IMPROVING SKILL OF LOAN ASSET RECOVERY MANAGEMENT UNIT ABOUT NON-PERFORMING LOANS
Since March 2020, the global COVID-19 pandemic has also occurred in Indonesia. As a result, large-scale social restrictions such as PSBB have had a significant impact on the national economy and industry, and this is still ongoing, which is causing a fatal blow to companies. The global economic dow...
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| Format: | Theses |
| Language: | Indonesia |
| Online Access: | https://digilib.itb.ac.id/gdl/view/53329 |
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| Institution: | Institut Teknologi Bandung |
| Language: | Indonesia |
| Summary: | Since March 2020, the global COVID-19 pandemic has also occurred in Indonesia. As a result, large-scale social restrictions such as PSBB have had a significant impact on the national economy and industry, and this is still ongoing, which is causing a fatal blow to companies.
The global economic downturn and damage to the domestic industry caused by the pandemic made it difficult for companies to operate in a stable manner, which has a great negative impact on the banking industry. Therefore, PT Bank KEB Hana Indonesia must also prepare for this and find a way to deal with it.
Increasing corporate insolvency within a bank raises the ratio of non-performing loans (NPL ratio) to loan assets that are attracting attention externally, which causes problems for banks' external credit. Therefore, the bank has a department such as the Asset Recovery Management (ARM) unit to make efforts such as self-recovery or external sale of NPL assets to restrain the increase of NPL ratio. In a situation like the Corona Pandemic, as the NPL increase is highlighted across the industry, banks should focus on strengthening their core capabilities to manage it.
Therefore, PT Bank KEB Hana Indonesia needs to check the skill of the ARM unit and find ways to improve it. In addition, it is necessary to establish an efficient decision-making process by making a methodological system for dealing with NPLs. I hope this study helps to improve the NPL management capabilities of the Asset Recovery Management Unit of PT Bank KEB Hana Indonesia. |
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