Indonesia’s Biggest Lender Cuts Loan Growth Target Amid Stimulus

Indonesia’s largest lender PT Bank Mandiri cut its loan growth estimate for this year despite receiving fresh funds from the government for lending disbursement to support the economy.

The bank, Indonesia’s biggest in terms of total assets, now expects loans to expand between 8% and 10%, lower than the previous estimate of 10%-12%, according to an earnings presentation on Friday. It also revised its net interest margin target to between 4.8% and 5%, down from previous guidance of 5%-5.2%.