What is the outlook for Indonesia banks?
In Indonesia, the projected Net Interest Income in the Banking market for 2024 is estimated to reach US$46.78bn. Traditional Banks are expected to dominate the market with a projected market volume of US$43.22bn by 2024.
Looking ahead, Indonesia's banking industry is poised to expand at a CAGR of 7.8%, reaching an impressive $1009.3 bn by 2027. “We expect sustained profitability at Indonesia's major banks in 2024 and 2025, driven by lower credit costs.
Based on this list, DBS Bank is the best international bank in Indonesia. The bank has up to 30 thousand employees and originated from one of Indonesia's neighbors, Singapore.
The decision to hold the BI Rate at 6,00% remains consistent with the pro-stability focus of monetary policy, namely to strengthen rupiah stabilisation policy, and as a pre-emptive and forward-looking measure to maintain inflation within the 2.5%±1% target corridor in 2024.
The top 5 banks in Indonesia aggregated their net profits from USD 2.68 billion in Q3 2022 to USD 3 billion in Q3 2023. The top 3 – Bank Mandiri, BRI and BCA reported combined net profits of USD 2.57 billion (86% of overall net profits) in Q3 2023.
In 2024, we anticipate USD/IDR to remain within the 14500 to 16000 range established in mid-2022. This expectation is in line with Bank Indonesia's projection of an average rate of 15510 for USD/IDR in 2024.
In Indonesia, the projected Net Interest Income in the Banking market for 2024 is estimated to reach US$46.78bn. Traditional Banks are expected to dominate the market with a projected market volume of US$43.22bn by 2024.
Dengan Tema "Maintaining Optimism Amid Uncertainty", CNBC Indonesia Awards 2023 dengan bangga memberikan penghargaan kepada Bank Rakyat Indonesia (BRI) sebagai Most Profitable Bank with Best GCG.
As of the third quarter of 2023, Bank Mandiri was the largest bank in Indonesia in terms of assets.
| Global Top 100 | ||
|---|---|---|
| Rank | Name | Domicile |
| 1 | KfW | GERMANY |
| 2 | Zuercher Kantonalbank | SWITZERLAND |
| 3 | BNG Bank | NETHERLANDS |
Does Indonesia have a good economy?
The economy of Indonesia is a mixed economy with dirigiste characteristics, and it is one of the emerging market economies in the world and the largest in Southeast Asia. As an upper-middle income country and member of the G20, Indonesia is classified as a newly industrialized country.
Today, Indonesia is the world's fourth most populous nation and 10th largest economy in terms of purchasing power parity. Further, Indonesia has made enormous gains in poverty reduction, cutting the poverty rate by more than half since 1999, to under 10 percent in 2019 before the COVID-19 pandemic hit.
JAKARTA, INDONESIA (27 September 2023) — Indonesia's economy is expected to grow by 5.0% in 2023 as domestic demand takes over from commodity exports as the driver of growth, according to the Asian Development Outlook (ADO) September 2023.
- Bank Central Asia (BCA) SWIFT/BIC code: CENAIDJA. ...
- Bank Mandiri. ...
- Bank Negara Indonesia (BNI) ...
- PermataBank. ...
- Required documents. ...
- Multi-currency bank account with low fees. ...
- Receive Indonesian Rupiah (IDR) ...
- How can you open a bank account at Wise?
PT Bank Mandiri Tbk, with 13.65 % share of total banking assets, took the top spot in the list, followed by PT Bank Rakyat Indonesia Tbk in second position and PT Bank Central Asia Tbk in third position.
| Rank | Company | Assets |
|---|---|---|
| 1 | PT. Bank Rakyat Indonesia | Rp 825.41 trillion |
| 3 | PT. Bank Central Asia | Rp 605.75 trillion |
| 4 | PT. Bank Negara Indonesia | Rp 479.06 trillion |
| 5 | Bank CIMB Niaga | Rp 229.75 trillion |
About 80% of Indonesia's 275 million population are unbanked and underbanked. 1 Yet, smartphone penetration in Indonesia is relatively high at 80% of the population.
The rupiah and the Jakarta Stock Exchange touched a historic low in September. Moody's eventually downgraded Indonesia's long-term debt to "junk bond". Although the rupiah crisis began in July and August 1997, it intensified in November when the effects of that summer devaluation showed up on corporate balance sheets.
Meanwhile, he added, Indonesia's Gross Domestic Product (GDP) will grow from Rp15,400 trillion to Rp24,000 trillion by 2030. “Indonesia's GDP will reach Rp323 trillion or 55 percent bigger than ASEAN's GDP, and the figure will increase to Rp417 trillion by 2030,” he added.
As the 7th largest economy by GDP, Indonesia has been projected to boost itself into 5 largest economies in the world by 2024. The economy is transforming rapidly with the young population and quickly urbanizing, lighting the fire of growth.
Which is the fastest growing economy in 2024?
| Country | Region | GDP Growth 2024 (%) |
|---|---|---|
| 🇲🇴 Macao SAR | Asia Pacific | 27.2 |
| 🇬🇾 Guyana | Americas | 26.6 |
| 🇵🇼 Palau | Asia Pacific | 12.4 |
| 🇳🇪 Niger | Sub-Saharan Africa | 11.1 |
Projections indicate that Bali's economy will experience growth ranging between 5.50% and 6.30% in 2024. Contingent upon the absence of major global disruptions. This anticipated growth is underpinned by advancements in sectors like tourism, trade, construction, and agriculture.
Bank Central Asia
In 2022, Indonesia's largest private bank was one of the nation's best-performing wealth managers. Bank Central Asia recorded a 24.8% jump in net profit, year on year, amid robust gains in net interest income and a sizable drop in provisioning thanks to improving loan and asset quality.
JP Morgan Private Bank
“J.P. Morgan Private Bank is the more elite program serving ultra-high-net-worth individuals,” Naghibi said. “It offers comprehensive services in savings, checking and retirement account management.
Indonesia's banking sector is dominated by state-owned banks and has rebounded pretty well from the doldrums of the Asian Financial Crisis. The three largest state-owned banks in the country are Bank Mandiri, Bank Rakyat Indonesia and Bank Negara Indonesia.
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