Serious Business
    Category: Financial Revolution By : Ardian Wibisono Read : 880 Date : Tuesday, March 01, 2017 - 13:14:26

    Ahmad Zamroni / Forbes Indonesia

    The new chief executive of Standard Chartered Bank Indonesia Rino “Donny” Donosepoetro has made history as the first Indonesian to head the bank’s Indonesian operations since it opened over 150 years ago in the country. He replaced Singaporean Tse Koon Shee in July when Koon Shee moved to competitor DBS. Donny inherits the position during a challenging time. In 2015, the bank booked a loss of Rp 285 billion from Rp 620 billion profit the previous year, and nearly a 9% drop in loans.

    A veteran banker who has been with the bank for two decades, Donny has a strong background in internal audit. He was Standard Chartered’s regional head of audit for ASEAN, South Asia, Greater China and North East Asia based in Singapore, and was chief executive in Brunei and Falkland Islands. His appointment reflects Standard Chartered’s seriousness in securing a key market with someone who really understands the market.

    “When we talk about Asia in the future, we talk about growth. Indonesia has the fastest GDP growth after China and India. For us, Indonesia is an extremely important market. I think it is hard to find another that can beat its potential,” Donny says. Likewise, restructuring efforts have been taken. Donny admits that the past couple of years have been tough, but last year the bank moved back to its growth trajectory. The bank’s unaudited figures as of September showed Rp 553 billion profits despite loan growth remaining flat, and gross nonperforming loans (NPLs) soaring to 5.7%, which required a higher provision. Donny says the restructuring effort means this year Standard Chartered Indonesia can aim to have about 9% growth.

    “I am a big believer in culture, it’s a basic foundation for success. For the first time, we have Standard Chartered Bank Indonesia culture,” he says. To compete with others that offer similar products and service, Donny says he gathered the bank’s top and second tier management to set a culture focused on the root of the banking business: trust. He says trust comes mainly from two things, first is good communication with clients and between employees. Second is setting a high standard for professional behavior, including cooperating with the regulators. Unlike other banks that have been cutting back on some sectors or companies, Donny prefers to focus on each client, and provide for their needs.

    “A bank is about risk management, but you implement it in a way to focus on the client. Clients are different, and during this challenging situation, we should stand with them. It might be tough now, but we know it will rebound, which is better than taking a conservative view and cutting the whole thing,” he says. Donny sees international investors wanting to invest in Indonesia, such as clients in South Korea and China. “For our Korean clients, we help them deal with the licenses and authorities. They have interests across the board, in consumer products, automotive, extraction businesses, retail, and manufacturing,” Donny says.

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