PNBS suffered due to low-quality credit write-off
JAKARTA. The loss suffered by PT Bank Panin Dubai Syariah Tbk (PNBS) of IDR 818 billion in 2021 is due to write-offs of several low-quality financing, which amounted to IDR 1,046 billion.
The bank management mentioned that this loss went in accordance with the increase in the productive assets quality in order to write-off several low-quality credits worth IDR 1,046 billion in total.
At the end of December 2021, total write-offs reached IDR 1,067.2 billion, including write-offs in murabahah receivables of IDR 49.5 billion, mudharabah financing of IDR 40.8 billion, and musyarakah financing of IDR 976.9 billion.
According to PNBS management, the write-off was initially intended to fix the non-performing financing (NPF) in December 31, 2021. It was a success, as the gross NPF ratio dropped from 3.38% in December 2020 to 1.19% in December 2021, and the net NPF ratio slipped from 2.45% to 0.94% in a year.
The financial statement of Bank Panin Dubai Syariah in 2021 revealed that it suffered from IDR 818.11 billion loss, a contrast with its performance in 2020 that managed to collect a net profit of IDR 128 million. (AM/ZH)