PT Bank Rakyat Indonesia Persero Tbk : Q1 - 2023 Financial Update Presentation

1Q 2023

FINANCIAL UPDATE PRESENTATION

PT Bank Rakyat Indonesia (PERSERO) Tbk.

BRI'S CORPORATE STRATEGY

The Most Valuable

Banking Group in

Southeast Asia &

Champion of

Financial

Inclusion

1	Quality of Growth
Productive asset growth while maintaining quality by focusing on high yield
		asset expansion and accelerating new growth drivers
2	CASA Sustainability
Increasing CASA market share by building ecosystem through territorial control &
		referrals and relying on transaction tools & Cash In/ Cash Out capability
3	BRI Group Synergy
Cohesive synergies among entities as an anchor of solid sustainable growth; Cross
		selling between segments and products, creating solutions for customers across the
		value chain
4	ESG Principles Implementation
Committed to implement business management principles that adhere to the values
		of ESG in order to have a positive impact on the community (deliver value beyond
		profit)
5	Excellence Enablers
Strengthen employee capabilities, system reliability, services and networks, as well

as data analytics to provide superior quality banking services

2

FOCUSED GROWTH ON THE ULTRA MICRO & MICRO SEGMENTS

Well-positioned To Serve The Growing Financing Needs of the Segment

National Posture of Indonesian Enterprises and Individuals

1	Corporation
• c. 5.5k business

Medium

2 • 60k businesses with assets of >IDR 500mn - IDR10 bn and sales of >IDR2.5bn - IDR50bn

Small

1. • c. 785k businesses with assets of >IDR50 - 500mn and sales of >IDR300mn - IDR2.5bn
2. Micro & Ultra Micro
3. • Total c. 62mn businesses, incld. ~57mn businesses eligible for Ultra Micro loans
   • Access to group loans or KUR only

Corporate/

Individual

Medium Premium

Small Middle Class

Mass

Micro and Ultra Micro

1 High Net Worth Individual

• 129k people with assets of >IDR500 Bn

2 Premium

• c. 1.1 Mn people with assets of >IDR500 Mn

Middle Class

1. • c. 90mn people with assets of IDR50mn - IDR500mn
2. Micro
3. • c. ~165mn people with ample knowledge of basic saving product, but low for investment and insurance
   • Start using digital banking technology

Ultra Micro

• Mostly reliant on informal funding

BRI Micro &

Ultra Micro

Comprehensive

Business

Source: BRI's public filings

Large Customer Base

+36.0 Mn Borrowers

(+14.3 Mn BRI, +14.6 Mn PNM, +7,1 Mn Pegadaian borrowers)

Extensive Banking Channels	Comprehensive Product Offerings
• 6,466 BRI Micro Outlets	❑ Lending: Individual,	❑ Insurance: Life and
•	4,086 Pegadaian Outlets		Group Lending, Pawn	Health Insurance,
•	4,482 PNM Outlets		Lending	General insurance
•	650,780 BRILink Agents	❑	Deposits: Saving	❑ Investment: Gold
			Savings
			Account, Current
			Account, Time Deposit	❑ Other Services

Digitized Business Process

• BRISPOT Micro, Pegadaian Selena, PNM Digi (Digital Loan Underwriting System)
• Senyum Mobile (cross referral system)
• BRILink Mobile (Mobile App for Brilink Agents)

3

MACRO ECONOMIC METRICS REMAIN SOLID

Improving Inflation and Strong Currency Support GDP Growth

		GDP Growth (% YoY)				Foreign Reserves &
					IDR/USD
					(IDR)
5.2				5.3
	5.0		3.7
				14,390		14,030	14,263
					13,866
		-2.1						144.9
					129.2	135.9
					120.7
2018	2019	2020	2021	2022	2018	2019	2020	2021
							Foreign Reserves	IDR/USD

15,573

14,996

145.2

137.2

2022

1Q'23

INFLATION & BI7DRR

6.00				5.505.75
	5.00
			5.51
		3.75	3.50	4.97
3.13	2.59
		1.68	1.87
2018	2019	2020	2021	2022 1Q'23
		Headline Inflation (%) YoY	BI7DRR (%)

110.0

109.0

108.0

107.0

106.0

105.0 104.1

104.0

100%

103.0

102.0

Optimistic Level

101.0

100.0

2021

MSME Business Index

109.4

105.9

104.6

103.2

1Q'22

2Q'22

3Q'22

2022

105.1

1Q'23

4

MORE INSULATED FROM RECENT GLOBAL EVENTS

Liquidity & Capital Management Remains Conservative

LCR & NSFR

241.0%

227.1% 228.5%

204.6%	209.3%
199.4%

		149.3%		142.3%	142.1%
133.5%	135.9%		136.8%

100%

184.3

2.0%

70.5%

27.4%

2018

29.0%

Bond Classification

			327.6		372.0	330.3
				5.1%
							6.4%
			8.4%
195.8				54.2%	45.7%
			57.9%
9.0%
63.4%				40.7%	48.0%
			33.7%
27.6%
2019	2020			2021	2022
		HTM		AFS		Trading	Total (IDR Tn)

Non-Loan EA/ Total EA

30.3%	32.5%	34.4%	31.6%

(% Composition)

329.7

7.2%

47.0%

45.7%

1Q'23

30.0%

LCR & NSFR											1,512	1,589		1,666	1,686
Minimum regulatory										1,298
							1,179
requirement
								342	394	492		546	527			506
2018	2019	2020	2021	2022	1Q'23	2018	2019	2020	2021	2022		1Q'23
			LCR		NSFR				Non-Loan Earning Asset (IDR Tn)		Earning Asset (IDR Tn)		% Non Loan to EA

5