E-Commerce And Fintech Plan To Work On Financial Business, BNI Warns On Banking Data Security Issues

One of the BNI automated teller machines (ATM) facilities. (Photo: By courtesy)

JAKARTA - Director of Information Technology and Operations of PT Bank Negara Indonesia Tbk. (BNI) YB Hariantono said that his party is paying more attention to addressing data security (data privacy) related to the strong push for digitalization recently.

According to him, the phenomenon of the entry of new players outside the banking sector who are also engaged in the financial services business has made data security quite risky. Hariantono assesses that as an existing banking institution, he only carries out business activities in accordance with predetermined business principles.

"Why are we concerned about data privacy? Because the bank is the only do banking service provider. But now other players, such as online commerce, can enter banking services”, he said in a webinar entitled Indonesia Data And Economic Virtual Forum held by Katadata, Wednesday, March 24.

Hariantono added that when the non-bank institution expanded its business activities to become banking, one of the parts it targeted was pursuing business from the collected customer data (leverage customer based).

"So the customer data will be very liquid because they have business interests, the privacy of consumer data will flow everywhere", he said.

However, he felt that this condition was a challenge to improve service capabilities to customers.

"By engaging in open competitions such as facing fintech and all kinds, BNI remains positive and motivated to be able to compete agile", he said.

On this occasion, the boss of the state-owned bank also conveyed that banking regulators, namely the Financial Services Authority (OJK) and Bank Indonesia (BI) have fully supported the process of digitizing banking in the 4.0 industrial era.

"I see the regulator is very transparent in encouraging digitalization. We also assess that from all the regulations that have been prepared, where everything is open, it has been given the convenience of going digital. But the other side that has to be seen is that the playing field must be at the same level", he explained.

To note, one of the domestic startup companies engaged in transportation services, Gojek was recorded to have purchased 22 percent of PT Bank Jago Tbk (ARTO) shares at the end of 2020. Bank Jago is a technology-based bank in Indonesia which was previously known as Bank Artos Indonesia.

During its development, news emerged that Gojek would carry out a merger with one of the domestic e-commerce giants, namely Tokopedia. However, the rumors are still uncertain because each party is still holding back from giving information.

In a report, it was stated that if the strategic plans of Gojek and Tokopedia went smoothly, the business entity resulting from the merger would become the third most valuable corporation after PT Bank Central Asia Tbk (BCA) and PT Bank Rakyat Indonesia Tbk (BRI).