KONTAN.CO.ID - JAKARTA. PT Clipan Finance Indonesia Tbk (CFIN) stated that several factors influence loan interest rates. Clipan Finance President Director Harjanto Tjitohardjojo stated that one of them is the cost of funds.

He explained that although Bank Indonesia (BI) interest rates have decreased, banking funding rates have not changed significantly. Therefore, the decrease in BI interest rates is not directly related to loan interest rates granted to borrowers.

"Besides considering the cost of funds, there are other factors that influence loan interest rates, such as debtor credit quality indicators," he told Kontan on Friday (August 22, 2025).

Although the industry's Non-Performing Financing (NPF) remained stable at 2.55% as of June 2025, Harjanto believes this could indeed open up room for lower loan interest rates.

However, he emphasized that decisions must consider funding costs, liquidity, and economic conditions to ensure business stability and sustainability.

Harjanto acknowledged that the current economic conditions affecting repayment capacity and purchasing power have made multifinance companies more cautious in disbursing financing. As a result, this has also led to a slowdown in multi-finance financing.

For information, the Financial Services Authority (OJK) recorded that multifinance companies' financing receivables reached IDR 501.83 trillion as of June 2025. The value of financing receivables as of June 2025 grew 1.96% year-on-year (YoY).