Economic growth has begun to encourage many corporate companies to realize large projects by the end of this year. This is also an opportunity for banks to increase financing, especially in syndication.
PT Bank Negara Indonesia (Persero) Tbk. (BNI) continues to encourage syndicated financing in the midst of the Covid-19 pandemic in line with capital adequacy, liquidity and the large potential for high-quality corporate financing.
The Corporate Secretary of BNI, Mucharom conveyed Indonesia's economic growth which is projected in the range of 3.7% to 4.5% will be the capital of optimism for the recovery of the national economy and expectations of economic players in 2021.
This condition is expected to have an impact on the performance of the banking industry. Where, the growth of banking third party funds is still relatively high in the midst of the pandemic, and on the credit side, positive growth has begun since mid-2021. This includes, among others, growth in syndicated loans which can be lifted in line with optimism for improving the performance of private corporate business players.
“We are quite confident with the Company's capacity and skills in creating new opportunities for syndicated credit cooperation in the future. This is in line with our business strategy which focuses on lending to Top Tier corporate debtors. Green projects or green loans also continue to show the need for large ticket size and quality financing so that they become the driving force behind BNI's syndicated loan performance," he said.
Meanwhile, until the third quarter of 2021, BNI syndicated financing is still running according to the pipeline. BNI has completed several strategic syndication agreements including financing for the Cijago Toll Road (Cinere – Jagorawi Toll Road).
So far, BNI has closed a number of new deals with a total equivalent of around Rp. 57 trillion, of which BNI's own portion reached Rp. 20 trillion or around 35%, which was dominated by the construction sector at 38.5%, the industrial sector 22.1%, and the electricity gas and water sector 15.8% and the transportation, warehousing and communications sector 13.2%.
Next year, BNI hopes that credit growth will be in line with targets in the banking industry. Syndicated financing will also be one of the drivers of achieving targets during a better economic recovery period next year.
Mucharom said that the company's syndicated loan distribution was not limited to financing. BNI often acts as the Lead Arranger, thus encouraging the scoring of significant fee-based income (FBI), where by the fourth quarter of 2021 it is estimated that 112% of the target will be achieved.
BNI is also proactive in continuing it with various additional collaborations such as cash management and consumer financing with syndicated credit debtor partners.
"We also see the potential for financing business in sectors that show rapid recovery after the Covid-19 pandemic, including health, telecommunications, construction, infrastructure, energy and manufacturing," he added.