JAKARTA – The need for corporate financing by the end of Q1 2022 is expected to deplete in the manufacturing and information and communication sectors. It is evident by seeing the Net Weighted Balance of 20.2%, lower than the balance of IDR 23.8% reported in February 2022.
The Demand and Supply of Bank Financing Survey of Bank Indonesia (BI) quoted today (20/1) shows that the declining corporate financing needs result from lower demands, particularly in the manufacturing and information and communication sectors. However, financing needs in other sectors, such as the transportation, warehouse, healthcare, financial, and foods and beverage supply sectors, increase. The higher demand for financing is utilised to support business operations and fulfil maturing obligations that cannot be rolled over.
Survey responses indicate that the financing needs are still met by their own cash, followed by the utilisation of withdrawal relaxation policies. Other funds sources come from parent companies and domestic banks’ loans. (LK/ZH)