JAKARTA - PT Bank QNB Indonesia Tbk (BKSW) has sold non-performing loans, as much as IDR 693.26 billion or US$ 49.2 million, to improve its financial condition.
Windiartono Tabingin, Director of BKSW, explained that the sold portfolio consisted of Non-Performing Loans (NPL) and Low Quality Loans (LQL); entirely included loans in rupiah and dollar, amounting to IDR 682.51 billion and US$ 762.82 thousand.
The transaction value of the non-performing credit sale was equivalent to 14.7% of the total equity of BKSW as of December 31, 2019, according to Tabingin's statement in an information disclosure on the Indonesia Stock Exchange today. BDFK Limited, a company registered in Cayman Island, acts as the buying party.
"The company will have a healthier and more viable financial structure with a better risk profile," Tabingin explained in his official statement.
With the purchase and sale of non-performing loans, BKSW Gross and Nett NPL ratios could be reduced to 5.6% and 2.55%, respectively. Prior to this transaction, the company's Gross and Nett NPL ratios were at 7.1% and 5.59%, respectively. (KR/VA)