Sector of Mining Dominates the Credit Stagnation of Banks

The chairman of the board of commissioner of financial services authority(FSA) muliaman hadad elaborated that mining sector continues to dominated the ratio of non performing loans(NPL)of the banks. Currently the gross of NPL still in the range of 3.2% and 1.4% net. 

Muliaman also alluded the low growth of credit in this years in the range of 6-7% up to august 2016 while the growth of Rupiah credit tends to be more encouraging than the foreign exchange(forex). Chairman of commissioner of FDA stated this is expected to reflect the promising growth of our domestic economy.

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Though NPL tends to rise continuously, the most important point is how the banks ready to topple the case and its risks. Banks are also preparing for impairment losses to absorb the non performing loans. As for agusust, the capital adequacy of banks is still sufficient.

nt which reaches 23%.

In fact the worrying on the credit sluggish growth is still capable to anticipate. This is on account of capital adequacy set up by banks that are sufficient to correct the NPL. Indeed, the issue of economy growth becomes the main principle to influence the credit growth such as central program of tax amnesty and its contribution to boost the economy and also the global issue such as sluggish world economy trend and how the country face for it. 

For instance, the impact of exports due to slow demand from targeted markets such as china, europe, asia and USA. There is a must to adjust the strategy thus not to stultify the export sector such  as the efficiency program of export.