Failed To Get Additional State Investment For IDR 2 Trillion, IFG Will Borrow From Bank

Illustration. (Photo: Doc. Antara)

JAKARTA - PT Bahana Pembinaan Usaha Indonesia (Persero) or the Indonesia Financial Group (IFG) failed to obtain additional state investment (PMN) worth IDR 2 trillion. PMN will only be paid IDR 20 trillion this year.

Therefore, IFG needs to bear the remaining IDR 6.7 trillion needed to solve the problems of PT Asuransi Jiwasraya (Persero). One of the steps taken is to apply for a loan to the bank.

For your information, IFG received an assignment from the government to take over Jiwasraya's portfolio and its responsibilities to the 4 million insurance policyholders.

Deputy President Director of IFG Hexana Tri Sasongko said that taking the debt or raising funds was a step taken by the company due to the cancellation of the 2022 PMN worth IDR 2 trillion which was actually given to IFG.

Hexana said that IDR 26.7 trillion was needed to solve the problems in Jiwasraya. The initial plan was that the total PMN proposed was IDR 22 trillion. Of which IDR 20 trillion will be disbursed this year and the remaining IDR 2 trillion will be PMN 2022. However, he admitted that he received certainty that there would be no PMN allocation for next year.

So, from the total funding requirement regarding the Jiwasraya issue of IDR 26.7 trillion, with the PMN of IDR 22 trillion, IFG only needs to make other efforts in the form of a rising fund of IDR 4.7 trillion.

Furthermore, Hexana said that the certainty regarding PMN 2022 was known from the results of a limited meeting (ratas) with the Directorate General of State Assets (DJKN) of the Ministry of Finance.

"The IFG is looking for other ways to cover the difference in funds through raising funds. As a consequence of replacing PMN worth IDR 2 trillion, the raising funds will come from bank loans", he said during a hearing with Commission VI of the House of Representatives (DPR), Wednesday, September 1.

Hexana said that the absence of additional PMN would have an impact on the finances of the Insurance and Guarantee SOE holding. Furthermore, IFG's capacity or flexibility to strengthen and develop the insurance industry will be more limited.

In addition, Hexana said, it is also necessary to relax the provisions of the Financial Services Authority or Financial Services Authority (OJK) because previously the basis for increasing company capital was prohibited from originating from debt or loans. However, two said, with the change, the OJK needs to provide an exception for IFG.

However, said Hexana, this step will have financial consequences where the leverage will be stretched or very tight and this will affect the capacity or flexibility of IFG.

On the other hand, Hexana admitted that IFG Life has been prepared to accept a portfolio transfer from Jiwasraya which has been restructured. He said the company was formed last year and obtained a license to operate from the OJK as a life insurance company.

Not only that, said Hexana, the operation of the infrastructure has also been prepared. "We are ready from products, infrastructure, information technology, SOPs, policies, and human resources. Then BPUI has also added IDR 360 billion in addition to IDR 150 billion for establishment capital to complete IFG Life and company set-up and other preparations", he explained.