Bank Mandiri CEO Confident Danantara Will Drive Growth

JAKARTA, Investortrust.id – Darmawan Junaidi, the president director of PT Bank Mandiri (Persero) Tbk, or BMRI, expressed confidence that the newly established sovereign wealth fund, Badan Pengelola Investasi Daya Anagata Nusantara, also known as Danantara, will generate significant growth opportunities, particularly for the banking industry, through its strategic investment allocations.

“This initiative is expected to grow significantly because the investment segment includes new projects that present potential targets for credit expansion by state-owned banks,” Darmawan stated during a gathering with media executives in Jakarta on Wednesday, March 5, 2025.

However, he emphasized that state-owned banks, known as Himbara, are not under pressure to allocate their third-party funds (DPK) to projects that do not meet their respective risk acceptance criteria. “We have disciplined loan portfolio guidelines, which have contributed to our non-performing loan (NPL) ratio dropping below 1%,” he added.

Darmawan reiterated that the fundamental role of the banking industry is to serve as a financial intermediary, collecting public funds and distributing them as loans.

He further clarified that third-party funds in the banking system, including at Bank Mandiri, are meant to be optimized for credit intermediation, ultimately serving as capital for business entities.

Moreover, he highlighted that banks operate under prudential banking standards set by the Financial Services Authority (OJK). These regulations include legal lending limits to ensure financial stability. According to Darmawan, any lending opportunities undertaken by Himbara banks go through rigorous assessments to prevent financial risks.

“If concerns arise about instructions for Himbara banks to use their third-party funds for projects outside their target or risk criteria, I am very confident that this will not happen. We have strict loan portfolio guidelines, OJK as the regulator, and the banking industry is highly regulated,” he concluded.