Hong Kong. Bank Negara Indonesia, one of the country’s state-controlled lenders, is focusing on the growing population of Indonesian workers in Hong Kong in its quest for international expansion.
The lender launched four full-feature automatic teller machines in Hong Kong on Sunday, seeking to boost customers and international transactions.
BNI currently has as many as 15,000 customers under its Hong Kong branch, according to the head of BNI’s international division, Firman Wibowo.
“Right now, we have about 4 percent market share out of the total portion of Indonesia’s labor migrants [in Hong Kong]. We aim to have 15 percent by the end of this year and 60 percent in the next three years,” said Firman during the launch ceremony of ATM BNI in Hong Kong on Sunday.
There are currently around 170,000 Indonesian workers in Hong Kong, both for the formal and the informal sector.
The lender aims for 20 percent growth in customers this year, reaching 3,000 bank accounts, according to Firman.
BNI president director Gatot Suwondo added that the lender may also open a financial center in Hong Kong, which will offer various insurance and mutual funds products to Indonesia’s labor migrants there.
“We’re still exploring whether there’s an opportunity to sell insurance and mutual fund products here. We’ll discuss the matter with the Hong Kong Monetary Authority after that,” said Gatot.
Third-party funds — which includes time-deposits — at BNI’s Hong Kong branch currently stands at $25.4 million so far this year and is expected to hit $32.89 million by the end of the year.
Its remittance transactions, money transfer by a foreign worker to someone in another country, reached $280.7 million in the first half of the year.
After Hong Kong, Firman said that the lender will also build more ATMs in Singapore.
BNI’s ATMs in Singapore currently are only permitted inside the lender’s branches in the city-state.
“We’re currently seeking the Singaporean authorities for a permission to have [BNI’s] ATMs outside of our physical branches,” he added.