JAKARTA – PT Bank Tabungan Negara (Persero) Tbk (BBTN) recorded moderate loan growth for 2024, increasing by only 7.3% year-on-year (yoy) to IDR 357.97 trillion. In comparison, BBTN achieved a loan growth of 9.1% yoy in 2023.

According to BBTN's Analyst Meeting materials, home ownership loans (KPR) remained the most dominant segment, comprising 78.2% of total loans. This segment also grew the fastest, rising by 8.5% yoy to IDR 279.8 trillion.

However, the overall slowdown in loan growth caused BBTN to miss out on net interest income growth, which dropped by 14.1% yoy to IDR 11.73 trillion.

This decline was due to a significant rise in BBTN's interest expenses, which surged by 21.9% yoy to IDR 17.85 trillion, while gross interest income grew by only 4.5% yoy to IDR 29.55 trillion by the end of December 2024.

Operating expenses also increased by 12.1% yoy, leading to a 28.7% yoy correction in Pre-Provision Operating Profit (PPOP), which fell to IDR 5.90 trillion.

As a result, BBTN's net profit plunged by 14.1% yoy at the end of 2024, from IDR 3.5 trillion to only IDR 3 trillion.

Nevertheless, BBTN's total assets still grew by 7% yoy to IDR 469.6 trillion by the end of 2024, with customer deposits rising by 9.1% yoy to IDR 381.7 trillion.

Current account saving account (CASA) grew by 9.8% yoy to IDR 206.4 trillion, while time deposits increased by 8.3% yoy to IDR 175.3 trillion. On the other hand, BBTN's cost of funds in 2024 slightly increased from 3.7% to 4.1%. (ZH)