Training and/or education for the Board of Commissioners, Board of Directors, Committees, Corporate Secretary and Internal Audit Unit. BCA has seen strong CASA growth in 2021, higher than the industry average, on the back of strong digital transactions and strong customer confidence.
Environment, Social,
ManagementCorporate
Customer Service
Digital Banking
Service
Economic Performance
7 Sustainable Financing sectors
Performance Achievements
Expanding QRIS application
MSMEs in NTB
BanggaLokal Kolaberaksi,
Flora
Fauna4buildings
3 buildings
159 kWh/m 2 /year
RUHVWD&HUWLˉFDWH
Card Waste Treatment
Non-Organic Waste Management
670 Paving block
Female occupying Director positions
Female occupying Branch Heads
Employees who received Sustainable
Branch Service Quality (BSQ) Index
Education Participants
Customer Engagement (CE) Index
Bakti BCA Scholarship Assisted Schools
CSR funds
Financial Highlights
CASA
Financial Highlights - continued
Presented with the calculation of profits from trading and foreign exchange transactions as operating income; and losses from trade and currency transactions as operating costs, in accordance with SE OJK No.9/SEOJK.03/2020. Presented with statement of gains and losses from trading and foreign exchange transactions on a net basis as operating income in accordance with accounting standards.
Stock and Bond Highlights
BCA Dividends History *
Bonds Highlights
Report of the Board of Directors
Jahja Setiaatmadja President Director
Respected stakeholders,
BCA was rated A - 1st position among the Top 10 constituents of the MSCI Indonesia Index, and ranked 2nd among the Top 10 constituents of the FTSE4Good ASEAN 5 Index. In addition, the bank ranked in the 76th percentile of the Dow Jones Sustainability Index.
Economic and Banking Industry Review
We increase our exposure to sustainable finance; pursuing various sustainable cultural activities through CSR programs; and promoting good corporate governance (GCG) practices.
2021 Strategic Priorities and Initiatives
To date, BCA has partnered with more than 3,000 API partners and seen total API transactions grow by 197.9% year over year, the highest growth in the past two years. BCA has collaborated with several financial institutions that have expertise and infrastructure in the micro segment.
Board of Directors
Our loan restructuring initiative was in line with the Financial Services Authority (FSA) policy whereby the loan restructuring release period was extended to March 2023 from the original deadline of March 2021. We were pleased to see a reduction in the outstanding restructured Rp. for Rp. 15.0 trillion. loans from last year, when parts of the portfolio started to return to normal.
Environmental, Social and Governance (ESG)
During the year we have collaborated with the government and the relevant authorities to provide vaccinations in various regions. Further, the BCA also refers to international standards such as the ASEAN Corporate Governance Scorecard and best practices in the global and regional banking sector.
Role of the Board of Directors in Formulating Strategies and Policies
Implementation of good corporate governance BCA adheres to the GCG principles of transparency, accountability, responsibility, fairness and independence in creating value for our stakeholders, incorporating these principles within the Bank's day-to-day operations. We continuously adjust our risk management policies, governance and procedures to follow best practices within the industry, promote ESG values and comply with prevailing rules and regulations.
Processes Applied by the Board of Directors to Ensure Strategy Implementation
In total, BCA distributed more than 238,000 doses of vaccines to employees and their families and the general public. BCA is constantly strengthening its data security and has obtained ISO certification for its information security management system.
Performance of the Committees under the Board of Directors
From time to time, our authorities upgrade GCG standards and policies, which are essential to strengthen the trust and confidence of our stakeholders. All committees provided valuable opinions in support of the implementation of the board's responsibilities.
Changes to the Composition of the Board of Directors
2021 Opportunities, Challenges and Achievements of Targets
Achievement vs Target
This was supported by signs of improving business activity and higher domestic consumption in the second half of 2021, along with positive progress in the nationwide vaccination program.
Target 2022
Appreciation
Jahja Setiaatmadja
Djohan Emir Setijoso President Commissioner
Supervisory Report of
The Board of Commissioners
Dear Respected Shareholders,
Board of Commissioners
Economic and Banking Overview
Assessment of the Performance of the Board of Directors
We concluded that the Board responded very well to digital trends, steering BCA in the right direction. We believe that the Board succeeded in seizing opportunities in accordance with the Bank's position, while maintaining the principle of prudence when entering into cooperation.
Oversight of Strategy Formulation and Implementation
The bank's excellent performance in 2021 was a result of the cooperation between the bank's head office, regions and all organizational levels from the board of commissioners and the board of directors to the front line. We advise the board to continue to be vigilant and apply prudent risk management practices when implementing the bank's business strategy.
Observation on the Implementation of Corporate Governance
Audit and Compliance • Reviewed the performance of the Bank's internal audit, including the possible modification of various internal control policies. We believe that the business assumptions are realistic and provide a solid foundation for maintaining the Bank's strong business performance.
Business Prospects Formulated by the Board of Directors
Risk Management • Monitored the Bank's risk profile, risk parameters and strategic risk appetite along with risk mitigation, particularly in relation to the impact of accelerated digitization due to the COVID-19 pandemic. GCG contributes to the achievement of the Bank's vision and mission and benefits shareholders and stakeholders.
Observation and Role of Board of Commissioners in the Whistleblowing System
BCA implements the principles of GCG, including transparency, accountability, responsibility, independence, fairness and equality, in all business aspects and relations with shareholders and stakeholders. As of 2020, BCA is an "ASEAN Asset Class" public company based on a domestic rating body (DRB) assessment using the ASEAN Corporate Governance Scorecard (ACGS) assessment parameters.
Implementation of Sustainable Finance
Assessment of the Performance of the Committees under the Board of Commissioners
More information on the achievements of the four committees within the Board of Commissioners in 2021 can be found in the Good Corporate Governance chapter from pages 367 to 368.
Changes to the Composition of the Board of Commissioners
Djohan Emir Setijoso
Company General Information
Promissory notes and other commercial papers, with a term of validity not exceeding the normal practice of dealing in such papers. To conduct business activities in foreign currency in accordance with the rules and regulations set by Bank Indonesia, or the Indonesian Financial Services Authority or other authorized institutions;.
Line of Business - continued
INNOVATION FOR THE CONVENIENCE & SIMPLICITY OF CUSTOMERS’ TRANSACTION
MastercardQR Code
BagiBagi
Cardless Cash
Withdrawal / Deposit
WelmaBCA KlikPay
OneKlik
Virtual Assistant Chat Banking (VIRA)
ApplicationLifestyle
Online Account Opening
INNOVATION FOR SUCCESSING CUSTOMERS’ BUSINESS
Virtual Account BCAApplication
Programming Interface (API)
BCA Cash Management Services
BCA Merchant Application
IBRA divested 22.5% of its BCA shares through an initial public offering, reducing its ownership of BCA to 70.3%. The government of Indonesia, through PT Perusahaan Pengelola Aset (PPA), has divested the remaining 5.02% of its BCA shares and no longer holds shares in BCA.
Corporate actions highlights in 2000-2005
BCA aggressively expanded its branch network in line with the deregulation of the Indonesian banking sector. BCA works with well-known institutions, such as PT Telkom and Citibank, allowing BCA customers to pay their Telkom phone bill or Citibank credit card bill through BCA ATMs.
Effective on 2 September 1975, the name of the Bank was changed to PT Bank Central Asia (BCA). Note: There was a dilution effect on existing shareholders as new shares were issued in accordance with the Management Share Option Plan, in which share options were exercisable in the period from November 2001 to November 2006.
Milestones
The bank continued to implement the Future Branch business model and a new improved service model with the aim of better serving the changing needs of customers. Following the acquisition, Bank Royal's business model will transform into a digital-based bank, complementing BCA's established digital channels.
Event Highlights 2021
19 FEBRUARY
20 FEBRUARY
The 64th anniversary of PT Bank Central Asia Tbk was held for a full month by the BCA Expoversary Online 2021, an expo that was held virtually for the first time and recorded more than 1 million visitors during the month-long event.
22 2 A APR RI IL
Event Highlights 2021 - continued
8 SEPTEMBER
3 SEPTEMBER
23 SEPTEMBER
21 O OCTO OB BER R
24 4 D DEC CE EM MBER R R
Corporate Culture
To be the bank of choice and a major pillar of the Indonesian
To build centers of excellence in payment settlements and financial solutions for
To understand diverse customer needs and provide the right financial services to
To enhance our corporate franchise and stakeholders value
To build centers of excel settlements and financia
Customer Focus
Integrity
Continuous Pursuit of
CORE VALUES
Products and Services
BNP Paribas Prima USD Klasse RK1 Schroder USD Bond Fund Reksa Dana Campuran Ashmore Dana USD Nusantara. BNP Paribas Spektra * Schroder Combinatiefonds Schroder Integrated Fund II Schroder Dynamic Balance Fund Schroder Syariah Balanced Fund Reksa Dana Saham Rupiah.
Organization Structure
PRESIDENT DIRECTOR Jahja Setiaatmadja
GENERAL MEETING OF SHAREHOLDERS
BOARD OF DIRECTORS
Oversee internal audit/. risk management/compliance function of subsidiaries in conjunction with integrated corporate governance and integrated risk management application. . ^^) Corporate Banking Director designates which corporate business group reports to EVP. Oversee subsidiaries' financial performance. ^) Compliance and Risk Management Director oversees subsidiaries' risk as part of integrated risk management.
BOARD OF COMMISSIONERS
The responsibility of the head of the regional office lies with the communication lines of the Board of Directors, monitoring the reporting lines.
RDUGRI'LUHFWRUV3URˉOH
DUTIES AND RESPONSIBILITIES
CAREER
EDUCATION, CERTIFICATION, AND TRAINING IN 2021
AFFILIATIONS
CONCURRENT POSITIONS
He also once served as a member of the proxy team of the Board of Directors at BCA (May-July 1998). No concurrent position as a member of a board of directors, board of directors or managing director in other banks, companies and/or institutions.
Suwignyo Budiman
No financial relationship, share ownership relationship and/or family relationship with members of the board of directors, fellow board members and/or controlling shareholders of BCA. He has a financial and family relationship with Robert Budi Hartona and Bambang Hartona, the controlling shareholders of BCA, but has no financial, share ownership and/or family relationship with BCA board members or fellow board members. .
Armand Wahyudi Hartono
Prior to that, he served in a number of executive positions at PT Djarum, including as Finance Director, Deputy Director for Purchasing and Head of Human Resources. Currently serving as a member of BCA's Board of Directors, following a career as Head of Legal Work Unit, Deputy Head of Legal Department Head of Legal Bureau and held various management positions including Head of Credit in Operational Headquarters.
Subur Tan
Director of BCA, responsible for Corporate Banking and Corporate Finance Group, Corporate Branch, Treasury Division and International Banking Division. He has also served PT Bank LTCB Central Asia as Vice President of Corporate Finance, Senior Manager of Corporate Finance, Manager of Corporate Finance (1995) and Assistant Manager of Corporate Finance (1994).
Rudy Susanto
Previously, she served as Head of the Human Capital Management Division and a member of the Remuneration and Nomination Committee. He is also active as Chairman of Indonesian Payment System Association (ASPI) (June 2021 to present), Deputy Secretary General of ASPI (August 2020 to June 2021), Chairman of Research, Evaluation and Publication (RPP) in the Association of Indonesian Bankers (IBI) (2019-present), ASPI Committee VII Chairman Member of the Executive Board of the Indonesian Credit Card Association (AKKI) (2013-present), Commissioner of PT Abacus Cash Solution, a service provider money management and as Head of the BCA Pension Fund.
Santoso
Currently a member of the BCA Board of Directors, she previously served as Executive Vice President of Finance and Planning and Corporate Secretary. Before joining BCA, she served as Director and Commissioner in various companies, including as Director and Chief Financial Officer at PT Bank Danamon Indonesia Tbk Commissioner at PT Adira Dinamika Multi Finance and simultaneously as Director at PT Bank Danamon Indonesia Tbk Vice President Commissioner at PT Asuransi Adira Dinamika and simultaneously Director at PT Bank Danamon Indonesia Tbk Chief Financial Officer PT Bank Danamon Indonesia Tbk and as Head of Division, Deputy Head of Division and Head of Section at PT Bank Danamon Indonesia Tbk.
Vera Eve Lim
During her career, she accumulated extensive experience in various fields and tasks, including merger and acquisition, investment and IPO, capital market/equity fund raising, transformation management office, operational excellence, planning and strategy corporate, procurement, real estate management, investor. relationships, financial accounting and taxation, regulatory reporting, management information system (MIS) and others. Prior to joining BCA, he served as Chief Transformation Officer and led the Transformation and Strategy program at PT Bank CIMB Niaga Tbk Indonesia since January 2019, Chief Fintech Officer CIMB Group Malaysia (June 2018 to December 2018), CEO Banking Group of Transaction Group CI Malaysia (July 2016 to December 2018), and Head of Banking Transactions PT Bank CIMB Niaga Tbk Indonesia (August 2013 to December 2018).
Gregory Hendra Lembong
The list of professional trainings, seminars and conferences attended in 2021 is presented on page 386 of this Annual Report. He was appointed Chairman of the Indonesian Bankers Association (IBI) for a 4-year term (June 2019 to May 2023) and was also appointed as one of the seven Chairs of the Indonesia B20 Task Force on Indonesia's G20 Presidency 2022 on Integrity and Compliance.
Haryanto Tiara Budiman
He subsequently served as Head of Sidoarjo, Diponegoro, Solo and Veteran Surabaya Branch respectively, until he was appointed Head of Regional Office IV Eastern Indonesia in 2012. From 2018 to 2021, he headed Regional Office III Surabaya, and was also a member of the Steering Committee of East Java Regional Banking Consultancy.
Frengky Chandra Kusuma
He started his career in 1989 at BCA as a credit analyst and rose through the ranks to become Cakranegara Branch Manager in 2001. Prior to that, he had extensive experience in the banking sector where he held various positions including Finance and Head of Loan Administration, Head of Central coordinator and member of the IBRA team at PT Bank Risjad Salim International Head of Business Development and Business Planning, Consumer Mass Marketing, Head of Strategic Planning and Marketing Communications of Consumer Banking, Head of Product Responsibility and Marketing Communications, Head of the Jakarta Region at PT Bank Danamon Indonesia Tbk Head of Sales Development Individual Banking, Regional Development and Planning Project Team Senior Consultant and Market Strategy Development Consultant at PT Bank Central Asia Tbk and Director and Vice President Director of PT Bank BCA Syariah .
John Kosasih
Director of BCA, responsible for the Commercial & SME, Cash Management and Credit Services Center divisions. PT BCA Finance in car financing, PT BCA Multi Finance in factoring, motorcycle financing and leasing, and PT Bank BCA Syariah in Sharia banking.
RDUGRI&RPPLVVLRQHUV3URˉOH
Before joining BCA, he served as Commissioner and then Director of PT Cipta Karya Bumi Indah, a property development and construction company. Previously, he served in various management positions including as President Director of PT Sarana Kencana Mulya, Chief Corporate Banking Manager at PT Band, General Manager Central Asia at PT Tamara Indah, an engineering and general supplier company and General Manager at PT Indomobil. a leading Indonesian automotive company (1987).
Tonny Kusnadi
During his career, he accumulated extensive experience in various areas and tasks, including corporate banking, banking operations and services, and corporate planning. During his career, he accumulated extensive experience in various fields and assignments, including monetary economics, macroeconomics and international economics, banking and finance, and renewable energy.
Cyrillus Harinowo
He has also served as Alternate Executive Director and Technical Assistance Advisor for the Department of Monetary and Exchange Affairs, International Monetary Fund (IMF), Washington. There are no financial relationships, share ownership relationships and/or family relationships with other members of the Board of Commissioners, members of the Board of Directors and/or controlling shareholders of BCA.
Raden Pardede
Previously, he was an independent commissioner and chairman of the audit committee of PT Multi Bintang Indonesia Tbk, member of the board of trustees of Universitas Indonesia, chairman of the risk committee of Universitas Indonesia, member of the information technology and risk management committee of PT Bursa Efek Indonesia, remuneration &. Nomination Committee and Audit Committee at PT CIMB Niaga Tbk and Chairman Commissioner of PT Danakita Investama, an investment management company.
Sumantri Slamet
Graduated with a bachelor's degree majoring in mathematics from the Faculty of Mathematics and Natural Sciences of Universitas Indonesia (1978) and obtained a master's degree (1981) and a doctorate. 1983) in computer science from the University of Illinois, Urbana Champaign, USA. Completed the Banking Risk Management Certification – Level 5 program from the Banking Professional Certification Agency (LSPP).
Fanny Sagitadewi
Rallyati A. Wibowo
Cyrillus Harinowo has been acting as the Chairman of the Risk Control Committee at BCA since 29 April 2021 pursuant to Board Resolution No. 079/SK/DIR/2021. At the same time, he is also an independent commissioner and chairman of the BCA Integrated Governance Committee.
Endang Swasthika Wibowo
Subianto Rustandi
Djohan Emir Setijoso has been a member of BCA's Remuneration and Nomination Committee since April 7, 2021 based on Decision No. of the Board of Directors. Raden Pardede has been chairman of the Remuneration and Nomination Committee of BCA since April 7, 2021, based on the Board of Directors Decree no.
Rudi Lim
Prabowo
Sulistiyowati
Gustiono Kustianto
Pudjianto
Mendari Handaya
Sutedjo Prihatono
Joni Handrijanto
Irianto Sutanto
Hendra Iskandar Lubis
Sri Indrajanti Dewi
Raymon Yonarto
6HQLRU2IˉFHUV
Jip Thomas Sutanto Head of the IT infrastructure and operations group Fransiscus Kaurrany Head of the IT architecture and service quality group. Tjhong Welly Yandoko Transaction Banking Partnership Solution Development Division Head Linda Djojonegoro Head of Credit & Consumer Card Services Group.
Number of Employees and Competence Development
Number of Employees
Training and/or Education for the Board of
Commissioners, Board of Directors, Committees, Corporate Secretary, and Internal Audit Unit
Employee Competence Development
Shareholder Composition
BCA Ultimate Shareholder
Details of 20 Largest Shareholders
Public Shareholders with Less than 5% Share Ownership
Share Ownership Percentage of Commissioners and Directors
Record of BCA Share and Other Securities Listing
Record of BCA Share Listing at the Indonesia Stock Exchange
Record of Other Securities Listing
Kontroleer finansieringsrekeninge - sharia iB, Bankwaarborg, Umrah-finansiering iB, Bedryfskapitaal BCA Syariah iB, Beleggingslening BCA Syariah iB, Mortgage iB, Factoring BCA Syariah iB, Outofinansiering iB, Gold iB. 100% Terugbetaalbare Hospitaalversekering, Bima Proteksi Kesehatanku, BCA Life Optima Critical Protection, BCA Life Purna Medis Optima.
Information on Subsidiaries
PT Bank BCA Syariah (formerly PT Bank UIB) was established in 1991 and currently operates as a Sharia bank. PT BCA Multi Finance (formerly known as PT Central Santosa Finance/CSF) was established in 2010 and deals in motorcycle, car and multi-purpose financing.
Capital Market Supporting Institution
Public Accounting
Law Firm ConsultantShare Registrar
Notary
Securities Rating Agency
Trustee KAP Tanudiredja, Wibisana, Rintis & Rekan
PT Raya Saham Registra Gedung Plaza Sentral, 2 nd Floor
Fitch Ratings Ltd
PT Pemeringkat Efek Indonesia (PEFINDO) Equity Tower, 30 th Floor
BCA Continuous Subordinated Bonds I Phase I 2018
PT Bank Rakyat Indonesia (Persero) Tbk Investment Services Division
Hadiputranto, Hadinoto & Partners Pacific Century Place, Level 35
AWARDS
ZDUGVDQG&HUWLˉFDWLRQV - continued
Herstory – Warta Ekonomi Flazz BCA in the e-money category as the best choice of millennial brand 2021 with outstanding product and service innovations. Asset class category Rp5 T-Rp10 T Insurance category (BCA Life and BCA Insurance) >10 awards.
Branches
Branches - continued
BCA has a website, https://www.bca.co.id, where the public can access detailed information about the company. On the website, BCA provides information on banking products, services and solutions to meet individual and business needs, together with details about BCA and other important information.
Information on The Company p y
Contents
Business Segment Performance Overview
Corporate Loan Portfolio Growth (YoY)
Corporate Banking Transaction Banking
Number of Transaction Growth (YoY)
Supported by the gradual economic recovery in 2021, commercial and SME loans increased by 5.4% to Rp208.6 trillion. With the economy in the early stages of recovery, Individual Banking continued to grow in 2021, supported by increasing consumer lending and wealth management products.
Consumer Loan Growth
In 2021, BCA developed a number of products and programs, such as the multi-purpose loan program, BCA dealer financing and partnership loans. The Individual Banking segment continues to grow in line with the rise of Indonesia's middle class.
YoY)
BCA has also developed other loan programs with competitive interest rates for business people to increase the use of loan facilities during certain periods. To provide end-to-end solutions to commercial clients and SMEs, BCA has also provided various payment solutions such as a digital end-to-end infrastructure integrated into each client's ecosystem.
Commercial & SME Loan Portfolio Growth (YoY)
To drive consumer lending growth, BCA hosted a number of virtual events, including BCA Online Expoversary, KPR BCA ONLINEXPO and KKB BCA Virtual Mall.
Commercial & SME Banking
Individual Banking
Transaction Banking
Third Party Funds
Transaction Banking in 2021
Strengthening Transaction Banking Franchise through Digitalization
Integration of Multi-Channel Network
The Bank has VIRA (Virtual Assistant Chat Banking), which provides interactive and real-time information via the Bank's LINE account (@ . BankBCA), Facebook Messenger and Google Assistant.
Offering Transaction Banking Solutions
To educate users and improve the experience of adopting the latest features and programs, BCA has updated its official website www.bca.co.id so that customers, the public and investors can receive updated information and guidance. .
Future Development Plans
To support solid transaction banking growth, BCA undertook a comprehensive and sustainable range of marketing activities during the year. The bank will always stand by its customers to provide safe, fast and reliable banking services.
Corporate Banking
Corporate Loan Portfolio
Corporate Banking in 2021
Credit Quality
Comprehensive Solutions for Debtors
The bank continuously improves its payment and collection solutions, both Business to Business (B2B) and Business to Customer (B2C). This activity is supported by the bank's Application Programming Interface (API) and host-to-host systems, which enable businesses to connect to BCA banking services through their platforms.
Syndicated Loans to Support Infrastructure Development
Nevertheless, the Bank will continue to monitor its LAR ratio and bank liquidity to stay abreast of any potential challenges. In addition, the Bank intends to collaborate with its corporate clients using digital platforms, which will allow the Bank to strengthen its relationships by offering more comprehensive financial solutions.
Commercial and Small &
Medium Enterprise (SME) Banking
Commercial & SME Banking in 2021
Commercial & SME Loan Portfolio
To provide comprehensive solutions to commercial customers and SMEs, BCA offered loans or financing facilities, as well as services in the form of education, development and assistance, business matching and provision of an e-Commerce platform. Hence, BCA managed to expand its customer base and book strong commercial and SME CASA growth of 24.6% in 2021.
Growing with Quality
In December 2021, restructured commercial and SME loans improved from Rp 38.9 trillion to Rp 34.8 trillion, or 16.7% of all commercial and SME loans.
Commercial and Small & Medium Enterprise (SME) Banking
Providing Solutions for Customers
Growing Engagement in Cash Management
The Individual Banking segment continues to grow in line with the increase in Indonesia's middle class population. In addition, BCA also collaborates with its subsidiaries to present innovative solutions to individual customers.
Consumer Loans Portfolio
With the economy in the early stages of recovery, Individual Banking continued to grow in 2021, supported by improved mortgage and car loans and wealth management products. Individual Banking was also supported by the shift towards digital banking, as seen in the significant growth in online account openings, which contributed more than 50% of new customer growth in 2021.
Customer segmentation helps the Bank to provide individual customers with the appropriate services and offers based on their unique characteristics and needs. The Bank strengthens its relationships with its customers through regular updates on products and services, educating the public on features and facilities, and campaigns to promote digital channels.
Prioritas and Solitaire Banking
Quality Consumer Loans
Mortgages (KPR)
In addition to expanding its portfolio, KPR BCA also continued to manage mortgage quality by regularly monitoring debtors, especially those subject to the credit restructuring plan. Therefore, the Bank continued to develop digital services and data analytics to enhance KPR's portfolio, which reflect our belief that the real estate market offers great growth potential.
Vehicle Loans (KKB)
Credit Cards
Credit card usage in 2021 has improved significantly, although it has not yet recovered to pre-pandemic levels. While online shopping has driven growth in credit card use, physical transactions remain significant, meaning there is still a heavy reliance in the credit card market on social mobility.
Wealth Management
Treasury Portfolio
Treasury and International Banking
TREASURY
Liquidity Management
Treasury Banking Solutions
The bank also acts as a primary dealer and distribution partner to support the government's sovereign bond program. BCA has received several awards for this achievement, including 2020 SUN Main Dealer of the Year, 2020 SUN Secondary Market Main Dealer of 2020 and SBSN Best Performing Retail Distribution Partner of 2021.
INTERNATIONAL BANKING
Trade Finance
Remittance
Financial Institutions Group
In managing a more complex and dynamic banking business, BCA has implemented an integrated risk management framework which covers the risks faced by the bank and its subsidiaries. In line with a dynamic organization focused on implementing regulations in the business environment, BCA's risk management policies are constantly updated to comply with applicable regulations and international best practices.
RISK MANAGEMENT FOCUS IN 2021
By implementing an Integrated Risk Management Framework consisting of strategy, organizational structure, policies and procedures and the risk management infrastructure itself, BCA can ensure that all risks are identified, measured, controlled and properly reported.
BUSINESS SUPPORT
Risk Management
Industry Sectors in Credit Portfolio of Corporate, Commercial and SME Segment (based on BCA’s internal classification) *
The bank continuously evaluates the implementation of loan disbursement and loan monitoring to ensure that there are no violations of the limits and the loan is of good quality. The bank offers a comprehensive solution to meet customers' credit needs and performs continuous credit monitoring.
Liquidity
Anticipating a possible decline in asset quality, the Bank has implemented an Early Warning System (EWS) to monitor changes in the debtor's repayment capacity as preventive actions to minimize the risk of default.
Capital Position
Exchange Rate Risk
Operational Risk
Implementation of segregated operations protocols in head office and regional offices for employees related to customer service operational transactions c. Early closing for transactional operations at Head Office/Regional Offices/Branch Offices (after 4:00 PM and with the permission of Unit Heads between Level 2-4 PPKM).
INTEGRATED RISK MANAGEMENT
The fundamental policy for managing the use of information technology as a basic guideline for the implementation of risk management. Adequacy of identification, measurement, monitoring and control of the integrated risk management, as well as the integrated risk management information system.
INTERNAL CONTROL
Governing Body
Active supervision of the BCA Financial Conglomerate by the Board of Directors and the Board of Commissioners of the main entity.
Management (The Board of Directors, the First Line Role and Second Line Role)
Internal Audit Division
The risk profile level is the result of an assessment of the inherent “low to moderate” risk assessment and a “satisfactory” implementation of risk management.
DISCLOSURE OF RISK MANAGEMENT
BCA’s Application of Risk Management
A. Active Supervision by the Board of Commissioners and the Board of Directors
Declare when BCA has entered an emergency situation and, if necessary, the board may request an opinion from the Risk Management Committee (KMR), the Assets and Liabilities Committee (ALCO) and/. In emergency situations, authority control is under the direct coordination of the board.
B. Adequacy of Risk Management Policies and Procedures and Determination of Risk Limits
The audit committee, the risk monitoring committee, the remuneration and nomination committee and the integrated committee for good corporate governance assist the board in its supervisory tasks. The board's supervisory duties are assisted by the Assets Liabilities Committee (ALCO), Credit Policy Committee, Credit Committee, Risk Management Committee, Information Technology Steering Committee, Employment Case Consideration Committee and Integrated Risk Management Committee.
Risk Management and Internal Control Organizational Structure
To support the implementation of an internal control system, BCA has a fully documented risk management policy, which includes internal control (clear organizational structure, division of duties, risk limit procedures and others). Risk management guidelines and policy implementation are monitored by the Risk Management Working Unit (RMWU) and the Compliance Working Unit (CWU), which function as a Second Line Role.
REVIEW OF THE EFFECTIVENESS OF THE BANK’S RISK MANAGEMENT SYSTEM
BCA Capital
Capital Structure
The Bank and all its subsidiaries have conducted integrated stress tests using various scenarios including various changes in NPL levels and their effects on income, liquidity position and capital position. In general, the results of the stress tests show that the liquidity and capital positions of BCA and subsidiaries are adequate to anticipate losses from potential risks, based on the tested scenarios.
Basis for Management Policy on Capital Structure
- Disclosure of Risk Exposure and Implementation of Risk Management
- A. Disclosure of Credit Risk Exposure and Implementation of Credit Risk Management
- The Board of Commissioners, responsible for approving the Bank’s credit plans and overseeing its
- Chief Risk Officer, is a BCA director responsible for the management of credit, market, operational, and other
- Work units that perform functions related to credit risk management
- Credit Policy Committee
- Credit Committee
- Risk Management Committee
- B. Disclosure of Market Risk Exposure and Implementation of Market Risk Management
- C. Disclosure of Operational Risk Exposures and Implementation of Operational Risk
- E. Disclosure of Legal Risk Exposure and Implementation of Legal Risk Management
- F. Disclosure of Strategic Risk Exposure and Implementation of Strategic Risk Management
- G. Disclosure of Reputation Risk Exposure and Implementation of Reputation Risk
- H. Disclosure of Compliance Risk Exposure and Implementation of Compliance Risk
Examining and assessing the adequacy and effectiveness of the Bank's risk management processes, internal controls and corporate governance. Having a Risk Management Committee and an Asset Liability Committee (ALCO) at Board of Directors level.
RISK SUMMARY
The Bank also takes proactive actions (ex-ante) to reduce the incidence of violations and remedial action (ex-post) for immediate improvement. Based on the results of the recent assessments, the Bank's Intra-group Transaction Risk has an insignificant impact on the overall.
Risk Management Table
General - Key Metrics - Bank as Consolidated with Subsidiaries
Leverage Ratio
General - Explanations of differences between accounting and regulatory exposure amounts (LIA)
Investments in own shares (if not already offset by paid-in capital in the reported balance sheet). Significant investments in common shares of banking, financial and insurance entities that are outside the scope of regulatory consolidation, without suitable short positions (amount above the 10% threshold).
- Common Equity Tier 1 (as a percentage of risk weighted assets) 24.66% 25.86%
- Total capital (as a percentage of risk weighted assets) 25.66% 26.85%
- Capital - Composition of Capital (CC1) - as of December 31, 2020
- Total regulatory adjustments to Common equity Tier 1 (13,482,295) (8,809,263)
- Common Equity Tier 1 (as a percentage of risk weighted assets) 24.82% 25.89%
- Total capital (as a percentage of risk weighted assets) 25.83% 26.89%
- Capital - Reconciliation of Capital (CC2) - as of December 31, 2021
- EQUITIES
- Capital - Reconciliation of Capital (CC2) - as of December 31, 2020
- Capital - Main Features of Capital and TLAC - Eligible Instruments (CCA) - as of December 31, 2021
- Leverage Ratio Calculation Report
Additional Tier 1 instruments (and CET1 instruments not included in row 5) issued by subsidiaries and held by third parties (permissible amount in AT1 pool). Significant investments in the capital of banking, financial and insurance entities that are outside the scope of regulatory consolidation (without corresponding short positions).
