Private banks and regional banks are still increasing their profits amid the economic recovery period in 2021.

Governor of Bank Indonesia (BI) Perry Warjiyo said that banks, in general, had lowered their profit margins by 21 basis points earlier this year. State-owned banks and foreign banks have decreased their profit margins by 84 basis points and 34 basis points.

"For national private commercial banks and regional banks, they still receive an increase in profit margins of 48% and 2% respectively on an annual basis," BI Governor Perry Warjiyo said at a press conference on the results of the BI Monetary Policy Meeting, Tuesday (20/4).

Meanwhile, the decline in lending rates reached 171 basis points as of February 2021. The deepest decline occurred in state-owned banks, reaching 266 basis points to 8.7%.

Based on the segment, the deepest decline occurred in microcredit, which reached 346 basis points. However, the position of the loa