BRI AGMS Agrees To Buy Back Shares Of Up To IDR 1.5 Trillion

Bank BRI (Photo: Doc. Antara)

JAKARTA - The Annual General Meeting of Shareholders (AGMS) of PT Bank Rakyat Indonesia (Persero) Tbk (BBRI) approved a corporate action to buy the company's shares (buyback) which had been issued and recorded on the Indonesia Stock Exchange (IDX) with a nominal amount of all buybacks of IDR 1.5 trillion.

"This buyback is carried out with the aim of increasing the ratio of BBRI's share ownership by workers, so that it is expected to increase the sense of ownership of workers towards BRI and encourage BRI Workers' contribution to be more optimal in achieving the target and improving the company's performance," explained Sunarso at a press conference, Monday, March 13.

Sunarso added that the total shares owned by BRI workers were only 1 percent of the total so that the company could carry out this corporate action.

"And now the total shares owned by employees have not reached 1 percent. Still below 1 percent for BRI's SEED bank and BRI's profit. I don't think there is anything wrong with hundreds of thousands of employees owning 1 or 2 percent of shares," explained Sunarso.

It is known that through the disclosure of information published on February 2, 2023, the share buyback by BRI was carried out in a large amount of IDR 1.5 trillion, and can be carried out in stages or at once. This buyback process is completed no later than 18 months after the date of the AGMS in 2023.

BRI President Director, Sunarso said, the shares of the buyback proceeds will be used to provide rewards and incentives to workers and management, thus spurring the Company's sustainability of performance in the long term.

"We have calculated that the financial condition after the buyback is of course our finances will remain solid. The motivation of the buyback is indeed to increase employee engagement, but I want to emphasize the philosophy once again," explained Sunarso at a press conference in Jakarta, Wednesday, February 8.

The government as the largest shareholder of BRI, said Sunarso, needs to receive an economic value through tax and dividend payments which will later be returned to the community through various government programs.

Meanwhile, customers, as the main stakeholder, BRI must receive banking services that exceed expectations.