Indonesia Car Finance Market Growth is expected to Driven by Growing Economy and Favorable Government Regulations: Ken Research - PowerPoint PPT Presentation

Loading...

PPT – Indonesia Car Finance Market Growth is expected to Driven by Growing Economy and Favorable Government Regulations: Ken Research PowerPoint presentation | free to download - id: 886921-MTkzY



Loading


The Adobe Flash plugin is needed to view this content

Get the plugin now

View by Category
About This Presentation
Title:

Indonesia Car Finance Market Growth is expected to Driven by Growing Economy and Favorable Government Regulations: Ken Research

Description:

This report will help industry consultants, car finance providers, potential entrants and other stakeholders to align their market centric strategies according to the ongoing and expected trends in the future. – PowerPoint PPT presentation

Number of Views:12

less

Write a Comment
User Comments (0)
Transcript and Presenter's Notes

Title: Indonesia Car Finance Market Growth is expected to Driven by Growing Economy and Favorable Government Regulations: Ken Research


1
Indonesia Car Finance Market Growth is expected
to Driven by Growing Economy and Favorable
Government Regulations Ken Research
2
Lower down payment requirements, growth of
Fintech companies, increased sale of new and used
cars have aided the demand for car finance in
Indonesia. The report titled Indonesia Car
Finance Market by Type (New and Used Passenger
and Commercial Cars), by Tenure of Loan, by
Banks, Captive and Non Captive Institutions -
Outlook to 2021 by Ken Research suggested a
robust CAGR of 7.8 in credit
3
disbursement of the Indonesia car finance market
by 2021 with growing new and used car sales and
increasing car finance penetration rate driving
the loan disbursement in the future. Indonesia
car finance market is in the growing stage. It is
dominated by the unorganized players as they
offer simpler documentation and convenient car
finance options. The market has witnessed
increasing use of technology such as simulation
tools, online application and payment methods and
others. In order to stimulate the economic growth
of the country, Otoritas Jasa Keuangan (OJK)
reduced the down payment requirements in effect
increased the Loan to value ratio in 2015.
Indonesian consumers who use credit to purchase a
passenger car need to pay a minimum down payment
limit of 25 from 30 in 2014.
4
Recovery of Indonesian economy, lower financing
rates and improved business environment has
positively impacted the consumer confidence index
of Indonesia. This has resulted in increasing
number of cars financed by banks and other non
financial institutions. Easing inflation rates
and increasing purchasing power has further
supported the consumer confidence index. With the
success of new car models by major players in the
Indonesia automotive industry, the number of new
cars sold increased by 4.8 in 2016 from
1,013,291 in 2015 to 1,061,859 in 2016. The major
players which include Toyota, Honda and Daihatsu
have accounted for 83.6 of the passenger car
sales market in 2016. The low cost green car has
witnessed the fastest growth during 2016 which
accounted for 20.7 of the total manufactured
cars. Furthermore, Indonesias premium gasoline
and diesel fuel prices declined by IDR 500 per
liter which is a lagged effect of on sliding
international crude oil prices that occurred in
Q4-2015.
5
Recent times have witnessed rising internet
penetration and the use of online portals such as
Carmudi, OLX and Mobil88 for selling used cars
which have streamlined this market. There is more
transparency in the market and buyers have a wide
variety of brands and models to choose from the
convenience of their home. The used car market
sale has increased by 4 during 2016 from 960,000
in 2015 to 1,000,000 in 2016. This has further
augmented the amount of car loan disbursed in the
economy. Key Topics Covered in the Report Used
Car Sales in Indonesia Top Indonesia Car Loans
Banks Indonesia Average Loan Rate Auto loan
Industry in Indonesia Used Car Financing in
Indonesia Interest Rate Car Loan in Indonesia
6
Compare Auto Loans in Indonesia Used Car Sales in
the Indonesia Vehicle Financing in Indonesia New
Car Sales in Indonesia For further reading click
on the link below https//www.kenresearch.com/ban
king-financial-services-and-insurance/loans-and-ad
vances/indonesia-car-finance-market/142267-93.html
Related Reports by Ken Research https//www.kenr
esearch.com/banking-financial-services-and-insuran
ce/loans-and-advances/uae-car-finance-market/11014
3-93.html
7
https//www.kenresearch.com/banking-financial-serv
ices-and-insurance/loans-and-advances/egypt-car-fi
nance-market/124560-93.html Contact Ken
Research Ankur Gupta, Head Marketing
Communications query_at_kenresearch.com 91-124-42302
04
About PowerShow.com