Bank Central Asia prioritises margin stabilisation over aggressive loan growth

Its LDR and cost-to-income ratio are the lowest amongst its peers, UOBKH said.

Bank Central Asia (BBCA) is prioritising margin stabilisation and efficiency over aggressive loan growth, according to UOB Kay Hian (UOBKH).

The Indonesian bank said that it is focusing on margin stabilisation in 2025. Its loan-to-deposit ratio (LDR) stands at 80% in April 2025, the lowest amongst its peers.

Loan growth is 3.2% during the month and a 12.8% year-on-year increase, which is on track to achieve its target of 6% to 8% for 2025, UOBKH said in a company update report published on 16 June 2025.

BBCA has the lowest cost-to-income (CIR) among its peers, standing at 28.5% in Q1 2025, it added. This is due to its automation.

According to management, about 60% of the total transactions done at its branches were via self-assisted machines.

Its new in-house data centre, completed in 2024, is designed to scale over the next five years, enabling faster detection of issues and tighter cost control, UOBKH further noted.