STATE-owned banks bear the burden of large debts and the risk of loan defaults from fellow state-owned enterprises (SOEs). Members of the State-Owned Banks Association (Himbara) repeatedly come to the rescue of state construction companies, also known as BUMN Karya, working on major projects, such as Waskita Karya and Wijaya Karya.

Himbara members continue to build reserves to anticipate loan defaults from BUMN Karya. Bank Rakyat Indonesia,