IDR 2.3 Quadrillion in Bank Loans Remain Undisbursed Until the First Half of 2025

According to a report by the Financial Services Authority (OJK), as of the end of the first half of 2025, Indonesian banks still had approximately Rp2,300 trillion (Rp2.3 quadrillion) in undisbursed loans.

Undisbursed loans are credit facilities that have been provided and approved by commercial banks but have not yet been drawn down or disbursed by customers, and are therefore often referred to as "idle credit."

The amount of undisbursed bank credit in mid-2025 increased compared to the previous year, as shown in the graph.

Amidst the rising trend of "idle credit," in September 2025, Indonesian Finance Minister Purbaya Yudhi Sadewa transferred Rp200 trillion in government funds from Bank Indonesia (BI) to a group of state-owned banks (Himbara).

The Himbara banks that received these funds were Bank Mandiri, Bank Tabungan Negara (BTN), Bank Negara Indonesia (BNI), Bank Rakyat Indonesia (BRI), and Bank Syariah Indonesia (BSI).

According to Minister Purbaya, this policy aims to increase liquidity or the availability of cash in banks.

With increased liquidity, banks are expected to increase credit disbursement to the real sector, thereby accelerating economic growth.

"The goal is for banks to have a lot of money, a sudden influx of cash, and they can't put it anywhere else except lending it out. So, we're forcing the market mechanism to work," said Minister Purbaya, as reported by Antara on Wednesday (10/9/2025).