Outstanding debt in Indonesia’s online lending industry climbed to 92.92 trillion rupiah ($5.6 billion) in October, the Financial Services Authority (OJK) said, as growth accelerated while credit quality held broadly steady.
The regulator said online-loan balances rose 23.86% from a year earlier, picking up from 22.16% year-on-year growth recorded in September.
The online loan industry has expanded rapidly in recent years as borrowers and small merchants seek quick, app-based credit across the archipelago.
Even with the rapid expansion, the sector’s gross non-performing loan (NPL) ratio, also referred to as non-performing financing, stood at 2.79%, OJK data showed.
Aggregate credit risk for loans more than 90 days past due — a measure known as NPL90 — edged down to 2.76%, Agusman, OJK’s executive chief supervisor for financing institutions, venture capital companies and other non-bank lenders, told a press conference.
Other consumer- and asset-backed financing segments showed divergent trends.
Buy-now, pay-later (BNPL) receivables booked by non-bank financing companies jumped 69.71% from a year earlier to 10.85 trillion rupiah in October, though the pace of expansion cooled from 88.65% growth in the previous month, OJK said.
Venture capital financing slipped 0.10% from a year earlier to 16.30 trillion rupiah, pointing to softer risk appetite in one of the economy’s more cyclical credit channels.
By contrast, financing distributed by pawn businesses posted the strongest growth among the tracked segments, rising 38.89% year-on-year to 120.45 trillion rupiah.
Across the broader finance-company industry, total receivables increased 0.68% year-on-year to 505.30 trillion rupiah, supported by working-capital financing that expanded 9.28%, Agusman said.
OJK did not announce policy changes alongside the data.
The figures suggest digital credit is still outpacing traditional non-bank finance, but regulators will likely keep scrutiny on delinquency metrics as lenders chase growth, analysts said.
The sharp cooling in BNPL growth could also signal tighter underwriting or early saturation after a rapid build-out.