"BNI will now achieve the best profit in BNI's history," said Erick.

Erick appreciated all levels of management and hi-movers, especially BNI’s president commissioner, Agus Martowardojo. He noted how the competence qualifications were fair and levels of expertise were always raised to increase professionalism within the SOE.

"The BNI commissioner is clear, that there are representatives from other ministries, there are community representatives, professional representatives and expert representatives. For example, there is Pak Agus Martowardojo, a former Indonesian finance minister, a former BI governor. Alhamdulillah, I want to [give credit to] president commissioner of BNI, who today can assist the management to work more optimally," he said.

Other than the financial success, effective state-owned companies are increasingly encouraged, such as in gender equality, which has been realized by SOEs in their leadership ranks. Along with portions and streamlining that are increasingly on target also create more healthy, efficient and sustainable SOEs.

"So, the important context is that we make it balanced. For example, this is how SOE directors are currently [looking]; 25 percent [are] women ­– this [was not the case] previously. Then, the leadership of SOEs below 42 years [of age] is at 10 percent of the target," said Erick.

BNI's president director Royke Tumilaar said BNI had recorded very good economic recovery by the middle of this year. Business activity and public consumption were getting stronger, thus encouraging BNI's performance as an intermediary function.

As a first mover in green banking, BNI has proven that the implementation of green financing in Indonesia is able to correlate positively with profitability. Digital transformation that encourages transaction banking continuously emboldens a more comprehensive implementation of BNI's green banking.

“We are very grateful for the performance until the middle of this year. The performance of the intermediation function is getting stronger in line with the trend of economic recovery. The implementation of green banking can still be carried out, and even has positive potential for profitability," he said.

Royke explained that the growth of organic performance based on digital services at BNI has had strong results and at the highest operational income before reserves (PPOP) in BNI's performance history. This resulted from healthy credit expansion and was supported by low-cost deposits, or current account or savings account (CASA).

The net-interest margin is stable in the range of 4.7 percent, and reached the highest achievement of non-interest income, which in the first semester of 2022 was Rp 7.6 trillion (US$513 million), an increase of 11 percent year-on-year (YoY). Net profit was also achieved due to the strengthening of the intermediation function. Loans in the first half of this year were recorded at Rp 620.42 trillion, increasing more positively with growth of 8.9 percent YoY.

Meanwhile, BNI finance director Novita Widya Anggraini said BNI was able to encourage a stronger intermediation function performance in the second quarter of 2022. Credit in the corporate segment is still the motor of BNI's credit acceleration. During the second quarter of 2022, BNI distributed credit disbursement of Rp 74.3 trillion, higher than in the second quarter of 2021, which reached Rp 59.3 trillion. Loan disbursement in the second quarter of 2022 was mainly channeled to top tier corporate borrowers.

This acceleration of credit disbursement led to financing of the Private Corporate segment, which grew 14.7 percent YoY to Rp 205.3 trillion. The large commercial segment grew 31.2 percent YoY to Rp 48.5 trillion while the small segment also grew 10.2 percent YoY with a credit value of Rp 100.2 trillion. Overall credit in the Business Banking sector grew 7.7 percent YoY to Rp 512.3 trillion.

“The economic sectors targeted in the business banking segment are manufacturing, trade, agriculture, transportation and warehousing and telecommunications. BNI also enters the green economy sector such as new and renewable energy," she said.

BNI hopes that the trend of economic performance in the second half of 2022 will keep making BNI's intermediation function and performance stronger. With stronger growth potential of green banking lenders, BNI remains optimistic that credit growth by the end of the year will be between 7 and 10 percent.

"With the trend of continuing economic recovery, and the transformation that we are carrying out beginning to show results, we also hope that this year's profit will be able to penetrate the highest profit record in BNI's history," she said.

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