Indonesian Companies Invest Abroad

[Nike]

i will using this thread to make a compilation news about Indonesian investment abroad, trying to separate this from Indonesian Economic News.... thanks


Semen Indonesia, Wika Plan on Myanmar


By Agustinus Tetiro on 12:00 pm March 1, 2014.
Category Business, Corporate News
Tags: Indonesia infrastructure, Semen Indonesia

Jakarta. Two Indonesian state-controlled companies have set aside more than $225 million to expand in Myanmar this year, seeking to take advantage of that country’s growing demands for infrastructure projects.

Semen Indonesia — the nation’s leading cement manufacturer — has allocated $200 million to acquire a cement factory, while construction company Wijaya Karya has allocated Rp 300 billion ($26 million) to build a concrete factory.

“We’ve signed a memorandum of understanding last week with a strategic partner there. Semen Indonesia aims to become the major stakeholder,” said Dwi Soetjipto, president director of Semen Indonesia in Jakarta on Thursday.

Semen Indonesia expects to complete the acquisition in April.

Dwi said that the factory in Myanmar will supply cement to nations in the region, including Thailand, Bangladesh, Sri Lanka and the Maldives.

Meanwhile, Wika’s concrete factory in Myanmar is scheduled to be completed within a year, said Bintang Perbowo, Wika’s president director. The factory will increase its production capacity gradually, starting from 1 million metric tons next year, he added.

“The Myanmar market is very promising. The country’s state-owned enterprises like Bank Negara Indonesia and Pertamina have already entered the market there,” Bintang said.

“Funds for the expansion will come from internal fundings. We’ll be the major stakeholder through a partnership with a strategic investor there.”

Last year, Wika signed a moment of understanding with United Mercury Group, a Myanmar-based conglomerate, to establish a joint venture to build a precast concrete factory in Myanmar.

“This joint venture will build the factor on top of a five-hectare land that’s provided by UMG,” said Ganda Kusuma, director of human capital and development at Wika.

The joint venture plans to invest up to Rp 150 billion for a factory that produces 27 thousand metric ton per year.

Previously, Wika’s corporate secretary Natal Argawan Pardede had said that Wika targets to have construction works valued at Rp 49.97 trillion this year.

The construction firm posted 20 percent profit growth last year, after winning rights to several infrastructure projects in Jakarta. Wika’s shares were unchanged at Rp 2,145 on the Indonesia Stock Exchange on Friday, while shares of Semen Indonesia rose 3.8 percent to Rp 15,000.

Semen Indonesia, Wika Plan on Myanmar - The Jakarta Globe

Indonesian firms benefit from growing African economies


Linda Yulisman

The Jakarta Post

Publication Date : 21-10-2013



While local players find it hard to boost exports to non-traditional markets, a few Indonesian companies have successfully tightened their grip on overseas markets, particularly in Africa, through direct investment.

Publicly listed pharmaceutical firm PT Kalbe Farma, one of these successful companies, has set up production facilities in Nigeria and South Africa.

Kalbe, which started its African venture seven years ago, now runs its own plant in Nigeria. In South Africa, the company produces drugs at a plant owned by its local partner.

“We saw a positive business outlook in Africa, which served as a good trading basis for Kalbe with its robust sales. In the past, Africa was one of our important export destinations, which contributed highly to our sales,” said the firm’s finance director and corporate secretary, Vidjongtius.

Currently, Kalbe’s over-the-counter medicines, like Mixagrip and Woods, were very popular in Nigeria and South Africa, with each brand being among the dominant ones in both markets, according to Vidjongtius.

He said that in contrast to the common perception about Africa, the firm had not faced significant obstacles in building its business on the continent, adding that all issues, including security, were “manageable”.

“The African market will always be promising. It offers good business opportunitiesbecause the economies are growing, just like Indonesia. Therefore, consumer needs also expand along with economic growth,” he added.

Another Indonesian firm that is doing well in Africa is PT Sayap Mas Utama (Wings Group), which operates under a local unit, Eko Supreme Resources Nigeria Ltd.

Wings first entered Nigeria by introducing its famous detergent, So Klin, in 1994 and established its first plant in 2007.

Initially, Wings’ decision to build the plant was driven by the Nigerian government’s ban on imports, primarily to attract investment.

“As Nigeria was one of our main export destinations, the ruling had a great impact on our business; so we made that move. During the establishment of the plant, we could still sell our products at the courtesy of the government,” said Chris Johanda, Wings’ areamarketing manager for its international business division.

Having made steady progress, Wings now runs two factories one detergent plant and one soap plant producing So Klin concentrated detergent, Good Mama detergent and Nuvo medicated soap.

Operating local plants has allowed Wings to further penetrate the market of more than 150 million people, competing tightly not only with Nigerian firms but also multinational firms, like Unilever, P&G and Cussons.

At present, Wings held up to 50 per cent of market share in the country for its cleaning products, according to Chris.

“Ensuring supply continuity is really important for us, as consumers can easily shift to other products if we do not adequately meet demand,” Chris said.

Wings was currently preparing for further expansion in Nigeria and other parts of Africa, to benefit from the tremendous opportunities in the region, he added.

Unlike Kalbe and Wings, which have been successful through their sales of goods, PT Tirta Ayu Spa has entered the African market offering services, particularly in the field of women’s health.

The firm, which first arrived in Cameroon a few years ago, opened a spa in Douala via a franchise on the basis of a profit-sharing arrangement with a local firm in Yaounde. The franchise cost US$100,000.

“While competition in our domestic market was becoming increasingly tight, I saw tremendous opportunities in Africa. Women in Africa are now beginning to realize the need for health and beauty given their greater purchasing power due to economic growth,” said Lenywati, the firm’s founder and owner

Indonesian firms benefit from growing African economies - ANN

Indonesian Company Investment Abroad Rises


2013-04-09 11:45:03 CRI
PT Semen Indonesia is currently the largest cement producer in Southeast Asia after buying a majority stake in PT Thang Long Vietnam . PT Semen Indonesia also is the State Owned Enterprises ( SOEs ) in the first transnational Indonesia. In addition to doing business in Vietnam , Indonesia PT Semen is still exploring the possibility of opening a factory in Myanmar and Cambodia . Cement plant in Myanmar will take an investment of U.S. $ 200 million with an annual production of 1 million tons .

More and more Indonesian companies expand their business overseas , especially in Southeast Asia . Currently Vietnam , Myanmar , Cambodia and Laos as a new member of ASEAN is a major investment destination for Indonesian companies .

Indonesian corporate investment abroad also received strong support from the government .

State Enterprises Minister Dahlan Iskan said it looked invest overseas Indonesian company as commendable in the process of trade liberalization and globalization . He looked invest overseas Indonesian company would guarantee supplies of raw materials and production business through increased market share . It will also enhance the competitiveness of Indonesian companies . Dahlan warns Indonesian company law of the country in order to understand the investment destination , particularly trade laws and local labor laws . The company also encouraged to work with local businesses and realize the principle of mutual benefit . Private companies are encouraged large size enterprises SOEs have also initiated investments abroad .

Investasi Perusahaan Indonesia di Luar Negeri Meningkat - china radio international

 

[Nike]

Liberia: Govt Secures Huge Investment in Palm Oil Production


Monrovia — The Liberian government has announced that it is in the final stages of securing a U.S. $1.6 billion Indonesian investment in palm oilproduction which is expected to create 35,000 jobs.

Richard Tolbert, chairman of the country’s National Investment Commission, told AllAfrica in an interview that the investment, in south-eastern Liberia, will give a major boost to the country’s post-conflict economy.

“The government has about 33,000 persons on its payroll,” he said. “Here we have one company that will provide jobs for about 35,000 persons. These jobs, I believe, will create livelihoods for about 300,000 to 400,000 people.”

The investment deal is with Golden VerOleum, a company headquartered in Indonesia which is a subsidiary of Golden Agri-Resources (GAR), one of the world’s leaders in palm oil production.



Tolbert said when the agreement is concluded, Golden VerOleum will need more than 200, 000 hectares for an oil palm plantation in the south-east, a region that is among the country’s poorest. He said in addition to creating jobs and helping to decentralize Liberia’s economy, the company has budgeted about $400 million for palm oil mills and eventually for refineries.


NIC

Richard Tolbert, Chairman of Liberia’s National Investment Commission

“Not just crude palm oil will be exported out of Liberia,” he said. “but there will be downstream processing as well.” He said a social component of the investment should ensure that the company builds houses, schools and clinics in the area in which it will work.

The government recently signed another agreement valued at U.S. $800 million with Sime Darby, a Malaysian company, for a similar investment in the oil palm sector in western Liberia. Until now, oil palm production in the country has attracted little attention from multinational companies compared to Liberia’s traditional exports – iron ore, rubber, timber, gold and diamonds.

The International Financial Corporation (IFC), a member of the World Bank Group, last year presented the government with the findings of a study that reviewed the country’s oil palm sector, assessing its competitiveness and identifying potential investment opportunities. A press release quoted IFC resident representative Jumoke Jagun as saying that the sector has potential “to attract significant private investment, and to be a key driver of inclusive growth, development and job creation for the country.”

Tolbert said the government had been engaged in discussions with Golden VerOleum for about a year. Arising from early contact, he and Agriculture Minister Florence Chenoweth had led a Liberian delegation to the company’s plantations in Indonesia.

President Ellen Johnson Sirleaf ‘s administration has attracted a number of big investments from multinational companies since her election in 2005. Tolbert attributed this to good governance practices: “I believe we have decisively turned the corner as far as political stability is concerned,” he said.

Arcelor Mittal, one of the world’s largest steel companies, began operations in Liberia in 2007 following a re-negotiation of the terms of an earlier agreement. It also has an investment of U.S $1.6 billion, although its job creation potential is about a tenth of that promised by Golden VerOleum. Arcleor Mittal’s operations have also been hard hit by the global financial crisis.

In an interview with AllAfrica last year, Joe Matthews, chief executive officer of Arcelor Mittal Liberia, said the country was making progress but there still was a long way to go. “There are a lot of companies coming in and bringing Western practices of good corporate governance,” he said, but change was difficult. “It is not going to happen overnight but the will is there.”

Another major investor is Buchanan Renewables, a company operating in the port city of Buchanan in Grand Bassa County. It buys old rubber farms, turns trees which have exhausted their potential into wood chips and ships the chips to Europe for fuel. The company is also helping to replant rubber trees and plans to construct a 35-megawatt power plant that will provide electricity from renewable sources to Monrovia and surrounding areas.

Liberia’s economy was virtually shattered by the civil war that ended in 2003. An estimated 80 percent of Liberians were unemployed and the 2005 national budget totaled only $80 million. Taxes on the revenue generated by investments has helped the government to triple its national budget in just a few years, Tolbert said in the interview.

From: Allafrica.com

Liberia: Govt Secures Huge Investment in Palm Oil Production » Africa Agriculture News

 

[Nike]

Business forum to accompany
CEAPAD II
Novan Iman Santosa, The Jakarta Post, Jakarta | Business | Sat, March 01 2014, 12:10 PM

The private sector will be involved with the Conference on Cooperation Among East Asian Nations for Palestinian Development (CEAPAD) II, through the organization of a business forum and trade expo on Saturday and Sunday.

Indonesia is hosting the second of the ministerial-level CEAPAD events. The conference is being held at the Borobudur Hotel and will be officially opened by President Susilo Bambang Yudhoyono at the Foreign Ministry on Saturday.

Previously in 2013, CEAPAD I, held in Tokyo, also involved the private sector to support the development of Palestinian people’s prosperity. The CEAPAD II Business Forum and Trade Expo will include businesspeople from Palestine, Indonesia and other CEAPAD countries.

“The main objective [of the event] is to increase the exposure of added value and skills that are owned by Palestinians, in a global forum,” Mohamad Bawazeer, chairman of the Middle East and Organization of Islamic Cooperation (OIC) Committee at the Indonesian Chamber of Commerce and Industry (Kadin), said in a media statement.

The event is co-organized by the Indonesian Foreign Ministry and Kadin’s Middle East and OIC Committee.

CEAPAD is an initiative of Japan to accompany and assist East Asian countries to help Palestinians prosper.


The business forum will hear presentations on the potential opportunities and capabilities being offered by Palestine and Indonesia, which will be delivered by officials from both countries. Palestine and Indonesia will also sign a Joint Business Council agreement. The business forum will end with one-on-one business matchmaking.

The trade expo will feature 30 companies from Palestine and from East Asian countries offering their products.

Bawazeer was upbeat that the event would increase awareness and interest among participants and visitors on the importance of accelerating development in Palestine for the benefit of Palestinian people.

Business | The Jakarta Post

Indonesian Business Keen on Pakistan Opportunities
By Dion Bisara on 5:00 pm October 2, 2013.
Category Business
Tags: Pakistan

Karachi. An Indonesian business delegation to Pakistan’s commercial capital, Karachi, has ended on a high note with officials predicting trade between the two countries potentially doubling in the near term.

The products include surgical/medical equipment, compressed natural gas converters, machinery, and garments.

Indonesia and Pakistan signed a preferred trade agreement, which came into effect on Sept. 1. The agreement cuts or eliminates import duties for both countries’ products and paves the way for a free trade agreement between the two countries.

Rossalis R. Adenan, Indonesian consulate general in Karachi, estimated the agreement could double bilateral trade to more than $3 billion in the next three or four years, from $1.6 billion in 2012.

“I am very confident we can reach that target if business is able to build on the opportunities and contacts from this trip,” Rossalis said on Sunday.

But challenges still remain including the lack of knowledge on Pakistan’s market and Indonesian investors’ views on the political situation such as the recent spate of bombings across the South Asian nation. Rossalis noted Indonesian exports to Pakistan dropped 13 percent to $652 million in the January-June period from the same period last year.

One challenge for Pakistani businessmen, Rossalis said, is the difficulty for them in getting an Indonesian visa, compared to countries like Malaysia.

Pakistan is in the “Calling Visa” group, along with countries like Afghanistan, Israel and North Korea, meaning they face a longer, more intensive visa application process.

Majyd Aziz Balagamwala, founder of Pakistan Indonesia Business Forum, said this should be a minor obstacle for the government as, with some political will, it could easily come up with a compromise for investors.

Balagamwala said now the PTA has come into effect it is now up to Indonesia to take steps to improve trade with Pakistan.

‘‘If we move one step, you have to move two steps. You have to make yourself a market,” Balagamwala said.

Pakistan is Indonesia’s 23rd largest non-oil and gas export destination — with total exports rising 48 percent to $1.4 billion last year — after countries like South Africa, the UAE and Brazil, according to Trade Ministry data.

Indonesia was the 21st largest export destination for Pakistani goods and products with exports including kinnow orange, seafood, textiles, cotton yarn, medical equipment, rice, wheat and carpets.

Still, for few Indonesian businessmen, there are plenty of opportunities in Pakistan. “We have to raise our hat to Pakistan, in some sectors they are fairly well advanced,” said Ilhamy Elias, chairman of committee for Pakistan, Afghanistan, Bangladesh and Nepal at the Indonesia Chamber of Commerce and Industry (Kadin).

“They have been making their own machines, which enable them to cut costs, while their labor costs are low,’’ he said.

Ilhamy led the delegation to the Pakistan Expo 2013 in Karachi on Sep. 25-29 with the trip paid by the Trade Development Authority of Pakistan (TDAP).

Ilhamy added that Pakistani medical equipment was very reliable and are sold at competitive prices.

Sharmila, chairwoman of the Indonesian Women Entrepreneurs Holding Cooperative, said Indonesian consumers may find Pakistani garments attractive.

“They are cheap and can be an alternative to Chinese products,” she said.

Sharmila said Pakistan could also be a source for rice, fruits and beef with low prices offering the prospect of high returns.

For example, a kilogram of beef sells for around Rp 30,000 ($2.60) in Karachi, compared to Rp 88,000 a kilogram in Jakarta.

Ridwan Hamid, a director at Maser Indonesia, said Pakistan makes good converters for compressed natural gas, which can be used for Indonesian cars that switch fuel to gas from gasoline.

Ridwan also noted that there were opportunities in power generation, as Pakistan switches to coal to satisfy its growing energy demand. “There are issues about security, but once they can get over them, the possibilities are endless,” Ridwan said.

“All we know about is what we see on TV, but Pakistan is a huge country, after all. We should know better,” he said, referring to times in the past when Indonesia received bad publicity in foreign media.

Muhammad Zubair Motiwala, chairman of the Sindh Board of Investment said the country is trying to attract more investment to Pakistan, particularly in power generation sector.

“We want you to come here and make money,” he said.

Indonesian Business Keen on Pakistan Opportunities - The Jakarta Globe

 

[Indos]

Medco Energi Makes New Discovery in Libya

October 1, 2014
Indonesia’s PT Medco Energi Internasional, through its subsidiary Medco International Venture Ltd. made a new discovery in Libya. The discovery was on Area 47 with the drilling of the O2 well, which was spud on May 23.

The well was drilled to a total depth of 10,780 ft and the company said the initial tests had the well flowing at a rate of 3,300 bpd of oil and 140 Mcf/d of natural gas in the Top Lower Akakus formation. The O2 well location lies outside reservoir closing contour, and proved the existence of a stratigraphic element that may have connection to multiple structures in the area. The success with the O2 well and the previously drilled P2 add to the reserves in the prolific Ghadames Basin where Area 47 is located.

Medco also reported that the government of Libya has declared the B, C, and J structures of Area 47 commercial. Medco, along with its partners NOC and Libyan Investment Authority, will commence this development together with the A, D and F structures, previously declared commercial in 2011. Combined, the total estimated oil and gas recoverable reserves are at 250 million barrels of oil equivalent.

Lukman Mahfoedz, president, director and CEO MedcoEnergi, stated, “These successes prove our Company’s strong capability in exploration with more and more discoveries of new oil and gas resources in Indonesia as well as overseas. This achievement will contribute to MedcoEnergi’s growth by adding oil and gas reserves and increasing the Company’s reserve life index.”

Copyright 2014. Petroleum Africa

Medco Energi Makes New Discovery in Libya | Oil&Gas Eurasia

Arifin Ponogoro (Founder)

Company website :

Commisioners

 

[Indos]

Another One, Samudera Indonesia, shipping company. Some of this company Investment abroad

In Singapore under these companies

SINGAPORE
Foremost Maritime Pte. Ltd.
6, Raffles Quay # 25- 01, Singapore 048580
Tel : (65) 64031687
Fax : (65) 64031888
Email : rcshipping.singapore@samudera.com

Silkargo Logistics (Singapore) Pte.Ltd.
6, Raffles Quay # 25- 01, Singapore 048580
Tel : (65) 6224 3633
Fax : (65) 6224 8551
Email : rcshipping.singapore@samudera.com

AT A GLANCE

PT Samudera Indonesia Tbk. (“Samudera Indonesia” / “the Company”) was established in 1950s as shipping agent. Samudera Indonesia was founded by Indonesia’s entrepreneur known as the legend in Indonesian shiping, namely Mr. Soedarpo Sastrosatomo. In 1964, Samudera Indonesia was officially registered as a Company. With almost half a century of experience, the Company has been transforming to be a renowned integrated end-to-end logistic and cargo transportation company in the world.

Samudera Indonesia continues to ensure the timely delivery of customers’ cargo by the operation of ships, trucks, warehouse, container depot, and ports in an integrated and complete logistic chain. As a company operating in Indonesia with partnership with globally-known shipping companies, the Company was listed in Indonesia Stock Exchange in 1999. Supported by 1.000 qualified staff, 50 subsidiaries, and 40 branch offices in all major ports of Indonesia and Asia, as well as representative offices and agencies all over the world, the Company strives to service the customers, wherever industry they are in.

Currently, Samudera Indonesia has grown and developed in domestic and international market with the competence and lengthy experience in four lines of business, namely shipping, logistics, terminals, and agencies.

LINE OF BUSINESSES
Here in Samudera Indonesia we offer array of logistics line of businesses covering sea and land transportations, forwarding, warehousing, and distribution of goods to terminal-related services and agencies for main line operators.With our local knowledge and experience, our lines of businesses aim to provide you with the individual solutions that are tailored to satisfy your logistical needs.

Regional Container Shipping

• 
• Domestic Container Shipping
• BULK CARRIER, OFF SHORE,
• TANKER
• 
  
• TERMINAL
• PROJECTECT LOGISTIC
• INLAND TRANSPORT
• CONTAINER DEPOT
• OTHER LOGISTICS

Soedarpo (Founder) also fought for Indonesia independence against Dutch in diplomatic front

Company Website

Our Services | Samudera

 

[black-hawk_101]

Why not they invest in Real Estate of Northern Karachi, building Thatta, Badin and Hyderabad.

 

[Indos]

CT Corp Expands Trans Studio to Thailand and India

By Agustiyanti on 11:32 am Dec 14, 2013
Category Business, Corporate News
Tags: Chairul Tanjung, CT Corp, India, Thailand

CT Corp, a diversified business group founded by Chairul Tanjung, announced a massive expansion plan this week to boost its regional reach. The group aims to capitalize on its domestic success in the theme park business by building Trans Studio parks in Thailand and India next year.

Trans Studio is a theme park brand whose branches in Makassar, South Sulawesi and Bandung, West Java, are some of the world’s largest indoor theme parks.

Chairul said the group’s success with Trans Studio Bandung has attracted many foreign investors interested in developing similar concepts overseas. The groundbreaking for the Trans Studio parks in Thailand and India is expected to start next year, Chairul said from Trans Studio Bandung on Thursday.

The group has joined hands with local partners in Thailand and India to build the parks, Chairul said, though he declined to name any, or the estimated funds required to finance the development of the parks.

CT Corp had earlier announced that it planned to build 20 Trans Studio theme parks outside of Jakarta, Bandung, and Makassar by 2020. An estimated Rp 40 trillion ($3.3 billion) will be needed to finance the development of the parks.

Trans Studio theme park in Bandung attracts approximately 4,000 visitors per day, with foreign visitors representing 9 percent of the guests, said Chairul, one of Indonesia’s top business figures worth $2.05 billion according to Globe Asia.

Local talent was responsible for most of the planning behind Trans Studio’s innovative streak, Chairul said.

Previously called Para Group, the conglomerate behind Trans Studio was rebranded as CT Corp in 2011.

The group’s business interests range from financial services to the media, retail, lifestyle, entertainment, property and agriculture sectors.

The group controls Bank Mega and through its Trans Corp unit operates TransTV and Trans7, two of Indonesia’s free-to-air television operators.

The group also controls hypermarket chain Carrefour Indonesia.

At Thursday’s event, Chairul also called on the government to develop human capital, which in turn could lead to the creation of an entrepreneurial spirit and a research-centric culture in Indonesia.

Indonesia is home to 240 million people and its economy is valued at $878.2 billion. India’s economy, by comparison, is valued at $1.84 trillion while Thailand’s is $365.9 billion, according to data from the World Bank.

Chairul also called on the government to offer fiscal incentives and intellectual property protection to local investors. As an example, Chairul suggested giving tax breaks to companies looking to build research and development centers.

He added that Indonesia’s business sectors needed significant restructuring. Currently, a increasing demand or growth in the manufacturing sector is followed by a surge in the import of raw materials and capital goods.

“Considering this, Indonesia should focus on two industries that are crucial in providing raw materials: petrochemicals and steel,” Chairul said.

Almost every industry needs these two materials to run, therefore developing a strong petrochemical and steel industry is essential, Chairul added. He urged Indonesia to act quickly as planning petrochemical and steel projects requires endurance and a long-term commitment.

He mentioned this with reference to Indonesia’s tendency to dismiss golden opportunities when rising commodity prices have led to additional revenues in the past.

According to Chairul, this happened at least twice in Indonesia’s history: the oil boom in 1970s to ’80s and the tropical logging industry in the 1980s to ’90s.

“With an increasing awareness of our depleting oil supply and the need for conservation [of tropical forests], Indonesia is looking to other resources, like coal,” Chairul said. “Of course, this is a strategic move, but will we repeat the same thing with coal as we did with oil?”

CT Corp bought a 60 percent stake in Carrefour Indonesia for $672.7 million in 2012. With this transaction, it became the sole owner of Carrefour Indonesia, up from its previous holding of 40 percent.

Chairul said that innovation was imperative for Indonesia’s businesses.

CT Corp Expands Trans Studio to Thailand and India - The Jakarta Globe

Chaerul Tanjung (Founder)

 

[AndrewJin]

Good news from Indonesia!

 

[Nike]

Indonesian companies using homegrown profits to buy assets abroad - Nikkei Asian Review

 

[Indos]

Inter Milan Sells 70% Stake To Indonesia's Erick Thohir At $480M Valuation

10/15/2013 @ 12:44PM 19,568 views

announced the sale of 70% of the club to a group led by Indonesian sports investors Erick Thohir for a reported €250 million. Thohir, who also has a hand in the NBA’s Philadelphia 76ers and MLS team D.C. United, will become the latest owner of a major European soccer club from a so-called emerging market, as Inter joins teams like Chelsea, Manchester City, Paris Saint Germain, and AS Monaco, among others.

Inter Milan battling eternal rivals AC Milan last year - Image credit: AFP/Getty Images via @daylife

The club officially announced the sale to Thohir’sInternational Sports Capital, yet it was the Italian media that revealed the price tag: Italian daily Corriere della Sera reported the 70% stake cost Thohir just over €250 million, or about $340 million. Inter Milan, therefore is worth approximately $480 million; earlier this year, Forbes pegged the team’s value at $401 million, making it the fourteenth most valuable soccer club in the world. The list is topped by Real Madrid ($3.3 billion), Manchester United ($3.165 billion), and FC Barcelona ($2.6 billion).

Thohir will effectively control 35% of the shares, with Moratti sitting on a 30% stake, and the Indonesian’s business partners Rosan Roselani and Handy Soetedjo splitting the rest. Thohir, who owns a big chunk of D.C. United with the former and worked on the 76ers deal with the latter, is the Chairman of Mahaka Group in Indonesia, with interests in TV and print media. Thohir’s brother Garibaldi, or “Boy” as he’s nicknamed, is a billionaire and has been valued at $1.15 billion by Forbes, while their father Teddy was one of the founders of Indonesian conglomerate Astra International.The Indonesian mogul’s descent upon the city of Milan can be both a blessing and a curse. The media is already speculating whether Thohir has the “passion” to the lead the team to on pitch success. “Money, to be sure, won’t be lacking,” read a piece in Italy’s influential sports daily, Gazzetta dello Sport about Thohir, “what’s doubtful is whether the passion is there.” Moratti has held the helm at Inter since early 1995, winning 16 trophies including a FIFA Club World Cup, one UEFA Champions League, and five Scudetti (Italian league titles), four of them in a row. While he has been criticized for being impulsive, Moratti’s loyalty to the club and his love for the team have never been questioned.

Thohir will have a harder time convincing Inter’s diehard fans he’s up to the task of being both a savvy businessman and a crowd-pleaser who can deliver victories on the pitch. Recent history may be on his side, though, as long as he’s willing to drop the big bucks. Billionaire Roman Abramovich has been resisted by Chelsea’s supporters from day one, but the Russian tycoon has helped the club remain flush with cash, signing top players, becoming a consistent title contender, and even bringing back legendary coach Jose Mourinho.

Manchester City provides another precedent of successful foreign ownership. Under the ownership of Abu Dhabi’s Sheik Mansour bin Zayed Al-Nahan, the team managed its first major league title in over 40 years, counting with top stars like Segio “Kun” Aguero, Yaya Toure, and Samir Nasri in its lineup.

Teams looking to compete in the top echelons of global soccer have been forced to look East for years. British teams led the charge, as the English Premier League saw rising ratings from Thailand to the Philippines. Over the past several years, Spanish powerhouses FC Barcelona and Real Madrid have caught up with Manchester United, with the latter finally outpacing them as most valuable team this year. Inter, which counts with the likes of Nike, Deutsche Bank, Tim, and Pirelli as its major sponsors, will benefit from greater exposure to Asian markets. The question remains, though, whether Thohir will have the skill beyond the conference room, recruiting both top talent and top advertisers, to deliver on pitch success.

Inter Milan Sells 70% Stake To Indonesia's Erick Thohir At $480M Valuation - Forbes

Erick Thohir (Founder)

He is also an owner of Republika newspaper, can be said as a media that bring Islamist agenda in Indonesia.

Pertamina revives overseas
acquisition plan
Amahl S. Azwar, The Jakarta Post, Jakarta | Business | Wed, February 20 2013, 12:33 PM

- See more at: Pertamina revives overseas acquisition plan | The Jakarta Post

Indonesia’s state-owned oil and gas firm PT Pertamina has resumed its campaign to acquire oil and gas blocks overseas to boost the company’s production for 2013 after last year’s planned acquisitions fell short of the original target, a company executive has said.

Pertamina investment-planning and risk-management director Afdal Bahaudin told The Jakarta Post on Tuesday the firm, currently the second-biggest oil producer in the country behind US-based Chevron, would continue its plan to acquire oil and gas blocks overseas.

“Last year’s target of reaching an additional output of around 25,000 barrels per day [bpd] of oil from overseas acquisitions has yet to be reached. Hence, we will try to make it happen for this year’s target,” he said in a telephone interview.

Pertamina has been exploring opportunities to acquire oil and gas blocks overseas to boost its own oil production level, which is currently between 170,000 and 200,000 bpd, trailing behind top producer Chevron Pacific Indonesia with around 350,000 bpd.

Last year, Pertamina announced the firm was seeking an additional 32,000 bpd of oil by acquiring five overseas oil and gas blocks, including one in Venezuela. At that time, Pertamina said it planned to buy a 32 percent stake from the South American country’s Petrodelta SA.

However, as the political situation in Venezuela has yet to return to normal following the deteriorating health of President Hugo Chavez, the acquisition plan has yet to be concluded.

Last year, Pertamina also planned to buy a stake in Canada-based Coastal Energy, which has assets in several regions in Southeast Asia. Pertamina ultimately withdrew the plan following disagreement over the purchasing price of the stake.

In December, Pertamina signed an agreement with US-based ConocoPhillips to purchase the New York-listed firm’s Algerian unit, North ConocoPhillips Algeria Ltd. in a transaction reported to be worth US$1.75 billion.

While Pertamina was looking to obtain an additional 35,000 bpd from the Algerian block, the plan has yet to be approved by the local government due to recent militant attacks in January in which several foreigners were held hostage.

On Tuesday, Pertamina’s Afdal said the firm would continue to “exercise every opportunity” to obtain production of oil and gas basins abroad, but added that “the firm was bound by the non-disclosure agreements on several talks.”

Pertamina has been reportedly looking at oil and gas blocks in Gabon, which was also once a member of the Organization of Petroleum Exporting Countries (OPEC) before quitting in 1994.

Pertamina expects to increase production to 243,920 barrels per day (bpd) at the end of this year, a 24.4 percent increase from the 196,060 bpd it booked in 2012. Pertamina’s subsidiary, PT Pertamina EP, is expected to make the biggest contribution of 137,200 bpd to the target, followed by its other subsidiaries, Pertamina Hulu Energi with a target of 76,000 bpd and Pertamina EP Cepu with 10,800 bpd.

Pertamina is aiming to produce 1,691 million standard cubic feet of natural gas per day this year, up from the 1,539 it produced in 2012.

In 2012, the firm reaped $2.76 billion in net profits, an 18.4 percent increase from the $2.33 billion it booked the previous year. - See more at: Pertamina revives overseas acquisition plan | The Jakarta Post

 

[Indos]

PT Semen Indonesia to increase plants in Vietnam
Kamis, 27 Juni 2013 17:18 WIB | 1.380 Views

Jakarta (ANTARA News) - PT Semen Indonesia Tbk. (SMGR) plans to increase its cement production capacity in Vietnam by expanding and increasing the number of its plants in that country, its president director, Dwi Sutjipto, said.

"The expansion plan has been fixed and tomorrow state enterprises minister Dahlan Iskan and I would meet with the Vietnamese President with regard to it," he said on the sidelines of "BUMN Innovation Expor & Award 2013" here on Thursday.

He said they would discuss business development in that country in the meeting with the Vietnamese president and making that country as the hub of cement marketing for the ASEAN region.

"We wish to know market development in Vietnam directly from the Vietnamese president," he said.

PT Semen Indonesia early in 2013 entered Vietnam by acquiring around 70 percent of shares of Thang Long Cement Vietnam.

To acquire the Thang Long shares PT Semen Indonesia invested around Rp1.5 trillion.

Right now the production capacity of Thang Long cement factory reaches 2.3 million tons a year and they are mainly for meeting domestic needs in that country.

"Right now we have two factories, one in North and another one in South Vietnam. We wish to expand the factory in South Kalimantan

in view of the big market there, which is located close to Malaysia and Brunei Darussalam," he said.

Dwi however did tell about the investment that has been prepared for the expansion plan.

He said the planned talks with the Vietnamese president would not only touch on the matter but also on field problems such as land status and legality.

He admitted no obstacles had been met so far as bureaucracy, work atmosphere and security in Vietnam was good.

"We only wish production of PT Semen Indonesia would continue to increase at home and abroad," he said.

In 2013 PT Semen Indonesia`s production is set at more than 15 million tons coming from Semen Padang 6.5 million tons, Semen Tonasa 7 million tons, Semen Thang Long 2.3 million tons and from Rembang whose development is expected to be completed this year with a capacity of around 3 million tons.

(H-YH/B003)

PT Semen Indonesia to increase plants in Vietnam - ANTARA News

 

[Indos]

June 17, 2014 10:14 pm JST

Storm Ventures ahead for Indonesia's Medco Energi
WATARU SUZUKI, Nikkei staff writer

JAKARTA - Medco Energi Internasional expects to increase production in the Middle East by the equivalent of 2,800 barrels of oil per day following the acquisition of oil and gas assets in Tunisia owned by Storm Ventures International, a subsidiary of Canada's Chinook Energy.

The $114 million deal is subject to Tunisian government approval, but is expected to be completed by early December. The purchase will be made by Medco Tunisia Petroleum, a wholly owned subsidiary of the Indonesia-listed energy company.

"It will strengthen and expand our global presence, particularly in Middle Eastern and North African countries," said Lukman Mahfoedz, Medco Energi's president and CEO. The company already has operations in Yemen, Oman and Libya.

Storm Ventures brings with it participating interests in eight working areas in Tunisia with concession periods of 30-50 years, two of which are already in production. Three of the areas are offshore.

In a separate announcement, Toronto-listed Chinook Energy said the divestment will end the company's overseas operations and enable it to focus on domestic production from its assets in the Western Canadian Sedimentary Basin.

Storm Ventures ahead for Indonesia's Medco Energi- Nikkei Asian Review




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IPTN North America

IPTN North America ( one of PT Dirgantara subsidiary/ State Owned )

Company Information

IPTN NORTH AMERICA, INC. (INA, Inc.) is an Aerospace parts & services trading company located in Seattle, USA. The company is a U.S. subsidiary of IAe (Indonesian Aerospace) Indonesia, and incorporated in the State of Washington. IPTN North America, Inc is managed and staffed by professionals who have at least 20 years of experience operating as supplier, agent, and partner for different companies in Indonesia, South East Asia, South Korea, Abu Dhabi, Pakistan, and the USA.

INA, Inc, services Indonesian Aerospace and it’s subsidiaries directly as well as in concert with their partners Garuda, MNA, Pelita Air Service, Mandala, and Indonesian Air Force.

We have also supplied Republic Express, PT Barata, BBI, PT Inti, Pertamina, PT PAL, Petro Kimia Gresik, and privately owned companies throughout Indonesia.

Companies serviced outside Indonesia include: GAMCO of Abu Dhabi, ROKAF of South Korea, the Pakistan and Turkish Air Forces, and Astro Trading & Technologies of the USA. We are negotiating with companies in Latin America and expect to be servicing that region soon.

Major manufacturers, which support us, include GE, Rolls Royce and Honeywell, to name a few.

In partnership with BPPT Weather Modification Services of Jakarta Indonesia and WMI of North Dakota USA, the company is engaged in the procurement of Doppler radar systems and weather modification applications for PT Inco of Sulawesi Indonesia. The partnership is also marketing this technology in Australia, Malaysia, Brunei, Pakistan and Cambodia.


IPTN NORTH AMERICA, INC. can offer competitive pricing, timely delivery and attractive financing packages. We are a “one-stop shopping” site for our customer’s needs and requirements.

AGENCY/DEALEARSHIP/SUPPLIER FOR

• SIKORSKY for Helicopter trainer S-300C
• QUEST AIRCRAFT for KODIAK 100 aircraft
• WEATHER MODIFICATION INTERNATIONAL for weather modification system in cooperation with BPP Technology
• AVMET for Weather Radar Equipment and Cloud Seeding
• ROLLS ROYCE/AVIALL for aircraft spare parts and maintenance of engine T-56 for C-130
• BECKER AVIONIC for VHF/HF radio
• GENERAL ELECTRIC for spare parts engine CT7-9C for CN-235
• HAMILTON SUNDSTRAND, GOODRICH, TELEDYNE, ROCKWELL COLLINS, BEAEROSPACE, MOOG, THALES and all CN-235 vendor items

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BNI eyes expansion in South
Korea, Myanmar

Grace D. Amianti, The Jakarta Post, Jakarta | Business | Wed, January 28 2015, 11:07 AM

State-owned lender PT Bank Negara Indonesia (BNI) hopes to secure approval from the financial regulators of South Korea and Myanmar this year to expand its international business in the countries.

BNI has proposed a “full branch” in South Korea while in Myanmar it plans to open a “representative office”, although the Southeast Asian country requires foreign banks to establish local subsidiaries to operate there, according to the bank’s top executive.

“We hope to obtain permission from the financial regulators of South Korea and Myanmar this year,” BNI president director Gatot M. Suwondo said.

BNI is expanding its reach to the overseas market as it also eyes opening full branches in Malaysia and Singapore, as well as a branch in Jeddah, Saudi Arabia.

The bank’s international presence currently spreads from London, New York, Singapore and Tokyo to Hong Kong.

“We acknowledge that it is hard to open overseas branches, because oftentimes they do not produce high revenue in the first one or two years due to a period of development. That is why we want to start small to know fully about the local market,” Gatot said.

South Korea is considered important because its investments in Indonesia are among the top 10 largest in the country and trade activities between the two countries amounted to over US$20 billion in 2013, hence increasing the potential for clientele.

“We will try to bridge investors and customers as well as other kinds of businesses, such as remittance from Indonesian migrant workers in South Korea,” Gatot said.

BNI has had a remittance business in South Korea for four years with a main service for Indonesian migrant workers, BNI senior vice president and head of international banking Abdullah Firman Wibowo said.

In the future, the bank aims to provide trade finance services for Indonesian companies that have business connections with their South Korean counterparts.

“We will start our South Korean future branch with a minimalist office, but we can also establish a Korean desk in Jakarta if needed to support the overseas office, just like our Japan desk over the last two years,” he said.

Firman said BNI would allocate a certain amount of funds as the minimum paid-up capital required by South Korea’s banking regulator, even though the value would depend on the amount of business of its future office there. “As a comparison, each overseas office of BNI has an average capital of around $50 million,” he said.

BNI has obtained approval from Indonesia’s financial regulator, the Financial Services Authority (OJK), for its expansion plan in South Korea and has submitted plans to the East Asian financial regulator.

Meanwhile, Gatot said the bank had submitted its proposal to open a representative office in Myanmar to the country’s financial regulator more than a year ago. However, the process takes a long time due to Myanmar’s internal settlement of various administrative regulations post-military junta.

“We do not know yet about Myanmar’s capital requirement to open a subsidiary there, because its parliament has yet to complete various new laws. Myanmar’s financial regulator is also in the process of translating our legal documents,” he added. - See more at: BNI eyes expansion in South Korea, Myanmar | The Jakarta Post

 

[Indos]

Path, the private social network, said it had finally closed a $25 million Series C round, adding a new investor, Indonesia’s Bakrie Global Group.

• By Kara Swisher
• @karaswisher

January 10, 2014, 5:56 PM PST

I had been pummeling founder and CEO Dave Morin for weeks about the closing of the latest funding, which I had heard was near completion and also included an international investor.

Late this afternoon, he finally cried uncle, um, confirmed the deal, noting that completing the transaction “was on the more difficult side, after a challenging 2013.”

Still, Morin said it was an up round from Path’s last investment in 2012 of just over $30 million, in which the San Francisco company was valued at $250 million, although he would not give a specific number.

Existing investors also participated in the funding, including Greylock Partners, Kleiner Perkins, Index Ventures, Insight Venture Partners, Redpoint Venture Partners and First Round Capital.

“We are excited to participate in Path’s growth moving forward,” said Bakrie CEO Anindya Bakrie, in a statement. “With solid management team and relevant development plan, Path will continue to connect more Indonesians in a personal, meaningful and productive way.”

This new money brings the total investment in Path to about $65 million. Path also raised $10 million in 2011.

In an interview, Morin said that he talked to many U.S. investors in the latest fundraising. But he noted that he was always looking for a strategic one in Asia, especially in Southeast Asia, where he said Path had good traction. “Our business there is stronger than people understand,” he said. “I was both looking to understand that market and find a local partner to expand our operations.”

Among Indonesia’s most powerful, Bakrie’s companies — which include mining, drilling, telecom and development — are quite controversial, including figuring in a horrible mudslide disaster several years ago related to its gas drilling. Due to this and other serious allegations around its businesses, Bakrie is a polarizing figure there, as evidenced by this Jakarta Post piece from a year ago.

Whether this affiliation with help or hurt Path in Indonesia is unclear, although Twitter last night lit up with comments from the country.

Path Closes $25 Million Funding, Led by Indonesia’s Bakrie Global Group | Re/code


Bakrie Group are lead by Aburizal Bakrie (Chairman of Golkar Party), it is a huge private company in Indonesia. There are only two private companies who can become 10 largest companies in Indonesia, one of them is Bumi Resources who is owned by Bakrie Group, the rest are state owned companies. All 10 biggest companies operating revenues in a year are about 20 % of Indonesian GDP/ 981 Trillion Rupiah in which PT Pertamina (state owned) contributes more than half of the figure (554 Trillion Rupiah) (2008 data).

 

[Indos]

PGN to acquire shale gas
block in US
The Jakarta Post, Jakarta | Business | Fri, May 09 2014, 6:21 PM

PT Saka Energi Indonesia, a subsidiary of state-owned gas firm PT Perusahaan Gas Negara (PGN), is set to acquire Swift Energy Company's shale gas block in Fasken, the United States, this year.

Saka is expected to complete the transaction to acquire 36 percent of participating interest in shale gas block in Fasken on June 30 with an investment of US$175 million, kontan.co.id reported on Friday.

The Fasken block is located in Eagle Ford, Houston, Texas.

Saka's operational director Tumbur Parlindungan said that the expansion was aimed at gaining knowledge on shale gas technology that Indonesia is yet to acquire.

He also said that this expansion would guarantee gas energy supply in Indonesia in the long run even though it would mean that the country needed to import the gas from the US.

"This will benefit Indonesia in the future because we have a gas shortage," Tumbur said as quoted by kontan.co.id, adding that the US government planned to construct a liquefied natural gas (LNG) plant in 2018 and Saka would be ready to supply LNG from the shale gas block in Fasken to Indonesia.

Meanwhile, PGN vice president of corporate communication Ridha Ababil said that the investment was carried out due to the huge potential of the shale gas business.

However, Ridha said that they have not decided whether they would import the gas to the country or not in the future.

"Every action needs approval from the US government," he said.

In addition, he said that there was a good chance that the publicly listed PGN through its subsidiaries would acquire more oil and gas blocks abroad. (nfo/nvn)

- See more at: PGN to acquire shale gas block in US | The Jakarta Post

 

[Indos]

Pertamina to dissolve Singapore-based Petral this year
Rabu, 22 April 2015 21:04 WIB | 1.858 Views

Jakarta (ANTARA News) - State oil and gas firm Pertamina is set to dissolve its Singapore-based subsidiary Pertamina Energy Trading Limited (Petral) this year after evaluating its benefits.

"After we change our strategy of handling the import of crude oil and fuel oil, we will take over Petrals assets," President Director of Pertamina Dwi Soejtipto said during a hearing with Commission VII of the House of Representatives (DPR) here on Wednesday.

In addition, a member of Commission VII of the DPR, Bowo Sidik Pangarso, pointed out that Pertamina should handle the import of crude oil and fuel on its own.

"Petral should not have been set up. Pertamina should manage the import of fuel by itself. I believe it can do so," he remarked.(*)

Pertamina to dissolve Singapore-based Petral this year - ANTARA News



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Indonesian Banks Go Abroad

April 19, 2015 by Rangga in ECONOMY with 0 Comments

Indonesian businesses, particularly banks, are not prepared for the upcoming launch of the ASEAN Economic Community (AEC). ASEAN stands for the Association of Southeast Asian Nations.

At the end of 2015’s first quarter, no Indonesian bank fulfilled the requirements of the ASEAN Qualified Bank (QAB).

Nelson Tampubolon of the Board of Commissioners of the Financial Services Authority (OJK) says, “Only state-owned banks had the potential to fulfill QAB categories [including the] Bank Mandiri, Bank Rakyat Indonesia (BRI), and Bank Negara Indonesia (BNI).”

Almost all private banks are owned by foreigners. Even if they are not, they are still reluctant to expand regionally.

According to OJK, expanding regionally is difficult and includes national competitiveness, assets, capital ownership levels, and market capitalization. The low efficiency and quality of human resources (HR), which impacts the high ratio of net interest margin (NIM), are also major constraints, along with the high ratio of dividends per earnings.

Strategic Role

ASEAN needs Indonesia to have a large bank with strong capital because the country covers more than 40 percent of ASEAN’s total space with a population that makes up 39 percent of ASEAN’s total population.

Indonesia also contributes 35 percent of Gross Domestic Product (GDP) to the region.

The lack of national banks which meet QAB requirements is concerning. As the largest bank, Bank Mandiri had a capitalization level of Rp 92 trillion, or $8 billion (unaudited), at the end of 2014.

Among ASEAN colleagues, such as DBS, UOB, OCBC (Singapore), and Maybank (Malaysia), who each have total asset values of more than US$20 billion, Bank Mandiri ranked seventh among banks.

Bank Mandiri also only has a capital adequacy ratio (CAR) of 16 percent, which is below the minimum QAB requirement of 17.5 percent that it must be by 2019.

But according to Rini Soemarno, Minister of State-Owned Enterprises (SOEs), Bank Mandiri is the most prepared QAB candidate in terms of capital, prospects, and business focus.

With its current capital value of Rp 92 trillion, however, it is still not enough, especially in terms of asset and capitalization requirements and market penetration.

Despite being the country’s largest bank, Bank Mandiri had only 8,000 branches throughout Indonesia until 2015. Given Indonesia’s size and population, Bank Mandiri needs to have at least 10,000 branches of equal distribution levels in every region.

From 2012 until the third quarter of 2014, OJK said that most national banks were still struggling in the western part of Indonesia. Eastern Indonesia had very little expansion.

In eastern Indonesia, branch offices increased to five, at most, during the third quarter of 2014. Growth was most concentrated in the business centers of Makassar, Palu, Kendari, and Manado.

Based on zoning areas designated by Bank Indonesia, Indonesian banks have only expanded in zones one to five. Zone six, which consists of East Nusa Tenggara (NTT), West Nusa Tenggara (NTB), Central Sulawesi (Sulawesi ), Gorontalo, Sulawesi Barat (West Sulawesi), Maluku, North Maluku, Papua, and West Papua, has not seen any expansion.

This is inversely proportional to the aggressiveness of Java banks, which add least add three branches annually. Java bank networks even extend to some provinces of zone one.

According to the Deputy Commissioner Division of Banking Supervision of OJK, Irwan Lubis, banks have been given incentives for expansion purposes in eastern Indonesia with core capital allocation based on bank location and type.

When a bank expands into zone six, the multiplier core capital is at a low 0.5. But if you invest in zone one, the region multiplier will reach five. If banks invest in zone six, they enjoy less requirements to better develop themselves.

Appropriate Strategy

When it comes to regional expansion, only a few local banks currently have branches abroad. BNI has five branches abroad – London, New York, Tokyo, Singapore, and Hong Kong. It also has one sub branch in Osaka, a limited operational branch in Singapore, and remittance representatives that have spread across Malaysia, Saudi Arabia, Qatar, the United Arab Emirates, and U.S.

BNI claims to be the first fully operational bank with automated teller machines (ATMs) at the four points in Hong Kong. BNI will also open one in Singapore in the near future.

Meanwhile, Bank Mandiri, Indonesia’s largest bank by assets, has only seven branches abroad – in the Cayman Islands, Shanghai China, Hong Kong, Singapore, Timor Leste, London, and Malaysia.

Indonesian bank efforts to obtain full branch licenses in Singapore have not yet been successful. It is even difficult to obtain an ATM permit at Changi Airport.

Unlike state-owned banks, Bank Central Asia (BCA) is still reluctant to expand abroad because of high operating costs and low profits. BCA is one of the three largest Indonesian banks in terms of capitalization and assets.

Rini Soemarno, the Minister of SOE, says the most crucial obligation for national banks to meet the QAB requirements involves increasing core capital immediately. The capital adequacy ratio (CAR) must exceed the QAB requirement of 17.5 percent.

According to Soemarno, there are two ways to achieve this – issuing new rights and reducing the ratio of dividends to earnings periodically.

Open Opportunity

Banks that are still closed in other countries, such as Laos, Myanmar, Cambodia, and Vietnam, have similar market profiles to the credit market used by Indonesian banking agents.

Although there are still some major banks in Indonesia with good levels of profitability, which are measured by Return On Equity (ROE) and Return On Assets (ROA). This means high income dividends and future tax payments.

The outstanding performance was achieved because of the crowded national banking market. Currently, in Indonesia, there are about 119 commercial banks, which consist of four state-owned banks, and 115 private banks, which are concentrated in Java and Sumatra. Only Singapore, which has 125 commercial banks, outranks the country.

Large national banks are superior given their performance and profit ability.

Malaysia has 48 commercial banks, Thailand has 30 commercial banks, and the Philippines has 36 commercial banks. Due to the fierce credit market competition, Indonesia has major potential and could reach net interest margin (NIM) levels at or even above eight percent.

The Indonesian banking sector is also somewhat inadequate, according to QAB. Its general criteria includes being well-managed, recommended by authorities and successful with the provisions of Basel. Banks must also be considered important in their home country and have a large amount of capital.

Large banks in Indonesia are relatively not that far behind their ASEAN colleagues when it comes to product portfolios. Bank Mandiri, for example, has integrated successfully with AXA Financial, a giant insurance provider from France.

The expansion of Bank Mandiri also reaches capital market products through Mandiri Securities and reaches financing products through Mandiri Multifinance. Both are locally top players. (Rangga Lesmana)

Indonesian Banks Go Abroad | Citizen Daily



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Bank Muamalat Indonesia (BMI) is a commercial bank in Indonesia operating on the principles of Islamic banking. The bank was founded in 1991, based on the initiative of the Indonesian Council of Ulamas (MUI) and under the auspices of the Government of Indonesia. Operations began in 1992. foreign exchange service began in 1994. Funding products apply the principles of Wadiah(deposit) and Mudharabah (profit-sharing). Financing products apply the principles of Bai’ (Buy and Sell), Musyarakah (Equity Sharing), Mudharabah (Profit-Sharing), and Ijarah (Rent). Bank Muamalat serves nearly 3,000,000 customers throughout Indonesia and Malaysia.

Name
"Muamalat" in terms of fiqh means the laws that govern human relations. The name Bank Syariat Islam was also considered, Syariat meaning ‘Islamic Law' in the Jakarta Charter, but ultimately not chosen. Muamalat Islamic Indonesia was also proposed.

Network
The Bank offer services through more than 270 outlets spread over 33 provinces, supported by more than 3800 Online Post Office/SOPP in Indonesia. The bank has also opened branches abroad, in Kuala Lumpur, Malaysia. Bank Muamalat is integrated with the Malaysian Electronic Payment System (MEPS), and its services can be accessed at more than 2,000 ATMs in Malaysia.

Savings accounts, Shar-e, are accessible at more than 3800 post office across Indonesia. In addition, customers can make free cash withdrawal at most ATMs in Indonesia and can make debit transactions in more than 100,000 merchants.

Bank Muamalat - Wikipedia, the free encyclopedia

Muamalat Bank

But Today, the majority stakes of Bank Muamalat are in foreigner hands, despite that Indonesian stake holders in Muamalat Bank can become the majority stake owner once again in the future as Indonesian regulatory has issued new rule which only allows foreigner to have maximum 40 % ownership of Indonesian bank.