI Financial Highlights
Table 19: BDMN Financial Highlights
Table 20: Key Financial Ratios of Leading Players
Chart 1: Growth of Commercial Banks Assets
Chart 2: Commercial Bank Assets based on Group Bank
Chart 3: Composition of Commercial Bank Deposits
Chart 4: Credit of Commercial Banks based on Economic Sector
Chart 5: Credit of Commercial Banks based on Type of Use
Chart 6: Growth of Total Bank Deposits and Credits
Chart 7: Earning Assets of Commercial Banks
Chart 8: Capital Adequacy Ratio (CAR)
Chart 9: Non-Performing Loans (NPL)
Chart 10: Non-Performing Loans by Types of Loans
Chart 11: Share of MSMEs Credit based on Economic Sector
Chart 12: Earning Assets of Sharia Banks
Chart 13: Growth of Total Rural Banks
Chart 14: Rural Banks Performance: Credits and Total Assets
Chart 15: Rural Banks Performance: LDR and NPL
Chart 16: Credit of Rural Banks based on Economic Sector
Chart 17: Composition of Deposit Funds of Rural Banks
Chart 18: BBRI Composition of Loans
Chart 19: BBNI Profile of Third Party Funds in 2011
Chart 20: BDMN Gross Loans by Segment
