The Bank Indonesia Banking Survey indicates that new loan disbursement will increase in the second quarter of 2021.

"This indication is reflected by the new loan disbursement WNB (Weighted Net Balance) amounting to 93.3%, an increase from 30.4% in the first quarter of 2021. The loan disbursements' increase will be driven by consumption credit, followed by working capital credit and investment credit," said BI Executive Director Herwin Haryono through official publication on Wednesday (21/4).

Credit extension standards in the second quarter of 2021 are projected to be less stringent than in the previous period.

This is indicated by the Lending Standard Index (LSI) of 2.8%, slightly lower than the 4.0% in the previous quarter.

Aspects of disbursement policies that are predicted to be less stringent than in the preceding quarter include risky credit premiums, collateral, and administrative requirements.

The survey results