Marking its 60th year on 26 September 2015, CIMB Niaga has grown into one of the country's leading banks. 52 Board of Commissioners and Directors Statement of Responsibility Annual Report 2015 PT Bank Cimb Niaga Tbk.
Kimberley Surya Handoko
LEARNING FROM THE
START
Osmina Chairani Novian (Dr. Rani)
LIVING FROM THE BEST
Aldion Sianturi, M. Mktg
ENJOYING FROM THE
MOMENT
Sandy Permadi
FACILITATING FROM THE
Teguh Ade Putra
CARING
FROM THE HEART
CIMB Niaga's digital banking services continually consider the customer experience and use it as the differentiator and driver of revenue improvement. These pillars are translated as digital banking services of CIMB Niaga that can provide safe, convenient, convenient, innovative and borderless services to CIMB Niaga customers.
Growth of
Low-Cost Funds Efficiency Improvement
Sales & Service Transformation
Asset Quality
Profitability
Liquidity
Compliance
STOCK PRICE MOVEMENT IN THE PAST 5 YEARSSTOCK PRICE CHART 2015
QUARTERLY SHARE PRICE IN THE PAST 5 YEARS
COUPON PAYMENT CHRONOLOGY
CIMB NIAGA 2011 SErIES A
CIMB NIAGA 2011 SErIES B
27 February 2015
12 March 2015
10 April 2015
21-27 April 2015
13-14 June 2015
4 June 2015
1 July 2015
15 June 2015
28-30 September 20159 September 2015
7 December 20151 October 2015
34;Indonesia Green Award"
Digital Brand of Year 2015 CIMB Niaga Rekening Ponsel Category
Retail Banker International Asia Trailblazer Award 2015
Retail Banker International Asia
Global CSR Award 2015 Category
Indonesia WOW Brand 2015 Category
ASEAN Public Listed Companies and Top 3 Public Listed
Companies from Indonesia
Runner- up, Bankers
Human Capital”
The Best Overall
Public Listed Companies
Best Digital Banking Initiative (Digital Lounge)”
Best Credit Card Product (AirAsia Credit Card)
Market Conduct Award
In the credit card segment, the Bank remained a leading player, while consumer banking continued to show strong growth, driven by innovative strategy implementation and solid loan underwriting standards. I BELIEVE THAT IN 2015 THE BOARD OF DIRECTORS TOOK THE RIGHT STRATEGIC STEPS TO STRENGTHEN THE BANK'S BUSINESS IN DIFFICULT OPERATIONAL CONDITIONS.
Dear Shareholders,
2015 PERFORMANCE
BOARD OF DIRECTORS
PERFORMANCE ASSESSMENT
Last year, the Bank ran the ABC campaign (“A Better CIMB Niaga”), which highlighted three key behaviors expected of employees: working hard to serve customers, maintaining mutual respect between employees, and being open and collaborative. All these qualities are central to the realization of the bank's slogan, "Innovation from the Heart".
CHANGES TO THE COMPOSITION OF THE BOARD OF COMMISSIONERS
ROBUST COMMITMENT TO CORPORATE GOVERNANCE
ASSESSMENT OF THE COMMITTEES’
PERFORMANCE DURING 2015
2016 PROSPECTS
APPRECIATION
Dear Valued Shareholders,
OVERCOMING A CHALLENGING BUSINESS SITUATION
2015 STRATEGY & INITIATIVES
2015 PERFORMANCE AND ANALYSIS
Considering the economic condition, we applied a consistent and selective asset growth policy, therefore we recorded credit growth of 0.6% to a credit balance of rp177.4 trillion, with total assets growing 2.4% to rp238.8 trillion. Current Accounts and Savings Accounts (CASA) growth was recorded at 6.6% y-o-y, while Time Deposits declined slightly by 1.4% y-o-y, causing the CASA ratio to improve to 46.8% from 44.9% in 2014.
ACHIEVEMENTS AND TARGETS
BUSINESS PROSPECTS
Exploiting Growth Opportunities in a Stronger Economy
Becoming The Leading Digital Bank
GROWING OUR HUMAN CAPITAL
BEING PRESENT IN THE COMMUNITY
CORPORATE GOVERNANCE AND COMMITTEES’ ASSESSMENT
CHANGES IN THE BOARD OF DIRECTORS’ COMPOSITION
2016 OUTLOOK
CONCLUSION
- Increase of low-cost funds
- Cost management discipline
- Maintaining capital level and balanced risk culture
- Use of Information Technology
The SSB would like to thank the management for its support of CIMB Niaga Sharia Banking development in 2015. The SSB would like to encourage the management of CIMB Niaga Sharia Banking unit to remain motivated and committed in achieving new goals and targets in the coming year.
STRATEGIC FOCUS 2016
Sales & Service Transformation
Income Diversification
Balancing Credit Portfolio Composition
Sharia Banking
Growth of Low-Cost Funds
Efficiency Enhancement
RISK MANAGEMENT
HUMAN RESOURCES
OPERATIONS AND INFORMATION TECHNOLOGY
Technology and Information System
Quality Assurance
Strategy Map and Key Performance Indicators (KPI) Determination
FINANCIAL POSITION IN THE BANK’S BUSINESS PLAN
Per As of December 31, 2015, CIMB Niaga operated 826 branches in its operational network, 3,365 ATM units, 203 self-service terminals/SSTs and 715 ATMs/CDMs, supported by 13,577 employees throughout Indonesia. Shares and bonds of PT Bank CIMB Niaga Tbk are listed and traded on the Indonesian Stock Exchange (BEI).
Bank in Indonesia
Largest
CIMB Niaga is the
Credit Card
MasterCard Indonesia
Launched OctoPay
Market capitalization of
Fitch ratings
CIMB Niaga's Cash Management continues to produce innovative products and services to meet the needs of its customers. All of CIMB Niaga's programs and strategies reflect the bank's "Innovation from the Heart" brand positioning.
BUSINESS ACTIVITIES PURSUANT TO CURRENT ARTICLES OF ASSOCIATION
ATM 3,365
Head of Small and Medium Enterprises 1. Head of Small and Medium Enterprises 3. Head of Micro Linkage Arief Danardono. Head of Wholesale Banking Credit Tjahjadi Yapeter Head of Non Retail Credam Compliance, Checking & Appraisal.
Mission
COrE vALuES
C : customer-centric
H : high performance
E : enabling people
S : strength in diversity
I : integrity
He was appointed as a CIMB Niaga Commissioner at an EGM on 27 March 2014 with effect from 15 September 2014. He was appointed as a Chairman Director of CIMB Niaga at an EGM on 10 April 2015 with effect from 1 June 2015 .
20 LARGEST SHAREHOLDERS
SHAREHOLDING BY MEMBERS OF BOARD OF COMMISSIONERS AND DIRECTORS CIMB NIAGA (AS OF 31 DECEMBER 2015)
LIST OF SHAREHOLDERS BY TYPE OF SHARES OWNED
As a continuation of the Limited Public Offering v based on the decision of the extraordinary general meeting on 15 December 2010, where the offer expires on 7 January 2011, the Company issued new shares of B shares as much as with an offer price of 1,250 rp. per share, thus the composition of the capital structure per 31 December 2011 as follows.
EMPLOYEE COMPOSITION BY ORGANIZATION LEVEL
EMPLOYEE COMPOSITION BY EDUCATION LEVEL
Total Employees
EMPLOYEE COMPOSITION BY EMPLOYMENT STATUS
COMPETENCY DEVELOPMENT
Sales Academy
Coaching dan Mentoring
Train for The Trainer (TTT)
Hub Center
Online Learning
BUDGET ALLOCATION FOR HR COMPETENCY DEVELOPMENT
Vision
- Bond I Bank CIMB Niaga 2011 with Fixed Rate Series A
- Bond I Bank CIMB Niaga 2011 with Fixed Rate Series B
- Series B
- Series A
- Series B
- Series C
The bond term was 3 (three) years from the date of issue, and bullet payment was exercised on the maturity date on 30 October 2015. The bond term is 5 (five) years from the date of issue, and bullet payment will be exercised on maturity date on 30 October 2015 2017.
MACRO ECONOMY 2015
BANKING INDUSTRY 2015
CIMB NIAGA PERFORMANCE
Implementation of appropriate improvement in asset quality and various efforts to reduce NPLs resulted in better NPL of 3.7% in 2015 from 3.95% in previous year. This decision demonstrated CIMB Niaga's continued focus on risk management and prudence in the conduct of business.
Performance Highlights 2015
USING A SUITABLE STRATEGY, CORPORATE BANK SUCCESSFULLY LEADED A CHALLENGING YEAR RECORDING INCREASE IN LOANS AND LOWER NON-DEPLOYERS. FOR THE BEST, CORPORATE BANK SUCCESSFULLY MAINTAINS ITS FUNDING STRUCTURE FOCUSING ON GROWING LOW-COST FUNDS.
Corporate Banking is one of CIMB Niaga's business segments that provides services to corporate clients as well as banking and non-banking financial institutions. Corporate Banking coordinates with financial institutions and non-bank financial institutions services to provide innovative products and service solutions to meet the needs of corporate and institutional clients.
2015 STRATEGY FOCUS
Services available include the provision of working capital loan and investment and financing products, as well as services such as Cash Management, Trade Finance and other services.
Client Testimony
2015 PERFORMANCE Loan Disbursement
Loan Quality
Syndicated Loans
Funding
FINANCIAL INSTITUTION
NON BANK FINANCIAL INSTITUTION
HUMAN RESOURCE MANAGEMENT
2016 WORK PLAN
STRATEGY AND IMPLEMENTATION
Through strategy execution and leading products, CIMB Niaga Treasury and Capital Market managed to achieve optimum performance despite the fluctuating market.
CIMB Niaga is determined to be the one- stop banking solution in Treasury and
Capital Market and will strive consistently to satisfy both corporation and retail
CIMB Niaga provides daily quotes to customers to assist customers in the decision to buy or sell mortgage.
SERVICE AND NETWORK
PRODUCTS
Hedging Products
Investment Products
AWARDS
2016 STRATEGY
2015 Performance Highlights
Another successful achievement of CIMB Niaga Transaction Banking in 2015 was the 13% increase in trading income. Transaction Banking was also engaged to support CIMB Niaga's business focus on growing working capital, as evidenced by the 49% growth in Trade Finance loans.
SERVICE AND PROMOTION
The increase was in line with CIMB Niaga's business focus on cash management platform development. Efforts to develop the value chain approach to increase the number of customers and to penetrate business communities in different industry sectors have also yielded promising results.
COMMERCIAL BANKING HELPS TO POSITION CIMB NIAGA AS THE PRIMARY BANK FOR CUSTOMERS WITH SIMPLE TRANSACTIONS, INTEGRATED SOLUTIONS, A COMPLETE SET OF SERVICES AND THE ABILITY TO MAINTAIN GOOD REPORTS AND CUSTOMER TRUST IN PRODUCTS AND SERVICES BY INCREASE THE PRODUCT HOLD. In terms of efforts to grow third party assets, Commercial Banking wanted to position CIMB Niaga as clients.
2015 STRATEGY AND IMPLEMENTATION
In cash services, CIMB Niaga has provided pickup delivery, improved payroll service and added a number and features to its ATMs. Meanwhile, for non-cash service, CIMB Niaga has provided a Biz Channel service for tax, rTGS, cheques, pick-up, trade documents, post-dated cheques, foreign exchange (hedging) and Trade Finance (UPAS).
Other Services
Cross-selling has also been one of CIMB Niaga Commercial Banking's strategies in increasing low-cost assets, especially for its top 100 financing and lending clients. This strategy was accompanied by the implementation of a value chain strategy that offers transaction services to suppliers and customers of CIMB Niaga's existing customers.
2016 Strategy
The bank took measures to overcome the decline in third-party funds amid an unfavorable business environment; these measures included ensuring transaction convenience – both cash, such as through collection and delivery, and non-cash transactions.
With its leading facilities, modern products and satisfactory services, CIMB Niaga has always proven itself to be the right choice. CIMB Niaga applies a two-pronged approach – direct and indirect – implemented through sub-segments of MSME Banking: Mikro Laju (Micro Banking), Micro Liaison and SME Banking.
Mikro Laju (Micro Banking)
In terms of its support functions, MSME Banking intensively trained its human capital, especially Mikro Laju frontline staff, in financial products, credit analysis and financial planning. As part of service improvement efforts, to overcome business challenges and improve loan quality, Mikro Laju pursued operational efficiency by undertaking a recalibration program in 2015.
Micro Linkage
With the program, at the end of 2014, 307 independent branches were recalibrated to 188 branches. On the other hand, Mikro Laju booked 148 billion rp of third-party assets in 2015, a decrease of 50.3% from 299 billion rp in the same period last year.
SME Banking
SME Processing Center
Retail Lending Program
MSME Center
2015 Performance
CONSUMER BANKING CONTINUES TO WALL PRODUCT INNOVATION BASED ON DIGITAL TECHNOLOGY TO MAKE CIMB NIAGA THE FIRST CHOICE FOR CUSTOMERS IN DIGITAL BANKING TRANSACTIONS.
MORTGAGES
In addition, CIMB Niaga also conducted a series of brand activation programs in 2015 by holding client meetings and developer/realtor meetings in 12 cities, with the main goal of building closer relationships with customers and partners. Given that the real estate sector is one of the future sectors with a significant contribution to national economic growth, CIMB Niaga will continue to expand the market share of mortgages in the future.
AUTO LOANS
In 2016, CIMB Niaga will continue to increase the speed of loan approval processes, maintain focus on expanding customer acquisition and improve service quality. In addition, CIMB Niaga will also accelerate network expansion into eastern Indonesia, build closer relationships with dealers/showroom partners and drive cross-selling among internal customers.
PERSONAL LOANS
NON BRANCH CHANNELS
A highlight was the Non Branch Channel's successful acquisition of 152,000 new savings account customers, increasing TPF to 3.0 trillion rp. Regarding the disbursement of loans via telesales, the Non Branch Channel reserved 3.5 trillion rp., which included 1.5 trillion rp in personal loans.
BANCASSURANCE
In line with Bank Indonesia and the Financial Services Authority's banking inclusion program, CIMB Niaga is committed to developing the Non Branch Channel, seeking to become the leading player in digital banking. The development of Non Branch Channel services will make it a leading alternative platform to acquire new customers and expand the customer base.
DEBIT CARD & CREDIT CARD
As a result, CIMB Niaga was recognized as one of the largest credit card issuers in Indonesia with 11.9%. Meanwhile, CIMB Niaga Debit Cards have remained one of the best tools for customers for daily transactions.
CIMB NIAGA PREFERRED, PRIVATE BANKING & WEALTH MANAGEMENT
SAVINGS PRODUCTS
ON Account Powered By xL
ON Account Powered by XL offers a simple account opening process with the added benefit of extra credit for the customer. This newly launched ON Account offers the same convenience and benefits as previous products, namely online account opening, competitive interest rates, Poin Xtra with no admin fees and other attractive benefits.
Business Savings for Individual Customers
CIMB Niaga Hypermart Savers
Education xtra Savings
The bank gained new customers and reached nearly 40,000 accounts by the end of 2015, with an outstanding amount of 550 billion rp. Savings account numbers have continued to grow, reaching 99,000 accounts at the end of 2015, with the Xtra deposit balance reaching 1.6 trillion rp.
CIMB Junior
BRANCH NETWORK
SERVICE QUALITY
To realize the focus on customer experience, we carried out various activities in 2015, including the internal campaign "Service from the heart". To inspire staff, we've collected Leader's Quote and WOW Stories - a collection of inspirational stories from frontline officers.
CUSTOMER COMPLAINT MANAGEMENT
BRANCHLESS BANKING
In addition to the Digital Consumer Banking development strategy, CIMB Niaga also has a Digital Lounge service. Consumer Bank (including subsidiaries) recorded loan growth of 4.0% to 62.0 trillion rp, contributing 30.0% to CIMB Niaga's total loan portfolio.
CONSUMER BANKING LOANS BY PRODUCT
Customer Deposits
2016 PLAN
CIMB Niaga will also continue to demonstrate investment commitment in developing branchless banking services to become the leading bank in digital banking. In addition, CIMB Niaga will also put more focus on Sharia product marketing to capture the potential of a growing Sharia market.
Henny
Currently, CIMB Niaga Syariah constitutes a Shariah business unit within CIMB Niaga's business structure. CIMB Niaga Syariah has formulated a number of short and long-term strategies, as detailed below:.
Short-Term Strategies
CIMB Niaga Syariah is supported by a wide range of comprehensive products and services that address all the needs of all customer segments. Support for Indonesia becomes the basis of the development of Sharia banking as part of the vision of PT Bank CIMB Niaga Tbk.
Long-Term Strategies
The vision of CIMB Niaga Syariah is to "Become the most trusted bank in Indonesia and part of universal banking in Southeast Asia that understands customer needs, provides convenient and comprehensive financial solutions and maintains long-term relationships". By 2018, CIMB Niaga Syariah aims to be the leading Shariah Business Unit (UUS) in Indonesia, characterized by outstanding service culture, processes and human capital.
2015 Work Programs
Align activities with core products and implement the Dual Banking system across all business lines of CIMB Niaga. Funding increased 13.0% to 7.3 trillion rp in 2015, which reinforced CIMB Niaga Syariah's position as fourth among Shariah Business Units in Indonesia.
Financing
Implement Dual Banking promotion for all products including promotional materials, advertisements, dual logo events, brochures, posters, billboards, services, branch networks, branchless banking (CIMB Clicks, Bill Ponsel, ATM, CDM, SST) and other signage with the CIMB Niaga Syariah logo. Maintain Sharia compliance within all UUS operations across all business units and provide the latest Sharia information through regular email blast media.
SHARIA FINANCING BY SEGMENT
Develop leading financing products using Musyarakah Muntanaqisah (MMQ) agreements, leading financing products for regular hajj savings in rupiah and special hajj savings in US dollars, Hajj Junior savings and customer satisfaction services.
COMPOSITION OF SHARIA FINANCING BY SEGMENT
SHARIA FUNDING BY SEGMENT
Di tahun 2014, CIMB Niaga Syariah segera melengkapi peran tersebut dengan produk tabungan haji Tabungan Pahala Haji dan Tabungan Rancangan Haji untuk menjaring simpanan nasabah dari segmen haji. Kinerja CIMB Niaga Syariah dalam dana murah dari peluncuran Tabungan Haji Pahala dan Tabungan Haji Rencana mencapai Rp16,6 miliar, atau meningkat 225,5% dari Rp5,1 miliar di tahun 2014.
DISTRIBUTION NETWORK ExPANSION
Since 2013, CIMB Niaga Syariah has been entrusted by the Government of Indonesia through the Ministry of Religious Affairs as one of the beneficiary Banks of Hajj Fund Payments (BPS BPIH) for both regular and special Hajj programs. Volume growth in low cost funds was also supported by intensive marketing programs in synergy with other CIMB Niaga business units.
HUMAN CAPITAL
SHARIA FUNDING COMPOSITION BY SEGMENT
CIMB Niaga Syariah also continued to support its One Platform IT project to enable faster integration of its business processes into CIMB Niaga's central banking, thereby ensuring the availability of accurate and multi-dimensional data and information. To increase employee productivity, a reward-and-punishment concept was introduced, followed by a blended Shariah KPI and boost-and-boom points system to achieve Shariah targets across all business and support units within CIMB Niaga.
SHARIA COMPLIANCE
Continuous education and dissemination of information to all stakeholders and human capital of CIMB Niaga through mandatory training programs, development programs, e-learning and business learning sessions. In 2015, CIMB Niaga managed to outpace industry growth in deposits, reduce its non-performing loan ratio and maintain its position as the fifth largest bank by assets.
CIMB NIAGA FINANCIAL PERFORMANCE
BALANCE SHEET Assets
FINANCIAL POSITION
Loans (Including Consumer Financing Receivables) - Gross
LOAN TYPES
LOANS COMPOSITION BY TYPE OF UTILIZATION
This account saw CIMB Niaga maintain its position as Indonesia's fifth largest bank by assets. The improved ratio reflected CIMB Niaga's support in disbursing loans to enable growth in micro, small and medium enterprises.
LOANS BY CURRENCY AND INTEREST RATE TYPE
The reduction in CIMB Niaga's loan interest rate was intended to allow the Bank to offer competitive interest rates and at the same time attract quality customers. CIMB Niaga was able to maintain Net Interest Margin at an acceptable level despite a slight decline to 5.2% in 2015 from 5.4% in the previous year.
LOANS COMPOSITION BY CURRENCY
Nevertheless, this sector still recorded a significant contribution of 15.1% to CIMB Niaga's total loans, down only slightly from 15.9% in 2014. In terms of contribution to CIMB Niaga's total loans, the housing sector's contribution increased to 13.3% .
LOANS BY ECONOMIC SECTOR
LOANS COMPOSITION BY ECONOMIC SECTOR
LOANS BY GEOGRAPHICAL AREA
LOANS BY SEGMENT
LOANS COMPOSITION BY SEGMENT
Although industry-wide non-performing loans increased, CIMB Niaga was able to maintain and improve the Bank's non-performing loan ratio to 3.7% from 3.9% in the previous year. This was a result of the Bank's strategic measures, with prudence emphasized in the extension of loans, supported by the Bank's success in establishing an Asset Management Unit (AMU) tasked with managing non-performing loans and loan restructuring and carry out sales of non-earning assets. owned by the Bank.
LOANS BY COLLECTABILITY
NON-PERFORMING LOANS BY ECONOMIC SECTOR
NON-PERFORMING LOANS BY SEGMENTATION
MOVEMENTS IN THE ALLOWANCE FOR IMPAIRMENT LOSSES (RP BILLION)
IMPAIRMENT COMMITTEE
Impairment loss legislation in 2015 was 7.4 trillion rp, or an increase from 6.1 trillion rp a year earlier. The Impairment Committee has the duties and responsibilities to determine the debtors classified according to the Individual Assessment and to determine the impairment provision to be assigned by the Bank.
Cash and Cash Equivalents
Members: Director of Corporate Banking, Director of Commercial and Sharia Banking, Director of Risk Management (non-voting member); each appoints one alternate from, at the lowest, one level below the Board of Directors.
CASH AND CASH EQUIVALENTS – NET
Marketable Securities and Government Bonds-Net
MARKETABLE SECURITIES AND GOVERNMENT BONDS - NET
GOVERNMENT BONDS
GOVERNMENT BONDS (TRILLION RP)
Participation
Fixed Assets
Liabilities
Deposits from Customers
DEPOSITS FROM CUSTOMERS
THIRD-PARTY FUNDS (RP TRILLION)
LOW-COST FUNDS RATIO
Total funds of third parties in time deposits decreased by 1.4% to Rp 95.0 trillion from Rp 96.3 trillion in the previous year. However, fixed deposits remained the largest contributor to CIMB Niaga's overall third-party fund portfolio.
TERM DEPOSITS BY CONTRACT PERIOD (RP TRILLION)
This was consistent with the Bank's focus on low-cost funds in raising third-party funds. While the Bank's focus was indeed on low-cost funds, CIMB Niaga did not stop its innovations aimed at increasing convenience and convenience for customers.
DEPOSITS FROM CUSTOMERS BY CURRENCY
AVERAGE INTEREST RATE ON DEPOSITS FROM CUSTOMERS
DEPOSITS FROM CUSTOMERS BY SEGMENTATION
Deposits from Other Banks
Securities Issued and Subordinated Loans SECURITIES ISSUED AND SUBORDINATED LOANS
The Bank did not record any balance of securities sold under repurchase agreements as of December 31, 2014 or 2013.
Borrowings
Equity and Capital Structure
EQUITY AND CAPITAL STRUCTURE
Furthermore, CIMB Niaga has adopted the Basel II framework for credit risk with a standardized approach in calculating risk-weighted assets (rWA). Based on that calculation, the bank's rWA for credit risk, market risk and operational risk was rp 194.4 trillion, down from rp 199.4 trillion last year.
CAPITAL ADEQUACY RATIO
Capital structure is essential for business continuity; as such, CIMB Niaga was committed to managing a strong and sound capital structure, providing optimal space for sustainable business growth.
Business Performance INCOME STATEMENTS
Interest and Sharia Income
INTEREST INCOME AND SHARIA INCOME
Interest Expense and Sharia Expense
INTEREST EXPENSE AND SHARIA EXPENSE
Net Interest Income
Other Operating Income
OTHER OPERATING INCOME
OTHER FEES AND COMMISSIONS*
Allowance for Impairment Losses (CKPN)
Other Operating Expense
OTHER OPERATING EXPENSE
EMPLOYEE EXPENSE
The biggest contributor to the increase in general and administrative costs was mainly the increase of 127 billion. rp. in communication and transport costs, followed by rent, depreciation and maintenance of rp53bn. and insurance costs of rp33 billion. Other costs also fell by rp161 billion. followed by a decline in third-party services and office supplies.
GENERAL AND ADMINISTRATIVE EXPENSE
COST EFFICIENCY REALIZATION (BILLION RP)*
Non-Operating Income/(Expense) – Net
Income Before Tax and Income Tax
Net Income
COMPREHENSIVE INCOME
Cash Flows CASH FLOWS
Commitments and Contingencies Bearing Credit Risk COMMITMENTS AND CONTINGENCIES
Bank Solvency
NII decreased due, among other things, to slower loan growth and increased NPLs, which reduced the bank's interest income. However, at the same time, slower loan growth had a positive effect on banks' CAr, with the rWA for credit risk falling in stressed conditions.
Capital Structure Policy
- Internal Capital Adequacy Assessment Process (ICAAP)
- Establishment of work team and executive committee on capital planning
- Long-term capital planning compliance with regulatory requirements
- Capital allocation
A lack of understanding of the Bank's business risks, especially credit risk, can lead to a decrease in capital. In-depth analysis requiring comprehensive knowledge of the Bank's wide range of loan products; and.
Implementation in the Banking Industry
For that purpose, the Bank uses risk-adjusted return on capital (rArOC) as a measurement tool. Data preparation and processing to reflect the Bank's appropriate risk profile with minimum bias;.
SUBSIDIARY PERFORMANCE Kencana Internusa Artha (Kita)
The bank has carried out simulation with regard to meeting Basel III capital requirements, which result has shown that the bank's capital level is in accordance with Basel III capital requirements. The LCr calculation framework aims to drive short-term resilience based on a bank's liquidity risk profile and to ensure that the bank has sufficient High Quality Liquid Asset (HQLA) to sustain for 30 calendar days in the event of a significant crisis.
NEW FINANCING
CIMB Niaga Auto Finance (CNAF)
TOTAL LOANS
CAPITAL GOODS INVESTMENT AND MATERIAL COMMITMENTS FOR
Land and property purchases increased by rp74 billion or 291.3% to rp99 billion compared to rp25 billion in the previous year. Meanwhile, systems and information technology infrastructure spending fell by rp116 billion to rp139 billion from rp256 billion in the previous year.
MATERIAL COMMITMENTS FOR CAPITAL ExPENDITURE
CIMB Bank Niaga entered into an agreement with PT Infomedia Nusantara whereby PT Infomedia Nusantara agreed to provide call center or information center services for CIMB Bank Niaga's customers in relation to CIMB Bank Niaga's information service. CIMB Bank Niaga and PT Star Pacific have also agreed that the rent paid will not change during the lease period.
TARGETS SET AT THE BEGINNING OF YEAR VS. 2015 REALIZATION AND 2016 PROJECTION
April 7, 2008: Signed office space lease agreement with PT Niaga Manajemen Citra for the building at Griya Niaga 2 Building, Jl. December 30, 2014: Signed a lease agreement with PT Star Pacific Tbk for the building at Menara CIMB Niaga, Jl.
Target and Realization 2015
The agreement is valid until June 30, 2013 and was extended until November 30, 2016 upon approval of both parties.
TARGET AND REALIZATION 2015
