UPDATE 1-Two top Indonesian banks post jump in net profit

Fri Oct 30, 2009 11:58am GMT
 
Email | Print | | Single Page
[-] Text [+]

* Bank Rakyat Indonesia posts 25.6 pct rise in Q3 net profit

* Bank Rakyat eyes sub-debt issue to help finance purchase

* Bank Central Asia posts 14 percent rise in Q3 net profit

By Tyagita Silka and Andreas Ismar

JAKARTA, Oct 30 (Reuters) - Two top Indonesian lenders, Bank Rakyat Indonesia and Bank Central Asia, reported stronger third-quarter net profit, boosted by low interest rates and resilient domestic demand in Southeast Asia's biggest economy.

Indonesia's central bank has slashed interest rates by a total of 300 basis points to a record low of 6.5 percent since December last year. The central bank is expected to keep rates steady for the third month in a row when it meets on Wednesday.

Bank Central Asia (BCA) (BBCA.JK), Indonesia's second-biggest lender, recorded a 14 percent profit rise in third-quarter net profit to 1.79 trillion rupiah ($187.6 million).

According to Reuters calculations, Indonesia's third-biggest lender, Bank Rakyat Indonesia (BRI) (BBRI.JK), also posted a net profit of 1.79 trillion rupiah in the third quarter, a 26 percent rise from year ago.

BRI President Director Sofyan Basir said that its profit was boosted by a 27 percent rise in loans in September from a year ago, outperforming average loan growth in the banking sector.   Continued...

 

Most Popular General News on Reuters UK

  • Articles
  • Videos