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tate-run Bank Mandiri and PT Rintis Sejahtera — the operator of the Prima ATM network which administers ATM transfers for banks including BCA — have signed an agreement that will eliminate barriers that have limited the two major banks’ customers transferring money.

“The cooperation will assist Bank Mandiri’s customers in making online 24 hour transactions in real time, in addition to providing access to the 22,500 Prima ATM network,” PT Rintis Sejahtera managing director Iwan Setiawan said on Tuesday.

Mandiri and BCA have been using different ATM networks that have prevented their customers transferring money between each bank’s accounts. Mandiri provides money transfer services through the Link and Bersama ATM networks while BCA uses the Prima network.

“There are a lot of stories of parents who have accounts with Mandiri wanting to transfer money to their BCA account-holding children studying in other cities. The parents could not directly send the money,” Bank Indonesia deputy governor Ardhayadi Mitroatmodjo said at the ceremony.

“This agreement is an important event in the beginning of change in payment systems in Indonesia. BI sees it as an early stage of the integration between [banking] service providers,” he added.

The service is expected to begin operating in about two months.

Bank Mandiri managing director Zulkifli Zaini said the agreement was a positive development toward broader and more efficient services.

“The cooperation between Mandiri and Prima is an initial step toward a national payment gateway as well as improving efficiency in transactions and customer convenience,” he said, adding that talks on the deal started about three months ago.

BCA president director Jahja Setiaatmadja played down the assumption that Mandiri and BCA were in competition with each other.

“The most important thing is that we provide efficient, easy and effective [services],” he said.

Mandiri and BCA are the country’s biggest banks. As of last December, Mandiri’s outstanding loans rose 28.8 percent to Rp 246.2 trillion (US$27.6 billion), while BCA’s grew by 24.2 percent to Rp 153.92 trillion. The two banks’ lending growth exceeded the average of 22.8 percent in the banking industry. (rcf)