Bank Rakyat Indonesia has introduced services that help manage transactions and financial assets more efficiently
As the world rapidly embraces modernisation, a financial institution’s success hinges on effective fund transfers and cash management solutions, with transaction banking solutions key to achieving success in a dynamic environment.
These solutions play a crucial role in facilitating seamless and secure financial transactions, meeting the expectations of businesses and individuals for quick, reliable and convenient banking services.
Structured strategies
Bank Rakyat Indonesia (BRI) serves clients across a wide spectrum of business segments, ranging from micro and small and medium-sized enterprises (MSMEs) to larger corporate and institutional customers.
To strengthen its value proposition, the bank is consistently evolving through innovation and digital transformation. In addition, the bank has developed a market strategy that involves transitioning into a hybrid model that seamlessly integrates its digital and traditional paper-based services.
Through well-devised strategies, BRI aims to help clients become more proficient in managing financial transactions and financial assets. This will allow the clients to operate their business in a more efficient and reliable manner using the BRI products and services.
Optimising funding
As part of its funding strategy, BRI tries to increase the funding from low-cost sources. Current and savings accounts often offer lower interest rates compared with other funding options such as time deposits or bond issuances, making them economical sources of capital for the bank.
BRI undertakes a comprehensive approach to grow its low-cost funding sources across both wholesale and retail segments. The implementation of this strategy involves optimising processes across the entire value chain through strategic partnerships and enhancing transactional services through digital channels such as BRI’s cash management tool through Qlola by BRI.
QLola by BRI is an integrated corporate solution platform that will make it easier for customers to access various BRI products and services with just one login.
According to a BRI internal analytics study, accounts linked with cash management tools have at least twice the average balance and number of transactions in comparison with accounts without such tools. The higher balance and transaction volume in turn create higher interest income and fee-based income for the bank.
In 2023, account opening became a critical component in BRI’s client engagement cycle. The online integration process to open an account (Giro BRI) and linked registration of online cash management tools (Qlola by BRI) has enabled better accessibility and engagement for customers. This is expected to help induce more transactions from the clients, making BRI their main operating bank.
The ongoing development of the Giro BRI current account has resulted in positive results including a 30% year-on-year increase in current account balances, a 17% growth in the number of accounts and a 37% rise in transaction value on cash management.
Bank Rakyat Indonesia has won the Best Current Account Offering award at the Annual Retail Banker International Asia Trailblazer Awards 2024. It has also been highly commended for Excellence in Mass Affluent Banking.