Bank Mandiri Persero Tbk PT : Teams Up with Telcos to Boost Financial Inclusion

Jakarta, 27 April 2015 - Bank Mandiri is working together with telecommunications providers PT Telekomunikasi Indonesia (Persero) Tbk, PT Telekomunikasi Selular Tbk, PT Indosat Tbk, and PT XL-Axiata Tbk to strengthen financial inclusion. The collaboration is expected to support the Government's drive to improve access to financial services and encourage cashless transactions.

Among other things, the collaboration involves the co-branding of electronic money products so that marketing and education endeavors can be conducted more effectively and efficiently. In addition, each of the parties involved will also be better able to optimize their networks and infrastructure.

The collaboration was launched at Plaza Mandiri in Jakarta on Monday (April 27) at a ceremony that was also attended by representatives of government agencies and the private sector.

During the initial stage, the collaborative arrangements will be rolled out in three cities / regencies in West Java -- Bandung, Garut and Tasikmalaya. The official launch came on the heels of soft-launching road shows that were conducted between the end of March and the middle of April in the three cities / districts.

Bank Mandiri Consumer Banking Director Hery Gunardi said that the Bank's collaboration with the telcos was the the first of its kind in Indonesia.

"Through this collaboration, we hope that Indonesia's commitment to providing financial access to the entire community can be realized," said Hery. Increased levels of financial inclusion, he said, will have a positive influence on the overall Indonesian economy."

Public interest in the partnership was evident during the soft-launching road shows for Mobile Phone Accounts in Bandung, Garut and Tasikmalaya. As of 24 April 2015, approximately 1,500 users had already signed up.

Telkomsel Director of Planning & Transformation Edward Ying said that the forging of synergies between the banking and telecommunications sector was part of the effort to support the government's program to realize a cashless society. The endeavor was also consistent with Telkomsel's vision of encouraging the creation of a digital society in Indonesia.

"We welcome this collaboration between the Bank and the three largest mobile operators in the country. Telkomsel, with more than 140 million subscribers and a network that covers even the remotest areas, is fully committed to supporting this initiative," said Edward.

Indosat President Director & CEO Alexander Rusli said that his company was very excited about the collaboration between the telecommunications and banking sectors so as to support the Financial Inclusion Program and the National Non-cash Movement.

"We ourselves started the process with Dompetku and have been consistently developing this service in order to support the mobile agenda in Indonesia. Through this cooperation, we hope that cellular subscribers throughout the entire country will be able to conduct their financial transactions more easily and securely," said Alex.

In addition, he said, the collaboration between Bank Mandiri and telcos will help improve efficiency in the implementation of digital financial services, including the fact that the distribution networks of telcos can help support banking agency services.

XL Chief Digital Services Officer Yessie D. Yosetya said that the collaboration was in line with XL's commitment to supporting the government's programs to encourage an increase in cashless transactions among subscribers and the public at large.

"With this partnership, XL will be able to support an increase in financial inclusion in Indonesia. We hope that both our subscribers and society as a whole will increasingly benefit and be facilitated by this partnership," said Yessie.