PT Bank Tabungan Negara (Persero) Tbk, known as BTN, expects its profit growth to decline in the second half of 2026, President Director Nixon L.P. He said the decline would come mainly from net interest income.
“Second-half growth will definitely decline, mainly from net interest income, because cost of funds is rising,” Napitupulu said. Competition for deposits is intensifying as bank liquidity tightens, he said, which is pushing up what BTN pays to keep funds and could squeeze the margin it earns on lending. “If funds remain expensive, we must be willing to say our credit growth will be adjusted,” he added.
Asset quality on track
Napitupulu said BTN’s non-performing loan target of 2.9 percent for the year was reached in September 2026.
BTN is also focused on efficiency and funding cost control, Napitupulu said. Lending under government housing programmes, including Fasilitas Likuiditas Pembiayaan Perumahan, continues with liquidity support prepared by the government.
Reserve requirement relief
Napitupulu welcomed Bank Indonesia’s reduction of the reserve requirement, known as GWM, saying the bank’s Treasury is still calculating the precise impact. He estimated that a 1 percent cut could add up to about 4 trillion rupiah in additional liquidity for BTN.
Under a scenario in which Bank Indonesia cuts the reserve requirement by 2 percent, Napitupulu estimated the additional liquidity to BTN could reach 6 to 8 trillion rupiah. Large institutional deposits are currently drawing interest rates above 8 percent, he said, underscoring the funding pressure the bank faces as it competes for liquidity.
Source: Bank Indonesia · PT Bank Tabungan Negara (Persero) Tbk
