Padang, (Antara Sumbar) - The West Sumatra Provincial Financial Services Authority (OJK) said the development of Rural Banks (BPR) in the region continues to grow despite the fact that in the last few years five banks have been closed.
"Until September 2017 BPR growth in West Sumatra reached 5.1 percent with total assets of Rp1.8 trillion," Deputy Director of OJK Supervision of West Sumatra Bob Hasfian told in Padang, Wednesday.
He said that currently there are 97 BPRs in West Sumatra consisting of 90 conventional banks and seven other categories of sharia.
"The development of these banks will be influenced by economic conditions that exist in an area, if there is a good economy so that it will have an impact on the bank," he said.
He ensures that if the BPR is well managed then its existence will continue to grow.
He conveyed as the authority authorized to supervise routinely conduct examination of all existing BPR in West Sumatra.
On the other side of 97 existing BPRs, third party funds collected up to September 2017 reached Rp1.4 trillion and a non-performing loan ratio of 10.10 percent.
According to him, BPRs whose credit ratios are problematic usually in commodity-producing areas whose prices also fluctuate including rubber, palm oil and others.
"If the commodity price is good then the ratio of non performing loans also decreases, but the needs to be the consideration of BPRs in order to vary the credit receiving by customers," he said.
Previously the Financial Services Authority officially revoked the business license and closed the operation of BPR Lumbung Pitih Nagari Kampung Manggis located at Center of Inpres Lt II Block C No. 33 Padang Panjang West Sumatra on November 29, 2017. (cha)
Editor: Vicha Faradika
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