JAKARTA (Yosefardi) – Indonesian banking sector disbursed loan of Rp3,244.7 trillion in November 2013, grew by 21.9% compared to November 2012, but lower than 22.1% growth in October 2013.
The slowing down of credit growth occured on processing sector and trade, hotel, & restaurant sector. This 2 sectors covered 53% of total loan in November 2013.
The growth of credit for consumers declined to 15.4%, from 16.7% in October 2013. While credit for working capital and investment posted a flat growth.
Some 16 banks have raised their loan interests as a response to increasing cost of funds. This would boost the non performing loan (NPL).