Corporate demand for financing saw an increase in the first quarter of 2021, mainly to support operational activities. 

The corporate demand for financing for the next three months at a weighted net balance (WNB) of 17.1%. Bank Indonesia survey released today, on Monday(18/1), showed.

The need for corporate financing seen to increase in the first quarter of 2021, notably to support operational activities. For the next three months, the corporate financing needs were at a weighted net balance (WNB) of  17.1%.

Increased financing needs mainly occurred in the manufacturing, construction, and trade sectors. Some of these corporate financing needs are planned to use bank credit, but some companies will use their own funds (retained earnings).

It is indicated that households' additional financing in the next 3 and 6 months is still limited. The household's financing needs, which are still limited, will mainly be submitted to commercial banks, with the type of financing proposed by the majority in the form of Multi-Purpose Loans (KMG).

In terms of banking supply, new credit disbursements will begin to increase in early 2021. In January, the new loan disbursement indicates a WNB of 53.1%, which is higher than the estimated WNB new credit disbursement in December 2020 of 42.8%.

Based on the bank group, the increase is estimated to occur in Islamic Commercial Banks and Commercial Banks, while based on the type of usage, the highest increases are in KMK and KPR.