Danamon Remains Committed to Strengthening Automotive Industry Through Financial Solutions

Jakarta, 21 February 2024 – PT Bank Danamon Indonesia Tbk (“Danamon”), along with PT Adira Dinamika Multi Finance, Tbk. (“Adira Finance”) with the support from MUFG Bank, Ltd. (MUFG), is back at the 2024 Indonesia International Motor Show (IIMS) as the official bank partner, the official multifinance partner, and the official trade-in partner via momobil.id and momotor.id. This long-term partnership is Danamon's commitment to strengthening the national automotive industry by providing comprehensive financial solutions for every part of the automotive industry chain, from the upstream part to the downstream part.

With consolidated assets reaching Rp221 trillion as of the end of 2023, Danamon shows solid financial capabilities to support Indonesia’s automotive sector from production to distribution. Andrew Suhandinata, Transaction Banking Head of PT Bank Danamon Indonesia Tbk reiterated the importance of the automotive industry in advancing Indonesia’s economy and Danamon's commitment to supporting business players in this sector.

In 2023, Danamon recorded a significant growth in lending distribution with total lending and trade and finance increasing by 19% year-on-year to Rp174.9 trillion. The increase was driven by the lending portfolio from the Enterprise Banking & Financial Institution segment that grew 15% year-on-year to reach Rp78.8 trillion. 

The synergy between Danamon and Adira Finance as its subsidiary has led to an increase in lending and automotive financing for both retail and corporate throughout 2023.

The value of vehicle financing provided by Adira Finance for Danamon business customers (fleet financing) has grown by 85% year-on-year with customer growth reaching 22% year-on-year. Danamon also provided working capital lending to Adira Finance partner dealers in 2023 with an increase in loan value of 103% year-on-year with additional dealers amounting to 105% year-on-year.

This demonstrates that the synergy between Danamon and Adira Finance plays a key role in increasing the customer base and business expansion of both companies and is also differentiating strength to grow as a Financial Group and this will continue to be improved in the future.

Danamon's Commitment to Supporting Economic Growth by Strengthening Automotive Industry

In supporting corporate business, Danamon provides a comprehensive range of transaction banking services, including Danamon Cash Management, Danamon Trade Finance & Services, and Danamon Financial Supply Chain. This service enables corporate customers to manage cash flow, carry out finance export/import trade, and provide financial supply chain solutions more efficiently through the Danamon Cash Connect platform, an internet banking service designed to speed up business processes and boost productivity.

In line with the development of the MUFG Group's business scale and capabilities through various recent acquisitions of other service provider companies such as Akulaku and Home Credit Indonesia, as well as the ongoing acquisition process of Mandala Finance by Adira Finance and MUFG, the Group at the 2024 IIMS is once again presenting financial solutions that are increasingly more complete and more comprehensive for every customer's needs from the upstream sector to the downstream sector. This expansion not only strengthens Danamon's capacity to provide complete financial solutions from the upstream part to the downstream part for the automotive industry, but also expands service access to more industry players.

"Danamon understands that customer needs in terms of automotive are not only limited to end users. There are many customers who are business owners such as repair shop owners, aftermarket shop owners, and so on. Therefore, Danamon wants to reinforce its commitment to corporate customers, including SME and enterprise banking customers, and is present as a one stop financial solution provider because we believe that if our clients can run their businesses smoothly, they will also provide goods and services needed for end consumers and in turn they can make a positive contribution to Indonesia’s economy," Andrew concluded.




For media inquiries, please contact:


Ni Luh Putu Utami Arsaningrum

Corporate Communications Manager

PT Bank Danamon Indonesia Tbk

Email: utami.arsaningrum@danamon.co.id

Cindyani Lasmana

Corporate Communications Head

PT Bank Danamon Indonesia Tbk

Email: cindyani.lasmana@danamon.co.id