Indonesia’s annual loan growth eased slightly to 9.37% year-on-year in February 2026 from 9.96% in the previous month, marking the slowest pace since November 2025. The slowdown reflects weaker purchasing power, a contracting middle class, and increased caution among banks in extending credit. However, growth was supported by an increase in investment credit, which grew 20.72% from a year earlier, alongside gains in working capital loans (3.88%) and consumer credit (6.34%). Looking ahead, Bank Indonesia forecasts overall credit growth in 2026 to remain stable in the 8–12% range, driven by both supply and demand factors.