Growth in Indonesia, already the largest economy in ASEAN economic bloc, is being driven by a powerful combination of rising affluence, urbanization and infrastructure investments to support its youthful population of almost 250 million people. That dynamic mix, coupled with an entrepreneurial and innovative business culture, has put the country on track to have the world’s seventh largest economy in terms of gross domestic product (GDP) by 2030.
In Indonesia, HSBC Group has becomes the first international bank in Indonesia to integrate its foreign bank branch into its local banking subsidiary. This is a major milestone in the Group’s 132 years history in Indonesia and reinforces the Bank’s long-term commitment to the country.
The creation of PT Bank HSBC Indonesia means that the company is better placed than ever to help the customers capitalise on an Indonesian growth story. Company’s capability is fuelled by excellent regional connectivity with fellow ASEAN economies and the linkages of China’s Belt & Road Initiative. Those reasons are the kind of business the company wants to grow in Indonesia, valuable for Indonesia and for the entire group.
Sumit Dutta, President Director of PT Bank HSBC Indonesia, sees that the integration will represents a perfect combination of HSBC Indonesia’s strong product offering and Bank Ekonomi’s geographical spread. PT Bank HSBC Indonesia will enable businesses to thrive and ultimately help customers fulfil their hopes and realize their ambitions.
“In Indonesia, our aim is to become the leading international bank, with a combined branch network of more than 90 branches in 29 cities. The integrated bank is now one of the largest banks in the country with an extensive domestic presence as well as the largest global network. We will grow in retail and business banking through investment in distribution and digital, and we will further expand our strong position in corporate and cross border business,” said Dutta.
Group HSBC Key Focus:
- ASEAN – Indonesia continue to play a significant role to liberalise the flow of goods, services, capital and, ultimately, skilled labour within the region in a bid to raise its competitiveness and facilitate investment into infrastructure. HSBC has played an active role in the development of the economies and infrastructure of ASEAN countries for the past 150 years. HSBC has more than 200 branches in the six largest markets in ASEAN. We are by far the leading foreign bank in Vietnam, and among the top leading foreign banks in Singapore and in Indonesia. We are well placed to help our customers capture the opportunities that arise from these trends.
- Belt & Road Initiative – Given Indonesia’s strong focus on infrastructure, there are many other opportunities and synergy between the Belt and Road initiative and Indonesia’s growth initiatives. We believe that Belt and Road is good for infrastructure investment; good for savers and investors; and good for Indonesian prosperity. As experts in debt, equity and project financing, HSBC can play an instrumental role in arranging and advising on funding for the planned infrastructure.
- Digital Banking & Innovation – Digital technology is rapidly changing the world. At HSBC (as a group) we’re working alongside FinTech companies to harness the opportunities arising from new technology to offer a wider range of products while making banking simpler and more secure for our customers. We are investing more than USD 2 billion in digital transformation .This has already resulted in a series of new technologies being made available to our retail and corporate clients – as well as numerous partnerships that will help us stay at the forefront of digital innovation.
|HSBC’s long presence in Indonesia is reflected in the following significant milestones in our history|
|1884||First branch opened in Batavia (Old Town Jakarta)|
|1896||Surabaya branch opened to support the sugar trade in the region|
|1968||HSBC Indonesia reopened after ceasing operation due to the Second World War|
|1990||HSBC Bandung, Batam, Medan and Semarang opened|
|2009||HSBC acquired local bank Bank Ekonomi Raharja|
|2017||The integration of banking operations from being a foreign bank branch of HSBC in Indonesia with PT Bank HSBC Indonesia (HBID), formerly PT Bank Ekonomi Raharja, to become an international bank with the largest domestic footprint as well as a local bank with the largest global network. PT Bank HSBC Indonesia has around 5,000 staff spread across 29 cities in 99 branches across the country|