PT Bank Tabungan Negara (Persero) Tbk decided to strengthen its capital to accelerate credit expansion during its Annual General Meeting of Shareholders for the 2025 financial year held in Jakarta (23/04).

The meeting approved the allocation of Rp3.5 trillion in net profit as retained earnings to support future lending growth.

Zero Dividend Policy Adopted to Strengthen Capital

President Director Nixon LP Napitupulu stated that the company set a dividend payout ratio of 0% to prioritize capital strengthening.

This step aims to support credit expansion that exceeds the company’s approved business plan.

He explained that alternative funding options, including subordinated debt and additional tier-1 capital, were considered but not pursued due to timing constraints and interest costs.

“Therefore, it was agreed that we will not distribute dividends this year, as the capital is needed for the portfolio acquisition,” he said.

Credit Portfolio Acquisition to Enhance Performance

The decision is linked to a planned acquisition of a credit portfolio with a transaction value exceeding 20% of BTN’s equity, covering both productive and consumer loans.

According to Nixon, the portfolio offers better returns and lower non-performing loan levels compared to BTN’s current portfolio.

“Yield is better than BTN’s current yield, and the NPL is lower,” he said.

The transaction is expected to reduce BTN’s NPL ratio to below 3% by the end of the year and improve interest income and total loan growth beyond the company’s plan.

The counterparty has not been disclosed, as the process is ongoing, with signing targeted for mid-May.

Housing Focus and Strategic Collaboration in 2026

BTN targets credit and financing growth of 8–10% in 2026, focusing on both subsidized and non-subsidized housing segments.

The company is also expanding its housing ecosystem through collaboration with PT Kereta Api Indonesia (Persero).

This cooperation includes the development of transit-oriented housing projects, including vertical residential developments planned to consist of five towers in strategic locations.

Board Restructuring and Corporate Plans Approved

The meeting approved BTN’s 2026 business plan and its long-term corporate plan for 2025–2029.

It also endorsed updates to the company’s recovery plan to strengthen resilience against potential financial pressures.

Shareholders approved changes in the board structure, including the appointment of Endra Gunawan as Vice President Commissioner, replacing Dwi Ary Purnomo, who has taken a new role at Jasa Raharja.

Meanwhile, Nofry Rony Poetra and Eko Waluyo were reappointed as directors to maintain leadership continuity.

Nixon stated that these changes are part of organizational adjustments to strengthen the company’s strategic direction.

PHOTO: BTN

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