Banking Sector: Margin pressure continues for most banks

Banking Sector
Analyst: Yap Swie Cu

Margin pressure continues for most banks
• Funding costs pressure persisted for most banks
• Better funding structure, strong lending expansion, and resilient fee income lessen the impact of rising rates to BBNI and BMRI
• Soft rebound in BBTN’s top line
• Modest NII pressure in BBRI’s and BRIS
• BBCA – our top pick – continued to see an upward NII trend