In 2021, Bank DKI Profits Grow 25.27%

Published: March 09, 2022

In the midst of economic conditions that have not yet fully recovered, in 2021 Bank DKI was able to record positive performance growth. As of December 2021, Bank DKI was able to record a net profit of IDR 727.36 billion, growing 25.27% from the profit as of December 2020 of IDR 580.64 billion. This net profit was driven by an increase in Operating Income Before Provisions (PPOP) which grew 45.9 percent yoy to reach IDR 1.3 trillion in 2021. This was stated by the President Director of Bank DKI, Fidri Arnaldy in Jakarta, (10/03).

Fidri said, along with the increase in credit and profit growth, Bank DKI's total assets reached IDR 70.74 trillion as of December 2021. When compared with the position of Bank DKI's total assets at the end of 2020 which reached IDR 63.05 trillion, total assets increased by 12.21% from IDR 63.05 trillion, better than the growth in national banking assets of 10.18%.

Fidri added, in 2021 Bank DKI has started a series of Transformation 5.0 programs consisting of 4 (four) main pillars, namely: (1) DKI Provincial Government Business & Support which is divided into Lending, Funding and Ecosystem; (2) Digital & Operations; (3) Human Capital, Organization & Culture; and (4) Governance, Risk Management & Compliance. Apart from that, Bank DKI has also started implementing an ecosystem business strategy in collaboration with DKI Jakarta BUMDs and their derivatives. "The business potential in DKI Jakarta is very large, we hope that by implementing a digital ecosystem strategy, especially with DKI Jakarta BUMDs and corporate customers as well as market communities and schools, we will be able to improve Bank DKI's future business," said Fidri.

Meanwhile, Bank DKI Finance Director, Romy Wijayanto added that Third Party Funds in 2021 reached IDR 57.71 trillion, growing 17.96% from IDR 48.92 trillion as of December 2020, thereby increasing Bank DKI's total assets. This DPK growth is above the average DPK growth for the banking industry in 2021 of 12.21%. The growth in deposits is accompanied by improvements in the structure of funds owned so that the Current Account Saving Account (CASA) ratio can increase significantly from IDR 45.49% to 51.37% in 2021. This linearly influences the improvement in the efficiency level of cost of funds or Cost of Funds from 4.39% in 2020 to 2.96% in 2021.

Romy further said that the growth in deposits was mainly supported by demand deposit growth of 58.92% from IDR 11.17 trillion in 2020 to IDR 17.76 trillion in 2021, and savings which increased 7.29% from IDR 11.07 trillion in 2020 to IDR 11.88 trillion in 2021. Deposits increased 5.22% from IDR 26.67 trillion in 2021. 2020 to IDR 28.06 trillion in 2021.

Credit and financing distribution in 2021 reached IDR 38.70 trillion, growing 8.52% from 2020 which was recorded at IDR 35.67 trillion. The achievement of credit and financing growth is above the banking industry credit growth in 2021 of 5.24%. Romy further said, "This growth was driven by the growth of micro credit which grew 31.75% from previously recorded at IDR 1.47 trillion as of December 2020 to IDR 1.93 trillion as of December 2021. This is in line with Bank DKI's efforts to encourage credit distribution to the MSME sector, including Credit and Financing Syndication to PT Permodalan Nasional Madani amounting to IDR 4 trillion.

Apart from MSMEs. Credit distribution to the consumer segment also experienced growth of 10.97% from IDR 13.72 trillion as of December 2020 to IDR 15.23 trillion as of December 2021. Commercial credit also grew 4.60% from IDR 14.48 trillion as of December 2020 to IDR 15.15 trillion as of December 2021, and sharia financing grew 6.9% from IDR 5.95 trillion as of December. 2020 to IDR 6.37 trillion as of December 2021.

Credit and financing distribution is carried out while still observing the principle of prudence, characterized by well-maintained asset quality which is reflected in the realization of the Gross NPL and Net NPL ratios which are maintained at the level of 3.02% and 0.38% respectively. Bank DKI consistently continues to increase the Allowance for Impairment Losses (CKPN) which is reflected in the coverage ratio in 2021 to 150.62%, an increase of 24.12% from the previous 126.50% as of December 2020.

Bank DKI's financial ratios are generally maintained within adequate limits, marked by the Capital Adequacy Ratio (CAR) which was recorded at 27.85% while the loan to deposit ratio (LDR) was at the level of 67.07%. The ratio of operating expenses to operating income (BOPO) as of December 2021 was recorded at 79.33%, an improvement from 2020 of 81.99%. The Net Interest Margin (NIM) ratio at the end of 2021 was recorded at 5.19%.

As part of a series of transformation programs, Bank DKI also continues to develop its digital banking products and services. One of the products currently being developed is JakOne Mobile, which currently has 1.51 million users with a transaction volume reaching 18.38 million transactions per year with a transaction value reaching IDR 15.48 trillion. "To meet the various needs of increasingly demanding customers, Bank DKI has also prepared a number of e-channel services through JakOne Community Apps consisting of JakOne Mobile, JakOne Erte, JakOne Artri, Ancol Apps, and JakOne Abank as an effort by Bank DKI to encourage the digital ecosystem in DKI Jakarta," concluded Romy.