Indonesian Govt to Merges Sharia Business of Two State Banks

The State Own Enterprises (SOEs) ministry will merge the sharia Unit of PT Bank Tabungan Negara Tbk (IDX: BBTN) with PT Bank Syariah Mandiri (BSM), a subsidiary of PT Bank Mandiri Tbk (IDX: BMRI) - Photo by BSM Office

JAKARTA (TheInsiderStories) – The State Own Enterprises (SOEs) ministry will merge the sharia Unit of PT Bank Tabungan Negara Tbk (IDX: BBTN) with PT Bank Syariah Mandiri (BSM), a subsidiary of PT Bank Mandiri Tbk (IDX: BMRI), the official told TheInsiderStories today (10/09). The ministry had planned to merge three sharia banks and set up new holding for the Islamic banking.

According to deputy minister Gatot Trihargo, after merged the two entities, BBTN will have share in BSM. However, Trihargo did not elaborate the shareholders composition in the new entity and there is no clarity about the consolidation scheme.

The ministry targeting new holding companies (holdco) establish in this year, said the minister Rini Soemarno on Jan. 16. The unfinished-holdings are infrastructure, insurance, housing, industrial estate, port, defense, pharmacy, cement, and financial sector.

Trihargo adding, that insurance holding will be established soon. The insurance holding acceleration is expected to solve PT Asuransi Jiwasraya’ policy default issue, by restructuring its business.

Meanwhile, financial holding that consists of PT Bank Rakyat Indonesia Tbk (IDX: BBRI), PT Bank Mandiri Tbk (IDX: BMRI), PT Bank Negara Indonesia Tbk (IDX: BBNI), PT Bank Tabungan Negara Tbk (IDX: BBTN), PT Pegadaian, PT Permodalan Nasional Madani, and PT Jalin Pembayaran Nusantara to follow.

Trihargo revealed, sharia banks will follow later. Those have their own road map and still under discussion for the holding establishment. The financial holding will be led by investment management financial services PT Danareksa while the sharia bank under BSM or PT BNI Syaria.

No explanation on the other holdco. But recently the ministry official has mentioned toll road operator PT Hutama Karya will lead infrastructure companies and housing developer PT Perumnas in housing sector. But no cleared information the leader of industrial estate, port, defense, pharmacy, cement, and financial sector.

As known, Soemarno has been assigned a special task by President Joko Widodo to merge SOEs under six holdcos in various sectors such as mining, oil & gas, infrastructure and construction, housing, financial services, also food and commodities.

So far, the ministry has succeed established two holding companies in mining lead by PT Indonesia Asahan Aluminium and Oil & gas holding under energy producer PT Pertamina. The complicated rule and administration become the handicap on the SOEs moves to create new holdco.

Written by Staff Editor, Email: theinsiderstories@gmail.com