Asia: Indonesia’s Bank Mandiri recorded profit increase in 2017

Indonesia’s state-owned bank, Bank Mandiri recently reported its annual profit of USD 1.5 billion, in 2017, a 50% increase compared to the previous year. This significant rise has been attributed to better performance among its loan products.

The bank also registered lower incidence of the net non-performing loan (NPL) from 1.5% in 2016 to 1.1% in 2017. Bank Mandiri’s key profitability metrics include a net interest income of USD 4 million and the net profit of USD 1.6 million.

This improvement in bottom line numbers by the bank illustrates the broader recovery of Indonesia’s economy. Bank Mandiri projects that its NPL ratio will remain low this year and revenue from its retail segment will remain stable as last year.

According to RFi Group data, Bank Mandiri is the second largest bank in Indonesia with four in ten banked customers in the country having a relationship with the bank.

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