Bank Rakyat Indonesia reported consolidated first-quarter 2025 net profit of IDR 13.80 trillion, a 13.6% decline on the same period a year earlier, as Indonesia's largest micro-lender absorbed the near-term earnings impact of a strategic portfolio revamp in its micro-lending segment.
BRI presented the micro-segment revamp as a strategic programme aimed at improving the quality of its micro loan book.
ASSET QUALITY
The non-performing loan ratio improved by 14 basis points year-on-year to 2.97%.
MICRO-SEGMENT REVAMP
The revamp underway in the first quarter of 2025 involves a repositioning of the portfolio towards higher-quality micro borrowers, a tightening of underwriting criteria, and a greater emphasis on digital delivery channels.
The bank has framed the transition as an investment in the long-run sustainability and profitability of the micro lending business.