TLDR Indonesia’s commercial bank loans grew 13.65% in August 2026, reaching Rp9,178 trillion, or about $577.23 billion. Long-term investment loans grew the fastest, rising 25.11% from a year earlier. The OJK ordered banks to freeze about 38,796 accounts suspected of links to illegal online gambling. Net interest margin fell to 4.31% from 4.58% due to higher funding costs. Asset quality held steady, with a gross non-performing loan ratio of 2.11%.
Indonesia’s commercial banks grew their loans by 13.65% in August 2026, according to the country’s Financial Services Authority, known as OJK. Total outstanding loans reached Rp9,178 trillion, or about $577.23 billion.
The figures were shared by Dian Ediana Rae, the OJK’s Chief Executive of Banking Supervision. He spoke at the regulator’s monthly Board of Commissioners press conference on October 5.
The update also covered a new order targeting bank accounts linked to illegal online gambling. Banks have been told to freeze thousands of these accounts.
Investment Loans Drive Credit Growth
Long-term investment loans grew the fastest, rising 25.11% from a year earlier. Working capital loans rose 11.45%, while consumer credit increased 5.07%.
State-owned banks led the increase, with their loans up 16.41% year over year. Among borrowers, the corporate sector grew the most, with its loan portfolio rising 22.18%.
The data showed companies continued to borrow for business expansion, infrastructure and industrial projects. Lending to micro, small and medium enterprises grew at a slower pace of 2.38%.
Digital consumer credit also kept growing. Bank-issued buy now, pay later (BNPL) receivables rose 29.10% year over year to Rp31.41 trillion, or $1.98 billion, across 34 million registered user accounts.
Deposits grew as well. Third-party deposits rose 10.94% year over year to Rp10,413 trillion, or $654.91 billion, with time deposits up 13.10%.
The ratio of liquid assets to non-core deposits