Jakarta, 22 August 2023 – Bank OCBC NISP has launched the OCBC NISP Financial Fitness Index (FFI) 2023, an annual survey that describes the financial status of Indonesia's young people. This research shows that the financial fitness of the young generation is gradually increasing over the past three years, even though we are still in the post-pandemic era. This year, the financial fitness score of Indonesian people is 41.16%, which is an increase of 1.10% compared to last year. Although most of the younger generation have managed to improve their financial situation, they still tend to have bad spending habits.

In fact, around 35% of them admit to having spent their money on impulse purchases in the last six months, such as going to a concert, travelling or overspending. Interestingly, 60% of impulse buyers come from people who earn 5 to 8 million per month. Therefore, the people who earn between 5 and 8 million a month tend to have a lower Financial Fitness score. Meanwhile, the data shows that the number of people who spend their money on lifestyle is slightly decreasing at 73%, which is 3% lower compared to last year, which shows 76%.

Results on OCBC NISP Financial Fitness Index

Amir Widjaya, EVP Marketing & Lifestyle Business Division Head Bank OCBC NISP said, "Through this research, we want to show that financial fitness can be achieved regardless of background or status. Everyone has needs in terms of entertainment or lifestyle, and it's all right to satisfy those needs. However, the young generation should be aware of their spending habits so that they do not have to sacrifice their basic needs. That is why we emphasise and calling out: Continue to live your lifestyle, keep your investments safe and be #FinanciallyFit at the same time, by not sacrificing emergency funds or investments, and as long as the distribution of funds is correct.”

Another interesting fact is that there is a misconception about the definition of 'rich'. The young generation thinks that being rich means being on holiday regularly. This is proven by the rapid growth of around 350 per cent compared to the previous year. However, those who think that being 'rich' is all about fancy things like luxury brands, travel, concerts, have lower financial fitness scores. Instead, people who prioritise investments have higher and healthier financial scores.

This is why Najwa Shihab, journalist and founder of Narasi, said: "The value of the young generation can be determined by our attitude towards 'rich'. Never take what is on offer on social media seriously, because not every content is as real as you see it. Media and public figures should work together to raise financial awareness among young people. The content that they share doesn't always have to be about the fancy stuff, but it can also be about the knowledge of how to manage our money. In order to be a trendsetter for others, as a young generation, we also need to be disciplined and willing to learn about financial management and investing."

In addition, Inggit Primadevi, Director Consumer Insights di NIQ Indonesia adds some more highlight about the trend in the younger generation, she said that about 54% of us are part of the sandwich generation. "The number of the sandwich generation is slightly increasing with a 9% increase compared to last year. Interestingly, those who are part of sandwich generation have a healthier financial indicator at about 41,80, which is even higher than the average Indonesian. It is a proof that you can be financially fit in spite of your background and challenges, in other words, if you have a certain goal, you can have a better financial fitness".

Although there is an improvement throughout the year, the financial fitness index for Indonesians are still below the average of normal score. Based on this fact, Bank OCBC NISP is determined to continue to provide the knowledge of financial literacy for all through the NYALA OCBC NISP. RuangMenyala.com provides free access to various financial education courses and content. To check your financial health, you can directly access the Financial Fitness Check-Up. At the beginning of August, Bank OCBC NISP had successfully launched a massive movement called "Gerakan Masal Finansial Check Up" which involved 2,000 people as our commitment to encourage everyone to be #FinanciallyFit.

Bank OCBC NISP also offers a Financial Fitness Gym where you can 'work out' your financial health with a trusted Financial Coach. You can also set your goals by using LifeGoals on the ONe Mobile Apps. These apps help you plan your short and long term goals for your future. With our products, we strive to support every dream our customers have. For example, the NYALA Credit Card offers up to 8% cash back on online purchases throughout the year. If you love to travel, then NYALA Global Debit is for you. It is a transformative way to convert your money with a competitive rate of exchange through a single mobile app, and with direct debit in 12 currencies with no exchange rate conversion. Bank OCBC NISP is also committed to increasing people's interest for investment by initiating the #Save20 movement, which encourages people to save money from Rp 20,000 a day or invest it on One Mobile.

"Through the research and products that we consistently provide every year, we believe that we can increase people's mindset to improve their financial condition and be financially fit. We hope that in the future, Indonesia will have a better score in terms of financial fitness. We are also using this research as a basis for us to create a solution-oriented product that can be beneficial to our customers. That's why we are committed to helping Indonesians become more #FinanciallyFit," said Amir.

OCBC NISP Financial Fitness Index 2023

OCBC NISP Financial Fitness Index 2023 is an annual collaborative research with NIQ which portrays the financial condition of Indonesian young generation by assessing their behaviour in terms of managing their finance. This is the third Financial Fitness of OCBC NISP. Previously, the research released in August 2022 involving correspondent from the age of 25-35 who live in Jabodetabek, Surabaya, Medan, Bandung and Makassar which has income up to 5 million rupiah and has a bank account.

About Bank OCBC NISP
Bank OCBC NISP was established in Bandung in 1941 under the name Nederlandsch Indische Spaar en Deposito Bank. As of 30 June 2023, Bank OCBC NISP serves customers through 199 office networks in 54 cities in Indonesia. Furthermore, customers could conduct transaction through the Bank's 492 ATM, more than 90,000 ATM networks in Indonesia, and connected to more than 600 OCBC Group ATM networks in Singapore and Malaysia. Bank OCBC NISP also serves customers through various digital channels, including mobile banking and internet banking – both for individuals and corporations. Bank OCBC NISP is one of the banks with the highest credit ratings in Indonesia, namely AAA(_idn)/stable from PT Fitch Ratings Indonesia.

About NYALA OCBC NISP
NYALA OCBC NISP offers customers the convenience of making transaction, savings, investing, also requesting for loans only in the 1 ONE Mobile application. Within only 1 million balance in the account, the customers NYALA can grow their balance and achieve financial goals. For the financial fitness, NYALA is equipped with the Financial Fitness Check-Up on ruangmenyala.com, educative classes also investment products including gold savings to be more financially goals, also the benefits of free charge up to 90x per month. NYALA also has NYALA Global Debit and NYALA Credit Card with a various features and promo to support customers needs. For more detail, visit www.ocbcnisp.com/nyala

Brand & Communication Division, Bank OCBC NISP

Brand & Communication Division
OCBC NISP Tower, Jl Prof Dr Satrio Kav 25, Jakarta 12940
Tel: 021- 25533888; Fax: 021-57944000
brand.communication@ocbcnisp.com
Website : www.ocbcnisp.com