Bank Jatim to issue long-term bonds: what's the aim?
JAKARTA – PT Bank Pembangunan Daerah Jawa Timur Tbk (BJTM), also known as Bank Jatim, has outlined plans to issue long-term bonds to support its performance sustainably.
Currently, the banking industry, including Bank Jatim, is not only required to achieve satisfactory short-term performance but also long-term stability.
"In terms of corporate actions aimed at investment alternatives for funding, one of them is the issuance of long-term bonds," said Busrul Iman, President Director of Bank Jatim, during the "Meet The CEO" event, a special interview program by IDNFinancials in collaboration with Suara.com on Wednesday (5/11).
[Photo: Mohamad Teguh, Editor-in-Chief of IDNFinancials.com (left), Busrul Iman, President Director of BJTM (center), Reza Gunadha, Deputy Editor-in-Chief (right)]
Busrul explained that the main goal of this bond issuance is to ensure a more stable funding structure, enhancing the bank's resilience, or its ability to adapt and recover from difficult situations. "As we know, there are three key points in the roadmap launched by OJK for regional development banks (BPD): resilience, contribution, and competitiveness," he said.
According to this roadmap, one of the programs that could strengthen the resilience of BPDs, particularly Bank Jatim, is the enhancement of liquidity through bond issuance. "Of course, we will follow the timing and process," he added.
Regarding the bond issuance plan, Busrul revealed that the company has received an AA rating from a bond rating agency. "We must continue pushing to ensure that [the company] adds more value to the market by maintaining and improving the rating," said Busrul.
During the event, Busrul also shared that Bank Jatim has formed a Banking Group (KUB) involving five regional development banks (BPD), namely Bank Lampung, Bank NTB Syariah, Bank Banten, Bank NTT, and Bank Sultra. Specifically, Bank Jatim acts as a parent partner for these BPDs, collaborating in three key areas.
First, in the area of capital, partnering with major shareholders to become strategic partners. Second, in business and finance, collaborating on a business-to-business basis to complement each other. Third, in other supporting areas, working together to strengthen corporate governance, human resources, and information systems.
Busrul emphasized that Bank Jatim has already injected capital into these five banks, allowing the performance to be consolidated into its financial reports.
"The implementation of 'Bank Jatim Incorporated' offers the opportunity for Bank Jatim to grow exponentially," said Busrul. (DK)
Bank Jatim to issue long-term bonds: what's the purpose?
JAKARTA – PT Bank Pembangunan Daerah Jawa Timur Tbk (BJTM), also known as Bank Jatim, has outlined plans to issue long-term bonds to support its performance sustainably.
Currently, the banking industry, including Bank Jatim, is not only required to achieve satisfactory short-term performance but also long-term stability.
"In terms of corporate actions aimed at investment alternatives for funding, one of them is the issuance of long-term bonds," said Busrul Iman, President Director of Bank Jatim, during the "Meet The CEO" event, a special interview program by IDNFinancials in collaboration with Suara.com on Wednesday (5/11).
[Photo: Mohamad Teguh, Editor-in-Chief of IDNFinancials.com (left), Busrul Iman, President Director of BJTM (center), Reza Gunadha, Deputy Editor-in-Chief (right)]
Busrul explained that the main goal of this bond issuance is to ensure a more stable funding structure, enhancing the bank's resilience, or its ability to adapt and recover from difficult situations. "As we know, there are three key points in the roadmap launched by OJK for regional development banks (BPD): resilience, contribution, and competitiveness," he said.
According to this roadmap, one of the programs that could strengthen the resilience of BPDs, particularly Bank Jatim, is the enhancement of liquidity through bond issuance. "Of course, we will follow the timing and process," he added.
Regarding the bond issuance plan, Busrul revealed that the company has received an AA rating from a bond rating agency. "We must continue pushing to ensure that [the company] adds more value to the market by maintaining and improving the rating," said Busrul.
During the event, Busrul also shared that Bank Jatim has formed a Banking Group (KUB) involving five regional development banks (BPD), namely Bank Lampung, Bank NTB Syariah, Bank Banten, Bank NTT, and Bank Sultra. Specifically, Bank Jatim acts as a parent partner for these BPDs, collaborating in three key areas.
First, in the area of capital, partnering with major shareholders to become strategic partners. Second, in business and finance, collaborating on a business-to-business basis to complement each other. Third, in other supporting areas, working together to strengthen corporate governance, human resources, and information systems.
Busrul emphasized that Bank Jatim has already injected capital into these five banks, allowing the performance to be consolidated into its financial reports.
"The implementation of 'Bank Jatim Incorporated' offers the opportunity for Bank Jatim to grow exponentially," said Busrul. (DK)