HSBC Indonesia Reveals Operational Digitization Is A Top Priority

JAKARTA - PT Bank HSBC Indonesia revealed that as many as 600 companies operating in Southeast Asia show that operational digitization is a top priority for business people.

Managing Director, Wholesale Banking HSBC Indonesia Riko Tasmaya said digital investment is also a major business strategy for companies in Indonesia, before expanding into new markets in ASEAN.

"Almost nine out of 10 expect intra-ASEAN trade to increase in 2024, by estimating an increase of more than 30 percent," he said at the launch of the HSBC Asean Growth Fund as well as breaking the fast with the media, Wednesday, March 27, 2024.

Riko said in the survey that he also found that eight out of 10 companies in Indonesia plan to invest more in ASEAN. This figure is much higher than 52 percent which intends to increase its investment outside of ASEAN.

Nevertheless, Riko said macroeconomic uncertainty, rapid changes in regulations and policies are a major obstacle for Indonesian companies that want to expand to new markets in ASEAN.

"The main strategy to overcome expansion barriers is the ease of making and accepting payments that underscore the importance of support and instructions from banking partners," he explained.

Riko explained that fast digital adoption in ASEAN means the business world is increasingly needing digital banking partners who are able to support their growth.

In addition, Riko said that companies want convenient and easy-to-use trade and payment solutions, so that they can give businesses more time to focus on strategy and expansion.

"Not only that, banking partners must fully understand different regulations and cultures, and use qualified expertise to formulate optimal solutions, as well as be able to meet the basic needs of cross-border growth strategies to ensure the success of business expansion, be it in ASEAN or around it.," said Riko.