Ada Pertanyaan? Hubungi Kami 
Ada Pertanyaan? Hubungi Kami Fathan Qorib, Robert Sidauruk
Bank Indonesia (BI) conditionally approved the acquisition plan of PT Bank Danamon by the Development Bank of Singapore (DBS) Group Holding, during a meeting with Commission XI at House of Representatives in Jakarta (21/5).
During the meeting, BI Governor Darmin Nasution addressed the issue of the potential threat to national banking because of the acquisition plan.
According to Darmin, BI will only fully approve the acquisition plan if DBS agrees with the requirements set out by BI.
“We ask that the principle of reciprocity is implemented, which enables three of state-owned banks that are BNI, Mandiri, and BRI to conduct their activities in Singapore,” said Darmin.
He further noted that the three national banks must also receive licenses to provide financial services on a retail level. It will be a win-win solution offer by BI to Monetary Authority of Singapore (MAS).
Darmin stated that Singapore has agreed to this, but has not yet provided a written approval to implement such commitment.
“[Singapore] has agreed to implement principle of reciprocity, but we will wait for the formal written statement,” he asserted.
Darmin also reminded that the acquisition plan must be in accordance with BI Circular Letter No. 15/4/DPNP, which implements BI Regulation No. 14/8/PBI/2012 on Commercial Bank Ownership.
The Regulation and the Circular set out the ownership limitation of Indonesian commercial banks by foreign investors. The ownership limitation is set at 20% for individuals, 30% for non-bank financial institutions, and 40% for banks.
The limitation, however, may be waived if BI uses its discretion to allow the foreign investor to own more than 40% of an Indonesian commercial bank.
“BI will give such discretion if it supports the national financial situation and the implementation of principle of reciprocity,” he concluded.
(hot/jt)
Fathan Qorib, Robert Sidauruk
Bank Indonesia (BI) conditionally approved the acquisition plan of PT Bank Danamon by the Development Bank of Singapore (DBS) Group Holding, during a meeting with Commission XI at House of Representatives in Jakarta (21/5).
During the meeting, BI Governor Darmin Nasution addressed the issue of the potential threat to national banking because of the acquisition plan.
According to Darmin, BI will only fully approve the acquisition plan if DBS agrees with the requirements set out by BI.
“We ask that the principle of reciprocity is implemented, which enables three of state-owned banks that are BNI, Mandiri, and BRI to conduct their activities in Singapore,” said Darmin.
He further noted that the three national banks must also receive licenses to provide financial services on a retail level. It will be a win-win solution offer by BI to Monetary Authority of Singapore (MAS).
Darmin stated that Singapore has agreed to this, but has not yet provided a written approval to implement such commitment.
“[Singapore] has agreed to implement principle of reciprocity, but we will wait for the formal written statement,” he asserted.
Darmin also reminded that the acquisition plan must be in accordance with BI Circular Letter No. 15/4/DPNP, which implements BI Regulation No. 14/8/PBI/2012 on Commercial Bank Ownership.
The Regulation and the Circular set out the ownership limitation of Indonesian commercial banks by foreign investors. The ownership limitation is set at 20% for individuals, 30% for non-bank financial institutions, and 40% for banks.
The limitation, however, may be waived if BI uses its discretion to allow the foreign investor to own more than 40% of an Indonesian commercial bank.
“BI will give such discretion if it supports the national financial situation and the implementation of principle of reciprocity,” he concluded.
(hot/jt)