Indonesian finance companies with gross NPF above 5% rise to 42 in July
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Key points
- 42 finance companies had gross NPF above 5% in July, up from 38 in June (OJK).
- Industry gross NPF was 3.03%; net NPF 0.81%.
- Receivables were IDR 513.05 trn, growing only 2.01% year on year.
Implications
Facts
Distribution: 42 finance companies had a gross non-performing financing (NPF) ratio above 5% as of July 2026 (up from 38 in June). 4 had net NPF above the threshold, unchanged from June. Source: OJK (reported by ANTARA, 14 September). 1
Industry averages: gross NPF 3.03% and net NPF 0.81% (July 2026); net NPF is after provisions. Same source. 2
Receivables: financing receivables were IDR 513.05 trn, up 2.01% year on year. Working-capital financing grew 6.32%. Sharia financing was IDR 32.06 trn (up 8.84% year on year). 9 of 144 companies were below the minimum capital of IDR 100 bn (all have submitted remediation plans). Same source.
Regions: Sukoharjo, Sampang and Kepahiang were cited as areas with high NPF. Same source.
Analysis
While the industry average is steady at 3.03%, the number of companies above the threshold rose in a single month (up from 38 in June). The gap between average and distribution indicates problems concentrated in certain firms and regions. In online lending, 16 platforms remain above the TWP90 threshold (OJK, July), so dispersion across non-banks appears entrenched. Receivables growth of 2.01% is below inflation (August 3.19%, BPS), implying a real-terms contraction.
Counterpoints and uncertainties
It is unclear whether the increase includes ratio rises from delayed write-offs or shrinking balances (denominator effects). Net NPF is low at 0.81%; if provisioning is adequate, one can argue the industry's loss-absorbing capacity is not a major concern.
Key figures
- Finance companies with gross NPF above threshold: 42 (up from 38 in June). Number of finance companies with gross NPF above 5%. Multifinance (finance) companies. Basis date: 31 Jul 2026. Source: ANTARA: OJK: 42 perusahaan multifinance punya NPF bruto di atas 5 persen
- Multifinance non-performing financing (NPF) ratio, gross: 3.03%. Non-performing financing as a share of financing receivables, before provisions. Multifinance (finance) companies. Basis date: 31 Jul 2026. Source: ANTARA: OJK: 42 perusahaan multifinance punya NPF bruto di atas 5 persen
Sources
SEA Lending Brief
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A Japanese version of this article is available: 日本語版