BRI Credit Hits Rp 1,306.5 Trillion as Growth Holds Despite Provisioning Pressure

JAKARTA, Investortrust.id — PT Bank Rakyat Indonesia Tbk or BBRI posts credit of Rp 1,306.5 trillion on Friday, Dec 26, 2025 in Jakarta as lending growth stays within its annual target despite elevated provisioning costs, supporting its focus on MSME financing while navigating tighter margins.

The bank recorded bank-only net profit of Rp 4.4 trillion in November 2025, up 3 percent year on year but down 1 percent month on month.

Cumulatively, bank-only net profit for the first 11 months of 2025 reached Rp 45.4 trillion, down 9 percent year on year and equivalent to 81 percent of the full-year estimate, reflecting heavy provisioning.

Performance in October and November showed improving net interest income as funding costs eased, although the gains were offset by higher operating expenses and still-elevated credit provisions.

Net interest income returned to positive growth of 3 percent year on year by November 2025, compared with a slight 1 percent contraction in September.

The improvement was driven by lower funding costs amid better liquidity conditions, as time deposits declined 6 percent year on year following a liquidity injection earlier in the year.

As a result, interest expenses fell 13 percent year on year over the past two months, providing relief to margins.

Credit growth accelerated to 7.16 percent year on year by November 2025, bringing total loans to Rp 1,306.53 trillion and back into management’s full-year target range of 7 to 9 percent for the first time this year.

Provisioning expenses reached Rp 4.3 trillion in November, up 10 percent year on year and 37 percent month on month, keeping the cost of credit elevated.

On average, cost of credit over the past two months stood at 3.5 percent, higher than the 3.3 percent recorded over the first nine months of 2025.

Management has projected consolidated cost of credit to end 2025 slightly above the guidance range of 3.2 to 3.3 percent, reflecting uneven recovery across loan segments.

Operating expenses rose 7 percent year on year in November, compared with 1 percent growth over the first nine months of the year.

Analysts cited by Stockbit said BBRI’s liquidity and funding cost trends broadly mirrored other state-owned lenders such as PT Bank Mandiri Tbk and PT Bank Negara Indonesia Tbk, though differences in loan portfolios explained diverging provisioning trends.

BBRI’s heavier exposure to MSME lending, compared with the more corporate-focused portfolios of its peers, has contributed to persistently higher provisioning needs amid uneven segment recovery.