Indonesia's Financial Services Authority (OJK) issued an update on its engagement with Bank Indonesia’s East Nusa Tenggara (NTT) representative office, regional banking industry groups and the provincial government to strengthen banking–local government coordination and encourage more financing for NTT’s priority productive sectors. OJK highlighted that, as of August 2025, NTT banking assets grew 4.04%, lending rose 1.52% and third-party funds increased 5.96%, with a loan-to-deposit ratio of 120.37% and non-performing loans of 4.10%. The update pointed to opportunities linked to tourism, where domestic and international visitors grew 57.64% and 53.78% in 2024 across 1,637 tourism attractions, and to NTT’s economy, which grew 5.44% in Q2 2025 driven mainly by agriculture, trade and government administration. It also flagged relatively low agricultural credit penetration, with the sector accounting for 4.66% of lending and annual growth of 1.05% to August 2025, and cited additional potential in the marine economy, including seaweed production representing 15.20% of national output. OJK indicated it will continue working with local governments, financial institutions and education stakeholders to expand financial access and literacy, including in remote and island areas, and to support lending to sectors such as agriculture, fisheries, tourism and micro, small and medium-sized enterprises.
OJK 2025-10-20
Indonesia's Financial Services Authority steps up coordination with East Nusa Tenggara authorities and banks to expand productive lending
Indonesia's Financial Services Authority (OJK) is collaborating with Bank Indonesia’s East Nusa Tenggara (NTT) office, regional banks, and the provincial government to enhance banking coordination and boost financing for NTT's key sectors. As of August 2025, NTT banking assets grew 4.04%, with lending up 1.52% and third-party funds increasing 5.96%. OJK aims to expand financial access and literacy, focusing on agriculture, fisheries, tourism, and MSMEs.