Jakarta, January 31st 2022 – Bank OCBC NISP is ready to accelerate the sustainable economic recovery in Indonesia with positive performance growth throughout 2021. The Bank's achievement in turning challenges into opportunities during this pandemic is reflected in the Net Income of Rp2.5 Trillion or an increase of 20% yoy from Rp2.1 Trillion in 2020. This increase was contributed by Net Interest Income which grew 7% yoy to Rp7.6 Trillion until end of 2021.
Amidst of an economic slowdown, Bank OCBC NISP consistently carried out its intermediation function, as shown in the following table:
|Key Financial Performance (Audited) as of December 31st, in trillion IDR|
The growth of Bank OCBC NISP’s loans was mainly driven by growth in retail loans. This intermediation function is based upon prudent principle, as reflected in NPL ratio maintained below the average NPL of banking industry and regulatory provisions, whereby NPL-net stood at 0.9% and NPL-gross at 2.4%.
“In line with our vision of 'to become a trusted partner to enrich the quality of life', our key initiatives are aimed to assist our customers in adapting to challenges posed by the pandemic. We continuously introduce innovations and initiatives to empower our customers in achieving excellent financial fitness—both as individuals in managing their finances and at a corporate level in strengthening and building their businesses. These initiatives gain favorable responses and spur positive growth for Bank OCBC NISP's performance and will become a strong foundation for us to contribute more for the sustainable economic recovery,” said Parwati Surjaudaja, President Director of Bank OCBC NISP.
The Bank’s Initiatives in Encouraging Younger Generation to be #Financiallyfit are Well-received Bank OCBC NISP’s commitment in encouraging people to have the right mindset, knowledge, and habits in managing finances has gained traction. The Bank sees customers’ rising interest in growing their funds through investment products. In December 2021, the overall revenue from wealth management product transactions for mutual funds, bancassurance, and marketable securities grew by 15% when compared to 2020. This fee-based income from wealth management business contributed positively, i.e., 25% of the total fee-based income of Bank OCBC NISP, mainly from the mutual fund and bancassurance sales transactions, as well as the gain from the sale of marketable securities.
Moreover, consistent financial literacy and growing activities at homes during the pandemic are driving more awareness on young generation to consider having their own residences. The disbursement for mortgages of Bank OCBC NISP in 2021 recorded a growth of 23% Yoy. Indonesia’s younger generation who aspires to own a residence could benefit from the Bank’s KPR Easy Start product which offers affordable and step-up installment schemes.
Rising Trend in ONe Mobile Usage to Grow Money
In 2021, Bank OCBC NISP will continue to strengthen the digital transformation that had been launched prior to the pandemic; one of which is by enhancing the capability of ONe Mobile, a mobile banking application for individual customers to help growing their money. ONe Mobile's ability to grow money and carry out daily transactions has received positive responses from customers. The number of transactions made by customers through ONe Mobile throughout 2021 increased by 17%, transaction value increased by 20%, while number of users increased by 19% compared to 2020.
Increased Usage of Velocity to Address Business Demands
Bank OCBC NISP understands the challenges faced by business players. It encourages the Bank to continue refining supports for MSME players even beyond financing. Bank OCBC NISP also makes enhancements to the digital service capabilities for corporate customers, i.e., velocity@ocbcnisp. The good responses from corporate customers are reflected in the increase in usage throughout 2021, of which value of transactions via velocity@ocbcnisp grew 64%, while number of transaction frequencies and users grew by 20% and 11%, respectively, compared to 2020.
Bank OCBC NISP has actively disbursed loans to MSME players to support the rise of MSME business owners and drive the economy forward. The Bank collaborates with several fintech companies as well to assist the MSMEs.
“The global and domestic economies are projected to rebound in 2022, despite the uncertainty due to the outbreak of a new COVID-19 variant. Effective approach in handling the pandemic could bring a positive impact on Indonesia's economic recovery, both for society and business players. Bank OCBC NISP will consistently deliver innovations and initiatives to create a #financiallyfit Indonesian society,” Parwati ended.
Preview of Bank’s financial statements and financial ratios as of December 31, 2021, is available in the attached factsheet.###
Overview of Bank OCBC NISP
Bank OCBC NISP was established in Bandung in 1941 under the name Nederlandsch Indische Spaar en Deposito Bank. As of December 31, 2021, Bank OCBC NISP served customers through 211 office networks in 54 cities in Indonesia, equipped with 537 Bank OCBC NISP ATM units accessible at more than 100,000 ATM networks in Indonesia, as well as connected to more than 700 OCBC Group ATM networks in Singapore and Malaysia. Bank OCBC NISP also serves customers through various digital channels, including mobile banking and internet banking – both for individuals and corporations. Bank OCBC NISP is one of the banks with highest credit ratings in Indonesia, namely idAAA (stable) from PT Pemeringkat Efek Indonesia (PEFINDO) and AAA (idn)/stable from PT Fitch Ratings Indonesia.
Duhita Rahma Mahatmi (Gandis)
Corporate Communication Head
Mobile: 62- 85218211636
OCBC NISP Performance - 29 Jul 2022