Bank of Indonesia’s latest Banking Survey showed a sharp increase in new loan disbursements in the second quarter of 2026, with the Weighted Net Balance rising to 93.08% from 38.74% in the previous quarter. Growth was reported across working capital, investment and consumer loans. Respondents also expected new loan disbursements to keep expanding in the third quarter of 2026, with a Weighted Net Balance of 84.65%. The survey also pointed to tighter lending standards in the second quarter compared with the first quarter, reflected in a positive Lending Standards Index of 1.03. The tightening was concentrated in lending rates, credit lines, loan covenants, loan maturities and administration fees. For the third quarter, respondents anticipated looser standards, with the Lending Standards Index turning negative at 2.25. Banks surveyed also expected outstanding loans to continue growing through the end of 2026, supported by what respondents described as a positive economic and monetary outlook and contained credit risk.