Bank Mandiri to Provide Supplier Financing for PT Timah
Jakarta, 6 February 2017 - Bank Mandiri will provide financing facilities for suppliers of PT Timah (Persero) Tbk so as to improve business efficiency and optimize tin mining operations. The supplier financing agreement was signed by Bank Mandiri SEVP Corporate Banking Alexandra Askandar and PT Timah Finance Director Emil Emindra in Jakarta on Monday (Feb 2). The event was witnessed by Bank Mandiri Corporate Banking Director Royke Tumilaar and PT Timah CEO M. Riza Pahlevi.
So as to accurately identify PT Timah suppliers, Bank Mandiri will also open accounts for the suppliers and provide them with specially-designed, co-branded debit cards in collaboration with PT Timah. The accounts will be used to receive payments for the tin ore sold to PT Timah. Currently, PT Timah has 1,000 individual, small-scale suppliers and 100 corporate suppliers.
Royke said that this supplier financing solution would provide an effective means of assisting PT Timah speed up payments to its suppliers, which would help the company with liquidity management and provide an incentive to suppliers to increase their ore supplies. Currently, the supplier financing arrangement is subject to a ceiling of Rp 300 billion.
“This partnership is very important as it should help increase PT Timah’s production and the welfare of its suppliers. It represents a form of synergy between SOEs, something that we believe will make Indonesia increasingly prosperous and economically resilient,” explained Royke.
Royke said that the co-branded debit card provided an ideal solution for accurately ascertaining the identities of payees, and would also enhance the convenience of suppliers as payments would no longer have to be made in cash.
“We expect that this specially designed, co-branded debit card will also be availed of by PT Timah to better manage its suppliers and encourage them to boost their supplies to PT Timah,” said Royke.
He said that the collaboration with PT Timah was a manifestation of the Company's commitment to helping develop the country’s mining sector. As per the end of December 2016, Bank Mandiri had provided financing amounting to Rp 15.5 trillion to the mining sector, up 29% from 2015.
About PT Bank Mandiri (Persero) Tbk
Bank Mandiri is the largest Bank in Indonesia, providing services in the Corporate, Commercial, Micro & Business, Consumer Banking and Treasury segments. The Bank’s subsidiaries are Mandiri Sekuritas (capital market services), Bank Syariah Mandiri (shariah banking), Bank Mandiri Taspen Pos/ Mantap (MSME sector), AXA-Mandiri Financial Services (life insurance), Mandiri InHealth (health insurance), Mandiri Axa General Insurance (general insurance), Mandiri Tunas Finance (consumer finance), Mandiri Utama Finance (financing services), Mandiri International Remittance (remittance services), Mandiri Europe (treasury & financial institutions), and Mandiri Capital Indonesia (venture capital).
As of the end of September 2016, Bank Mandiri operated 2,505 branches throughout Indonesia, and 7 branches/representative offices/subsidiaries overseas. The Bank’s distribution network consisted of 17,461 ATMs linked to the ATM Link, ATM Bersama, ATM Prima and Visa/Plus networks. In addition, the Bank operated more than 269.3 thousand Electronic Data Capture machines and a range of other electronic channels, including Internet Banking, Mandiri Mobile, SMS Banking and Call Center 14.000.
For more information, please contact:
PT Bank Mandiri (Persero) Tbk.
Tel: 021-5245740 Fax 021-5268246