As for the ecosystem, BRI establishes a corporate rights issue offering a maximum of 28,213,191,604 new shares for B Series of IDR 3,400 per share. The Government of Indonesia subscribed all its rights in the form of in-kind contribution (inbreng) of its shares in PT Pegadaian (Pegadaian) and PT Permodalan Nasional Madani (PNM) to BRI.
During the first three years, BRI aims to set up the foundation phase through a post-integration plan, while implementing several initiatives including co-location. In Phase 2, BRI, Pegadaian and PNM will begin the strengthening phase. It includes several new initiatives, such as digital channels that ease customers in accessing the UMi holding products.
In phase 3, BRI will improve its capabilities to achieve financial inclusions in Indonesia. BRI plans to launch a full-scale empowerment program to increase financial literacy, business growth, and digital penetration for these three entities' customers.
According to the Ministry of Cooperatives and SMEs, there were 45 million micro-enterprises in Indonesia that need funding in 2019. But only 20 million ultra-micro businesses have had access to formal institutions.
"Around 12 million ultra-micro businesses get access to funding from informal sources such as family, relatives and other informal institutions. Meanwhile, around 14 million ultra-micro businesses do not have access to funding at all, either from formal or informal sources. This will be the target for the ultra-micro business growth in the future," said BRI's Vice President Director, Catur Budi Harto.
From the business side, the UMi Ecosystem will enable the three entities to strengthen acquisition and guarantee process, by integrating a database of over 20 million loan customer data using digital and analytical capabilities.
To date, BRI has over 120 million deposit customers and over 13 million loan customers. As the leader of the micro business market in Indonesia, BRI now controls 60 percent of the market shares, consisting of 12.4 million micro customers.
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