Three State-Owned Enterprises Form Joint Venture Bank

Jakarta, Aug 21 (Antara) - Three state-owned enterprises (BUMN) PT Bank Mandiri (Persero) Tbk, PT Pos Indonesia, and Taspen realized the formation of a joint venture bank with Bank Sinar Harapan Bali (BSHB) as a vehicle of implementation and cooperation. President Director Mandiri Budi Gunadi Sadikin stated here on Thursday that the realization and formation of the joint venture bank will expand access to financial services for the community. The bank will especially focus on developing small and medium enterprises. "Through this joint venture bank, we also want to play an active role in supporting the government and Bank Indonesia in providing financial services for people in various parts of Indonesia," Budi Gunadi Sadikin stated. Earlier, in April 2013, Mandiri, Pos Indonesia, and Taspen had signed a memorandum of understanding to form a joint venture bank. In the memorandum, Mandiri will become the majority shareholder, while Pos Indonesia and Taspen will each hold 20.2 percent stake. President Director Taspen Iqbal Latanro remarked that a study conducted to form a joint venture bank revealed that most retirees still needed funding to run a business, so that they can pay for the necessities of life and the education of their children. "We hope that the synergy between these state-owned enterprises can help the retirees in getting access to funding, which is easier and cheaper," Iqbal noted. Moreover, the joint venture bank will focus on providing financial assistance to civil servants (PNS). According to data furnished by BPS, of the working population of about 118.2 million people in Indonesia, in February 2014, around 14.4 million people were civil servants. Meanwhile, President Director of PT Pos Indonesia Budi Setiawan stated that PT Pos Indonesia distributed retirement funds to approximately 700 thousand retirees and will help the growth of their credit portfolio. He considered that the extensive network of Pos Indonesia will help the joint venture bank to gain a foothold in the market. "Through this cooperation, all Indonesian people in different areas can get optimal access to banking service products," he added.