PT Bank Pan Indonesia Tbk (Bank Panin) in 2020 recorded a net profit of Rp3.12 trillion.

President Director of Bank Panin Herwidayatmo said that during the pandemic conditions in 2020, Panin was rearranging the earning asset portfolio's composition to anticipate a slowdown in credit growth.

"The increase in investment in Government Securities (SUN) provides an opportunity for Panin to gain capital gains so that the company can score an increase in net profit (bank only) to Rp3.08 trillion from the previous year, which amounted to Rp3.07 trillion. "On a consolidated basis, the bank's net profit was recorded at Rp3.12 trillion, with operating profit before reserves growing by 13.7%, amounting to Rp6.69 trillion," he said in Jakarta, Wednesday (31/3).

According to Herwidayanto, the profit growth was supported by operating income growth of 77.16% to Rp3.36 trillion.

"This is in line with the increase in securities transactions amid the downward trend in market interest rates. Panin's total consolidated assets reached IDR218.07 trillion, an increase compared to last year's position of IDR211.29 trillion," he explained.

Meanwhile, total loans decreased by 14.3% from Rp129.89 trillion due to a slowdown in credit growth amid a sluggish economy and the application of prudential principles to maintain the loan portfolio's quality. Regarding the liquidity position, Bank Panin claims that it was still well maintained as evidenced by an increase in third-party funds (DPK) of 8.9%, reaching Rp143.03 trillion, driven by the rise in low-cost savings and current accounts.

For savings, it grew 14.7%, and current accounts grew by 18.9%, making the company's low-cost fund ratio (CASA) increase to 39.4%.

Meanwhile, the liquidity ratio of the Loan to Deposit Ratio (LDR) was at an optimum position of 83.3%. At the end of 2020, the NPL ratio was maintained and improved to 3.01% compared to the end of 2019 at 3.02%.