PR Newswire
25 Sep 2023, 23:35 GMT+10
JAKARTA, Indonesia, Sept. 25, 2023 /PRNewswire/ -- In the first half of 2023, PT Bank Rakyat Indonesia (BRI) Persero Tbk. (IDX: BBRI) maintained its strong performance, boasting robust capital and a healthy return on equity (ROE) ratio. During the BRI Media Gathering at BRILian Stadium in South Jakarta on September 12th, 2023, BRI's President Director, Sunarso, emphasized the bank's vital role as a state-owned institution contributing significantly to Indonesia's economic and social values. BRI's ROE for the first half of 2023 stood at 20.01%, complemented by a solid capital adequacy ratio (CAR) of 26.76%.
Sunarso highlighted the need for a precise response to CAR, as it poses a challenge in achieving quality growth through the conversion of high capital into sustainable productivity. "When the capital is exceptionally strong, the usual compensation is a lower ROE due to the sheer size of the capital. However, in our case, both indicators are high. BRI rises to this challenge with its formidable capital base, signifying the bank's robust capital health. This strong capital is leveraged to generate revenue and an impressive return as proven by a 20.01% ROE."
The ROE has grown approximately 2.5% Year-on-Year (YoY) from 17.48%, while the CAR has seen a 1.6% YoY growth from 25.06%. Consequently, Sunarso confidently asserted that BRI is a bank with an exceptional global standing. With strong investor trust and a listed status, it's essential to underscore BRI's dedication to maintaining this performance." Our commitment lies in leveraging BRI's substantial capital effectively. Hence, it's imperative to demonstrate BRI's capability for growth," he remarked.
Furthermore, BRI has been able to maintain the quality of Non-Performing Loan (NPL) rate at 2.95%. Controlled and well-managed NPLs contribute to the bank's robust balance sheet, resulting in profitability. In the first six months of 2023, BRI's net profit reached IDR 29.6 trillion, representing an 18.8% YoY growth.
"Our liquidity is well-managed, with a Loan to Deposit Ratio (LDR) at 87%. Although our liquidity is secure, there is still room for optimization. The optimal LDR range is between 90% to 92% and therefore we still need to drive it further until it reaches the optimal level of around 90. There are no liquidity issues, and our focus lies on sustaining growth and preserving growth quality," said Sunarso.
Get a daily dose of Asia Bulletin news through our daily email, its complimentary and keeps you fully up to date with world and business news as well.
Publish news of your business, community or sports group, personnel appointments, major event and more by submitting a news release to Asia Bulletin.
More InformationWASHINGTON, DC - Within hours of blocking a UN Security Council resolution from demanding a ceasefire in the current Mideast ...
WASHINGTON D.C.: In a sign of the challenges ahead for his 2024 re-election bid, a new Reuters/Ipsos poll showed that ...
Israel has acknowledged and thanked the United States and President Joe Biden for standing firmly by Israel's side at the ...
NEW YORK: This week, New York City officials said that one person was killed and six others were injured when ...
NEW YORK, New York - The United Kingdom refrained from supporting demands for a ceasefire in the two-months long Israel-Gaza ...
NEW YORK, New York - The U.S. was alone on Friday in a 13-1 vote for a ceasefire in the ...
LOS ANGELES, California: This week, members of the SAG-AFTRA actors union approved a three-year contract with major studios, formally ending ...
LAS VEGAS, Nevada: The U.S. Transportation Department has allocated US$3 billion for a $12 billion Las Vegas to Southern California ...
WASHINGTON D.C.: U.S. gasoline prices could fall below US$3 a gallon for the first time since 2021 and are currently ...
WASHINGTON D.C.: To fix issues that could lead to further bank failures in the U.S., such as the collapse of ...
ARLINGTON, Virginia: This week, Reuters reported that Boeing delivered 46 narrowbody 737s jets in November. The total brings the U.S. ...
NEW YORK, New York - A positive employment report from the U.S. Bureau of Labor Statistics indicating a fall in ...