2016, Banking Sector Growth Returns to Single Digits

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28/11/2016 17:41 WIB

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Banking DPK and its Growth Period 2001-2016

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Banking DPK and its Growth Period 2001-2016

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The slowdown in the domestic economy and weak export demand mean that national banking third-party funds (DPK) are projected to grow only in the single digits until the end of 2016. This is because, until September 2016, bank DPK grew only by 4.34 percent to Rp 4,604.58 trillion compared to the end of 2015, which was Rp 4,413.1 trillion.

Previously, domestic banking DPK had consistently grown in double digits from 2005 to 2014. The peak was in 2010, when the collection of public funds in banks grew by 19.9 percent.

The global financial crisis, stemming from the fall in global crude oil prices and impacting the domestic economy, caused national banking DPK to grow only in the single digits starting in 2015. The sluggish economy resulted in public funds deposited in banks growing only by 7.26 percent.

"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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