Second loan-restructuring extension gives banks breathing room – Jakarta Post

An extension to the loan-restructuring program for another year is expected to give banks and borrowers more breathing space, as fresh mobility restrictions (PPKM) dim Indonesias business recovery outlook.

The Financial Services Authority (OJK) announced on Sept. 2 that the end date of the program had been pushed back to March 2023, from the previous date of March 2022, which is itself an extension of the first expiry date of March 2021.

The restructuring program, initially introduced in March 2020 under POJK No. 48/2020, eased loan-restructuring requirements and allowed banks to classify COVID-19-de…