KONTAN.CO.ID - JAKARTA. PT BRI Multifinance Indonesia (BRI Finance) welcomes the government's policy regarding the incentives for Value Added Tax Borne by the Government (PPN DTP) and sales tax on luxury goods borne by the government (PPnBM DTP) for battery-based electric vehicles (KBLBB) and hybrid vehicles.

President Director of BRI Finance, Wahyudi Darmawan said that the VAT DTN policy is one of the government's policies that is a positive thing for the automotive industry. Especially for the sale of electric vehicles, and contributes to sustainable goals and the environment.

"While for the financing company (multifinance) itself, it will simultaneously have a positive impact on the distribution of electric vehicle financing," Wahyudi told Kontan, Tuesday (17/12).

Wahyudi said that BNI Finance will carry out a number of strategies to increase electric vehicle financing. Among them are by creating an attractive electric vehicle financing scheme with competitive interest rates and BRI Finance as part of the BRI Group will synergize with PT Bank Rakyat Indonesia (Persero) Tbk.

He said that until now, BRI Finance continues to encourage or maximize the captive market which has great potential to support the growth of financing distribution with good quality.

"So the company does not set a target for electric vehicle financing, but the company continues to develop strategies to increase electric vehicle financing," he added.

BRI Finance noted that the portion of electric vehicle financing distribution only contributed 0.05% to the total financing distribution.

Although he did not mention the value, he said that electricity financing distribution increased by 124% year on year (YoY) in September 2024.

BRI Finance targets total financing to reach IDR 3 trillion by the end of this year. Meanwhile, until September 2024, this financing company recorded a financing growth of 14% year on year (YoY), for the working capital and investment financing sectors.

Wahyudi said that BRI Finance's financing portfolio of 20% was dominated by commercial financing or for investment and working capital.

"Meanwhile, the remaining 80% is consumer financing, including financing for new and used vehicles," he added.