In a virtual press conference convened on Monday, April 22, 2024, Jahja Setiaatmadja, the President Director of PT Bank Central Asia Tbk (BCA), unveiled the bank’s impressive financial results for the first quarter of 2024. BCA proudly announced a substantial net profit of Rp 12.9 trillion, reflecting a robust 11.7% year-on-year growth.
Setiaatmadja attributed this remarkable profit surge to BCA’s strategic focus on enhancing loan quality, a concerted effort mirrored by the gradual normalization of the restructured credit portfolio towards regular repayment schedules. Noteworthy was the noteworthy reduction in BCA’s loan at risk (LAR) ratio, which declined to 6.6% in Q1 2024 from 9.8% in the corresponding period last year.
“Maintaining robust loan quality remains a cornerstone of our operational strategy. Our non-performing loan (NPL) ratio stands resilient at 1.9%, underscoring our commitment to prudent risk management. Additionally, our NPL and LAR provisioning ratios stand strong at 220.3% and 71.9%, respectively,” Setiaatmadja emphasized.
Exceeding Industry Standards: BCA’s Total Credit Surpasses Rp 835.7 Trillion in Q1 2024
BCA continued to outpace industry norms in credit expansion, reporting a formidable growth rate of 17.1% year-on-year in the first quarter of 2024, with total credit reaching an impressive Rp 835.7 trillion. This notable achievement underscores BCA’s unwavering commitment to driving economic growth and fostering financial inclusion across Indonesia.
Setiaatmadja elaborated on the drivers behind this exceptional growth trajectory, highlighting BCA’s proactive measures to expand financing channels, maintain stringent loan quality standards, and diversify transaction volumes and funding sources. Notably, corporate lending surged by 22.1% year-on-year, while commercial loans witnessed a commendable growth rate of 9.3% year-on-year. Moreover, BCA’s SME lending portfolio exhibited robust growth trends, surpassing industry averages from the previous year.
“In March 2024, BCA’s SME lending expanded by 13.5% year-on-year, reaching Rp 110.4 trillion, while consumer loans recorded a significant uptick of 14.9% year-on-year, amounting to Rp 201.6 trillion,” Setiaatmadja remarked.
Consumer lending was buoyed by BCA’s mortgage and motor vehicle loans, which grew by 11.0% and 22.2% year-on-year, respectively. Furthermore, other consumer loans, predominantly comprising credit cards, witnessed a notable surge of 22.6% year-on-year, reaching Rp 17.1 trillion.
Advancing Sustainable Financing: BCA Allocates Rp 197.4 Trillion to Sustainable Sectors in March 2024
BCA’s steadfast commitment to sustainable development was underscored by its increased financing to sustainable sectors, which grew by 9.1% year-on-year in March 2024, totaling Rp 197.4 trillion, equivalent to 23.5% of the total financing portfolio. Setiaatmadja reaffirmed BCA’s pledge to support environmentally conscious businesses by offering preferential interest rates for commercial and SME borrowers engaged in Environmentally Sustainable Business Activities.
