OJK Maintains Optimism on Small-Cap Banks' Growth Prospects

Positive Outlook for 2026

The Financial Services Authority (OJK) remains optimistic about the performance prospects of small-cap banks through the end of 2025 and into 2026. Despite facing various global and domestic economic challenges, OJK believes these banks can continue to grow. Dian Ediana Rae, OJK's Head of Banking Supervision, emphasized that the business plans set by these banks remain realistic and are expected to contribute positively to national economic growth.

Business Plan Adjustments

Based on the Business Plan Reports submitted by banks as of end-November 2025, OJK observed that banks, including small-cap ones, have adjusted their credit growth projections to better align with the prevailing economic uncertainty. This adjustment is considered appropriate given the global economic landscape, particularly the economic slowdown in major regions such as the United States and China. The cautious approach by banks reflects their efforts to navigate through challenging conditions while maintaining growth momentum.

Regulatory Oversight

OJK's continued optimism is backed by its close monitoring of banks' performance and their compliance with regulatory requirements. The authority's supervision ensures that banks operate within safe parameters while pursuing growth strategies. The emphasis on consolidation as a key strategy for 2026 suggests that OJK is focusing on strengthening the banking sector's overall resilience.