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Jakarta, August 15, 2026 – CIMB Niaga, Indonesia’s second-largest private lender, reported a net profit of IDR3.19 trillion in the second quarter of 2026, a 4.9 percent decline from the same period last year.
The dip highlights the impact of higher provisions, even as the bank maintained resilient growth in loans and deposits.
Pre tax income fell 3.9 percent year-on-year to IDR4.05 trillion, reflecting the weight of regulatory driven provisioning for multifinance companies.
Yet, CIMB Niaga’s consolidated loans expanded 6.6 percent to IDR247.2 trillion, while current account and savings account (CASA) deposits rose 6.9 percent to IDR193.1 trillion.
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These figures underscore the bank’s ability to sustain growth in its core lending and deposit franchise despite tighter conditions.
Revenue climbed 6.8 percent compared with the same quarter last year, supported by stronger non-interest income.
Net interest income, however, remained flat at IDR5.90 trillion, slightly below the IDR5.91 trillion recorded in the second quarter of 2025.
Operating income slipped to IDR4.02 trillion, down from IDR4.18 trillion, as tighter margins weighed on performance.
President Director Lani Darmawan described the quarter as a demonstration of “steady performance,” pointing to the resilience of loan and CASA growth.
She emphasized that the bank’s improved asset quality, reflected in a lower gross non performing loan (NPL) ratio of 1.83 percent, signals disciplined risk management despite macroeconomic headwinds.
The broader Indonesian banking sector has been grappling with margin pressures as interest income moderates.
Regulators have also tightened provisioning requirements for multifinance companies, adding to the burden on lenders.
CIMB Niaga’s results mirror these industry wide dynamics, where profitability is being squeezed by higher credit costs even as loan demand remains robust.
For investors, the bank’s improved NPL ratio offers reassurance on asset quality, but the earnings trajectory may remain capped if provisioning continues to rise.
Analysts note that while CIMB Niaga’s topline growth is supported by expanding retail and corporate lending, the bottom line will depend on how effectively the bank manages credit costs in the coming quarters.
Looking ahead, CIMB Niaga is expected to leverage digital banking initiatives to further strengthen CASA growth, a key competitive advantage in Indonesia’s evolving financial landscape.
The lender’s ability to balance loan expansion with prudent risk management will be critical in sustaining profitability.
Risks remain, however, as elevated provisioning requirements and slower recovery in net interest income could limit near-term profit growth.
Still, the bank’s resilience in loan and deposit growth positions it well to navigate a sector facing both regulatory tightening and shifting macroeconomic conditions.
