Indonesia’s loan growth at 10.5 percent in 2015
JAKARTA: Loans by Indonesian banks expanded 10.5 percent in 2015 from a year earlier, considerably slower than the central bank's target of 15-17 percent, Bank Indonesia (BI) data showed on Thursday. But the December pace is faster than in November, when loans expanded 9.8 percent from a year earlier. In 2015, the central bank revised down its outlook for loan growth twice as the economy slowed more than it expected and easier lending rules it introduced during the year failed to prop up growth. On Thursday, the central bank cut its benchmark reference rate by 25 to 7.25 percent in a bid to aid both loan and economic growth. Based on banks' work plans, loans are expected to increase 14.1 percent this year.