Bank Sri Partha Changes Its Name To Be Bank Andara
Mon April 20,2009
Jakarta, 20 April 2009 – Today, a bank which is focusing on Micro-Finance in Indonesia is launching a new name Bank Andara, which was formerly known as PT Bank Sri Partha (BSP). This launching is initiated after the final acqusition of Bank Sri Partha by the four new investors.
The new four investors consists of Mercy Corps International (MCI), International Finance Corporation (IFC), The Hivos-Triodos Fund (HTF), and Catholic Organizations for Relief and Development Aid (Cordaid).
“After the acquisition by these new investors, the capital of Bank Sri Partha is now valued at IDR 135.9 billions (at around US$ 11,325 million given the exchange rate of 12,000 rupiah). This capital is expected to grow to IDR 175 billions (around US$ 14,583)“. said the President Director of Bank Andara, Paulus Wiranata at the launching of Bank Andara at Hotel Mulia.
Paulus explained, the meaning of Bank Andara is “Light of Beauty“ which will bring a ray of light to the underprivileged people who have goals for their own future.
That impression is also supported by the new logo of Bank Andara that shows the drawing of the Sun, wherein Bank Andara is ready to serve and giving hope to all people. This logo can also be interpreted as “Feathers” that unite together to carry people reaching their dreams.
As for the involvement of those new four investors, Paulus explained that Bank Andara’s Business Orientation now has changed, from retail banking to become wholesale banking with focus on financing the Micro-Finance Institutions such as “Koperasi” (co-ops), Bank Perkreditan Rakyat (Rural Banks) and Lembaga Perkreditan Desa (Village-Owned Institutions).
“The core of our mission is to be the premier, pioneering financial partner of the Indonesian Micro-Finance sector promoting innovation and massive outreach to those lacking access to financial services. Beginning today, Bank Andara is also ready to serve with its new business model, which is “Wholesale Banking for Micro-Finance“. said Paulus.
As for the future growth, Paulus is very optimistic about the current growth of the company. This is supported by the fact that the Micro-Finance Industry in Indonesia is one of the biggest in the world with more than 50,000 Micro-Finance Institutions that serve more than 40 millions people. Based on Bank of Indonesia’s (BI) prediction that almost 50 millions people still haven’t been touched by the Banking Industries and almost 50% from the population still live below the poverty line. “ Therefore there is still opportunities for the bank to enter that market sector “ he said.
The services that are provided to the customers or business partners are training, ratings, technical assistance, and technology practices which meet International Standards, so that the Micro-Finance Institutions which are partners of Bank Andara can grow rapidly. The products being offered are Checking Accounts, Time Deposit (TD), Savings Accounts and Loans.
“Initially, Bank Andara will allocate funds of about IDR 300 billions for financing the Micro-Finance Institutions.” explained by Paulus.
What is next after the changing of the name of Bank Andara? According to Paulus, the process of restructuring will also be implemented, such as the upgrade of human resources and continuous improvement of the technology infrastructure.
With this restructuring, Bank Andara is targetting to reach 1 million people in the next 3 years. Paulus also explained that Bank Andara is not only focusing on the lending sector that leads to fostering a better economy, but also focusing on how to best stimulate the funding or savings from the public to build the banks’ assets.
Of particular interest is, eventhough this is the first business venture for Mercy Corps in commercial banking, but Mercy Corps has already owned 12 Micro-Finance Institutions in retail segment around the world. Mercy Corps is a non-profit organization that has been in existence since 1979 with its headquarter in the USA. Until now Mercy Corps has distributed charity funds internationally totalling around US$ 1.3 billions all over the world.
According to Paulus, Bank Andara will be the first wholesale bank that will serve as a best practice model for Mercy Corps for the purpose of acquiring other banks in other countries once the venture with Bank Andara is deemed a success.
“As for the future, we will continue to develop products that are based on Micro-Finance supported by the latest leading edge technology, and we will always strive to better understand our customers needs as stated in our motto, ‘ Ready to Serve Micro-Finance Institutions in Indonesia’ “ said Paulus as he closed the briefing.
For more Information, please contact:
Corporate Secretary of Bank Andara