Heaptalk, Jakarta — Citi Indonesia reported a solid financial performance for the first nine months of 2024, with Net Income reaching US$130 million, or about Rp2.2 trillion, marking a 32% year-on-year increase. This significant growth was primarily attributed to reduced operating expenses, which enhanced the bank’s operational efficiency, as reflected in a notable improvement in its Cost-to-Income Ratio (CIR) from 59.8% to 41.9%.
The strong earnings also boosted key financial ratios. Return on Assets (ROA) rose to 4.1% from 2.8%, while Return on Equity (ROE) climbed to 15.4%, up from 12.7% the previous year. The bank’s liquidity and capital positions remained robust, with a Liquidity Coverage Ratio (LCR) of 291% and Net Stable Funding Ratio (NSFR) of 124%, both exceeding regulatory requirements. Meanwhile, Citi Indonesia’s Capital Adequacy Ratio (CAR) strengthened to 33.1%, up from 30.5% in 2023.
“The efficiencies gained, particularly from lower operating expenses, drove our strong bottom-line results. This quarter also saw the rollout of our Electronic Trade Loan feature integrated within the CitiDirect® platform, enhancing clients’ ability to manage financial operations more efficiently.” Batara SIanturi, CEO of Citi Indonesia, said.
Citi Indonesia’s core banking operations, including Corporate and Investment Banking, Global Network Banking, and Commercial Banking, continued to deliver resilient revenue growth despite global uncertainties. Global Network Banking stood out for its success in serving cross-border clients, particularly those engaging in Asia-to-Asia investments, supported by strategic corridor initiatives.
The Treasury and Trade Solutions (TTS) segment demonstrated strong momentum, with third-party deposits increasing and digital transactions, including instant payments and commercial card usage, driving higher payment volumes. The recently introduced Electronic Trade Loan functionality on the CitiDirect® platform enables streamlined, paperless transactions and improved working capital management through a user-friendly interface.
In the capital markets space, Citi’s Securities Services division played an active role in enhancing market infrastructure. The bank contributed to regulatory developments such as the Know-Your-Customer (KYC) Administration Service and Securities Sub-Account enhancements, while also being selected as a pilot custodian bank in the Indonesia Cash Management System (CMS) program in collaboration with the Central Securities Depository (KSEI).
