PBoC Injected CNY 600 Bn via MLF to Support Liquidity

MACROECONOMY
PBoC Injected CNY 600 Bn via MLF to Support Liquidity
PBoC conducted CNY 600 bn 1-year Medium-Term Lending Facility (MLF) on Aug-25, offsetting CNY 300 bn maturing and resulting in
a net injection of CNY 300 bn; the sixth consecutive month of higher rollovers, in line with market expectations. MLF, a key policy tool,
lowers banks’ mid-term funding costs to encourage credit supply and reduce financing costs for the real economy. (央视网)

INDUSTRY
Indonesia to End BEV Import Incentives by Dec-25
The Govt. will end BEV import incentives on 31 Dec-25, requiring automakers to begin local production under a 1:1 commitment from
01 Jan-26, with TKDN targets set at 40% in 2026, 60% in 2027, and 80% by 2030; while six automakers have joined the program (IDR
15 tn planned investment, 305k-unit capacity), Gaikindo and academics warned that CBU imports risk hurting local assemblers and
provide limited economic value, calling for consistent policy and gradual transition, potentially via hybrids. (Kontan)

COMPANY
BCAS: BBRI IJ - 7M25 Earnings Slipped -9.0% YoY

• BBRI Jul-25 net profit reached IDR 3.8 tn (-38.3% MoM; +19.6% YoY), bringing 7M25 net profit to IDR 28.6 tn (-9.0% YoY).
• Net interest income came in at IDR 9.2 tn (-13.7% MoM; +16.1% YoY), totaling IDR 65.4 tn in 7M25 (+1.6% YoY).
• Operating income stood at IDR 12.7 tn in Jul-25 (-29.4% MoM; -6.9% YoY), bringing 7M25 operating income to IDR 96.0 tn (+0.7% YoY).
• PPOP reached IDR 7.6 tn in Jul-25 (-31.4% MoM; -27.8% YoY), translating to IDR 59.9 tn in 7M25 (-4.2% YoY).
• Provision expense declined to IDR 3.0 tn in Jul-25 (-11.6% MoM; -55.2% YoY), with 7M25 provisioning at IDR 24.0 tn (+4.4% YoY).
• Loan growth moderated to +5.3% YoY (Jul-24: +8.6%), while deposit growth slowed to +5.3% YoY (Jul-24: +12.5%). LDR remained
  stable at 87.0%, while CASA ratio improved to 65.7% (Jul-24: 63.4%).

Mitratel (MTEL) Plans IDR 1 Tn Share Buyback
MTEL will seek shareholder approval in its EGM on 16 Sep-25 to conduct a share buyback of up to IDR 1 tn (4.12% of paid-up capital), with execution allowed within 12 months. Pro forma, total assets would decline to IDR 57.14 tn (from IDR 58.14 tn), equity to IDR 32.39 tn (from IDR 33.39 tn), while net profit remains ~IDR 2.1 tn and EPS improves to IDR 26.37 (from Rp25.85). MTEL stock closed at Rp595 (-1.65%) on 25 Aug-25, down -11.19% YTD. (Bisnis)