Non-Performing Loans (NPLs) for Shop House Ownership Above 4%

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30/05/2017 05:56 WIB

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Non-Performing Loans (NPL) by Business Line as of March 2017

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Non-Performing Loans (NPL) by Business Line as of March 2017

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Non-Performing Loans (NPLs) for shop houses (Ruko) or office houses (Rukan) show the highest rate compared to other non-business sector loans. Data from the Indonesian Financial Services Authority's (OJK) Indonesian Banking Statistics, as of March 2017, shows an increase to 4.32 percent from 3.42 percent in March 2016. A sluggish domestic economy, coupled with decreased demand for shop house rentals, has led to a decline in people's ability to pay installments and interest on shop house ownership.

NPLs for residential properties in March 2017 also increased to 2.78 percent from 2.59 percent in March 2016. Similarly, NPLs for apartment or flat ownership also rose to 2.36 percent from 1.58 percent in March 2016.

Meanwhile, NPLs for motor vehicle ownership, household appliances (including multi-purpose loans), and other non-business sector loans actually decreased. Decreased consumer purchasing power has led consumers to postpone their plans to purchase new vehicles and household appliances.

"Disclosure: This is an AI-generated translation of the original article. We strive for accuracy, but please note that automated translations may contain errors or slight inconsistencies."

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Non-Performing Loans (NPLs) for Shop House Ownership Above 4%

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NPL Ratio in Indonesian Regional Banks Increased in the First Half of 2025

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Non-Performing Loans (NPLs) for Shop House Ownership Above 4%

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NPL Ratio in Indonesian Regional Banks Increased in the First Half of 2025

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Indonesian Province with the Highest NPL Ratio for P2P Lending in May 2025

Indonesian MSMEs' Non-Performing Loans Q2 2025 Exceeded Last Year's Level

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