Danamon, PNM and MUFG Bank Set the Stage for Indonesia’s First Sharia Social Financing with Verified International Standard Dedicated to  Woman Empowerment in Indonesia

Jakarta, 12 December 2023 – The Sustainable Sharia Social Financing (PSSB) agreement was signed today, marking a new chapter in the history of Sharia financing in Indonesia. The three financial institutions, Syariah Business Unit of PT Bank Danamon Indonesia Tbk (Danamon), PT Permodalan Nasional Madani (PNM), and supported by MUFG Bank, Ltd., (MUFG Bank), have all publicly committed to sustainable development and sharia financial principles, therefore endorsing this scheme.

This partnership is also an attempt to help Indonesia achieve the Sustainable Development Goals (SDGs), particularly No Poverty, Decent Work and Economic Growth, and Reducing Inequality, which are all part of the Sustainable Development Agenda. All goals are by POJK Implementation Guidelines No. 51/POJK 03/2017 is about the LJK’s Sustainable Finance Program.

Today’s Signing Ceremony attended by Daisuke Ejima, President Director of Danamon; Herry Hykmanto, Director of Sharia & Sustainability Finance of Danamon; Thomas Sudarma, Director of Enterprise Banking & Financial Institution of Danamon; Kazushige Nakajima, Executive Officer, Country Head of Indonesia, MUFG Bank, Ltd., Arief Mulyadi, the President Director of the PNM, Sunar Basuki, Director of Operational, Digital, Information Technology. This signing ceremony also attended by OJK representative, Gunawan Setyo Utomo, from Directorate of Sharia Banking Regulation and Development.

PNM’s Social Financing Framework, designed in line with ICMA’s Social Bond Principles and the Loan Market Association (LMA)/the Asia Pacific Loan Market Association (APLMA)/the Loan Syndications and Trading Association (LSTA)’s Social Loan Principles, outlines the process to consistently certify, track and monitor the social impact of the financing. PNM appointed an independent second-party opinion provider to review the Social Financing Framework.

We are pleased to work with PT PNM to create Indonesia’s first sharia social financing dedicated to woman empowerment in Indonesia. This collaboration among PT PNM, MUFG, and Danamon cements our commitment to drive constructive transformation in the Sharia financial sector,” stated Daisuke Ejima, President Director of PT Bank Danamon Indonesia Tbk.

PNM, as part of the Ultra Micro Holding with PT Bank Rakyat Indonesia (Persero) and PT Pegadaian, and Danamon are teaming together to spearhead Indonesia’s first Sustainable Sharia Social Financing Dedicated to Woman Empowerment in Indonesia initiative, with a total value of IDR 500 billion.

Following the guidelines laid out by the Social Financing Framework, these funds will support working capital for ultra-micro funding via the PNM Mekaar program. PNM Mekaar is the primary channel through which PNM channels financial capital for underprivileged women who run ultra micro businesses. Beyond providing financial resources, PNM also provides business assistance and literacy to increase customer capacities to achieve the three (3) main capital ie., financial capital, social capital and intellectual capital. 

President Director of PT Permodalan Nasional Madani, Arief Mulyadi, stated, ”It is an honor and trust for PNM to receive the first Social Loan in this Sustainable Sharia Social Financing (PSSB) agreement. This distribution of funds will certainly have a sustainable impact on the group lending financing and assistance that we have carried out with PNM Mekaar together with our 14.9 million customers, where 73% of them use PNM Mekaar Syariah services.”

Kazushige Nakajima, Executive Officer, Country Head of Indonesia, MUFG Bank, Ltd., added, “We are proud to support as an advisor to the first Sharia Social Financing Framework here in Indonesia, in partnership with Bank Danamon and PNM. This collaboration is meaningful as it further realises the national objective of reducing poverty, providing work especially to the underprivileged women and contributing to the economic growth for Indonesia.  It is also much aligned with MUFG’s purpose of committed to empowering a brighter future and doing our part to find resolutions of environmental and social issues.” 

This Social Financing aims to support micro-small and medium enterprises (SMEs), the lifeblood of Indonesia's economy, and to empower women, who play a crucial role in both the home and community economies, by creating more possibilities for them to advance economically.




For media inquiry, please contact:


Tarida Fransiska

Corporate Communications Manager

PT Bank Danamon Indonesia Tbk

Email: tarida.fransiska@danamon.co.id

Cindyani Lasmana

Corporate Communications Head

PT Bank Danamon Indonesia Tbk

Email: cindyani.lasmana@danamon.co.id