KONTAN.CO.ID - JAKARTA. Financing distribution of PT Mandala Multifinance (MFIN) or Mandala Finance was recorded to have slowed down as of April 2025. Mandala Finance Finance Director Roberto AK Un said that the company's financing distribution grew by 6% Year on Year (YoY) as of April 2025.

The growth is relatively slow, when compared to growth as of March 2025 which reached 11% YoY. Roberto explained that the slowing down of financing distribution was inseparable from the current economic conditions which are experiencing weakening purchasing power.

"Our financing growth has experienced a slight adjustment amidst the current economic conditions, along with the decline in people's purchasing power for purchasing vehicles or other consumer goods," he told Kontan, Tuesday (10/6).

Furthermore, Roberto said that until now his party is aware that there are various challenges that are still faced in distributing motor vehicle financing. The challenges are economic uncertainty, motor vehicle option tax policies, the risk of bad credit, and tight market competition.

Despite the various challenges that lie ahead, Roberto said that Mandala Finance will continue to apply the principle of prudence that is right on target in distributing financing. He said this was done to maintain a healthy portfolio quality and reduce the potential for an increase in Non-Performing Financing (NPF).

"Mandala is optimistic that the prospects for the financing industry will remain stable and we have also adjusted the company's target in 2025," said Roberto.

The slowdown in financing growth experienced by Mandala Finance was also experienced by the multifinance industry as of April 2025. OJK noted that financing receivables for multifinance companies reached IDR 504.18 trillion as of April 2025.

The value of financing receivables as of April 2025 only grew 3.67% YoY. The growth in April 2025 was relatively slow, when compared to the position in March 2025 which grew 4.60% YoY with a value of IDR 510.97 trillion.