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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 1
Brilliant Steps Toward Sustainable Finance
Sustainability Report 2024 | PT Bank Rakyat Indonesia (Persero) Tbk.
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 2
Table of Content
INTRODUCTION MATERIAL TOPIC
3 GENERAL TOPIC APPENDICES
PAGE PAGE PAGE PAGE
1 NO. 2 NO. NO. 4 NO.
About This Report 4 Navigating Climate 28 BRI Green Initiative 119 ESG Data Tables 170
Risk Through the
Message from Board of 5 Implementation of Human Capital Management: 122 Issued Securities Impact
208
Commissioners and Board Sustainable Finance BRILiaN Individual Reporting
of Directors
Reporting Standards Indices 232
Responsibility for Customer Service 58 Promoting Respect for Human 133
9
Sustainability Reporting Excellence Rights
IDX Reporting Index 246
BRI At A Glance: Brilliant 11 Fostering Financial 67 TJSL: People and Communities 135
Steps Toward Sustainable Inclusion & Literacy Assurance 247
Around BRI
Finance
Robust Cybersecurity 84 Feedback Form 253
Risk Management 141
Sustainability Governance 14
Good Corporate Governance 92 Integrity in the Workplace: 146
Business and ESG Overview 17
Implementation BRI's Commitment to Business
Ethics
ESG Ratings & Recognitions 19
Associations and Framework 154
Stakeholder Engagement 20
Materiality Assessment 22
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 3
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
About This Message from Board of Commissioners Responsibility for BRI At A Glance: Brilliant Steps Sustainability Business and ESG Ratings & Stakeholder Materiality
Report and Board of Directors Sustainability Reporting Toward Sustainable Finance Governance ESG Overview Recognitions Engagement Assessment
INTRODUCTION 01
IN THIS SECTION PAGE
> NO.
About This Report 4
Message from Board of 5
Commissioners and Board of
Directors
Responsibility for Sustainability 9
Reporting
BRI At A Glance: Brilliant Steps 11
Toward Sustainable Finance
Sustainability Governance 14
Business and ESG Overview 17
ESG Ratings & Recognitions 19
Stakeholder Engagement 20
Materiality Assessment 22
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 4
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
About This Message from Board of Commissioners Responsibility for BRI At A Glance: Brilliant Steps Sustainability Business and ESG Ratings & Stakeholder Materiality
Report and Board of Directors Sustainability Reporting Toward Sustainable Finance Governance ESG Overview Recognitions Engagement Assessment
About Sustainability Report 2024 of PT Bank Rakyat Indonesia (Persero) Tbk (BRI) outlines the business, environmental, and social issues that directly and significantly
impact the company, its employees, and stakeholders. In addition, the report also highlights areas where BRI can make a real contribution and create added
This Report value for society and the environment. The report presents BRI's sustainability aspirations to become 'The Most Valuable Banking Group in Southeast Asia
& Champion of Financial Inclusion' in line with BRIVolution 2.0. It aims to fulfill the information needs of governments, investors, communities, and other
stakeholders involved in our sustainability efforts.
Disclosure Standard Scope of the report [GRI 2-2] [GRI 2-3] [GRI 2-4]
This report has been prepared in compliance with the Financial Services Authority Regulation (POJK) This report focuses exclusively on PT Bank BRI (Persero) Tbk and does not include details related to
Number 51/POJK.03/2017 on the Implementation of Sustainable Finance for Financial Institutions, its subsidiaries. BRI conducts financial statement audits on a consolidated basis, covering subsidiaries
Issuers, and Public Companies, as well as Financial Services Authority Circular Letter Number 16/ such as Bank Raya, BRI Remittance, BRI Life, BRI Finance, BRI Investment Management, BRI Ventures,
SEOJK.24/2021. It also aligns with the Global Reporting Initiative (GRI) Standards 2021, the GRI G4 BRIDS, BRI Insurance, Pegadaian, and PNM. However, information on these subsidiaries is excluded
Supplement Sector Standard, and the Sustainability Accounting Standards Board (SASB) framework from this report unless explicitly stated otherwise. [GRI 2-2]
for commercial banks. The data presented reflects BRI’s sustainability activities and performance for the fiscal year 2024,
The disclosure approach follows the recommendations of the International Financial Reporting covering the period from January 1 to December 31, 2024. This report is published annually. [GRI 2-2, 2-3]
Standards (IFRS) S1 and S2 issued by the the International Sustainability Standard Board (ISSB), along
Additionally, the report incorporates historical data from the previous three years, from January 1,
with the Task Force on Climate-Related Financial Disclosures (TCFD). Additionally, this report reflects
2022, to December 31, 2024, to highlight changes and trends in sustainability performance [GRI 2-4] Any
BRI’s commitment to integrating the Ten Principles of the UN Global Compact (UNGC) and supporting
variations from previous reports are indicated through accompanying notes on relevant data point.
the achievement of the Sustainable Development Goals (SDGs) in relevant aspects.
The assessment of energy reduction performance and financed emissions follows the standards set
Relationship with the 2024 BRI Annual Report [H.4] by the Partnership for Carbon Accounting Financials (PCAF) and the Science Based Targets Initiative
(SBTi). This includes measuring financed emissions categorized by asset types, such as corporate
The sustainability information, along with social and environmental responsibility (TJSL) disclosures in
loans, power project finance, commercial real estate, listed equity, and bonds.
this report, is integrated into the 2024 BRI Annual Report while also being presented as a separate,
dedicated document.
Contact [GRI 2-3]
External Assurance [GRI 2-5] [GRI 2-14]
BRI welcomes feedback or suggestions to improve future editions of this report. For inquiries or to
All sustainability data, disclosures, and claims presented in this report have been reviewed and approved share input, please contact:
by the Board of Directors and Board of Commissioners [GRI 2-14] Additionally, they have undergone
external verification and assurance by CBC Global Indonesia in accordance with AA1000AS standards. Hendy Bernadi • Corporate Secretary
Detailed assurance statements and reports can be found on page 247 of this report.
+6221 575 2452 humas@bri.co.id
The selection of the external assurance provider adhered strictly to the company's procurement
For more information about the BRI Sustainability Report 2024, visit
policies, ensuring expertise, strong reputation, and no conflicts of interest. Verification was conducted https://bri.co.id/report.
through sampling documentation evidence and obtaining confirmations from relevant work units.
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 5
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
About This Message from Board of Commissioners Responsibility for BRI At A Glance: Brilliant Steps Sustainability Business and ESG Ratings & Stakeholder Materiality
Report and Board of Directors Sustainability Reporting Toward Sustainable Finance Governance ESG Overview Recognitions Engagement Assessment
Message from
President Commissioner [D.1] [GRI 2-22] BRI strengthens its commitment
to Indonesia’s Net Zero Emission
(NZE) 2060 target by setting an
earlier NZE goal for itself, aiming
to achieve net zero emissions
by 2050 in accordance with the
Science-Based Target Initiative
(SBTi) methodology. BRI is also
Honored Shareholders and Stakeholders, the first financial institution
We give thanks to God Almighty for His blessings, which have enabled PT Bank Rakyat Indonesia (Persero) Tbk — in Indonesia to have its near-
hereinafter referred to as the "Company" or "BRI" — to successfully navigate various risks and challenges throughout term NZE target calculations
2024. Over its 129-year journey, BRI has consistently grown and developed, providing exceptional services to the
approved by SBTi.
nation while adhering to its commitment to sustainability values.
As seen in previous years, various challenges such as shifts in consumer behavior, geopolitical tensions, and
climate change issues have made the implementation of sustainable finance principles even more relevant. BRI has
embraced a sustainable aspiration to become a World Class Sustainable Banking Group, focusing on Environmental,
Social, and Governance (ESG) dimensions. In line with this commitment, in 2024, BRI successfully profitability with
Return on Asset at 3.06% and Return on Equity at 19.01%, and generated net profit of IDR 60.64 trillion.
Moving forward, the Board of Commissioners supports BRI to continue its commitment in implementing sustainable
finance principles that are well structured and planned. To that end, BRI continues to carry out the Company's
transformation program including BRI's sustainability strategy which focuses on “Strengthening the Sustainable
Finance Practice”. This aspiration aims to enable BRI's transformation to be carried out by integrating climate risk in
all aspects of both business and operations, as well as increasing financial inclusion. Meanwhile, these efforts are a
tangible manifestation of BRI's consistency in supporting the increase in economic and social value of the Indonesian
people.
Strengthening Business Practices through Sustainable Governance
Kartika Wirjoatmodjo
BRI’s commitment to sustainable business practices is also evident in its implementation of good corporate
governance. Within the scope of sustainable governance, BRI identifies material issues through the perspective of President Commissioner
its stakeholders. This aligns with the principles of human rights as outlined by the United Nations Global Compact
(UNGC).
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 6
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
About This Message from Board of Commissioners Responsibility for BRI At A Glance: Brilliant Steps Sustainability Business and ESG Ratings & Stakeholder Materiality
Report and Board of Directors Sustainability Reporting Toward Sustainable Finance Governance ESG Overview Recognitions Engagement Assessment
To gain a deeper understanding of stakeholder aspirations and expectations, BRI conducts various Concrete Steps for the Environment
surveys, media analyses, policy assessments, materiality questionnaires, and ESG Ratings, which are BRI has reinforced its commitment to achieving Indonesia’s Net Zero Emissions (NZE) target by
useful for determining material issues. In 2024, a total of 3,644 stakeholders, including employees and 2060, setting a target of achieving net-zero emissions by 2050 in accordance with the Science-Based
management, customers, investors, government bodies, suppliers, NGOs, and other relevant parties, Target Initiative (SBTi) methodology. BRI is the first financial institution in Indonesia to have its near-
provided valuable feedback for BRI's sustainability efforts. term NZE target approved by SBTi. This commitment was followed by the issuance of internal risk
BRI has also submitted its Communication on Progress report for 2024, detailing its impact on ranking methodologies, including Credit Risk Rating (CRR) and Credit Risk Scoring (CRS), as well as the
governance, human rights, labor practices, the environment, and anti-corruption, which has been implementation of Climate Risk Stress Testing (CRST).
published on the UNGC website. This report reflects BRI’s commitment and progress in adhering to the In line with the OJK’s roadmap for Climate Risk Management & Scenario Analysis (CRMS), BRI carried
Ten Principles and supporting the achievement of the Sustainable Development Goals (SDGs). out CRST in two phases. In Phase 1, the analysis covered 71.41% of BRI’s portfolio (OJK’s requirement:
As part of its continued governance improvement, BRI has adopted the IFRS S1 and S2 frameworks in 50%) as of 2024, while Phase 2 will cover 100% of the portfolio and will be reported in 2025.
its 2024 Sustainability Report. This implementation aims to provide stakeholders with adequate insights On the operational side, BRI has incorporated climate risk into its financing considerations through
into sustainability issues and BRI’s climate risk management practices. the Negative List Policy, Sub-Sector Financing Policies, Sustainability-Linked Loans, and financing
reviews. BRI also fosters active management and employee participation in various green initiatives and
Sustainable Development through Financial Inclusion Expansion promotes a culture of sustainability. Green initiatives include optimizing digital devices to reduce paper
and plastic usage, embedding energy-saving practices, implementing a Green Network, providing
In 2024, BRI strengthened its commitment to accelerating financial inclusion, focusing on "Strengthening
electric vehicles for employees, and installing solar panels at several BRI units.
Retail Banking Capability and Improving Asset Quality", while also enhancing its beyond banking
capability by expanding the scale and scope of banking services and products. Access to banking In closing, the Board of Commissioners extends its gratitude for the trust placed in us by shareholders
services was further extended through BRI’s e-channel support, BRILink agents, and the development and stakeholders. Appreciation is also given to the Board of Directors, management, and all BRI
of digital service platforms such as BRImo, Qlola, SenyuM Mobile, Sabrina, and others. This expansion employees for their dedication and contributions, which have enabled the company to confidently
was further supported by subsidiaries committed not only to profitability targets but also to leading move forward toward sustainable finance.
their respective industries.
Beyond products and services, BRI also supports the empowerment of SMEs through financial literacy
initiatives. Empowerment at BRI is carried out holistically by mapping four levels of entrepreneurship:
unfeasible unbankable, unfeasible bankable, feasible unbankable, and feasible bankable, increasingly
Jakarta, February 17, 2025
integrated through the presence of the Ultra Micro Holding (UMi). In 2024, BRI conducted 2.037
training sessions on financial and digital literacy, attended by 113,476 female entrepreneurs from the
Mekaar Group.
Recognizing the importance of workforce capability development and fostering a positive work
environment, BRI also supports employee welfare and mental health through the BRILiaN Community Kartika Wirjoatmodjo
program. This program provides space and support for employees to form or join communities, with
President Commissioner
the aim of enhancing collaboration and engagement among workers.
Additionally, mental health support is offered through the BASIC (BRILiaN Assistance Center) and
wellness centers, which provide assistance covering physical health, occupational safety, mental health,
healthy personal and professional relationships, and personal financial management for a productive
life without financial stress.
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 7
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
About This Message from Board of Commissioners Responsibility for BRI At A Glance: Brilliant Steps Sustainability Business and ESG Ratings & Stakeholder Materiality
Report and Board of Directors Sustainability Reporting Toward Sustainable Finance Governance ESG Overview Recognitions Engagement Assessment
Message from
President Director [D.1] [GRI 2-22]
BRI's Board of Directors
believes that an integrated
approach, which involves
good governance, adequate
identification of risks and
opportunities, effective and
efficient business strategies,
supported by the availability of
Esteemed Shareholders and Stakeholders, relevant and accurate measures
Let us express our gratitude to the Almighty for His blessings, which have enabled PT Bank Rakyat and metrics, will deliver optimal
Indonesia (Persero) Tbk (BRI) to navigate 2024 successfully, achieving remarkable milestones. Some results in the journey and efforts
of these achievements are presented in this 2024 Sustainability Report as part of our commitment to
of BRI to achieve sustainable
accountability, transparency, and responsibility to our shareholders and stakeholders. In particular, this
report highlights BRI’s performance and commitment to sustainable development through governance financial goals.
enhancements and advancements in environmental, social, and corporate governance (ESG) practices.
Policies to Address Sustainability Strategy Challenges
The growing demand for greater transparency and accountability in managing internal and external
factors has driven the Board of Directors to continuously review and update BRI’s governance and
sustainability strategies. This includes strengthening policies, sustainability strategies, and ESG
governance bodies, such as the Risk Management and ESG Committee, as well as the ESG Division
under the Compliance Director.
These efforts are crucial in mitigating risks associated with global economic and financial uncertainty.
Regional conflicts, economic slowdowns resulting from post-pandemic recovery, and accelerating
environmental degradation necessitate a cautious approach and accurate decision-making based on
Sunarso
adequate information. In addressing climate change, for instance, BRI identifies and analyzes climate
risks, classifying them into transition risks and physical risks, and integrates these into risk management President Director
and business strategies across the organization. This approach enhances resilience, enabling BRI to
adapt and thrive in the face of climate-related challenges.
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 8
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
About This Message from Board of Commissioners Responsibility for BRI At A Glance: Brilliant Steps Sustainability Business and ESG Ratings & Stakeholder Materiality
Report and Board of Directors Sustainability Reporting Toward Sustainable Finance Governance ESG Overview Recognitions Engagement Assessment
To support this initiative, BRI adopts various relevant standards and benchmarks. Recognizing its Strategies for Achieving Targets
systemic role in Indonesia’s financial landscape, BRI also utilizes the Basel Committee’s indicators BRI continues to expand its business reach as part of its strategy to achieve its vision of becoming The
for Banking Supervision to enhance systemic risk management. In 2011, this committee developed Most Valuable Banking Group in Southeast Asia and Champion of Financial Inclusion. This is pursued
12 financial indicators to identify globally significant banks whose failure could pose threats to the through the development of customer-centric products and services, enhanced customer service via
international financial system. digital technology, artificial intelligence utilization, and digitalization of business processes. Additionally,
responsible financial product marketing practices are implemented to build customer trust and support
Implementation of Sustainable Finance informed financial decision-making.
As one of the largest commercial banks, a strategically owned government institution, and the financial This business expansion is guided by a governance framework that ensures sound corporate
institution with the most extensive micro, small, and medium enterprise (MSME) reach in Indonesia management, highly competent employees, and robust business infrastructure. With the increasing
and Southeast Asia, BRI is committed to managing the potential impacts of its financial services. This integration of digital technology in banking services, BRI adopts a comprehensive and proactive
commitment drives BRI to selectively implement screening policies based on environmental, social, approach to cybersecurity, encompassing technological, regulatory, and cultural dimensions.
and governance (ESG) criteria while prioritizing potential clients and partners demonstrating strong The Board of Directors remains steadfast in its belief that an integrated approach—incorporating
sustainability performance. strong governance, thorough risk and opportunity assessment, and effective business strategies,
On the operational side, BRI responds to various risks and opportunities by developing responsible supported by relevant and accurate metrics—will yield optimal results in BRI’s pursuit of sustainable
financing products and policies. These include increasing investments in renewable energy, energy financial success.
efficiency, sustainable agriculture, and other sectors that contribute to environmental conservation. This vision can only be realized with the support of all stakeholders. Therefore, we extend our deepest
The Board of Directors consistently promotes the creation of sustainable positive impacts both gratitude to our shareholders, the Board of Commissioners, BRI personnel, employees, BRILink agents,
nationally and globally. Since 2021, BRI, alongside PT Pegadaian and PT Permodalan Nasional Madani and all parties contributing to BRI’s mission of building an inclusive, green, and sustainable banking
(PNM), has established a synergistic unit within its holding company, known as the Ultra Micro Holding sector.
(UMi). This initiative aims to expand access to affordable financial solutions, contributing to national
financial inclusion targets. This effort is particularly crucial in Indonesia, where geographical and social
barriers hinder access to conventional banking services for underserved communities.
Jakarta, February 17, 2025
On a global scale, since 2023, BRI has been part of the United Nations Global Compact (UNGC),
reinforcing its commitment to the Sustainable Development Goals (SDGs) by aligning with the UNGC’s
ten universal principles. Furthermore, BRI became the first bank in Indonesia to join the Partnership
for Carbon Accounting Financials (PCAF), a global initiative that fosters collaboration among financial
institutions to develop standardized methodologies for measuring and disclosing greenhouse gas
Sunarso
(GHG) emissions from loans and investments.
President Director
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 9
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
About This Message from Board of Commissioners Responsibility for BRI At A Glance: Brilliant Steps Sustainability Business and ESG Ratings & Stakeholder Materiality
Report and Board of Directors Sustainability Reporting Toward Sustainable Finance Governance ESG Overview Recognitions Engagement Assessment
2024 Sustainability Report Statement Letter of Members of the Board of Commissioner
Regarding Responsibility for the 2024 Sustainability Report of
Responsibilities PT Bank Rakyat Indonesia (Persero) Tbk [GRI 2-14]
We, the undersigned, declare that all information in the 2024 Sustainability Report of PT Bank Rakyat Indonesia (Persero) Tbk
has been presented completely, and we are fully responsible for the accuracy of the contents of the Company’s Sustainability Report.
This statement was made with actual.
Jakarta, February 17, 2025
The Board of Commissioners
Kartika Wirjoatmodjo
President Commissioner
Rofikoh Rokhim Heri Sunaryadi Rabin Indrajad Hattari
Vice President Commissioner/ Independent Commissioner Commissioner
Independent Commissioner
Awan Nurmawan Nuh Dwi Ria Latifa Paripurna Poerwoko Sugarda
Commissioner Independent Commissioner Independent Commissioner
Agus Riswanto Nurmaria Sarosa Haryo Baskoro Wicaksono
Independent Commissioner Independent Commissioner Independent Commissioner
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 10
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
About This Message from Board of Commissioners Responsibility for BRI At A Glance: Brilliant Steps Sustainability Business and ESG Ratings & Stakeholder Materiality
Report and Board of Directors Sustainability Reporting Toward Sustainable Finance Governance ESG Overview Recognitions Engagement Assessment
2024 Sustainability Report Statement Letter of Members of the Board of Directors
Regarding Responsibility for the 2024 Sustainability Report of
Responsibilities PT Bank Rakyat Indonesia (Persero) Tbk [GRI 2-14]
We, the undersigned, declare that all information in the 2024 Sustainability Report of PT Bank Rakyat Indonesia (Persero) Tbk
has been presented completely, and we are fully responsible for the accuracy of the contents of the Company’s Sustainability Report.
This statement was made with actual.
Jakarta, February 17, 2025
The Board of Directors
Sunarso
President Director
Catur Budi Harto Viviana Dyah Ayu R. K.
Vice President Director Director of Finance
Supari Amam Sukriyanto Handayani
Director of Micro Business Director of Commercial, Small, and Medium Business Director of Consumer Business
Arga Mahanana Nugraha Ahmad Solichin Lutfiyanto Agus Winardono
Director of Digital and Information Technology Director of Compliance Director of Human Capital
Agus Sudiarto Agus Noorsanto Andrijanto
Director of Risk Management Director of Wholesale and Institutional Business Director of Retail Funding and Distribution
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 11
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
About This Message from Board of Commissioners Responsibility for BRI At A Glance: Brilliant Steps Sustainability Business and ESG Ratings & Stakeholder Materiality
Report and Board of Directors Sustainability Reporting Toward Sustainable Finance Governance ESG Overview Recognitions Engagement Assessment
BRI At A Glance: As BRI strengthens its position as Indonesia's largest financial institution, it remains committed to both growth and responsibility. The bank is dedicated to
expanding its business in a way that drives profitability while also serving the nation and empowering communities. By prioritizing green financial solutions,
Brilliant Steps Toward investing in renewable energy, and leading sustainable projects, BRI is shaping a future where financial success seamlessly aligns with environmental and social
well-being. These initiatives reflect BRI's unwavering dedication to fostering business growth while making a tangible impact, driving positive change, and
Sustainable Finance delivering meaningful benefits for Indonesia.
General Information [C.2] [C.3.a] [GRI 2-1] Founded on December 16, 1895, in Purwokerto, Central Java, Indonesia, BRI has been a trusted financial
partner for over 129 years, serving individuals, corporations, and Micro, Small and Medium Enterprises
(MSMEs) with a diverse range of financial products and services including deposits, loans, and other
Company PT Bank Rakyat Indonesia (Persero) Tbk. [GRI 2-1] financial solutions. As a commercial bank specializing in the MSME segment, BRI actively supports
community empowerment and capacity-building programs, offering training and outreach to enhance
MSME growth. For more information on BRI’s products, services, and business activities, visit https://
BRI I Building bri.co.id. [C.4] [GRI 2-6]
Head Office
Jl. Jenderal Sudirman No. 44-46 Jakarta 10210, Indonesia [C.2] [GRI 2-1]
Legal Entity Limited Liability Company [GRI 2-1]
Employees 81,848 [C.3]
Total Assets IDR 1,840.40 Trillion (Bank Only)
Net Income IDR 54.84 Trillion (Bank Only)
Share Ownership 53.19% (Government of the Republic of Indonesia), 46.81% (Public) [C.3.a]
* The Government of the Republic of Indonesia is the main and controlling shareholder of BRI, holding Series A Dwiwarna shares (Golden Share)
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 12
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
About This Message from Board of Commissioners Responsibility for BRI At A Glance: Brilliant Steps Sustainability Business and ESG Ratings & Stakeholder Materiality
Report and Board of Directors Sustainability Reporting Toward Sustainable Finance Governance ESG Overview Recognitions Engagement Assessment
BRI and Subsidiaries [C.4] [GRI 2-6]
Subsidiaries Service and Tagline Ownership Status
10 01
si PT Bank
n Investa Raya Digital banking (Digital banks that focus
jeme Ind 1 PT Bank Raya Indonesia
11 Tbk 1 86.85% operating
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Savings Securities
08 03 5 PT BRI Danareksa
bankSekuritas Securities services brokerage 67.00% operating
6 PT BRI Ventura Investama Ventures operating
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9 MSME Financing 99.99% operating
6 5
06 05
10 PT BRI Manajemen Investasi Investment 65.00% operating
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 13
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
About This Message from Board of Commissioners Responsibility for BRI At A Glance: Brilliant Steps Sustainability Business and ESG Ratings & Stakeholder Materiality
Report and Board of Directors Sustainability Reporting Toward Sustainable Finance Governance ESG Overview Recognitions Engagement Assessment
Business Network [C.3.d] [GRI 2-1] [GRI 2-6]
Through its ten main subsidiaries, BRI Group delivers comprehensive financial services to a diverse range of stakeholders worldwide. With a network of over 7,000 banking service offices, more than 747,000
e-channels* and 1,064,219 BRILink Agents, BRI ensures broad accessibility and financial inclusion. Additionally, BRI operates as six overseas networks in Cayman Island, the United States, Hong Kong, Taiwan,
Singapore, and Timor Leste, strengthening its global presence.
BRI Hong Kong Representative Office
BRI Taipei Branch
BRI New York Agency BRI Timor Leste Branch
BRI Cayman Island Branch BRI Singapore Branch
Sumatera Kalimantan Jawa Sulawesi and Maluku Bali and Nusa Tenggara Papua
Regional Office: 5 Regional Office: 1 Regional Office: 8 Regional Office: 2 Regional Office: 1 Regional Office: 1
Branch Office: 95 Branch Office: 40 Branch Office: 216 Branch Office: 57 Branch Office: 32 Branch Office: 13
Sub-Branch Office: 105 Sub-Branch Office: 42 Sub-Branch Office: 327 Sub-Branch Office: 42 Sub-Branch Office: 26 Sub-Branch Office: 13
BRI Unit: 990 BRI Unit: 372 BRI Unit: 2.790 BRI Unit: 551 BRI Unit: 295 BRI Unit: 88
Cash Office: : 74 Cash Office: 24 Cash Office: 338 Cash Office: 34 Cash Office: 20 Cash Office: 10
Teras BRI: 206 Teras BRI: 86 Teras BRI: 416 Teras BRI: 39 Teras BRI: 112 Teras BRI: 14
Teras BRI Cars: 2 Teras BRI Cars: 2 Teras BRI Cars: 58 Teras BRI Cars: 2 Teras BRI Cars: 4 Teras BRI Cars: 1
Teras Kapal BRI: 1 Teras Kapal BRI: 0 Teras Kapal BRI: 1 Teras Kapal BRI: 1 Teras Kapal BRI: 1 Teras Kapal BRI: 0
BRILink Agent: 239,380 BRILink Agent: 68,832 BRILink Agent: 580,569 BRILink Agent: 105,585 BRILink Agent: 59,860 BRILink Agent: 9,993
*consist of ATM,CRM, EDC (merchant, operational working unit, and BRILinK)
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 14
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
About This Message from Board of Commissioners Responsibility for BRI At A Glance: Brilliant Steps Sustainability Business and ESG Ratings & Stakeholder Materiality
Report and Board of Directors Sustainability Reporting Toward Sustainable Finance Governance ESG Overview Recognitions Engagement Assessment
Sustainability To strengthen ESG governance, BRI has issued a Circular Letter from the Board of Directors outlining the Sustainability Policy and Strategy of PT Bank Rakyat
Governance Indonesia (Persero) Tbk. Since 2021, BRI has established ESG governance mechanisms to monitor and disclose ESG performance directly.
ESG governance is implemented through the establishment of the Environmental, Social & Governance The ESG Committee’s Roles and Responsibilities: [GRI 2-12] [GRI 2-13] [GRI 2-14] [GRI G4 FS12]
(ESG) Committee. The formation of the ESG Committee is based on the Decree No. NOKEP. 102-DIR/ 1 Approve and provide guidance on reviews and evaluations related to the implementation of policies
PPM/01/2024 dated January 10, 2024 (revoking NOKEP. 872-DIR/PPM/06/2022 dated June 2, 2022). and governance, ESG initiative parameters, and social and environmental responsibility (TJSL)
initiatives developed by relevant Work Units and proposed by the Committee Support Team;
Organization of the Environmental, Social & Governance (ESG) Committee 2 Establish work programs categorized as ESG initiatives and social and environmental responsibility
(TJSL) initiatives based on recommendations from the Committee Support Team;
3 Approve and provide direction on reviews and evaluations of ESG and social and environmental
Voting
Membership Structure Position Rights responsibility (TJSL) work programs, as well as reporting of ESG data and information;
4 Approve and provide guidance on ESG Ratings reports, investor concerns, or third-party feedback
Director Chairperson regarding BRI’s ESG and social and environmental responsibility (TJSL) performance;
5 Determine material ESG issues based on ESG Rating reports, investor concerns, and third-party
First Substitute Chairperson
Vice President Director (Also serves as a permanent member with voting rights) feedback regarding BRI’s ESG and social and environmental responsibility (TJSL) information;
6 Approve follow-up action plans derived from review and evaluation outcomes, which may then be
Division Head ESG or ESG Secretary proposed as new work programs for implementation by relevant Work Units; and
Management Unit (Also serves as a permanent member without voting rights)
7 Approve and provide guidance on key ESG and social and environmental responsibility (TJSL)
Risk Management Director Permanent Member
issues, including regulatory requirements, global initiatives, business practices, and other critical
ESG and social and environmental responsibility (TJSL) information.
Financial Director Permanent Member To enhance ESG integration, BRI has established the ESG Division, operating under the Compliance
Director. This division is responsible for overseeing ESG performance and the impact of economic,
Compliance Director Permanent Member environmental, and social factors while ensuring alignment with corporate sustainability and climate
change policies. The ESG Division collaborates closely with the risk management team and relevant
work units to drive a cohesive ESG approach.
SEVP of Change Management Permanent Member
& Transformation Office The ESG Division reports ESG performance directly to the Board of Directors through the ESG
Committee. Periodically, these reports are also presented to the Board of Directors and Board
All Directors/SEVPs of Relevant Non-Permanent Member
Divisions
of Commissioners through Board of Directors Meetings and Joint Board of Directors-Board of
Commissioners Meetings, as well as disclosed in the General Meeting of Shareholders (GMS). In addition
to reporting, the ESG Division plays a crucial role in formulating policies, strategies, and objectives
aligned with BRI’s commitment to sustainable development. [C.1] [GRI 2-9] [GRI 2-12] [GRI 2-13] [C.1] GRI [2-24] [GRI G4 FS12]
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
About This Message from Board of Commissioners Responsibility for BRI At A Glance: Brilliant Steps Sustainability Business and ESG Ratings & Stakeholder Materiality
Report and Board of Directors Sustainability Reporting Toward Sustainable Finance Governance ESG Overview Recognitions Engagement Assessment
Sustainability Strategy [A.1] [GRI 2-24] [GRI 3-3]
BRI has established its sustainability aspirations to become a World-Class Sustainable Banking
Group, aligning with its the BRIVolution 2.0 vision of becoming “the Most Valuable Banking Group
in Southeast Asia and a Champion of Financial Inclusion”. To demonstrate this commitment, BRI
adheres to the Board of Directors' Circular on Sustainability Policies and Strategies, which outlines
three core pillars within the Environmental, Social, and Governance (ESG) framework. These pillars
serve as strategic focal points for the bank's sustainability efforts, guiding the implementation of its
sustainability initiatives as follows:
BRI Sustainability Framework
Our Purpose
Empowering The People and Nurturing The Planet
Sustainability Strategy Pillars
ENVIRONMENT SOCIAL GOVERNANCE
Onboarding Climate Empowering Maintaining Good
Change The People Corporate Governance
l Climate Risk l Customer Empowerment l Board Governance
l Green Network l Employee Empowerment l Business Ethic
l Green Banking l Community Empowerment l Responsible Product
l Risk and Cybersecurity
Expected SDGs Impacts
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 16
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
About This Message from Board of Commissioners Responsibility for BRI At A Glance: Brilliant Steps Sustainability Business and ESG Ratings & Stakeholder Materiality
Report and Board of Directors Sustainability Reporting Toward Sustainable Finance Governance ESG Overview Recognitions Engagement Assessment
Review of Sustainable Finance
BRI Sustainability Journey Action Plan Implementation
BRI integrates sustainable financial
1985- governance through the Sustainable Finance
2013 2015 2017 2019 2020 Action Plan (RAKB), aligning with the Financial
1986
Services Authority Regulation (POJK) No.
51/POJK.03/2017 on sustainable finance
KUPEDES & Published first Joined First Issuing Issued Conducted
SIMPEDES was Sustainability Movers on Sustainable Financing Sustainability GHG Emission implementation. The RAKB framework
launched Report Banking initiated by OJK Policy for Bond (USD 500M) Calculation incorporates environmental, social, and
Sustainable Palm corporate governance (ESG) aspects. The
Oil Sub-Sector RAKB implementation spans various key
2024 2023 2022 2021 functions, including risk management, change
management, investor relations, planning and
performance, corporate secretariat, product
Green Bond (IDR NZE Near Term Net Zero Formed ESG PCAF Signatory Formed development, and project management.
2.5 Trillion) Target Approved Emission Target Division Ultramicro
Financed These efforts prioritize environmentally sound
Issued Social Loan by SBTi 2050 BRI Issued Holding with
emission financing, the BRI Peduli program, and eco-
worth USD 800 Committed Sustainability Pegadaian &
Published calculation
Million to SBTi to set Strategy PNM friendly operational practices. [E.1][GRI G4 FS1]
CRR (Climate Related Report)
Published science-based Issued Green Formed ESG For more detailed information on RAKB, refer to
Conduct Climate
Financing Policies NZE target Bond (IDR 5 Trillion) Committee the discussion of Association and Framework
Risk Stress Testing
for Sub-Sector: Issued TCFD Constituent of in this report on page 155.
the Oil & Gas and ISO 26000 Report IDX ESG Leaders
Coal Adaptation Issued Financing Index
Principles of Policy for Specific
Human Rights in
Sub-Sector: Pulp
Employment
and Paper
UNGC Signatory
Green Bond (IDR 6 Trillion)
Environmental Social Governance
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 17
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
About This Message from Board of Commissioners Responsibility for BRI At A Glance: Brilliant Steps Sustainability Business and ESG Ratings & Stakeholder Materiality
Report and Board of Directors Sustainability Reporting Toward Sustainable Finance Governance ESG Overview Recognitions Engagement Assessment
Business and As a public company, BRI ensures transparent disclosure of its financial and non-financial information to the public and regulators adhering to applicable
regulations. A comprehensive disclosure on financial and non-financial conditions, including a comparison between targets and achievements in the company's
ESG Overview portfolio, financing targets, and investments, is available in the BRI Annual Report 2024. [3-3] [201-2] [201-4]
Throughout 2024, BRI optimized its office network management by opening, merging, and changing
Bank’s Financial Performance (Bank Only) [B.1.a] [B.1.b] [B.1.c]
the status of its office network. As a result, the number of operational work units was reduced from
7,755 in 2023 to 7,568 in 2024. This decision was made after evaluating internal and external business Operating IDR (Trillion)
dynamics. Additionally, no significant changes in 2024 have impacted BRI's operations.[C.6] [GRI 2-6] Income
215.74 189.65
In 2024, BRI received a 3% tax rate reduction as an incentive from the Government of Indonesia, granted 2024 2023
* bank only figure
under Law No. 2 of 2020. The bank did not receive any income derived from opportunities or financial
impacts related to climate change. [GRI 3-3] [201-2] [201-4] Profit IDR (Trillion) Net IDR (Trillion)
before Profit
tax 69.11 67.07 54.84 53.15
* bank only figure
2024 2023 * bank only figure
2024 2023
Economic Value
Dividend IDR (Trillion) Tax IDR (Trillion)
Payment Payment
47.83 43.50 12.35 10.81
* bank only figure
2024 2023 * bank only figure
2024 2023
Sustainable Finance
Sustainable IDR (Trillion) ESG-based IDR (Trillion)
Lending Corporate
785.22 772.74 Bond
Investment
4.41 4.54
* bank only figure
2024 2023 * bank only figure
2024 2023
ESG-based IDR (Trillion)
Wholesale
Funding 44.83 39.58
* bank only figure
2024 2023
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 18
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
About This Message from Board of Commissioners Responsibility for BRI At A Glance: Brilliant Steps Sustainability Business and ESG Ratings & Stakeholder Materiality
Report and Board of Directors Sustainability Reporting Toward Sustainable Finance Governance ESG Overview Recognitions Engagement Assessment
Governance [B.3 ] Social Aspect [B.3] [F.28] [F.3 0] Environmental [B 2].
Aspect Aspect
Financial inclusion Energy utilization: 2,848,795,079 MJ
3
out of 10 members
of the Board of Commissioners Bank account ownership Use of products or services (including BPJS): a decrease compared to 2,919,627,648 MJ in 2023 [B.2.a] [F.6] [F.12]
are women
89.10% 91.60%
2
75.30% 89.60%
124,155
out of 12 members 70.20% 72.60% 68.60% 73.10%
87.30% 86.60% EMISSION ton CO2e
of the Board of Directors 67.80% 84.80%
are women
compared to
130,610 ton CO₂e (2023)
Rural Urban Rural Urban
346 ,353
• Based on research by BRI Research Institute (BRIRINS) in 2024 EMISSION ton CO2e
• BPJS (Social Health Insurance Administration Body) is a government agency authorized and established to administer the social health insurance
program for the Indonesian population.
Near-term Net Zero Emissions (NZE) targets
approved by the Science Based Targets initiative (SBTi). compared to
355,742 ton CO2e (2023)
Number of micro and Number of micro and ultra-micro Customer
ultra-micro loan customers savings customers (including satisfaction rate Reduction in emissions
(including Pegadaian and PNM): Pegadaian and PNM):
from avoidable emissions: 1,096,551 kgCO e 2
Published the Communication on Progress (COP) report compared to 872,713 kgCO₂e in 2023. [B.2.a]
for the United Nations Global Compact (UNGC) 35.90 Million 176.00 Million 87.06%
Waste reduction by 14.75% compared to 2023.
The total waste recycled was 703,560 kg which is
Customer complaint Employee Engagement Voluntary employee equivalent to avoiding 524,180
. kg of CO₂e emissions.
resolution rate Survey (index on a 4-point scale): turnover rate
Ranked among the Top 3 Public Companies in Indonesia BRI Menanam has distributed 1,138,333 tree seedlings
and recognized in the ASEAN Asset Class under
99.81% 3.51 1.29% spread throughout Indonesia with a carbon absorption
potential of 985.45 Ton of CO2e.
the ASEAN Corporate Governance Scorecard (ACGS)
Achieved Corporate Governance Environmental expenditures (TJSL environmental pillar):
Perception Index score
95.31
IDR 60,484 million [F.4]
Green initiatives: Operated 796 eco-friendly vehicles
Social Return for Investment (SROI) Value [B.1.e] [B.3] [F.23] [F.25] through the Green Network Initiative framework by 2024.
Solar panel installation: Solar panels installed at
Development of culinary tourism at Tomohon Market 11.32 Halal certification training in Banten 7.60
143 work units as of 2024.
Categorized as
Most Trusted
Empowerment of the Belvie Women’s Group 11.26 "Ini Sekolahku" program in Central Maluku 7.02
Homestay assistance in Mandalika 9.86 BRI Planting Program: Grow & Green in Muara Gembong 5.85
Business equipment support in Lampung and Ujung Labuan Bajo 8.07 Sewing machine assistance for the Maumere Women’s Group 4.31
*) The SROI value is the return (in Rupiah) generated from every 1 rupiah of funds invested through the CSR program. BRIʼs programs produce
an impact above 1, meaning they have a positive impact on the beneficiaries.
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 19
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
About This Message from Board of Commissioners Responsibility for BRI At A Glance: Brilliant Steps Sustainability Business and ESG Ratings & Stakeholder Materiality
Report and Board of Directors Sustainability Reporting Toward Sustainable Finance Governance ESG Overview Recognitions Engagement Assessment
ESG Ratings Beyond financial indicators, environmental, social, and governance parameters are increasingly shaping investment decision-making for investors. Recognizing
this, BRI remains committed to enhancing ESG implementation and continuously evaluating its performance through analysis and ratings from leading
& Recognitions institutions.
> > PT. Bank Rakyat Indonesia (Persero) Tbk > >
Banks
ESG Rating >
ESG Score >
75/100 18.8
ESG Risk Rating > 17.8 A A
A
LOW RISK
63/100 63/100
2022 2023 2024 2022 2023 2024 2022 2023 2024
CSA S&P Global Score Sustainability Yearbook Member Sustainalytics MSCI
> > > > INDEKS ESG SECTOR
The ESG Leaders Index LEADERS IDX KEHATI
measures the performance
is an index containing shares with
of companies with favorable
ESG performance assessment
ESG assessments and those
results above the industry average.
not involved in significant
Overall Score > controversies.
Meningkat dari 95.21 pada 2023 95.31/100 IDX ESG Leaders
95.21/100
ESG Sector Leader IDX Kehati /
ESG Quality 45 IDX Kehati
95.18/100
Top 3 Public Listed Companies Until now, BRI is constituent of the
in Indonesia and ASEAN Asset Class
4 Years in a row
IDX ESG Leaders Index (ESGL)
2022 2023 2024 2022 2023 2024
CGPI ASEAN Corporate Governance IDX ESG Leaders IDX Kehati Index
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 20
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
About This Message from Board of Commissioners Responsibility for BRI At A Glance: Brilliant Steps Sustainability Business and ESG Ratings & Stakeholder Materiality
Report and Board of Directors Sustainability Reporting Toward Sustainable Finance Governance ESG Overview Recognitions Engagement Assessment
Stakeholder BRI recognizes that sustainability-related opportunities and risks are inherently linked to its business operations with direct and indirect stakeholders across
the supply chain, value chain, and broader environmental landscape. These dynamics present a complex array of interconnected risks and opportunities. To
Engagement effectively navigate these challenges, BRI implements a robust and integrated risk management framework. A comprehensive discussion on this approach is
available in the Risk Management section of this report. [IFRS S1 B1-B5]
[E.4][GRI 2-12][GRI 2-29] [GRI 3-1] [GRI G4 FS5]
Managing Material Topics
BRI demonstrates a strong commitment to stakeholder engagement
nature environment as part of its adherence to human rights principles. In alignment with
nature environment the UN Global Compact (UNGC) Principles, BRI supports and respects
internationally proclaimed human rights (Principle 1) and ensures that its
planet
planet business operations are not complicit in human rights abuses (Principle Total stakeholders Criteria for Stakeholder
Total stakeholders Criteria for Stakeholder Stakeholder
2). Stakeholder engagement is central to identifying opportunities and engaged
engaged
Assessment and Selection
Assessment and Selection
Groups Engaged
risks and establishing preventive and mitigation measures for potential
impacts.
• Needs • Investors
• Needs
To assess the effects of its operations and business activities on • Diversity • Employees
3,644
• Diversity
3,644
customer
customer
media
stakeholders, BRI utilizes a multi-faceted approach, including surveys, • Willingness to participate • Supply Chain Partners
• Willingness to participate
• Influence on BRI • Customers
media media analysis, policy reviews, investor concerns, and ESG Rating
investor
people • Dependence on BRI • Influence on BRI
• Regulators
investor assessments. This approach helps identify and manage material issues people • Dependence on BRI
regulator that influence BRI's sustainability efforts.
employee regulator
In materiality assessments, stakeholder engagement is not a
employee supplier supplementary factor but an integral part of the process. BRI highly
values the aspirations and insights of its stakeholders. To gain a deeper
Civil h ai n
s u p pl y csupplier Feedback on the 2024 Investor Discussions
Society understanding, BRI distributes materiality questionnaires to key Sustainability Report and Feedback
Materiality
Organizations and Management Questionnaire
Civil
(CSO) s u p p l y c h ai n stakeholder groups, including customers, the Board of Management, Review [G.3] Feedback on the 2024 Investor Discussions
Society employees, suppliers, and non-profit organizations (NGOs). This Sustainability Report and Feedback
Organizations process ensures that stakeholder perspectives and feedback are and Management
BRI gathered input on its Regular discussions with[G.3] BRI deployed the materiality
(CSO) 2024 Sustainability Report
Review
investors were held questionnaire online to gain a
comprehensively captured. as well as insights from throughout the year to broader stakeholder
stakeholders through understand their perspective.
media monitoring, aspirations and address
BRI gathered input on its Regular discussions with
whistleblowing system their feedback.
(WBS) submissions,
2024 Sustainability Report investors were held
surveys, and evaluations of as well as insights from throughout the year to
ESG rating performance. stakeholders through understand their
media monitoring, aspirations and address
whistleblowing system their feedback.
(WBS) submissions,
surveys, and evaluations of
ESG rating performance.
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 21
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
About This Message from Board of Commissioners Responsibility for BRI At A Glance: Brilliant Steps Sustainability Business and ESG Ratings & Stakeholder Materiality
Report and Board of Directors Sustainability Reporting Toward Sustainable Finance Governance ESG Overview Recognitions Engagement Assessment
Stakeholder Engagement Channel [GRI 2-29]
As a financial institution, BRI recognizes its broad impact on various aspects of life and a wide range of stakeholders, However, BRI categorizes stakeholders into 2 parts, Internal Stakeholders (Employees) and
External Stakeholders (Customers, Investors, Regulators and Suppliers) as the main stakeholders based on their business relevance, commitment to diversity, willingness to participate, and reciprocal impact on BRI.
By prioritizing these key stakeholders, BRI fosters collaboration and support, ensuring their engagement is integrated into its overall ESG management activities, including the materiality determination process.
Topic (Interests and Basis for
Accountability Response from BRI Engagement Channels
Concerns) Determination
Service & Contact Cybersecurity Economic Product, service, and solution innovation tailored to customer needs and technological advancements. Customer Service (available 24/7)
Center Division. Customer Service Excellence Relationship Provision and communication of product, service, and solution information. Digital Platforms: Website, email, social media,
Corporate and mobile banking (accessible at all times)
Sustainable Finance Secure storage and protection of customer data in compliance with regulations.
Customer Secretary Customer Satisfaction Surveys (conducted
Division. GCG Availability of customer complaint services, both manual and digital, along with resolution mechanisms. monthly)
Socialization of sustainable finance implementation Materiality Questionnaires (distributed
annually)
Human Capital Human Capital Development of Collective Labor Agreements Internal portal and hotline via phone and email
Strategy & Policy. Management Corporate Goal (available 24/7)
Organizing employee training, skill development, and the establishment of an assessment center
Human Capital Customer Service Excellence Achievement Ensuring a conducive and productive work environment
Employee satisfaction surveys (conducted
Employee Business Partner annually)
Cybersecurity Regular reviews and surveys on employee welfare.
Division. Management meetings (held at least monthly)
Sustainable Finance
Materiality questionnaires (distributed
annually)
Investor Relation. Climate Risk and Economic, Provision of periodic performance information of BRI Annual General Meeting of Shareholders
Sustainable Finance Ownership, and (AGMS) (held at least once a year)
Corporate Communication, both direct and through analysis, to ensure the delivery of material information
Secretary Customer Service Excellence Legal Relationship Organization of the Annual General Meeting of Shareholders (AGMS)
Website (accessible 24/7)
Investor Division. GCG Investor Meetings (conducted monthly)
Financial Inclusion and Materiality Questionnaires (distributed
annually)
Literacy
Cybersecurity
Compliance Customer Service Excellence Legal Relationship Policy and Regulation Adjustments: Aligning internal policies and regulations with government-issued Preparation of RAKB and Sustainability Report
Division. directives. (conducted at least annually)
Human Capital
Management Implementation of GCG Principles: Applying Good Corporate Governance (GCG) principles across all Briefing Sessions on Government Financial
work units. Policies (held at least once a year)
Regulator Sustainable Finance
Performance Reporting and Activity Documentation: Submission of reports such as the Sustainable Meetings with the Financial Services Authority
Cybersecurity (OJK) (organized at least annually)
Finance Action Plan (RAKB), Annual Report, Sustainability Report, TJSL (CSR) Report, and other
required reports. Materiality Questionnaires (distributed
annually)
Fixed Asset Customer Service Excellence Economic and Legal Focus Group Discussions: Conducted to gather feedback and address concerns from suppliers. Seminars and Socialization (organized as
Management Relationship needed)
Sustainable Finance Sustainability Reporting: Aligned with various environmental, social, and governance (ESG) reporting
& Procurement frameworks. Materiality Questionnaires (distributed
Policy Division Cybersecurity annually)
Supplier
GCG Policy Socialization: Dissemination of company policies, including those related to labor, anti-
Procurement & corruption, environment, and others
Logistic Operation
Division
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 22
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
About This Message from Board of Commissioners Responsibility for BRI At A Glance: Brilliant Steps Sustainability Business and ESG Ratings & Stakeholder Materiality
Report and Board of Directors Sustainability Reporting Toward Sustainable Finance Governance ESG Overview Recognitions Engagement Assessment
Materiality BRI actively identifies ESG issues and integrates them into management activities, ensuring transparent communication with stakeholders through materiality
assessments. The outcomes of these assessments are disclosed across BRI's communication channels and media.
Assessment [GRI 3-1] In this report, BRI selects sustainability disclosure topics using a double materiality assessment process, aligned with the GRI Standards 2021, IFRS S1 and S2
Sustainability Disclosure Standards, focusing on financial materiality for investors, as guided by the International Sustainability Standards Board (ISSB).
Assessment Process: Double Materiality [GRI 3-1]
BRI adopts the principle of double materiality in determining material topics, ensuring a comprehensive assessment of both corporate and stakeholder interests, as well as financial and non-financial impacts.
This approach allows BRI to evaluate its capacity to identify relevant sustainability factors that contribute to long-term value creation and assess the interrelation between external impacts (on society and the
environment) and internal impacts (on corporate value).
In this report, BRI incorporates a financial materiality assessment centered on investors, following the ISSB guidelines. This approach ensures that investors (including capital markets participants and potential
investors) along with other key stakeholders, can identify sustainability topics that may influence investment decision-making. To assess the financial impact on investors, BRI analyzes key investor interests in
sustainability-related risks and opportunities and government regulations. Through this process, BRI discloses relevant sustainability information to user groups whose primary objective is economic decision-
making (particularly investors and government regulators). Additionally, several corporate value creation topics are already reflected in the annual financial statements.
1 2 3 4
Analyze the company's internal and
external environment to understand
STAGES
Identify actual and potential Assess and make decisions on material impacts, risks Selection of priority issues to be
the context for sustainability and impacts, as well as risks and and opportunities disclosed in the report
identify its impacts and contributions opportunities
Identify the business activities and relationships Identifying materials related to ESG issues, • Assessing impact materiality Select material issues by combining the results
undertaken, the context in which they occur, and including impacts, risks, and opportunities across • Assessing financial materiality of the dual materiality assessment and dividing
the stakeholders primarily affected: all company management activities and the • Synthesize the results of the impact materiality and financial materiality assessments them into five material topics and seven general
• Analyze the legal and regulatory environment corporate value chain. This process resulted in topics, reflecting the priority screening based
related to the company as part of the external a list of 13 material topics on the results of the investor-centered financial
ACTIVITES
landscape. materiality assessment of ISSB IFRS S1 and S2.
• Identify sustainability trends. Social and environmental impact assess- Financial impact assessment:
• Analyze global disclosure standards and rating ments: • Review of the level of compliance with
indices. • Review of the level of regulatory compliance applicable financial regulations
• Review media coverage and its contents. • Review of indices or ratings used including • Review of global disclosure standards and
• Examine similar industries for comparative GRI, ISSB, CDP, UNGC and Sustainalytics. rating indices from an investor perspective -
insights. • Monitoring and analysis of media coverage ISSB, SASB, CDSB, MSCI, CSA S&P
• Assess stakeholder feedback and materiality throughout 2024 • Analysis of questions and responses raised by
assessment results from the previous year's • Survey of relevant stakeholders investors through investor relations activities.
report.
• Analyze internal survey results, including
complaint reports, customer complaints,
customer satisfaction surveys, and employee
satisfaction surveys.
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 23
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
About This Message from Board of Commissioners Responsibility for BRI At A Glance: Brilliant Steps Sustainability Business and ESG Ratings & Stakeholder Materiality
Report and Board of Directors Sustainability Reporting Toward Sustainable Finance Governance ESG Overview Recognitions Engagement Assessment
The materiality assessment process has been reported to the ESG Committee under the Board of Directors. To ensure credibility, the process underwent external assurance by CBC Global Indonesia, an independent
third party. A comprehensive materiality assessment is critical for regulatory compliance, reporting accuracy, aligning sustainability initiatives with business objectives and meeting stakeholder needs.
Materiality Assessment Results [GRI 3-1]
Materiality Matrix
Stakeholder Feedback Double Materiality Assessment Reporting Index
Topics
Government & Impact Financial Investor
Investor Employee Customer Supplier OJK GRI SASB
Regulators Materiality Assessment Assessment
Sustainable Finance GRI 201, FS1 - FS4,
E.1, E.3 – E.5, F.26
FS8 - FS11
FN-CB-410a.2, FN-CB-550a.2
Customer Service Excellence F.17, F.26 - F.30 GRI 417
Good Corporate Governance GCG
Implementation - E.1 - E.5 GRI 405 FN-CB-550a.1
FN-CB-240a.1, FN-CB-240a.2,
Financial Inclusion and Literacy - F.17, F.26 - F.30 FS6, FS7, FS13 - FS 16
FN-CB-240a.3, FN-CB-240a.4
Cybersecurity GRI 418 FN-CB-230a.1, FN-CB-230a.2
FN-CB-410b.1, FN-CB-410b.2,
Climate Risk - - - - F.12 GRI 305
FN-CB-410b.3, FN-CB-410b.4
Green Banking - - - B.2, F.5 – F.16 GRI 302, GRI 306
HR Management GRI 202, GRI 401, GRI 403,
F.18 – F.22
GRI 404, GRI 406, GRI 407
NZE Operations - - - -
Risk Management -
Business Ethics - - GRI 206, GRI 207 FN-CB-510a.1, FN-CB-510a.1
Human Rights (DEI) - - - - - F.19 GRI 408, GRI 409
Corporate Social Responsibility - - - - F.23 - F.25 GRI 203, GRI 413
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 24
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
About This Message from Board of Commissioners Responsibility for BRI At A Glance: Brilliant Steps Sustainability Business and ESG Ratings & Stakeholder Materiality
Report and Board of Directors Sustainability Reporting Toward Sustainable Finance Governance ESG Overview Recognitions Engagement Assessment
Material Topic Matrix [3-1]
The material topics disclosed in the 2024 sustainability report differ from those in previous years due to evolving environmental Out of the 13 sustainability topics, five have been identified as material
dynamics, a heightened focus on sustainability, particularly regarding climate change, and an enhanced disclosure approach of and essential for disclosure, adopting IFRS S1 and S2 standards. The
significant sustainability-related topics, financial risks, and climate change risks. material topics disclosed in the 2024 sustainability report are as follows:
Material Topics
Sustainable
Finance 1 Sustainable Finance (including Climate Risk)
Customer
Service
Excellence
GCG
Business
Ethics 2 Customer Service Excellence
Financial
Inclusion &
Literation
Impact Materiality
Cyber
Security
Climate Risks 3 Financial Inclusion and Literacy
Green
Banking Human
Resource
Management
CSR 4 Cybersecurity
Risk
Management
Human Rights
(DEI)
5 Good Corporate Governance
NZE
Operational
Financial Materiality
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 25
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
About This Message from Board of Commissioners Responsibility for BRI At A Glance: Brilliant Steps Sustainability Business and ESG Ratings & Stakeholder Materiality
Report and Board of Directors Sustainability Reporting Toward Sustainable Finance Governance ESG Overview Recognitions Engagement Assessment
Management of Material Issues Impacting BRI and Stakeholders [3-1][3-2]
Based on the materiality assessment, BRI has identified two key categories of material issues that significantly impact both management and stakeholders: Impact Material Topics (inside-out approach) and Financial Material
Topics (outside-in approach).
For Impact Material Topics, two issues arise from BRI’s activities and have direct impact on stakeholders and society: (1) sustainable finance (include Climate Risk) and (2) customer service excellence. Additionally, three issues
were identified as directly impacting BRI’s financial performance: (3) financial inclusion and literacy, (4) cybersecurity, and (5) good corporate governance
.
Topic Type of Topic Materiality Consideration Strategy KPI Related to Board of Directors Achievement
Sustainable Impact Material According to the Double Materiality chart, Sustainable Finance is a BRI adopts a comprehensive strategy that integrates sustainability across all financial l Sustainable Financing or Credit IDR 785.22
Finance (including Topic material topic with significant impacts on both the company and its activities. This strategy includes: Trillion
Climate Risk) stakeholders. However, given the importance of investor-focused l Green Products: Develop green bonds, sustainability-linked loans, and ESG-
material topics and financial considerations under IFRS, Sustainable focused investment funds.
Finance has been integrated into Climate Risk, making it a core
component of the company's strategy for navigating climate-related l Sectoral Policies: Establish tailored sustainability guidelines for high-impact sectors
risks. such as palm oil, pulp & paper, oil & gas, and coal to promote sustainable practice.
Climate risk poses a significant threat to BRI's financial stability and l Customer Engagement: Collaborate with clients to transition toward sustainable
performance, as climate change introduces both physical risks, (e.g., business models
extreme weather events), and transition risks, (e.g.,regulatory changes l Capacity Building: Train staff on sustainable finance principles and emerging
and technological shifts). These risks can affect the creditworthiness regulations to ensure effective policy.
of borrowers in climate-sensitive sectors, the valuation of BRI’s assets,
l Partnerships: Collaborate with multilateral organizations and green finance
as well as increased credit risk and reduced lending opportunities in
programs to expand BRI’s sustainable financial offerings.
sectors like agriculture and energy, which are highly sensitive to climate
impacts. To mitigate these risks, BRI is actively developing responsible l Innovation: Leverage financial technology and data analytics to measure and report
financing products and policies, including screening and exclusionary the impact of sustainable finance activities.
financing policies and green financing solutions. .
Sustainable finance is essential for bridging the financial support gap
for sustainability initiatives. BRI plays a key role in providing capital for
businesses and individuals to transition to low-carbon and sustainable
practices, while also supporting government efforts in expanding
green financing solutions.
Customer Service Impact Material Customer excellence and service quality are critical to the success l Clear Alignment: Develop a well-defined strategy that directly aligns customer l Net Promoter Score (NPS) for 64.00%
Excellence Topic and competitiveness of commercial banks. BRI prioritizes high-quality, excellence with BRI’s mission and objectives. Banks
personalized, and emotionally engaging services to meet customers' l Customer-Centric Approach: Embed customer needs into product design, service
needs and expectations, ensuring an enhanced customer loyalty and delivery, and organizational culture. l Number of active BRImo users 24.3 Million
trust, stronger financial performance, increased profitability, and a
sustainable competitive advantage, differentiating BRI in the banking l Technology Integration: Leverage digital tools such as AI-powered chatbots, l Average growth of total 9.57%
industry. mobile banking apps, and CRM systems to enhance customer interaction and deposits (Bank Only)
personalization.
l Employee Training: Invest in comprehensive training programs to ensure employees l Average Growth of Total Loan 9.16%
provide exceptional customer service. (Bank Only)
l Feedback Mechanism: Implement robust systems to collect, analyze, and act on
customer feedback. l CASA Ratio 67.54%
l Sustainability Integration: Incorporate ESG principles into customer service
strategies, ensuring fair lending practices and inclusive banking for all customer
segments.
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 26
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
About This Message from Board of Commissioners Responsibility for BRI At A Glance: Brilliant Steps Sustainability Business and ESG Ratings & Stakeholder Materiality
Report and Board of Directors Sustainability Reporting Toward Sustainable Finance Governance ESG Overview Recognitions Engagement Assessment
Topic Type of Topic Materiality Consideration Strategy KPI Related to Board of Directors Achievement
Financial Inclusion Financial BRI actively contributes to enhancing financial inclusion by expanding Strategies for Promoting Financial Inclusion Initiatives: l Achievement of UMi Holding 100.55%
and Literacy Materiality access to banking services and developing inclusive products. Through l Product Development: Design affordable and accessible financial products, KPI.
Topic these efforts, BRI is able to reach a larger customer base, strengthen including microloans, low-cost savings accounts, and tailored insurance products
public engagement in banking, and reduce credit risk by sustainably for underserved groups. l Completion of the Micro 100%
expanding its customer foundation. Business Transformation
l Technology Adoption: Leverage digital tools such as mobile banking platforms, Blueprint and progress on
Once access to banking service is provided, financial literacy becomes agent networks, and biometric authentication for secure and inclusive banking
essential in empowering customers to optimize their use of banking implementation in 2024.
service.
products and manage finances effectively, maintain healthy banking
relationships, and make informed financial decisions. This approach l Financial Literacy: Conduct workshops and campaigns to educate customers on l Realization of KUR (Kredit 99.72%
leads to improved customer retention, enhanced profitability, and financial products and services. Usaha Rakyat) disbursement
strengthened BRI’s reputation as a key driver of financial inclusion and l Partnerships: Collaborate with fintech companies, local governments, and targets.
empowerment. community organizations to reach marginalized populations.
l Number of active BRImo users. 24.3 Million
By integrating financial inclusion and literacy strategies, BRI is actively l Inclusive Practices: Ensure financial products are accessible to marginalized groups,
shaping a more sustainable and inclusive financial ecosystem. including women entrepreneurs, rural populations, and low-income households.
Cybersecurity Financial Strong cybersecurity is essential for maintaining customer trust and A comprehensive and proactive cybersecurity strategy integrates technological, Cybersecurity breach Zero incident
Materiality loyalty. Customers expect banks to safeguard their personal and regulatory and cultural dimensions to ensure robust protection against evolving
Topic financial information, and any breach of this trust can result in severe threats.
consequences, including reputational damage and financial losses for
the bank.
Good Corporate Financial Similarly, effective corporate governance plays a fundamental role in The corporate governance strategy is designed to align with the bank's mission, l ESG Rating Improvement Rating A
Governance Materiality ensuring the financial stability and performance of commercial banks. strengthening its reputation and long-term sustainability. It is built on the following
Topic A well-structured governance framework aligns bank operations key aspects: l Total Shareholder Return 12.50%
with strategic objectives, enhances corporate value and addresses l Accountability Framework: Establishing clear roles and responsibilities for the
stakeholders' interests. By fostering a culture of accountability, Board of Directors, executives, and employees to ensure accountability in decision- l Consolidated PPOP IDR 116.8 Trillion
transparency, and trust, strong governance supports long-term making.
investment and corporate integrity. l Consolidated ROE Tier 1 21.14%
l Diversity and Inclusion: Promoting diversity within the board, commissioners, and
workforce to foster inclusive decision-making.
l CAR (Bank Only) 24.41%
l Sustainability Integration: Embedding ESG principles into governance frameworks
to effectively manage environmental, social, and governance risks and opportunities. l Average Growth of Total 9.57%
l Transparency Initiatives: Enhancing disclosure of financial performance, risk Deposit (Bank Only)
management strategies , and governance policies to build stakeholders trust
l Average Growth of Total Loan 9.16%
l Technology-Driven Governance: Leveraging digital tools, governance platforms,
(Bank Only)
and data analytics to enhance decision-making and compliance monitoring.
l Average diversity in nominated Young: 19.15%
talent (woman & young) Woman: 23.40%
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 27
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
MATERIAL
TOPIC
02
> IN THIS SECTION
PAGE
NO.
Navigating Climate Risk Through the
28
Implementation of Sustainable Finance
Customer Service Excellence 58
Fostering Financial Inclusion & Literacy 67
Robust Cybersecurity 84
Good Corporate Governance 92
Implementation
Page 28
Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 28
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Inclusion and Literacy
Navigating Climate Risk Through
Excellence Cybersecurity Implementation
the Implementation of Sustainable Finance
BRI is actively addressing climate change through sustainable finance based on its mid-to long-term net-zero implementation strategy. In October 2024, BRI’s near-term
targets had been validated by the Science-based Target Initiatives (SBTi), making BRI one of the first financial institution in Indonesia to achieve this milestone. Additionally,
BRI is committed to expanding sustainable finance development and ensuring long-term value for the bank by considering environmental (including climate-related risks)
and social risks while conducting business and financing its clients responsibly. BRI will also enhance its ESG risk management based on international and industry standards.
Four Pillars of IFRS Sustainability Disclosure Standards:
Governance Strategy Risk Management Metric and Target
Governance Overview Climate Change Poses Risks but also Risk Management Framework What Gets Measured, Gets Managed
Creates Opportunity
Board Oversight Integrating Climate Risk Target Setting Methodology
BRI's Approach to Analyzing Climate
Role of Management Change Scenarios Climate Risk Assessment Our Progress
Strategy for Managing Climate Risks Responsible Financing Policy
Through the Implementation of Physical Climate Risk Adaptation
Sustainable Finance
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 29
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Governance
Risk Management & ESG Committee
Governance Overview [GRI 3-3] [GRI 201-2] Komite
Risk Management
ESG dan Komite
& ESG
Manajemen
Committee
Risiko
Every Bit of Warming Matters, Every Year Matters, Every Choice Matters ESG Risk Management Integrated Risk Management*
Board ESG Manajemen
Risk Management
Risiko Manajemen
Integrated Risk
Risiko
Management*
Terintegrasi*
Climate change has led to significant environmental disruptions, including the glacier melting, rising Pengawasan
Board
Oversight
Direksi
Oversight
sea levels, and an increase in the frequency and intensity of extreme weather events. These impacts Board of Directors and Commissioners Meetings
threaten ecosystems, endanger biodiversity, and accelerate the depletion of natural resources. Board of Directors
Direksi
and Commissioners Meetings
Addressing these challenges requires global collaboration among individuals, organizations, and
Operational Group ESG Division Risk Management Business Strategy
governments, each playing a critical role in reducing greenhouse gas emissions and mitigating climate Operational Group
Grup Operasional ESG Division GrupManagement
Risk Manajemen
Group
Grup Bisnis
Business
Group Strategy
Divisi ESG dan Strategi
Risiko
risks. Targeted and concrete actions are essential to safeguard the environment, ensure economic Management Support for the implementation Coordination of climate Group
Support for the integration of Group
Division Support for
Peran
Management
Role of decarbonization
Support strategy
for theimplementasi
Mendukung implementation risk issues
Coordination
Berkoordinasi of climate
mengenai Climate
Mendukung
Support Risk into Risk
integrasi
for the risikoof
integration resilience
Mendukung when
Division building
pembangunan
Support for
stability, enhance public health, and promote social well-being. As a global challenge, climate change Manajemen
Role of strategi
decarbonization strategy
dekarbonisasi isurisk issues
risiko iklim Iklim keManagement
Climate into Risk
RiskManajemen
dalam resilience
resiliensi whenportfolio
investment building
portofolio an
investasi
Management
Risiko investment portfolio
demands integrated and collective solutions, enabling societies to build a more sustainable future for
generations to come.
As Indonesia’s leading financial institution, BRI recognizes its responsibility in addressing the climate *) Climate change risk management has not been integrated with Subsidiaries
*) Manajemen
Climate change
risiko
risk
perubahan
management
iklimhas
belum
notterintegrasi
been integrated
dengan
with
anak
Subsidiaries
perusahaan
crisis and is committed to actively contributing to the transition toward a net-zero society. To achieve
this, BRI has established a robust climate governance framework involving the Board of Commissioners
ESG Committee
and Group management, ensuring clear roles and responsibilities across all levels. This governance ESG Committee
• Oversees climate-related issues relevant to BRI, including monitoring the growth of sustainable financing.
structures enables BRI to strategically assess climate-related risks and opportunities, integrating • Oversees climate-related issues
Provides recommendations relevant
on the to BRI, including
implementation monitoring
and monitoring the growth
of climate of sustainable financing.
strategies.
• Provides
Approvesrecommendations
and offers guidanceonon
thefindings
implementation
of reviewsand
andmonitoring ofrelated
evaluations climatetostrategies.
the execution of ESG policies,
sustainability into its business model while fostering long-term resilience and value creation. • Approves andparameters
offers guidance on findingsfinancing
of reviews and evaluations related to the execution of ESG policies,
governance, and sustainable initiatives.
governance, parameters and sustainable financing initiatives.
Risk Management Committee Board of Directors and Commissioners Meetings[E.1]
Risk Management Committee Board of Directors and Commissioners Meetings[E.1]
Oversees BRI’s enterprise risk profile (including the ESG • Provide overall direction, supervision, and control of the
Oversees BRI’s
rating as part ofenterprise
reputationrisk
riskprofile (including the ESG
management). • Provide
Group andoverall direction, supervision, and control of the
its management
rating as part of reputation risk management). • Group andresponsibility
Delegate its managementto management for implementing
• Delegate responsibility
climate strategies, to management
including forof
the execution implementing
sustainable
climate strategies,
financing initiativesincluding the execution of sustainable
financing initiatives
Operational Group
Operational Group
• Identify and respond to physical risks affecting BRI’s ESG Division
• Identify andoutlets.
offices and respond to physical risks affecting BRI’s ESG Division
• offices
Plan andand outlets.budgets for climate change
allocate • Leads the implementation of climate strategies
• Plan and allocate budgets for climate change • Leads the implementation
Facilitates of climate
coordination between risk strategies
management,
management initiatives.
management initiatives. • Facilitates
operations,coordination
and businessbetween risk management,
units to ensure the effective
operations, and business units
execution of climate strategy. to ensure the effective
execution of climate strategy.
Risk Management Group
Risk Management Group Business and Strategy Group
• Work collaboratively with the ESG Division to map and Business and Strategy Group
• Work
assesscollaboratively withopportunities.
climate risks and the ESG Division to map and • Maintain financed emission policies
• assess climate risksanalysis
and opportunities. • Maintain financed
Engage with BRI’s emission
portfoliospolicies
in achieving BRI’s financed
Conducts scenario to evaluate potential climate
• Conducts scenario • Engage with
emissions BRI’s portfolios
reduction targets in achieving BRI’s financed
change impacts on analysis to evaluate
BRI’s operations andpotential
financialclimate
portfolio
change impacts on BRI’s operations and financial portfolio emissions reduction targets
Page 30
Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 30
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Governance Commitment of Board of Commissioners and Board of Directors [E.1] [GRI 2-12]
As the highest governing authority for sustainable finance, BRI’s the Board of Commissioners and
Board Oversight Board of Directors of BRI ensure that ESG principles are fully integrated into the bank’s strategy and
BRI's Commitment to Climate Change through Sustainable Finance operations. This commitment is reinforced by embedding ESG-related Key Performance Indicators
BRI’s Board of Directors has demonstrated a strong commitment to sustainable finance, actively (KPIs), such as the growth of sustainable financing and BRI’s ESG rating, into the bank’s performance
addressing climate change as a critical policy. This commitment has been concretely realized through evaluation system.
the following key initiatives:
l The integration of climate change into risk management: Climate change has been formally
incorporated into the responsibilities of the Director of Risk Management, recognizing its significance
Role of the Management
as a strategic and financial priority. Managerial Role
l Issuance of BRI’s first climate change policy: The bank introduced its first climate change policy, BRI’s management has taken a proactive stance in addressing climate change challenges, demonstrated
underscoring the importance of climate-related risks and opportunities while promoting the through key structural and strategic developments:
implementation of strategic climate measures across the organization. l 2016: Established a dedicated unit within the Risk Management Division.
l Institutionalized climate at the Board levels: Climate change is a recurring agenda item in Board l 2021: Elevated climate change-related responsibilities to the divisional level.
l 2022: Formed the ESG Division, placed under the supervision of the Compliance Director, signifying
meetings, reinforcing BRI's high-level commitment to systematically and comprehensively
BRI’s stronger commitment to ESG and ensuring seamless integration of sustainability principles
addressing climate-related challenges through informed decision-making.
into all operational activities.
Role of ESG Committee
Role of ESG Division
In 2021, BRI established the ESG Committee to enhance focus and oversight on sustainability issues,
including climate change. These committees convene regularly, at least twice a year, ensuring that ESG The ESG Division plays a pivotal role in driving BRI’s sustainability agenda. Its key responsibilities
include:
matters are systematically addressed. Chaired by the President Director, the highest-ranking leader
of the company, reflecting BRI’s deep commitment to ESG principles and ensuring their strategic l Developing and implementing a clear framework to guide BRI’s sustainability initiatives.
l Conducting comprehensive policy and practices reviews.
influence across the organization. l Researching international best practices and engaging with external experts to maintain compliance
ESG Committee comprise Board members with the expertise and experience necessary to make with global ESG frameworks and industry-leading standards.
informed decisions on ESG development. Their key responsibilities include: l Acting as the initiator and coordinator for the execution of climate policies and sustainability
strategies across BRI’s operations.
l Approval of sustainability policies, strategies, and implementation roadmaps: Empowering the l The ESG Division holds direct responsibility for achieving BRI’s Net Zero 2050 target, with KPIs for
committees to guide BRI’s sustainability initiatives, ensuring alignment with long-term goals. emission reductions integrated into the performance evaluation system.
l Approval of net-zero emissions targets and decarbonization strategies: Reinforcing BRI’s
commitment to combating climate change and reducing greenhouse gas emissions. Coordination and Collaboration with Management
l Approval and oversight of ESG policy implementation: Directing and evaluating the execution of The ESG Division operates through a collaborative and integrated approach, ensuring that climate
policies or governance frameworks, particularly in sustainable finance and ESG initiatives. change-related issues are addressed effectively across all business units. It actively engages with key
stakeholders to align climate policies, governance structures, and operational strategies. The key roles
The ESG Committee actively monitors and evaluates BRI's ESG performance, ensuring that the include:
committees receive up-to-date insights on BRI’s ESG progress, climate change are effectively l Identifying critical areas that need to be incorporated into climate policies and governance
integrated into formal risk management processes, and advancements in addressing climate-related structures.
challenges are tracked through regular reporting mechanisms. l Collaborating with the risk management team to identify, assess, and mitigate climate-related risks.
l Facilitating sustainable projects and activities that contribute to emission reduction targets and
sustainable financing goals.
l Actively involving operational staff in the planning and implementation of climate-related initiatives.
l Working closely with the Planning, Budgeting & Performance Management Division to regularly
track and report ESG performance to the Board of Directors.
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 31
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Strategy [E.3] [E.5] [GRI 201-2]
Climate Change Poses Risks but also Creates Opportunity
Indonesia has reinforced its commitment to carbon emissions reduction as part of global efforts to One of the most significant business opportunities for BRI lies is the increasing demand for ESG-
mitigate climate change. By enhancing its Nationally Determined Contribution (E-NDC) targets, the based financial products, driven by investor preferences for sustainable banking solutions. Currently,
country aims to cut emissions by 31.89% through domestic efforts and up to 43.20% with international BRI benefits from lower interest rates on ESG-based funding compared to conventional funding.
support by 2030–an increase from its previous target of 29% and 41% respectively. This ambitious step Moving forward, BRI remains committed to expanding its financial asset diversification with ESG-based
underscores Indonesia's dedication to accelerating the transition toward a low-carbon economy. funding compared to conventional financing, including green bonds, sustainable bonds, social loans,
The launch of Indonesia’s First Carbon Exchange (IDXCarbon) on September 26, 2023 , marks a major sustainability-linked loans, and other ESG-based funding/loan instruments.
regulatory milestone, influencing various industries, including the financial services sector. In response,
BRI has proactively identified and analyzed climate risks, integrating them into its risk management
framework and business strategy. This approach strengthens BRI’s resilience and adaptability,
Introduction of carbon pricing may
ensuring it remains well-positioned to address climate-related challenges. Policy & increase the energy cost of operations and
highly impact the return on investment in external carbon prices.
Legal
BRI has classified climate-related risks and opportunities across short-term (up to 2026), medium- some industries. Ambitious climate-related +/- CapEx: Value of assets based on emissions, energy,
policies are expected. or water intensity; carbon price.
term (up to 2030), and long-term (up to 2050) horizons. This structured approach allows the bank
+/- Assets (intangible): Increase in brand value for
to proactively manage risks and uncertainties while aligning its strategy with long-term business timely response to national decarbonization
strategies or vice versa.
objectives. Transition Technology
Technological advancement presents an
opportunity to support transition towards a +/- Assets (intangible): Needs in attraction and
Risks lower-carbon economy. retention of competent employees.
BRI recognizes that climate-related risks can be broadly categorized into transition risks–arising from
- Liabilities: Impact on credit rating due to failure in
regulatory, technological, and market shifts in the transition to a low-carbon economy–and physical meeting regulatory requirements.
Impact On BRI
Customer and investor preference
risks, which stem from the direct environmental impacts of climate change. Reputation alteration; increase of negative feedback
+ CapEx: Purchase of equipment or new technologies
to manage transition risk, adaptation, and
from stakeholders.
Transition risks emerge from policy changes, market dynamics, and evolving and investor preferences,
+ Liabilities: Impact on stock price due to the ability
including: regulatory risks - compliance with new climate regulations; market risks–economic impacts to tap into customers first, which can lead to strong
Customer behavior alteration; change brand recognition.
of climate change on consumer demand, interest rates, and commodity prices; as well as reputational Market in demand and supply for products and
risks–changing perceptions of corporate sustainability efforts, influencing brand value and investor services.
confidence. Physical risks, on the other hand, are associated with direct environmental impacts,
+ OpEx: Costs to improve energy or water conservation
including: infrastructure damage caused by natural disasters, extreme weather events, and rising sea Acute Heatwaves, Flooding, Tropical Cyclones,
Wildfires
levels. Operational disruptions are also affecting business continuity in climate-vulnerable regions. -_Assets (tangible): Physical damage or impairment of
Physical assets due to weather events.
Given BRI’s position in the financial sector, effectively managing these risks is crucial to ensuring long- Risks
+ CapEx/OpEx: Purchase of equipment or new
term resilience and sustainability. Temperature Rise, Sea level rise, technologies for physical risk mitigation, Expenses to
Chronic address physical risks (e.g., insurance premiums,
Water stress
While climate change presents significant risks, it also unlocks strategic opportunities for sustainable recovery expenses)
business growth. BRI has identified several key areas where climate-conscious initiatives can drive value
creation, including resource efficiency, renewable energy adoption, innovation in financial products and
services, market expansion, and an enhanced corporate image and competitive advantage.
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 32
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Strategy
BRI's Approach to Climate Change Scenarios Analysis
Climate change presents significant risks across industries BRI recognizes the importance of
understanding these risks to enhance resilience and ensure long-term sustainability. To effectively
manage climate-related uncertainties, scenario analysis serves as a strategic tool in mitigating
potential disruptions on operations, supply chains, assets, and financial performance. The following
steps outline BRI’s structured approach to conducting climate change scenario analysis, ensuring
business readiness and long-term sustainability in an evolving global climate landscape.
Scenario Analysis Methodology
Sector Materiality Climate Scenario Material Climate- Climate Change
Assessment Analytical Choices related Issues Scenario Analysis
1 Portfolio understanding 3 Scenario construction 4 Climate-related issues 5 Understand impacts of
The portfolios were Based on the chosen identification climate-related issues
categorized by asset class sectors in materiality Material climate-related Climate change scenario
and sector based on assessments, pathway issues were then identified analysis was conducted
Quantis’ sector classification selection and analytical based on 1) market review; based on data retrieved
and the International choices were made to 2) industry characteristics; from models including
Standard Industrial construct a scenario. and 3) locations of BRI CLIMADA, ISIMP database,
Classification (ISIC). Pathways operation and portfolio. GCAM5.3 +NGSF etc., to
IPCC RCPs, IEA, NGFS understand the impacts of
pathways the climate-related issues.
2 Exposure and emissions Analysis Options
analysis time horizon, assumptions
The financial exposure and
sectoral emissions of BRI’s
portfolios were examined
to identify specific sectors
with high climate-related
risks and opportunities.
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 33
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Strategy
Sector Materiality Evaluation
Understanding the Portfolio
BRI’s three largest investment sectors include: (1) wholesale and retail trade; (2) other community,
The Share of Exposure and Carbon Emissions of Each Industrial Sector Share of Exposure
social, and personal services; and (3) transportation, storage and communication. Collectively, these Emission
sectors account for 58.27% of BRI’s total investment portfolio. However, investment exposure alone
does not directly determine climate risk levels, as both physical and transition risks must also be
assessed within each sector. 50%
To gain a comprehensive understanding of climate risks, BRI incorporates sectoral greenhouse gas 40%
(GHG) emissions into its materiality assessments. Sectors with high emissions typically face greater 30%
transition risks. Based on emission-based materiality analysis, the three largest contributors to
20%
portfolio emissions, accounting for 64.06% of GHG emissions, are: (1) agriculture, hunting, forestry, and
fishing; (2) electricity, gas, and water supply; and (3) transportation, storage and communication. 10%
0%
Wholesale Other Transportation Public Agriculture, Manufacturing Mining and Financial Construction Electricity, Gas Real Estate
and Retail Community, Storage and Hunting, Quarrying Intermediary and Water Activities
Administration
Trade Social, and Supply
Communication & Defense Forestry &
Personal
Services
Fishing
Analysis of Exposure and Emissions
In assessing carbon intensity across BRI’s investment portfolio, the sectors with the highest carbon
intensity include: (1) electricity, gas, and water supply; (2) mining and quarrying; and (3) agriculture,
hunting, forestry, and fishing. Rather than excluding high-carbon sectors from its portfolio, BRI
is committed to a proactive engagement strategy that encourages these industries to adopt
Economic Carbon Intensity of Each Industrial Sector
environmentally sustainable practices. This approach ensures that carbon-intensive sectors play an 0.242
active role in emissions reduction efforts, aligning with global sustainability goals.
Low carbon High carbon
intensity intensity
0.060
0.036
0.012 0.013 0.015
0.003 0.003 0.006 0.007
Public Wholesale Real Estate Other Construction Transportation Manufacture Agriculture. Mining and Electricity,
Administration & Trade and Community, Storage and Hunting, Forestry Quarrying Gas and Water
Defense Commission Social, Communication & Fishing Supply
Trade and Personal
Services
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 34
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Strategy
Climate Scenario Analysis Choices & Material Issues Related to Climate
Scenario Construction
Material Climate Issues
In conducting climate scenario analysis, BRI has evaluated various methodologies to construct robust,
data-driven scenarios that serve as a foundation for strategic decision-making. Each publicly available BRI’s identification of climate-related issues is based on a comprehensive assessment of its operational
scenario presents different pathways, formulated through scientific modelling by leading data- locations, the potential impact on business activities, and the materiality of key sectors analyzed under
providing organizations. BRI has selected relevant climate pathways that illustrate contrasting future the formulated scenarios. These climate-related issues are broadly classified into two main categories,
scenarios, including: Low Emission Scenario (2°C or below scenario), reflecting a future aligned with further divided into ten specific subcategories.
global climate targets. and high emissions Scenario (above 2°C scenario), depicts a future with elevated
emissions By leveraging these scenarios, BRI enhances its ability to anticipate climate-related risks,
and develop adaptive strategies to safeguard long-term business resilience in an evolving global climate +2 o C globally
landscape.
Temperature rise Policies
+0.9°C if average daily temperature More stringent emission disclosure obligations
Low Emission Scenario High Emission Scenario
Flooding Carbon price
Risk Provider
Pathways Pathways +13.5% annual damage from river floods by 2050 Estimated carbon price as USD 5.63 per Tn CO2 by 2030
Physical Risk Scenario IPCC SSP1 – 2.6 RCP4.5 & SSP2 - 4.5
RCP8.5 & SSP5 – 8.5 Heatwaves Market
+10.5% of population exposed to heatwaves by 2050
Transition Risk Scenario NGFS Orderly Pathways Hot House World
Sea level rise Reputation
+4.4mm/year Corporates to loss reputation for financing carbon intensive
activities
+4oC globally
Temperature rise Sea level rise
+1.4°C if average daily temperature +11.2 mm/year
Flooding Droughts and wildfires
+80.3% in annual expected damage from river floods by 2050 +9% annual probability for Indonesia to experience a year with
a severe drought by 2090s, Increasing probability of wildfire due
to droughts
Heatwaves Tropical cyclones
The likelihood of experiencing heatwaves is 96% higher, Median +7.6% of 1-in-100-year expected damage from tropical cyclone
of 200 days with Heat Index >35°C by 2050
Operation
s and
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 35
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Strategy
Analysis of Climate Change Scenarios [FN-CB-550a.2]
Regulatory authorities and financial institutions worldwide are enhancing climate risk oversight, shifting Network of Central Banks and Supervisors for Greening the Financial System (NGFS) to assess the
from recommendations to mandatory requirements as climate change is increasingly recognized as a impact of climate-related risks on BRI’s portfolio. The stress test evaluates two primary categories of
significant risk to the financial system. In March 2024, Indonesia’s Financial Services Authority (OJK) risks: physical risks and transition risks. Additionally, BRI analyzes the impact of climate risks on credit
revised its Climate Risk Management & Scenario Analysis (CRMS) framework, aligning with the Basel risk, including debtor defaults risks and the declines in collateral value.
Committee on Banking Supervision (BCBS) principles. This update aims to enhance the financial In alignment with OJK’s CRMS roadmap, BRI is executing the CRST in two phases. Phase 1 (current
industry’s ability to manage climate risks effectively. analysis) covers 71.41% of BRI’s portfolio, exceeding OJK's minimum requirement of 50% and Phase 2,
As part of its climate risk management strategy, BRI conducts a Climate Change Stress Test (CRST) covering 100% of the portfolio.
using the CRMS framework model. This test integrates climate crisis scenarios developed by the
Metodologi Climate Change Stress Test
Company Level Financial Data
Financial Metrics
(Revenue, Expenses, Asset, Liability, …)
Company Level Climate Related Data Stressed Financial Metrics
Scenario Simulation Revenue, COGS, Capex, Debt
GHG Emissions (Scope1 , 2 and 3)
Transition Risk
Scenario Data
Obtained from NGFS pathways and customized
according to OJK requirements Risk Scoring and Calibration Stressed PD
(e.g. NDC growth rate, reduction target, carbon • Distance-to-Default
price, macroeconomic variables, etc) • Rating Upgrade/Downgrade
Stressed Expected Credit Loss
Flood – Mortgage portfolio and Risk Weighted Asset
Location (city/district) of property, Property value
at liquidation Damage Cost Calculation
Scenario Simulation Applying the collateral damage
ratio and revitalization cost on Stressed LGD
Forest fire – Agriculture high-risk area
Physical Risk Location (city/district) of collateral, Size of area,
Collateral Value
*https://ojk.go.id/id/berita-dan-kegiatan/info-terkini/Pages/Climate-Risk-Management-and-Scenario-Analysis-CRMS.aspx
**Sectors included: 1. Agriculture, hunting & forestry, 2. Mining & quarrying, 3. Electricity, gas & water, 4. Construction, 5. Transportation & storage, 6. Manufacturing, 7. Wholesale & retail trade, 8. Mortgage.
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 36
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Strategy
High
Disorderly Too little, too late
NGFS Climate Scenarios 1. Current policies: GHG reduction policies are not
adopted Maximum physical damage.
BRI conducts its climate stress test using three NGFS (Network for Greening the Financial System) 2
02
scenarios: current policies, delayed transition, and net zero emissions. In the current policies scenario, Delayed
transition
GDP growth initially remains strong but declines over the long term. Carbon emissions in this scenario
Transition Risk
2. Delayed transition: In the “delayed transition”
are projected to decrease at a significantly slower rate compared to the other pathways. The delayed scenario. GHG emissions are not reduced until
transition scenario assumes that policy interventions and emission reductions will begin gradually after 3
03
2030 and then strong GHG reduction policies are
implented after 2030 to limit global warming to
2030. In contrast, the net zero scenario reflects an ambitious climate action pathway, where carbon 1
01
below 2ºC by 2050.
Net zero
emissions are projected to decline significantly, from 1,203 million tons in 2025 to 325 million tons by 2050 (1.5ºC) Current
2050. It is characterized by the highest carbon price among all scenarios. policies
3. Net zero: GHG reduction policies are implemented
since 2021 to limit the rise in the earth’s average
temperature to below 1.5ºC from pre-industrial
Orderly Hot house world levels in around 2050.
Low Physical Risk High
Estimated Carbon Price. Carbon Emissions. and GDP Growth Rate by Scenario
Carbon Price Carbon Emission GDP
12.500.000
1.500 6,00
10.000.000 5,00
1.000 4,00
7.500.000
3,00 …
5.000.000
500 2,00
2.500.000
1,00
0 0 0
2025 2030 2040 2050
2025 2030 2035 2040 2045 2050 2020 2025 2030 2035 2040 2045 2050
Baseline (current policies) Delayed transition Net Zero 2050
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 37
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Strategy
Transition Risk Scenario Analysis
Total
In assessing the financial impact on BRI, the Changes in Probability of Default by Transition Risk Scenario
High Intensity Sector*
probability of default (PD) is analyzed based
Medium to Low Intensity Sector
on the NGFS (Network for Greening the 20.00%
Financial System) climate scenarios. Under
the net zero emission (NZE) 2050 scenario,
the PD is projected to increase by 2.80% to 15.00%
3.21% compared to the 2024 baseline. In the
delayed transition scenario, the PD is expected 10.00%
to rise by a more moderate 0.01% and 1.89%
over the same period. The highest default risk
5.00%
is anticipated in 2040 under the NZE 2050
scenario, driven by significantly higher carbon
credit prices compared to other scenarios. 0.00%
2030 2040 2050 2030 2040 2050 2030 2040 2050
Current Policies Delayed Transition Net
NetZero
Zero2050
2050
Changes in PD in comparison to baseline 2024
*Electricity, Gas & Water, and Mining & Quarrying, as presented in BRI’s sector materiality assessment.
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 38
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Physical Risk Analysis
In March 2024, the Financial Services Authority (OJK) released a comprehensive Climate Risk Management & Scenario Analysis (CRMS) framework to guide financial institutions in managing climate-related risks.
This framework, structured across six volumes, includes key technical guidelines such as Volume 2: OJK CRMS Technical Guide, and Volume 5: OJK CRMS Disaster Data. Leveraging OJK's guidance on physical
scenarios, BRI conducted an in-depth analysis to estimate the potential impact of climate-induced hazards on its asset portfolio. This assessment was obtained by integrating the regional damage assessments from
OJK's impact function with forward-looking scenarios based on the Representative Concentration Pathway (RCP).
1 Aceh
Physical Risk - RCP4.5/SSP2-4.5 Scenario Analysis (2050) Physical Risk - RCP8.5/SSP5-8.5 Scenario Analysis (2050) 2 Banten
3 Bengkulu
1 Aceh
Physical Risk - RCP4.5/SSP2-4.5 Scenario Analysis (2050) Physical Risk - RCP8.5/SSP5-8.5 Scenario Analysis (2050) 4 Daerah Istimewa
2 Banten
5 Yogyakarta
3 Bengkulu
DKI Jakarta
4 Daerah Istimewa
1 0.89% 1 1.77%
6 Gorontalo
5 Yogyakarta
15 0.01% 15 0.02%
33 0.26%
7 Jambi
DKI Jakarta
1 0.89% 1 1.77%33 1.72%
8 Jawa
6 GorontaloBarat
15 0.01% 15 0.02% 9 Jawa Tengah
33 0.26% 33 1.72%
7 Jambi
30 0.55% 30 0.56%
8 10 Jawa
Jawa Timur
Barat
25 0.08% 11 0.62% 25 1.34% 11 1.33% 9 11 Kalimantan
Jawa Tengah Barat
6 2.24%30 0.55% 20 1.68% 6 2.24%
30 0.56% 20 1.68%
17 0.11% 17 2.65% 10 12 Kalimantan
Jawa Timur Selatan
25 0.08% 11 0.62% 28 1.52% 25 1.34% 11 1.33% 28 1.55% 11 13 Kalimantan
Kalimantan Tengah
Barat
6 2.24% 20 1.68% 6 2.24% 20 1.68%
7 17
1.55% 0.11% 24 0.16% 7 17 2.65%
2.04% 24 0.16% 12 14 Kalimantan
Kalimantan Timur
Selatan
26 0.04%
28 1.52% 2628 0.04%
1.55% 13 15 Kalimantan
Kalimantan Utara
Tengah
7 1.55% 24 0.16% 7 2.04% 24 0.16% 14 16Kalimantan
Kepulauan Timur
Bangka
26 0.04% 26 0.04%
15 17Kalimantan
Belitung Utara
16 0.23% 16 0.25%
14 0.19% 14 0.39% 16 Kepulauan
Kepulauan Bangka
Riau
17 18
Belitung
Lampung
16 0.23% 16 0.25%
14 0.19% 14 0.39% Kepulauan
19 Maluku Riau
5 0.34% 9 0.12% 5 0.90% 9 0.18% 1820 Lampung
Maluku Utara
31 0.04% 12 0.81% 31 0.17% 12 0.84%
19 21Maluku
Nusa Tenggara Barat
5 80.34%
0.08% 9 13
0.12% 2.50% 5 8
0.90% 0.44%9 0.18% 13 2.57% 2022 Maluku
Nusa Utara
Tenggara Timur
31 0.04% 12 0.81% 19 1.94% 31 0.17% 12 0.84% 19 1.95%
32 2.06% 29 0.48% 32 2.13% 29 0.48% 2123 Nusa Tenggara Barat
Papua
8 0.08% 13 2.50%
19 1.94%
8 0.44% 13 2.57%
19 1.95%
2224 Nusa
Papua Barat Timur
Tenggara
27 0.34% 27 0.34%
32 2.06% 29 0.48% 32 2.13% 29 0.48% 2325 Papua
Riau
3 1.38% 3 1.38%
27 0.34% 27 0.34%
2426 Papua BaratBarat
Sulawesi
3 1.38% 3 1.38% 18 2527 Riau
Sulawesi Selatan
18 1.63% 1.67%
23 0.23% 23 0.36% 2628 Sulawesi
SulawesiBarat
Tengah
18 1.63% 18 1.67% 2729 Sulawesi
SulawesiSelatan
Tenggara
2 0.39% 4 0.05% 23 0.23% 2 0.39% 4 0.15% 23 0.36% 2830 Sulawesi Tengah
Sulawesi Utara
10 0.05% 21 0.01% 22 0.01% 10 0.07% 21 0.02% 22 0.02% 29 31Sulawesi Tenggara
2 0.39% 4 0.05% 2 0.39% 4 0.15% Sumatera Barat
3032 Sulawesi
SumateraUtara
Selatan
10 0.05% 21 0.01% 22 0.01% 10 0.07% 21 0.02% 22 0.02% 31 33Sumatera
Sumatera Barat
Utara
32 Sumatera Selatan
0.0% 4.0% 0.0% 4.0%
33 Sumatera Utara
0.0% 4.0% 0.0% 4.0%
https://ojk.go.id/id/berita-dan-kegiatan/info-terkini/Documents/Pages/Climate-Risk-Management-and-Scenario-Analysis-CRMS/Buku%2 02_Panduan%20Teknis%20CRMS%20OJK%202024.pdf
https://ojk.go.id/id/berita-dan-kegiatan/info-terkini/Documents/Pages/Climate-Risk-Management-and-Scenario-Analysis-CRMS/Buku%2 05_Data%20Bencana%20CRMS%20OJK%202024%20%281%29.pd
https://ojk.go.id/id/berita-dan-kegiatan/info-terkini/Documents/Pages/Climate-Risk-Management-and-Scenario-Analysis-CRMS/Buku%2 02_Panduan%20Teknis%20CRMS%20OJK%202024.pdf
https://ojk.go.id/id/berita-dan-kegiatan/info-terkini/Documents/Pages/Climate-Risk-Management-and-Scenario-Analysis-CRMS/Buku%2 05_Data%20Bencana%20CRMS%20OJK%202024%20%281%29.pd
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 39
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Strategy
Highlight of Flooded Areas in BRI Operations BRI has also conducted an assessment of its overseas branches exposed to flood risk..
Indonesia’s geographic characteristics make it highly susceptible to flooding, driven by extreme Low Emission Scenario High Emission Scenario
New York
weather events and rising sea levels. This elevated flood risk has the potential to disrupt BRI’s
operations, affecting access to branch offices and causing physical damage to infrastructure. Analysis
indicates that Jakarta accounts for approximately 25% of the total projected climate change costs at
the national level, highlighting its high vulnerability to flooding, from both sea level rise and increased
rainfall. While BRI's headquarters and data centers are located in Central Jakarta and South Jakarta,
the direct risk to these critical assets remains relatively low. However, operational disruptions remain a Low Emission Scenario High Emission Scenario
concern, particularly for 3.7% of BRI’s branches located in coastal areas, with Surabaya being the most Hongkong
affected city. The flood risk map provides a visual representation of provinces and districts/cities most
exposed to high flood risk.
Low Emission Scenario | High Emission Scenario
Low Emission Scenario High Emission Scenario
Singapura
SSP5-8.5
Low Emission Scenario High Emission Scenario
Cayman
Low Emission Scenario High Emission Scenario
Timor Leste
SSP1-2.6 SSP2-4.5
Low Emission Scenario High Emission Scenario
Taiwan
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 40
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Strategy
Results of the Climate Risk Stress Test [FN-CB-550a.2]
BRI conducts a comprehensive climate impact analysis through 2050 using assets as of the end of 2024
as a reference for capital adequacy planning, long-term corporate strategy, and business activities.
To assess potential financial risks, BRI evaluates non-performing loans across 100% of its portfolio,
leveraging available carbon emission data. For portfolios lacking direct emission data, projections are
made based on corporate financial information and industry-specific benchmarks.
To measure the impact and transmission of climate-related stress factors, BRI performs financial
modeling at the debtor level, incorporated both micro and macroeconomic stress variables. This
modeling enables an analysis of how climate risks influence financial statements, stressed probability of
default, and ultimately, the debtor’s credit rating (stressed credit rating). These stressed components
will be utilized to determine the stressed Expected Credit Loss (ECL) and stressed Capital Adequacy
Ratio (CAR).
According to BRI’s calculations, under the current policy scenario, the probability of default is expected
to increase until 2030, followed by a slight rise through 2050. In the delayed transition scenario, the PD
trend mirrors that of the current policies scenario until 2030, but continues to increase through 2050
due to rising infrastructure costs and stricter greenhouse gas (GHG) reduction policies. In the net zero
emissions scenario, the PD initially rises due to the early enforcement of GHG reduction policies and
higher carbon costs, but is projected to decline after 2040.
To estimate Loss Given Default (LGD), BRI integrates regional damage assessments from the OJK
impact function related to flood and wildfire risks, while incorporating forward-looking scenarios based
on Representative Concentration Pathways (RCP). This impact function translates physical damage
into effects on collateral value, which is then combined with RCP forward-looking scenarios in the LGD
calculation. Based on estimates, the increase in LGD per province ranges from 0.02% to 2.65% for flood
and wildfire risks.
Forecasting Expected Credit Loss and Capital Adequacy Ratio
Results of estimating the expected credit loss amount per scenario indicate that in Net Zero 2050
Scenario, expected credit loss coverage would have difference between 1.34% - 1.61%, higher compared
to baseline 2024, representing the highest increase compared to other scenarios. BRI also calculates
the capital adequacy ratio by considering the increase in expected credit loss for each scenario. This
analysis showed that in the Net Zero 2050 Scenario, the capital adequacy ratio would have difference
between 0.63%-0.91% lower, which is the largest drop compared to other scenarios..
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 41
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Strategy
Strategy for Managing Climate Risks Through the Implementation of
Sustainable Finance [E.2] [E.4]
BRI applies the Climate Risk Management and Scenario Analysis (CRMS) methodology from the
Financial Services Authority (OJK) alongside its internal risk models to conduct Climate Risk Stress
Testing. The results of these assessments are reported to the ESG Committee, reinforcing BRI’s
commitment to achieving net zero emissions across all operational activities by 2050. This commitment
is realized through carbon footprint reduction initiatives, including energy efficiency measures, the
adoption of renewable energy, and offsetting residual emissions.[FN-CB-550a.2]
Transparency in climate-related activities is fundamental to building trust with stakeholders. To
ensure accountability, BRI adheres to recognized international disclosure standards, including
IFRS-S Disclosure, providing clear and comprehensive information on its climate strategy, risks, and
performance. [E.4]
The Board of Directors and senior management oversee sustainability management and monitoring,
ensuring that ESG risks across BRI’s loan portfolio are thoroughly evaluated and that international best
practices are implemented. While significant progress has been made toward BRI’s climate and ESG
targets, ongoing challenges remain, requiring continuous improvements and strategic adaptation.
Moving forward, BRI remains committed to enhancing performance across all material ESG factors,
achieving its targets, and aligning business practices with future sustainability needs.
BRI plays a crucial role in advancing sustainable development by providing financing solutions that
support environmentally friendly projects and initiatives. These sustainable financing efforts focus on
responsible lending and portfolio growth in key areas such as renewable energy, energy efficiency,
sustainable agriculture, and other sectors that contribute to environmental sustainability.
BRI has implemented specific financing policies for sensitive subsectors, including sustainable palm
oil, pulp and paper, coal, and oil and gas. These policies ensure that financing activities are aligned
with responsible and sustainable practices. BRI continues to expand its green financing portfolio,
strengthening investments in r sectors that contribute to environmental sustainability.
Recognizing that climate action requires collective efforts, BRI prioritizes capacity building and
stakeholder engagement. Various initiatives have been undertaken, including training programs
for employees, sustainability engagement with customers and partners, and active participation in
industry-wide climate initiatives. [E.2] [E.4]
Addressing climate change requires collective action. BRI is committed to collaborating with
stakeholders across industries to drive systemic change. The success of BRI is intrinsically linked to the
sustainability of the planet, and by prioritizing climate change as a key business and governance issue,
BRI aims to build resilience, remain relevant in a changing world, and create long-term, sustainable
value for all stakeholders.
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 42
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Board of Commissioners & Directors
Risk Management
Risk Management Pillar
Board of Commissioners & Directors
Board of Commissioners & Directors
Active Supervision of Adequacy of Policies, Adequacy of MR Process &
Adequacy
Risk Management Framework the Board of Directors and
Board of Commissioners
Procedures, and
Setting Limits
Risk Management Pillar
Risk Management
Information System of Internal Control
Risk Management Pillar
Board of Commissioners & Directors
As part of its business evolution, BRI has prioritized stakeholder engagement, actively seeking insights Active Supervision of Adequacy of Policies,
Adequacy of Policies,
Adequacy of MR Process &
Adequacy
theActive
BoardSupervision
of Directorsof
and Procedures, and Adequacy of MR Process &
Risk Management Adequacy
from customers, investors, regulators, and industry experts. This collaborative approach enables the Board
Board of Directors and
of Commissioners
Board of Commissioners
Procedures, and
Setting Limits
Setting Limits
Risk Management
Information System
Information System
of Internal Control
of Internal Control
Board of Commissioners Risk Management Pillar UKO & SKMR Independent
BRI to better understand stakeholder expectations and incorporate diverse perspectives into its risk Committee Oversight function Board of Directors Committee Identification, Measurement,
Monitoring, Control
Assurance
Active Supervision of Adequacy of Policies, Adequacy of MR Process &
management framework. By integrating climate-related risks into its risk management practices, the Board of Directors and
Risk Management
Procedures, and
Risk Management & ESG Committee
Risk Management
Credit Policy
Information System
Adequacy
of Internal Control
Board of Commissioners Setting Limits UKO &RiskSKMR
Credit Risk Business Taking Independent
BRI reinforces its commitment to responsible banking and sustainable finance. Effectively managing Board of Commissioners
Monitoring Committee
Board of Commissioners
Committee Oversight function Credit Risk Board of Strategic
Directors Committee Committee
Risk
Board of Directors Committee
UKO &Measurement,
Identification,
Identification,
SKMR
Measurement,
Independent
Assurance
Monitoring, Control
BRI
Committee Oversight function Assurance
climate risks allows BRI to enhance resilience, safeguard stakeholder interests, and contribute to global Integrated Governance
Market Risk
Compliance Risk
Risk Management & ESG Committee Credit Policy
Risk AnalyticsControl
Monitoring, & Control
Internal Audit
Risk Management Reputation Risk Credit Committee Unit
RiskCommittee Risk Management & ESG Committee
efforts in climate change mitigation efforts. This ongoing commitment reflects BRI’s dedication to Management
Monitoring
Board
Monitoring
Committee
of Commissioners
Committee
Liquidity Risk
Credit Risk Strategic Risk
Intragroup Risk
Credit
CreditPolicy
Risk
Credit Risk
Committee
Business
Operation
UKO &Risk
Business
Risk Taking
SKMRTaking Independent
Board of Directors Committee
Strategic Risk Committee Identification, Measurement,
BRI
Committee Oversight function Credit Risk Assurance
continuously refining its risk management framework and maintaining its position at the forefront of Operational Risk Risk AnalyticsControl
Monitoring, & Control
BRI
Compliance Risk
Insurance Risk Integrated Risk
Market Risk Compliance Risk Information Systems
Risk Analytics MR
& Control Internal Audit
Integrated Governance
Audit Committee Market Risk Internal
Integrated Governance Reputation Risk Credit Committee
Committee UnitAudit
sustainable banking practices. Scenario analysis serves as a critical first step in assessing the impact RiskCommittee
Management
Committee
Monitoring Committee
Legal
Risk Risk
Management
Liquidity Risk
& ESG Committee
Climate Change
Reputation Risk
Risk Credit
Credit Policy
Committee
Credit Risk
Operation
Business Risk Taking
Operation
Unit
Liquidity Risk Intragroup Risk
Strategic Risk Committee
of climate-related risks on BRI’s operations and investment portfolio. The insights gained from this Credit Risk
Operational Risk
Intragroup Risk
SubsidiariesBRI
Operational Risk Insurance Risk Integrated Risk Information Systems
Risk Analytics MR
& Control
Audit Committee Compliance Risk
Insurance Risk Integrated Risk
Market Risk Committee Information Systems MR Internal Audit
analysis form the foundation for understanding potential risks and financial implications. Integrated Governance
Audit Committee
Subsidiary’s Board of
Committee
Legal Risk
Legal Risk
Climate Change
Reputation Risk
Risk Credit Committee
Committee
Climate Change Risk The Director in charge of MR Operation
Unit
Commissioners Liquidity Risk Subsidiaries Subsidiary IAU
Intragroup Risk
Operational Risk
Insurance Risk Integrated Risk Information Systems MR
Subsidiaries
Audit Committee Subsidiary SKMR
Committee
Subsidiaries
Subsidiary’s Board of Legal Risk Climate Change Risk The Director in charge of MR
Subsidiary’s Board of
Commissioners The Director in charge of MR
Subsidiaries Subsidiary IAU
Commissioners Subsidiaries Subsidiary IAU
Risk Capacity Maximum Risk Integrating Climate-related Risk Into Existing Enterprise Risk Management Systems
Subsidiary SKMR
Subsidiaries
Level Subsidiary’s Board of The Director in Subsidiary SKMR
charge of MR
Commissioners Subsidiaries Subsidiary IAU
Risk Tolerance Integrating Climate-related RiskCredit
Strategic
Into Existing Enterprise Risk Management Systems
Integrating Climate-related Risk Into Existing Enterprise Risk Management Systems
Subsidiary SKMR
Compliance
Risk Tolerance
Market
Risk Appetite
Risk Capacity
Climate Risk Profile Credit
Liquidity Strategic
Reputation
Strategic
Risk Appetite RAS = Integrating Climate-related RiskCredit
Into Existing Enterprise Risk Management Systems
Compliance
Tolerance
Downside Market
Appetite
Capacity
Operational Intragroup
Compliance
RiskTolerance
Market
RiskAppetite
RiskCapacity
Risk, Climate Risk Profile Liquidity Reputation
Climate Risk Profile Credit
Legal
Liquidity Strategic
Insurance
Reputation
Pessimistic
Current Operational Intragroup
Compliance
Risk Tolerance
Risk
Market
Risk Appetite
Risk Capacity
Risk
Intragroup
Risk
Operational
Risk Profile/ Climate Risk Profile Legal
Liquidity Insurance
Loan Portofolio Guideline
Reputation
Legal Insurance
Goals Risk Profile/ Climate Risk Policy Sub sector loan policy
Intragroup
Operational
RKAP ≈
Normal, Loan Portofolio Guideline
ExclusionInsurance
List
Legal Loan Portofolio Guideline
Business-as-
Climate Risk Policy Sub sector loan policy
usual Climate Risk Policy Sub sector loan policy
Credit Exclusion
approval procedure
List
Loan Portofolio Guideline
Climate Risk Review Exclusion List
Climate Risk Policy Financing Review, monitoring, and evaluation
Sub sector loan policy
RAS ≠
Credit approval procedure
Business Credit Exclusion
approval procedure
Climate Risk Review List
Target Climate Risk Review Financing Review, monitoring, and evaluation
Financing Review, monitoring, and evaluation
Credit approval procedure
Climate Risk Review
Financing Review, monitoring, and evaluation
Page 43
Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 43
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Risk Management
Risk Profile Type Climate Risk Type Key Driver Response Activities
Integrating Climate Risks
• Carbon Pricing Engaging with portfolios to encourage the adoption
BRI continuously evaluates the risks and opportunities Policy & Legal • National decarbonization strategies of policy & legal related to carbon pricing, decarbonization
that climate change presents to its business operations. • Climate related disclosure obligation strategies, and climate disclosure
In its climate-related risk management framework, BRI Credit Risk
• Increased market demand for greener products • Giving advice on portfolios to shift into green infrastructure
not only identifies potential threats but also recognizes Market • Changing customer behavior • Developing green banking products and services
• Market demand for green finance
the opportunities that arise from climate-related
transitions. By taking this approach, BRI views climate • Carbon pricing • Actively implementing BRI’s carbon neutrality strategy
change not solely as a crisis but as a transformative Policy & Legal • National decarbonization strategies • Strengthening the application of global standards within
• Climate-related disclosure obligation the climate change response framework
opportunity to drive innovation, new ventures and Compliance Risk
sustainable growth. Market Developing green banking products and services in
Market demand for green finance
accordance with regulations
To effectively assess climate risks and opportunities,
Policy & Legal National decarbonization strategies • Revamping strategies and implementation to meet the
BRI categorizes each risk’s impact and duration, needs of stakeholders
ensuring a structured and timely response. The impact Market Increased market demand for greener products • Securing customer and investor confidence by
Reputation Risk strengthening environmental management
on Business Resilience Initiatives is classified as high, • Disclosing the climate change issues through TCFD
• Risk of loss of trust and confidence in investors
medium, or low, while the duration of each identified Reputation • Opportunity to enhance reputation & brand value
report and SR
risk is categorized as short-term, medium-term, or
long-term. This structured assessment allows BRI to • Expanding lower-carbon technology related investment
Technology Increased demand for lower-carbon technology • Monitoring lower-carbon technology and research trends
prioritize risks based on urgency and tailor responses
accordingly. Market Increased demand for lower-carbon technology Conversion to renewable energy
Operational Risk • Heatwaves • Establishing a Business Continuity Plan (BCP)
Acute • Flooding • Executing mock exercises and emergency evacuation drills
• Tropical cyclones • Developing climate change response strategy according to
• Wildfires the physical risk and chronic scenario analysis
• Temperature rise
Chronic • Sea level rise
• Water stress
•• Increased market demand for greener products • Identify the ESG risks within products and services
Strategic Risk Market •• Changing customer behavior • Revamp the composition of green products and services
•• Market demand for green finance
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Risk Management
Climate Risk Assessment The majority of BRI's operational units, 7,559 work units with a total of 453 branch offices, including
BRI conducts a comprehensive assessment of material climate-related risks by evaluating both the headquarters and two data centers, are located in Indonesia. Given this concentration, BRI’s climate risk
severity of impact and the likelihood of occurrence. This approach enables BRI to determine the level of analysis primarily focuses on its Indonesian operations, where climate-related risks have a significant
risk associated with climate-related factors that are material to its operations. impact on business continuity. In this assessment, physical risks are evaluated under high-emission
scenarios. Meanwhile, transition risks are analyzed under scenarios aligned with a 2°C pathway. In
low-emission scenarios, physical risks are assessed as low. Conversely, in high-emission scenarios,
Severity × Likelihood = Risk level transition risks are considered negligible, as a fossil fuel-driven economy would likely face minimal
policy or market disruptions related to a low carbon transition.
Severity Risk Level per Scenario Risk
The level of impact that directly or indirectly a ects BRI’s operating performance Risks Scenario Description Period
Low Emissions High Emissions Trend
or its nancial condition
Policy and Carbon price High N/A M-L +
Law
National decarbonization strategies High N/A S-M -
Likelihood Climate-related disclosure obligations
Medium N/A S-M -
The frequency of the risk impacting on BRI’s operating performance or its nancial condition
Technology Growing demand for low-carbon
Low N/A M-L +
technologies
Transition
Market
Risk Increased use of renewable energy Low N/A M-L =
Severity
Increasing market demand for more
High environmentally friendly products Low N/A S-M =
Changes in customer behavior
Medium Low Low M-L =
Market demand for green finance Medium Low M-L +
Low Acute Heatwaves Low High M-L =
Flooding Low High M-L +
Likelihood
Tropical cyclones Low Medium S +
Risk Level Description
Physical Forest fires Low Low S =
Risk
A high-risk level refers to risk that is expected to deliver long-term adverse impacts on BRI’s
High operations and business strategies and that may cause changes in business direction or Chronic Temperature rise Low Tinggi L =
strategies
Sea level rise Low Tinggi L =
Medium A medium risk level refers to risk that is expected to deliver a long-term Water pressure
impact on BRI’s operations and business strategies. Low Medium L +
Time Period S Less than 5 Years M 5-10 Years L More than 10 Years
A low risk level refers to risk that is expected to deliver short-term impact on BRI’s
Risk Trend Decreases over time Stay with time Increases over time
Low - = +
on-going monitoring of risk
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Risk Management
Responsible Financing Policy [GRI 201-2] [GRI G4 FS2] [FN-CB-410a.2]
BRI recognizes that its core business activity–lending to customers–can have direct and indirect
environment and social impacts. To address these risks, BRI integrates ESG factor analysis into its credit
assessment process, applying this analysis to all financing applications, including general purposes
financing and project based financing. This approach allows BRI to evaluate potential risks related to
borrowers’' business activities in alignment with sustainability principles, considering their capacity,
commitment, and track record in ESG compliance.
1 Environmental Aspects
To mitigate environmental risks associated with financing, such as biodiversity loss, greenhouse
gas emissions, and natural disaster risks, BRI requires borrowers to provide: environmental licensing
documents, PROPER ratings, green industry standards, waste management practices, GHG
emissions, protection of priority environmental areas, and relevant sector-specific environmental
certifications.
2 Social Aspects
BRI mitigates social risks by assessing borrowers on: governance and management practices,
involvement in forced labor, child exploitation, human rights violations, community relations,
including engagement with local and indigenous communities, labor rights, working conditions,
health,safety policies and workplace compliance.
3 Governance Aspects
BRI adheres to Good Corporate Governance (GCG) principles as part of its regulatory compliance
and risk management framework. Governance risk assessments include screening for involvement
in corruption, bribery, and money laundering incidents.
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Risk Management
BRI’s credit disbursement process is guided by its Loan Portfolio Guidelines (LPG), which apply to all Negative or Exclusion List
financing types, including general purposes financing and project based financing. The LPG establishes BRI is committed to avoiding exposure in certain sectors, including but not limited to:
clear credit requirements, incorporating ESG checklists. ESG factors are also integrated into the Know
l Cultivation and industry of class 1 narcotics such as marijuana, heroin, cocaine, morphine and opium;
Your Customer (KYC) process, which evaluates potential borrowers for any environmental, social, legal,
or litigation-related risks. The findings from this assessment are documented in the Business Analysis l Chemical weapons manufacturing industry;
Memorandum (MAB). Additionally, The LPG framework regulates sector classification (SC), sector l Industrial chemical industry and any chemical industry that destroys the ozone layer;
acceptance criteria (SAC), and sector limits. l Alcohol and malt liquor industry;
Lending Approval Procedure
l Gambling and/or casino operations;
l Trade of protected animals and marine biota;
l Illegal logging; and
Marketing Law and Compliance Risk Management
l Other sectors as regulated by applicable laws and regulations.
Identifying and Compliance Testing Monitoring lending BRI has also adjusted its credit policy to provide financing for the green sector, particularly within the
considering business Reviewing Ensuring lending portfolio[FS2]
feasibility of compliance from decisions comply with framework of Sustainable Business Activities.
prospective debtors prospective debtors applicable internal and
including those external regulations.
related to ESG issues
Lending Analysis Lending Operational
Committee Working Unit
Managing lending by
paying attention to Approval process Supervising and
ESG factors. [FS2] according to checking the
applicable authorities. completeness
[FS2][FS15]
of ESG-related
documents according
to the requirements
provided by the analyst
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Risk Management
Sub-Sector Financing Policy [F.9] [F.10] [GRI G4 FS1] [GRI G4 FS2] [GRI G4 FS3] [FN-CB-410a.2] l Oil and Gas Sector Financing Policy
As part of its commitment to sustainable finance, BRI has adopted an external ESG-based policy, BRI’s financing policy for the oil and gas sector encourages customers to implement energy
integrating ESG risk analysis into its sub-sector financing policies. This approach ensures that BRI’s management practices that align with the criteria for exploitation, procurement, and use of specific
financing activities align with environment conservation efforts, including deforestation prevention, energy types, in accordance with Government Regulation No. 33 of 2023 on energy conservation.
biodiversity protection, and the prevention of human exploitation. These policies apply to both general This policy reinforces BRI’s commitment to promoting energy efficiency within the industry. BRI
purposes financing and project based financing. does not provide financing to the non-conventional oil and gas subsector, which includes tar sands,
shale oil and gas, arctic oil and gas, and ultra-deepwater oil and gas).
BRI has established sub-sector financing policies to regulate the screening of financing for mid-
segment and corporate customers based on environmental, social, and governance (ESG) risks, as well l Coal Sector Financing Policy
as industry-specific risks. The sustainable financing policies are as follows: Through its coal sector financing policy, BRI reaffirms its commitment to sustainable practices by
ensuring that financing is aligned with environmental responsibility. This policy places a strong
emphasis on environmental management, particularly through the fulfillment of post-mining
l Sustainable Palm Oil Sector Financing Policy
guarantees.
The sustainable financing policy for the palm oil sector is governed by SE Number 61-DIR/12/2022,
which applies to medium and corporate segment customers engaged in the palm oil industry. This
policy mandates ESG risks screening process BRI requires borrowers and potential borrowers in the
palm oil sector to hold either Indonesian Sustainable Palm Oil (ISPO) certification or the Roundtable
on Sustainable Palm Oil (RSPO) certification., At a minimum, borrowers must be registered in the
ISPO certification process.
In addition to certification requirements, borrowers must comply with key sustainability and
regulatory standards, including the protection of priority biodiversity areas, greenhouse gas
emissions management, compliance with regulations on the chemical production and use,
sustainable resource management particularly for land and water usage, respect for local
communities and customary rights, labor rights protections, the implementation of robust
occupational health and safety (OHS) procedures, and adherence to additional sustainability
requirements as outlined in the policy.
l Sustainable Pulp and Paper Sector Financing Policy
The sustainable financing policy for the pulp and paper sector is governed by SE Number 61-
DIR/12/2022, applicable to medium and corporate segment customers engaged in the paper
and pulp industry. This policy promotes the adoption of green industry principles, ensuring that
wood raw materials are sourced legally, as evidenced by certification such as wood legality
verification (SVLK/FSC/HCV/HCS/IFCC). Additionally, borrowers must develop and implement
waste and greenhouse gas emissions management plans and programs (AMDAL and UKL/UPL),
establish clear standard operating procedures (SOPs) for raw material suppliers, respect for local
community rights, ensure responsible utilization of by-product resources, and adhere to additional
sustainability requirements outlined in the policy.
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Risk Management
Beyond specific sector policies, BRI considers and regularly reviews customers’ PROPER ratings. borrower ESG compliance records. All monitoring findings are recorded in the Customer Visit Report,
PROPER, a program by the Indonesia’s Ministry of Environment and Forestry (KLHK), evaluates with evaluation results serving as a basis for reviewing future financing decisions. Where necessary,
corporate environmental management performance. This assessment is particularly relevant BRI implements portfolio management strategies, regulatory compliance measures, and tailored risk
for industries with significant environmental impact, such as textiles and apparel, and is applied mitigation approaches to address ESG-related challenges.
specifically to the corporate segment. The PROPER rating system categorizes companies based on The outcomes of these periodic reviews are communicated through BRI's internal channels, while
their environmental performance: Gold, Green, and Blue. Gold rating is for companies that exceed financing distribution is reported annually in accordance with the bank’s sustainability framework.
environmental compliance standards while actively engaging in sustainable community development. The annual report provides transparency on qualifying assets, categorized by project type, along
The Green rating is for companies that demonstrate environmental management above regulatory with details on undisbursed balance. BRI has yet to conduct specific audits on the implementation of
requirements, incorporating advanced management systems. The Blue rating is for companies that environmental and social policies in the credit granting.
comply with KLHK environmental management standards.
Since 2015, BRI has ensured that credit provision to plantation and forestry sector customers is fully
aligned with the Government's Land Opening Moratorium. As a result, BRI consistently informs
all customers in these sectors that financing cannot be used for new land expansion. To maintain
compliance, relevant divisions continuously monitor credit usage. In cases of non-compliance, BRI
actively communicates with customers to address and resolve any violations.
Sustainability-Linked Loan [F.26]
As part of its commitment to supporting customers in adopting ESG principles, BRI has introduced a
Sustainability-Linked Loan (SLL)-- a specialized financing policy designed for customers committed
to integrating sustainability into their business operations. The SLL framework provides financial
incentives for customers who successfully meet the sustainability KPI targets. Conversely, disincentives
apply to customers who fail to achieve these KPIs. The SLL serves as a strategic platform for BRI to
communicate its ESG initiatives and progress to stakeholders.
Financing Review [F.23] [GRI G4 FS3]
BRI maintains a rigorous review process for every project that receives financing. In accordance with
the Board of Directors’ Decree on the Bank’s General Credit Policy (KPB), BRI supervises borrowers
by reviewing submitted credit documents and conducting routine monitoring and evaluation at least
once a year. One of the key oversight mechanisms includes on-site visits, enabling direct assessment
of a project’s adherence to ESG commitment. Furthermore, if a customer’s PROPER rating drops from
Blue to Red or Black, BRI initiates special monitoring and correspondence to support efforts in restoring
compliance
If a borrower fails to meet ESG criteria, BRI takes proactive measures by requesting additional
information and conducting regular follow-ups. Observations and the data collection regarding
warnings, violations, or ESG-related concerns are documented, ensuring progressive updates to
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Risk Management
Operational Risk Management Process – Related to Climate Change Climate Risk Management Framework in Sustainable Finance
BRI’s operational risk management process is conducted in accordance with the governance framework Business Continuity Plan (BCP) Implementation.
outlined in its operational risk management framework. BRI utilizes comprehensive risk management
Assessment of Risk and Control Self-Assessment (RCSA)
tools that align with both regulatory expectations and global standards. The measurement and
Qualitative and predictive risk management tool used to identify and
calculation of operational risks are carried out through the following structured activities: measure risk (including climate change related risk) based on the dimensions of
impact and likelihood
01 Business Impact Analysis (BIA)
Assessment of Risk Management Adequacy
of New Bank Products
01 BIA to assess the impact of business activities/
Business Impact Analysis (BIA) The application of the risk management process for each New Bank Products
processes in the event of a disruption/disaster issuance plan at BRI is carried out by considering climate change issues
01 BIA to assess
Business the impact
Impact of business
Analysis (BIA)activities/
processes in the event of a disruption/disaster
01 BIA to assess
Business the impact
Impact of business
Analysis (BIA)activities/
BIA to assess the impact of business02
processes in the event of a disruption/disaster
Determination Strategy Recovery
activities/ Recording Operational Risk Losses
processes in the event of a disruption/disaster in the Loss Event Database (LED)
02 Determination Strategy Recovery
From the results of the BIA, a Recovery Strategy
is determined to achieve the predetermined LED BRI includes the process of recording data on loss events due to climate
02 Determination
From(Recovery
RTO the resultsTime
of the BIA, a Recovery
Objective)
Strategy target Strategy
Recovery
change, both nancial and non- nancial, which include actual losses, potential
is determined to achieve the predetermined losses including corrective actions, and incident handling
02 Determination
From(Recovery
RTO the resultsTime
of the BIA, a Recovery
Objective)
Strategy target Strategy
Recovery
is determined to achieve the predetermined
03 Development Business ContinuityRTO From(Recovery
the resultsTime
of the BIA, a Recovery
Objective) target Strategy
Procedure is determined to achieve the predetermined Key Risk Indicator Monitoring (KRI)
03 Development Business
Develop BCP procedures toContinuity
determine ,RTO (Recovery Time Objective) target KRI is a Risk Management tool in the form of a quantitative indicator that
03 Procedure
structure format and components that need could provide early information on increasing or decreasing risk and/or
Development
Develop Business
BCP procedures toContinuity
determine ,
to be included in BCP decreasing the e ectiveness of controls against predetermined thresholds
03 Procedure
structure format and components that need
Development
Develop Business
BCP procedures toContinuity
determine ,
to be included in BCP
Procedure
structure format and components04that need
Develop BCP procedures to determine ,
Socialization and Trials
to be included in BCP To ensure that BCP implementation can be Risk Assessment Plan
structure format and components04that need
Socialization andsocialization
Trials
to be included in BCP carried out properly, & trial Risk strategy preparation activities carried out by Regional Risk Management
To ensuremust
04 Socialization
activities that be
BCP implementation
routinely can be
carried out with the output being a list of main risks, work unit priorities based on risks due to
andsocialization
carried out properly, Trials & trial climate change, and risk control activity plans
04 Socialization
To ensuremust
activities that be
BCP implementation
routinely
and Trials
can be
carried out
carried out properly, socialization & trial
To ensuremust
activities that be
BCP implementation
routinely can be
carried out Disaster Threat Risk Assessment
carried out properly, socialization & trial BRI implements a Disaster reat Risk Assessment as an implementation of Business
activities must be routinely carried out Continuity Management (BCM) to protect the security and safety of employee lives,
protect the lives of customers and other stakeholders within BRI's operational work units
(disaster management plan), as well as maintain the continuity of business/operational
activities, which most importantly, maintain BRI assets and have an adequate response
in situations of natural disturbances/disasters due to climate change (Business Continuity
Plan (BCP)
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 50
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Risk Management
Physical Climate Risk Adaptation
Based on the findings of the Climate Change Scenario Analysis (CCSA), BRI is implementing adaptive
strategies to mitigate the potential impacts of physical climate risks. The key adaptation steps include:
1 Transfer of Physical Risks to Insurance: BRI will explore risk transfer mechanisms by engaging with
insurance providers to cover climate-related damages and losses. This approach helps offset the
financial burden associated with extreme weather events and natural disasters.
2 Optimization of Risk and Threat Assessment: To safeguard business operations from physical risks,
BRI will enhance its risk and threat assessment processes. This includes continuous monitoring
of weather patterns, proactive allocation of protective tools, and deployment of emergency
equipment to minimize potential disruptions before climate-related disasters occur.
3 Asset Relocation Strategies: BRI will evaluate the relocation of assets situated in high-risk areas,
including locations prone to flooding, extreme weather events, and other climate-related hazards.
The relocation process will involve comprehensive risk assessments and feasibility studies to ensure
that new locations offer a safer and more resilient environment for BRI’s assets.
By implementing these adaptation strategies, BRI aims to enhance its physical resilience to climate
change, protect critical assets, and maintain business continuity. These proactive measures reinforce
BRI's commitment to sustainable business practices and effective climate risk management, ensuring
long-term operational stability in an evolving environmental landscape.
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Metric and Target
What Gets Measured, Gets Managed [FN-CB-410b.4] BRI is the first company in Indonesia to join the Partnership for Carbon Accounting Financials (PCAF)
Effective measurement is a fundamental aspect of continuous improvement. Without quantifying and has adopted the PCAF methodology to measure and disclose financed emissions. The PCAF
performance, it becomes challenging to assess progress or determine whether targeted sustainability framework, developed based on the Greenhouse Gas Protocol, serves as the global standard for
goals are being achieved. By consistently measuring and managing performance over time, the bank greenhouse gas emissions accounting, ensuring consistency, transparency, and validation in emissions
can leverage data-driven decision-making to enhance operational efficiency and sustainability impact. reporting. Furthermore, BRI adheres to the Science-Based Targets Initiative (SBTi) coverage
BRI applies a comprehensive emissions measurement framework, tracking both Scope 1 & 2 emissions requirements for measuring financed emissions by asset type, including corporate loans, power
and Scope 3 emissions. Scope 1 & 2 emissions originate from operational activities. Scope 3 emissions generation project financing, commercial real estate, listed equity, and bonds.
consist of financed emissions resulting from investment and lending activities, which represent the
largest share of BRI’s total greenhouse gas emissions.
BRI Financed Emission Measurement Approach Scope 1 & 2 (Operational Emissions)
492,370
486,352
Scope 1
Scope 2 BRI's Greenhouse Gas (GHG) emission management strategy refers to ISO 14064 with a
470,508
calculation methodology based on the Intergovernmental Panel on Climate Change
Guidelines (IPCC) from 2006, which was updated in 2019. BRI's emission calculations
355,742
360,135
Decrease 42% takes into account financial and operational controls. The calculated gas is CO2, with a
346,353
Global Warming Potential (GWP) value of 1 (CO2 equivalent). [3-3] [305-1] [305-2] [305-3] [305-5]
BRI has set a target to reduce Scope 1 & 2 emissions by 42% by the year 2030, with the
goal of achieving Net Zero Emission (NZE) in operations by 2050.
Choosing a
fixed point in Measure of Calculate BRI’s
132,235
Calculate BRI’s
130,610
124,155
time for company-level portfolio’s
share of Target
Emission in ton CO2e 2022 2023 2024 Decrease 2023-2024
measurement, or project-level absolute Net Zero
emissions Scope 1 132,235 130,610 124,155 4.94%
and sector GHG emissions emissions 2022 2023 2024 2030 2050
mapping Base Year Short Term Target Scope 2 360,135 355,742 346,353 2.64%
Note:
• Scope 2 emission factors: Directorate General of Electricity, Ministry of Energy and Mineral Resources (DJK-ESDM) in 2019
• Fuel emission factor: Oil and Gas Institute (Lemigas) Energy and Mineral Resources in 2021.
• Other emission sources use emission factors agreed by the IPCC.
• Ozone depleting substances (ODS), biogenic emissions, NOx, SOx, VOC (volatile organic compound gas), PM (particulate matter), and other significant gases contributing to air emissions have not been considered in this calculation.
[305-1] [305-2] [305-3] [305-5] [305-6] [305-7]
Scope 3 (Financed Emissions)
Since 2022, BRI has been measuring Scope 3 financed emissions attributable to financing and investments. The measurement scope is focused on
activities required by the SBTi (Science-Based Targets initiative). BRI's financing for 2023 is estimated to reach 10,434,550 million tons of CO2e. BRI
has disclosed the physical emissions intensity for asset classes and sectors with available Sectoral Decarbonization Approach (SDA) pathways from
SBTi. BRI plans to measure and report progress annually and expand the scope coverage as methodologies become available. [3-3] [305-3] [304-5] [305-5]
2022 2023
11,222,829 Category
Emission (tons of CO2e) Emission (tons of CO2e)
Asset class
Bond investment 437,036 460,841
Business loans 6,776,501 6,358,055
10,434,550
Listed equity 381 881
Electricity generation project finance 3,872,508 3,504,669
Commercial real estate 136,403 110,104
Emissions in CO2e
2022 2023 Total 11,222,829 10,434,550
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Metric and Target Consequently, the pace at which each sector can achieve net-zero emissions differs, requiring tailored
strategies to ensure effective emissions reductions.
Target Setting Methodology [FN-CB-410b.4] A comprehensive understanding of sector-specific emission sources enables BRI to develop targeted
A key indicator of BRI’s dedication to climate change mitigation is its firm commitment to achieving and efficient mitigation solutions. This strategic approach ensures that emission reduction efforts are
Net Zero Emissions. In 2023, BRI became the first financial institution in Indonesia to commit to Net both impactful and feasible, allowing BRI to contribute meaningfully to global climate action. By aligning
Zero Emissions by 2050, aligning its targets with the Science Based Targets initiative (SBTi) standards. its strategies with the SBTi guidelines for financial institutions, BRI enhances its ability to support the
Further strengthening this commitment, in 2024, BRI became the first financial services institution in transition to a low-carbon economy. The following outlines the SDA approach adopted by BRI:
Indonesia to receive validation for its short-term Net Zero Emissions methodology, setting a 2030 near Paper & Pulp, Commercial Real Estate, Power Generation,
Target
term target as part of its pathway to achieving carbon neutrality by 2050. and Power Generation Project Finance
BRI has established Scope 3 emission reduction targets in accordance with SBTi criteria for Scope 3 Base Year 2022
Portfolio Targets as follows. Calculating Baseline Emission Select
Intensity to Establish SDA Targets Measure GHG Calculate
Calculate financial decarbonization
l FI-C15 - Requirements for Setting Targets on Investment and Financing Activities emissions
institution’s share emission pathway and set
per loan and intensity
of emissions an emissionbased
All financial institutions must set targets for their investment and financing activities in accordance investment
SBT
with the requirements of FI-C16, regardless of the portion of Scope 3 portfolio emissions measured
against total emissions or Scope 1, 2, and 3 emissions of the financial institution. Financial institutions Establishment of Carbon Neutrality Targets Setting targets and reduction pathways based on scenarios below 2oC
may choose from applicable methods for setting targets based on asset classes.
l FI-C16 - Portfolio Target Limits Temperature Rating Method (TRA)
Financial institutions must set targets for all “Required Activities” in the Required Activities and In addition to the sector-specific SDA, BRI employs the Temperature Rating Method (TRA) to set
Methods Table, adhering to the minimum coverage requirements. emission reduction targets within its corporate financing portfolio. The TRA evaluates the extent to
As part of its sustainable business strategy, BRI has developed a methodology for setting emission which companies have adopted carbon reduction targets that align with scientifically global warming
reduction targets, considering the following key factors. threshold.
l Contribution to greenhouse gas emissions: BRI uses internationally recognized methodologies, The TRA assigns a temperature rating, linking carbon emission reduction targets to projected global
including the Greenhouse Gas Protocol, to measure and quantify emissions. temperature rise, providing an intuitive perspective on the impact of a company's strategy on climate
change. A higher emission reduction target results in a lower temperature score, which in turn reduces
l Emissions reduction strategies: BRI formulates various strategies to reduce emissions, both directly
the temperature rating of BRI's asset portfolio. Using this methodology, BRI formulates greenhouse
and indirectly.
gas emission reduction targets based on scientific benchmark:
l Alignment with National and global climate goals: BRI ensures its targets are aligned with national
and international emission reduction commitments, including Indonesia’s Nationally Determined
Contributions (NDC) and the Paris Agreement. 01 02 03
By integrating these factors, BRI measures and sets carbon emission reduction targets using the SBTi Target protocol: Company protocol: Portfolio protocol:
methodology, specifically applying the Sectoral Decarbonization Approach (SDA) and Temperature mapping target ambition identify, filter, and aggregate aggregation of multiple
levels to temperature multiple target scores into company scores into one
Ratings Approach (TRA). outcome one company score portfolio score
Sectoral Decarbonization Approach (SDA)
BRI establishes emission reduction targets for each industry sector based on the Sectoral To establish greenhouse gas (GHG) emission reduction targets using the TRA Methodology, BRI
Decarbonization Approach (SDA), a methodology that prioritizes carbon intensity as a key metric in categorizes sectors within its loan, bond, and listed equity portfolios and sets carbon reduction
setting reduction goals. This approach acknowledges that different economic sectors contribute to targets based on their respective temperature ratings. BRI is committed to progressively lowering
greenhouse gas emissions at varying levels, resulting in sector-specific decarbonization trajectories. the temperature score of its portfolio, aligning with its 2040 climate targets. BRI aims to achieve a
temperature rating of 1.75°C for Scope 1 & 2 emissions and 2.0°C for Scope 1, 2, and 3 emissions.
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Metric and Target
Our Achievement Target and Pathway of Reduction for Each Industrial Sector Based on SDA
Calculation of the Sectoral Decarbonization Approach (SDA) [FN-
CB-410b.1] [FN-CB-410b.2]
As part of its commitment to achieving net zero emissions by 2050, BRI Pulp & Paper Commercial Real Estate
has conducted carbon intensity assessments of its financed emissions,
establishing sector-specific targets and decarbonization pathways.
Using 2022 as the base year, BRI has set clear reduction targets for key 1.075 0.123 0.117
0.959 0.101
industrial sectors, including pulp & paper, commercial real estate, power 0.870 Reduction
Reduction
plants, and project finance for power plants. Overall, in 2024, there 33%
46.40%
was a decline in emission intensity across the sectors financed by BRI Reduction
compared to 2023. This reduction was driven by our efforts to expand Reduction
71.60%
our renewable energy portfolio. BRI remains steadfast in its role as a
80.80%
catalyst for sustainable economic transition.
0% 0%
2022 2023 2024 2030 2040 2050 2022 2023 2024 2030 2040 2050
Unit: metric tons CO₂e/metric ton of paper and pulp produced) Unit: metric tons CO₂e/m2
Power Generation Project Finance Power Generation
0.858
0.846
0.548 0.545 0.816
0.530 Reduction
Reduction
40.80% 40.61%
Reduction Reduction
81% 80.60%
0% 0%
2022 2023 2024 2030 2040 2050 2022 2023 2024 2030 2040 2050
(Unit: metric tons CO₂e/electricity and heat produced in MWh) (Unit: metric tons CO₂e/electricity and heat produced in MWh)
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Metric and Target
Calculation of Temperature Ratings Method (TRA) [FN-CB-410b.1] [FN-CB-410b.3]
In setting emissions reduction targets for portfolio segments that do not follow the Sectoral BRI's commitment extends beyond target setting—it includes ongoing monitoring and evaluation
Decarbonization Approach (SDA), BRI applies the Temperature Ratings Methodology (TRA) to establish to align with scientific advancements and evolving climate policies. The bank remains proactive in
and manage its decarbonization strategy. By 2024, BRI observed a declining trend in temperature engaging with stakeholders, fostering open dialogue and transparency regarding its climate action
ratings for its loan portfolio compared to the 2023 baseline year. To achieve its future emission reduction progress, challenges, and positive contributions to global emission reduction efforts.
targets, BRI has outlined concrete action plans, including increasing investments in renewable energy
projects, and collaborating with debtors to accelerate the adoption of environmentally sustainable
business practices.
The Formulation of GHG Emission Reduction Targets Using the Temperature Ratings Methodology
Loan Portfolio Bond & Listed Equity
Scope 1, 2 Scope 1, 2, 3 Scope 1, 2 Scope 1, 2, 3
Annual decline rate (⁰C/year) 0,0783 Annual decline rate (⁰C/year) 0,0656 Annual decline rate (⁰C/year) 0,0756 Annual decline rate (⁰C/year) 0,0661
3,5 3,5 3,5 3,5
3.16oC 3.14oC 3.18oC 3.18oC 3.11oC 3.09oC 3.19oC 3.18oC 3.01oC
3.09oC 3.16oC 2.97oC
3 2.77oC 3 2.85 oC 3 2.73 oC 3 2.86 oC
2,5 2,5 2,5 2,5
2oC 1.75oC 2oC
2 1.75oC 2 2 2
1,5 1,5 1,5 1,5
1 1 1 1
0,5 0,5 0,5 0,5
2022 2023 2024 2027 2040 2022 2023 2024 2027 2040 2022 2023 2024 2027 2040 2022 2023 2024 2027 2040
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Metric and Target
Sustainable Business Activities Sustainable Funding Portfolio [B.1d] [FS7] [FS8] [F.3] [F.26]
BRI reaffirms its commitment to sustainable development by integrating sustainable financing To enhance the implementation of ESG from the funding side, BRI has carried out sustainable funding
activities into its business strategy, encompassing both sustainable lending and ESG-based bond activities by issuing a series of ESG-based bonds and loans as follows:
investments. Sustainable lending includes financing for micro, small, and medium enterprises (MSMEs)
as well as credit for green sectors. In addition to providing sustainable loans, BRI also allocates capital ESG-based Bond
to sustainable financing through bond investments, with a particular focus on ESG-based corporate
BRI has successfully issued a series of ESG-based bonds. The ESG-based Bond portfolio of BRI as of
bonds.
2024 is as follows:.
Sustainable Financing Portfolio [B.1d] [FS7] [FS8] [F.3] [F.26] [GRI G4 FS7] [GRI G4 FS8]
With a strong commitment to pioneering ESG principles, BRI successfully allocated 64.30% of its total ESG-based Wholesale Funding
loans and corporate bond investments in 2024 to Sustainable Banking Business Activities. This portfolio
encompasses both Sustainable Lending and ESG-based Corporate Bond Investments. Sustainable IDR 44.83 Trillion
60.22% from total wholesale funding
Lending includes financing for micro, small, and medium enterprises (MSMEs) as well as credit for the
Green Sector.
Sustainable Financing Activities
IDR 789.63 Trillion
64.30% Sustainability-Linked Loan Green Bond
from BRI’s total corporate lending and bond investment
ESG-based Corporate
IDR 12.88 Trillion IDR 9.65 Trillion
Sustainable Lending Bond Investment
17.30% from total wholesale funding 12.96% from total wholesale funding
IDR 785.22 Trillion IDR 4.41 Trillion
64.58% 36.05% Inclusive Based Securities ESG-Based Repo Social Loan
from BRI's total lending from BRI’s total corporate bond investment
Green Sector
IDR 3.50 Trillion IDR 5.93 Trillion IDR 12.88 Trillion
MSME Sektor Hijau 4.70% from total wholesale funding 7.96% from total wholesale funding 17.30% from total wholesale funding
IDR 698.66 Trillion IDR 86.56 Trillion
7.12%
57.45% from BRI's total lending
from BRI’s total lending
Environmentally Friendly Eco-efficient Green Bond BRI
Renewable Energy
Transportation Products
BRI has demonstrated its commitment to sustainable finance by issuing green bonds in compliance
IDR 6.34 Trillion IDR 3.61 Trillion IDR 8.07 Trillion with POJK No. 60/POJK.04/2017 on the Issuance and Requirements for Environmentally Conscious
Management of Biological Natural
Debt Securities (Green Bond) and in accordance with the BRI Green Bond Framework. The allocation of
Environmentally Friendly Buildings
Resources and Sustainable Land Use proceeds follows a structured approach, with a minimum of 70% dedicated to financing Environmentally
IDR 64.68 Trillion IDR 0.29 Trillion Sustainable General Activities (KUBL) and up to 30% allocated for other general activities, including
micro-sector, healthcare, and social initiatives.
Other Environmentally Friendly
Business Activities (EFBA)
Pollution Prevention & Control BRI conducts a rigorous selection and evaluation process, reinforcing its commitment to environmentally
IDR 3.06 Trillion IDR 0.51 Trillion and socially responsible financing. In 2022, BRI issued its Phase I Green Bond with a total issuance value
of IDR 5 trillion, receiving an oversubscription rate of 4.4 times.
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Metric and Target
Building on this success, in 2023, BRI launched the Phase II Green Bond, raising IDR 6 trillion, with an Inclusivity-based Securities
oversubscription rate of 2.63 times. This issuance was divided into three series: Series A (370 days) BRI has successfully raised funds aligned with environmental, social, and governance (ESG) principles
with a coupon rate of 6.10%, Series B (2 years) with a coupon rate of 6.35%, and Series C (3 years) with through the issuance of inclusivity-based securities (Inclusivity-based Securities). The proceeds from
a coupon rate of 6.30%. In 2024, BRI issued the Phase III Green Bond, raising IDR 2.5 trillion, with an these securities are allocated to finance small and medium-sized enterprises (SMEs), corporate SMEs,
oversubscription rate of 1.64 times. Similar to the previous issuance, this bond was structured into three and low-income communities.
series: Series A (370 days) with a coupon rate of 6.15%, Series B (2 years) with a coupon rate of 6.25%,
and Series C (3 years) with a coupon rate of 6.25%.
Medium Term Notes BRI 2022
Green Bonds Listing[1] Maturity Value Coupon
In November 2022, BRI issued Medium-Term Notes (MTN) as part of its commitment to sustainable
Phase I Series A* July 21, 2022 July 30, 2023 IDR 2.50 Trillion 3.70%
finance. The proceeds from this issuance were fully allocated to inclusive financing, in compliance with
Phase I Series B July 21, 2022 July 20, 2025 IDR 2.00 Trillion 5.75% Bank Indonesia Regulation No. 23/13/PBI/2021 on the Macroprudential Inclusive Financing Ratio for
Phase I Series C July 21, 2022 July 20, 2027 IDR 0.50 Trillion 6.45% Conventional Commercial Banks, Islamic Commercial Banks, and Islamic Business Units. The regulation
mandates financial institutions to enhance access to Micro, Small, and Medium Enterprises (MSMEs),
Phase II Series A* October 13, 2023 October 22, 2024 IDR 1.35 Trillion 6.10%
MSME CoIDRorations, and/or Low-Income Individuals (PBR). The financing was provided in both
Phase II Series B October 13, 2023 October 12, 2025 IDR 4.15 Trillion 6.35%
Indonesian Rupiah and foreign currencies.
Phase II Series C October 13, 2023 October 12, 2026 IDR 0.50 Trillion 6.30%
As part of this initiative, BRI issued Bank BRI Medium-Term Notes Phase I 2022 with a total issuance
Phase III Series A March 20, 2024 March 30, 2025 IDR 1.23 Trillion 6.15% value of IDR 5 trillion, fully allocated to micro-segment financing. This issuance was structured into two
Phase III Series B March 20, 2024 March 20, 2026 IDR 0.88 Trillion 6.25% series: Series A with a 2-year tenor and a 6.60% coupon rate, and Series B with a 3-year tenor and a
6.98% coupon rate.
Phase III Series C March 20, 2024 March 20, 2027 IDR 0.38 Trillion 6.25%
MTN BRI 2022 Recording Date Due date Value Coupon
*) overdue
*) matured
Seri A November 24, 2022 November 24, 2024 IDR 2.00 trillion 6.60%
Seri B November 24, 2022 November 24, 2025 IDR 3.00 trillion 6.98%
Sustainability-linked Loan
On August 30, 2022, BRI successfully secured a syndicated loan in the form of SLL from a consortium of
domestic and international banks amounting to one billion United States Dollars (USD 1,000,000,000).
The facility was facilitated by the PT Bank HSBC Indonesia as the Facility Agent and coordinated by
UOB. The loan withdrawals were executed in three tranches, each with distinct terms and maturities:
1 Facility A: A total of to USD 200,000,000, fully disbursed from 10 (ten) banks, with a Compound
SOFR interest rate and a 12- (twelve) month loan term starting from September 15, 2022, maturing
on September 15, 2023.
2 Facility B: A total of USD 300,000,000, fully disbursed from 9 (nine) banks, with a Compound SOFR
interest rate and a 36 (thirty-six) month loan term starting from September 15, 2022, maturing on
September 15, 2025.
3 Facility C: A total of to USD 500,000,000, fully disbursed from 11 (eleven) banks, with a Compound
SOFR interest rate and a 48 (forty-eight) month loan term starting from September 15, 2022,
maturing on September 15, 2026
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 57
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Metric and Target
Social Loan Internal Commitment to Sustainable Finance
On June 27, 2024, BRI successfully secured a Social Loan with a total facility of USD 800 million. The To ensure the achievement of sustainable finance targets, BRI continuously enhances its organizational
proceeds from this loan are allocated to finance or refinance, either in whole or in part, Social Projects and workforce capacity through a range of strategic initiatives. These efforts include training programs
in accordance with the established framework. for management and employees on sustainable finance principles, regular updates to procedures
and policies in alignment with the latest regulatory frameworks, and collaborations with multilateral
financial organizations. Additionally, BRI leverages financial technology and innovation to measure and
Sustainability Bond 2019
disclose sustainable finance performance and achievements.
In March 2019, BRI made history by issuing Indonesia’s first-ever Sustainability Bond. As the
The integration of climate-related risks into BRI's risk management frameworks underscores its
largest sustainability bond offering in Southeast Asia, this milestone highlights BRI’s leadership in
commitment to responsible banking and sustainable finance. By effectively managing climate risks, BRI
environmentally and socially responsible financing. The issuance was structured in accordance with
aims to enhance business resilience, safeguard stakeholder interests, and contribute to global climate
the ASEAN Sustainability Bond Standards (ASEAN SUS), with a nominal value of USD 500 million, and
change mitigation efforts. These continuous advancements reflect BRI’s dedication to strengthening
matured in March 2024.
its risk management framework and maintaining its leadership in sustainable banking practices.
BRI Subordinated Bond IV 2023
In July 2023, BRI issued Subordinated Bond IV as part of its strategy to meet supplementary capital
requirements while reinforcing its vision of becoming the Champion of Financial Inclusion. The
proceeds from this issuance were fully allocated to inclusive financing, in alignment with Bank Indonesia
Regulation No. 23/13/PBI/2021.
BRI issued Subordinated Bond IV with total issuance value of IDR 500 billion, recording an
oversubscription rate of 1.77 times. The bond has a 5-year tenor with a coupon rate of 6.45%.
Subordinated Bonds IV Recording Date Due Date Value BRI Coupon 2023
Seri A July 6, 2023 July 6, 2028 IDR 500 6.45%
Billion
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Customer Service Excellence
BRI fosters customer trust and satisfaction through strong internal controls, the development of well-structured and tailored products, transparent information
dissemination, and responsible product marketing.These initiatives not only protect BRI’s banking interests but also safeguard the financial well-being of its customers.
By prioritizing transparency, security, and public confidence, BRI aims to drive sustainable growth in deposits and loans while reinforcing the integrity of financial markets.
Through these comprehensive measures, BRI remains committed to delivering a secure, seamless, and sustainable banking experience for its customers.
Four Pillars of IFRS Sustainability Disclosure Standards
Governance Strategy Risk Management Metric dan Target
Internal Control Identification of Key Opportunities and Risks Operational Excellence Board Performance Indicators Related
Management to Monitoring Customer Service
Product Development Governance through Handling of Customer Complaints
Excellence
the Product Committee Customer Privacy Protection
Approaches to Product Design, Service Management Customer Satisfaction Assessment
Customer Protection and Satisfaction Policy Delivery, and Service Culture
Responsible Credit Procedure Management
Strategy
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Governance
Effective governance in the banking sector is instrumental in enhancing customer satisfaction, as The Product Committee, operating under the Board of Directors, plays a pivotal role in overseeing the
it directly impacts customer engagement and contributes to the growth of deposits and loans. BRI management of customer trust and satisfaction. This committee is responsible for making decisions on
recognizes the importance of governance in ensuring accountability, transparency, and the alignment product planning proposals, product monitoring and evaluation, product discontinuation, and providing
of customer satisfaction with the bank’s broader strategic objectives. input and recommendations on product strategy. In carrying out its duties, the Product Committee
adheres to the Board of Directors Decree NOKEP: 99-DIR/PPM/01/2024 on the Product Committee
of PT Bank Rakyat Indonesia (Persero) Tbk., which regulates its organization, functions, and working
Internal Control
procedures.
Internal control is reinforced by enhancing the oversight role at the Board of Directors level. This
Committee Level 1, led by the Vice President Director, manages highly complex products, while
includes the active involvement of the Vice President Director and the Finance Director in the Product
Committee Level 2, led by the Director of Finance, oversees products of moderate complexity.
Committee to oversee initiatives and improvements, as well as the Retail, Funding & Distribution
Director, who is responsible for overseeing the management of feedback and operational practices.
These measures ensure that service practices remain compliant with regulatory requirements and Customer Protection and Satisfaction Policy [F.17]
industry standards.
BRI upholds responsible marketing practices and safeguards the interests of both the bank and its
customers by adhering to Board of Directors Circular Letter SE.21-DIR/SCC/08/2024 on Customer
Product Development Governance through the Product Committee Protection and SO.95.a-SCC/12/2022 on Standard Operating Procedure for the First Amendment
of Operational Work Unit. These directives establish comprehensive strategies for delivering an
exceptional customer experience, outlining clear market conduct guidelines—particularly in ensuring
President Director transparency and disclosure in product agreements—and defining governance standards for BRI
product agreements to protect both banking operations and customers' financial interests. Additionally,
they provide operational guidelines for Work Units to enhance financial literacy and promote financial
inclusion.
High Complexity Moderate Complexity
BRI ensures that all product marketing activities are conducted transparently, ethically, and in
compliance with regulations. Official logos and licenses from Bank Indonesia (BI) and the Financial
Tier 1 Committee Tier 2 Committee Services Authority (OJK) are prominently displayed. Product offerings are clearly communicated,
Vice President Director Director of Finance tailored to individual customer needs, and conducted exclusively through personal communication with
prior customer consent. BRI also upholds full disclosure of potential conflicts of interest and guarantees
customers' freedom to choose products without coercion.
This policy framework aligns with key consumer protection principles, including transparency, fair
Customer satisfaction is closely tied to perceptions of convenience, security, and trust in banking treatment, reliability, confidentiality, and data security. Additionally, BRI ensures that customer
services. This principle is embedded in BRI’s Customer Excellence governance policy, which is complaints and dispute resolution are handled efficiently, fairly, and cost-effectively, in accordance with
operationalized through the establishment of the Product Committee, as stipulated in Director's the Financial Services Authority Regulation Number 22 of 2023 on Consumer and Public Protection in
Decree Number 99-DIR/PPM/02/2024. the Financial Services Sector. Through these steps, BRI continues to strive in creating a safe, convenient
and sustainable transaction experience for customers.
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Strategy
In conducting its operational and banking business activities while striving for excellence in customer satisfaction, and adopting a customer-centric approach in product design, service delivery, and service
experience, BRI proactively develops strategies by identifying risks and opportunities related to culture.
customer service and satisfaction. This approach is essential to ensuring a positive service experience
for every customer, fostering awareness, capability, financial independence, and enabling customers
to protect themselves from potential risks associated with financial products. Additionally, it helps
Identification of Key Opportunities and Risks
mitigate misunderstandings and prevent conflicts in the future. The main opportunities for enhancing customer protection and satisfaction stem from analyzing
customer behavior, leveraging innovation and advancing digital technology. Conversely, the key risks
To effectively manage both opportunities and risks, BRI implements a comprehensive strategy that
associated with these efforts include reputational risk, compliance risk, and market risk.
includes identifying key risks and opportunities, strengthening internal controls to enhance customer
Key Opportunities and Risks Potential Impact Short Term Medium Term Long Term
Enhanced customer satisfaction and experience Increase market share and customer confidence ✔
through effective customer complaint management
Strengthened company image, reputation and value ✔
Opportunities Service enhancement through product innovation and Improved product and service security and operational ✔
digital technology efficiency
Expansion of the customer base through inclusive Increased customer base
service delivery and responsible marketing ✔
Operational risk due to inefficiencies such as system Loss of customers, reduced transaction volumes, and ✔
downtime, long queue times, and unfriendliness when declining revenue.
serving customers
Regulatory risk related to products not relevant to the Financial losses for customers and a decline in trust in ✔
market and not in accordance with regulations the Bank and the broader financial sector
Risks Reputational risk for unfair marketing of products, Financial and reputational losses due to regulatory ✔
breach of advertising and product promotion terms, fines and decreased public confidence
invasion of privacy
Reputational risk of customer dissatisfaction due to A decline in deposits, loans, and overall customer ✔
delay in implementing retention strategy engagement
The short term covers 1-5 years, the medium term spans 5-10 years, and the long term extends beyond 10 years.
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Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Strategy Approaches to Product Design, Service Delivery, and Service Culture [GRI
3-3] [GRI G4 FS15]
Handling of Customer Complaints To strengthen customer trust and satisfaction, BRI continuously enhances service workflows and
BRI remains committed to protecting the needs and interests of its customers while effectively procedures, streamlining processes to improve efficiency and simplify customer interactions. A
managing customer feedback, including responses and complaints. customer-centric approach is at the core of product design, ensuring that offerings align with customer
BRI provides multiple comprehensive channels for receiving and handling complaints through its needs. BRI also leverages digital technology, including AI-powered chatbot (Sabrina), the BRImo
Contact Center Services (Contact BRI) and extensive branch network, including Branch Offices, Sub- application, and CRM systems, to enhance service quality and responsiveness. Additionally, a robust
Branch Offices, and BRI Units. Customers can reach Contact BRI via phone at 1500017, official social feedback mechanism is in place to collect, analyze, and act upon customer input and complaints,
media platforms, email at callbri@bri.co.id, the WhatsApp Chatbot Sabrina at 0812 1214 017, and digital ensuring long-term sustainability.
services through the BRImo application’s Help Center menu for self-service complaints & toll-free To further elevate the customer experience, BRI enhances physical infrastructure and branch office
support. Additionally, customers can lodge complaints in person at BRI Work Units through Frontliners environments, optimizing work unit facilities to create a more comfortable and seamless banking
(Universal Bankers & Customer Service) or via Video Banking. experience. This commitment to service excellence is reinforced through a strong service culture,
including the BRI Service Excellence Award (BSEC), which recognizes top-performing frontliners and
work units.
To ensure the effectiveness of these strategies, BRI invests in employee development and service
quality assurance. This includes regular product knowledge tests (TPK) for operational and service
teams, specialized training programs to prevent aggressive sales tactics and ensure respectful
customer interactions , and the refinement of service and operational evaluation frameworks (SOLVE).
1 Product Design [F.26] [F.27] [GRI G54 FS15]
BRI conducts customer needs research in product planning and development, adopting a
customer-centric approach. The product design process considers risk mitigation measures and
ensures compliance with both internal and external regulations before being presented to the
Product Committee.
2 Provision of Product Information [F.29] [GRI 3-3] [GRI 417-1]
Openness and transparency in product information are fundamental principles of Customer
Protection, which BRI upholds to enhance customer satisfaction. Clear communication serves
as the foundation for delivering product information to customers, ensuring that customers
receive comprehensive details about product and services, including their names, types, benefits,
requirements, associated costs, interest or profit-sharing calculations, and applicable terms and
To continuously enhance the customer experience, BRI focuses on accelerating complaint resolution conditions.. BRI is committed to fair treatment for all customers, regardless of their background or
and optimizing customer service processes. This is achieved through the implementation of Artificial financial status. Service reliability is also a key priority, ensuring that all transactions are conducted
Intelligence (AI) and Robotic Process Automation (RPA) to monitor Service Level Agreements (SLA). with integrity and accuracy. In line with its commitment to equitable service, BRI provides complete
In 2024, BRI achieved a 99.81% complaint resolution rate, successfully addressing 1,921,529 out of 1,925,215 and transparent product information in Indonesian, both in written and verbal formats upon
complaints received across all BRI complaint channels. A total of 3,686 complaints remain in progress, with customer request. Customers can access this information through BRI work units, the BRImo
BRI committed to resolving them in strict adherence to the established Service Level Agreement (SLA). app, or BRI's official website at www.bri.co.id. As of now, there have been no product or service
Implementation of procedures and settlement of complaints are reported annually to BRI Management withdrawals by BRI. The bank’s commitment to fair and responsible marketing policies reflects not
through the Contact BRI Product Monitoring and Evaluation Report (LMEP). [GRI 3-3] [F.27] only its business integrity but also its dedication to protecting customers’ financial interests and
overall well-being.
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Strategy
3 Product Information Communication 4 Responsible Product Marketing
BRI ensures that the dissemination of product information aligns with new service innovations, product launches, and updates to product terms, reaching BRI upholds a fair marketing policy that
both existing and potential customers. To achieve this, BRI leverages digital technology extensively through mobile applications, social media platforms, prioritizes transparency, financial literacy,
advertising, promotions, media relations, publicity, and various other communication channels. BRI trains and deploys information agents who serve as and regulatory compliance, ensuring
financial advisors and educators. the protection of consumer rights, while
Through BRI’s digital education initiatives, BRILian information agents play a crucial role in promoting awareness and understanding of BRI’s digital maintaining the stability and integrity of
products and services. More than 42,000 BRI Marketing Officers actively serve as financial advisors and digital educators, helping customers navigate the financial system. Grounded in the Fair
and access BRI’s financial solutions with confidence. This initiative is an integral part of the Culture Activation Program (CAP), reinforcing BRI employees' Marketing Communication Policy, this
commitment to direct involvement in the company’s business operations. approach emphasizes transparency, fairness,
reliability, confidentiality, and data security, all
The activities of digital educators include:
of which are directly applied by BRI employees
in customer interactions.
Expanding the Number of
Increasing the Number of Educating on Safe Transaction Clear and transparent communication is
1 New Accounts 2 Transactions Through BRI Digital 3 Practices fundamental to providing customers with
Products
sufficient information about product and
Conducting outreach and education on Conducting outreach and education on Ensuring secure transactions at ATMs, services, including their names, types, benefits,
opening BRI savings accounts (both the features in BRImo (transfers, digital BRImo, etc.
requirements, costs, interest or profit-sharing
digitally and through branch units) for wallets, Briva payments, etc.) for
customers and potential customers. customers. calculations, and validity periods. BRI ensures
equal treatment for all customers, regardless
of their background or financial status, and
Conducting outreach and education Conducting outreach and education on Maintaining the confidentiality of PINs guarantees the integrity and accuracy of all
on the use of digital platforms (BRImo, how to shop on Pasar.id, QR Pedagang, and periodically changing PINs. transactions. Employees are encouraged to
Smart Billing, Junio Smart, and others) and others for customers.
conduct marketing activities in a transparent
for customers.
and ethical manner, prioritizing customer
education alongside product promotion. This
involves delivering clear, easily accessible
Conducting outreach and education on Conducting outreach and education for
how to perform financial transactions customers to maintain the confidentiality information, outlining both risks and benefits
through IB Bisnis, CMS, and others for of personal data such as mother's maiden to help customers make informed financial
customers. name, PIN, OTP, CVV. Avoiding the use of decisions. Digital platforms such as BRImo and
public Wi-Fi, etc.
Qlola enhance the educational efforts, catering
to an increasingly digital-savvy customer base.
Beyond marketing teams, Frontline teams
(Universal Bankers and Customer Service)
and BRI Contact Agents also play a role in
product marketing activities through Cross-
Selling, Outbound Calls, and Customer Visits,
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
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Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Strategy
Responsible Credit Procedure Management Strategy [F.1] [F.17] [GRI 2-24]
strengthening customer engagement. During this reporting period, no incidents of non-compliance Responsible Credit Collection Process
were found regarding product and service information or marketing communication labeling. [GRI 417-
2] [GRI 417-3] BRI is committed to delivering high-quality service and ensuring that its credit collection policy is
respectful and fair. As a key component of credit governance, this policy balances BRI’s financial
5 Protection of Customer Rights and Provision of Inclusive and Equal Services [F.17] interests with customer protection, applicable regulations. This commitment is reinforced through
BRI is committed to ensuring equal access for all customers while safeguarding consumer rights comprehensive policies, robust internal controls, and extensive training to ensure that debt collection
through inclusive services, transparent information, and data protection measures. Special agents operate within an ethical and customer-focused framework.
services are provided for individuals with disabilities and the elderly, so they can make informed BRI’s credit collection process places a strong emphasis on customer rights, privacy, regulatory
decisions regarding BRI’s products and services. Additionally, BRI upholds data privacy and compliance. The bank implements rigorous internal oversight to ensure that all measures taken in
consent protocols, requiring customer authorization for the collection and use of personal handling non-performing loans adhere to ethical standards and legal requirements.
information related to product marketing. These protective measures are designed to ensure
Beyond systems and policies, BRI prioritises staff competency and professionalism. Employees
customer security, build trust and satisfaction, and mitigate legal risk. BRI’s customer protection
involved in credit collection undergo specialized training, certification, and continuous support to
framework encompasses equal access to financial services, specialized assistance for customers
ensure they fully understand credit collection procedures while maintaining empathy and sensitivity
with disabilities and the elderly, , protection of customer assets, data security, transparent
towards customers’ financial situations.
complaint handling, and mechanisms for data usage and deletion.
As part of its commitment to offering constructive solutions, BRI provides credit restructuring options
Providing equitable services to persons with disabilities not only strengthens financial inclusion but
for debtors experiencing financial difficulties, taking into account their good faith, cooperation, and
also contributes to ESG performance and service equality, ultimately fostering greater transaction
business continuity. Additionally, BRI offers an alternative resolution through the debt sale mechanism
volumes within this customer segment. To ensure service standardization and compliance, BRI
(cessie).
adheres to the Standard Setara Guidelines issued by the Financial Services Authority (OJK). These
guidelines regulate procedures, documentation, infrastructure and customer complaint resolution. Every action taken is carefully considered to ensure fair, balanced, and mutually beneficial outcomes
for all parties involved. Through this responsible and dignified credit collection approach, BRI not only
Service Standard Realisation upholds its role as a financial institution but also as a trusted partner dedicated to maintaining strong
As outlined in Circular Letter SE.21-DIR/SCC/08/2024, BRI ensures that during customer relationships and supporting long-term financial well-being.
Procedure the design of infrastructure/facilities, the Product Owner/Business Owner
collaborates with the Network Management Unit/Information Technology
Unit/Service & Contact Center to provide specialized services for customers Credit Need Calculation Based on Customer Repayment Capacity
with disabilities and the elderly BRI is committed to safeguarding customer financial health through a repayment capacity calculation
BRI, coordinated by the Product Owner Division, ensures the availability of policy, ensuring loans align with customers’ financial ability. This policy prevents over-indebtedness
Document while supporting sustainable financial goals.
accessible documents, including specially designed forms.
Provision of 100 CRMs and 675 talking ATMs with specific instructions and
To enhance transparency, BRI provides a credit calculation tool on its official website, enabling
audio connection. All ATM machines have lower heights, ATM buildings with customers to estimate installment amounts before applying for a loan. By prioritizing clarity and
Physical Infrastructure
wider doors for wheelchair users to ensure smooth mobility for persons with responsible lending, BRI empowers customers to make informed financial decisions, avoiding debt
disabilities. traps and fostering a healthy financial relationship with the bank.
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Risk Management
BRI faces several risks in delivering superior customer service, including operational risks related to Customer Privacy Protection Management [FN-CB-230a.2.]
system efficiency and employee capabilities, compliance risks concerning customer privacy protection Recognizing the importance of customer privacy protection, BRI has implemented a comprehensive
and marketing practices, and strategic risks stemming from misaligned product development. If not Customer Privacy Protection Management framework to ensure customers feel secure while using
effectively managed, these risks could escalate into reputational risk its services. This framework is built on regulatory compliance, robust privacy policies, and advanced
technology solutions to safeguard personal data at every stage of its lifecycle, including collection,
Operational Excellence Management [F.26] [F.27] [F.28] processing, storage, and destruction. BRI applies a Privacy Operational Life Cycle approach to
systematically manage data protection.
Operational excellence in commercial banking is a strategic approach focused on enhancing efficiency,
service quality, and risk mitigation. In this context, BRI is committed to delivering optimal customer Governance: BRI has appointed a Personal Data Protection Officer (PDPO) responsible for overseeing
services while minimizing costs and risks. To achieve this, BRI employs Strategies such as exceptional personal data protection measures. The bank adheres to strict internal policies and procedures to
customer service, responsible product offerings and communication, product diversification, and the ensure compliance and security, including:
implementation of advanced information technology solutions. l Policies Related to Personal Data Protection
Customer service excellence is critical to managing operational risks, including system downtimes, long l Information Security Governance Policies
waiting times, and service inefficiencies, which directly impact customer satisfaction and security. To l Standard Operating Procedures (SOPs) for Personal Data Protection
address these challenges, BRI implements a structured risk management system, refining operational
l Standard Operating Procedures (SOPs) for Bank Secrecy.
procedures and conducting regular employee training to improve complaint resolution, and mitigate
potential dissatisfaction. As part of its risk management framework, BRI has established a set of policies and compliance measures
to ensure the secure and responsible processing of personal data. These policies apply to all individuals
The Know Your Customer (KYC) principle is integral to minimizing fraud risks and strengthening trust
involved in data processing, including BRI management, electronic system operators, and personal data
in BRI and financial industry. Additionally, reputation risk is a key consideration, as miscommunication
processors. All entities engaged in the collection, transmission, dissemination, and deletion of personal
or inadequate service can negatively impact customer loyalty. To mitigate this, BRI adopts a proactive
data, –including employees, vendors, partners, contractors, and other third parties–must comply
communication strategy, ensuring responsiveness to customer complaints, adherence to fair marketing
with applicable laws, industry best practices, and banking regulations in Indonesia. This ensures a high
and advertising regulations, and strict privacy protection policies.
standard of data protection while mitigating risks associated with personal data handling. [GRI 3-3]
To manage strategic risks in product development, BRI leverages data analytics, macroeconomic
Assess: BRI continuously evaluates its privacy management processes to align with best practices and
insights, continuous evaluations, and sound governance practices. Ongoing monitoring and evaluation
compliance requirements. This includes conducting gap analysis, data processing activity records,
of launched products allow BRI to swiftly identify misalignments and implement necessary corrective
personal data protection impact assessments, third-party privacy risks assessments, and data
actions. These initiatives are further supported by robust information technology and digital innovation,
inventory and mapping.
which enhance operational efficiency, service accessibility, and customer experience, ultimately driving
customer satisfaction and loyalty. Protect: To safeguard personal data, BRI implements technical and organizational measures against
unauthorized access or misuse. These include encryption and tokenization, data loss prevention
technologies, and strict access control to regulate data usage and modification including collection,
use, disclosure, copying, or deletion.
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Risk Management
BRI adheres to key personal data protection principles, ensuring compliance ith legal, ethical, and BRI processes customers data strictly in accordance with its privacy notice, ensuring that all data
operational standards: processing activities are legally grounded. The bank also monitors customer consent for marketing
Limited, Specific, Lawful, and Transparent Processing: Data collection follows strict limitations, lawful purposes, reinforcing its commitment to data security, privacy, and compliance.
grounds, and transparency requirements.
Purpose Limitation: Personal data is processed only for its intended purpose.
Data Subjects Rights Protection: BRI ensures full compliance with customer rights regarding their
personal data.
Data Accuracy: Personal data is maintained with accuracy, completeness, and accountability.
Data Security: Data is protected from unauthorized access, disclosure, alteration, misuse,
destruction, and/or loss.
Processing Notification: Customers are informed of data processing activities, risks, and purposes.
Retention Limitation: Data is deleted and reviewed upon expiration of retention periods or upon
customer request, except where legally required.
Accountability: BRI upholds responsible data processing with clear compliance evidence
Sustain: BRI is dedicated to ongoing compliance and enhancement of its data protection practices over
time. This is achieved through regular training and awareness programs for employees across all levels
of routine audits on data protection, tailored to BRI’s operational scale business characteristics.
Respond: To ensure rapid response to cyber incidents, BRI has established structured incident
response procedures for prompt and effective handling of data breaches. As part of its commitment to
transparency, BRI has developed a privacy notice, accessible at: https://bri.co.id/privacy.
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Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Metric dan Target
Board Performance Indicators Related to Monitoring Customer Service BRI prioritizes customer feedback assessment through a comprehensive range of online and offline
Excellence channels to continuously improve and enhance customer satisfaction and service excellence. As a
result of these efforts, BRI achieved a customer satisfaction score of 87.06 in 2024, exceeding its target
of 80. Customer feedback is collected through a survey distributed via WhatsApp blast messages
No Parameter Achievement to customers who have recently conducted transactions at BRI branches. To ensure customer data
confidentiality, these messages are sent directly by BRI through its official BRI-INFO account.
1 Net Promoter Score for the bank 64.00%
Service quality is further evaluated through the Service Quality Index (SQI), where BRI attained a
score of 4.4331, securing a position in the Diamond category in 2024. This achievement reflects BRI’s
2 Number of Active BRImo Users 24.3 million users
consistent adherence to the highest standards in the banking industry.
Average Growth in Total Deposits (Bank Only) 9.57% To ensure the consistency and objectivity of service quality, BRI employs the mystery shopping
3
method, which provides accurate performance insights across key service areas, including People
(Customer Service, Tellers, and Security), Process (E-Channel such as ATMs/CRMs), and Premises. In
4 Average Growth in Total Loans (Bank Only) 9.16%
2024, BRI maintained strict data privacy and security standards, with no reported complaints related
to customer privacy violations of customer privacy or data breaches, whether submitted directly or
5 CASA Ratio 67.54%
through consumer protection groups. [GRI 418-1] [FN-CB-230a.1]
BRI assesses service excellence using key indicators that evaluate customer engagement. These
indicators include customers' willingness to use BRI products, reflected in the number of active BRImo
users, and their likelihood to recommend BRI’s services and products to others, as measured by the
Net Promoter Score (NPS). This aligns with BRI’s customer-centric product development approach,
which focuses on enhancing service quality through digitalization, ensuring the reliability and accuracy
of information delivery to customers. Survey results indicate that BRI's continuous improvements,
process enhancements, and digitalization initiatives have strengthened customer engagement and
increased their willingness to recommend BRI. This is reflected in BRI’s NPS achievement of 66.00%.
Furthermore, service excellence performance is directly linked to the bank’s financial metrics, including
an average deposit growth of 9.57% (YoY) in 2024, an average loan growth of 9.16% (YoY), and a CASA
ratio of 67.54%.
Customer Satisfaction Assessment [F27, F30] [GRI 417-3, 418-1] [ [FN-CB-230a.1]
To assess customer satisfaction, loyalty, and engagement with the company, BRI has conducted a
Customer Engagement Index measurement in collaboration with a third-party expert in the field. The
results indicate that BRI achieved a Customer Engagement Index score of 4.67, surpassing the target of
4.55. This achievement, aligned with improvements in Teller Experience, Customer Service Experience,
and Branch Experience, serves as evidence of the positive outcomes BRI has attained in 2024.
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Financial Inclusion and Literacy
As the world’s largest archipelago, comprising over 17,000 islands and a population exceeding 270 million, Indonesia is distinguished by its remarkable diversity, encompassing
a vast array of ethnicities, cultures, languages, and beliefs. This rich diversity, coupled with the rapid advancement of technological innovations in the financial sector,
presents both challenges and opportunities in promoting financial inclusion and literacy. Bank Rakyat Indonesia (BRI) remains steadfast in its commitment to serving as
a strategic partner to the communities across the nation. By addressing the financial needs of individuals from all diverse social, economic, and cultural backgrounds, BRI
strives to foster greater financial inclusion while encouraging more informed, responsible, sustainable financial behaviors.
Four Pillars of IFRS Sustainability Disclosure Standards
Governance Strategy Risk Management Metric and Target
Governance of Financial Inclusion and Opportunity and Risk Product and Strategy Financial Inclusion and Literacy Metrics and Targets
Literacy within the Key Performance Indicators (KPI) of the
Wide Access to Banking Services Distribution and Reach Collegial Board of Directors
Commitment to Financial Inclusion
Financial Products and Services Partnership Development
Support
Non-Financial Support
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Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Governance
Governance of Financial Inclusion and Literacy 2 Tailored Financial Products and Services
BRI is dedicated to providing accessible and affordable financial products and services tailored to the BRI continuously innovates and develops affordable financial products and services designed to
diverse needs of its customers. The bank prioritizes reaching individuals who have traditionally been meet the needs of its customers. These offerings include savings accounts, loans products, and
underserved by financial institutions, including those with limited access to financial services, low- insurance services.
income earners, economically disadvantaged women, students, Indonesian migrant workers, people 3 Non-Financial Support
with disabilities, and the elderly.
Beyond financial services, BRI provides non-financial support through community empowerment
The implementation of financial literacy and inclusion programs is structured around the following core
programs that enhance financial literacy, improve financial well-being, and support business
principles:
growth–particularly for entrepreneurs from underserved groups.
1 Planned and Measurable 4 Promoting Customer Welfare
All financial inclusion and literacy activities must be strategically designed in alignment with the
BRI is committed to safeguarding the financial well-being of its customers. This includes ensuring
objectives, strategies, and policies set by regulatory authorities. These activities should incorporate
loans are structured according to customers’ repayment capacities. The bank also upholds
measurable indicators to effectively assess improvement in financial inclusion and literacy.
the principles of Fair Marketing Communication Policy, which emphasizes Transparency, Fair
2 Achievement-Oriented Treatment, Reliability, Consumer Data Confidentiality and Security, and Efficient Complaint
Financial literacy initiatives must be results-driven, leveraging available resources to maximize Handling and Dispute Resolution.
impact. BRI establishes key milestones as benchmarks for financial inclusion achievement. Each
business unit is given the flexibility to tailor financial inclusion goals in accordance with its specific
BRI is committed to integrating financial inclusion into its core mission, operations, and ESG framework
operational characteristics.
at all policy levels to ensure long-term sustainability. At the highest level of governance, the Board
3 Sustainable of Directors prioritizes financial inclusion as a strategic objective and closely monitors its progress.
Financial inclusion and literacy programs must be conducted on a continuous basis, ensuring Within this framework, financial inclusion is defined through specific goals, demographic targets, and
long-term impact and alignment with planned objectives. Sustainability in this context requires a measurable implementation strategies.
comprehensive understanding of financial management, institutions, products, and/or financial To drive these initiatives, dedicated financial inclusion teams oversee program execution and collaborate
services. with key stakeholders, including the government, community organizations, and non-governmental
BRI’s initiatives to enhance financial inclusion and literacy are guided by Circular Letter No. 21/ organizations (NGOs), to extend financial services to underserved populations. These efforts are
SCC/08/2024, dated August 30, 2024, which aligns to the provisions of POJK Regulation No. 03/2023 complemented by evaluation and reporting mechanisms that assess the impacts of financial inclusion
on the Promotion of Financial Inclusion and Literacy in the Financial Services Sector for consumers and and literacy programs.
the public. Additionally, these efforts adhere to Financial Services Authority (OJK) Regulation No. 22 of BRI demonstrates its commitment through various financial inclusion and literacy programs, such as
2023 on Consumer and Public Protection in the Financial Services Sector. student savings account initiatives, and empowerment and training programs focused on financial
management for SMEs and business groups. The bank also enhances banking accessibility by expanding
branch networks, developing distribution channels for financial products, and providing specialized
Commitment to Financial Inclusion
services for customers with disabilities and the elderly. Additionally, BRI supports government
To ensure financial inclusion across all segments of society, BRI upholds the following commitments: programs, including social assistance distribution, and leverages digital financial service applications
1 Extensive Banking Access to improve accessibility Following the implementation of these initiatives, BRI conducts comprehensive
BRI is committed to broadening equitable access to financial products and services, through an evaluations and reporting to measure outcomes and assess the effectiveness of its efforts in enhancing
extensive network of branch offices, digital banking platforms, and financial service agents (Brilink financial inclusion and literacy.
Agents). This ensures that banking services reach even the most underserved groups.
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Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Strategy
Opportunity and Risk
BRI has long been a trusted financial partner for the Indonesian community, providing a comprehensive As one of the largest countries in ASEAN, both in population and geographical size, Indonesia offers
range of reliable financial products and services tailored to the needs of individuals, corporations, and significant opportunities for BRI to expand its market share and strengthen its regional presence.
SMEs. As a commercial bank with a strong focus on the SME segment, BRI is committed to fostering the However, these opportunities are accompanied by inherent risks arising from various factors, including
growth and development of SMEs through extensive banking access, a diverse portfolio of affordable market dynamics, operational challenges, and customer-related risks. To navigate this landscape
financial products, and capacity building initiatives. This includes community empowerment programs, effectively, BRI implements a robust risk management framework aimed at maximizing value creation.
specialized training, and the integration of a robust digital ecosystem designed to support and enhance BRI ensures business sustainability and operational resilience, enabling the bank to continuously
SME competitiveness. expand its service reach.
Opportunities and Key Risks Potential Impact Short Term Medium Term Long Term
Opportunities to grow and strengthen market position in Financial system stability, reducing income inequality, increasing
ASEAN MSME access to finance, and utilizing financial technology.
✔ ✔
There are still potential markets that do not have access to Banks can reach out to previously underserved populations and offer
finance financial products and services that suit their needs.
✔
Opportunities
Large population Increased community access to financial services and reduced income
inequality ✔
Utilization of digital technology to improve access and Improving the efficiency of banking transactions and services through
financial literacy for unbanked communities banking services digitization as well as optimizing operational costs due to reducing ✔
dependence on physical offices
Credit risk due to unavailability of formal data and lack of Increased risk exposure, challenges in risk identification and
customer literacy for credit analysis needs management ✔
Operational risk on the scale of a large number of customers Declining profitability and performance, and challenges in developing
requires a large number of management workers with large digital financial inclusion.
operational costs, and creates large operational risks as well. ✔
Risks
MSME business saturation strategy risk may lead to Higher non-performing loan ratio and liquidity constraints
inappropriate target portfolio management ✔
Operational risk due to cybersecurity risk where the lack of Loss of customer trust and potential financial loss
understanding of protecting personal data can increase the ✔
risk of data misuse.
The short term spans 1-5 years, the medium term ranges from 5-10 years, and the long term extends beyond 10 years.
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Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Strategy
Wide Access to Banking Services [B.1.e] [GRI G4 FS15]
Expanding public access to financial services plays a crucial role in reducing income inequality, creating Agent [FS16]
financing and business development opportunities for SMEs, and fostering long term financial system AgenBRILink plays a pivotal role in BRI's financial inclusion strategy by extending banking services
stability. Recognizing this, BRI is committed to reaching underserved and unbanked communities, to areas that are difficult to access through conventional branch networks. AgenBRILink are BRI
ensuring equitable access to financial services and promoting financial inclusion, anytime and customers who collaborate with the bank to facilitate financial transactions, enabling the public to
anywhere. access banking services without the need to visit a physical branch. Operating independently, these
agents serve diverse communities, from remote villages to urban areas.
E-Channel BRI AgenBRILink provides a range of essential banking services, including account opening, cash
BRI's E-Channel platform enables seamless banking transactions without the need to visit a physical withdrawals, bill payments, digital financial transactions, and referrals forg potential loan customers.
branch, significantly enhancing public access to financial services. With a network of over 747 thousand Their presence not only enhances financial access for underserved populations, but also offers
E-Channel units, including ATMs, CRMs, EDCs, and E-Buzz, BRI ensures comprehensive service economic benefits to the agents themselves. By earning a transaction-based fee sharing arrangement,
coverage across Indonesia, including in the 3T regions (frontier, outermost, and disadvantaged areas). AgenBRILink gains an opportunity for additional income.
BRILink Agent Number of Transaction (million) Transaction Volume (trillion)
2023 2024 2023 2024 2023 2024
740,818 1,064,219 1,096.61 1,204.25 1,427.58 1,589.04
10,663 9,007 776,357 Distribution of BRILink Services
ATM CRM EDC*
Kalimantan
Sulawesi
68,832
105,585
57 1,064,219
E-Buzz Agen BRILink
*EDC consist of merchant, operational working unit, and BRILink Sumatra
239,380
Papua
Java
580,569 Bali and Nusa Tenggara
9,993
59,860
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Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Strategy
Digital Access Points Qlola
BRI has demonstrated remarkable growth in digital transactions, with 98.95% of total transactions now Qlola is BRI's digital banking super app, designed to enhance customer
conducted through digital platforms. The BRImo application has experienced a significant surge in new convenience in invoice management and streamline supply chain processes. This
users, transaction volume, and overall transaction activity. Additionally, the utilization of BRIAPI has platform seamlessly integrates BRI’s financial services with payment systems and
expanded considerably, supporting more than 23 digital ecosystems and integrating with over 1,000 loan facilities. The Supply Chain Management (SCM) feature in Qlola by BRI has
partners. The integration of artificial intelligence (AI), particularly through Sabrina, has enhanced established partnerships with various principal companies, enabling customers
customer service efficiency, leading to a substantial increase in the number of inquiries handled and to conduct seamless transactions with their Small and Medium Enterprise (SME)
improved customer satisfaction levels. partners.
Number of Volume of
BRImo Qlola Users
Transaction Transaction
BRImo is BRI's digital banking super app, designed to provide customers with seamless
and convenient financial transactions directly from their smartphones. Offering 24/7 8,118,222
53,869
accessibility, BRImo enables users to conduct banking transactions anytime and Thousand 53,161 Billion
anywhere. Beyond standard features such as fund transfers and bill payments, BRImo 71,965 Thousand
provides a wide range of financial services, including savings account opening, loan 52,117 6,788,672
Billion
management, investments transactions, e-wallet top-ups, mobile credit purchases, and
access to exclusive promotions.
2023 2024 2023 2024 2023 2024
Number of Volume of
BRImo Users
Transactions Transactions
4,309.3 5,541.3
Million Trillion
38.6 Million
3,088.8 Million 4,158.8
31.6 Million Trillion
2023 2024 2023 2024 2023 2024
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Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Strategy
Mobile
SenyuM Mobile is an Android-based application designed to provide seamless Mobile Mekaar Loan
access to a comprehensive range of financial products and services, specifically Users 65,238 Simpedes UMI
catering to the ultra-micro segment. Developed as a collaborative platform 1.7% 280,984
7.2%
between BRI, Pegadaian, and PNM, the app empowers customers with convenient
Pegadaian
financial solutions tailored to their needs. Through SenyuM Mobile, users can Gold Savings
access savings products such as Simpedes UMi BRI, explore investment options 3,919,230 223,366
BRI Loan
including Pegadaian Gold Savings, and utilize a referral system for financing. This 2,383,680
5.7%
includes financing options from PNM’s Mekaar group, Pegadaian’s pawn services, 60.8%
1,959,449
and BRI loans. Pawning Loan
Percentage of Customer
242,627
Acquisition through
965,962
24.6%
2022 2023 2024 Mobile Based on Product 2024
Sabrina
Sabrina is a Virtual Assistant powered by artificial intelligence BRI complaint channels, representing a 47.63% increase compared to 2023. This
(AI) chatbot technology, developed by BRI to enhance service growth underscores Sabrina’s emergence as the preferred communication channel
accessibility and provide information to both existing and prospective among Contact BRI users. Additionally, the fallback rate—instances where Sabrina
customers. Available via WhatsApp at 0812 1214 017, Sabrina assists was unable to respond to user queries—declined significantly from 17.80% in 2023 to
customers in obtaining product and service information, handling 9.33% in 2024. Enhanced performance has also been reflected in user satisfaction,
customer inquiries and complaints, scheduling branch appointments, with 80.50% of users expressing satisfaction with Sabrina’s services in 2024, marking
deactivating debit cards; providing investment consultations, and an increase from 69.80% in 2023.
locating the nearest BRI Branch Offices, ATMs, or AgenBRILink
partners. Additionally, Sabrina is seamlessly integrated with BRImo, Sabrina 2023 2024
enabling customers to conveniently access banking transaction
information, including account balances and transaction histories. Composition of Sabrina in Total Interactions with BRI Contact 33.16% 40.11%
As a key frontline service channel, Sabrina plays a crucial role in
Unanswered Questions (%) 17.80% 9.33%
addressing customer inquiries and complaints related to BRI’s
products and services. In 2024, interactions handled by Sabrina
User Satisfaction Rate (%) 69.80% 80.50%
accounted for 40.11% of total customer interactions across all Contact
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Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Strategy
Financial Products and Services Support
BRI provides a comprehensive range of financial products and services designed to meet the diverse needs of its customers while also expanding banking access to underserved and unbanked communities. BRI
continually works to ensure that all segments of the Indonesian population have equitable access to banking services.
Savings Product [F.26]
Simpedes Simpedes UMI Simpedes TKI
Total Accounts: 147.60 Million Total Accounts: 18.20 Million Total Accounts: 73.47 Thousand
A public savings product available at all BRI work units, A specialized savings product designed for the ultra- A dedicated savings product for migrant workers,
equipped with a BRI Card that functions as both micro community, particularly Pegadaian and PNM facilitating salary distribution and collection services,
ATM cards and debit cards. customers who do not yet have a BRI deposit account. ensuring seamless financial transaction.
It ise accessible through a Simpedes passbook an
a Simpedes GPN private label ATM card.
Simpedes Bisa BritAma BritAma Junio
Total Accounts: 319.3 Thousand Total Accounts: 24.69 Million Total Accounts: 2.38 Million
A savings product with 3 main features in a single A saving product with e-banking facilities and real-time A saving product designed for children, promoting a
account opening: savings/transactions (main account); online systems, allowing customers to transact anytime, culture of saving from an early age. It includes e-banking
investments (term deposit and DPLK); protection anywhere. It includefree accident insurance, advancede- facilities, financial planning features (Junio Rencana),
(micro-insurances AM-KKM, Rumahku, and business banking features, and competitive interest rates. personal accident insurance, and a debit card with an
premises damage). engaging design.
BritAma Bisnis Simpanan Pelajar (Simpel) TabunganKu
Total Accounts: 602 Thousand Total Accounts: 32 Million Total Accounts: 17.20 Million
A saving account tailored for business, offering greater A student savings acccount with simple and accessible A savings account for individual customers with simple
transaction flexibility, enhanced record-keeping, and requirements, aimed at promoting a culture of saving and easy requirements, developed in clollaboration with
additional benefits to support business operations. among students.. It includes various educational and Indonesian banks to encourage a national culture of saving.
financial inclusion features.
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Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Strategy
Loan Products [F.26] [FN-CB-240a.1.]
Kupedes KUR Mikro KUR Super Mikro PNM Mekaar
Debtor: Outstanding: Debtor: Outstanding: Debtor: Outstanding: Debtor: Outstanding:
4.49 Million 200.2 Trillion 7.94 Million 230.77 Trillion 168.56 Thousand 522.6 Billion 3.8 Million 11.91 Trillion
Tailored for individual micro businesses (corporate and Designed for startup micro entrepreneurs, offering loans Targeting workers affected by job loss and housewives (Launched in 2015). A capital loan service specifically
individuals) requiring financing within the Kupedes ranging from Rp10 million - Rp100 million per debtor. withproductive businesses. for underprivileged women MSME entrepreneurs with
ceiling limit. This facility applies to all business sectors Available as Working Capital Credit (KMK) with a Loans are available up to Rp10 million with a repayment limited access to business financing.
including agriculture, industry, trade, and others. maximum tenure of 3 years or Investment Credit (KI) term up to 3 years, or up 5 years for Investment Loan (KI).
with a maximum tenure of 5 years.
PNM Mekaar Syariah PNM ULaMM PNM ULaMM Syariah Pegadaian Loan Products
Debtor: Outstanding: Debtor: Outstanding: Debtor: Outstanding: Debtor: Outstanding:
10.59 Million 31.91 Trillion 42.3 Thousand 2.43 Trillion 29.7 Thousand 1.21 Trillion 16.6 Million 85.4 Trillion
Group-based financing in compliance with Islamic Direct financing for micro and small businesses, offering Distribution of financing based on Islamic principles, Divided into 2 main categories: pawn and
principles, guided by fatwas and/or sharia conformity not only capital loans but also training, consultation, aligned with fatwas and / or statements of sharia non-pawn products.
statements from the National Sharia Council of the mentoring, financial management support and market conformity statements from the National Sharia
Indonesian Council of Ulama (MUI). This service supports access. Council of the Indonesian Council of Ulama, specifically
ultra-micro businesses run by underprivileged women. for MSMEs.
BRIGUNA Purna KPR Green KPR Subsidi
Debtor: Outstanding: Debtor: Outstanding: Debtor: Outstanding:
134 Thousand 11.03 Billion 258 292 Billion 86 Thousand 11.631 Trillion
Loans offered to individuals with fixed income sources, Financing for the purchase of environmentally friendly Specially designed for low-income families purchasing
including pension recipients. homes, promoting sustainable housing concept. their first home, prioritizing those who do not yet own
a home, or have never received housing subsidies.
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Strategy
Insurance Non-Financial Support [F.26] [GRI G4 FS13]
As a bank committed to financial inclusion and literacy, BRI recognizes that empowering MSMEs (Micro, Small, and Medium Enterprises) extends beyond
AMKKM providing access to financial products and services. True empowerment involves fostering opportunities for growth through structured capacity-building
programs that equip business owners with the knowledge and tools to navigate challenges and implement sustainable solutions. These initiatives are designed
Number of Policies: 13 Million not only to enhance access to financial resources but also to strengthen the overall capabilities of MSMEs, ensuring their long-term success and resilience in
Asuransi Mikro-KKM (Accident, Health and Death Insurance) an evolving economic landscape.
A micro insurance product offering affordable premiums with a quick
and convenient claims process through BRILink agent. In today’s dynamic era, where technological advancements, global market shifts, and social transformations are occurring at an accelerated pace, MSMEs
(Micro, Small, and Medium Enterprises) must be encouraged to adapt and grow. As a dedicated MSME partner, BRI serves not only as a financial institution but
also as an accelerator, offering guidance, mentorship, and essential resources to help entrepreneurs succeed.
Asuransi Mikro: RumahKu & Kerusakan Tempat Usaha/KTU Empowering customers is a fundamental component of achieving sustainable financial inclusion. To support this goal, BRI has developed an innovative
framework that considers two key aspects: entrepreneurship level and literacy level. Through a holistic approach, this framework categories customers into
Number of Policies: 17.9 Million four entrepreneurship levels,ensuring that each group receives targeted empowerment programs based on their specific needs:
KTU Micro Insurance, provides compensation in the form of money if
the insurance participant experiences damage to the place of business
due to the occurrence of one or several disasters listed in the policy.
KTU Micro Insurance, provides compensation in the form of money if MSME Empowerment Framework
the insurance participant experiences damage to the place of business
due to one or more disasters listed in the policy.
Empowerment Level Sustainable empowerment of MSMEs starting from the ultra-micro segment up to the SME segment
Basic Literacy Business Literacy Digital Literacy Digital Literacy
Feasible (Awareness) (Utilization)
Bankable
• Financial inclusion (introduction • Managerial capacity Literacy to MSMEs with goals in Literacy to MSMEs with goals in
to banking products and • Legality/compliance the form of Go Digital the form of:
services) • Culture of innovation (introduction to digital platforms, • Go Online
• Basic financial management • Market understanding use of social media) (social media monetization,
(simple accounting) • Leadership market place utilization)
Feasible • Long-term mindset • Go Global
Unbank- • Business scale
Empowerment Phase
Unfeasible
Bankable
Integration Phase Interconnection
Foundation Phase Full Scale Phase
Phase
Mapping using Self Assessment Integration of related parties in an System interconnection with An end-to-end MSME
Unfeasible of Upgraded MSMEs empowerment ecosystem Ministries/Institutions to open empowerment program, namely
Unbankable access to information, licensing, from the basic phase to the
and broader markets. development of a digital-based
platform that is a solution to the
development of the MSME
LAGGARD DYNAMIC ecosystem.
• Relatively old (>50) • Productive age (15-50)
• Focus on the past • Focus on the future Empowerment Channel & Digital Platform
• Maintaining tradition • Can and willing to accept
• Suspicious of change/new innovation
things • Adaptive to change
• Long time in decision making • Fast in making decisions Holding Ultra Mikro
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 76
>27.2 Thousand >3.9 Thousand >42.7 Thousand
Mantri (Micro Marketing Officer Pegadaian Marketing Officer PNM
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation Empowerment of Underprivileged Women Through the UMi Ecosystem
Strategy Through PNM Mekaar, the UMi ecosystem provides access
to capital, coaching, and capacity building, especially for 14.4 Million IDR 44.8 Trilion
housewives. Female Debtors
l Unfeasible Unbankable: Customers who do not meet financial institutions’ lending criteria due to Empowerment of Ultra Micro Business Groups [FS16]
unsustainable business models or a lack of financial stability, making them too high-risk for financing.
Empowering customers to Integrating customers into Elevating customers to a
l Unfeasible, bankable: Customers who possess collateral assets but do not yet meet the required
become independent a broader community and various higher level of microfinance
criteria for financing, often due to insufficient credit history or a lack of a clear financial track record entrepreneurs (Community products (Fund development services (Advancement
Empowerment through PNM) through BRI and Pegadaian) together with BRI)
l Feasible Unbankable: Customers who qualify for financing based on standard banking criteria
but still struggle to secure funding, typically due to perceived risks, insufficient collateral, or other
financial limitations.
l Feasible Bankable: Customers who meet all the necessary criteria for financial support,
The foundation of improving financial inclusion lies in a deep understanding of customer needs,
demonstrating financial stability, sufficient assets, and repayment capacity, making them eligible for
including potential customers, and addressing the barriers that hinder their access to banking services.
bank financing.
UMi Holding has developed a comprehensive and structured empowerment framework through the
Beyond entrepreneurial classification,BRI’s framework also assesses Technology Adoption levels: Ultra Micro Business Journey, designed to help micro and ultra-micro entrepreneurs enhance their
l Laggard: Typically older entrepreneurs (>50) who are hesitant to embrace change, focused on business capacity and successfully "graduate" to the next level of financial and economic stability.
maintaining traditions, and slow in adopting new technologies or innovation. In the empowerment phase, PNM and BRI have partnered to support ultra-micro customers,
l Dynamic: Typically younger entrepreneurs (15-50), who are future-oriented, open to innovation and particularly women, who lack access to formal banking services. The PNM Mekaar program offers
change, quick in decision-making, and adaptive to evolving market conditions. intensive guidance through a group-based approach. This program not only promotes financial
By combining entrepreneurial categorization and technology adoption, BRI develops a targeted matrix inclusion-as reflected in the opening of over 14.4 Million Simpedes UMi accounts as of December 2024-
of empowerment programs to support MSMEs: but also empowers women as key drivers of micro-businesses.
During the integration phase, Pegadaian and BRI address the financing needs of individuals
Unfeasible Unbankable Unfeasible Bankable Feasible Unbankable Feasible Bankable
transitioning into the formal bank system. Through continuous empowerment, BRI supports ultra-
LAGGARD These customers primarily focus Customers meeting these criteria In addition to basic literacy, Customers at this stage receive
micro customers with a suite of integrated financial products, including Senyum Mobile, UMi savings
on basic literacy programs, which receive a basic literacy program customers at this level are guided a greater focus on business literacy
include an introduction to banking (the largest portion), along with
products and services as well as business literacy and digital
towards business literacy
programs, followed by digital
programs, followed by digital
literacy training, particularly in
accounts (Simpedes UMi), gold savings, gold pawn services, BRI loans, and PNM Mekaar financing. This
fundamental financial management literacy (awareness) programs, literacy, such as introducing them utilizing marketplace platforms. structured approach aligns with the Sustainable Development Goals (SDGs), particularly SDG 1 (No
concepts, supplemented by a aimed at enhancing their to e-commerce platforms.
portion of business literacy. entrepreneurial skills. Poverty) and SDG 8 (Decent Work and Economic Growth).
DYNAMIC These customers are primarily For customers within this Beyond basic literacy, customers Customers at this level are well
engaged in basic literacy programs, category, basic literacy, business at this level are introduced to get a integrated into both basic & digital
covering banking products, financial literacy and digital literacy business literacy program followed literacy components, enabling
management, and introductory (awareness) programs are by digital literacy (awareness), them to focus on advanced digital
business literacy. delivered simultaneously, particularly in familiarizing them literacy program (utilization)
equipping them with necessary with e-commerce platforms. aimed at achieving Go Modern,
skills to enhance their business Go Digital and Go Global objectives
capabilities. through the effective use of the
marketplace platforms.
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Strategy
.
The synergy of UMi in serving customers is reflected through three key initiatives, including: Social Empowerment in UMi [F.23] [F.28]
>27.2 Thousand >3.9 Thousand >42.7 Thousand The presence of UMi initiatives in expanding integrated banking access not only accelerates
Mantri (Micro Marketing Officer Pegadaian Marketing Officer PNM economic growth, but also fosters social empowerment through various targeted
programs.
Empowerment of Underprivileged Women Through the UMi Ecosystem Group-based Literacy Enhancement Program
1 14.4 million Mekaar customers have opened Simpedes UMi Accounts, with a
Through PNM Mekaar, the UMi ecosystem provides access
to capital, coaching, and capacity building, especially for 14.4 Million IDR 44.8 Trilion
collective balance exceeding IDR 2 Trillion
housewives. Female Debtors
2 Financial literacy education is conducted through Weekly Group Meetings (PKM)
Targeted Small Business Course of Female Entrepreneur
As of December
Empowering 2024,tothe PNM Mekaar
customers program
Integrating has successfully
customers into disbursed loans
Elevating overto14
customers a million
become independent
1 250 Ultra Micro customer members have joined dedicated WhatsApp Group
customers, with a total outstanding aloanbroader community
portfolio ofand
IDRvarious
44.8 trillion. higher level of microfinance
This initiative goes beyond
entrepreneurs (Community products (Fund development services (Advancement
providing financial
Empowerment capital,
through PNM) offering intellectual
through BRIand
andsocial capital as a key drivers
Pegadaian) togetherof empowerment
with BRI) for UMi Business Community Development through E-commerce
underprivileged women’s groups. BRI remains committed to advancing the Ultra Micro (UMi) business Over 50,000 UMi businesses have integrated into e-commerce platform
sector through a range of progressive initiatives. One of its flagship programs, the group literacy
program, encourages financial transactions via Simpedes UMi accounts While integrating financial Marketing through Social Media / Digital Marketplace
literacy education into weekly meetings (PKM). Additionally, BRI prioritizes digital financial training, 1 Established SenyuM Community Accounts on Instagram and Facebook as
particularly through QRIS adoption, to enhance the business capabilities and empowerment of ultra- dedicated UMi customer education platforms
micro entrepreneurs. 2 Instagram followers: over 8,000
Further strengthening its digital transformation strategy, BRI has launched a digital collaboration 3 Facebook followers: over 20,000
initiative with Third-Party, aimed at expanding market reach and increasing competitiveness in the
digital economy. Social media platforms also serve as a key educational and collaborative space, With Expansion of BRILink Mekaar Agents
BRI’s Senyum UMi Community accounts on Instagram and Facebook fostering active engagement and BRILink Mekaar acquisition has grown to 437,575 BRILink Agents. Total transactions
digital financial literacy among ultra-micro business groups. As part of its sustainable financial inclusion through BRILink Mekaar have reached IDR 50.83 trillion
strategy, BRI has introduced the BRILink Mekaar agent program, designed to extend financial services
to UMi groups in remote areas. These efforts align with the Sustainable Development Goals (SDGs),
particularly SDG 1 (No Poverty) and SDG 8 (Decent Work and Economic Growth). This empowerment
strategy has led to a significant improvement in Indonesia’s financial literacy index, rising from 36.97%
to 59.8%.
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Strategy
Combination of 4 Ecosystem Aspects
Desa BRILiaN
Desa BRILiaN is a village empowerment
BUMDes Digital Innovation Sustainability
The active role of BUMDes as a mover Digitalization in villages can be implemented Villages that are creative in solving Resilient villages that are able to improve
program designed to establish model villages of village economies by utilizing village optimally, including digital finance and the community social problems. the welfare of their people with the village's
that exemplify best practices in leadership and funds for productive activities use of BRI digital products (BRILink, superior sectors on an ongoing basis
Web Pasar.id, Stroberi)
collaboration. Aligned with the Sustainable
Development Goals (SDGs), the Desa BRILiaN
DESA BRILiaN BUMDes Business Profile
program focuses on four key pillars of village
development: COMMERCE SERVICES
500 BUMDes 703 BUMDes
1 BUMDes (Village-Owned Enterprises) -
FINANCIAL SERVICES FOOD
strengthening village-based economic (BANK AGENCY) 319 BUMDes
317 BUMDes
drivers
VILLAGE
2 Digitization - implementing digital WATER
MANAGEMENT TOURISM
102 BUMDes 1,215 BUMDes
products and activities to modernize village
operations MANUFACTURING OTHERS
974 BUMDes 197 BUMDes
3 Sustainability - promoting resilience and
continuous development
4 Creative Innovation - encouraging the
creation of new solutions and innovations
As of December 2024, the Desa BRILiaN 4,327Desa BRILiaN
program has successfully empowered over across Indonesia
4,327 villages.
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Strategy
Rumah BUMN Commodity Platform PARI (Pasar Rakyat Indonesia)
Rumah BUMN is a platform for MSME capability-building, established through a collaboration of state- BRI collaborates with third parties to provide integrated digital solutions for commodity-based
owned enterprises (BUMN) to create a digital economy ecosystem that enhances the capabilities of ecosystem players, enhancing their access to financial and business services through the Pasar Rakyat
MSMEs. This initiative helps MSMEs transition into modern, digital, online, and globally competitive Indonesia (PARI) platform. In 2024, BRI prioritized ecosystems encompassing eggs, fish, shallots, coffee,
business. Beyond business development, Rumah BUMN serves multiple functions, including a milk, feed, cashews, pineapples, cassava, rice, bananas, and mangoes. The platform’s acquisition efforts
basecamp for millennials, an information center for banking programs, a co-working space, and a resulted in 103,186 registered users, facilitating 485,649 transactions. Additionally, PARI offers a bridging
disaster response task force. loan totalling IDR 13.7 trillion, with a total gross merchandise value of IDR 54.8 trillion. This initiative
Currently, BRI supports 54 Rumah BUMN locations across Indonesia, serving as a central hub for over directly benefited 38,474 farmers and 20,488 collectors.
433,000 BRI MSME clients. These facilities have conducted more than 14,000 training sessions.
New pasar.id [GRI FS16]
Klaster Usaha BRI collaborates with third parties through the Pasar.ID platform to support the micro-economy,
BRI Klaster Usaha is a business empowerment program designed to support business groups formed particularly in traditional markets. This platform enables market managers, vendors, and visitors to
based on shared interests within a specific area. This initiative aims to enhance the capacity and conduct seamless online transactions. Pasar.ID serves as a comprehensive marketplace directory,
capabilities of all members within the cluster. providings detailed information about traditional markets and their shops, allowing consumers to select
BRI provides comprehensive empowerment programs to support Business Clusters, including training, shopping destinations based on their location preferences. In 2024, transactions made through the site
mentoring, business infrastructure support, and market expansion assistance. reached 88,295, totaling IDR 14,62 billion, involving 7,380 traditional markets and 223,547 vendors. BRI's
efforts in acquiring leading markets across various regions contributed to a 0,98% YoY increase in the
To ensure efficient data management BRI leverages digital technology through the Klasterku Hidupku
number of registered vendors.. BRI offers training and mentoring programs focused on maximizing
application.
Pasar.ID features for daily transactions. Transactions can be conveniently conducted through
0.72%
0.07% 3.00% WhatsApp and BRI banking applications, including EDC BRI, BRImo, and Agen BRILink. [FS6] [FS13] [FS14]
8.04%
Tourism
10.60%
Services Localoka
Fishery
As technological advancements and customer demands continue to evolve, BRI has yet to establish
Trade
its own dedicated marketplace platform. However, given the significant financial activity within the
Industry
47.61% grocery business segment, there is an opportunity to capture the wholesale market by integrating
Farming
Others
marketplace features into the AgenBRILink ecosystem. Localoka, BRI’s managed marketplace
29.97% platform, provides a digital solution for SMEs to market their products online. The integration of the
BRILink Mobile application with this marketplace is expected to enhance sales potential and profitability
for AgenBRILink. Beyond supporting local SMEs, Localoka has broader potential through expanded
partnerships with large corporations, aligning with its initial goal of becoming a localized business
LinkUMKM ecosystem platform. The inclusion of corporate sellers on the platform adds value for SME customers,
LinkUMKM is an online empowerment platform designed to support MSMEs by providing access to offering enhanced business opportunities. Additionally, AgenBRILink partners benefit by purchasing
various business development resources. Open to the public, this platform offers a range of features goods in bulk at more competitive prices from corporate sellers within Localoka.
aimed at enhancing MSME capacity. Key features of LinkUMKM include the Naik Kelas Assessment,
Expert Consultation, and Product Showcase. As of today, LinkUMKM has surpassed 10 million
registered MSME members.
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Strategy
Empowerment of Indonesian Migrant Workers
To enhance remittance transactions for Indonesian Migrant Workers (PMI) across various countries,
BRI, through its subsidiary BRIRemittance, has developed an online remittance service in collaboration
with digital platform providers and financial technology (fintech) partners. Additionally, BRI is
committed to promoting financial inclusivity and literacy for PMI. Through partnership with Bank
Indonesia and Kantor Dagang dan Ekonomi Indonesia (KDEI), BRI provides education on the benefits of
cashless remittances. Supported by a global network of over 100 partners, BRI continues to accelerate
the development of remittance services, improving the efficiency and sustainability of cross-border
money exchanges.
Beyond facilitating financial transactions, BRI actively promotes financial inclusion programs, offering
education and training for PMI through digital outreach and affordable financial services. By doing so,
BRI not only enhances financial accessibility but also strengthens its commitment to improving financial
literacy and well-being for PMI worldwide.
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Risk Management
BRI has implemented a comprehensive strategy to advance financial inclusion initiatives. This strategy solutions to all segments of society. This approach seamlessly integrates conventional banking services,
encompasses product development, digital technology adoption, literacy enhancement, and strategic which rely on physical branch networks, with cutting-edge digital innovations.
partnerships, BRI to reach underserved and marginalized communities, including women, rural This model is further strengthened by BRIBrain, BRI’s advanced artificial intelligence and metadata
populations, and low-income households. analytics system, which enables accurate and data-driven business decisions. Additionally, the
adoption of digital innovations is designed to continuously enhance the quality of BRI’s digital products
Product and Strategy and services.
Through its hybrid banking business model, BRI delivers affordable and easily accessible financial
HYBRID BANK
Digitizing Core
Digitize existing services and transactions (business
7,568 Outlets
process) to boost productivity & unleash the potential • +1,000 Branches & Sub Branches
• +6,600 Micro Outlets
• 500 Cash Offices
747,030 E-Channel
Digital Loan Mobile Banking Smart Virtual for Customer
• 10,663 ATM
Underwriting Super Apps Assistance • 9,007 CRM
• 727,303 EDCs
• 57 E-Buzz
Digitizing Ecosystem
BRI Branchless Banking
beyond core business to leverage new liquidity.
new opportunities. and new sources of growth 1,064,219 Agents
Digital Ecosystem platform Ventures Capital
• Simple Financial Transaction Services (i.e.. money
(B2B. B2B2C) transfer. cash withdrawal. billing payment
• Loan Referral
• Saving Referral
• Micro Insurance Referral
Digital Partnership & Collaboration
New Digital Propositions Experienced Financial Advisors
Create and launch an independent greenfield
digital bank to tap the untapped segment
and embedded in customer’s life
27,000 (~73,000 UMI Holding)
Digital Capabilities
BRI Digital Advisors
Digital Loan Digital Saving Digital Bank
Digital Acquisition. Digital
Digital
Saving Transaction. and Digital Education
Physical Presences
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Risk Management
Distribution and Reach
Sumatra Sulawesi and Maluku
BRI remains committed to expanding
Branch Office: 95 Branch Office: 57
its financial service network, ensuring Sub-Branch Office: 105 Sub-Branch Office: 42
comprehensive access to banking services BRI Unit: 990 BRI Unit: 551
Cash Office: 74 Cash Office: 34
across Indonesia, from urban areas to the 3T Teras BRI: 206 Teras BRI: 39
Teras BRI Cars: 2 Teras BRI Cars: 2
regions (underdeveloped, frontier, outermost Teras Kapal BRI: 1 Teras Kapal BRI: 1
areas). With a presence in over 7,000 branch
offices nationwide, BRI continues to bridge
financial gaps and enhance economic inclusion. Kalimantan Papua
Branch Office: 13
To further extend its reach, BRI operates four Branch Office: 40
Sub-Branch Office: 13
Sub-Branch Office: 42
Bahtera Seva ship branches, providing banking BRI Unit: 372
BRI Unit: 88
Cash Office: 10
services to remote archipelagic regions. These Cash Office: 24 Jawa Bali and Nusa Tenggara
Teras BRI: 14
Teras BRI: 86 Branch Office: 32
services are also tailored to marginalized Teras BRI Cars: 2
Branch Office: 216
Sub-Branch Office: 26
Teras BRI Cars: 1
Sub-Branch Office: 327 Teras Kapal BRI: 0
groups, including women, rural populations, Teras Kapal BRI: 0 BRI Unit: 295
BRI Unit: 2.790
Cash Office: 338 Cash Office: 20
and low-income households. Teras BRI: 416 Teras BRI: 112
Teras BRI Cars: 58 Teras BRI Cars: 4
Teras Kapal BRI: 1 Teras Kapal BRI: 1
Partnership Development BRI fosters customer partnerships through the BRILink Agent scheme, recruiting customers as
independent partners to extend banking services to remote and underserved areas. These agents
BRI views its commitment to financial inclusion and literacy as an opportunity for long-term
facilitate a wide range of financial services, including account openings, cash withdrawals, bill payments,
sustainable growth. This commitment is realized through the optimization of resources and beyond-
digital transactions, and loan referrals. Their presence serves as a critical link between the communities
banking business escalation strategy, leveraging the Ultra Micro Holding partnership between BRI,
and formal banking services, reinforcing BRI’s financial inclusion model.
PT Pegadaian, and PT Permodalan Nasional Madani (PNM). Supported by a large customer base,
this initiative serves as a new growth driver for BRI, integrating an extensive infrastructure network, Additionally, BRI strengthens partnership development through collaborations with fintech companies,
comprehensive financial products and services, and strengthened retail banking. These efforts are local governments, and community organizations. These partnerships aim to broaden financial access
reinforced through business value chain development, digital product innovation, and enhanced and enhance literacy through targeted workshops and educational campaigns on financial products
synergy and cross-selling between BRI and its subsidiaries. and services.
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Metric and Target
BRI’s financial inclusion and literacy strategy focuses on promoting the adoption of financial technology
and digital banking services. Given the expansive reach and accessibility of of digital banking, this
approach enables BRI to serve a broader audience, including unbanked populations, by providing
seamless and affordable access to financial services.
Financial Inclusion and Literacy Metrics and Targets within the Key
Performance Indicators (KPI) of the Collegial Board of Directors
Several key parameters are used to assess the performance of the President Director and Board of
Directors in relation to financial inclusion and literacy. These include the realization of Kredit Usaha
Rakyat (KUR) disbursement, the number of active BRImo users, the achievement of KPI Holding UMi,
as well as the growth of average total deposits and total loans. KUR distribution during 2024 reached
IDR 184.98 trillion, while the number of active BRImo users stood at 24.3 million, reflecting the success
in expanding digital financial access. Additionally, the KPI Holding UMi realization reached 100.55%,
demonstrating the effectiveness of ultra-micro financing management.
From a financial growth perspective, the average total deposit growth (bank only) was recorded at
9.57%, reflecting strong customer confidence in placing funds with BRI. Meanwhile, the average total
loan growth (bank only) reached 9.16%, aligning with BRI's sustainable credit expansion strategy. With
continued advancements in financial inclusion and literacy, BRI remains committed to broadening
banking service access and driving sustainable economic growth.
No Parameter Realisation
1 KUR Disbursement Realization 99.72%
2 Number of Active Users of BRImo 24.3 Million
3 Realization of UMi Holding KPIs 100.55%
Completion of the Micro Business Transformation
4 100%
Blueprint and progress on implementation in 2024
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Robust Cybersecurity
Cybersecurity is essential for safeguarding sensitive financial data and ensuring the operational continuity, BRI has implemented a robust cybersecurity governance
framework, integrating security as a top priority across all levels of the bank’s operations. This framework includes oversight by the Board of Directors, the establishment of
a dedicated cybersecurity committee, and the appointment of a Chief Information Security Officer (CISO) to lead cybersecurity initiatives. Additionally, BRI has developed
a comprehensive cybersecurity policy that encompasses data protection, incident response, third-party risk management, and adherence to both local and international
cybersecurity standards. These standards include the General Data Protection Regulation (GDPR), the Payment Card Industry Data Security Standard (PCI DSS), and ISO
27001.
Four Pillars of IFRS Sustainability Disclosure Standards:
Governance Strategy Risk Management Metric and Target
The Structure of the Identify Key Opportunities and Risks Information Security Escalation Process Cybersecurity Metrics and Targets within
Information Technology the Key Performance Indicators (KPI) of the
Information Security Infrastructure and Handling Information Security Breaches
Steering Committee Collegial Board of Directors
Processes
Role of the Information Robust Cybersecurity Management
Enhancing Employee Awareness and
Security Work Unit
Capability in Information Security
Information Security Certification
External Verification
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Governance [GRI 3-3]
The Structure of the Information Technology Steering Committee [GRI 2-12] Voting
Membership Structure Position Title Rights
BRI's commitment to cybersecurity governance involves active participation from the Board of
Commissioners, Board of Directors, Chief Information Officer (CIO), risk management personnel, Director of Digital & Information Technology Chairman
and IT management. Given the intrinsic link between information security, technology, and risk
Substitute Chairman (also
control strategies, cybersecurity remains a critical priority. An effective cybersecurity strategy Network & Services Director
serving as Permanent Member)
must seamlessly integrate advanced technology, regulatory compliance, and a strong culture of
cybersecurity awareness among both employees and customers. Secretary (also serving as
Department Head, IT Governance Management
Permanent Member)
Digital & Information 1 Director of Risk Management
Technology Directorate
2 Director of Finance
Operations
Sub-directorate 3 SEVP, Operation
4 Division Head, IT Strategy & Governance
5 Division Head, Enterprise Data Management
6 Division Head, Application Management & Operation
IT Strategy & Enterprise Application & Quality Digital Enterprise Data IT Infrastructure Information
Architecture Management Innovation Management & Analytics & Operations Security 7 Division Head, Digital Banking Development & Operation Permanent Member
8 Division Head, IT Infrastructure & Operation
9 Division Head, Information Security
10 Division Head, Operational Risk
This governance framework is formalized through the Information Technology Steering Committee, as
11 Division Head, Digital Risk
stipulated in the Board of Directors' Decree No. 96-DIR/PPM/01/2024 on the Information Technology
12 Division Head, Distribution Network
Steering Committee of PT Bank Rakyat Indonesia (Persero) Tbk. The decree defines the committee’s
13 Division Head, Planning, Budgeting, & Performance Management
objectives, structure, duties, authority, responsibilities, and operating procedures.
The Information Technology Steering Committee is responsible for providing strategic guidance and 1 Director or SEVP of Related Field
Non-Permanent Member
recommendations to the Board of Directors on the planning, governance, development, and operation 2 Division Head of Related Field
of information technology. Continuous evaluation, regular updates to security protocols, and a
commitment to innovation are essential for maintaining effective cybersecurity measures, particularly Director of Compliance Permanent Member
as the financial industry navigates an increasingly dynamic digital landscape. A proactive, adaptive, and
collaborative approach to cybersecurity is therefore essential to safeguarding the integrity of financial
systems and reinforcing public trust.
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Governance
Role of the Information Security Work Unit
To strengthen its information security framework, BRI has established a dedicated Information Security
Unit. This unit is led by a Chief Information Security Officer (CISO), an experienced professional in the
field of security, holding industry-recognized certifications such as Certified Information Systems
Auditor (CISA) and Certified Information Systems Security Professional (CISSP). Reporting directly to
the Director of Digital & Information Technology, this unit is responsible for the following key areas:
l Security Architecture Design;
l Operational Security;
l Cyber Risk and Cyber Intelligence;
l Data Loss Prevention & Fraud;
l Identity & Access Management;
l Management, Investigation, and Forensic Programs; and
l Security Governance.
In addition to the Chief Information Security Officer (CISO), BRI has also established a Cyber Security
Incident Response Team (CSIRT) to ensure prompt and effective responses to cybersecurity incidents.
The CSIRT is led by a CSIRT Coordinator who oversees several specialized teams including:
l CSIRT Coordinator (serves as the lead for all teams)
l IT Unit - Information Security Function
l IT Unit - Planning Function
l IT Unit - Application System Development Function
l IT Unit - Application System Operations Function
l IT Unit - Infrastructure and Operations Function
l IT Unit - Application System Service Quality Function
l Digital Risk Management Unit
l Services and Contact Center Unit
l Corporate Secretariat Unit
l Legal Unit.
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Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Strategy
Identify Key Opportunities and Risks
Effective cybersecurity risk assessment methodologies and the implementation of industry standards market share, strengthened customer confidence, and an improved corporate image, reputation,
and best practices are critical for the banking industry to identify and mitigate cyber threats. and overall enterprise value. Conversely, the failure to implement adequate cybersecurity measures
Strengthening cybersecurity resilience requires leveraging advanced technologies and robust exposes financial institutions to heightened operational, reputational, regulatory, financial, and supply
frameworks to protect customer assets and uphold trust in the digital financial ecosystem. These chain risks.
measures not only enhance customer satisfaction and experience, but also contribute to increased
Key Opportunities and Risks Potential Impact Short Term Medium Term Long Term
Enhanced customer satisfaction and Increased market share and customer confidence
experience
Strengthened corporate image, reputation and overall
Opportunity enterprise value
Strengthened customer protection Enhanced security of products and services and improved
through innovation and digital technology operational efficiency
Operational risk due to data breaches, Financial Losses to Customers Due to System Downtime,
ransomware attacks, and insider threats Fraud, Unauthorized Access, and Data Breaches
Reputational risk due to cybersecurity Financial Losses to Customers and Erosion of Trust in the
incidents that could damage customer trust
and the bank's reputation Bank and the broader Financial Industry
Regulatory risk due to non-compliance Financial Losses Due to Fines and legal repercussions
with cybersecurity regulations and and Erosion of Trust in the Bank and the broader Financial
Risk standards leading to penalties Industry
Financial risk of financial loss due to fraud, Direct Financial Losses for Customers and diminished of
fines or recovery costs Trust in the Bank and the broader Financial Industry
Operational risk due to unreliability of Financial Losses for Customers Due to System Downtime,
supplier and third party services Fraud, unauthorized Access, and Data Breaches; Financial
Losses for the bank from Compensation and remediation
costs; and Erosion of Trust in the Bank and the broader
Financial Industry
Short term includes 1-5 years, medium 5-10 years, and long more than 10 years.
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Strategy
Information Security Infrastructure and Processes [FN-CB-230a.2.]
BRI's cybersecurity management aligns with established policies and regulatory frameworks,
including OJK Regulation No. 38/POJK.03/2016 on the Implementation of Risk Management in the
Use of Information Technology by Commercial Banks, ISO 27001:2013, PCI-DSS, and NIST standards.
Additionally, BRI enforces stringent customer data protection in accordance with OJK Circular No. 14/
Identify Protect Detect Respond Recover
SEOJK.07/2014 on the Confidentiality and Security of Consumer Personal Data and/or Information.
To ensure a structured approach to cybersecurity, BRI has developed the BRI Cybersecurity Maturity Assessment Security Governance Security Operation Cyber Incident IT Recovery
Framework, which is integrated into the Enterprise Security Architecture (ESA). This framework on the dimensions of Awareness and Center Response Team Orchestration
IT-Security Training Threat Intellegence (CSIRT) Strategic Post-Cyber-
follows the National Institute of Standards and Technology (NIST) Cybersecurity Framework and is
Gap Analysis and Data Secuity, Brand protection Attact Analysis
continuously refined based on the latest cyber threat analysis. The Enterprise Security Architecture Definition of Roadmap Account and Access
(ESA) is built on five pillars: Identify, Protect, Detect, Respond, and Recover, each addressing critical and associated action Management
aspects of information security. plan End Point Security
Application Security
The Identify pillar focuses on gap analysis, maturity assessments, and the development of BRI's security
Network Security
roadmap. Under the Protect pillar, BRI implements advanced security technologies and governance
Perimeter Security
measures. The Detect function is reinforced by a 24/7/365 Security Operation Center (SOC), which
continuously monitors cybersecurity threats. Additionally, BRI utilizes threat intelligence services from
internationally recognized providers for proactive threat monitoring.
Enhancing Employee Awareness and Capability in Information Security
To mitigate brand abuse risks, BRI has established a brand protection program that tracks unauthorised
use of its brand on social media. The bank also collaborates with third parties to conduct independent To enhance awareness of information security among its employees, BRI regularly implements
security reviews, including vulnerability assessments, penetration testing, and simulated cyber-attacks awareness programs through various formats and media, including:
(red team exercises). 1 Privacy Infographic: BRI has developed a series of infographics in the form of posters and
For the Respond and Recover pillars, BRI has formed a Cyber Security Incident Response Team publications on personal data protection for all employees. This initiative aims to raise awareness
(CSIRT) to manage and respond to cybersecurity incidents efficiently. The bank has also developed and embed a culture of data protection across all operational activities.
clear communication protocols to address incidents transparently with the public. Furthermore, 2 Privacy Podcast: BRI promotes data protection and privacy initiatives through an internal podcast
BRI partners with global cybersecurity experts to conduct forensics investigations and ensure rapid program, covering various topics related to data privacy and security. A recent episode, "Kata Data
incident resolution when necessary. Talks – Privacy Paranoia: Debunking Data Privacy Myths," explored common misconceptions
about data privacy.
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Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Strategy
3 Socialization and Internalization of a Personal Data Protection Culture: Awareness campaigns and 5 Establishing a dedicated Security Operation Center (SOC) that continuously monitors cybersecurity
internalization efforts are key components of BRI’s privacy initiatives, conducted across headquarters threats 24/7, 365 days a year.
and branch offices. These activities frequently feature external data protection experts, ensuring that 6 Utilizing threat intelligence services from internationally recognized providers.
employees receive accurate and up-to-date information.
7 Monitoring and addressing brand abuse threats through a brand protection program, which tracks
4 Privacy Mini Quiz: To assess employees’ understanding of personal data protection, BRI actively unauthorized use of the BRI brand on social media.
conducts interactive mini quizzes covering topics related to data processing within the organization.
8 Identifying system vulnerabilities and conducting independent security reviews, including
These quizzes serve as a tool to measure comprehension knowledge gained through privacy training
vulnerability assessments, penetration tests, and simulated cyber-attacks (red team exercises).
and awareness initiatives.
5 Privacy Training: In preparation for the enforcement of Indonesia’s Personal Data Protection 9 Establishing a Cyber Security Incident Response Team (CSIRT) to respond swiftly to information
Law (Law No. 27 of 2022), BRI collaborates with data protection experts, including the Ministry of security incidents.
Communication and Informatics, to provide specialized training for all employees within the BRI 10 Implementing communication protocols to ensure timely and transparent public disclosures of
Group. information security incidents.
6 E-learning: Information security is integrated into BRI’s e-learning curriculum, ensuring employees 11 Providing cybersecurity training for employees to prevent cybercrime threats.
acquire the necessary knowledge and skills to safeguard data privacy effectively. 12 Partnering with leading cybersecurity experts with global experience to conduct forensic reviews
7 Phishing Awareness Email Campaigns: BRI conducts targeted email campaigns designed to test and and cyber incident investigations.
enhance employees’ awareness of phishing threats and cybersecurity risks.
8 BRI Group Privacy Readiness Workshop: To strengthen compliance with the Personal Data Information Security Certification
Protection Law (UU PDP), BRI organized a Privacy Readiness Workshop on May 3, 2023. Attended
Validity
by representatives from the Ministry of Communication and Informatics of the Republic of Indonesia, Certification Scope Issuer
Period
the workshop provided BRI Group with a comprehensive understanding of legal obligations and the
BRIAPI, Big Data, Managing Event & Cyber
technical implementation of data protection measures across organizational units. ISO 27001: 2013 Threat Monitoring, Card Production, Spacecraft
British Standards October 31,
Institution (BSI) 2025
Operation, dan Data Center Facility
BRI has undertaken a range of initiatives to strengthen its cybersecurity posture including: Surveillance Brinets Express, Brilink Mobile, BRImo, British Standards December
ISO/IEC 20000
Extend Scope Brispot Institution (BSI) 19, 2024
1 Developing a structured governance framework for responding to information security incidents,
aligned with BRI's Disaster Recovery Plan (DRP) and Business Continuity Plan (BCP), as outlined
in the Circular Letter on Business Continuity Management. The BCP is tested annually with end-
users participation. External Verification
2 Establishing the BRI Cybersecurity Framework, which is integrated into the Enterprise Security To strengthen the security of its IT infrastructure and information security management systems, BRI
Architecture (ESA), and follows the National Institute of Standards and Technology (NIST) conducted an external verification in 2024. This process included Penetration Testing and Vulnerability
Cybersecurity Framework. Assessment performed by independent external parties.
3 Conducting gap analysis, maturity assessments, and developing BRI’s information security
roadmap
4 Developing advanced information security technologies and governance practices.
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Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Risk Management Pre-Incident Mitigation Techniques Post-Incident
Service Function Work Unit
BRI manages cybersecurity risks by implementing a comprehensive approach that integrates both Whistleblower
and Contact Center
CSIRT CSIRT CSIRT CSIRT
Preparation and Detection and Mitigation Report and
proactive and reactive measures to protect the bank's digital assets. Its cybersecurity strategy Encountering or
experiencing events
Reporting or handling incidents
that can be completed by Single
Planning Analysis Evaluation
that have the potential
encompasses multiple layers of security, including firewalls, intrusion detection systems, and endpoint to, or have jeopardized
Mitigation
the bank's cyber
protection. The bank also prioritizes regular training programs to educate employees on phishing, security Techniques
IT Help Desk Information
social engineering, and security best practices. BRI leverages artificial intelligence and machine Security Function Risk
Management and
learning to monitor, detect, and mitigate cyber threats. The bank also emphasizes the design of a Escalation of reporting or
handling incidents
Governance
secure cybersecurity architecture and the development and rigorous testing of cybersecurity incident Communication
response plans, ensuring minimal damage and recovery time in the event of an incident. Additionally, IT Work Unit Information
Security Function
BRI enforces third-party risk management, requiring vendors and partners to comply with the bank's Escalation of IT work unit
technical support handling CSIRT Coordinator Director of DTI Management Team
cybersecurity standards. Proposed Disaster
Escalation occurs BCM Disaster
when an incident Declaration and BCM Declaration and
is categorized as Activation Critical Activation
Cyber Security Incident Very High or when it
Information Security Escalation Process Response Team (CSIRT) escalates and cannot
be contained, thus
Escalation of handling that falling into the Very
requires coordination between IT
BRI has established a cybersecurity incident response framework, known as the BRI Cyber Security Work Units and others
High category.
Incident Response Team (CSIRT), as outlined in the Cybersecurity Incident Management Policy. The
escalation process for cybersecurity incidents within CSIRT is structured into four (4) distinct levels: Handling Information Security Breaches
l Level 0 Escalation is managed by the Service Units and Contact Center, responsible for receiving Cybersecurity measures play a critical role in preventing fraud within the banking sector. By
cybersecurity incidents reports from both external and internal sources. implementing robust security controls such as data encryption and access restrictions, banks can
l Level 1 Escalation is handled by the Single Point of Contact Function (IT Service Desk), which protect sensitive customer information and mitigate the risk of fraudulent activities. However, employee
formally reports cybersecurity incidents. involvement in cybersecurity is equally vital, as heightened awareness fosters proactive measures to
l Level 2 Escalation is executed by the Operations Function within each IT Unit, tasked with assessing counter cyber threats.
and addressing cybersecurity incidents that require immediate attention and remediations. BRI has established a comprehensive cybersecurity framework, supported by dedicated programs
l Level 3 Escalation is led by the CSIRT Coordinator, involving relevant Units to manage moderate to and a specialized security team to manage potential information security breaches and incidents. The
high-impact cybersecurity incidents, with broader authority across the organization. bank continuously strengthens its cybersecurity posture by assessing maturity and readiness level
annually. To ensure service availability and minimize disruptions, BRI enforces a strict incident response
BRI's cybersecurity incident response is structured into four (4) key activity groups: Preparation and
timeline, with a maximum detection time of 90 minutes and a resolution/recovery time of 180 minutes
Planning, Detection and Analysis, Mitigation, and Reporting and Evaluation. These groups function as
for security incidents. These measures are designed to uphold the resilience and reliability of BRI’s
interdependent components, ensuring an integrated incident response workflow within CSIRT. The
public-facing services.
structured workflow can be visually represented in the following diagram:
Information security/cybersecurity breaches are considered disciplinary violations within BRI, as
stipulated in the Circular Letter on Disciplinary Regulations. Employees found in violation may be
subject to formal disciplinary action based on specific violation codes, including TSI-19 (failure to
maintain the security of IT systems in accordance with regulations) and TSI-20 (failure to safeguard
usernames, passwords, or other IT data access responsibilities). Sanctions for such violations may
include performance evaluation score reductions (0.25–0.75), salary deductions (10–15%), and other
penalties.
For more details on BRI’s IT roadmap and cybersecurity strategy, as outlined by the Directorate of
Digital and Information Technology, refer to BRI's 2024 Annual Report.
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Metric and Target
Cybersecurity Metrics and Targets within the Key Performance Indicators
(KPI) of the Collegial Board of Directors [GRI 418-1] [FN-CB-230a.1] [FN-CB-230a.2]
Cybersecurity performance within the evaluation parameters for the President Director and the Board
of Directors is assessed based on incidents of cybersecurity breaches. The risk of such breaches may
stem from outdated technology, insufficient regulations and procedures, or human factors, whether
intentional or unintentional. The achievement of cybersecurity targets is directly linked to customer
trust, which plays a critical role in financial performance. This trust is reflected in BRI’s financial
statements, particularly through the growth in deposit and loan values, which reached IDR 1,360 trillion
and IDR 1,215 trillion, respectively, in 2024.
No Indicator Unit Achievement
1 Cybersecurity breach incidents # 0
There have been no cybersecurity breach incidents that fall under any of those consequences.
Robust Cybersecurity Management
Cybersecurity breaches can have significant consequences, including operational disruptions, loss
of customer trust, and potential regulatory sanctions, fines, or compensation claims from affected
customers or regulatory bodies. To effectively monitor cybersecurity management, the following key
metrics are utilized.
No Indicator Unit Achievement
1 Incident Detection Time Minutes 4
2 System Uptime % 99.986
3 Vulnerability Remediation Minutes 10
4 Penetration Testing Success % 100
5 Percentage of personal data breach % 0
6 Number of Affected Account Holders Accounts 0
Regarding the aforementioned incident, vulnerability detection and remediation times were recorded
at 4 minutes and 10 minutes, respectively, from the point of detection. Additionally, comprehensive
penetration testing has been successfully conducted across all systems. Furthermore, system uptime
has exceeded established targets, demonstrating robust and resilient operational performance.
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Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Good Corporate Governance Implementation
BRI upholds an integrated governance framework guided by the principles of Good Corporate Governance (GCG). This approach functions as a risk mitigation measure
within BRI’s financial conglomerate, ensuring the effective implementation of governance practices while safeguarding the organization’s long-term sustainability.
Four Pillars of IFRS Sustainability Disclosure Standards:
Governance Strategy Risk Management Metric and Target
Integrated Governance (Corporate Stakeholder Engagement Risk Management Evaluation of the Performance of the Board of Commissioners
Governance Policies and Scenarios
BRIVolution 2.0 Evaluation of the Board of Directors' Performance
Principles)
Opportunities and Risks Sustainability-Based Incentives at BRI
Governance Policies and
Principles Corporate Culture Key Performance Indicators (KPIs) and Targets for the Board of Directors
regarding the Implementation of Good Corporate Governance
Governance Structure Performance Management and
Compensation System of the Board of Metrics and Targets of Good Corporate Governance Implementation
Stakeholder Engagement
Commissioners and Directors according to the ASEAN Corporate Governance Scorecard
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Governance
Integrated Governance (Corporate Governance Policies and Principles)
BRI As part of its risk mitigation strategy within the BRI Financial Conglomerate, and to strengthen the
implementation of good governance principles while ensuring the sustainability of business operations
across its financial entities, BRI applies an integrated governance model based on Good Corporate Governance Outcome
Governance (GCG) principles. Expected results in implementing
governance at BRI in a conglomerate
In 2024, BRI further refined its Integrated Governance framework, established a structured parenting manner
Governance Outcome Credibility
style for managing subsidiary companies, and conducted comprehensive evaluations to assess the
Governance
maturity level of integrated governance implementation, as well as the effectiveness of responsibility Process
execution across all units within the BRI Financial Conglomerate. Governance Structure Governance Process
Implementation process
Integrated Compliance and Governance with reference
Governance General Meeting of Shareholders
to the guidelines/
Structure
Governance Policies and Principles Implementation structure Board of Commissioners and Committees
Integrated Risk Management
policy and/or
existing rules
governance (implementer
Communication
BRI upholds the principles of Good Corporate Governance (GCG), encompassing transparency, and infrastructure) Integrated Internal Audit
Monitoring
Reporting
accountability, responsibility, independence, and fairness. In line with the principle of fairness, BRI is Directors and Committees Commitment
Strategic Planning and
committed to fostering equitable and just trretment of all stakeholders, ensuring alignment with the Development Director
Work Management The company's
(Applies only to the parent company) commitment to
benefits and contributions they provide to the company. [F.18] Policy Formulation and Alignment upholding the
implementation
Integrated Work Unit and PA Management
of governance
The implementation of GCG at BRI serves the following objectives: [E.3] Work Unit (SKAIT, SKMRT, SKKT, SBM) Relationship with Stakeholders
1 Supporting the achievement of the company's vision and mission through enhanced performance;;
Governance
Commitment
2 Providing clear guidance for all BRI personnel in fulfilling their duties and responsibilities in Principles
accordance with their respective functions within the organization; Principles
which become
Articles of Association,
basis for Vision, Mission and Values Strategic Plan Company Culture and
3 Strengthening shareholder and stakeholder confidence by ensuring professional management and mplementation
Code of Conduct (Code of Ethics),
and other applicable provisions
Enforcement of Discipline
governance
oversight of the company;
4 Facilitating policy development and decision-making processes that adhere to GCGprinciples; and Governance Principles
5 Establishing BRI as a responsible corporate citizen. Transparency Accountability Responsibility Independency Fairness
Legal Foundation
POJK No. 18/POJK.03/2014 Implementation of Integrated Governance for Financial Conglomerates
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Governance
Governance Structure [GRI 2-9] [GRI 2-11]
BRI implements a two-tier governance structure that distinctly separates the roles of the Board of Commissioners and the Board of Directors. The Board of Commissioners, composed of non-executive directors, is
responsible for supervisory functions, while the Board of Directors, consisting of executive directors, oversees the management of the company. As of December 31, 2024, the Board of Commissioners comprises 10
members, seven of whom are Independent Commissioners, while the Board of Directors consists of 12 members. Both boards are accountable to the General Meeting of Shareholders (RUPS).
BRI’s governance structure is composed of the following:
1 Main Organs. These include the General Meeting of Shareholders (RUPS), the Board of Commissioners, and the Board of Directors;
2 Supporting Organs. These encompass various Committees under the Board of Commissioners such as the Audit Committee, Risk Management Monitoring Committee, Nomination and Remuneration Committee
and Integrated Governance Committee, each responsible for specific governance functions. Additionally, the structure includes the Board of Directors’ Committees and operational units that facilitate the
effective implementation of Good Corporate Governance (GCG).
The following illustrates BRI’s organizational structure:
General Meeting of Shareholders
Board of Commissioners
Board of Management
President Director
Vice President Director
Institutional Commercial, Digital &
Consumer Micro Retail Funding Risk Human
& Wholesale Small and Information Finance Compliance
Business Business and Distribution Management Capital
Business Medium Business Technology
Treasury & Human Change Fixed Assets
Commercial Ultra Micro Management & Management & Internal
Global Service Operations Capital Transformation
Business Business Procurement Audit
Business Strategy Office
Directors SEVP
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Board of Commissioner and Board of Directors [GRI 2-11]
Profile of the Board of Commissioners
Kartika Wirjoatmodjo Rofikoh Rokhim Rabin Indrajad Hattari Awan Nurmawan Nuh Dwi Ria Latifa
Position President Commissioner Deputy President Commissioner/ Commissioner Commissioner Independent Commissioner
Independent Commissioner
Tenure Start Date July 3, 2020 November 30, 2021 July 27, 2020 December 8, 2023 January 20, 2021
Experience • President Commissioner of PT Bank • Deputy President Commissioner/ • Commissioner of PT Bank Rakyat • Commissioner of PT Bank Rakyat • Independent Commissioner of PT
Rakyat Indonesia (Persero) Tbk Independent Commissioner of PT Indonesia (Persero) Tbk (2020 - Indonesia (Persero) Tbk (2023 - Bank Rakyat Indonesia (Persero)
(2020 - present) Bank Rakyat Indonesia (Persero) present) present) Tbk (2020 - present)
• Deputy Minister of State-Owned Tbk (2021 - present) • Secretary of the Ministry of SOEs • Inspector General, Ministry of • Member of the House of
Enterprises (2019 - present) • Company Appraisal and Trading (2023 - present) Finance (2021 - present) Representatives (2014-2019)
• Deputy Chairman of KADIN Committee of the Indonesia Stock • Expert Staff for Industry at the • Expert Staff for Tax Regulation and • Chairperson of Dharma Wanita
Indonesia for SOEs - Indonesian Exchange (2023 - present) Ministry of SOEs (2021 - 2023) Law Enforcement (2016 - 2021) Persatuan (DWP) of the Indonesian
Chamber of Commerce and • Lecturer and Researcher at the Embassy in Cairo (2016 - 2020)
Industry (KADIN) (2021 - present) Faculty of Economics and Business,
University of Indonesia (2006 -
present)
Skills Banking, Finance, Risk Management Finance, Economics, Management Economics, Statistics, Management Audit, Accounting, Taxation Law, Social Politics, Regulation
Gender Male Female Male Male Female
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Governance
Board of Commissioner and Board of Directors
Profile of the Board of Commissioners
Heri Sunaryadi Paripurna Poerwoko Sugarda Agus Riswanto Nurmaria Sarosa Haryo Baskoro Wicaksono Hendrikus Ivo*
Position Independent Commissioner Independent Commissioner Independent Commissioner Independent Commissioner Independent Commissioner Independent Commissioner
Tenure Start Date February 8, 2022 August 8, 2022 August 8, 2022 August 8, 2022 August 8, 2022 August 29, 2019
*terminated from March 1, 2024
Experience • Independent Commissioner • Independent Commissioner • Independent Commissioner • Independent Commissioner • Independent Commissioner • Independent Commissioner
of PT Bank Rakyat Indonesia PT. Bank Rakyat PT. Bank Rakyat PT. Bank Rakyat PT Bank Rakyat of PT Bank Rakyat Indonesia
(Persero) Tbk (2021 – Indonesia (Persero) Tbk. Indonesia (Persero) Tbk. Indonesia (Persero) Tbk. Indonesia (Persero) Tbk. (Persero) Tbk (2019 - 2024)
present) (2022-present) (2022-present) (2022-present) (2024-present); • Senior Advisor to the
• Board of Commissioners of • Vice Chancellor for • Expert Staff to the Attorney • Executive Director of PT • Commissioner at PT Chairman of the Board
PT Merdeka Copper Gold Cooperation and Alumni, General of the Republic of Selaras Logistik Indonesia Transportasi Gas Indonesia of Commissioners of the
Tbk (2018-2021) Gadjah Mada University Indonesia for Intelligence, (2021) (2023 - 2024); Financial Services Authority
• Board of Commissioners (2014-present) the Office of the Attorney • Director of Finance and • Head of Transformation (OJK) (2018)
of PT Indonesian Central • Head of Asia Pacific General of the Republic of Corporate Affairs, PT Cardig & Subsidiaries - Bank • Deputy Commissioner for
Securities Depository (2016- Research Center, UGM Indonesia (2018-present) Express Nusantara (2020- Muamalat (2023); Investigation, Organization
2018) (2020 present) • Director of Intel 2021) • Head of Transformation & and Human Resources
Cryptography and Corporate Strategy - Bank of the Financial Services
Production, the Office of Bukopin Syariah (2023) Authority (OJK) (2017)
the Attorney General of the
Republic of Indonesia (2015-
2018)
Skills Capital Markets, Technology, Law, Social Politics, Law, Regulation, Intelligence ESG, Logistics, Management Governance, Risk Banking, Law, Audit
Management Management Management, and Compliance
(GRC); Management
Gender Male Male Male Female Male Male
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Governance
Board of Commissioner and Board of Directors
Profile of the Board of Directors
Sunarso Catur Budi Harto Supari Amam Sukriyanto Handayani Agus Winardono
Position President Director Deputy President Director Director of Micro Business Director of Commercial, Small, Director of Consumer Business Director of Human Capital
and Medium Business
Tenure Start Date December 20, 2019 December 20, 2019 December 4, 2018 April 14, 2021 March 14, 2018 April 14, 2021
Experience • President Director of PT • Deputy President Director • Director of PT Bank Rakyat • Director PT Bank Rakyat • Director of PT Bank • Director of PT Bank Rakyat
Bank Rakyat Indonesia PT Bank Rakyat Indonesia Indonesia (Persero) Tbk Indonesia (Persero) Tbk Rakyat Indonesia (Persero) Indonesia (Persero) Tbk
(Persero) Tbk (2019 – (Persero) Tbk (2019-present) (2018-present) (2021-present) Tbk(2017-present) (2021 – present)
present) • Director of Small Business • SEVP Transformation PT • SEVP Fixed Assets • Director of PT Bank • President Director PT Prima
• Deputy President Director and Networks of PT Bank Bank Rakyat Indonesia Management & Tabungan Negara (Persero) Karya Sarana Sejahtera
of PT Bank Rakyat Indonesia Negara Indonesia, Tbk (Persero) Tbk (2017-2018) Procurement of PT Bank Tbk (2016-2017) (2020-2021)
(Persero) Tbk (January 2019 (Persero) 2017-2019) • SEVP Network Management Rakyat Indonesia (Persero) • Commercial Director of PT • Head of Internal Audit
– September 2019) • Director of PT Bank PT Bank Rakyat Indonesia Tbk (2020-2021) Garuda Indonesia Tbk (2014- Jakarta Regional Office 2
• President Director of Tabungan Negara (Persero) (Persero) Tbk (2017) • Executive Vice President 2016) PT Bank Rakyat Indonesia
PT Pegadaian (Persero) Tbk (2016-2017) Corporate Secretary of (Persero) Tbk (2020)
(October 2017 – January PT Bank Rakyat Indonesia
2019) (Persero) Tbk (2020) Tbk
(2020-2021)
Skills Wholesale Banking, Corporate Consumer Banking, Wholesale Micro Banking, Risk Retail Banking, International Consumer Banking, Wholesale Human Capital, Risk
Banking, Micro Banking, Risk Banking, Risk Management, Management, Manajemen Business Banking, Risk Banking, Risk Management, Management, Ekonomi,
Management, Administrasi Manajemen Management, Master Manajemen Manajemen Keuangan
Bisnis, Manajemen Administrasi Bisnis Advance
Gender Male Male Male Male Female Male
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Board of Commissioner and Board of Directors
Profile of the Board of Directors
Viviana Dyah Ayu Retno K. Andrijanto Agus Sudiarto Agus Noorsanto Arga M. Nugraha Ahmad Solichin Lutfiyanto
Position Finance Director Direktur Jaringan dan Layanan Director of Risk Management Director of Wholesale and Director of Digital and Director of Compliance
Institutional Business Information Technology
Tenure Start Date April 14, 2021 June 22, 2022 December 20, 2019 December 20, 2019 April 14, 2021 April 1, 2021
Experience • Director of PT Bank Rakyat • Director of PT Bank Rakyat • Director of PT Bank Rakyat • Director of PT Bank Rakyat • Director of PT Bank Rakyat • Director of PT Bank Rakyat
Indonesia (Persero) Tbk Indonesia (Persero) Tbk Indonesia (Persero) Tbk Indonesia (Persero) Tbk Indonesia (Persero) Tbk Indonesia (Persero) Tbk
(2021 – present) (2022 – present) (2019 – present) (2019-present) (2021 – present) (2018 – present)
• Executive Vice President of • Head of Planning, • Senior Executive Vice • President Director of PT • Executive Vice President • Head of Human Capital
Subsidiary Management of Budgeting & Performance President Special Asset Bank Rakyat Indonesia BRILink Network Division of Policy and Development
PT Bank Rakyat Indonesia Management Division of Management of PT Bank Agroniaga, Tbk (2017-2019) PT Bank Rakyat Indonesia Division PT Bank Rakyat
(Persero) Tbk (2019-2021) PT Bank Rakyat Indonesia Mandiri (Persero) Tbk • Senior Executive Vice (Persero) Tbk (2020-2021) Indonesia (Persero) Tbk
• Vice President of Desk (Persero) Tbk (2021-2022) • President Director of Bank President Network and • Deputy Head of E-Banking (2017-2018)
Subsidiary Management of • Head of Corporate Syariah Mandiri (2014-2017) Services of PT Bank Rakyat Division, Retail Payment • Head of Transaction Banking
PT Bank Rakyat Indonesia Development & Strategy Indonesia (Persero) Tbk Division, PT Bank Rakyat Division of PT Bank Rakyat
(Persero) Tbk (2018-2019) Division of PT Bank Rakyat (2016-2017) Indonesia (Persero) Tbk Indonesia (Persero) Tbk
Indonesia (Persero) Tbk (2018-2020) (2016-2017)
(2019-2021)
Skills Risk Management, Finance & Finance, Risk Management, Risk Management, Sharia Wholesale Banking, Corporate IT & Digital Banking, Risk Risk Management, Governance,
Strategic Akuntansi Banking, Corporate Banking, Banking, Risk Management, Management, Manajemen Risk Management, and
Manajemen, Hukum Manajemen, Akuntans Compliance (GRC), Wholesale
Banking, Manajemen
Gender Female Male Male Male Male Male
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Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Governance
Independence of the Board of Commissioners and Board of Directors [GRI 2-10] BRI’s shareholding by the Board of Directors and non-independent members of the Board of
To maintain the objectivity and independence of the Board of Commissioners in carrying out its Commissioners is incorporated as part of the remuneration components, in accordance with
supervisory function, BRI has established a policy defining the criteria for Independent Commissioners. regulations set forth by the Ministry of State-Owned Enterprises of the Republic of Indonesia, aimed at
At least 50% of the Board of Commissioners must consist of Independent Commissioners. Independent ensuring sustainable performance. As of December 31, 2024, there is no significant share ownership by
Commissioners must meet the requirements in accordance with OJK Regulation No. 33/POJK.04/2014 the Board of Directors, the Board of Commissioners, or shareholders within the BRI Group, as detailed
on the Board of Directors and Board of Commissioners of Issuers or Public Companies, as follows: in the section on Share Ownership of the Board of Directors and Board of Commissioners.
1 Not having been employed by or holding authority and responsibility for planning, leading,
controlling, or supervising the company’s activities in the past 6 (six) months, except when being Effectiveness of the Board of Commissioners and Directors
reappointed as an Independent Commissioner. Nomination Process for the Board of Commissioners and Directors [GRI 2-10]
2 Not holding direct or indirect share ownership in the Company. The appointment of the Board of Commissioners and Directors is conducted during the General
3 Not having affiliations with the Company, members of the Board of Commissioners, members of Meeting of Shareholders (RUPS). Upon appointment, members serve a one-term period of five years
the Board of Directors, or major shareholders. and may be reappointed for one additional term, not exceeding five years. The selection process for
4 Not having any direct or indirect business relationships related to the Company’s operations. potential candidates for the Board of Commissioners and/or Directors is governed by the following
regulations:
The nomination process for members of the Board of Commissioners and Directors is governed by
Additionally, affiliated parties, as defined by Law Number 4 of 2023 on the Development and
Decree Letter NOKEP:07-KOM/BRI/07/2015, dated July 28, 2015, and adheres to the following general
Strengthening of the Financial Sector, include:
policies:
1
Commissioners, Directors, Officers, and Employees of the Bank. The Nomination and Remuneration
The Board of Directors presented the
KNR conducted administrative
Top Talent list based on BRI's Talent
2 Committee (KNR) requested the screening and selection/interviews
Service providers to the Bank, including public accountants, appraisers, legal consultants, and Board of Directors, through a letter,
Management System, the results of
for the proposed Executive Candidate
an assessment by an independent
other consultants. to provide a list of BRI's
institution, and the outcomes
Top Talents
3 01 of the BRI Talent Committee 02 03
Entities that control or are controlled by the Bank, either directly or indirectly; and/or meeting
4
Parties deemed by the Financial Services Authority (OJK) to influence the Bank’s management,
The Board of Commissioners The Board of Commissioners held
either directly or indirectly. This includes individuals with familial relations by marriage or a meeting to determine the candidates Based on the selection and
presented the list of Candidates to
to be proposed to the Series A meeting results, KNR submitted
the Series A Dwiwarna Shareholders
descent up to the second degree, both horizontally and vertically, with members of the Board of and/or Cluster Talent Dwiwarna Shareholders and/or recommendations for Prospective
Executive Candidates to the
Commissioners, Board of Directors, or other key officials of the Bank Committee 06 Cluster Talent Committee
03 Board of Commissioners 04
The criteria for Independent Commissioners adhere to applicable laws, regulations, and governance
standards, including Law No. 8 of 1995 on the Indonesian Capital Market, as amended by Law No. 4 KBUMN proposed candidates in the Determination of executive Assessment of the competence
General Meeting of Shareholders candidates in the General\ and suitability of executives
of 2023 on the Development and Strengthening of the Financial Sector; the Minister of State-Owned through the authority of Meeting of Shareholders
Enterprises Regulation on Governance Guidelines and Significant State-Owned Enterprise Activities; Series A Dwiwarna
Shareholders 07 08 09
the Financial Services Authority Regulation No. 33/POJK.04/2014 concerning the Board of Directors
and Board of Commissioners of Public Companies; POJK 17/2023 concerning the Implementation
of Governance for Commercial Banks; the Financial Services Authority Circular Letter No. 13/
SEOJK.03/2017 on the Implementation of Good Corporate Governance for Commercial Banks; and the Determination of the effective date as corporate executives
relevant national or international regulations and standards. 10
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
Navigating Climate Risk Through the Customer Service Fostering Financial Robust Good Corporate Governance
Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Governance Board of Commissioners and Board of Directors Attendance at Meetings
Board of Commissioners Meetings
The nomination process for members of the Board of Commissioners and Board of Directors was established The implementation of Board of Commissioners meetings is governed by the Board of Commissioners'
through Decision Letter NOKEP:07-KOM/BRI/07/2015, dated 28 July 2015 with the following general policies: Guidelines and Rules of Procedure. These meetings include Internal Board of Commissioners Meetings
1 The Board of Commissioners has the authority to propose candidates for the Board of Directors and/or and joint meetings with the Board of Directors. Internal meetings must be held regularly, at least once
the Board of Commissioners of the Bank. a month, While joint meetings with the Board of Directors are required at least once every four months.
2 The nomination process for the Board of Directors is conducted for potential candidates from within the Meetings may also be convened at any time at the request of one or more members of the Board of
Bank, specifically: Commissioners or upon the request of the Board of Directors, with a specified agenda. A meeting is
a. Directors whose terms are expiring but are eligible for reappointment as Directors. considered valid and authorized to make binding decisions if attended or represented by more than
b. Officials one level below the Board of Directors or officials with outstanding achievements. half of the total members of the Board of Commissioners. Based on attendance records, the average
c. Directors of subsidiaries or joint ventures. attendance rate of the Board of Commissioners at these meetings is 99.55%.
3 The nomination process for the Board of Commissioners is conducted for potential candidates among Board of Directors Meetings
the current members of the Board of Commissioners whose terms are expiring but are eligible for The policy governing Board of Directors meetings is outlined in the Board of Directors' Work Guidelines. The
reappointment. Board of Directors is required to convene meetings regularly, at least once a month. In addition to these
4 For potential candidates for the Board of Directors and/or the Board of Commissioners, excluding officials meetings, joint meetings with the Board of Commissioners must be conducted at least once every four
one level below the Board of Directors and Directors of subsidiaries, the nomination process is carried out months. Board of Directors meetings are chaired by the President Director. In the event of the President
collectively by a Team established by the Series A Dwiwarna Shareholders. This Team is responsible for Director’s absence or inability to attend, the Vice President Director assumes the role of chair. A meeting
identifying and nominating candidates for the Board of Directors and/or the Board of Commissioners to is considered valid and authorized to make binding decisions if attended and/or represented by more
be presented at the General Meeting of Shareholders. than two-thirds (2/3) of the total members of the Board of Directors and/or the Board of Commissioners.
5 During the nomination process, the Committee is represented by the Committee Chair. If the Committee Based on attendance records, the average attendance rate of the Board of Directors at these meetings is
Chair is unavailable, one of the Independent Commissioners serving as a Committee member will assume 97.44%. Comprehensive details regarding the attendance of the Board of Commissioners and Board of
the role. Directors meetings are available in BRI's 2024 Annual Report.
6 This decision also grants the Committee Chair or Independent Commissioner the authority to:
• Represent the Committee as a member of the Evaluation Team formed by the Series A Dwiwarna Mandate of the Board of Commissioners
Shareholders. The mandates or concurrent positions held by members of the Board of Commissioners of BRI refer
• Provide recommendations for candidates for the Board of Directors and/or the Board of Commissioners, to the provisions outlined in Financial Services Authority Regulation No. 17 of 2023 concerning the
ensuring compliance with integrity, competence, and financial reputation requirements. Implementation of Governance for Commercial Banks. Under this regulation, members of the Board of
7 The Committee Chair or the Independent Commissioner representing the Committee must avoid conflicts Commissioners are prohibited from holding concurrent positions as members of the Board of Directors,
of interest and maintain their independence. Board of Commissioners, or Executive Officers in financial institutions or financial companies, including
both banking or non-banking entities. Additionally, they may not hold concurrent positions in more
Diversity of the Board of Commissioners and the Board of Director [GRI 3-3] [GRI 405-1] than one (1) non-financial institution or non-financial company, whether based domestically or abroad.
In compliance with this regulation, all members of the Board of Commissioners of BRI hold fewer than
BRI’s diversity policy for the composition of the Board of Commissioners and the Board of Directors
four mandates.
aligns with Financial Services Authority Circular Letter No. 32/SEOJK.04/2015 on Guidelines for
Corporate Governance of Public Companies. The appointment of members to both boards is carried out
with careful consideration of various factors including age, gender diversity, educational background, Share Ownership [GRI 2-19] [GRI 2-20]
professional experience, integrity, dedication, and a strong understanding of corporate management, Share ownership by the Board of Directors reflects a commitment to responsible governance and long-
expertise in the relevant fields required for the organization, ability to allocate sufficient time to fulfil term value creation. As per SE.09.c-DIR/KEP/03/2023 dated December 31, 2024, on Good Corporate
responsibilities, and compliance with all applicable laws and regulations. Governance implementation, BRI encourages Directors to hold BRI shares during their tenure,
supported by short-term (STI) and long-term incentives (LTI). As of December 31, 2024, the average
As part of BRI’s commitment to gender diversity in leadership, women represent 30% out of 10 members
shareholding of the Board of Commissioners was 1,300,200 shares per member, while the President
of the Board of Commissioners, and 16.67 of the Board of Directors. [GRI 2-10]
Director held 5,658,656 shares, with an average of 4,226,472 shares per Director.
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Governance
Expertise of the Board of Commissioners and Board of Directors [GRI 2-17] [GRI 405-1]
Each member of the Board of Commissioners and Board of Directors of BRI brings a diverse background in experience, education, and expertise, enabling them to make informed and effective decisions. Additionally,
BRI is committed to continuously enhancing the competencies and skills of its board members through a range of educational and training programs. [E.2] [F.22] [GRI 2-17]
Board of Commissioners Skills Matrix Board of Directors Skills Matrix
Rabin Paripurna Awan Haryo Viviana Ahmad
Kartika Rofikoh Hendrikus Dwi Ria Heri Agus Nurmaria Catur Budi Amam Agus Agus Agus Arga M.
Skills Wirjoatmodjo Rokhim
Indrajad
Ivo* Latifa Sunaryadi
Poerwoko
Riswanto Sarosa
Nurmawan Baskoro Skills Sunarso Supari Handayani Dyah Andrijanto Solichin
Hattari Sugarda Nuh Wicaksono Harto Sukriyanto Winardono Sudiarto Noorsanto Nugraha
Ayu Retno K. Lutfiyanto
Banking ✔ ✔ Wholesale
Banking ✔ ✔ ✔ ✔ ✔
Finance ✔ ✔
Corporate
Banking ✔ ✔ ✔
Risk Management ✔ Micro Banking ✔ ✔
Economy ✔ ✔
Consumer
Banking ✔ ✔
Retail Banking ✔
Statistics ✔ International
Business ✔
Law ✔ ✔ ✔ ✔ Banking
Auditing ✔ ✔
IT & Digital
Banking ✔
Sharia Banking ✔
Social Politic ✔ ✔ Risk
Management ✔ ✔ ✔ ✔ ✔ ✔ ✔ ✔ ✔ ✔ ✔ ✔
Regulation ✔ ✔ Governance, Risk
Management, and ✔
Capital Market ✔ Compliance (GRC)
Human Capital ✔
Technology ✔ Business
Administration ✔
Intellegence ✔
Accounting ✔ ✔
ESG ✔ Management ✔ ✔ ✔ ✔ ✔ ✔ ✔ ✔
Logistic ✔ Law ✔
Accounting ✔
Finance ✔
Economy ✔
Taxation ✔ Finance
Management ✔
Management ✔ ✔ ✔ ✔ ✔ ✔ Advanced Master
Governance,
of Business
Administration
✔
Risk Management, ✔
and Compliance (GRC) Finance & Strategic ✔
*in office until March 1, 2024
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Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Governance
Corporate Governance Committee and Other Committees [GRI 2-13] [GRI 2-14] [GRI 2-15] [GRI 2-16]
[GRI 2-26]
Committees under the Board of Commissioners
Committee Responsibility Committee Chair
Audit Committee Evaluate and ensure the implementation of internal Vice President
control, supervision of the quality of financial statements, Commissioner
the implementation of the Internal Audit Unit (SKAI), / Independent
integrated governance, compliance with regulations Commissioner
in the Company, as well as the effectiveness of
independent auditors. In addition, the Audit Committee
ensures the function of the Whistleblowing System
(WBS) as a transparent means of complaint, supervises
the implementation of social and environmental
responsibility programs, and conducts an assessment of
the Company's health level to ensure operations run in
accordance with the principles of good governance and
support the achievement of Company goals.
Nomination and Evaluate and ensure the implementation related to the Independent
Remuneration Company's nomination and remuneration function is Commissioner
Committee in accordance with regulations and good corporate
governance principles.
Risk Management Evaluate and ensure that the company's risk Independent
Monitoring management implementation continues to meet Commissioner
Committee the adequacy of procedures and risk management
methodologies, ensuring that the company's activities
remain controlled within acceptable risk limits while
maintaining profitability.
Integrated Evaluating and ensuring the implementation of Independent
Governance comprehensive and effective governance that upholds Commissioner
Committee the principles of transparency, accountability,
responsibility, independence, professionalism, and
fairness in an integrated manner across the Financial
Conglomerate.
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Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Governance
Committees under the Board of Directors
Committee Responsibility Committee Chair
Risk Management The Risk Management Committee is responsible the following duties: President Director
Committee l Establishing the Risk Management Policy and its amendments, including the implementation of risk management policies, risk
management strategies and contingency plans in response to abnormal external conditions.
l Defining and updating the risk measurement methodology as needed.
l Setting and revising risk limits.
l Determining the bank’s Risk Profile and Health Level, and implementing follow-up actions when necessary.
l Defining corrective measures based on BRI’s Individual capital analysis and stress testing.
The Integrated Risk Management Committee is responsible the following duties and:
l Establishing the Integrated Risk Management policy and its amendments..
l Defining corrective measures based on the evaluation of Integrated Risk Management implementation, which includes:
a. Integrated risk profile report.
b. Individual risk profile report of BRI's financial conglomerate member subsidiaries.
c. Integrated capital analysis.
d. Integrated and or individual stress testing simulation and contingency plan.
Environmental, l Approving and providing strategic direction on the results of reviews and evaluations regarding the implementation of policies President Director
Social & and governance parameters for ESG and TJSL (CSR) initiatives, as prepared by the relevant Work Units and proposed by the
Governance (ESG) Committee Support Team.
Committee l Determining work programs that qualify as ESG and TJSL (CSR) initiatives based on the recommendations of the Committee
Support Team.
l Approving and guiding the review and evaluation of work program implementation that align with ESG and TJSL (CSR)
parameters, including the reporting of ESG-related data and information.
l Reviewing and Approving ESG Rating reports and addressing investor concerns or feedback from other Third Parties regarding
BRI's ESG and TJSL (CSR) performance and implementation.
l Identifying and determining material issues based on the ESG Rating reports, Investor concerns or feedback from Third Parties
regarding BRI's ESG and TJSL (CSR) performance.
l Approving follow-up plans based on review and evaluation results, to be proposed as a new work program and implemented by
the relevant Work Units.
l Provide direction on ESG and TJSL (CSR) issues, including compliance with laws and regulations, alignment with global
initiatives, adoption of best business practices, and other critical aspects related to ESG and TJSL (CSR) initiatives.
Lending Committee Evaluate and or approve credit applications based on the amount and or type of credit specified by the Board of Directors. Each credit committee comprises members from both the risk and business functions, with its
structure and membership aligned with the applicable credit authority delegation
Asset & LIability l Establishing optimal asset and liability management strategies and policies by balancing potential risk, yield optimization, and President Director
Committee cost efficiency.
l Determining key financial parameters, including deposit interest rates, loan product interest rates, base lending rates (SBDK),
fund transfer pricing (FTP) interest rates, and other pricing structures that directly impact net interest income (NII). ALCO may
delegate authority to a designated party to determine these matters in accordance with ALCO's decision.
l Defining the authority of the Deciding Officer in approving special interest rates for deposits, loans and/or other bank products.
l Establishing the net open position (NOP) policy.
l Monitoring asset and liability management to ensure alignment with decisions made in ALCO Meeting.
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Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Governance
Committee Responsibility Committee Chair
Information l Developing a Long-term Information Technology Strategic Plan aligned with the Bank's Corporate Plan and Business Plan. Director of Digital Information Technology & Operations
Technology l Formulating key Information Technology policies, standards and procedures.
Steering Committee l Ensuring alignment between approved Information Technology projects and BRI's ITSP.
l Maintaining Conformity of the current technology architecture (baseline) with BRI's targeted Information Technology
architecture to enhance business capabilities.
l Ensuring Information Technology projects are executed in line with the agreed project plan.
l Supporting the needs of management information systems.
l Evaluating The effectiveness of risk mitigation measures related to IT investments, ensuring that these investments contribute
to the Bank's business objectives.
l Monitoring Information Technology performance and implementing measures for continuous improvement
l Resolving IT related issues that cannot be effectively managed by the Information Technology User and Operator Work Unit,
ensuring resolution is effective, efficient and timely.
l Assessing the adequacy and allocation of IT resources to support the Bank
Human Capital Human Capital Committee on Human Capital Planning & Policy: Human Capital Committee for Human Capital Planning & Policy: President Director
Committee l Set priorities for development strategies, policy direction and quality improvement of BRI's human capital with reference to the
Bank's Business Plan (RBB) and BRI's Corporate Plan. Human Capital Committee on Talent:
l Establish strategic policies in the field of human capital Talent Field 1 (for SEVP Level Employees, Corporate Band 1, Corporate Band 2, Class I Branch
1
l Determine the remuneration of the Board of Commissioners and Directors of Subsidiary Companies. Managers, and Employees who will be assigned as Management of Subsidiary Companies):
President Director
Human Capital Committee on Talent:
l Determination of Employee mutation (promotion, rotation, demotion), including determination of management of Subsidiary 2 Talent Field 2 (for Corporate Band 3 level employees): Human Capital Director
and Affiliated Companies (Talent Committee 1) 3 Talent Division 3 (for Corporate Band 4, Corporate Band 5, Corporate Band 6, Corporate Band 7
l Determination of Talent Cluster, including identification and determination of top talent (Brilian Society Member) as employees with national scope among Work Units throughout Indonesia): Division Head, Human
determined by the Talent Committee Capital Business Partner
l Determination of Succession Plan for all positions
4 Talent Field 4 (for employees with Corporate Band 4, Corporate Band 5, Corporate Band 6,
l Determination of Talent Pool based on Employee's field of expertise
Corporate Band 7 in the Regional Office / Regional Audit Office and its Supervision and Regional
l Determining the decision on Talent Review
Risk Management Department including the ranks of RMC, CRA, BRC and URC):
• Regional CEO (for Employees with origin and destination of Work Unit which is Regional Office and
its supervision and Regional Risk Management Department)
• Regional Chief Audit (for employees whose origin and destination is the Regional Audit Office)
• Regional CEO and Regional Chief Audit (Vice Chairman) for employees whose origin and
destination are Regional Offices and Regional Audit Offices within the same Region
Human Capital Committee on Ethics & Discipline: Human Capital Committee on Ethics & Discipline
Decide cases of Disciplinary Violations by considering the recommendations given by the Examination Team Ethics and Discipline Committee 1 for Corporate Band 1 and Corporate Band 2 employees:
1
according to the method or procedure stipulated in the provisions of the applicable Disciplinary Regulations. President Director.
2 Ethics and Discipline Committee 2 for Corporate Band 3 level employees: Director of Human
Capital.
3 Ethics and Discipline Committee 3 for Corporate Band 4 to Corporate Band 7 employees: Division
Head, Human Capital Business Partner or Regional CEO or Regional Chief Audit.
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Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Governance
Committee Responsibility Committee Chair
Human Capital Committee in the field of Performance Management: Human Capital Committee in the field of Performance Human Capital Committee Performance Management
Management: Planning Sub Division 1 (for KPIs of Directorate, Sub-Directorate, Regional Office, Branch Office,
1
l Establish KPIs for Directorates, Sub-Directorates, BOD-1 Work Units (including Regional Offices), Branch Offices, Sub-Branch KCP and BRI Unit): President Director
Offices and BRI Units.
l Evaluate and determine the predicate of performance challenge and method used for BOD-1 Work Unit and Branch Office. 2 Planning Sub-Division 2 (for Division / Desk / Team BOD-1 KPIs): Director of Finance
l Determine the predicate of BOD-1 Work Unit (including Regional Office and Regional Audit Office) and Branch Office based on 3 Challenge Evaluation and Method Used 1 Sub-Division (for the performance of Regional Office,
the predicate of performance challenge and method used that has been determined. Regional Audit Office and Division / Desk / Team BOD-1): President Director
l Evaluate and determine the individual Leadership Orientation predicate of BOD-1 Work Unit Leaders (including Regional CEO
4 Sub Division of Challenge Evaluation and Method Used 2 (for Kanca Performance): Regional CEO
and Regional Chief Audit), UKLN General Managers and Branch Managers.
l Determine individual performance scores and predicates of Corporate Band 1, Corporate Band 2, UKLN General Managers and 5 Sub Division of Leadership Orientation & Individual Performance Predicate 1 (for Leadership
Branch Managers. Orientation & Performance Predicate of BOD-I Work Unit Leader): President Director
6 Sub-Field of Leadership Orientation & Individual Performance Predicate 2 (for Leadership
Human Capital Committee on Position Evaluation: Orientation & Corporate Band 2 Worker Performance Predicate): Director or SEVP
Establishing Position Classes
7 Leadership Orientation Sub-Field & Individual Performance Predicate 3 (for Leadership Orientation
& Branch Leader Performance Predicate): Regional CEO
Human Capital Committee on Position Evaluation: Director of Finance
Capital & Director of Finance
a Related to Corporate Action:
Investment l Review the Corporate Action proposed by the Committee Support Team.
Committee l Establishing and recommending Corporate Actions for the Company and its Subsidiaries, which will then be submitted for
approval to the President Director/Vice President Director through a Board of Directors Meeting or direct approval by the
Board of Directors.
l Evaluate Corporate Actions in Subsidiary Companies
b . Related to the Management of Subsidiary Companies:
l Determine the business plan and Work Plan and Budget (RKAP) of Subsidiary Companies, including key performance
indicators and dividend plans of Subsidiary Companies.
l Conduct performance review and analysis and provide recommendations related to the performance of Subsidiary
Companies to be followed up by the Directors and Commissioners of Subsidiary Companies
l Provide recommendations and decisions on synergies between Subsidiaries and BRI that are strategic in nature.
Procurement Carry out procurement decisions in a professional, honest manner and avoid conflicts of interest in granting procurement Procurement Committee I (procurement value > IDR 200 Billion): Vice President Director
1 1
Committee approval.
2 Procurement Committee II (procurement value > IDR 100 Billion to IDR 200 Billion): Vice President
2 Give a decision to approve or reject procurement in accordance with the limit of its authority in the event that it is held Director
through a Committee meeting..
3 Providing procurement decisions, through: 3 Procurement Committee III (procurement value > IDR 30 Billion to IDR 100 Billion): SEVP Fixed
l Minutes of the Board of Directors Meeting, or Assets Management and Procurement
l Minutes of Procurement Committee Meeting, or 4 Procurement Committee IV (procurement value > IDR 7.5 Billion to IDR 30 Billion): SEVP Fixed
l Circular Service Memorandum. Assets Management and Procurement
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Implementation of Sustainable Finance Excellence Inclusion and Literacy Cybersecurity Implementation
Governance
Committee Responsibility Committee Chair
Product Committee 1 Product planning must meet one of the following criteria: 1 Product Committee 1 wholesale segment: Vice President Director
l A product that has never been offered by the Bank before. 2 Product Committee 1 non-wholesale segment: Vice President Director
l Represents a development of an existing Bank Product that results in a material change, leading to increased risk exposure
compared to the previously offered product. 3 Product Committee 2 wholesale segment: Director of Finance
2 Product discontinuation (in accordance with the Decree on BRI's Product Taxonomy List). 4 Product Committee 2 non-wholesale segment: Director of Finance
3 Evaluation of product issues that cannot be resolved at the Director/SEVP level.
Project l Provide direction at the corporate level on the strategy of projects in BRI Project Management Office Steering Committee: President Director/Deputy President Director
Management Office l Make decisions on proposals for solving problems in project management that cannot be decided by the Division Head, Project Thematic Project Management Office Steering Committee: Finance Director/SEVP Change
Steering Committee Management Office. Management & Transformation Office
l Making decisions on proposals for budget reallocations between projects listed in the Project Work Plan and further guided by
applicable regulations.
l Make decisions on matters that have not been regulated in the Project Management Implementation Guidelines (PP PM)
l Approve and authorize the proposed project after the Company's Budget Work Plan (RKAP) has been approved.
l Give directions and decisions related to the acceleration of project completion
l Establish criteria for projects monitored by the Project Management Office (PMO)
l Decide which projects are included and which are excluded from PMO monitoring
l Determining project prioritization to be implemented by the Project Owner Work Unit and Project Support Work Unit.
l Make decisions related to the project, including approving, changing or canceling the project plan and implementation.
l Provide direction on the results of the Post Implementation Review (PIR) that has been carried out as part of the lessons
learned in the implementation of the next project.
Credit Policy 1 Determining the Bank's Credit Policy (BCP), especially the formulation of the prudential principle in credit as stipulated in the
President Director
Committee OJK Guidelines for the Formulation of Bank Credit Policy (PPKPB) and other credit policies that require a decision from the
Credit Policy Committee Meeting.
2 Supervise the implementation of the BCP and other credit policies to be carried out responsibly and sustainably and
formulate alternatives and implementation solutions if there are obstacles
3 Conducting periodic reviews of the BRI BCP and other credit policies in accordance with the minimum period of policy review
as contained in the BCP and other credit policies.
4 Conducting an evaluation of:
l The correctness of the implementation of the authority to decide on credit or provision of funds
l The correctness of carrying out the process of granting credit or providing funds, the development and quality of credit
provided to Parties Related to the Bank and certain large debtors
l Correct implementation of the provisions of the Maximum Lending Limit (BMPK)
l Compliance with statutory provisions and other regulations in the implementation of lending
l Settlement of non-performing loans in accordance with what is stipulated in the BCP and other credit policies
l Adequacy of allowance for loan impairment (LLR) and write-off allowance
l Certain large debtors and loans on the list of Special Mention Loans
5 Assessing the effectiveness of the credit internal control system
6 Submit periodic reports at least once a year to the Commissioner regarding:
l The results of supervision over the implementation and execution of the BCP and other credit policies.
l Results of evaluation of matters related to the fourth point
7 Monitor and evaluate the development and quality of the credit or financing portfolio as a whole.
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Stakeholder Engagement
Stakeholder engagement is carried out to ensure open and transparent communication with
shareholders, regulators, customers, and other stakeholders, fostering trust and strong relationships.
This engagement also enhances compliance with laws, regulatory guidelines, and globally recognized
governance practices. Detailed information on the processes and channels for stakeholder engagement
can be found in the Stakeholder Engagement section of the introduction to this report.
BRI is committed to implementing Good Corporate Governance (GCG) principles as the foundation
of its operations and strategic decision-making. GCG is applied through transparent, accountable
governance that prioritizes the interests of all stakeholders, including customers, investors, regulators,
and the broader community. By maintaining a robust risk management system and ensuring
regulatory compliance, BRI aligns every aspect of its business with sustainability principles and sound
governance. Consistent GCG implementation is a key factor in upholding public trust and enhancing
BRI’s competitiveness as a strong and reliable financial institution at both national and regional levels.
The application of GCG principles not only ensures that BRI operates with transparency and
accountability but also serves as a fundamental pillar in supporting sustainable business strategies.
With strong governance, BRI fulfills its role as a national development agent, contributing to economic
growth, particularly through the empowerment of the Micro, Small, and Medium Enterprises (MSME)
sector. BRI plays a strategic role in strengthening the MSME ecosystem by providing inclusive financial
access, enhancing business competitiveness, and fostering a sustainable financial environment. This
commitment aligns with BRI’s objective of not only driving business growth but also safeguarding
economic resilience within communities.
BRI integrates these priorities into its 2021-2025 corporate vision, aiming to become "The Most
Valuable Banking Group in Southeast Asia" and the "Champion of Financial Inclusion." This aspiration
is supported by the vision of each supporting directorate, ensuring the company’s business growth
remains solid and sustainable. By focusing on financial inclusion, BRI continues to develop various
programs and innovations to expand banking access, particularly for MSMEs, which serve as the
backbone of Indonesia’s economy.
To realize its vision and mission, BRI has implemented the BRIVOLUTION 2.0 transformation strategy—
an innovative approach to accelerating business growth and enhancing banking service efficiency.
Through BRIVOLUTION 2.0, BRI not only strengthens its banking fundamentals but also promotes
service digitalization, expands financial inclusion, and enhances synergy among entities within the
group to foster sustainable growth. With this strategy, BRI remains committed to being a highly
competitive, adaptable bank that delivers long-term value to all stakeholders.
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BRIVolution 2.0 [A.1] [C.1] [GRI 2-12] [GRI 2-22] [GRI 2-23]
BRI regularly conducts reviews and evaluations of its vision and mission. In 2021, BRI organized a Board Vision, Mission, and BRIVOLUTION 2.0 [C.1] [GRI 2-23]
Retreat, attended by all senior management (Directors and SEVPs) as well as independent parties, to
assess and refine the company's vision, mission, and key performance indicators. This process included
> VISION
an update to the company's vision and mission for 2025, which was subsequently approved by the
Board of Directors and the Board of Commissioners.
As a result of his evaluation, BRI revised its Corporate Plan for 2021-2025, introducing BRIVOLUTION The most valuable banking group in Southeast
2.0-a transformative initiative focused on positioning BRI as "The Most Valuable Banking Group in
Southeast Asia and Champion of Financial Inclusion" The plan sets financial targets of achieving a
Asia and champion of financial inclusion
market capitalization of USD75 billion and 90% financial inclusion, supported by key strategic pillars,
including becoming Digital First DNA, Home to the Best Talent, and fostering an Agile & Entrepreneurial > MISSION
Mindset.
BRIVOLUTION 2.0 is actualized through three (3) phases:
>• Provide the Best
To conduct the best banking activities by providing priority services to micro, small and medium
“Scale up new growth engines “Sustain top-tier position
“Strengthen the core for growth” segments, improving people’s economy
and beyond banking” in Southeast Asia”
2021-2022
2023-2024 2025 Accelerate CASA Growth
Strengthen Scale Up & Scope Up Sustain >• Provide Excellent Services
To provide excellent customer-centric service through professional human resources with a
In the "strengthening" stage, BRI devised In the "scaling-up and scoping-up” stage, In the "sustaining" stage, BRI hopes to develop performance-driven culture, reliable and future ready information technology, and a productive
strategies to strengthen its core business in BRI and its subsidiaries are focused on new levels into a bigger and stronger company and to be conventional and digital work network, by applying the principles of operational and risk management
all aspects to achieve future growth. of growth and expansion of scope, including able to maintain business in a sustainable
Improvements in distribution networks, product and service offerings through manner. BRI has managed to realize its excellence
information technology, human resources, digitalization. In 2023, BRI realized this commitment as "The Most Valuable Banking
corporate culture, risk management and all aspirational theme by prioritizing "strengthening group in Southeast Asia and Champion of
business supporting elements were required of retail banking capabilities" by building a Financial Inclusion." This milestone serves as an
to strengthen the foundations of BRI and its sustainable business ecosystem. In 2024, BRI has important foundation for BRI to continue to
subsidiaries. BRI also managed to tackle the set the target of greater contributions from its progress and continue to create economic and >• Provide Optimal Advantages
impact of the COVID-19 pandemic by subsidiaries compared to that of the previous social value for every stakeholder.
implementing selective growth strategies, years to achieve profitability targets. Also in To give optimal profits and benefits to stakeholders by upholding the principles of sustainable finance and
maintaining asset quality, and increasing 2024, BRI is committed to becoming a leader in excellent good corporate governance practices
efficiency. banking transactions by developing digital
products and services.
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To actualize the aspirations of BRIVOLUTION 2.0, BRI has established six key strategic initiatives:
1 Create New Growth Engines
Developing new business initiatives and models, including business ecosystems, hyperlocal micro-
ecosystems, ultra-micro financing, and B2B SME ecosystems.
2 Accelerate CASA growth
Enhancing customer financial literacy, diversifying and innovating products offerings, and
leveraging digital technology.
3 Enhance cross-sell to boost fee income
Expanding revenue streams through wealth management services, SME banking applications,
cross-selling of subsidiariy products, as well as increasing penetration of non-credit financial
products, such as insurance, business financing, and pawning services.
4 Contain credit cost
Lowering and stabilizing credit business processes through initiatives such as credit process
digitization, non-performing loan restructuring, decision support systems (DSS), and enhanced
credit risk management.
5 Improve customer experience
Strengthening customer relationship management through a wide range of initiatives, including
enhancing product quality and brand image, implementing targeted promotions, adopting financial
technologies, optimizing financing strategies, and gaining deeper insights into consumer behavior
and perceptions of digital financial services.
6 Adapt culture & capabilities
Empowering a team of initiators to facilitate BRI’s transformation in daily operations, competency
development, information technology, and risk management.
In 2023 and 2024, BRI continued to implement BRIVOLUTION 2.0 (Corporate Plan 2021-2025) as its
strategic roadmap, with a focus on Strengthening Retail Banking Capabilities and Improving Asset
Quality in 2024. The year 2024 represents the expansion phase in BRI’s three-stage transformation
process: which began with strengthening the company’s core business (2021-2022), followed by scaling
up and expanding the BRI Group’s business scope (2023-2024), and culminating in maintaining its top-
tier status in Southeast Asia (2025). The execution of this long-term plan is monitored and evaluated
annually, with findings discussed in meetings or forums with the Board of Directors. These evaluations
serve as a foundation for adjusting and refining BRI’s strategic direction, ensuring continuous growth in
the years ahead. As part of its long-term sustainable strategy, BRI will commence the development of
the Corporate Plan BRIvolution 3.0 in 2025, serving as BRI’s Long-Term Plan (RJP) for the next period.
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Opportunities and Risks
The implementation of good corporate governance principles in BRI's operations creates opportunities to enhanceinvestor confidence, strengthen corporate reputation, improve financial performance, and drive
continuously innovate.
Opportunities and Risks Potential Impact Short Term Medium Term Long Term
Increased investor confidence l Access to capital
l Lower cost of capital ✔
l Share price stability
Strengthened company reputation l Competitive advantage in attracting new customers and retaining existing ones
l Good governance can build a strong and sustainable brand ✔
Opportunities
Improved financial performance l Good governance can improve operational efficiency
l Transparent information enables better decision-making and avoids losses ✔
Good governance can encourage companies to continue to Innovation can lead to new products and services that can open up new market
innovate opportunities and adapt to changes in the business environment. ✔
Strategic risk due to short-term profit motives that can Decisions made are not objective, can lead to financial losses, and damage public
jeopardize stability. trust ✔
Reputation risk due to non-compliance with governance- Loss of market due to public distrust.
related regulations that cause distrust of the bank and the ✔
financial industry in general.
Regulatory risk due to non-compliance with governance- Fines or sanctions related to non-compliance.
Risks related regulations that result in fines or penalties to the bank ✔
by regulators.
Operational risk due to internal control failure, fraud and Financial loss and reputational damage.
conflict of interest. ✔
Environmental, social and governance (ESG) risks due to Financial loss, reputational damage, and weakened investor confidence
environmental impacts, social responsibility and governance ✔
practices.
The short term covers 1-5 years, the medium term spans 5-10 years, and the long term extends beyond 10 years.
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Corporate Culture [F.1] [2-23] Main Values: AKHLAK BRILiaN Ways
BRI upholds its corporate culture through BRI BRI's core values align with the Circular Letter of the Minister of SOEs Number SE-7 / MBU / BRILiaN Ways serves as a code of conduct that
One Culture, a guiding framework that serves 07/2020, which defines the Core Values for Human Resources of State-Owned Enterprises guides all BRI employees. It consists of the
as the foundation for the BRILiaN workforce in (BUMN), known as AKHLAK. AKHLAK is an acronym representing Amanah, Kompeten, following principles:
achieving the company’s vision and mission. Harmonious, Loyal, Adaptive, and Collaborative, and it includes values as follows.
This culture is built on three core values: 01 BRILiaN upholds honesty, sincerity, and
AKHLAK, BRILiaN Belief, and BRILiaN Ways. compliance with regulations;
02 BRILiaN is capable and reliable,
BRI One Culture Architecture continuously learning and developing
both themselves and others (continuous
Behaviour Amanah Kompeten Harmonis Loyal Adaptif Kolaboratif learner);
Work culture management aims to shape the behavior of every BRILiaN
individual in accordance with the core values of BRI One Culture. 03 BRILiaN works diligently with full
Trustworthy, Relevant Maintain good Loyal and Able to Cooperate
• Role Model Culture Leader responsibility, striving for the best
• Culture Agent (CA) Coordinator & CA Forum fulfilling abilities and relations with obedient to adapt to with teams,
• 8 BRILiaN Ways promises and skills in the fellow SOEs, the state, environmental work units, or performance;
commitments, field of work, customers, organization, changes, other SOEs 04 BRILiaN fosters productive collaboration;
HAV IOU
responsible continuous partners, and superiors, challenges, to achieve
BE mpeten R for duties, learning, and and other upholding and common 05 BRILiaN is open-minded and respectful of
o
decisions, improvement stakeholders, common opportunities, goals, share diversity;
| K |
Ha and actions, toward optimal respect interests, be open knowledge and
h 06 BRILiaN is proactive, adaptive, and
na
and adhering and innovative differences
rm
and avoiding and flexible, experience,
| Ama
onis | Loy
BRI ONE to moral and results. and diversity, conflicts of and take and provide innovative, with a strong focus on
SY ST
CULTURE ethical values. and create interest and measured and support and sustainable growth;
SY M
as i
a conducive actions that responsible assistance as
or
07 BRILiaN is empathetic, understanding
a
b l
ola
and healthy are detrimental risks needed
|
Ada
B
ptif | K EM
working to SOEs customer needs and delivering services
OL atmosphere beyond expectations; and
08 BRILiaN is caring for the community and
the environment.
Symbol System
The use of work culture symbols The use of work culture systems
aims to enhance the effectiveness aims to measure the implementation
of the internalization and of work culture by applying specific
externalization process of the core regulatory patterns.
values of work culture through
BRILiaN Belief
media or communication tools. • Work Mechanism of Culture
• Leader & Culture Agent BRILiaN Belief underscores that BRILiaN individuals must uphold integrity and professionalism
• Community-Based Approach • Rewards & Recognition System
• Culture Activation Program • Indicators & Measurement Tools in fulfilling their responsibilities, fostering mutual respect and trust. This commitment drives the
• Communication Program for Work Culture
development of innovative BRI Group services, rooted in a customer-centric approach, ensuring
added value for customers, society, and stakeholders.
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Culture Squad
Internalizing corporate culture is essential for optimizing BRI's corporate culture management and crucial role in overseeing the Culture Activation Program (CAP) as a leading initiative to support Key
implementing BRI One Culture within work units. To achieve this, BRI has established the Culture Performance Indicators (KPIs).
Squad, which consists of key roles: Culture Leader (CL), Culture Accelerator (CAR), Culture Agent (CA), Culture Leaders and Culture Accelerators are responsible for fostering positive communication,
and Culture Agent Coordinator (CAK). These roles are designed to drive the successful execution of building trust, and encouraging feedback to enhance unit performance. The Culture Squad ensures
the culture implementation program, fostering behaviors that create value and support sustainable employees engagement in internalizing cultural programs through strong and consistent monitoring.
performance improvement.
Additionally, the Culture Squad acts as an intermediary for internal communication, effectively
The Culture Squad serves as a role model within work units, acting as Ambassadors of BRILiaN Ways conveying management while understanding the organizational climate to drive improved company
to encourage effective collective behavior aligned with performance targets. Culture Leaders play a performance.
Culture Squad Duties and Responsibilities, among others:
Culture Agent
Culture Leader (CL) Culture Accelerator (CAR) Culture Agent (CA)
Koordinator (CAK)
l Develop strategic initiatives to achieve l Act as a role model to support and l Initiate the development of cultural Coordinate with CAs and ensure
performance goals by addressing oversee the internalization of culture, programs to support work unit understanding and mastery of cultural
behavioral challenges and serving as role fostering behavioral changes that drive performance goals. programs across all functions in the work
models for Culture Accelerator (CA). performance improvement. l Actively socialize and ensure unit, including business, operations,
l Ensure the selection of qualified CAs/ l Serve as a communication facilitator understanding of cultural programs support, risk, and others.
CAKs in each unit based on established between CAK/CA and CL, while among BRILiaN personnel within the work
criteria. initiating and managing cross-functional unit.
l Support and guide CAs/CAKs in collaboration. l Implement and monitor the success of
implementing cultural programs to drive l Take responsibility for the selection and cultural programs within the work unit.
positive behavioral transformations. appointment of CA/CAK in work units. l Coordinate with CL, CAR, and CAK to
l Monitor and evaluate the effectiveness of l Support, monitor, and evaluate the effectively execute cultural initiatives.
cultural programs across work units. success of cultural programs and ensure l Serve as a BRILiaN Ways ambassador,
l Encourage and promote the active the active participation of all BRILiaN guiding all employees in adopting BRILiaN
participation of all BRILiaN individuals in personnel in cultural initiatives. Ways behavioral standards.
cultural initiatives.
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Performance Management and Compensation System of the Board of Long-Term Incentives (LTI)
Commissioners and Directors [GRI 2-18] [GRI 2-19] [GRI 2-20] Long-Term Incentives (LTI) are performance-based incentives granted to the Board of
As a financial institution committed to sound corporate governance, BRI ensures that the performance Commissioners and Board of Directors in accordance with the resolution of the General Meeting
management and compensation system for the Board of Commissioners and Board of Directors is of Shareholders (GMS) during the approval of the annual report. The purpose of LTI is to drive
designed to promote effective, accountable leadership oriented toward sustainable growth. sustainable growth and ensure continuous risk management. The LTI amount is determined
based on the achievement of additional long-term KPI targets, which are contractually agreed
upon for a specific period with the approval of the GMS/Series A Dwiwarna Shareholder.
Remuneration Policy for the Board of Commissioners and Board of Directors [GRI 2-18] [GRI 2-19] [GRI
2-20] [GRI 2-21] This remuneration serves as a strategic measure to support the company’s long-term vision,
mission, and strategy. LTI payments to the Board of Commissioners and Board of Directors are
The remuneration policy for the Board of Commissioners and the Board of Directors is formulated deferred for three years, with 20% of the total incentive subject to deferral, in accordance with
in accordance with the Financial Services Authority (OJK) Regulation No. 45/POJK.03/2015 and OJK the mechanism set by the GMS/Series A Dwiwarna Shareholder.
Circular Letter No. 40/SEOJK.03/2016 on the Implementation of Governance in the Provision of
LTI that have vested after the performance period (fourth year) are subject to a two-year
Remuneration for Commercial Banks, OJK Regulation No. 18/POJK.03/2016 on the Implementation
holding period for Non-Independent Directors and Board of Commissioners members who are
of Risk Management for Commercial Banks, OJK Regulation No. 17 of 2023 on the Implementation of
still in office. However, this requirement does not apply to Independent Commissioners or Non-
Governance for Commercial Banks, and the Ministry of State-Owned Enterprises Regulation No. PER-
Independent Directors and Board of Commissioners members whose terms have ended.
3/MBU/03/2023 on the Governance and Human Resources of State-Owned Enterprises.
The performance targets for the Board of Directors and Board of Commissioners under the LTI scheme
Fixed Remuneration
include:
The fixed remuneration components include salary/honorarium, allowances, facilities, and other fixed
1 Total Shareholder Return (TSR).
elements provided to all members of the Board of Commissioners and Board of Directors in accordance
with their duties, authorities, and responsibilities. The proportion of fixed remuneration is structured 2 Return on Equity (ROE).
as follows: the Vice President Director receives 90% of the President Director’s remuneration, while 3 Non-Performing Loan (NPL).
other Board of Directors members receive 85%. The President Commissioner receives 45% of the Directors and Commissioners operating under the supervision of the Financial Services Authority (OJK)
President Director’s remuneration, the Vice President Commissioner receives 42.5%, and other Board must obtain OJK’s fit and proper assessment approval. They become eligible for LTI from the date of
of Commissioners members receive 90% of the President Commissioner’s remuneration. appointment in the GMS (retroactively) based on a three-year annual performance measurement
Variable Remuneration (January-December).
When awarding variable remuneration, the company adheres to the principle of prudent risk-taking, Variable remuneration is awarded in the form of shares for the Board of Directors and Non-Independent
linking performance measurement with risk assessment. Variable remuneration includes bonuses and Commissioners, while Independent Commissioners receive cash-based remuneration. In specific
performance-based incentives (tantiem), which may be awarded in cash or shares. The allocation of circumstances, the company reserves the right to defer (malus) or reclaim (clawback) previously paid
variable remuneration is based on performance achievements, classified as follows:. variable remuneration for individuals identified as Material Risk Takers (MRT).
Short-Term Incentives (STI) Deferral (Malus) Conditions for Deferred Tantiem Payments:
Short-Term Incentives (STI) are performance-based incentives granted to the Board of 1 A legally proven abuse of position and/or authority, or criminal acts by the recipient, resulting in
Commissioners and the Board of Directors, as approved by the General Meeting of Shareholders financial loss to the company.
(GMS) during the annual report ratification. STI serves as a motivation to achieve optimal 2 Restatement of the company's financial statements that served as the basis for tantiem allocation.
annual performance. The amount of STI is determined based on the achievement of annual
3 A risk rating of 4 (Moderate to High) or worse in the last quarter before the tantiem disbursement.
performance results, in alignment with the established collegial Key Performance Indicators
(KPI) and the company's short-term objectives. 4 Failure to achieve profit and dividend commitments as stipulated in the Corporate Plan/Long-Term
Plan.
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5 The GMS rejecting the accountability of the Board of Directors and/or Board of Commissioners for
the financial year in question.
6 Other considerations deemed significant by the GMS.
Clawback Conditions for Paid Tantiem:
1 A legally proven abuse of position and/or authority, or criminal acts by the recipient, resulting in
financial loss to the company.
2 Restatement of the company's financial statements that served as the basis for tantiem allocation
3 A risk rating of 4 (Moderate to High) or worse in the last quarter before the tantiem disbursement.
4 The GMS rejecting the accountability of the Board of Directors and/or Board of Commissioners for
the financial year in question.
5 Other considerations deemed significant by the GMS.
Through a structured remuneration framework, BRI remains committed to providing fair and
competitive compensation that rewards both short-term performance achievements and long-term
sustainability goals. This policy upholds strong corporate governance principles with a transparent
oversight system, ensuring that all stakeholders meet eligibility requirements and adhere to clearly
defined and consistently applied regulations. Detailed information on the performance management
and compensation system for the Board of Commissioners and Board of Directors can be found in BRI’s
2024 Annual Report.
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Risk Management
Risk Management Scenarios
In the realm of corporate governance, BRI continuously navigates the evolving dynamics of markets
and regulatory landscape. To address these challenges, BRI has developed a comprehensive risk
management scenario that encompasses the following key aspects.
l Refinement of the accountability framework; strengthening roles and responsibilities across the
Board of Directors, executives, and employees to ensure clear decision-making accountability.
l Diversity and inclusion; promoting diversity within the Board of Commissioners and Board of
Directors to encourage varied perspectives and enhance the quality of decision-making.
l Integration of sustainability; embedding ESG (Environmental, Social, and Governance) principles
into governance practices to effectively manage environmental, social, and governance risks and
opportunities.
l Transparency Initiatives; ensuring regular disclosure of financial performance, risk management
practices, and governance policies.
l Technology adoption; leveraging digital tools such as governance platforms and data analytics, to
enhance decision-making processess and compliance controls.
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Metric and Target The Board of Directors collectively KPIs presented collectively by the The Board of Directors elaborates
presents the proposed Key Performance Board of Directors are established on the collectively determined KPIs to
Evaluation of the Performance of the Board of Commissioners [GRI 2-18] Indicators (KPIs) to the General Meeting
of Shareholders (RUPS)/Minister.
simultaneously with the submission
of the Company's Work Plan
form individual KPIs for each Director.
and Budget.
The Board of Commissioners develops an annual work plan at the beginning of each year and conducts 01 02 03
a self-assessment at least once a year, based on the Board’s achievements and pre-established
key performance indicators (KPIs). The results of this evaluation are reported in the annual General After the collectively established KPIs for the Directors The Board of Commissioners approves
Meeting of Shareholders (RUPST). are approved by the General Meeting of Shareholders/
Minister and the individually presented KPIs are
the individually presented KPIs Individual KPIs for the Directors\
approved by the Board of Commissioners, the for the Directors. are presented to the Board of
At BRI, the performance evaluation of the Board of Commissioners I is conducted internally, without Board of Directors signs the Annual Management Commissioners for approval.
Contract, which includes both the collectively
the involvement of third parties, and is based on the following regulations: established KPIs and the individually set
KPIs for the Directors.
06 03 04
l OJK Regulation No. 17 of 2023 on the Implementation of Governance for Commercial Banks,
l OJK Circular Letter No. 13/SEOJK.03/2017 on the Implementation of Governance for Commercial The Annual Management Contract The Annual Management Contract, including The achievement of collectively
containing the collectively established
Banks, KPIs that has been signed by the Board
the individually set KPIs for the Directors, established KPIs for the Directors
is signed by the Directors together with the is reported in periodic reports and
of Directors is also signed by the
l Financial Services Authority Regulation No. 21/POJK.04/2015 on the Implementation of Corporate Board of Commissioners and the
President Director and the Chairman
of the Board of Commissioners.
the Annual Report.
General Meeting of Shareholders 07 08 09
Governance Guidelines for Public Companies, /Minister.
l OJK Circular Letter No. 32/SEOJK.04/2015 on the Guidelines for Corporate Governance of Public
Companies,
The calculation of the achievement of the Board of Directors' KPIs collectively and individually is reviewed by the independent party,
l OJK Regulation No. 4/POJK.03/2016 on the Health Assessment of Commercial Banks the Public Accountant Office (KAP), which audits the Company's Financial Statements.
The results of the review and self-assessment of the Board of Commissioners and its Committees 10
indicate that all work plans set at the beginning of 2024 were successfully completed (100%) in
accordance with the established targets. Detailed information regarding the evaluation of the Board of Sustainability-Based Incentives at BRI
Commissioners can be found in the BRI 2024 Annual Report. BRI’s commitment to climate action is embedded in the Collegial KPI of the Board of Directors,
reinforcing that environmental responsibility is an integral part of the bank’s sustainability strategy. In
2024, the Board of Directors has set a target for sustainable financing disbursement, which is directly
Evaluation of the Board of Directors' Performance [GRI 2-18]
linked to performance-based remuneration. The achievement of this target serves as a collective
Performance evaluation is conducted based on the Collegial KPIs in accordance with Minister of performance metric, assessing overall leadership effectiveness. The KPI outcome directly influences
State-Owned Enterprises Regulation No. PER-3/MBU/03/2023 on Management Contracts and the bonuses (tantiem) received by each Director, ensuring that sustainability objectives are integrated
Annual Management Contracts for Directors of State-Owned Enterprises. The Board of Directors; into executive compensation to enhance accountability in climate-related decision-making.
performance is assessed by the Board of Commissioners and Shareholders through the General
Additionally, BRI fosters a sustainability-driven culture across the organization through the
Meeting of Shareholders (RUPS) mechanism. Additionally, the evaluation of the Board of Directors'
Sustainability Culture Program (SCP). This program recognizes and rewards Divisions and Regional
Collegial KPIs has undergone a review process by the Public Accounting Firm. The performance
Offices that actively contribute to ESG initiatives, ensuring that sustainability strategies are
evaluation process of the Board of Directors' performance is carried out through the following stages.
implemented at all levels. Further details on SCP can be found on page 132. The best-performing units
in this program receive financial incentives as a form of recognition for their contributions.
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Metric and Target
Key Performance Indicators (KPIs) and Targets for the Board of Directors
regarding the Implementation of Good Corporate Governance
Assessment Methodology
The performance evaluation of the President Director and the Board of Directors in relation to the
The assessment of corporate governance standards for publicly listed companies' (PLCs) is conducted
implementation of good corporate governance is assessed based on three key parameters, which
based on publicly available and accessible information, including annual reports, corporate websites,
are reflected in the Board of Directors' collegial KPIs. These parameters include financial metrics,
notices, and circulars. All information used for evaluation must be in English, with a cut-off date of
investment growth, and talent development.
August 31, 2021.
No Parameter 2024 The assessment framework consists of five key aspects, categorized into the following sections within
1 ESG Rating MSCI Rating: A the ASEAN Corporate Governance Scorecard:
Young: 19.15% • Part A: Rights of Shareholders
2 Average diversity in nominated talent
Woman: 23.40% • Part B: Equitable Treatment of Shareholders
3 Consolidated PPOP (Profit Before Provision and Operating Profit) IDR 116.8 Trillion • Part C: Role of Stakeholders
4 Total amount of Shareholder Return (TSR) 12.50% • Part D: Disclosure and Transparency
5 Consolidated ROE Tier 1 21.14% • Part E: Responsibility of the Board
6 CAR (Capital Adequacy Ratio - Bank Only) 24.41% Bonus points and penalties are assigned based on performance across these five assessment areas.
7 Average Growth of Total Deposit (Bank Only) 9.57% Assessment Result
9.16% Scorecard Level 1 Total Item Item(s) Not Items Adopted Adoption Rate
8 Average Growth of Total Loan (Bank Only)
Applicable
Part A 21 1 28 90.00%
The implementation of good corporate governance is measured through key indicators linked to Part B 16 1 13 92.86%
performance targets, including ESG ratings, talent development (the ratio of nominated female and Part C 13 0 13 100.00%
young talents, as well as employee productivity), and operational risk, including the credit risk of Part D 32 0 31 96.88%
disbursed loans (LAR) and its coverage. Additionally, financial targets such as Total Shareholder Return, Part E 65 0 57 87.69%
consolidated pre-provision operating profit (PPOP), consolidated Tier 1 return on investment, and Total Skor (Level 1 & 2): 109.85
capital adequacy ratio are considered. The performance of good corporate governance is also directly
related to the Bank’s financial metrics, including total deposit growth to IDR 1,360 Trillion, total loans
amounting to IDR 1,215 Trillion, and consolidated PPOP reaching IDR 116.8 Trillion.
Metrics and Targets of Good Corporate Governance Implementation
according to the ACGS
The ASEAN Corporate Governance Scorecard (ACGS) serves as a benchmark for corporate governance
implementation, based on principles established by the Organization for Economic Cooperation
and Development (OECD). BRI evaluates its corporate governance practices in accordance with this
standard to ensure alignment with globally recognized best practices.
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
BRI Green Human Capital Management: Promoting Respect for TJSL: People and Risk Integrity in the Workplace: Associations and
Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
GENERAL
TOPIC
03
> IN THIS SECTION
PAGE
NO.
BRI Green Initiative 119
Human Capital Management: BRILiaN 122
Individual
Promoting Respect for Human Rights 133
TJSL: People and Communities Around 135
BRI
Risk Management 141
Integrity in the Workplace: BRI's 146
Commitment to Business Ethics
Associations and Framework 154
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BRI Green Human Capital Management: Promoting Respect for TJSL: People and Risk Integrity in the Workplace: Associations and
Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
BRI Green Initiative
In addition to its climate change mitigation and adaptation efforts, BRI has implemented a range of
green initiatives in collaboration with stakeholders to reduce the impacts of climate change. These
initiatives include energy and water conservation, emission reduction from banking products and
services, sustainable asset management, waste management, responsible consumption practices, and
reforestation activities. BRI’s commitment to environmental sustainability has been widely recognized
and appreciated by stakeholders. Notably, in 2024, BRI did not receive any complaints related to
environmental management. [F.16]
BRI Menanam [F.12]
BRI has launched a variety of environmental preservation programs in collaboration with local
communities, one of which is the BRI Menanam initiative. This program actively engages communities
in ecosystem restoration through urban farming, focusing on developing local resources by aligning
planting activities with the agroecological conditions of each region. The initiative aims to generate
economic, environmental, and social benefits for communities.
The program involves a diverse range of stakeholders, particularly micro-entrepreneur customers,
including Kredit Usaha Rakyat clients, members of the Membina Ekonomi Keluarga Sejahtera (Mekaar)
program, and village-owned enterprises. These groups receive tree seedlings as part of their loan
disbursement process, with planting activities carried out across BRIliaN villages throughout Indonesia.
The seedlings are carefully selected for their carbon absorption capacity and economic value, including
avocado, durian, and mango. By December 2024, the program had distributed 1,138,333 horticultural
seedlings to PNM Mekaar groups and 689,839 productive tree seedlings to micro-customers and Zero Waste to Landfill [F.5] [F.13] [F.14] [F.15]
BRIliaN villages, contributing to an estimated carbon absorption of 985,449 kgCO2e.
The Zero-Waste to Landfill Program is an integral component of BRI's waste management and
Beyond tree planting, BRI Menanam serves as a climate change adaptation strategy, actively monitoring system, covering a comprehensive range of activities, including waste sorting, disposal,
absorbing carbon and pollutant emissions while mitigating air pollution. Additionally, it promotes collection, transportation, and processing. Designed for implementation across all BRI workplaces, the
community empowerment by supporting the cultivation of economically valuable plants. The initiative program aims to achieve emission avoidance.
is implemented as part ofBRI’s microfinance support efforts and corporate social responsibility
This initiative serves as an effective waste management model for office settings, focusing on minimizing
framework.
waste generation and accumulation within BRI premises. Waste produced is reused or recycled,
ensuring that no waste is sent to landfills (TPA) or contributes to environmental pollution. This effort
aligns with BRI’s broader sustainability commitments and its goal of reducing environmental impact. [B.3]
In 2024, BRI successfully recycled 703,560 kg of waste, contributing to potential emissions avoidance
Equivalent to 470,471 liters of fuel of 524,180 kg CO2e. Furthermore, BRI actively promotes various waste reduction initiatives, such as
Planted Absorbing
Equivalent to 246 vehicles operating for a year encouraging employees to use personal dining and drinking utensils, significantly reducing plastic
1,138,333 985,449 waste from food and beverage packaging. Throughout the reporting period, no hazardous or special
trees kgCO2e emissions Equivalent to 215 households using electricity
for a year
waste (B3) was generated, and no waste spills or leakages occurred. [F.15] [F.12] [B.3]
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BRI Green Human Capital Management: Promoting Respect for TJSL: People and Risk Integrity in the Workplace: Associations and
Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
BRI Green Initiative
Emission Avoidance from Products and Services [F.12]
One of BRI's key emission avoidance initiatives involves encouraging customers to maximize the use age restrictions and regular maintenance. Additionally, BRI currently operates 796 eco-friendly vehicles
of digital platforms, thereby reducing the carbon footprint associated with travel, transportation, and (including motorcycles and cars) as part of its efforts to reduce emissions and transition to low-carbon
other activities required for in-person transactions at branch offices or ATMs. By analyzing transaction economic activities.[F.7] BRI focuses on managing energy consumption within its own operations,
behaviors across branch offices and digital platforms, and aligning with the ISO 14064 methodology on therefore, this report does not disclose energy usage beyond BRI’s direct activities [GRI 302-2]
Greenhouse Gases, BRI can estimate the amount of emissions avoided through the increased adoption
In 2024, the total energy consumption reached 2,848,795,079 MJ, sourced from electricity usage
of digital banking solutions:
and vehicle fuel consumption, exclusively for office operations. Electricity is supplied entirely by PT
Type of Service Frequency (in thousand) Emission Avoidance (kgCO2e) PLN (Persero), while operational vehicles utilize a combination of fossil fuel and electricity. As PT
PLN (Persero) has not yet provided specific details on the energy mix used for electricity production,
BRImo 4,309,334 782,697 this report does not present consolidated data on energy consumption from renewable versus non-
Merchant BRI 509,526 92,544 renewable energy sources. [GRI 302-1]
Qlola 14,223 2,583 Description Unit 2022 2023 2024
Total Fuel Consumption [GRI 302-]
Liter 44,922,960 42,927,942 42,521,434
BRILink 1,204,251 218,726
Data collection was carried out through the distribution of digital questionnaires to customers, aiming to gather comprehensive insights Electricity Consumption kWh 404,925,311 403,192,231 383,878,408
into customer demographics, the average distance to BRI ATMs or branch offices, the types of vehicles used, the fuel efficiency of the
most commonly used vehicles, and the utilization of smartphones for daily transactions Total Energy Consumption Within MJ 3,074,957,680 2,919,627,648 2,848,795,079
the Organization
Green and Smart Building [F.12] Energy Intensity by Number of MJ/office/ 374,584 376,483 376,426
BRI integrates the green building concept into its owned and utilized properties. In 2024, a total of Offices year
000 buildings received green certification from the Green Building Council Indonesia. This follows the Energy Intensity by Number of MJ/office/ 26,078 24,271 23,620
Greenship Gold Certification (version 1.2) awarded in 2023 to BRILiaN Tower by the Green Building Employees year
Council Indonesia. Energy calculations and conversion factors in this process follow the IPCC (1998) methodology, as adopted by the Indonesian government
through the Greenhouse Gas (GHG) Emission Inventory for the Energy Sector guidelines published by the Ministry of Energy and Mineral
Resources (2020).
Energy Use [F.6] [F.7] [GRI 302-1] [GRI 302-2] [GRI 302-3] [GRI 302-4] To enhance transparency and accuracy in energy tracking, BRI has initiated the recording of energy
BRI operates in the absence of specific regulations governing energy use for commercial banks. usage across all working units. Additionally, the bank has implemented various initiatives aimed at
However, the bank has proactively implemented various measures to reduce energy consumption fostering behavioral and operational improvements, including the adoption of digital technologies to
across its operations. These efforts are aimed at enhancing efficiency, supporting environmental optimize energy efficiency and intensity. As of 2024, BRI has not yet calculated energy reductions or
sustainability, and minimizing Scope 1 emissions to the greatest extent possible. [GRI 3-3] savings for its services and products sold, although it has conducted calculations for financed emissions.
[GRI 302-4] [GRI 302-5]
BRI conducted an energy assessment at its Headquarters and designated 2022 as the baseline year
for its energy reduction plan. Several initiatives have been introduced, including optimizing electricity
usage, fostering an energy-conscious workplace culture, adopting energy-efficient technologies such
as LED lighting, optimizing elevator operations, and reducing fuel consumption by enforcing vehicle
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BRI Green Human Capital Management: Promoting Respect for TJSL: People and Risk Integrity in the Workplace: Associations and
Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
BRI Green Initiative
Water Usage [F.8]
BRI does not monitor liquid waste within its business processes, as its operations do not generate 11 BRISIM (BRI Digital Management Information System): A web-based data and information
significant liquid waste, nor is waste management a core aspect of its business activities. In 2024, BRI monitoring platform accessible via mobile devices, allowing employees to track their performance
measured water consumption at its Head Office, recording a water consumption intensity of 16.25 m³ remotely;
per employee (including outsourced employees). This reflects an 18.24% reduction compared to 2023,
12 BRIMEN (BRI Document Management System): An electronic credit document storage system
when consumption stood at 19.93 m³ per employee.
that centralizes and standardizes document management for improved efficiency and accessibility;
and
Paperless Campaign [F.5] 13 BRImo: BRI’s mobile banking super app, providing customers with access to banking products and
BRI's digitalization initiatives have enhanced efficiency in terms of time, cost, and paper usage, while services anytime and anywhere.
also providing customers with seamless access to banking services anytime and anywhere. Below are Through these digitization initiatives, BRI has successfully reduced paper consumption in its operations.
some of the paperless applications implemented by BRI: According to the 2024 financial report, paper usage per employee decreased by 26.2%
1 e-Tax: A tax reporting application for customers, making BRI the first banking institution in Indonesia
to adopt such a solution;
Minimizing Electronic Waste [F.12]
2 e-Form: A digital service application that replaces paper-based processes for front-line employees
To ensure sustainable consumption and production patterns by minimizing electronic waste, BRI
across BRI work units;
utilizes digital data erasure technology for the decommissioning of information technology assets. This
3 e-Statement: A service that provides account information to customers via their registered email technology enables BRI to securely decommission IT devices containing physical data storage media,
addresses; such as computers, laptops, servers, automated teller machines (ATMs), and other similar equipment.
4 New Account Swap: Enables customers to link loan and checking products without requiring The data on these devices is erased digitally and securely to prevent data breaches, ensuring that
separate accounts; the equipment remains in like-new condition and has the potential for reuse by third parties, such as
5 Paperless ATMs: ATMs that do not print transaction receipts, significantly reducing paper usage in through auctions or social assistance programs.
banking transactions;
6 BRISPOT: An Android-based, internet-connected application that facilitates quick and paperless
microloan approvals;
Types of Electronic PC Server ATM Laptop
7 MY BRI: A mobile application that enables paperless consumer loan approvals, streamlining the Waste
lending process;
541 1,104 1,397 172
8 BRIStars: An internal platform featuring e-office functionalities for online correspondence and HR-
related activities;
9 BRISMART: An online learning management system that supports internal training and professional Total Electronic Waste Total Emissions Avoided
development;
10 BRIOPRA (BRI Digital Operation Risk Management Information System): A comprehensive risk
identification and management platform with modules for Risk and Control Self-Assessment
7 Ton 480 TonCO2eq
(RCSA), Key Risk Indicators (KRI), Incident Management (IM), MR Forums, and Maturity
Management;
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BRI Green Human Capital Management: Promoting Respect for TJSL: People and Risk Integrity in the Workplace: Associations and
Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Human Capital Management: BRILiaN Individual
Equal Employment Opportunities
BRI is committed to fostering an inclusive and equitable workplace by upholding the principles of BRI has issued internal regulations through the Board of Directors’ Letter No. B.1221-DIR/HCS/07/2022
equality, diversity, and non-discrimination in career development. The bank ensures that all employees on the Respectful Workplace Policy. This directive outlines key points, including:
have equal opportunities, regardless of gender, age, ethnicity, religion, race, or any other discriminatory 1 Definitions of a respectful workplace, discrimination, violence, and harassment;
factors. BRI has established a comprehensive anti-discrimination policy encompassing all aspects of
2 Criteria for acts of discrimination, violence, and harassment;
human resource management, including recruitment, career development, and remuneration.[F.18]
3 Principles of a respectful workplace; and
In alignment with this commitment, BRI has implemented the Respectful Workplace Policy to uphold a
culture of mutual respect and compliance with the Minister of State-Owned Enterprises Circular No. 4 Preventive measures, handling procedures, and monitoring mechanisms.
SE-3/MBU/04/2022 of 2022 on the Policy of Mutual Respect in the Workplace within State-Owned BRI underscores the critical role of leaders as role models in fostering a conducive work environment
Enterprises.[GRI 3-3] that enhances employee productivity. The bank maintains a zero-tolerance policy against all forms of
harassment, both sexual and non-sexual, as well as discrimination in the workplace or any work-related
activities. As part of its firm stance, BRI has established a Whistleblowing System (WBS) to report and
Prinsip Respectful Workplace Policy
address violations. Such behaviors are deemed unacceptable and fundamentally incompatible with
BRI’s core values, which emphasize inclusivity and the creation of a safe working environment for all
Recognizing and respecting A guarantee from work unit Create and build a work
employees. [GRI 3-3]
differences in a diverse work leaders that no employee is environment with respect
environment with various treated differently because of for each other and no
ethnic backgrounds, races, their personal characteristics, discrimination, violence or Workforce Composition
nationalities, skin colors, ages, and has equal and fair access harassment in any form. All employee regulations at BRI comply with Labor Law No. 13 of 2003 and have incorporated the
religions, genders, disabilities, to company facilities and provisions of Government Regulation in Lieu of Law (Perpu) No. 2 of 2022 on Job Creation, which took
viewpoints, or other individual infrastructure. effect on December 30, 2022. The Collective Labor Agreement (PKB) is reviewed and updated every
characteristics and points two years to clearly define the rights and responsibilities of the company, labor unions, and employees,
of view, to encourage a ensuring the maintenance of harmonious working relations while upholding the principles of healthy
productive work environment. industrial relations. [GRI 3-3] [GRI 2-30] [GRI 407-1]
As of December 31, 2024, BRI employs 81,848 individuals, consisting of 59,495 permanent employees
(72.69%), 22,244 contract employees (27.18%), and 109 trainees (0.13%). All employees work full-
time, with no part-time workers or unguaranteed working hours. Among permanent employees,
This policy is designed to cultivate a workplace environment that upholds mutual respect and is free 39,176 (65.85%) are members of the BRI Workers' Union, which is exclusively composed of permanent
from discrimination, exclusion, restriction, bullying, harassment, and all forms of violence, both mental employees. However, the outcomes of labor negotiations apply to all BRI employees, regardless of
and physical. By fostering an inclusive, supportive, and productive work atmosphere, the policy union membership.
reinforces the Company's commitment to sustainability and the protection of human rights. [GRI 3-3]
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Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Manajemen Human Capital: Insan BRILiaN
In terms of gender distribution, 58.81% of BRI employees are male, while 41.19% are female. Regarding
educational background, the majority (96%) hold a Bachelor’s degree or a Diploma. Employee data
from 2022 to 2024 has been compiled using the headcount method by the Human Capital Business
Partner 2 Division and is presented in the data table on page 188. [B.1] [C.3] [F.18] [GRI 2-1] [GRI 2-7] [GRI 2-8] [GRI 2-30] [GRI 401-1]
Support for Female Workers [F.18] [GRI 2-23]
BRI is committed to providing equal opportunities to all employees, regardless of gender. In 2023,
the proportion of female employees increased across all job levels, with women receiving the same
opportunities as men to hold managerial positions. By 2024, 25.23% of employees in junior, middle, and
senior management roles are women.
To further support gender equality, BRI actively provides development platforms that empower female
employees to enhance their skills and advance their careers within the professional setting. Gender
equality is a key commitment for BRI, in alignment with other State-Owned Enterprises (SOEs). In
addition to promoting gender balance, BRI is dedicated to fostering inclusive diversity, supporting
employees from various backgrounds, including different experiences, ages, abilities, perspectives, and
ways of thinking. Currently, BRI employs 33,717 women. [F.18]
As part of this commitment, BRI introduced the BRILiaN Women Leaders Indonesia (BWLI) program
to contribute to the Ministry of SOEs' efforts to increase the representation of women in leadership
role within the BRI Group. This initiative also supports the Ministry’s target of achieving 25% female
leadership in SOE executive positions by 2024. BWLI is BRI's latest internal leadership development
program, designed to nurture female leaders by providing a structured learning platform, leadership
training, and networking opportunities for selected women leaders within the organization.
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Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Human Capital Management: BRILiaN Individual
Employees with Disabilities [F.18]
Employee Recruitment [FS4] [F.18] [GRI 3-3] [FS4] [F.18]
BRI is committed to providing equal opportunities for persons with disabilities (PwDs) to actively
participate in its business activities by aligning job roles and responsibilities with their individual skills To attract and develop top young talent across Indonesia, BRI has established several strategic
and competencies. recruitment and development programs.
To further empower PwDs, BRI has introduced the BRI Sahabat Disabilitas training and apprenticeship 1 BRILiaN Scholarship Program (BSP): An early recruitment initiative designed to identify and nurture
program, equipping them with the necessary skills and competencies to successfully enter the talented young individuals, serving as a character-building platform before they officially join BRI.
workforce. 2 BRILiaN Creativity Contest (BCCP): A competition where participants showcase innovative ideas,
In addition to fostering inclusivity, BRI is dedicated to ensuring the comfort and safety of its PWD either individually or in teams, that can contribute positively to both the nation and BRI. This initiative
employees by providing assistive equipment and tailored physical and non-physical facilities. The helps BRI identify top talent through their creativity and problem-solving abilities.
bank also offers training and capacity-building programs, alongside a Talent Development System- 3 BRILiaN Internship Program (BIP): A structured internship program providing hands-on training
based career management framework, to support professional growth and career advancement of experiences for high school/vocational school graduates, university students, or fresh graduates,
employees with disabilities. while also supporting BRI's operational units.
4 BRILiaN Future Leader Program (BFLP): A recruitment and educational program designed to
attract high-potential candidates from external sources and prepare them for future leadership
Employee Potential Development Initiatives
roles.
Effective human resource development cultivates a positive work environment, strengthens
5 BRILiaN Next Leader Program (BNLP): A leadership pipeline program dedicated to internal BRI
organizational commitment, and enhances job satisfaction. By improving employee performance,
employees with high potential, equipping them with the necessary skills to become future company
increasing workplace engagement, and reducing turnover, it plays a vital role in driving the company’s
leaders.
overall success.
6 BRILiaN Banking Officer Program (BBOP): A recruitment and training initiative aimed at preparing
new employees at the assistant level, sourced both externally and internally, ensuring they meet
Performance Bootcamp Program as an Effort to Enhance Performance BRI’s operational standards and values.
To manage the performance of the Company, Business Units, and Individuals, BRI has implemented 7 BRILiaN Relationship Manager Program (BRMP): A targeted recruitment and development
a structured performance management process. This process ensures that individual performance program for employees in marketing roles at Corporate Band 6 or Junior Manager levels, designed
aligns with corporate objectives, enhances employee motivation, and supports the achievement of to maximize performance while aligning with BRI’s operational standards and core values.
optimal performance.
8 BRILiaN Specialist Hiring Program (BSHP): A specialized recruitment initiative targeting
Individual performance management is thoroughly evaluated, including the management of employees professionals with expertise in specific fields, ensuring BRI acquires the right talent to meet its
who fall below the minimum required performance standards (underperformers). To address this, BRI evolving business needs.
has established the Performance Bootcamp program, designed to help employees meet performance
standards through buddy support, training, mentoring, coaching, and counseling. Employees who do
not successfully complete the Performance Bootcamp will be subject to further follow-up actions and
consequences as determined by company policies.
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Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Human Capital Management: BRILiaN Individual
Fair Compensation [F.18] [F.20] [GRI 3-3] [GRI 405-2] Benefit Type Program Name PKWTT PKWT
BRI recognizes that employee career development and performance evaluation are interconnected Work Accident Insurance, Death
As per the Agreement
processes that drive professional growth and organizational success. Through structured performance Life Insurance Insurance, Grief Benefit, Life Insurance Yes Contents
& Workers Personal Accident
evaluations, BRI assesses and measures employees' capabilities based on their current roles and future
National Health Insurance and As per the Agreement
career aspirations, enabling the development of targeted employee programs that align with individual Health Insurance Yes Contents
Workers' Health Insurance
needs. Workers' Accident, Life Insurance & As per the Agreement
Disability and Incapacity Coverage Yes Contents
Employee performance is reviewed semi-annually and annually through both individual-based Personal Accident Insurance
As per the Agreement
(Individual KPI) and team-based (Division KPI) assessments. These evaluations are further enhanced by Maternity Leave Maternity Leave Yes Contents
continuous feedback mechanisms through Courageous Performance Dialogue (CPD). By integrating
these elements, BRI provides a structured platform for in-depth discussions on individual and team
BRI upholds equitable compensation for all employees by maintaining an annual total compensation
achievements, as well as areas for improvement, ensuring alignment between organizational strategies
ratio of 25.42, representing the ratio between the highest individual annual salary and the median total
and long-term goals. [FS-4]
annual salary of employees. In 2024, the total compensation for the highest-paid individual increased
In 2024, 100% of BRI employees received training, performance evaluations, and career development by 20.87%, while the median total compensation for employees (excluding the highest-paid individual)
reviews. [GRI 403-3] rose by 15.53%. This contributed to an overall annual total compensation growth of 77% compared to
BRI upholds the principle of equality by implementing a performance-driven remuneration strategy previous year. Additionally, in 2024, approximately 11.69% of BRI employees, a total of 9,569 individuals,
and a merit-based salary structure. Incentives and bonuses are provided to motivate employees. received promotions. [GRI 2-21]
Salary levels are determined based on job classification, work experience, workload, and performance BRI applies Remuneration Policy No. SE.36-DIR/HCS/12/2024, issued on December 30, 2024,
achievements, supporting career progression for female employees without gender-based disparities. governing Employee Remuneration. The remuneration strategy is aligned with the banking industry
There are no compensation differences between male and female employees for the same role and best practices and benchmarked against market standards. BRI regularly participates in banking
responsibilities. Total Reward Surveys conducted by independent consultants, adjusting remuneration based on their
Additionally, BRI considers the cost of living and Regional Minimum Wages (UMR) across different recommendations. [2-19]
locations to ensure that all employees earn above the UMR. In 2024, the lowest average salary at BRI Remuneration structure includes both fixed pay (such as base salary and allowances) and variable
was 1.09 times the regional minimum wage. Maintaining competitive remuneration is a core principle at pay. Employee also receive benefits, including health insurance, business travel facilities, and pension
all job levels, including entry-level positions. [F.20] [GRI 202-1] [GRI 405-2] programs. The remuneration system serves as a recognition mechanism, rewarding employees based
BRI’s compensation package includes salaries, benefits, incentives, and other advantages.[F.20] [GRI 202-1] on job weight and competencies, while also attracting top talent, retaining skilled professionals, and
In addition to remuneration, BRI provides comprehensive benefits for both permanent and non- motivating employees to contribute effectively to the company’s growth.
permanent employees across all operational areas, including: [GRI 401-2] To uphold competitive remuneration principles, BRI collaborates with independent consultants for
salary benchmarking and surveys. There are no conflicts of interest between BRI and its remuneration
consultants, and the company strictly adheres to all applicable regulations governing the remuneration
system. [2-20]
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Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Human Capital Management: BRILiaN Individual
Long-Term Incentives for Employees [F.18]
To foster a sense of ownership among employees, BRI offers both long-term incentives through stock to its training programs, BRI Corporate University oversees the Professional Certification Institute
ownership programs: namely the Employee Stock Allocation Program (ESA) and the Employee Stock (LSP), founded in 2019. Notably, it became the first LSP in the Indonesian banking industry to receive
Option Plan (ESOP), which have been in place since 2016. licensing from the National Professional Certification Agency (BNSP) under Decree No. KEP.0351/
1 Employee Stock Allocation (ESA) BNSP/II/2020, certifying employees' professional competencies in accordance with national standards.
The ESA program is a stock ownership initiative distributed in four stages to all employees who meet To anticipate and meet future competency demands, BRI has established various talent development
specific eligibility criteria set by BRI. These criteria include length of service, individual performance, programs aimed at equipping employees with critical skills and expertise to adapt to evolving industry
and track record in fulfilling responsibilities. challenges while driving organizational growth. Key initiatives include: [GRI 404-2]
2 Employee Stock Option Plan (ESOP) Program Name Description Participants in
The ESOP program grants employees the opportunity to purchase company stock at a special 2024
price. It is offered to employees at specific levels who are recognized as High Potential Talent and
BRILiaN Leadership BRI has implemented a comprehensive and continuous leadership 2,246 Person
Value Creators within BRI. Development development program to prepare employees as Great Leaders.
Program (BLDP) This program focuses on enhancing leadership capabilities while
emphasizing key areas such as character building, national
Program Total Shares 2023 Additions in 2024 insight, global perspective, business and banking expertise, and
technological proficiency.
Employee Stock Allocation (ESA) 959,959,300 7,758,700
BRILiaN Bright BRI offers a fully funded Master’s degree (S2) program for permanent 9 Employee
Employee Stock Option Plan (ESOP) 148,926,100 0
Scholarship employees through the BRI Bright Scholarship Program (BBSP).
Program (BBSP) This initiative is designed for top-performing talents, selected based
on their annual performance evaluations. The program provides
Promoting Lifelong Learning for Employee Development [F.22]
opportunities for world-class education, global exposure, and
BRI is committed to continuous employee development, implementing a range of policies and programs professional networking at 30 of the world’s top universities.
designed to provide learning opportunities, enhance competencies, and support career progression.
Development initiatives focus on strengthening both technical (hard) and interpersonal (soft) skills,
BRILiaN Women Internal development programs that support BRI women leaders by Selected
Leader Indonesia providing a platform for leadership learning and networking. BRI women
ensuring employees are equipped with the necessary skills to excel in their roles or fields. In trems
(BWLI) leaders
of career development, BRI offers structured programs such as promotions and rotations, aligning
employees' career aspirations with organization’s needs. BRI’s career management framework is built 25 Person
on principles that emphasize aligning job requirements with employee capabilities, competency-based BRILiaN Specialist BRI implements the Technical Competency Development Program, 81,703 Person
evaluations, and strategic career movement,fostering long-term growth.To reinforce its commitment Development aimed at enhancing employees' specialized knowledge and skills.
to employee development, BRI established the BRI Corporate University in 2015, with six campuses Program (BSDP) This initiative is designed to equip employees with industry-specific
strategically located across Indonesia. The institution is officially accredited as a corporate training expertise, ensuring they meet the competency requirements needed
provider (Lembaga Pelatihan Kerja, LPK) by the Ministry of Manpower and Transmigration. In addition to become subject matter experts. The program aligns individual
expertise with the company’s strategic and operational needs.
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BRI Green Human Capital Management: Promoting Respect for TJSL: People and Risk Integrity in the Workplace: Associations and
Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Human Capital Management: BRILiaN Individual
Employees will be provided with development programs tailored to their specific needs, considering BRI’s employee engagement framework evaluates the quality of several critical aspects, including:
their corporate title, role, or talent cluster. Based on Corporate Title: Employees will participate in 1 understanding of the company's vision, mission, goals, and strategies, and their influence on
leadership development programs focusing on character building, national insights, global perspectives, employee motivation;
business acumen, and technological proficiency. These programs are designed to prepare employees
2 leadership credibility;
for advancement to higher corporate titles. Based on Role: Employees will receive specialized training
to equip them with the knowledge and skills required for their respective roles. Based on Talent Cluster: 3 internal communication and collaboration; and
Employees identified as top talent will undergo specialized training programs tailored to prepare them 4 employee well-being, encompassing empowerment, a safe and comfortable work environment,
for more complex and strategic roles. opportunities for learning and growth, fair compensation and benefits, recognition and appreciation,
BRI’s employee education and training programs are conducted through a combination of internal work-life balance, and overall job satisfaction.
training and collaborations with accredited, competent, and experienced external educational service
providers. This approach underscores the bank's commitment to delivering high-quality learning Description 2024
facilities, strengthening employee competencies through comprehensive and impactful development Employee Engagement 3.51 / 4.00
programs.
Survey Scope 73.4%
Employee engagement plays a key role in driving job satisfaction. One key indicator of employee
Enhancing Understanding of Sustainable Finance [E.2] [F.1] [GRI 2-24] [GRI 404-2] [GRI G4 FS4] satisfaction is the turnover rate In 2024, BRI achieved a turnover rate of 1.29%, demonstrating strong
To strengthen employees' understanding of sustainable finance, BRI has integrated sustainable finance employee retention and reinforcing its positive performance in comparison to industry average.
concepts into its e-learning curriculum. As part of this initiative, an overview of sustainable finance is
included as a module in BRISMART e-learning, providing employees with accessible learning resources.
Mechanism for Managing Employee Complaints
In 2024, a total of 39,460 employees participated in online sustainable finance literacy training, achieving
an impressive completion rate of 99.91% on average. Employee complaints, including those related to discrimination, exclusion, restriction, sexual and non-
sexual harassment, bullying, and other forms of violence, are handled through employee disciplinary
procedures. Any perpetrators who cause harm to employees will be subject to employment regulations
Employee Engagement and, if proven guilty, may face sanctions up to and including termination of employment.
BRI is committed to fostering a conducive work environment, one of which is achieved through Employees have access to multiple internal communication channels to voice their concerns, including
measuring employee engagement levels via the Employee Engagement Survey (EES). This survey, the Human Capital Call Center, BRI HC Assistant, and the BASIC menu on the BRIStars app, all managed
conducted across all employees, serves as a comprehensive assessment of employee attitudes, by Human Capital, as well as the company’s whistleblower system (WBS). Through these channels,
behaviors, and relationships with their work and the organization. It also functions as a valuable tool for employees can submit questions, complaints, suggestions, and concerns in a safe and structured
evaluating engagement levels and as a medium for capturing employee aspirations to enhance human manner.
resource management. Additionally, employees have the option to receive coaching from internal BRI coaches or counseling
The engagement index reflects employees’ level of involvement and commitment to BRI, measured with external professional counselors when needed. BRI ensures strict confidentiality for all data and
through an average employee score on a scale from 1 to 4. This scale assesses key factors, including information shared during coaching and counseling sessions. [GRI 2-26]
employee pride in being part of the company, their willingness to remain with BRI, and their dedication
to consistently delivering their best performance.
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
BRI Green Human Capital Management: Promoting Respect for TJSL: People and Risk Integrity in the Workplace: Associations and
Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Human Capital Management: BRILiaN Individual
Occupational Health and Safety [F.1] [F.21] [GRI 2-24] [GRI 404-2] [GRI G4 FS4] 3 OHS monitoring and evaluation is carried out periodically through inspection, measurement,
Occupational Health and Safety Management [F.21] [GRI 3-3] [GRI 403-1] testing, and internal audit activities on the implementation of SMK3.
BRI is committed to ensuring employee health and safety through the Occupational Health and Safety 4 Internalization of OHS culture to ensure that workers understand that SMK3 is the right and
Management System (SMK3), which is implemented across all work units. The Business Continuity obligation of workers. Internalization methods include:
Management (BCM) & Occupational Health and Safety (K3) Department, under the Operational a Face-to-face training, webinars, online learning; and/or
Risk Division (ORD), is responsible for formulating, improving, and implementing SMK3 policies. The
b Other communication media (letters, infographics, videos, podcasts, and others).
Division Head of ORD holds the primary responsibility for the implementation, supervision, and overall
effectiveness of OHS inititiatives. c . Emergency Response Trial at least once in 1 (one) year.
BRI’s SMK3 policy is established by the Board of Directors through Circular Letter No. SE.58-DIR/ 5 Prevention and control of operational activity risks such as occupational accidents and occupational
ORD/11/2022 Book 4, which outlined key aspects of the Occupational Health and Safety Management diseases including in the procurement process of company goods and services.
System. BRI actively engages employees in the development and refinement of SMK3 policy. The
policy framework includes:
1 Compliance with government regulations and ISO 45001:2018 standards for the Occupational
Health and Safety Management System (OHSMS).
2 Application to both employees and non-employees, including building management personnel and
suppliers operating within BRI’s work environment.
3 Mitigation and risk control measures related to operational activities, including workplace accidents
(KAK) and occupational diseases (PAK). The policy also integrates health and safety measures into
the procurement process for goods and services.
4 Establishment of the Occupational Health and Safety Management System (SMK3) coordination,
including:
l The Occupational Health and Safety Committee (P2K3), comprising management and
employee representatives, in compliance with regulatory requirements and approved by the
Department of Manpower.
l The Emergency Response Team.
The policy is derived in the systems and procedures regulated by provision No. SO.35-ORD/06/2022.
The SMK3 aspects regulated in the SOP include the following elements:
1 Establishment of an Emergency Response Team in each Work Unit in stages:
a Conducting OHS socialization and emergency response trials on a regular basis.
b Emergency Response Trial at least once in 1 (one) year.
2 Review and improvement of SMK3 performance is carried out to ensure the suitability and
effectiveness of SMK3 implementation. The review is conducted on planning, implementation,
monitoring and evaluation activities. The results of the review are used to make improvements and
improve SMK3 performance.
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
BRI Green Human Capital Management: Promoting Respect for TJSL: People and Risk Integrity in the Workplace: Associations and
Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Human Capital Management: BRILiaN Individual
Promotion of OHS and Emergency Response Culture [GRI 403-4] [GRI 404-5] Employee Well-being and Mental Health Management
BRI conducts regular safety awareness programs training sessions to ensure that all employees are BRILiaN Communities
well-versed in safety protocols, enabling them to proactively identify and mitigate potential hazards. BRI is dedicated to to supporting employee well-being and mental health, fostering a work culture that
Beyond conducting risk assessments, BRI invests in comprehensive safety measures to reduce enhances engagement, productivity, and loyalty in alignment with its Core Values of AKHLAK (Amanah,
workplace risks. This includes portable fire extinguishers (APAR), OHS boxes in every room corner, first Kompeten, Harmonis, Loyal, Adaptif, Kolaboratif). [GRI 3-3]
aid stations, BRIMEDIKA clinics, and rubber boats in areas highly susceptible to flooding. The executive BRILiaN Community is an innovative approach to community management, designed to strengthen
management’s strong commitment to OHS reflected in risk awareness programs, reinforcing a culture collaboration and engagement among BRILiaN employees. By fostering informal communication, the
of safety, regulatory compliance, and workplace well-being. initiative contributes to a healthy and productive work environment, to ultimately supporting business
Regarding disaster risk management, BRI regularly conducts emergency preparedness drills and performance.
awareness programs based on specific risks associated with each work area. This includes ensuring The key objectives of the BRILiaN Community are:
that all employees are familiar with the Emergency Response Plan and that designated response
l To support work-life balance, enhance collaboration, and promote employee engagement in creating
teams, such as the Crisis Management Team (CMT), Emergency Safety Committee (ESCC), Building
a positive and productive workplace.
Management (BM) Sentra BRI Headquarters, and Floor Wardens, are adequately trained to respond to
emergencies or disasters. l To serve as a communication platform where leaders can share company insights and employees
can voice their aspirations.
To foster a culture of safety awareness and emergency preparedness, BRI continues to promote risk
awareness through various communication channels, including official notices, standing banners, l To manage activities and databases for BRILiaN talents in Sports, Arts, Social, and Religious fields.
infographics, videos, webinars, and training sessions, conducted both in-person and virtually. l BRILiaN Community members can take on influential roles, leading positive campaigns to enhance
To ensure compliance with Occupational Health and Safety Management System (SMK3) regulations, BRI’s corporate image, products/services, employer branding, and build relationships with external
BRI underwent SMK3 certification in August 2023. Based on an assessment conducted by PT MSI, BRI partners.
achieved a score of 94.26%, earning the "Satisfactory" designation. This certification is valid for three The platform provides BRILiaN employees with opportunities to connect, share, and learn together,
years, until 2026. As a result of this outstanding achievement, BRI is entitled to receive the SMK3 Gold fostering a culture of collaboration, innovation, and holistic well-being within BRI's workplace. To
Certification. reinforce employee engagement, BRI provides facilities and infrastructure to support community
activities, ensuring that employees feel valued, motivated, and competent. This sense of inclusion
translates into enhanced performance and productivity, directly contributing to the company's
success.
Beyond serving as an outlet for hobbies, the BRILiaN Community empowers Insan BRILiaN to participate
in prestigious competitions, achieve accolades, and bring recognition to BRI. These community-
based initiatives are managed across regional and branch offices, ensuring broad accessibility and
engagement for all Insan BRILiaN within BRI.
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
BRI Green Human Capital Management: Promoting Respect for TJSL: People and Risk Integrity in the Workplace: Associations and
Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Human Capital Management: BRILiaN Individual
Family-Friendly Workplace [F.21]
Support for Maternity and Childcare
BRI is committed to supporting female employees through comprehensive policies and facilities related
to maternity and childcare. The bank provides three months of fully paid maternity leave, allowing
female employees to focus on postpartum recovery and childcare. Additionally, male employees are
granted up to three days of paid paternity leave following the birth of their child.
To further promote work-life balance, BRI offers dedicated lactation rooms and daycare facilities,
ensuring that employees can effectively manage their professional responsibilities while prioritizing
their family's well-being.
Leave Policies and Other Time Off
BRI provides leave entitlements and absence permissions in full compliance with applicable labor
regulations, ensuring that employee rights are aligned with the Collective Labor Agreement (PKB) and
labor laws. Employees are entitled to paid annual leave, which includes mandatory leave (a minimum
of five consecutive days as part of their annual leave allocation). Additionally, BRI grants paid leave
for specific purposes, such as marriage, menstrual leave, and caregiving responsibilities for sick or
deceased family members.
Work Arrangement Policies
BRI has implemented a remote working policy, allowing employees the flexibility to work from a
distance without the requirement to be physically present in the office or attend face-to-face meetings.
To support this initiative, BRI provides dedicated remote working locations (BRIWork) for employees.
BRIWork locations are available at RO Jakarta 3 Building, Bintaro Branch, Bekasi KCP, and Dewi Sartika
Bogor KC. Additionally, BRI has introduced flexible working hours for units and divisions with regular
intensive work periods.
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BRI Green Human Capital Management: Promoting Respect for TJSL: People and Risk Integrity in the Workplace: Associations and
Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Human Capital Management: BRILiaN Individual
BRILiaN Wellbeing [GRI 403-3] [GRI 403-4] [GRI 403-6]
In alignment with the Employee Well-being Policy of the Ministry of State-Owned Enterprises (BUMN) consultations, coaching, counseling, financial guidance, health consultations, and access to a wellness
and its commitment to enhancing the well-being of BRILiaN personnel across all work units, BRI center. This initiative promotes holistic well-being, addressing physical, mental, social, and financial
actively fosters a healthy and productive work environment with a strong emphasis on physical well- health. The BASIC program includes support for physical health and workplace safety, mental health
being. To support this initiative, BRI has established employee communities as platforms for employees and emotional well-being, building and maintaining healthy personal and professional relationships,
to pursue hobbies, adopt a healthy lifestyle, and enhance overall business performance. as well as personal financial management, ensuring employees can lead productive lives free from
financial stress.
To further cultivate positive workplace interactions, BRI has established the BRILiaN Community,
Physical Aspects “Happy Physic” Social Aspects “Happy Social”
comprising 28 employee groups across various interest areas, including sports (BRILiaN Sport
The Physical Health and Safety This program enhances BRI Group
management program ensures that Employees interpersonal skills, enabling Community), arts (BRILiaN ART Community), and social and religious activities (BRILiaN Social &
BRI Group Employees have access them to build positive relationships within Religion Community).
to resources and opportunities to the workplace and society. The goal is to
maintain their physical health and foster job satisfaction, maintain healthy
well-being. professional and personal interactions, Pension Program [GRI 401-2]
and cultivate a positive work culture.
Examples of Activities: BRI remains committed to the well-being of its employees, including their financial security in
• Periodic General Medical Check-ups Examples of Activities: retirement, and provides preparatory programs for employees approaching retirement, by providing
• Wellness Programs (e.g., health shows, • Management of BRILiaN Community with
comprehensive preparation programs designed to equip them with the mental readiness, knowledge,
podcasts) dedicated budgets allocated up to regional
level insights, and practical skills needed for a smooth transition into post-retirement life. Additionally, BRI’s
retirement preparation program includes entrepreneurship training for retirees who have successfully
established their own businesses. [GRI 3-3, 404-2]
Mental Aspect “Happy Mind” Financial Aspect “Happy Financial” In addition to providing training programs, BRI ensures fair post-employment benefits as part of
The Mental Health Management The Financial health management program employees' retirement preparation. The assessment process for estimated liabilities related to post-
Program supports BRI Group equips BRI Group Employees with the employment and long-term employee benefits includes service awards, extended leave, retirement
Employees psychological resilience, knowledge and skills to effectively manage
programs, post-employment BPJS Kesehatan coverage, and other benefits. Employee benefits are
helping them manage information, personal finances, ensuring a productive
emotions, desires, and pressures in a life free from financial stress.. determined based on company regulations and the minimum requirements of Law No. 13 of 2003 on
balanced and healthy manner.. Examples of Activities:
Manpower to ensure compliance and adequacy. Participation in the retirement program is mandatory
Examples of Activities: • Financial Health Podcast Series for all employees, with contributions sourced from both the company (70%) and employees (30%). [GRI
• Mental Health Podcast Series 201-3]
• Counseling Portal viaBASIC in BRISTAR
The Projected Unit Credit method is used to determine post-employment and long-term employee
benefits. As of December 31, 2024, the total employee benefit liability amounted to IDR 16.21 trillion,
comprising various components such as the remeasurement of defined benefit pension liabilities
BRI provides comprehensive mental health support to employees through the BASIC (BRILiaN totaling IDR 1.55 trillion and the remeasurement of old-age benefit liabilities amounting to IDR 94.69
Assistance Center), which offers a range of employee assistance services, including general billion. BRI engages independent actuarial services to assess defined benefit obligations and other
pension programs. [GRI 201-3]
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
BRI Green Human Capital Management: Promoting Respect for TJSL: People and Risk Integrity in the Workplace: Associations and
Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Human Capital Management: BRILiaN Individual
Sustainability Culture Program BRILiaN Duta Lingkungan (Environmental Ambassador) and BRI Green Team
In 2024, BRI launched the Sustainability Culture Program (SCP) as an initiative to enhance sustainability The BRI Green Team is a dedicated group of selected Insan BRILiaN responsible for promoting and
awareness among BRILiaN employees. The program focuses on three key pillars: environmental, social, monitoring the implementation of the Green Campaign Project across all work units. Their primary
and governance, which are evaluated through specific indicators integrated into the daily activities of objective is to raise awareness of sustainability issues among BRI employees while ensuring alignment
BRILiaN individuals.. with the company’s sustainability culture programs. This initiative plays a key role in driving the
In the environmental aspect, BRILiaN employees are encouraged to actively contribute to managing achievement of sustainability parameters and indicators, encompassing both the Head Office and
activities that generate greenhouse gas emissions, with key indicators including operational vehicle regional offices throughout Indonesia. In 2024, a total of 124 Insan BRILiaN were selected to join the BRI
management and energy efficiency. In the social aspect, the program emphasizes Human Capital Green Team, consisting of 68 members from the Head Office and 56 from regional offices.
Development, measured through indicators such as education and training. In the governance From this group, two outstanding members are appointed as BRILiaN Environmental Ambassadors
aspect, SCP highlights the importance of understanding company systems and procedures, as well as (Duta Lingkungan to further champion sustainability initiatives within the organization). To ensure
evaluating compliance and potential violations that could impact good corporate governance. the effectiveness of their role, BRI Green Team members undergo a comprehensive capacity-building
The SCP is implemented year round, targeting both headquarter employees and those in branch program, designed to enhance their knowledge of the company’s sustainability principles. These
and operational units outside the headquarters. Through periodic monitoring, BRI ensures that SCP training programs cover critical topics such as energy efficiency, zero waste to landfill initiatives, worker
is effectively executed and generates a positive impact by fostering a strong culture of sustainability education and training, and anti-corruption practices.
awareness among BRILiaN employees.
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BRI Green Human Capital Management: Promoting Respect for TJSL: People and Risk Integrity in the Workplace: Associations and
Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Promoting Respect for Human Rights operations on human rights throughout the company’s value chain. To achieve this, BRI conducts
rigorous human rights due diligence, identifying and assessing potential impacts and risks stemming
BRI recognizes the significant impact of banking activities on human rights, both directly and indirectly. from its operational activities, value chain processes, business-related engagements, and new business
As a result, the bank adopts a proactive approach to human rights, focusing on risk management, relationships, including mergers and acquisitions. [F.19] [GRI 3-3] [GRI 408-1]
reputation enhancement, and contributing to sustainable global development. As part of its social responsibility, BRI places a strong emphasis on protecting vulnerable groups during
Human Rights Governance the human rights due diligence process. This involves identifying and evaluating potential human
BRI is committed to upholding human rights across its entire business supply chain by integrating rights risks not only within its direct operations but also across its broader value chain and associated
business-related human rights risks—such as forced labor, human trafficking, child labor, freedom of business activities. By prioritizing these efforts, BRI reinforces its commitment to fostering a business
association, collective bargaining rights, fair remuneration, equality and non-discrimination, Privacy ecosystem that respects, protects and promotes human rights, particularly for those most at risk.
Protection, Sustainable Operating Environment and Occupational Health and Safety (OHS)—into
its risk management framework and Environmental, Social, and Governance (ESG) initiatives. This Rights Holder Vulnerable Group Risks related to human rights
commitment is reinforced through regular human rights due diligence across the Company’s business
Employee • Female workers • Discrimination • Remuneration
operations. [GRI 3-3] [FN-CB-410a.2] • Non-permanent workers • Health and Safety • Human Capital
To further strengthen its dedication to human rights, BRI adheres to the ten principles of the United • Workers with disabilities • Freedom of Association Development
• Migrant Workers • Diversity, Equity and • Work Life Balance
Nations Guiding Principles on Business and Human Rights (UNGPs on BHR), also known as the Ten
Inclusion • Harassment
Principles of the UN Global Compact (UNGC). This commitment extends to safeguarding human rights
across BRI’s operational and business activities, including labor practices, business partnerships, and
supply chain management. The following are six of the ten UNGC principles related to human rights Suppliers/ • Supplier labor • Harassment • Discrimination
third parties • Female workers • Health & Safety • Child Labor
(Principles 1 and 2) and labor standards (Principles 3, 4, 5, and 6). • Child labor • Employee Privacy • Collection Bargaining
For more details on BRI’s commitment to the United Nations Guiding Principles on Business and Human • Forced Labour • Local Communities
Rights, please refer to page 167. • Policy • Freedom of Association
• Diversity, Equity and
The implementation of human rights policies across all operational activities at BRI is governed by the Inclusion
Human Rights in Employment Policy, the Respectful Workplace Policy (RWP), and the Occupational
Health and Safety (OHS) Policy. These policies cover various relevant aspects for both BRI employees
and the company’s suppliers and partners. Each policy is designed to ensure that human rights
principles are upheld and consistently applied, not only within the organization but also throughout the Human rights assessments play a vital role in preventing and mitigating potential harm to individuals
supply chain and in business partnerships. across all operational activities. Since 2023, BRI has integrated human rights assessments into both
its internal and external business operations. These assessments are conducted periodically, based
Human Rights Training and Awareness Initiatives on organizational priorities and needs, to identify risks associated with human rights practices. During
To communicate impacts to stakeholders, BRI implements several key actions: the assessment process, BRI systematically maps the frequency (likelihood) and impact (severity) of
1 Conducting periodic sessions to improve employees’ understanding and awareness of human each identified risk, enabling a comprehensive evaluation of both inherent and residual risks. In 2024,
rights principles. a total of 52,127 employees and 99 suppliers participated in the human rights assessment. Through
2 Sharing human rights practices and their impact through various channels, aligned with BRI’s these evaluations, BRI identified key human rights risks and established structured mitigation and
corporate communication standards. remediation procedures to address them effectively. [GRI 3-3]
3 Providing detailed human rights reports to external stakeholders through sustainability disclosures.
The human rights due diligence process, covering both internal operations and external business
engagements, is guided by Director's Letter No. B.1470-DIR/ESG/07/2023, issued on July 13,
Human Rights Assessment and Due Diligence
2023, regarding PT. Bank Rakyat Indonesia (Persero) Tbk.'s Human Rights Policy. This process is
BRI is committed to upholding human rights across all its business processes by adopting a
conducted through a structured framework comprising: 1) Human Rights Commitment; 2) Impact
precautionary approach. This approach entails proactively managing the potential impacts of its
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
BRI Green Human Capital Management: Promoting Respect for TJSL: People and Risk Integrity in the Workplace: Associations and
Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Promoting Respect for Human Rights Beyond its internal operations, BRI upholds responsible business practices by carefully selecting
suppliers, business partners, and loan clients who demonstrate commitment to ethical and sustainable
and Risk Identification; 3) Impact and Risk Assessment; 4) Mitigation and Remediation; and 5) Impact operations. To reinforce this, BRI has developed a Supply Chain Policy and established business
Communication. partner criteria that encompass ethical business conduct, human rights and labor rights compliance,
To reinforce its commitment, BRI conducted a human rights due diligence process using the self- environmental responsibility, data privacy, workplace health and safety, and supplier diversity.
assessment method established by the Ministry of Law and Human Rights of the Republic of Indonesia, Additionally, risk assessments and supplier compliance evaluations are conducted regularly to ensure
facilitated through the PRISMA application. As a result of this assessment, BRI achieved a Green adherence to BRI's human rights policies and standards. [3-3]
categorization for human rights implementation, signifying compliance with the Standard Indicators
for Business Risk Assessment and Human Rights.
Human Rights Mitigation and Remediation
BRI has implemented proactive measures to prevent human rights violations across all business units.
Human Rights Assessment These measures are designed to uphold human rights principles within its operational and business
In 2024, BRI conducted a human rights self-assessment for both employees and suppliers. Through activities.
this assessment, BRI identified key human rights risks and established structured mitigation and
In alignment with the United Nations Guiding Principles on Business and Human Rights (UNGPs),
remediation procedures to address these risks effectively. [GRI 3-3]
BRI has established clear standards and procedures to address human rights issues and facilitate the
The following are the results of the human rights self-assessment for employees and suppliers: remediation of adverse impacts. The remediation process includes: [2-26]
l apologies;
Internal Organization External Organization
l restitution;
Percentage Percentage
Rated Employees Supplier/Partner
67.05% 42.13% l rehabilitation;
52,127 99 l assurance of non-repetition;
l financial and non-financial compensation to prevent future violations; and
Human Rights Management Monitoring l legal remedies.
Human rights risk mapping through due diligence is conducted systematically and periodically to To further reinforce its commitment, BRI has established a whistleblowing system (WBS) as a
ensure its continued relevance over time. This process is followed by ongoing monitoring to assess confidential platform for reporting human rights risks, concerns, or incidents. This system safeguards
implementation effectiveness. Through risk mapping, BRI identifies key areas that require attention to the identities of whistleblowers and all involved parties. Reports related to human rights violations can
uphold human rights compliance both internally and externally. [GRI 3-3] be submitted by BRI employees, customers, business partners, or other external stakeholders through
As part of this process, BRI assesses various human rights issues, including forced labor, human designated reporting channels.
trafficking, child labor, freedom of association, collective bargaining rights, fair remuneration, non-
Whistleblowing System
discrimination, and other fundamental rights. This comprehensive approach enables BRI to identify
critical factors necessary for ensuring human rights fulfillment across both its internal operations and SMS/Whatsapp: 0811 8200 600 Email: whistleblower@corp.bri.co.id
external engagements.
Website: https://whistleblowing-system.bri.co.id PO BOX 1895 JKP 10900
Within its operational environment, BRI is committed to preventing human trafficking, forced labor, and
child labor. The bank prioritizes fostering a safe, inclusive, and supportive workplace for all employees All reports accompanied by relevant evidence are thoroughly investigated. If validated, appropriate
by safeguarding fundamental labor rights, providing opportunities for professional development, and sanctions are imposed in accordance with BRI’s policies. From 2021 to 2024, no cases of discrimination
promoting diversity, equality, and inclusion. Additionally, BRI has established clear regulations to were reported within BRI, and therefore, no corrective actions were required. Additionally, no reports or
prevent discrimination and harassment while ensuring employees’ rights to freedom of association, incidents were identified concerning human trafficking, child labor, forced labor, or violations of the right
including participation in trade unions. Employee privacy is also strictly protected as part of BRI’s to freedom of association or collective bargaining, either within BRI's operations or its supply chain. [F.19]
commitment to ethical workplace practices. [GRI 406-1] [GRI 408-1] [GRI 409-1]
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BRI Green Human Capital Management: Promoting Respect for TJSL: People and Risk Integrity in the Workplace: Associations and
Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Social and Environmental Responsibility (TJSL): People and Communities Around BRI
BRI's Social and Environmental Responsibility (TJSL) initiatives are an integral part of the company’s Social and Environmental Responsibility Through BRI Peduli
strategic operations. Beyond supporting vulnerable groups, these programs play a crucial role in
BRI Peduli TJSL serves as a key instrument in implementing social and environmental responsibility
strengthening financial and economic resilience within communities, contributing to long-term business
programs, aimed at preventing, mitigating, and reducing the operational impacts of the company while
sustainability and enhancing stability in the financial industry. Additionally, BRI’s TJSL initiatives foster
maximizing its positive contributions to the economic, social, and environmental sectors in support of
stakeholder engagement, raise public awareness and expand access to banking services. These efforts
sustainable development goals. Furthermore, these TJSL initiatives align with and reinforce the global
not only drive positive social impact but also reinforce BRI’s position as a trusted financial partner,
commitment to achieving the 17 Sustainable Development Goals (SDGs). [F.23] [F.25]
aligning with the company’s business objectives.
Adopting a sustainability-driven approach, BRI Peduli TJSL integrates the concept of long-term value
creation (Creating Shared Value) for both society and the company. Through empowerment programs,
capacity-building initiatives, and strategic infrastructure development, BRI strives to foster economic
self-sufficiency while enhancing public awareness of its role in sustainable finance.
In accordance with the Ministry of State-Owned Enterprises (BUMN) regulations, BRI’s TJSL
programs are strategically focused on three key pillars: Education, Environmental Stewardship,
and the Development of Micro and Small Enterprises (PUMK). The management of BRI Peduli TJSL
follows a systematic and integrated approach, ensuring the effective execution of programs through a
structured process encompassing planning, implementation, monitoring, and reporting.
Governance of Social and Environmental Responsibility
BRI's strategy for implementing the BRI Peduli TJSL program. [GRI 3-3]
To be a leader in corporate social responsibility practices, delivering sustainable value
Vision
and meaningful benefits to stakeholders
l Implement corporate social responsibility initiatives that align with BRI’s business
objectives through good governance, strategic planning, and impactful sustainable
Mission management.
l Create blended value for BRI and its stakeholders.
l Strengthen BRI’s reputation and stakeholder trust.
The implementation of BRI Peduli TJSL is built on three core pillars: Social Pillar, Economic
Pillar
Pillar, and Environmental Pillar. These three pillars are guided by the Legal Pillar
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
BRI Green Human Capital Management: Promoting Respect for TJSL: People and Risk Integrity in the Workplace: Associations and
Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Social and Environmental Responsibility (TJSL): People and Communities Around BRI
Program Planning
The planning of the BRI Peduli TJSL program is guided by the Regulation of the Minister of State-
Owned Enterprises of the Republic of Indonesia Number: PER-01/MBU/03/2023 dated March 3,
Social Economic Environment Legal 2023, concerning Special Assignments and Corporate Social and Environmental Responsibility
Programs for State-Owned Enterprises. These regulations have been incorporated into BRI's
Social Pillar aims to Economic Pillar focuses Environmental Pillar is Legal and Governance
internal policies through Circular Letter Number: SE. 24-DIR/CSC/06/2023 dated June 22,
promote the fulfillment of on sustainable economic dedicated to sustainable Pillar ensures legal
human rights in a fair and growth by fostering natural resource certainty and promotes 2023, which outlines the Implementation of Corporate Social and Environmental Responsibility
equitable manner while job creation, business management and effective, transparent, Programs of PT Bank Rakyat Indonesia (Persero) Tbk.
enhancing community opportunities, innovation, environment conservation accountable, and In designing its TJSL initiatives, BRI prioritizes efficiency and effectiveness, ensuring that
welfare inclusive industries, as the foundation for all life. participatory governance,
adequate infrastructure, fostering security stability, programs are strategically implemented, well-targeted, and impactful. The planning process is
and access to affordable and the rule of law. based on the following key aspects: [GRI 3-3, 413-1, 413-2]
clean energy, supported by
strategic partnerships. 1 Assessment of impact and risks associated with the company’s activities
Initiatives: Initiatives: Initiatives: 2 Identification of community needs and emerging potentials opportunities
3 Consideration of local advantages and wisdom
• Infrastructure and public • Capacity and skills • Nature preservation
facilities support development for MSME and environmental
4 Sustainability orientation and long-term impact analysis
• Education and public • Support for business conservation program 5 Alignment with sustainable development goals and strategic focus areas
health programs group equipment • Integrated and
• Scholarships for • Assistance with Halal responsible waste BRI actively engages its employees in TJSL programs, reflecting its commitment to empowering
outstanding students, certification for MSMEs management communities across its operational units. To ensure the effective implementation and long-
university students and • Development of local • Public awareness
term success of the BRI Peduli TJSL, the bank has developed a strategic roadmap that serves
journalists tourism campaigns on
• Public nutrition environmental as a guiding framework to enhance the program’s impact and relevance. This roadmap outlines
improvement and cleanliness key social and environmental priorities, with a primary focus on three priority areas: Education,
stunting prevention • Ecosystem management
Environment, and MSME Development. These three focus areas serve as the foundation for BRI
• Emergency disaster and urban farming
response assistance • Sustainable clean Peduli TJSL initiatives.
• Women’s group water and sanitation
empowerment programs management for
• Support for disability communities
assistance facilities • Assistance for
uninhabitable housing
(RTLH)
Beneficiaries: Beneficiaries: Beneficiaries:
General Public, Vulnerable MSME (Micro, Small, and General Public
Groups, Students and Medium Enterprises)
Teachers, Women’s Groups,
Persons with Disabilities
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
BRI Green Human Capital Management: Promoting Respect for TJSL: People and Risk Integrity in the Workplace: Associations and
Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Social and Environmental Responsibility (TJSL): People and Communities Around BRI
Monitoring dan Evaluation
Communication with the community regarding BRI Peduli TJSL programs begins at the planning stage In implementing the BRI Peduli Program, BRI has earned recognition from various stakeholders,
and continues through socialization, engagement with community leaders, program implementation receiving the following awards for its TJSL initiatives in 2024: [F.10]
and service delivery, ongoing program monitoring and evaluation, and the assessment of program
impacts and sustainability. To ensure the effectiveness and continuous improvement of its TJSL
Organizer/
initiatives, BRI conducts regular monitoring and evaluation activities, measuring the program's impact Category Program Month of Receipt
Award
using the Social Return on Investment (SROI) approach and assessing beneficiary satisfaction through
the Community Satisfaction Index (IKM). [GRI 2-25, 3-3, 413-1, 413-2] [F.23] Developing IGA (Indonesia BRINita (BRI Bertani di Kota) January 2024
Biodiversity Green Award)
IKM
SROI
Program Name Importance Performance
Ratio Category Category Establishing IGA (Indonesia Waste Management - YOK KITA January 2024
Index Index
Integrated Waste Green Award) GAS
Development of Culinary 11.32 98.00 Very 94.77 Very Management
Tourism at Tomohon Important Satisfied Flagship
Market
CSR Unggulan BISRA 2024 BRINita (BRI Bertani di Kota), YOK February 2024
Empowerment of the Belvie 11.26 89,86 Very 88.08 Very KITA GAS dan Grow & Green
Women’s Group Important Satisfied
TOP CSR 2024 TOP CSR 2024 BRI Peduli February 2024
Homestay Assistance in 9.86 89.12 Very 88.23 Very
Mandalika Important Satisfied
Nusantara Award La tofi - Yok Kita Gas, Brinita, Grow n June 2024
Business Equipment 8.07 94.12 Very 89.99 Very CSR Nusantara CSR Green, Ini Sekolahku dan AURA
Assistance in Kampung and Important Satisfied Award
Ujung Labuan Bajo
TJSL & CSR Award BUMN Track Program Yok Kita GAS July 2024
Halal Certification Training 7.60 89.70 Very 88.81 Very
in Banten Important Satisfied Lestari Award Kompas Yok Kita Gas dan Brinita July 2024
"Ini Sekolahku" Program in 7.02 90.00 Very 88.91 Very
Central Maluku Important Satisfied CSV Award Tras n CO - Latofi Yok Kita Gas September 2024
PBRI Menanam Grow & 5.85 85.00 Important 85.37 Satisfied Best CSR Award Warta Ekonomi BRI Peduli September 2024
Green Muara Gembong
Sewing Machine Assistance 4.31 91.56 Very 89.62 Very CSR Untuk Negeri Merdeka.com BRI Peduli September 2024
for the Maumere Women’s Important Satisfied
Group Investor Trust Majalah Investor Yayasan Bening Saguling October 2024
Throughout 2024, there were no formal complaints or complaints from the public regarding the impact of BRI activities. [F.24]
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
BRI Green Human Capital Management: Promoting Respect for TJSL: People and Risk Integrity in the Workplace: Associations and
Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Social and Environmental Responsibility (TJSL): People and Communities Around BRI
Social Pillar
Fulfillment of Quality Basic Human Rights in a Just and Equal Manner
1 Program BRI Peduli “Ini Sekolahku” 2 Program AURA (Aspire to Uplift, Revive, and Achieve) 3 “Cegah Stunting itu Penting” For National Nutrition Day
2024
As part of its commitment to creating shared value in the education BRI believes that women have the potential to play a greater Stunting is a condition of impaired growth and development in
sector, BRI continued the BRI Peduli TJSL program, "Ini Sekolahku", role in social and economic life. Through the AURA program, children under five, caused by prolonged malnutrition, recurrent
in 2024. Many school buildings, especially in remote areas, remain in BRI empowers women’s business groups, supporting them in infections, and inadequate early-life stimulation. Contributing
suboptimal condition, making it challenging to provide a conducive developing their entrepreneurial skills.. Implemented across 17 BRI factors include adolescent and maternal health, infant feeding
learning environment. However, proper school infrastructure is Regional Offices, BRI assisted 17 Women's Business Groups selected practices, economic conditions, cultural norms, and environmental
essential for improving the quality of teaching and learning activities. based on predetermined criteria. The businesses supported under factors such as sanitation and healthcare access. Stunting is a key
Through the "Ini Sekolahku" program, BRI provides support for the this program span various industries, including Food and Beverage target of the Sustainable Development Goals (SDGs), specifically
construction and renovation of school buildings and educational Industry, Plantation Agriculture, Horticultural Farming, Textile and Goal 2, which aims to eradicate hunger, eliminate all forms of
facilities in eight schools facing inadequate conditions. This Apparel Industry and other MSMEs. malnutrition by 2030, and achieve food security.
initiative aims to create a more comfortable and effective learning As part of the AURA program, BRI provides training and business In commemoration of National Nutrition Day 2024, BRI launched the
environment, ultimately contributing to the development of high- equipment to support Women's Business Group in sustaining "Preventing Stunting is Important" Program, providing nutritious
quality students.. and expanding their businesses. This initiative reinforces BRI’s food packages for toddlers and medical equipment to 24 community
commitment to enhancing women’s roles in economic and social health centers (puskesmas/posyandu) across Denpasar, Manado,
life. Jakarta, Makassar, and Jayapura. This program underscores BRI’s
commitment to supporting the realization of Golden Indonesia 2045.
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
BRI Green Human Capital Management: Promoting Respect for TJSL: People and Risk Integrity in the Workplace: Associations and
Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Social and Environmental Responsibility (TJSL): People and Communities Around BRI
Economic Pillar
Creating Inclusive Job Opportunities, Businesses, and Industries
2 3
1
Tomohon Market Culinary Tourism Development Coffee Farmer Group Equipment Assistance in Jepara Homestay Construction Assistance in Mandalika
Tomohon Market, located in Tomohon City, is a traditional market Coffee is one of Indonesia’s leading commodities, renowned for BRI is committed to supporting the development of local tourism,
that plays a crucial role in meeting the daily needs of the local its diverse varieties cultivated across different regions. In addition particularly in Mandalika, one of Indonesia's priority destinations.
community. What sets this market apart is its unique range of to being managed by large-scale industries, many micro, small, Mandalika has become an increasingly popular tourist destination,
products, including stalls selling unconventional meat products, and medium enterprises (MSMEs) are actively involved in coffee with significant progress in infrastructure development to support
which have gained widespread recognition. This distinctive processing for local consumption. However, many MSMEs lack the growing tourism sector.
feature attracts both local and international tourists, significantly access to adequate facilities and infrastructure, limiting their ability Through the BRI Peduli TJSL program, BRI actively contributes to
contributing to the region’s economic activity. to expand and compete in the market. To address this challenge, BRI, tourism development in Mandalika by providing assistance for the
As part of its support for local economic development, BRI has through its BRI Peduli TJSL program has provided targeted support construction of homestays for visitors. This support is directed
facilitated the construction of a dedicated culinary area within to *Kelompok Tani Kopi Tempur Roban Djoyo* in Jepara. As part of towards the Kuta Mandalika Village government and the managers
Tomohon market, providing vendors and visitors with a cleaner this initiative, BRI supplied a coffee roasting machine to enhance of these homestays.
and more comfortable environment. Strategically located next production capacity, helping local coffee farmers and entrepreneurs
By enhancing accommodation options and improving tourism
to Beriman Terminal Tomohon, this new culinary hub enhances better meet market demands.
infrastructure, this initiative promotes economic empowerment,
accessibility and strengthens food tourism in the area. This initiative fosters sustainable tourism, and helps improve the livelihoods of the
is expected to stimulate economic activity and ultimately enhance local community.
the well-being of the Tomohon Market community.
.
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
BRI Green Human Capital Management: Promoting Respect for TJSL: People and Risk Integrity in the Workplace: Associations and
Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Social and Environmental Responsibility (TJSL): People and Communities Around BRI
Environment Pillar
Sustainable Ecosystem Management and Preservation
1 BRI Peduli Program for Productive Tree Planting 2 BRI Peduli Yok Kita GAS (Gerakan Kelola Sampah) Waste 3 BRI Menanam Grow & Green Mangrove Planting
Management Journey Program
The BRI Menanam Grow & Green Program is a long-term Waste remains a persistent environmental challenge in many communities, In 2024, BRI launched a productive tree-planting initiative
collaborative initiative involving environmental activist groups, exacerbated by inadequate waste management practices and a low public aimed at stimulating local economic growth. Various
foundations, and local communities. This program reflects BRI's awareness. Through the Yok Kita GAS Program, BRI is actively addressing economically valuable tree species were planted, including
commitment to mitigating global warming and climate change this issue by promoting integrated waste management solutions that follow durian, aren (sugar palm), coffee, mango, nutmeg, and
through large-scale tree-planting activities. systematic, comprehensive, and sustainable principles while also emphasizing other fruit-bearing and high-value trees. By the end of
Under this initiative, BRI provides seedlings, while foundations and community empowerment and financial literacy. This program is aligned with 2024, a total of 45,300 trees had been planted through a
farmer groups oversee land preparation, seed planting, and ongoing BRI’s business processes, creating added value for both the company and collaborative effort involving BRI, local foundations, and
tree growth monitoring and data collection. local communities. surrounding communities. This initiative not only promotes
It has been successfully implemented in 41 Waste Banks and 5 markets across reforestation but also enables long-term economic benefits
Throughout 2024, BRI has successfully planted 10,000 mangrove
various regions, equipping participants with training in waste sorting and for local residents. With proper maintenance and harvesting,
trees in Muara Gembong, Bekasi, and 5,000 casuarina trees in
management, governance and institutional strengthening, financial literacy these trees will provide sustainable income sources,
Kradenan and Gesik Harjo villages, Tuban. The tree management
education, and waste bank business management support. Additionally, BRI strengthening community livelihoods while contributing to
process is conducted in collaboration with Bakaumu, an
provides waste management equipment, including organic waste shredders environmental conservation.
environmental foundation responsible for regular monitoring and
maintenance. and communal maggot bins.
Beyond its environmental impact, this tree-planting initiative also By implementing this program, BRI is contributing to environmental
serves as a potential educational tourism attraction, contributing preservation while also supporting the government’s target of achieving
to local economic situation and community engagement in Indonesia Net Zero Emissions by 2050.
environmental conservation.
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BRI Green Human Capital Management: Promoting Respect for TJSL: People and Risk Integrity in the Workplace: Associations and
Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Risk Management
Risk management serves as a fundamental pillar of governance in commercial banking, ensuring Board of Commissioners & Directors of the Main Entity
operational stability and sustainability amid market uncertainties and increasingly complex, dynamic
environments. A well-structured risk management framework enables banks to identify, assess, and Active Supervision by the Adequacy of Policies,
Procedures for Integrated
Adequacy of Processes &
Integrated Risk Management Integrated Internal
Board of Directors and Board
Control System
mitigate risks across various business activities, including credit, liquidity, and operational risks. of Commissioners of the Risk Management (IRM), & Information Systems
Main Entity Limit Setting
For BRI, risk management is not merely a protective measure but a strategy imperative that enhances
operational performance and strengthens market competitiveness. This approach supports the bank’s
commitment to long-term sustainability and growth in the financial sector. BRI prioritizes transparent Board of Integrated Risk Taking Unit &
Commissioners
risk management disclosures to foster stakeholder trust and maximize corporate value. To this end, Committees
Integrated Risk Management Committee Policy Making Unit
(Identification, Measurement, Monitoring, Control)
(Supervisory Function)
the bank has established a robust governance framework that continuously adapts to evolving risks,
Risk Risk Management
reinforcing its resilience and capacity to navigate challenges in an increasingly dynamic financial Monitoring Credit Risk Strategic Risk Information Systems
Committee
landscape. Three Lines Model
Market Risk Compliance Risk 1st Line 2nd Line 3rd Line
BRI
Integrated Independent
Governance Business Unit Integrated Risk
Assurance
Risk Governance Committee Liquidity Risk Reputation Risk Unit
Satuan Kerja
The Board of Commissioners and the Board of Directors at BRI are responsible for ensuring the effective Operational Risk Intragroup Risk
Operation Integrated Audit Intern
Terintegrasi
Audit Compliance Unit
implementation of risk management across the organization. They play a pivotal role in supporting and Committee
Legal Risk Insurance Risk
overseeing its execution across all operational units. Specifically, the Director of Risk Management is Integrated Risk Taking Unit Integrated Risk & Compliance Integrated
Assurance
entrusted with the comprehensive monitoring and control of risks at the bank-wide level.
The Board of Commissioners evaluates the risk management policies and implementation carried
Board of Subsidiary Risk Taking Unit &
out by the Board of Directors, ensuring that BRI’s activities and risk exposures are effectively Commissioners of
Subsidiary Companies
Subsidiaries' Board of Directors
(Subsidiaries' Risk Management Committees)
Policy Making Unit
(Identification, Measurement, Monitoring, Control)
managed. To fulfill this oversight responsibility, the Board of Commissioners is supported by the Risk (Supervisory Function)
Board of Risk Management
Monitoring Committee (KPMR), the Integrated Governance Committee, and the Audit Committee. Commissioners 1. Credit Risk 6. Strategic Risk Information Systems
Committee
These committees play a vital role in ensuring that risk management processes, procedures, and
Subsidiary
KPMR, Audit 2. Market Risk 7. Compliance Risk
Three Lines Model
Committee, KTKT*
methodologies are robust and aligned with industry best practices. This approach enables the bank to 3. Liquidity Risk 8. Reputation Risk 1st Line 2nd Line 3rd Line
Independent
maintain risk exposures within acceptable thresholds while enhancing organizational value. 4. Operational Risk 9. Insurance Risk
(PA Asuransi) Business Unit Risk Unit
Assurance
5. Legal Risk
Both the Board of Commissioners and KPMR members possess the necessary competencies and
Internal Audit Unit
expertise, including Risk Management certification, in compliance with regulatory requirements. Operation Compliance Unit
BRI remains committed to strengthening the capabilities of the Board of Commissioners through Subsidiary
Risk Taking Unit Risk & Compliance Control
specialized training programs and continuous professional development in risk management. [2-12] 3 Pillar Monitoring Assurance
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Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Risk Management
Risk Monitoring Committee (KPMR) Operational risk management is conducted in alignment with BRI’s governance framework, which
upholds regulatory standards and industry best practices. The measurement and assessment of
The Risk Monitoring Committee supports the Board of Commissioners in evaluating and ensuring
operational risks are conducted through various methodologies, including Risk and Control Self-
that risk management practices adhere to established procedures and methodologies. This oversight
Assessment (RCSA), New Bank Product Risk Management Assessment (PBB), Loss Event Database
ensures that BRI’s activities remain within acceptable risk limits, reinforcing effective control over the
(LED), Key Risk Indicator (KRI) Monitoring, Risk Assessment Plan (RAP), and Disaster Threat Risk
bank’s operations.
Assessment (PRAB).
Operational risk management reports are submitted periodically to management, unit leaders, and
Risk Management Committee (KMR) other relevant stakeholders to facilitate continuous monitoring and risk mitigation. The Operational
The Risk Management Committee is responsible for formulating and revising Risk Management Risk Division (ORD) is responsible for preparing both mandatory and internal operational risk reports to
Policies, including overseeing the implementation of risk management strategies and contingency ensure ongoing oversight and improvement.
plans. This committee ensures proactive risk management, particularly in response to abnormal The scope and format of operational risk management reports include, among others, the bank's
external conditions. operational risk profile, regional risk profile, Operational Risk News (OPEN), and analysis reports of UAI
(Unit Audit Internal) risk. In cases where UAI (Unit Audit Internal) verification results indicate potential
Risk Management Work Unit (SKMR) fraud, the report is escalated to the RCEO (Regional Chief Executive Officer) and the ORD Division for
further investigation and appropriate action.
The Risk Management Work Unit (SKMR) is an independent division dedicated to executing risk
management processes. It operates separately from the Operational Work Unit (UKO), Internal Audit
Work Unit (SKAI), and Compliance Work Unit. Stress-Testing Simulation [FN-CB-550a.2]
Stress testing is a critical risk assessment tool employed by BRI to measure potential losses under
Internal Audit Work Unit (SKAI) abnormal and extreme market conditions. BRI regularly conducts stress-testing simulations at least
once per quarter to assess vulnerabilities that may not be apparent under normal conditions but could
The Internal Audit Work Unit (SKAI) is responsible for assessing and enhancing the effectiveness of risk
pose significant risks during extreme scenarios. This process utilizes specific scenarios to evaluate
management, internal controls, and governance processes within the organization.
the sensitivity of BRI’s financial performance to changes in risk factors and to assess their impacts on
various portfolios, including:
Risk Management Process 1 Stress testing for Credit Risk evaluates the potential for default under adverse economic conditions
Each operational work unit at BRI is responsible for implementing the risk management process (Credit Risk Stress Testing).
through an internal control system integrated into their operational and business activities. This process 2 Stress testing for Market Risk analyzes the impact of fluctuations in interest rates and exchange
encompasses key stages, including risk identification, measurement, monitoring, and risk control. Risk rates (Market Risk Stress Testing).
management is executed continuously through three lines model, where risk-taking units serve as the
3 Stress testing for Liquidity Risk assesses potential liquidity constraints arising from stress
first line, compliance and risk management units provide oversight as the second line, and the internal
conditions (Liquidity Risk Stress Test).
audit unit ensures independent assurance as the third line.
Beyond portfolio analysis, this simulation also plays a vital role in managing systemic risk within BRI.
To ensure effective coordination and compliance with regulatory requirements, BRI’s Board of Directors
The results are utilized to assess the adequacy of the bank's capital buffers and liquidity levels, ensuring
has established a risk management function at every organizational level, including the Head Office
resilience against macroeconomic shocks. These insights are integral to capital planning, long-term
(Division/Desk/Team), Regional Offices, Special Branch Offices, Branch Offices, Sub-Branch Offices,
strategic development, and the overall management of BRI’s business activities.
BRI Units, Cash Offices, BRI Priority Service Centers, and Overseas Work Units (UKLN).
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Risk Management
Risk Review and Audit
BRI identifies key risk indicators across all risk categories and establishes risk limits that reflect the
organization’s acceptable risk level (risk appetite). The determination of risk appetite is formalized
through a Risk Appetite Statement (RAS), which incorporates quantitative, qualitative, and zero-
tolerance parameters aligned with BRI’s business objectives and strategic goals. The RAS and risk
limit parameters are regularly reviewed and updated at the corporate level (bank-wide) to ensure they
remain relevant and consistent with evolving business conditions and the dynamic risk landscape.
As mandated by Financial Services Authority Regulation No. 18/POJK.03/2016 on the Implementation
of Risk Management for Commercial Banks, the Internal Audit Unit (SKAI) is required to conduct a
comprehensive risk management review annually. This process ensures that all risk assessments—
including credit risk, market risk, liquidity risk, operational risk, legal risk, reputational risk, strategic
risk, and compliance risk—are conducted in full compliance with regulatory standards. Additionally,
SKAI performs regular audit across all organizational levels within BRI. Audit reports are systematically
submitted to the President Director and the Audit Committee, with a copy provided to the Compliance
Director.
BRI also conducts self-assessments of its risk profile. In the fourth quarter of 2024, the results indicated
that BRI's risk rating remained at a Low to Moderate level. This assessment reflects BRI's success
in maintaining effective risk management practices, ensuring resilience amid business growth and
increasing competition in Indonesia's banking sector.
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Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Risk Management
Emerging Risk Identification
The bank is exposed to various identified risks that are anticipated to impact its future business. Based on the assessment, BRI is expected to encounter two categories of risk in both the short and long term horizons.
Category Risk Definition and Description of Risk Risk Impact Preventive Measures
Global Geopolitical Indonesia is navigating an environment of geopolitical The combination of these challenges has a negative To mitigate sensitivity to global macroeconomic volatility and minimize associated risks, BRI has
Uncertainty uncertainty, particularly due to ongoing conflicts in Eastern impact on the pace of global economic recovery in 2024. implemented a series of strategic measures, including reducing exposure to financial instruments
Europe and the Middle East, which have disrupted supply vulnerable to interest rate and exchange rate fluctuations. These initiatives encompass managing interest
chains for essential goods and energy commodities, rate risk in the banking book, addressing maturity gaps, overseeing depositor and debtor concentration,
potentially contributing to rising global inflation. . managing net open foreign exchange positions, and optimizing trading and investment asset portfolios in
Furthermore, China's economic recovery has been slower response to market conditions..
than anticipated, driven by weakened industrial activity and From a governance perspective, BRI regularly conducts comprehensive portfolio assessments through
consumer demand. This slowdown is largely attributed to an stress testing, covering solvency, credit, market, and liquidity risks, to ensure financial resilience.
1 ongoing property crisis, low consumer confidence, and high Additionally, the bank monitors its risk appetite statement, maintains a contingency funding plan, and
unemployment rates among the working-age population. continuously updates its recovery plan.
Geopolitic
Prolonged Tight Monetary policies implemented by central banks worldwide This prolonged tightening may result in declining exports, Proactively managing interest rate risk and monitoring credit quality to mitigate potential defaults during
Monetary Policy are expected to remain restrictive for an extended period, a stagnant economic growth, rising inflation, and capital tight monetary policies.
condition referred to as "high for longer.". outflows. Additionally, it could lead to a drop in government
Leveraging policy instruments like Loan to Value (LTV) limits to maintain financial stability and control
bond prices, Rupiah depreciation, a decline in the Jakarta
excessive financing risks.
Composite Index (IHSG), and adjustments in fiscal and
Ensuring sufficient access to liquidity through diversified funding sources and effective liquidity
monetary policies by the government and Bank Indonesia,
management to address fluctuations caused by tight monetary policies.
including the potential for benchmark interest rate hikes.
Cybersecurity Risk The advancement of digital technology has increased The rapid advancement of digital technologies has The development of governance for information security incident response in line with BRI's Disaster
cybersecurity threats, including viruses, hacking, data breaches, heightened cybersecurity threats, including viruses, Recovery Plan (DRP), Business Continuity Plan (BCP) and cybersecurity framework called BRI
malware, and other risks. hacking, data breaches, malware, and other risks. These Cybersecurity Framework. This framework is organized into an enterprise security architecture (ESA,
threats pose significant disruptions to the bank's financial Enterprise Security Architecture) that refers to the National Institute of Standards and Technology (NIST)
performance and operations, potentially leading to Cybersecurity Framework.
fraud, financial losses, and data breaches, all of which Establishment of a Cybersecurity Incident Response Team (CSIRT) to respond to information security
can undermine customer trust and confidence in digital problems or incidents.
banking services. Consequently, these challenges may Establishment of a special function or section in the form of a Security Operation Center (SOC) that
impede the adoption of financial technology innovations monitors cyber threats continuously (24 hours, every week, for 365 days).
and hinder financial inclusive efforts, while also exposing Implementation of various information security technologies and security governance, including the use
the bank to potential regulatory penalties for failing to of threat intelligence services, brand monitoring and protection to monitor the misuse of the BRI brand on
meet customer protection obligations. social media.
2
Implementation of vulnerability assessments and reviews of BRI's information security independently in
Technology the form of vulnerability penetration tests and cyber attack simulations.
Collaborating with cybersecurity experts who have global experience in responding to incidents to conduct
forensic reviews and cyber incident investigations.
Provision of communication protocols to inform the public of information security incidents.
Misuse of Artificial The implementation of e-KYC technology for digital verification The potential misuse of identity falsification through deep- To mitigate these risks, BRI conducts regular updates and reviews of its e-KYC technology and algorithms
Intelligence (AI) and authentication enhances customer convenience in their face technology in the e-KYC process poses significant to enhance their effectiveness in detecting visual and audio manipulation technologies, including deepfake
interactions with the bank. risks, including fraud, financial losses, and erosion of technology.
customer trust and loyalty. Such threats can hinder the Additionally, the bank continuously monitors customer transaction behaviors to detect and prevent
adoption of financial technology innovations and impede money laundering and other financial crimes.
efforts to advance financial inclusion.
As part of its broader strategy to mitigate the misuse of AI technologies,BRI actively educates employees,
customers, and stakeholders on the responsible and ethical use of Artificial Intelligence.
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
BRI Green Human Capital Management: Promoting Respect for TJSL: People and Risk Integrity in the Workplace: Associations and
Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Risk Management
Risk Culture
BRI systematically identifies and measures risks through the Risk Control Self-Assessment (RCSA)
process, conducted at the beginning of each semester. This process incorporates key performance
indicators (KPIs), management inputs, upcoming business plans, historical operational risk incident
data, and control weakness evaluations. As a qualitative and predictive operational risk management
tool, RCSA utilizes impact and likelihood dimensions as the foundation for risk identification and
measurement. Its primary objective is to enable employees to proactively identify and report potential
risks across the organization.
The RCSA implementation extends across BRI's Head Office, Regional Offices, Special Branch Offices,
Overseas Branch Offices, and Branch Offices, encompassing BRI Units, Sub-Branch Offices, and
Priority Service Centers. Furthermore, risk management metrics are embedded within the KPIs of
employees involved in risk management functions across BRI Units, as well as within the KPIs of the
Board of Directors.
Internalization of a Risk-Aware Culture
Risk culture is a fundamental component of workforce transformation under the BRIVOLUTION 2.0
initiative, reinforcing the principle of "protect yourself, protect your colleagues, and protect BRI".
This commitment is embedded in the Culture Activation Program (CAP), which mandates three key
activities across all work unit:
1 Protect Your Password
l All employees are responsible for maintaining the confidentiality of passwords, PINs,
and sensitive data.
l Employees must never share their passwords or PINs with others
2 Verify Documents
Customer and debtor documents must be validated to ensure compliance with regulatory
requirements. Data input into applications according to the source documents and
established document management procedures.
3 Report Fraud Indications
100% of fraud-related deviations must be reported to the BRC/URC and promptly
addressed.
The strengthen the internalization of a risk-aware culture, BRI implements a structured program of
routine self-learning activities, instructions, and continuous socialization efforts across all levels of the
organization. Further details on the implementation of the risk culture initiatives can be found in BRI’s
2024 Annual Report.
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
BRI Green Human Capital Management: Promoting Respect for TJSL: People and Risk Integrity in the Workplace: Associations and
Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Integrity in the Workplace: BRI's Commitment to Business Ethics
Integrity is a fundamental value that every BRI employee must uphold in the workplace. A strong BRI's Commitment to Support Climate Change Policy
commitment to integrity enhances the company performance, drives innovation, and fosters a As a signatory to the Paris Agreement, Indonesia continues to enhance its climate change mitigation
professional work culture. It is nurtured through a supportive work environment, robust management efforts, including setting a national Net Zero Emissions (NZE) target by 2060 or earlier, as outlined in its
and controls, and inspirational leadership. Enhanced Nationally Determined Contribution (ENDC). One of the key approaches to achieving this
NZE target is the effective management of greenhouse gas (GHG) emissions. In alignment with national
Bank and BRILian Individual Code of Ethics commitments, BRI has developed a climate adaptation and mitigation plan, setting its NZE target for
2050 based on the Science Based Targets initiative (SBTi). BRI is also the first financial institution in
BRI’s Code of Ethics [2-23]
Indonesia to have a Near-Term Target validated by SBTi, aligning with the Paris Agreement’s goal of
The principles of good corporate governance are outlined in the BRI Board of Directors Circular and limiting global temperature rise to 1.5 degree Celsius.
Book 6 of the BRI Code of Ethics, which provides policies and guidelines for implementing the company’s
ethical standards. The Code of Ethics is structured into two key components: the Bank's Code of
Ethics and the BRILian Individual Code of Ethics. The Bank's Code of Ethics serves as a framework for BRI Support in Climate Change Association and Advocacy
corporate business ethics and conduct, while the BRILian Individual Code of Ethics established ethical Achieving the NZE target requires collaboration and support from various stakeholders, including
standards and behavioural guidelines for employees at an individual level. [2-23] [2-24] businesses, academia, non-governmental organizations (NGOs), the government, and regulators.
As Indonesia's first financial institution to commit to the NZE target through Science Based Target
Bank’s Code of Ethics BRILian Individual Code of Ethics
Initiatives (SBTi), BRI actively supports and participates in industry associations that promote climate
1 Compliance with laws and regulations, including the 1 Compliance with laws, regulatory policies, and internal change mitigation initiatives. In parallel, the Republic of Indonesia's Ministry of Trade has established
implementation of Anti-money laundering (AML), counter- bank regulations.
KADIN (Indonesian Chamber of Commerce and Industry) as a platform for business players to engage
terrorism financing (CFT), and counter-proliferation of Protection of the bank's assets, ensuring information
2
weapons of mass destruction ( WMD) measures. in communication, information exchange, representation, consultancy, and advocacy. BRI is a member
security, preventing insider trading, and reporting
2 Fair treatment and adherence to mutual respect policy in the violations through the Whistleblowing System (WBS). of PERBANAS (Perhimpunan Bank-Bank Nasional Indonesia), one of the KADIN registered associations
workplace interactions among BRI employees.
3 Fair treatment of customers and safeguarding the representing Indonesia’s National Banks.
3 Protection of customer data and confidentially of personal confidentiality of customer data.
information.
As a member of Perbanas, BRI actively participates in climate change policy evaluations to ensure
4 Ethical relationships with competitors and business
4 Commitment to fair competition, anti-monopoly practices, and partners.
alignment with preventive and mitigation strategies. Evaluations conducted within PERBANAS indicate
equitable treatment of business partners.
5 Relationship with Colleagues, (including BRI Group that the organization's policies are consistent with the climate change prevention commitments
5 Value creation for stakeholder by safeguarding shareholder Employees): complying with respectful workplace policies. outlined in the Paris Agreement.
rights, ensuring transparency, maintaining open Relationship with regulators;
6
communication. Management System
7 Active participation in social and environmental
6 Integrity and accuracy in bank reporting. For each new association participation registered with KADIN, BRI ensures that the association's
responsibility;
7 Respect for human rights, proactive climate action, and strict 8
objectives align with the Paris Agreement's goal of reducing global warming. To uphold this commitment,
Strict control over gratuities, bribery, and corruption..
neutrality in political activities. BRI takes the following measures:
8 Ethical conduct in corporate operations across the BRI Group. l Appointing a representative or work unit to oversee and represent BRI's involvement in the
9 Prevention and Control of gratuities, bribery, and corruption. association.
Comprehensive information on BRI's ethical policies, including anti-corruption and anti-bribery l Engaging in discussion and communication with the association.
measures, non-discrimination, information confidentiality, conflict of interest management, anti- l Ensuring that the association's policies and initiatives do not contradict the commitments outlined in
monopoly and fair competition principles, as well as policies on money laundering, human trafficking,
environmental responsibility, health and safety, and the Whistleblowing System (WBS) is available at
https://www.ir-bri.com/esg/code_of_conduct.html.
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
BRI Green Human Capital Management: Promoting Respect for TJSL: People and Risk Integrity in the Workplace: Associations and
Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Integrity in the Workplace: BRI's Commitment to Business Ethics
the Paris Agreement. BRI mandates that the Board of Directors, Board of Commissioners, and all employees sign an Anti-
l Conducting a participant review if any of the association’s strategies or policies are found to be Fraud Statement annually during the BRILiaN Improvement Forum. Additionally, an integrity pact is
misaligned with the Paris Agreement goals. signed during the procurement of goods and services, involving the procurement organizing committee,
Review and Monitoring System relevant work units, vendors, and business partners [2-23][2-24]
BRI follows a structured approach to reviewing and monitoring its participation in an association to Furthermore, all BRI individuals are required to submit an annual BRI Code of Ethics Declaration and
ensures their objectives and policies align with the Paris Agreement's goals. This process begins with a disclose any conflicts of interest through the BRISTARS application or other designated platforms.
thorough examination of the association's publications, followed by discussion and, if necessary, surveys
The Code of Ethics is disseminated and communicated to BRI's internal and external stakeholders.
to gain deeper insights into its commitments and activities. BRI adopts a neutral stance on political
The commitment of the Board of Directors and the Board of Commissioners, serving as role models in
matters and refrains from engaging in public policy lobbying at either the national or global level.
implementing BRI's Code of Ethics, plays a crucial role in its successful adoption across all BRI personnel.
Review and Monitoring Process: To ensure effective implementation, BRI also conveys the company's Code of Ethics through: [2-23] [2-24]
Identifying BRI’s participation Identifying designated Evaluating participation Disclosing BRI’s participation . l the BRI official website (www.ir-bri.com/esg/code_of_conduct.html) which is publicly available to
in association listed in the association(s) policy with based on Paris Agreement in associations listed in the
Chamber of Commerce and Paris Agreement Alignment Chamber of Commerce and business partners;
ndonesian Industry (KADIN) ndonesian Industry (KADIN)
l A dedicated Landing page on the BRISTARS application;
l Collective Labor Agreement between the BRI Workers' Union and BRI Management; [407-1]
l Posters, videos, and other internal media displayed within company offices
Handling System for Inconsistent Climate Positions
If an association’s policies contradict climate change mitigation efforts, BRI, as a member, will actively
encourage the association to implement necessary changes. Once revisions are made, BRI will assess Sanctions for Violating the Code of Ethics
the updated policies against the Paris Agreement’s objectives. Should the association fail to adjust its Sanctions and investigation procedures for violations of the Code of Ethics are integral part of BRI’s
policies in accordance with these objectives, BRI reserves the right to terminate its membership. employee discipline regulations. The imposition of sanctions is determined based on the severity of
the violation, categorized as minor, moderate, or serious, and may impact remuneration and individual
Accountability System
performance assessments.
BRI regularly publishes sustainability reports aligned with the Paris Agreement, showcasing its
commitment to mitigating the impacts of climate change Disciplinary sanctions for Code of Ethics violations are classified into the following categories:
1 Developmental Measures 2 Position Sanctions
Association Name Registered in KADIN Comply with the Paris Agreement
l Verbal Warning; l Demotion by 1 Job Grade (TJ 1);
Perhimpunan Bank-Bank Nasional
Yes Yes l Demotion by 2 Job Grades (TJ 2); and
Indonesia (PERBANAS) l Written Guidance;
l Written Warning; and l Termination of Employment (PHK).
l Written Reprimand.
Code of Ethics System and Procedures
Throughout 2024, 46 reported indications of violations were investigated and successfully resolved.
The BRI Code of Ethics applies to all BRI individuals at every level of the organization's structure. This includes
However, during this reporting period, no reports were submitted by the public, including those related
the Board of Directors, the Board of Commissioners, and all employees, who are required to familiarize
to environmental issues. Additionally, there were no legal settlements or contracts terminations with
themselves with, understand, and adhere to the Code of Ethics in compliance with applicable regulations.
business partners, and no significant cases of non-compliance with laws and regulations resulted in
The Compliance Director, in collaboration with the Compliance Division and the Regional Office RRM Team,
fines or non-monetary sanctions.[2-27] [205-3] [FN-CB-510a.1]
is responsible for ensuring the internalization of the Code of Ethics across the organization.
Regional Management
Director of Compliance Compliance Division
and Compliance (RMC)
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
BRI Green Human Capital Management: Promoting Respect for TJSL: People and Risk Integrity in the Workplace: Associations and
Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Integrity in the Workplace: BRI's Commitment to Business Ethics
External Verification Policy control is maintained through regular audits of goods and services procurement conducted by
The due diligence and precautionary principles are fundamental components of BRI’s Code of Ethics. both internal and external auditors. Additionally, to encourage participation from BRI's partners, an
To ensure its alignment with ethical and regulatory standards, BRI conducts independent third-party Anti-Bribery Survey is conducted as part of an educational initiative, covering topics such as BRI’s vision
reviews, including certification processes. Additionally, BRI integrates international best practices and mission, ISO 37001:2016 certification, and partner evaluations. BRI also organizes communication
within its Code of Ethics, such as the United Nations (UN) Guiding Principles on Business and Human forums where partners can provide feedback and recommendations for continuous improvements in
Rights.[GRI 2-23] the procurement process. [FS9]
BRI obtained ISO 37001:2016 Anti-Bribery Management System certification for the procurement
of goods and services in 2020. In 2024, BRI successfully maintained this certification through the
recertification process, reaffirming its dedication to upholding integrity and preventing bribery within
its procurement activities.
Certification Name Issuer Validity Period
ISO 37301 Compliance Management System British Standard Institution 2023-2025
ISO 37001 Anti-Bribery Management System British Standard Institution 2023-2026
ISO 9001 Quality Management System British Standard Institution 2023-2026
BRILian's Relationship with Business Partners
BRI's partner management encompasses the registration, selection, supervision, and performance
evaluation of business partners. This process adheres to the Director’s Circular on the Procurement of
Goods and/or Services, specifically Book II on BRI’s Vendor Management.
BRI has developed an integrated partner management application linked with BRISMILE, covering the Procedures for Preventing Criminal Activities
entire lifecycle from registration, selection, supervision, maintenance, to performance evaluation. This Anti-Money Laundering (AML), Counter Financing of Terrorism (CFT), and Counter Financing
system provides BRI with a comprehensive data foundation to support the procurement of goods and of Weapons of Mass Destruction Proliferation (CFWMDP)
services. [FS1] [FS5] [205-2] The responsibility for implementing the AML, CFT, and CFWMDP programs is managed by a dedicated
As part of its ethical procurement practices, an integrity pact is signed at each stage of the procurement unit, the Special Work Unit (SWU), which operates various levels within the organization. At BRI
process by the Procurement Committee, Procurement Team, end users, vendors, and the decision- Headquarters, these programs are overseen by the Compliance Division, a structural unit within the
making officers. [3-3] [FS1] [FS3] [FS5] [F.19] [205-2] [408-1] BRI organizational framework. The Compliance Division is responsible for executing these programs
In 2024, BRI conducted social and environmental screening for 337 partners during the supplier and reports directly to the Compliance Director.
selection process. This assessment included compliance with human rights provisions, the prohibition BRI is committed to full compliance with all applicable laws, regulations, and provisions related to
of child labor, and the signing of an integrity pact related to anti-bribery measures. [2-6] [204-1] [FS3] [B.3] [B.1e] the prevention of money laundering and terrorism financing. This commitment is reflected in the
[3-3] [FS1] [FS3] [FS5] [F.19] [205-2] [408-1]
AML & CFT program, which has been formally approved by the Board of Directors and the Board of
This process is an integral part of BRI’s fixed asset management and procurement policy, as well as its Commissioners. The program includes a comprehensive framework of policies, procedures, internal
vendor registration requirements. Partners who successfully meet these criteria are issued a Certificate controls, and systems designed to align with the Republic of Indonesia’s laws on the Prevention
of Registration (SKT). of Money Laundering and Terrorism Financing, aas well as Bank Indonesia and Financial Services
Authority (OJK) Regulations. To ensure proper record-keeping and compliance, BRI has established a
document retention period of five years for records related to AML, CFT, and CFWMDP programs.
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
BRI Green Human Capital Management: Promoting Respect for TJSL: People and Risk Integrity in the Workplace: Associations and
Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Integrity in the Workplace: BRI's Commitment to Business Ethics
The procedures for implementing AML, CFT, and CFWMDP include: The implementation of AML, CFT, and WMD Proliferation Financing (PPPSPM) is subject to oversight
and monitoring by the Financial Services Authority (OJK). In addition, BRI conducts an independent
Customer Due Diligence (CDD) The customer due diligence procedures (CDD) procedures involve a examination annually to assess and ensure the effectiveness of its AML, CFT, and PPPSPM programs.
rigorous process to ensure compliance and identify potential risks. These
procedures include policies for client acceptance and identification,
The most recent examination was successfully conducted in September 2024.
covering prospective clients, existing clients, and walk-in clients. They
also encompass data and information requests, collection of supporting
documents, and the verification process to confirm the identity of
prospective clients and beneficial owners.
Enhanced Due Diligence (EDD) The Enhanced Due Diligence (EDD) procedures involve additional in-depth
risk assessments, particularly for trust services and trust management, as
well as high-risk categories.
Politically Exposed Persons BRI also implements client classification measures, including the
(PEPs) designation of Politically Exposed Persons (PEPs) and the categorization
of prospective clients, existing clients, and walk-in clients based on their risk
level for money laundering and/or terrorism financing.
Non-face-to-face CDD For non-face-to-face due diligence, client verification is conducted
using biometric authentication, such as facial recognition and eyeballing
technology. Supporting documents required for this process include
identity documents and signature samples.
Management of Business Additional procedures cover the suspension or temporary cessation
Relationships with Prospective of transactions, rejection, cancellation, and/or termination of business
Clients, Clients, and Walk-in relationships with prospective clients when necessary, In such cases, any
Clients, as well as Transaction remaining client funds are returned.
Updating and Monitoring BRI carries out ongoing monitoring of prospective client profiles, client
transaction activities, and compliance with the Terrorist and Terrorist
Organization List (DTTOT) and the Proliferation Financing of Weapons of
Mass Destruction List (DPPSPM).
Prevention of Green Financial Crime
Cross Border Correspondent Management of Cross Border Correspondent Banking and accounts
Banking payable. BRI has implemented concrete measures to prevent financial crimes related to environmental
issues. The AML, CFT, and CFWMDP policies at BRI incorporate provisions for identifying suspicious
Fund Transfers Fund transfer procedures, including requests for information and reporting transactions linked to green financial crime. BRI has developed transaction alert parameters within
on fund transfers.
the AML CFT 3.1 system to identify potentially suspicious financial activities related to environmental
Senior officials at BRI are authorized to make decisions regarding the continuation or termination of crimes. Additionally, BRI has established a Green Finance Crime Task Force, comprising the Compliance
business relationships and/or transactions with clients, walk-in clients (WIC), or beneficial ownership Division and other relevant divisions, to facilitate the exchange of information regarding customers
(BO) under high-risk criteria, including PEPs. suspected of or associated with green financial crime transactions or activities.
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
BRI Green Human Capital Management: Promoting Respect for TJSL: People and Risk Integrity in the Workplace: Associations and
Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Integrity in the Workplace: BRI's Commitment to Business Ethics
Anti-Money Laundering and Counter Financing of Terrorism Program Political Participation, Social Contributions, and Sponsorship
To prevent the misuse of BRI as a medium or destination for money laundering and terrorism financing, BRI BRI strictly prohibits the participation of the bank and its management in practical politics,
implements pre-employee screening as part of its Know Your Employee (KYE) policy. The bank continues as stated in the Bank's Code of Ethics and the BRILiaN Code of Ethics. The bank’s social
to enhances its AML-CFT program, at both the internal and group levels. Some of the key enhancements contributions are carried out through its Corporate Social Responsibility (CSR) program, while
implemented include: sponsorship activities are conducted either as part of the CSR initiatives or as commercial
1 Advancing suspicious transaction monitoring systems by leveraging information technology and artificial engagements in alignment with the company’s strategic objectives.
intelligence (AI). This includes AI-driven Monitoring Transaction Systems using Graph Technology,
Integrated AML CFT Screening which monitors screening lists during account opening and transactions, Anti-Fraud Policy [GRI 3-3]
Risk-Based Approach (RBA) at the bankwide and Customer levels, AML CFT System for Suspicious BRI has implemented a comprehensive set of anti-fraud policies and strategies to uphold
Transaction Report (STR), Cash Transaction Reports (CTR), and International Fund Transfer Instruction Good Corporate Governance (GCG). These policies reflect management’s strong commitment
(IFTI), Sipesat Reporting Tools, and compliance testing tools for response and impact analysis within to controlling potential fraud risks and underscore the zero-tolerance stance of the Board of
BRIPEDIA. Commissioners and the Board of Directors toward any form of fraud, whether from internal
2 Enhancing database screening and customer identification through the the PEP PPATK application. or external parties. The framework is outlined in the Director’s Circular on the Guidelines for
Implementing Operational Risk Management (Book V: Anti-Fraud Strategy).
3 Conducting risk assessments on Money Laundering (ML) and Terrorism Financing (TF) crimes using a risk-
based approach, in alignment with the latest National Risk Assessment (NRA) and Sectoral Risk Assessment Fraud oversight within BRI’s internal operations is managed by the Fraud Management &
(SRA). Recovery Desk, which operates under the Operational Risk Division and reports to the Director
of Risk Management. Additionally, BRI involves the Directorate of Digital and Information
4 Optimizing AML-CFT implementation at regional and branch offices by strengthening the role of Regional
Technology to strengthen fraud prevention efforts against external threats. [3-3]
Risk Management & Compliance and Branch Risk & Compliance.
Internally, BRI mandates that Directors, Commissioners, management staff, and all employees
sign an anti-fraud commitment. Externally, BRI continuously enhances its technology
Anti-Money Laundering, Countering the Financing of Terrorism, and Countering the Financing of infrastructure to strengthen fraud preventive measures. Furthermore, BRI provides legal
the Proliferation of Weapons of Mass Destruction (AML, CFT, and CPF-WMD) Training assistance to employees facing third-party fraud allegations related to their official duties.
BRI has integrated the AML, CFT, and CPF-WMD program as mandatory training content for new employees and However, this legal assistance and protection do not apply if the employee is the subject of a
regular training sessions to enhance employees' understanding of AML, CFT, and CPF-WMD implementation. company-initiated report or has been found guilty by the Company.
In 2024, BRI conducted awareness sessions through webinars covering key topics, including the AML CFT 3.1 BRI actively encourages employees to avoid involvement in fraudulent activities through
System, Field Enhanced Due Diligence (EDD) and Beneficial Ownership (BO) Recording in the NDS Application, awareness and socialization initiatives. While surveys on operational areas with potential
and Customer Due Diligence (CDD)/EDD for Fund Transfers. Additionally, BRI has collaborated with the gratification risks have not yet been conducted, BRI acknowledges that employees across all
Professional Certification Institution (LSP) to provide Level 1 and Level 2 Compliance Certification and AML/ divisions are equally exposed to the risks of gratification. In 2024, BRI successfully conducted
CFT Certification for its Compliance workforce. [2-24] anti-fraud and anti-corruption training and awareness programs, reaching 100% of employees
and governance bodies, including business partners. [205-1] [205-2] [2-24]
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
BRI Green Human Capital Management: Promoting Respect for TJSL: People and Risk Integrity in the Workplace: Associations and
Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Integrity in the Workplace: BRI's Commitment to Business Ethics
Prevention of Corruption and Bribery
Prevention of corruption and bribery begins with the strict prohibition of giving and receiving gratuities
in any form and from any party, in accordance with applicable laws and regulations. BRI's commitment
to eradicating gratification practices across all work units is reinforced through the issuance of the Anti-
Bribery and Gratification Control Policy, as outlined in SE.09-DIR/KEP/03/2023 concerning Corporate
Governance Book 3: Anti-bribery and Gratification Control. BRI encourages BRILiaN Individuals to
actively participate in the Anti-Bribery and Gratification Control Program, which is aligned with the
AKHLAK core value.
This policy serves as a guideline for all BRILiaN Individuals, including the Board of Commissioners,
Directors, permanent employees, contract workers, and outsourced personnel, ensuring they comply
with Good Corporate Governance (GCG) principles and avoid any form of gratification or bribery that
could compromise BRI’s integrity. Additionally, the policy strictly prohibits direct or indirect political
contributions, including those made through charitable donations or sponsorships.
As part of its anti-gratuity efforts, BRI has established the BRI Gratuity Control Unit (UPG BRI), within
the Compliance Division. This unit is responsible for formulating gratuity control policies, designing
awareness programs, managing reports on gratuity acceptance and rejection, and conducting analysis
and administrative processing of these reports. [3-3]
Employees who receive or reject gratuities are required to report them to UPG BRI. Gratuity reports
can be submitted digitally through the GCG Online System or via email at upg.bri@corp.bri.co.id.
These reports are then forwarded to the Corruption Eradication Commission (KPK) through the
Gratification Online (GOL) application. Reports must be submitted within seven working days before
the thirty-working-day deadline. Through the GCG Online System, employees also have access to
governance procedures, such as signing the ethics code compliance statement and submitting the
annual disclosure report.
Gratuity reporting channels: [3-3]
Mail to BRI Compliance Division
Human Capital System
Email: upg.bri@corp.bri.co.id BRI 2 Building 10 th Floor,
(BRISTARS) GCG Online System
Jl. Jenderal Sudirman Kav. 44-26
In 2024, BRI employees submitted 17 gratuity complaints to the Compliance Division for transactions
recorded. To further enhance employee awareness, BRI continuously internalizes anti-bribery and
gratuity control measures through various initiatives, including the dissemination of guidelines,
e-learning programs, and communication materials such as educational videos. [205-3] [205-1] [3-3]
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
BRI Green Human Capital Management: Promoting Respect for TJSL: People and Risk Integrity in the Workplace: Associations and
Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Integrity in the Workplace: BRI's Commitment to Business Ethics
Whistleblowing System (WBS) [F.24] [FN-CB-510a.2]
BRI provides a whistleblowing mechanism for both employees and external parties, including customers, The management of WBS reports is handled by the WBS Management Unit, which operates under the
business partners, and stakeholders, to report any behavior or indications of violations related to the President Director and is supervised by the Board of Commissioners through the Audit Committee.
code of ethics. This initiative aligns with Good Corporate Governance (GCG) principles and applicable This Unit is responsible for managing and following up on reports of potential violations. [2-25] [2-26] [2-29]
regulations and is known as the BRI Whistleblowing System (WBS). BRI consolidates all complaints and grievances into a single, unified reporting channel, allowing external
To ensure the effectiveness and credibility of the reporting process, BRI guarantees the confidentiality stakeholders to submit various concerns through the WBS. [2-25] Types of violations that can be reported
of the whistleblower’s identity, especially for those who choose to remain anonymous when submitting through the WBS: [2-27]
reports through the BRI violation reporting system. l fraud;
WBS Implementation process: l Bribery;
The Reporting Flow Mechanism of the Whistleblowing System (WBS) l Ethical violations;
l Violations of the code of ethics;
l Violations of accounting processes and financial reporting; and
l Indications of violations by BRI management and subsidiaries.
Code Approval
& Report
The informant submits an Password Verification of WBS report WBS Management Unit/
indicative report of violations by WBS/Audit Committee Audit Committee Leader Mail: PO BOX 1895 JKP 10900 SMS: 0811 8200 600
through SMS, WhatsApp, Officer. carries out validation.
email, or letter
Email: whistleblower@corp.bri.co.id Website:
Rejected Followed-up https://whistleblowing-system.bri.co.id/
The WBS
Management
Unit /Audit
Committee
Rejections are appoints an
updated in the Investigation
system Work Unit to
carry out the
Investigation.
The work unit has the The Investigation Work Unit
authority to carry out submits a report of the results
Officials of WBS follow-up improvements of the investigation to the
Management Unit/Audit and report them to WBS authorized work unit, forwarded
Committee update report Management Unit /Audit to WBS Management Unit /Audit
status Committee. Committee.
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
BRI Green Human Capital Management: Promoting Respect for TJSL: People and Risk Integrity in the Workplace: Associations and
Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Integrity in the Workplace: BRI's Commitment to Business Ethics
Taxation
BRI’s tax policy reflects its commitment to maintaining transparency and accountability in the The government, through the tax office, remains BRI’s most significant stakeholder in tax matters. BRI
managing all tax-related matters, in accordance with best practices. It also serves as a demonstration maintains good relations with tax authorities while refraining from advocacy or any efforts to influence
of the company's social responsibility and dedication to sustainability [GRI 3-3] [GRI 207-1] tax regulations or decisions. The bank fully complies with all tax laws and regulations issued by the
Government. BRI operates exclusively in Indonesia, with a limited number of overseas branches. As a
result, all tax reporting is conducted solely within Indonesia.
Tax Governance [GRI 207-2]
As a State-Owned Enterprise (SOE), PT Bank Rakyat Indonesia (Persero) Tbk is committed to fulfilling
Tax Reporting
its tax obligations in strict accordance with applicable regulations. To ensure efficient and effective tax
management, BRI adheres to well-defined taxation principles, ensuring full compliance with prevailing The implementation of tax policies across all areas is coordinated, monitored, and evaluated by the
tax laws while reinforcing transparency and accountability in all tax-related matters. BRI has established relevant work units in collaboration with the Financial and Management Accounting Division. The
tax policies and strategies that are reviewed and approved annually by the Finance Director during the performance of tax policy implementation is reported annually by the ESG Division to the Board of
preparation of the Annual Corporate Income Tax Return (SPT Tahunan PPh Badan). The bank’s tax Directors, the Board of Commissioners, and all stakeholders through the Company’s Sustainability
management framework includes the following key practices: Report. In 2024, BRI's tax contribution to the Government amounted to IDR 12.35 trillion.
1 The executive governance body responsible for implementing the tax strategy is the Finance
Director. Taxation Effectiveness [GRI 207-3]
2 BRI has established internal tax guidelines to ensure compliance with tax obligations, as outlined in BRI is committed to ensuring that all tax-related activities are conducted proactively and responsibly,
the BRI Taxation Circular and the BRI Taxation Standard Operating Procedures, which serve as the while balancing the interests of BRI's stakeholders. This commitment is reflected in BRI’s strategic
standard for all BRI business units. approach to tax management, ensuring that every transaction is well-planned, possesses commercial
3 BRI identifies, manages, and monitors tax obligations in accordance with applicable regulations substance, and fully complies with banking regulations under the strict supervision of the Financial
through continuous monitoring and reconciliation carried out by the Financial and Management Services Authority (OJK).
Accounting Division and relevant business units.
4 BRI discloses tax information transparently, adhering to reporting guidelines for shareholders and
the public.
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Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Associations and Frameworks
Membership in Associations [GRI 2-28] [C.5] Building Collective Awareness of Sustainable Impact
BRI actively engages with various organizations and industry associations aligned with its core business BRI is committed to supporting and actively participating in initiatives that align with its strategic
to stay informed on industry developments, expand its network, and enhance its contribution, synergy, objectives, fostering a positive impact from the sustainable finance sector on society. This commitment
and presence in fostering a sustainable business environment. However, BRI does not provide financial drives BRI to engage in both national and global sustainability initiatives, including those in alignment
contributions beyond standard membership fees. As of the end of 2024, BRI is a registered member of with the Paris Agreement, while also advocating for human rights protection, inclusive growth and
the following associations: diversity.
No Name of Association Purpose Position
Contributing to the development of Indonesia’s National Support
Himpunan Bank Milik
1 banking sector as a key driver of national Chairman BRI actively supports various initiatives aligned with the Paris Agreement, including the Indonesian
Negara (Himbara)
economic growth
Sustainable Finance Taxonomy, the 2021-2025 Sustainable Finance Initiative issued by the Financial
Asosiasi Sistem Enhancing the efficiency, professionalism, and Services Authority (OJK), and Indonesia’s net-zero emission target for 2060. In line with these
2 Pembayaran Indonesia implementation of good corporate governance Secretary commitments, BRI has incorporated the government’s climate change targets into its Sustainable
(ASPI) in the payment systems industry
Finance Action Plan, aiming to achieve net-zero emissions by 2050. Currently, BRI is a member of
Perhimpunan Bank Actively formulating policies and strategies to the National Banking Association named Perhimpunan Bank Nasional (Perbanas), an organization of
3 Member
Nasional (Perbanas) strengthen the banking sector. financial institutions that contributes to formulating policies related to banking. Perbanas operates
Forum Komunikasi Facilitating the Exchange of information on under the Indonesian Chamber of Commerce and Industry (KADIN), which has demonstrated alignment
4 Direktur Kepatuhan Bank Indonesia regulations and international Member with the Paris Agreement through various policies and initiatives. This reflects the implementation of
Perbankan (FKDKP) banking standards. climate change risk mitigation and the pursuit of business opportunities within Indonesia’s climate-
Promoting sustainable finance in Indonesia resilient economy, thereby contributing to the achievement of the Sustainable Development Goals
as part of climate change risk mitigation (SDGs). Additionally, BRI actively participates in the Banking Compliance Director Communication
Inisiatif Keuangan
while seizing business opportunities in a Forum (FKDKP), which plays a key role in promoting banking compliance and best governance practices
5 Berkelanjutan Indonesia Member
climate-resilient economy, contributing to the across the industry.
(IKBI) achievement of Sustainable Development Goals
(SDGs).
Global Support
Partnership for Carbon Collaborating globally with financial institutions
Since 2023, BRI has been part of the global sustainability initiative led by the United Nations Global
to develop standardized methodologies for
6 Accounting Financials Member Compact (UNGC), reinforcing its commitment to advancing the SDGs through the UNGC’s ten
measuring and disclosing greenhouse gas
(PCAF) (GHG) emissions from loans and investments. universal principles. This commitment was formalized through the signing of the agreement, followed
by the submission of the Communication on Progress in both 2023 and 2024.
Advancing corporate sustainability and
United Nations Global responsible business practices by aligning
7 Member
Compact (UNGC) with the UNGC's ten universal principles and
supporting the achievement of the SDGs.
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Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Association and Framework
Sustainable Finance Action Plan
The primary policy governing sustainable finance is outlined in Decree No. S.1270-DIR/ESG/04/2024, Board of Directors
which establishes the Sustainable Financial Action Plan (RAKB) for 2024–2028. The implementation of The Board of Directors is responsible for executing Sustainable Finance Action Plan programs, ensuring
the RAKB integrates environmental, social, and governance (ESG) principles and is executed through alignment with the Bank’s Articles of Association and relevant regulations. Their responsibilities include:
various initiatives, including environmentally responsible financing, the BRI Peduli program, and eco-
l Developing and proposing the Sustainable Finance policy and any necessary amendments to the
friendly operational practices. [FS1]
Board of Commissioners;
The development of the RAKB is overseen by the Director of Compliance and formulated by the ESG
l Preparing and submitting the RAKB to the Board of Commissioners;
Committee, which consists of the Director of Risk Management, the Director of Finance, and the SEVP
of Change Management & Transformation Office. The process is further supported by a dedicated l Preparing and submitting the Sustainability Report to the Board of Commissioners;
team comprising representatives from Change Management, Investor Relations, Planning, Budgeting l Communicating the RAKB to Shareholders and relevant organizational structures within the Bank;
& Performance Management, Corporate Secretary, Micro Business Development, and Project l Overseeing work units responsible for implementing Sustainable Finance policies and procedures,
Management Office. [E.1] separate from those monitoring their application;
The highest governance authority in the implementation of Sustainable Finance Action Plan (RAKB) at l Establishing a dedicated unit at the head office responsible to implement Sustainable Finance;
BRI is structured as follows:
l Ensuring compliance across work units in executing Sustainable Finance policies;
Board of Commissioners
l Monitoring Business and Operational Units to appoint responsible officers for Sustainable Finance
The Board of Commissioners holds the duty, responsibility, and authority to actively oversee RAKB in implementation;
accordance with the Bank’s Articles of Association and applicable regulations, including:
l Overseeing sustainable finance policies and procedures to align with the Bank’s evolving products,
l Approving the Sustainable Finance policy as one of the Bank’s specific policies; services, and technology in accordance with advancements in Sustainable Finance;
l Approving the Sustainable Finance Action Plan (RAKB); l Supervising periodic internal capacity-building programs related to Sustainable Finance; and
l Approving the Sustainability Report; and l Managing, periodically reviewing, and assessing the effectiveness of risk management processes as
l Supervising the Board of Directors in fulfilling their responsibilities for Sustainable Finance part of their governance responsibilities in implementing Sustainable Finance.
implementation The Sustainable Finance Action Plan (RAKB) was officially established on November 28, 2023, following
. approval from the Board of Directors and Commissioners. It is structured into two components: the
Long-Term RAKB (2024–2028), which outlines the Bank’s five-year strategic direction, and the Annual
Short-Term RAKB (2024), which details specific initiatives and targets for the year. Progress on the
RAKB is reported annually to the Financial Services Authority (OJK).
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Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Association and Framework
The following section provides a structured overview and description of the Sustainable Finance Action Plan (RAKB) 2024 programs.
Grouping Program Description Achievements
Governance
Sustainable Finance Mortgage Ecosystem (Homespot.id) A one-stop housing ecosystem website that provides housing information from BRI PKS developers.This platform The website and mobile application of homespot.id are
Product & Strategy enables users to access property details and benefit from various value-added services offered through BRI KPP now available for public use.
facilities, ensuring a seamless experience for prospective homebuyers.
Funding Plan for the Issuance of Non-DPK 1. Issuance of Non-DPK (Non-Third Party Funds) IDR and Foreign Currency Instruments to meet BRI’s liquidity Completion of sustainable funding instruments,
Instruments. requirements. including Green Bonds and LTN Tapera, along with the
2. Issuance of foreign currency Non-DPK instruments in the form of loans to address liquidity needs (on a matching disbursement of social loans.
basis), including funding plans for the Foreign Branches' operational requirements.
3. Issuance of Tapera Bonds (Long-Term Notes) to support the financing of Tapera Credit.
Sustainable Finance Integrated Anti-Money Laundering and Combating A centralized AML/CFT database, serving as a screening mechanism for prospective customers, existing customers, 1. The watchlist process for mass account opening has
Governance the Financing of Terrorism (AML/CFT) Database. Walk-In Customers (WIC), and Beneficial Owners during account opening and transaction activities. This tool is been successfully implemented on the Masspro
accessible by BRI and its subsidiaries. platform.
2. The watchlist for outgoing international transactions
has been deployed and is currently in the piloting
phase.
Risk & Control Risk Culture Implementation Internalization of the Risk Culture Program. 1. A risk culture assessment for BRI’s subsidiaries has
Environment been conducted.
2. The risk culture program for BRI (Parent Entity) is now
available and has been successfully implemented.
BRI’s Governance Assessment Internal Policies Development and execution of a Governance Review for the Board of Directors’ Policy Plan, aligning with best The guideline policy assessment has been utilized to
practices in Good Corporate Governance (GCG) and establishment of BRI’s GCG policies review governance-related policies.
Social
Financial Inclusion BRIncubator & Disbursement of Government A comprehensive and structured training and development program designed for Micro, Small and Medium To date, A total of 2,167 MSME participants have
& Customer Program Enterprises (MSMEs), complemented by mentoring. Through BRIncubator, MSMEs undergo rigorous training and successfully completed the BRI UMKM EXPO(RT)
Excellence curation, equipping them with the necessary skills and knowledge to participate in BRI UMKM EXPO(RT). program, preparing them to compete and thrive on a
global scale.
The support on the disbursement of government aid/subsidies for 2024, including: BRI has successfully distributed government assistance,
1. Ministry of Social Affairs: Family Hope Program (PKH) and the Staple Food Program including basic necessities, farmer cards, KUSUKA cards,
and fisherman cards.
2. Ministry of Maritime Affairs and Fisheries: KUSUKA Program
3. Fishermen Card Program in collaboration with the Provincial Government.
Customer Handling Management Encompass both Customer Relationship Management and Complaint Handling Management The Release 2 of Project CHM has been successfully
deployed
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Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Grouping Program Description Achievements
Strategic Workforce ESG in the Management of BRI's Human Capital The development of policies, declarations, and implementation efforts, including the Human Rights Policy and the A Human Rights Assessment Report for BRI employees,
Planning Diversity Program, which promote inclusivity. as referenced in ESG Division Letter No. B.114.e-ESG/
DIM/07/2024,has been completed and is now available.
Room for improvement Implementation The enhancement of the Employee Experience Journey (based on the findings from the Room for Improvement The results of the 2024 Employee Experience Survey
assessment), in alignment with the employee experience framework. and 2024 Employee Engagement Survey have been
published.
Learning & Development Alignment Alignment of the Career & Learning Journey and with the strategic development of its workforce, including a Digital skill-based education programs and specialized
redesign of the BRILiaN Specialist Development Program (BSDP). The updated program now emphasizes leveling training for Relationship Managers have been successfully
and specialization within each Directorate. delivered.
People Analytics The development of people analytics-based analysis to support key processes in shaping the next generation of The analysis of the description, automation, and
Human Capital. recruitment programs for BBOP, BMSP/BRMP, and
BFLP has been completed. As part of this initiative, a
pilot project for automating the administrative process of
BFLP recruitment has been successfully implemented.
Human Rights Adaptation of the ISO 26000 Framework (7 Core Adaptation of ISO 26000, the international guiding standard for social responsibility, which defines an organization’s All required actions to meet the ISO 26000 expectations
& Social Subjects) responsibility for the impact of its decisions and activities on society and the environment through transparent and gap have been fully carried out.
Responsibility ethical behavior.
E-Procurement (Application) The development of an end-to-end procurement system that is fully integrated with existing systems, facilitating A deployment test has been conducted on the
seamless data exchange and information flow between the e-Procurement system and other relevant platforms. e-Procurement application.
Environment
Developing climate TCFD (Task Force on Climate-Related Financial An ongoing process of formulating governance, strategy, risk management, and target setting related to climate BRI has published a pilot report on Climate Risk Stress
risk strategy Disclosure) Implementation risks, in alignment with TCFD guidelines. The Task force on Climate-Related Financial Disclosures (TCFD) serves Testing (CRST) which is available for download on BRI’s
as a comprehensive disclosure framework, enhancing transparency and demonstrating the company's ESG website: https://www.ir-bri.com/misc/BRI_Climate_
performance. Report_2024.pdf
Emission BRI Green Network An initiative supporting the implementation of ESG principles across BRI's business units, ensuring alignment with A total of 50 solar power plants have been installed,
management on the corporate strategy related to environmental sustainability and responsible business practices. and 150 electric vehicles have been distributed to BRI's
own operation operational units.
Construction of a Nursery and Waste Management Development of a facility to support BRI’s planting program. This initiative includes the establishment of a Training The construction process for the nurseries and waste
Facility in Sentul Center for planting activities and the distribution of seedlings to BRILian villages. management systems has commenced.
Green Banking Acquisition of New-to-Bank Clients Aligned with ESG An initiative designed to support ESG principles by expanding BRI’s customer base through the acquisition of new Customer acquisition efforts aligned with sustainability
as part of Initiatives clients in the EMG Division. initiatives have been successfully implemented.
decarbonization BRI Menanam An initiative focused on the gradual planting of productive trees to enhance environmental sustainability, contribute As of 2024, BRI has planted 1,138,333 tree saplings across
to pollution reduction in designated planting areas. more than 2,600 locations throughout Indonesia.
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Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Association and Framework
Challenges and Opportunities in Sustainable Finance Initiatives [E.5] [GRI 2-12] In recent years, a global paradigm shift has emerged, where corporations have moved beyond solely
[GRI 2-16] [E.5] [GRI G4 FS4] prioritizing financial performance to embrace the mission of generating social value for communities
In the implementation of Sustainable Finance, BRI encounters challenges arising from both internal and and the environment, aligning with the principle of creating shared value. As a leading financial institution
external factors. To address internal challenges, BRI proactively enhances its training programs on various in Indonesia, dedicated to serving the micro, small, and medium enterprise (MSME) segment, BRI has
sustainability topics in a structured and continuous manner. These training sessions are delivered across strategically positioned itself through BRIVOLUTION 2.0, a transformative corporate framework with
all organizational levels, including the head office, regional offices, branch offices, and other operational the vision to become “The Most Valuable Banking Group in Southeast Asia and Champion of Financial
units, ensuring that sustainability knowledge is effectively disseminated throughout the organization. Inclusion.”
Externally, challenges stem from several factors, including regulations developments in Sustainable This vision is anchored in two key objectives. Firstly, BRI remains committed to driving robust financial
Finance, which have the potential to influence market dynamics. The rapid advancement of digital performance to deliver sustainable economic value for stakeholders—including the government and
technologies also presents new demands for the banking sector. Furthermore, the lack of clear guidance shareholders—aligned with its aspiration to be “The Most Valuable Banking Group in Southeast Asia.”
and comprehensive industry-wide information related to Sustainable Finance poses an additional Secondly, BRI leverages its business and operational activities to create meaningful and measurable
challenge, making it difficult for businesses to navigate the evolving landscape. In response, BRI adopts social and environmental impact, reinforcing its role as the “Champion of Financial Inclusion.” By
robust risk management practices, systematically identifying and mitigating potential risks associated seamlessly integrating economic and social value creation, BRI’s initiatives directly contribute to
with these external pressures. This approach ensures resilience and adaptability in BRI’s sustainable advancing the United Nations’ Sustainable Development Goals (SDGs), affirming its role as a catalyst
finance initiatives. [FS6] for sustainable and inclusive growth across the region. [2-22]
Creating Economic Value: Advancing Sustainability through Innovative Products and Services
SGDs: BRI's support for the Sustainable Development Goals BRI’s commitment to generating sustainable economic value is realized through the provision of
innovative products and services designed to meet evolving customer needs. The bank broadens
its approach to economic value creation by integrating the impact of its business activities to the
achievement of the Sustainable Development Goals (SDGs). These efforts include:
l Providing financing solutions with a strong focus on MSMEs and environmentally conscious business
The Most Valuable Banking Group in
Champion of Financial Inclusion activities.
Southest Asia
Economic Value Creation Social Value Creation l Implementing sustainable funding strategies that prioritize social and environmental considerations,
such as the issuance of Sustainability Bonds, Green Bonds, and Sustainability-Linked Loans.
l Offering customer-centric deposit products, including BRI BritAma Savings and BRI Simpedes
Savings.
Driving Sustainability through Innovative
Empowering the People & Nurturing the Planet
Products & Services
l Enhancing digital banking access through BRImo, an integrated banking application that enables
SDG's Linked-Revenue Sustainable Lending
Financial Inclusion & Relationship with customers to conduct transactions anytime and anywhere.
Literacy Communities
l Expanding financial inclusion through BRILink Agents, a collaborative banking service that provides
Human Capital Management & Emissions Management
Direct Economy Contribution Sustainable Funding
Human Rights and Climate Change
financial access to underserved communities.
Maintaining Good Corporate Governance
These initiatives not only serve as key revenue streams and drivers of economic value creation for BRI
but also play a significant role in advancing the Sustainable Development Goals (SDGs).
Responsible Governance Data Security and Privacy
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Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Association and Framework
SustainableBanking
Sustainable Banking Business
Business Activity Financing Activities in 2024
Activity
Sustainable SDGsLinked-revenue
SDGs Linked-revenue in 2024 SDGs Linked-revenue in 2023
in 2024
12.43%
MSME Credit Distribution
Management of Biodiversity
IDR698.66 T
48,09% Goal 8
Decent Work and Economic Growth Goal 2
Zero Hunger
Resources and Sustainable Land Use IDR 64.68 T
Eco-efficient Product IDR 8.07 T Industry, Innovation, and Infrastructure Goal 9 1.63%
No Poverty Goal 1 0.80%
Renewable Energy IDR 6.34 T
Good Health and Well-being Goal 3 0.79%
ESG-based Bond Investment IDR 4.41 T
Life Below Water Goal 14 0.73%
Environmentally Friendly
Transport
IDR 3.61 T Sustainable cities and Communities Goal 11 0.42%
Environmentally Conscious Affordable and Clean Energy Goal 7 0.29%
Business Activities
IDR 3,06 T
Responsible Consumption and Production Goal 12 0.15%
Pollution Prevention and Control IDR 0.51 T
Quality Education Goal 4 0.06%
Eco-Friendly Buildings IDR 0.29 T Reduced Inequalities Goal 10 0.06%
Life on land Goal 15 0.01%
The total value of
Sustainable Banking IDR 789.63 Trillion (64.30% of BRI's Total Credit and Corporate Bond Investment Portfolio)
Total SDGs Linked-revenue
Business Activities
(Based on Interest income and Fee based income) 65,46%
Direct
Direct Economic
Economic Contribution
Contribution in
in 2024
2024
IDR 25.71 Trillion
ESG-based
ESG-based Wholesale
Wholesale Funding
Funding 2024
ESG-based Wholesale Funding 2024
2024
IDR 38.06 Trillion Dividend Payments to the
Direct Contribution to the Government
Sustainability-Linked Loan IDR 12.88 T Government of Indonesia
SDGs Goal No. 8
Through Dividend and Tax IDR 12.35 Trillion
Social Loan IDR 12.88 T Payments in 2024 Tax
Green Bond IDR 9.65 T
Inclusivity-based Bond IDR 5.93 T In the fiscal year 2024, BRI contributed IDR 38.06 trillion to the government through tax and dividend
payments. By fulfilling its fiscal obligations, BRI actively supports the strengthening of the nation's
ESG-Based Repo IDR 3.50 T
financial foundation, ultimately fostering sustainable economic growth and stability. This financial
contribution reflects BRI's commitment to being a responsible corporate citizen and a key government
ESG-based partner in advancing Indonesia's economy.
Wholesales IDR 44.83 Trillion (60.22% from total wholesale funding)
Funding BRI's overall contribution to economic value creation has the most significant impact on SDG 8
(Decent Work and Economic Growth), aligning with Indonesia's progress in achieving the Sustainable
Development Goals (SDGs). A key SDG 8 indicator is the number of adults with accounts at banks
or other financial institutions. Indonesia has demonstrated moderate improvement in this area, as
highlighted in the SDG report, accessible at https://dashboards.sdgindex.org/profiles/indonesia).
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Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Association and Framework
Creating Social Value: Empowering Communities and Preserving the Planet
As outlined in BRIVOLUTION 2.0, creating social value is a fundamental pillar of BRI’s mission to Pillar of Community Engagement
achieve its vision of becoming the “Champion of Financial Inclusion.” To realize this, BRI adheres to BRI acknowledges its corporate responsibility to create positive social impacts by fostering collaboration
four key pillars: Financial Inclusion and Financial Literacy, Community Engagement, Human Resource with customers, fostered villages, and local communities. By building strong relationships and actively
Management and Human Rights Fulfillment, and Greenhouse Gas Emissions Management and engaging with communities, BRI enhances community well-being, aligning with the principles of the
Climate Change Mitigation. Through these pillars, BRI integrates social responsibility into its business Sustainable Development Goals (SDGs). Further details on BRI’s community engagement efforts can
operations. be found in the TJSL and Communities Around Us chapter.
Pillar of Financial Inclusion and Financial Literacy
In strengthening financial inclusion and literacy, BRI remains committed to providing accessible banking
products and services for all segments of society. Further details on BRI’s efforts in financial inclusion
and literacy can be found in the Fostering Financial Inclusion and Literacy chapter. PROGRAM PROGRAM PROGRAM PROGRAM
BRI Peduli TJSL BRI Peduli TJSL BRI Peduli TJSL BRI Menanam
Programs – Social Programs – Economic Programs –
Pillar: Pillar: Environmental Pillar: ACHIEVEMENT
• Program BRI Peduli • Tomohon Market • BRI Menanam Grow Planting of 1,138,333
"Ini Sekolahku" Culinary Tourism & Green Mangrove tree seedlings with
PROGRAM PROGRAM PROGRAM PROGRAM
• Program AURA Development Planting Program a carbon absorption
Broad banking Affordable loan, Community Financial health
(Aspire to Uplift, • Coffee Farmer • BRI Peduli Yok potential of 985,449
accessibility savings, and empowerment protection for
Revive, and Group Equipment Kita GAS (Gerakan kgCO2e
insurance products programs that customers
Achieve) Assistance in Kelola Sampah)
ACHIEVEMENT foster economically
• “Cegah Stunting Jepara Waste Management
7,568 Work Units ACHIEVEMENT independent and ACHIEVEMENT CONTRIBUTION TO SDGS
itu Penting” For • Homestay Journey
747,030 E-Channels 35.9 million MSME sustainable rural • Responsible lending
National Nutrition Construction • BRI Peduli Program
(ATM, CRM, EDC, dan borrowers areas, along with • Responsible
Day 2024 Assistance in for Productive Tree
E-Buzz) 183.8 million micro financial solutions Marketing Policy
Mandalika Planting
1,064,219 BRILink accounts for commodity • Digital Extension
ACHIEVEMENT
Agents 13.02 million AMKKM ecosystems.
CONTRIBUTION TO SDGS
Contribution to local ACHIEVEMENT ACHIEVEMENT
24.2 million BRImo insurance policies
communities: IDR 259 Contribution to Contribution to nature
Users ACHIEVEMENT
CONTRIBUTION TO SDGS
billion economic growth in and environmental
CONTRIBUTION TO SDGS
communities: IDR 23 conservation: IDR 60
CONTRIBUTION TO SDGS billion billion
CONTRIBUTION TO SDGS CONTRIBUTION TO SDGS
CONTRIBUTION TO SDGS
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Association and Framework
Pillar of Human Resource and Human Rights Management
In managing human resources, BRI upholds its commitment to Human Rights by fostering a workplace
culture based on mutual respect. The company is dedicated to creating an inclusive, conducive, and
PROGRAM PROGRAM PROGRAM PROGRAM
productive work environment, ensuring that it remains free from discrimination, exclusion, restriction, Representation of Issuance of the Ensuring employee • Human Rights
bullying, harassment, and all forms of violence, whether mental or physical. This approach not only women and equal Workplace Mutual safety and health Policy and
supports BRI’s sustainability objectives but also reinforces its strong commitment to upholding Human opportunities Respect Policy through the Assessments
and rights for all implementation of • Commitment Pact
Rights (HR).
employees [F.18] ACHIEVEMENT the Occupational on Human Rights
Providing a respectful Safety and Health • General Human
ACHIEVEMENT work environment free Management System Rights Policy
• Encouraging and from discrimination, (SMK3) • Human Rights due
fostering women's exclusion, harassment, diligence with
potential. bullying, and any other ACHIEVEMENT PRISMA by the
• Supporting the forms of violence, while In 2024, the recorded Ministry of Law
Ministry of SOEs' upholding dignity and frequency of and Human Rights
target of achieving self-worth to maintain workplace accidents (Kemenkumham)
25% female leaders employee productivity was one incident, • Human Rights
in leadership with the percentage assessments for
positions. CONTRIBUTION TO SDGS of serious accidents employees and
• Female leadership at 0.0024%. The the supply chain/
composition stands evaluation of partners.
at 25.23%. the Occupational
• Number of Health and Safety ACHIEVEMENT
employees with Management • PRISMA score of
disabilities totals System (SMK3) 103 ("Good")
54, of which 22 are achieved a score of • 67.05% of BRI
women. 94.26%, classified employees
as 'satisfactory' by participated in
CONTRIBUTION TO SDGS PT Multi Sertifikasi the human rights
Indonesia. assessment (52,127
out of 77,739
CONTRIBUTION TO SDGS employees)
• 42.13% of BRI's
total supply
chain/partners
participated in
the human rights
assessment (99 out
of 235 suppliers)
CONTRIBUTION TO SDGS
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Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Association and Framework
Pillar of Emission Control and Climate Change Mitigation
BRI actively manages greenhouse gas emissions and implements climate change mitigation measures
as part of its commitment to responsible and environmentally sustainable business practices.
PROGRAM PROGRAM PROGRAM PROGRAM
Financing for Issuance of Green Network Implementation of
Environmentally Sustainability Bonds Initiative the Task Force on
Friendly Business Climate-Related
Activities (KUBL) ACHIEVEMENT ACHIEVEMENT Financial Disclosures
Green Bond 2022: • 796 Eco-friendly (TCFD)
ACHIEVEMENT IDR 5 trillion Vehicle (including
Total Financing for Green Bond 2023: car & motorcycle) ACHIEVEMENT
Environmentally IDR 6 trillion • 143 branch office TCFD Report:
Friendly Business Green Bond 2024: using solar panels. Governance, Strategy,
Activities (Green IDR 2.5 trillion • 524,180 kgCO2e Risk Management,
Sector) amounted to avoided through Metrics & Targets
IDR 86.56 trillion the Zero Waste to
CONTRIBUTION TO SDGS Landfill Program CONTRIBUTION TO SDGS
CONTRIBUTION TO SDGS CONTRIBUTION TO SDGS
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BRI Green Human Capital Management: Promoting Respect for TJSL: People and Risk Integrity in the Workplace: Associations and
Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Association and Framework
Responsible Governance Data Security and Privacy
As part of its commitment to responsible governance, BRI upholds ethical practices, transparency, BRI recognizes the critical importance of customer data protection as a fundamental pillar in maintaining
and accountability at all levels of the organization. This commitment is reflected in decision-making trust and ensuring compliance with legal requirements. To uphold this commitment, BRI implements
processes that prioritize the company’s long-term sustainability. Additionally, BRI maintains effective robust cybersecurity measures, secures data storage and transmission, and strictly adheres to privacy
communication with external stakeholders, particularly shareholders and the public, to foster trust and regulations. By safeguarding customer information, BRI not only mitigates risks associated with
confidence in its operations. potential data breaches but also upholds its commitment to respecting customers' privacy rights.
Program Achievement Contribution to SDGs Program Achievement Contribution to SDGs
Sustainable Finance Action Plan The preparation of the RAKB BRI Cybersecurity Framework BRI has established a
(RAKB) 2024-2028 reflects BRI's strong commitment (NIST) comprehensive cybersecurity
to regulatory compliance and management framework,
responsible banking practices. structured within the Enterprise
Through this comprehensive Security Architecture (ESA), based
framework, BRI proactively on current cyber threat analysis
addresses social issues and the and evolving security conditions.
challenges of climate. This framework is aligned with
the standards set by the National
Institute of Standards and
Membership in the United Nations By joining the UNGC, BRI further Technology (NIST)
Global Compact (UNGC) reinforces its dedication to
implementing sustainable finance Data Loss Prevention (DLP) To reinforce its commitment to
while actively contributing to the preventing data breaches, BRI has
achievement of the Sustainable implemented a series of initiatives
Development Goals (SDGs). aimed at strengthening data
security.
Sustainability-linked Loan BRI offers Sustainability-Linked
Loan (SLL), a financing product
designed to support and incentivize Communication on Progress
customers in adopting sustainable BRI has implemented proactive measures to mitigate human rights violations across its operational and
business practices. The terms and
business activities in all working units. These measures are aligned with both national and international
conditions of these loans may
be linked to the achievement of regulations, including the adoption of ISO 26000: SR (2013) and the Ten Principles of the United Nations
pre-agreed sustainability Key Global Compact (UNGC). Since joining the UNGC in 2023, BRI has reinforced its commitment to
Performance Indicators (KPIs). upholding these principles while actively supporting the achievement of the Sustainable Development
Goals (SDGs). As part of its ongoing commitment, BRI has developed a Communication on Progress
(COP) report, which details the bank’s approach to governance, human rights, labor practices,
environmental impact, and anti-corruption efforts. This report outlines BRI’s vision, values, progress,
and performance throughout 2024 (ending December 1, 2024) and is publicly accessible on the UNGC
website.
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Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Association and Framework
SDGs Story: Waste Management at the Workplace
“Managing waste is both simple and challenging,” said Anggi. “In reality, no
one likes or wants to deal with waste, but because we're so accustomed to
single-use products, we unknowingly become waste producers.”
Anggi is one of 124 employees who serve as environmental change agents in BRI's Green Team
program. Initially, the workload often led Anggi and many BRI employees to purchase food and
beverages in single-use packaging, such as coffee cups and ready-to-eat meals, without realizing
the long-term consequences of non-recyclable waste generation.
This behavioral challenge is exactly what the BRI Green Team aims to address. The initiative
began by reducing waste at the source through simple, actionable steps, such as encouraging
employees to bring personal eating utensils from home. The use of reusable tumblers instead
of disposable coffee cups and the habit of bringing home-cooked meals in personal containers
have become key practices promoted by the team. To support these efforts, BRI management
encourages employees to bring their own meals at least once a week. For employees who still
use single-use plastic bottles, Recycle Vending Machines (RVM) have been installed to reduce
plastic waste at work. Additionally, unavoidable domestic waste is systematically separated
and recycled to ensure effective repurposing. In collaboration with a social enterprise managed
by young entrepreneurs from Bandung, Anggi and her colleagues participate in upcycling—
transforming waste into new and useful products. “The key is that no waste should leave the office
and end up in a landfill,” Anggi emphasized. BRI has integrated the Zero Waste to Landfill initiative
into its corporate sustainability strategy to minimize its environmental impact and contribute
to climate change mitigation. In 2024 alone, this movement has successfully prevented 703,560
kilograms of waste from reaching landfills and avoided 524,180 kg of CO2e greenhouse gas
emissions from being released into the atmosphere.
“While we can recycle or process waste, prevention is far better,” concluded Anggi. Through
her involvement with the BRI Green Team and BRILiaN Duta Lingkungan, Anggi has not only
transformed her own lifestyle but has also demonstrated that small, consistent steps can lead
to significant environmental change in the workplace. This initiative is a direct contribution to
achieving SDG Goal 12: Responsible Consumption and Production.
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Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Association and Framework
SDGs Story: Driving Economic Growth Through Competition
The 2024-2025 BRI Liga 1 season marks the
fourth consecutive year that BRI has served as
the title sponsor of Indonesia's largest national
football competition.
BRI President Director, Sunarso, emphasized that BRI
Liga 1 reflects the bank’s ongoing commitment to creating
economic value while simultaneously fostering social impact
within the community. More than just a football competition,
BRI Liga 1 serves as a strategic platform to enhance the
visibility of BRI's services and products, particularly BRImo,
the bank’s flagship digital banking super app.
However, BRI's involvement extends beyond commercial benefits. A 2020 study conducted by
LPEM University of Indonesia estimated that the competition generates an annual economic
turnover of between IDR 2.7 to 3 trillion. In July 2024, updated findings from the BRI Research
Institute revealed that BRI Liga 1 could generate a significantly larger economic turnover, reaching
approximately IDR 10.42 trillion, while contributing an added economic value of IDR 5.93 trillion to
the national GDP. Additionally, the competition is projected to increase household incomes by
IDR 2.27 trillion, generate potential indirect tax revenues of IDR 866 billion for the government, and
create approximately 45,000 new job opportunities.
Beyond financial impact, BRI Liga 1 directly supports the achievement of SDG No. 8: Decent Work
and Economic Growth. By hosting a national-scale football competition, BRI helps stimulate
economic activity across multiple industries.
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Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Association and Framework
Summary of Corporate Responsibility According to the Core Subjects of ISO 26000: 2013 SR
BRI’s corporate responsibility aligns with the seven core subjects of ISO 26000:2013 Social Responsibility (SR), reflecting its commitment to sustainability, ethical business practices, and social impact.
Core Subjects Company-related Issues Activities Results
Corporate Governance BRI upholds ethical governance, transparency, Completion of SE CSR in accordance with ISO SE.24-DIR/CSC/06/2023 dated June 22, 2023 on the Implementation of Social and
and accountability, ensuring that decision- 26000. Environmental Responsibility Programs.
making processes prioritize long-term
sustainability and stakeholder trust.
Human Rights BRI is committed to respecting human rights by Improvement of human rights protection policies Letter of the Board of Directors No. B.1470-DIR/ESG/07/2023 dated July 13, 2023
fostering a workplace culture based on mutual and instruments. regarding the Human Rights Policy of PT Bank Rakyat Indonesia (Persero) Tbk.
respect and ensuring a safe, inclusive, and
discrimination-free environment.
Nodin KEP No. B.57.e-KEP/GCG/CGO/03/2024 regarding Confirmation regarding
Reporting of Human Rights Violations through the Whistleblowing System during the
Transition Period.
Labor The bank prioritizes fair labor practices, implementation of labor management that is EES value (2024) of 3.51 / 4.00.
employee well-being, and capacity- oriented towards the application of ESG principles Employee turnover value (2024) 1.29%.
building initiatives. It ensures a healthy work including, Respectful Workplace Policy.
environment, supports employee rights,
and actively enhances workforce skills and
development.
Environment GHG emission reduction from business BRI actively records and monitors GHG emissions Implementation of the Climate Change Scenario Analysis (CCSA) policy to support
activities. from both operational and financing activities. climate risk mitigation strategies.
Issuance of financing guidelines for palm oil, pulp and paper, oil and gas, and coal sub-
sectors.
Fair Business Practices Conducting human rights due diligence. Conducted Human rights due diligence simulation BRI received an Award Charter from the Ministry of Law and Human Rights No. M.HH-
using the PRISMA methodology developed by the 02.HA.02.01 of 2023 in recognition of its adherence to the PRISMA indicators for
Ministry of Law and Human Rights. Business Risk Assessment and Human Rights .
Consumer Issues Implementing responsible marketing practices. BRI has implemented Market Conduct BRI Group No customer lawsuits or complaints from consumer representative organizations
in accordance with General Policy No. KU.04-DIR/ related to marketing or advertising practices.
FST/10/2023 dated December 5, 2023.
Community Engagement and Development Support for job creation and skill enhancement BRI implements the BRI Peduli TJSL (CSR) Program. The program has generated economic benefits for communities while enhancing
of local communities. community resilience.
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BRI Green Human Capital Management: Promoting Respect for TJSL: People and Risk Integrity in the Workplace: Associations and
Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Association and Framework
Summary Report Communication on Progress
UNGC Principles Commitment Action Steps
Principle 1 Businesses should BRI’s labor-related policies adhere to and comply with the International Charter of The implementation of human rights policies across BRI's operations is governed by the Human Rights Principles
support and respect the protection Human Rights and core Conventions of the International Labor Organization (ILO). in Employment Policy, Respectful Workplace Policy (RWP), and Occupational Health and Safety (OHS) Policy.
of internationally recognized These policies apply to BRI's own operations, including employees, activities, products and services, as well as
human rights. to suppliers and business partners.
Principle 2 Businesses should BRI is dedicated to maintaining an effective human rights policy and implementing BRI conducted a human rights due diligence process using the self-assessment method established by the
ensure that they are not complicit rigorous human rights due diligence to mitigate the risk of involvement in human Ministry of Law and Human Rights of the Republic of Indonesia, facilitated through the PRISMA application. As
in human rights abuses. rights violations. The bank ensures that all reasonable steps are taken to prevent such a result of this assessment, BRI achieved a Green categorization for human rights implementation, signifying
involvement. compliance with the Standard Indicators for Business Risk Assessment and Human Rights.
Principle 3 Businesses should 1. BRI is committed to respecting the right of all workers to form and join labor union of In the employment aspect, BRI's human rights policy is aligned with Law No. 13 of 2003 concerning Manpower
uphold freedom of association and their choice without fear of intimidation or reprisal, in accordance with national law; and adopted Government Regulation in Lieu of Law (Perpu) No. 2 of 2022 concerning Job Creation on December
the effective recognition of the 2. Establish policies and procedures that prevent discrimination against labor union 30, 2022. Additionally, BRI's Collective Labor Agreement (CLA) serves as a formal framework for upholding
right to collective bargaining. organization, labor union membership and activities in areas such as job applications human rights in the workplace, reviewed and updated every two years. This agreement clarifies the rights and
and promotions, dismissal, or transfer; responsibilities of the company, labor union and workers; promotes harmonious labor relationships; and applies
the principles of healthy industrial relations. Furthermore, the CLA includes a provision mandating that any
3. Provide an appropriate facilities for workers' representatives to assist in the changes in the company's operations be communicated to all workers at least 30 days before they take effect.
development of effective collective agreements; and
4. Not interfering with the labor union activities, allowing workers' representatives to
carry out their functions without disrupting business operations. Facilitating good
labor relations through practices such as allowing union dues collection on company
premises, posting union notices, distributing union documents, and providing office
space, ensuring that these practices do not serve as a means for indirect company
control.
Principle 4 Businesses should Organizations must assess whether forced labor is a potential issue within their business BRI fully complies with Convention 138 of the International Labor Organization (ILO) on the Minimum Age for
support the elimination of all forms sector and operations. If identified, immediate steps should be taken to remove affected Admission to Employment, setting a minimum employment age of 18 years for prospective BRI workers. This
of forced and compulsory labor. individuals from employment and provide them with access to alternative opportunities. policy supports global efforts to prevent labor practices that violate Human Rights Principles.
A comprehensive intervention strategy, including workplace and community-based BRI ensures that each stage of recruitment, promotion and employee rotation is governed by a written
measures, is necessary to ensure the eradication of forced labor practices. agreement between both parties, eliminating any element of coercion. These measures prevent the risk of child
labor, young workers being exposed to hazardous work, or forced labor within BRI's operations and supply chain
management. [F.19]
BRI adopts a precautionary approach to managing operational impacts on human rights across all business
processes. As part of this commitment, human rights due diligence is conducted by identifying and assessing
the potential impacts and risks across BRI’s operational activities, value chains, and business partnerships,
including mergers and acquisitions.
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Initiative BRILiaN Individual Human Rights Communities Around BRI Management BRI's Commitment to Business Ethics Frameworks
Association and Framework
UNGC Principles Commitment Action Steps
Principle 5 Businesses should 1. Raising awareness and understanding of the causes and consequences of child labor, In compliance with Convention 138 of the International Labor Organization (ILO) on the Minimum Age for
effectively enforce the elimination ensuring that potential risks are identified and assessed within its business. Admission to Employment, BRI has established a minimum employment age of 18 years for prospective
of child labor. 2. If child labor is found, immediate action will be taken to remove affected children from workers. This policy serves as a proactive measure to prevent child labor and ensure alignment with Human
the workplace and provide them with appropriate alternatives. Rights Principles.
Principle 6 Businesses should BRI is committed to respecting all relevant local and national laws while promoting 1. To create a safe and comfortable work environment, BRI upholds the fundamental rights of workers, provides
uphold the elimination of equality, diversity, and inclusion in the workplace. The company recognizes the diversity competency development platforms, and actively promotes diversity, equality, and inclusive values across
discrimination in employment and of languages, cultures and family circumstances among its employees. its organization.
occupation. 2. Additionally, BRI has established strict regulations to prevent discrimination and harassment.
3. The company also places special attention on vulnerable groups.
Principle 7 Businesses should BRI supports a prudent approach by ensuring transparent communication of potential 1. To safeguard customer interests, BRI has implemented market conduct guidelines that help customers make
support a precautionary approach risks to consumers and society. This includes providing comprehensive information informed financial decisions by selecting products and services that best suit their needs.
to environmental challenges. about risks, developing codes of conduct that affirm a commitment to health and 2. Additionally, BRI has also established a Product Committee responsible for overseeing the application of
environmental stewardship, and establishing managerial committees or steering groups prudential principles in the development of financial products and services.
to oversee the company's prudential risk management, particularly in sensitive issue
areas. BRI also emphasized early, proactive, and transparent two-way communication
with stakeholders, to ensure that uncertainties and potential risks are effectively
communicated.
Principle 8 Undertake initiatives Cleaner and more efficient processes lead to increased resource productivity, reducing BRI has implemented green initiatives that actively engage both employees and customers in sustainability
to promote greater environmental the consumption of raw materials and lowering operational costs. Environmentally efforts. These include BRI Menanam (a program promoting tree planting and GHG emission absorption), (Zero
responsibility. responsible companies benefit from tax incentives, or licensing programs, as they Waste to Landfill (a waste management initiative), as well as environmental criteria-based creditworthiness
demonstrate leadership in sustainability.. Additionally, both employees and consumers assessment.
are increasingly inclined to engage with companies that prioritize environmental
responsibility and sustainable business practices..
Principle 9 Promote the At a strategic level, improving technology for sustainability involves establishing BRI integrates environmentally friendly technologies into its operation by utilizing plastic bottle collection
development and deployment corporate policies on the use of green technology, conducting environmental devices, implementing data erasure technology on data recording devices, allowing them to be securely reused.
of environmentally friendly technology assessments, and examining that investment criteria and supplier sourcing
technologies. policies align with minimum environmental standards.
Principle 10 Businesses should Businesses face significant ethical and financial risks when they fail to effectively BRI upholds high standards of integrity by implementing robust gratification control and anti-bribery
fight corruption in all its forms, eradicate corruption in all its forms. management systems. To reinforce this commitment, BRI has obtained ISO 37001:2016 certification for its Anti-
including extortion and bribery. Corruption poses threats to companies of all sizes, exposing them to legal liabilities, Bribery Management Systems, ensuring compliance with international best practices. Additionally, BRI has
reputational damage, financial losses, and internal trust erosion. Unethical practices established an Anti-Bribery Compliance Function, responsible for monitoring and enforcing the Anti-Bribery
can undermine employee loyalty and deteriorate the overall ethical culture of an System in accordance with ISO 37001: 2016 standards. This function is formally regulated under the Circular
organization. Letter of the Board of Directors on Corporate Governance Policy number SE.09a-DIR/KEP/03/2023 dated
March 15, 2023 Book 3 concerning Anti-Bribery and Gratuity Control.
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Sustainability
Laporan Report
Keberlanjutan 2024
2024 PT Bank
PT Bank RakyatRakyat Indonesia
Indonesia (Persero) Tbk.
(Persero) Tbk. 169
PENGANTAR TOPIK MATERIAL TOPIK UMUM LAMPIRAN
ISO 26000 ESG Data Tables Green Bond Impact Report COP Reporting Standard Indices Assurance Feedback Form
APPENDICES 04
IN THIS SECTION PAGE
> NO.
ESG Data Tables 170
Issued Securities Impact 206
Reporting
Reporting Standards Indices 230
IDX Reporting Index 244
Assurance 245
Feedback Form 251
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ESG Data Tables Issued Securities Impact Reporting Reporting Standard Indices IDX Reporting Index Assurance Feedback Form
ESG Data Tables
Finance & Business Sustainable Finance Customers Employee Vendors Community Human Rights Environment
Company Scale (Bank only)
Description Unit 2022 2023 2024
Net Profit IDR Billion 47,828 53,153 54,841
Revenue IDR Billion 162,155 189,646 215,738
Total Assets IDR Billion 1,750,995 1,835,249 1,840,395
Total of Third-Party Funds IDR Billion 1,300,776 1,352,683 1,360,134
Total Liabilities IDR Billion 1,457,373 1,536,512 1,541,022
Equity IDR Billion 293,622 298,737 299,373
Non Third-Party Funds IDR Billion 156,597 183,829 180,888
Number of Operational Work Units Unit 8,209 7,755 7,568
Achievement of Economic Performance [F.2] [GRI 201-1]
Realization
Realization Target (IDR Billion) Percentage
Performance (IDR Billion)
2022 2023 2024
Total Assets 1,750,995 1,835,249 1,928,137 1,840,395 95.45%
Total Earning Assets 1,573,609 1,684,737 1,790,304 1,711,302 95.59%
Total Loans 1,029,803 1,146,083 1,270,578 1,215,847 95.69%
Third Party Funds 1,300,776 1,352,683 1,463,312 1,360,134 92.95%
Total Revenue 162,432 189,122 215,456 214,685 99.64%
Total Cost 103,012 122,050 147,424 145,574 98.74%
Net Profit 47,828 53,153 54,832 54,841 100.02%
Notes: Total revenue represents all operating and non-operating income. Total expenses consist of all operating expenses, except for tax paid.
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Finance & Business Sustainable Finance Customers Employee Vendors Community Human Rights Environment
Direct Economic Value Obtained and Distributed
[GRI 201-1] Description Unit 2022 2023 2024
Interest Income IDR Billion 123,835 146,918 162,229
Non Interest Income IDR Billion 38,320 42,728 53,508
Non-operating income IDR Billion 277 -524 -1,053
Total Direct Economic Value Obtained IDR Billion 162,432 189,122 214,684
Non-Interest Operational Costs Excluding Employees IDR Billion 27,302 30,526 34,412
Employee Costs (Excluding Outsourced Employees) IDR Billion 29,316 26,519 26,842
Dividend Payment IDR Billion 14,046 23,234 25,715
Credit Interest and Bank Interest IDR Billion 22,830 38,484 51,180
Payments to Government (Taxes) IDR Billion 20,133 23,447 28,014
Investment Spending to the Public IDR Billion 285 342 343
Economic Value Directly Distributed IDR Billion 113,912 142,552 166,506
Economic Value Retained IDR Billion 48,520 46,570 48,178
Global Systemically Important Bank [FN-CB-550a.1]
BIS Leverage Ratio
Aspect Unit 2022 2023 2024
(Basel III) Tier 1 Capital IDR 234,727,964 238,956,599 241,043,217
(Basel III) Total Exposure IDR 1,596,292,951 1,749,457,664 1,798,631,971
(Basel III) Leverage Ratio % 14.70% 13.66% 13.40%
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Finance & Business Sustainable Finance Customers Employee Vendors Community Human Rights Environment
Tax Reporting [GRI 207-4]
2022 2023
Description Unit
Domestic Others Domestic Others
Number of Employees Person 74,735 105 77,739 66
Revenue IDR Million 202,710,231 1,581,523 240,297,151 2,909,234
Profit (Loss) Before Tax IDR Million 65,536,208 614,553 75,885,153 386,520
Income Tax Accrued IDR Million 13,103,645 125,386 12,515,017 67,504
Income Tax Paid IDR Million 24,473,827 84,337 16,413,631 87,215
All information in this report belongs to PT Bank Rakyat Indonesia (Persero) Tbk without including subsidiaries. On the other hand, BRI conducts audits of consolidated financial statements that include subsidiaries such as Bank Raya, BRI Remittance, BRI
Life, BRI Finance, BRI Ventures, BRIDS, BRI Insurance, Pegadaian, and PNM. Information related to these subsidiaries is not included in this report.. [GRI 2-2]
Loan by Segment [B.1.a] [GRI G4 FS6]
Segment Unit 2022 2023 2024
IDR Trillion 449.63 496.55 491.22
Micro
% 43.66 43.33 40.40
IDR Trillion 161.72 182.36 203.24
Consumer
% 15.70 15.91 16.72
IDR Trillion 216.88 228.06 228.10
Small
% 21.06 19.90 18.76
IDR Trillion 20.95 32.28 39.05
Medium
% 2.03 2.82 3.21
IDR Trillion 180.62 206.83 254.24
Corporation
% 17.54 18.05 20.91
IDR Trillion 1,029.80 1,146.08 1,215.85
Total
% 100.00 100.00 100.00
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Loans by Region (Indonesia) [B.1.a] [GRI G4 FS6]
Region Unit 2022 2023 2024
IDR Trillion 241.08 306.55 371.48
Jakarta
% 23.41 26.75 30.55
IDR Trillion 166.43 183.10 187.71
Sumatera
% 16.16 15.98 15.44
IDR Trillion 87.75 88.94 77.58
West Java
% 8.52 7.76 6.38
IDR Trillion 128.81 140.41 137.10
Central Java & Special Region Yogyakarta
% 12.51 12.25 11.28
IDR Trillion 126.48 136.61 140.90
East Java
% 12.28 11.92 11.59
IDR Trillion 238.59 260.79 276.75
Eastern Indonesia & Central Indonesia
% 23.17 22.76 22.76
IDR Trillion 40.66 29.68 24.33
Others
% 3.95 2.59 2.00
IDR Trillion 1,029.80 1,146.08 1,215.85
Total
% 100 100 100
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Loans by Region (Outside Indonesia) [B.1.a] [GRI G4 FS6]
Region Unit 2022 2023 2024
IDR Trillion 8.25 8.38 13.50
New York
% 55.56 50.73 55.49
IDR Trillion 5.59 6.88 9.25
Singapore
% 37.64 41.65 38.02
IDR Trillion 0.86 0.95 1.02
Timor Leste
% 5.79 5.75 4.19
IDR Trillion 0.15 0.31 0.56
Taiwan
% 1.01 1.88 2.30
IDR Trillion 14.85 16.52 24.33
Total
% 100 100 100
Loans by Business Sector [B.1.a] [GRI G4 FS6]
Business Sector Unit 2022 2023 2024
IDR Trillion 0.38 1.52 6.14
Government Administration and Mandatory Social Security
% 0.04 0.13 0.51
IDR Trillion 100.31 102.53 110.19
Processing Industry
% 9.74 8.95 9.06
IDR Trillion 47.68 53.7 61.07
Community, Socio-Cultural, Entertainment and Other Individual Services
% 4.63 4.69 5.02
IDR Trillion 3.52 4.22 4.53
Health and Social Services
% 0.34 0.37 0.37
IDR Trillion 0.75 0.86 0.97
Education Services
% 0.07 0.08 0.08
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Finance & Business Sustainable Finance Customers Employee Vendors Community Human Rights Environment
Business Sector Unit 2022 2023 2024
IDR Trillion 1.01 1 0.9
Personal Services Serving Households % 0.10 0.09 0.07
IDR Trillion 24.7 31.41 8.86
Undefined Activities
% 2.40 2.74 0.73
IDR Trillion 31.02 33.73 35.48
Construction
% 3.01 2.94 2.92
IDR Trillion 36.31 30.37 36.44
Electricity, Gas, and Water
% 3.53 2.65 3.00
IDR Trillion 225.43 239.69 254.89
Recipient of Credit Not Field of Business
% 21.89 20.91 20.96
IDR Trillion 20.96 22.38 24.64
Accommodation Provider and Provision of Meals and Drinks
% 2.04 1.95 2.03
IDR Trillion 14.52 15.85 26.51
Financial Intermediary
% 1.41 1.38 2.18
IDR Trillion 327.17 361.13 364.07
Wholesale and Retail Trade
% 31.77 31.51 29.94
IDR Trillion 10.14 10.88 10.53
Fishery
% 0.98 0.95 0.87
IDR Trillion 14.48 31.81 36.47
Mining and excavation
% 1.41 2.78 3.00
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Finance & Business Sustainable Finance Customers Employee Vendors Community Human Rights Environment
Business Sector Unit 2022 2023 2024
IDR Trillion 142.81 166.64 193.61
Agriculture, Hunting, and Forestry
% 13.87 14.54 15.92
IDR Trillion 9.38 11.65 12.27
Real Estate, Rental Business and Service companies
% 0.91 1.02 1.01
IDR Trillion 19.23 26.7 28.27
Transportation, Warehousing, and Communication
% 1.87 2.33 2.33
IDR Trillion 0.00 0.00 0.00
Others
% 0.00 0.00 0.00
IDR Trillion 1,029.8 1,146.07 1,215.84
Total
% 100 100 100
Micro Loan Products [GRI 203-2] [FS6] [FN-CB-240a.1]
Description Unit 2022 2023 2024
Government Subsidized KUR Loan Outstanding IDR Trillion 251.50 219.90 231.29
Government Subsidized KUR Borrowers Million 10.9 8.8 4.49
KUPEDES Loan Outstanding (Commercial Loans) IDR Trillion 129.2 212.3 200.22
KUPEDES Borrowers (Commercial Loans) Million 2.8 4.6 8.11
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Customer with PROPER Rating [F.3] [GRI G4 FS8] [GRI G4
FS10] [GRI G4 FS11] [FN-CB-240a.1] Rating Unit 2022 2023 2024
Gold Debtor 10 16 8
Green Debtor 7 7 9
Blue Debtor 42 46 48
Total Debtor 59 69 65
Customer Credit Score with PROPER Rating [F.3]
[GRI G4 FS8] [GRI G4 FS10] [GRI G4 FS11] Rating Unit 2022 2023 2024
Gold IDR Trillion 13.53 13.38 10.69
Green IDR Trillion 5.32 9.27 17.29
Blue IDR Trillion 45.85 63.05 88.46
Total IDR Trillion 64.70 85.70 116.44
Customers with ISPO/RSPO Certification* [F.3] [GRI
G4 FS8] [GRI G4 FS10] [GRI G4 FS11] Certificate Unit 2022 2023 2024
RSPO Debtor 14 16 14
In the RSPO process Debtor 0 0 0
ISPO Debtor 27 25 26
In the ISPO process Debtor 12 8 5
Total Debtor 53 49 45
*) Data includes customers in the corporate segment
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Financing Value for Customers with ISPO/RSPO
Certification* [F.3] [GRI G4 FS8] [GRI G4 FS10] [GRI G4 FS11] Certificate Unit 2022 2023 2024
RSPO IDR Trillion 17.19 18.90 29.97
In the RSPO process IDR Trillion 0 0 0
ISPO IDR Trillion 14.06 14.88 18.06
In the ISPO process IDR Trillion 4.07 2.74 1.32
Total IDR Trillion 35.32 36.52 49.35
*) Data includes customers in the corporate segment
Sustainable Products per Segment [B.1d] [F.3] [GRI G4
FS7] [GRI G4 FS8] 2024
Product
Categories Per Unit Sustainable Product Description
Total Loan in
Segment Outstanding Total Loan Composition
Each Segment
in each segment
Consumer Loans (KPR)
Green Financing Mortgage: Home Ownership Loans (KPR)
Green Mortgage IDR Trillion 0.29 specifically allocated for financing the purchase of new homes
with a green housing concept.
11.92 58.55 20% KPR Subsidies: KPR for Low-Income Communities (MBR) with
Government a total household income (husband + wife) not exceeding Rp8
Subsidized IDR Trillion 11.63 million per month. The conditions include being for the first
Mortgage home or not having received housing subsidies before, must be
occupied, and cannot be sold or rented out for the first 5 years.
Corporate Loan
Comprising green loans to the corporate segment engaged
in activities based on renewable energy, sustainable land
Corporate Loan to
IDR Trillion 86.56 86.56 254.24 34% management, eco-friendly transportation, environmentally
Green Sectors
friendly buildings, as well as other environmentally conscious
business activities.
MSME Loans (Productive)
Business Loan to Micro and SMEs: Comprising social loans for
Business Loan to
IDR Trillion 698.66 698.66 698.66 100% communities with fixed incomes, engaging in productive small
Micro and SMEs
and medium-scale business ventures.
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Loan Distribution to Sustainable Business
Activities Category [B.1d] [F.3] [GRI G4 FS7] [GRI G4 FS8] Description Unit 2022 2023 2024
MSMEs IDR Trillion 616.07 690.43 698.66
Renewable Energy IDR Trillion 7.10 6.02 6.34
Pollution Prevention & Control IDR Trillion 1.75 0.55 0.51
Environmentally-Friendly Transportation IDR Trillion 12.10 11.24 3.61
Environmentally-Friendly Building IDR Trillion 1.44 2.04 0.29
Management of Natural Resources and Sustainable Land Use IDR Trillion 51.80 52.82 64.68
Conservation of Land and Water Biodiversity IDR Trillion 0.58 0.23 0.00
Sustainable Water & Waste Management IDR Trillion 0.01 0.003 0.00
Eco-efficient Product IDR Trillion 3.98 7.50 8.07
Other Environmentally Friendly Business Activities IDR Trillion 0.06 1.93 3.06
Total IDR Trillion 694.89 772.74 785.22
Loan Distribution to the Non-Renewable Energy
and New Renewable Energy Sectors [GRI 305-3] Description Unit 2022 2023 2024
Non-Renewable Energy IDR Trillion 21.03 21.60 25.12
New & Renewable Energy IDR Trillion 7.10 6.02 6.34
Total Financing IDR Trillion 28.13 27.62 31.46
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Customer Service Point [GRI G4 FS14]
Description Unit 2022 2023 2024
Head Office # 1 1 1
Regional Office # 18 18 18
Branch Office & Special Branch Office* # 449 453 453
Overseas Branch Office # 6 6 6
Sub-Branch Office** # 579 556 555
Overseas Sub-Branch Office** # 3 3 3
BRI Unit** # 5,156 5,117 5,086
Cash Office** # 506 505 500
Teras BRI** # 1,370 977 873
Teras Keliling # 117 115 69
Teras Kapal # 4 4 4
Number of Operational Work Units # 8,209 7,755 7,568
*) According to the Office Memorandum B.63.e-PPM/ODV/OD2/08/2023 dated August 3, 2023, regarding the submission of approval for changes in KCK supervision.
**) In accordance with POJK No. 12/POJK.03/2021 concerning Commercial Banks, there are adjustments for bank office networks consisting only of Head Offices, Regional Offices, Branch Offices and Sub-Branch Offices. In accordance with the POJK,
the types of BRI Unit, Teras BRI and BRI Cash Offices are included in the category of Sub-Branch Offices.
Description Unit 2022 2023 2024
ATM # 13,863 12,263 10,663
CRM # 8,007 9,007 9,007
EDC # 497,976 664,801 727,303
E- Buzz # 57 57 57
BRILinK Agent # 627,012 740,818 1,064,219
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Co-Location UMI Unit 2022 2023 2024
Sumatera Unit 200 202 210
Java Unit 536 537 520
Kalimantan Unit 49 49 71
Sulawesi Unit 140 142 127
Bali & Nusa Tenggara Unit 74 74 74
Maluku Unit 0 0 15
Papua Unit 14 14 15
Total Unit 1,013 1,018 1,032
Teras BRI Unit Unit 2022 2023 2024
Teras BRI # 288 217 206
Sumatera Teras BRI Keliling # 4 2 2
Teras Kapal # 1 1 1
Teras BRI # 712 502 416
Java Teras BRI Keliling # 59 59 58
Teras Kapal # 1 1 1
Teras BRI # 94 72 86
Kalimantan Teras BRI Keliling # 6 6 2
Teras Kapal # 0 0 0
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Teras BRI Unit Unit 2022 2023 2024
Teras BRI # 106 52 28
Sulawesi Teras BRI Keliling # 43 43 1
Teras Kapal # 1 1 0
Teras BRI # 151 117 112
Bali & Nusa Tenggara Teras BRI Keliling # 4 4 4
Teras Kapal # 1 1 1
Teras BRI # 0 0 11
Maluku Teras BRI Keliling # 0 0 1
Teras Kapal # 0 0 1
Teras BRI # 19 17 14
Papua Teras BRI Keliling # 1 1 1
Teras Kapal # 0 0 0
Teras BRI # 1,370 977 873
Total Teras BRI Keliling # 117 115 69
Teras Kapal # 4 4 4
Performance BRI Kapal Form Unit 2022 2023 2024
Total Deposits
Account # 7,967 8,997 9,663
Balance IDR Billion 18.54 22.94 23.3
Seva I (Thousand Islands Region)
Total Credit
Debtor # 715 716 781
Credits IDR Billion 21.74 25.06 29.08
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Performance BRI Kapal Form Unit 2022 2023 2024
Total Deposits
Account # 1,928 1,874 1,066
Balance IDR Billion 5.68 7.34 7.81
Seva II (East Nusa Tenggara Labuan Bajo Islands Region)
Total Credit
Debtor # 851 886 1,018
Credits IDR Billion 20.53 25.25 25.63
Total Deposits
Account # 6,321 6,262 5,890
Balance IDR Billion 9.15 9.49 9.08
Seva III (Anambas Islands Region)
Total Credit
Debtor # 246 242 277
Credits IDR Billion 6.38 8.21 8.77
Total Deposits
Account # 25,944 20,536 15,154
Balance IDR Billion 43.93 43.33 47.47
Seva IV (South Halmahera Islands Region)*
Total Credit
Debtor # 1,117 912 822
Credits IDR Billion 26.01 24.17 24
Total Deposits
Account # 42,160 37,669 31,773
Balance IDR Billion 77.3 83.1 87.66
Total*
Total Credit
Debtor # 2,929 2,756 2,898
Credits IDR Billion 74.66 82.69 87.48
*) There is a restatement from BRI Manado Regional Office regarding the performance of Teras BRI in 2022 through Letter No.B.79.e-RO-MND/ROP/ONS/01/2024 dated January 25, 2024.
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BRILinK Agent Unit 2022 2023 2024
Agent 137,037 165,053 239,380
Sumatera
% 21.86% 22.28% 22.49%
Agent 335,270 395,383 580,569
Java
% 53.47% 53.37% 54.55%
Agent 48,685 56,500 68,832
Kalimantan
% 7.76% 7.63% 6.47%
Agent 63,218 69,798 96,720
Sulawesi
% 10.08% 9.42% 9.09%
Agent 29,205 39,070 59,860
Bali & Nusa Tenggara
% 4.66% 5.27% 5.62%
Agent 6,540 6,949 8,865
Maluku
% 1.04% 0.94% 0.83%
Agent 7,057 8,065 9,993
Papua
% 1.13% 1.09% 0.94%
Agent 627,012 740,818 1,064,219
Total
% 100.00% 100.00% 100.00%
BRILinK Agent Transaction Unit 2022 2023 2024
Transaction Value IDR Trillion 1,297.65 1,427.58 1,589.04
Number of Transactions Million 1,078.04 1,096.61 1,204.25
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BRI Customers Mobile Services Users
(E-Banking) E-banking Type Unit 2022 2023 2024
BRImo Users 23,845,612 31,616,014 38,613,867
BRIZZI Users 22,808,061 23,756,098 24,424,356
Qlola Cash Management Users 47,313 52,117 71,965
Number of Mobile Service Transactions
(E-Banking) [FS8] Service Type Unit 2022 2023 2024
BRImo Financial Transactions Thousand 1,825,397 3,088,817 4,309,334
BRILink Thousand 1,078,040 1,096,611 1,204,251
BRI Merchant Ecosystem Thousand 192,377 318,283 509,526
Merchant EDC Thousand 165,960 197,788 403,648
BRIMOLA Thousand 8,541 10,819 14,223
BRIZZI Thousand 155,069 171,200 196,202
ATM BRI Thousand 4,093,869 3,521,211 2,646,151
Qlola Cash Management Thousand 50,638 53,869 53,161
Value of Mobile Service Transaction (E-Banking)
[FS8] Service Type Unit 2022 2023 2024
BRImo Financial Transactions IDR Billion 2,669,091 4,158,849 5,541,345
BRILink IDR Billion 1,297,654 1,427,583 1,589,039
BRI Merchant Ecosystem IDR Billion 151,458 230,663 334,436
Merchant EDC IDR Billion 77,903 119,764 270,771
BRIMOLA IDR Billion 11,584 15,102 20,262
BRIZZI IDR Billion 4,747 6,190 6,187
ATM BRI IDR Billion 3,098,560 2,972,941 2,646,152
Qlola Cash Management IDR Billion 5,070,180 6,788,672 8,118,222
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Customer Satisfaction Survey [F.30]
Description Unit 2022 2023 2024
Customer Satisfaction Rate % 83.58 84.66 87.06
Customer Complaint Resolution Rate % 99.53 99.56 99.81
BRI Service Quality vs Banking Industry in
Indonesia Description Unit 2022 2023 2024
Banking Industry Service Quality Index (Carre) # 4.2557 4.3540 4.4192
BRI Service Quality Index (Carre) # 4.3001 4.4044 4.4331
Customer Complaints [418-1] [F.24]
Description Unit 2022 2023 2024
Number of Transactions # 38,585,019,160 72,970,667,382 135,156,818,290
Number of Complaints Cases 4,630,243 4,751,604 1,925,215
Percentage of Complaints % 0.012 0.007 0.001
Resolved Complaints Cases 4,608,428 4,730,478 1,921,529
Percentage of Resolved Complaints % 99.53 99.56 99.81
Complaint In Process Cases 21,815 21,126 3,686
Percentage In Process % 0.4711 0.4446 0.1915
* ) In 2024, the number of complaints has been adjusted based on the latest OJK guidelines..
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Number of Complaints Based on Type
of Financial Transaction [F.24] [GRI 418-1] Completed In Process Not Completed
Types of Financial Transactions Number of Complaints
Total Percentage Total Percentage Total Percentage
20,599 99.95% 11 0.05% 0 0.00% 20,610
Credit Card
Other Bank Products/Services 38,625 100.00% 0 0.00% 0 0.00% 38,625
Deposits 135,636 99.98% 25 0.02% 0 0.00% 135,661
ATM/CRM 964,801 99.95% 502 0.05% 0 0.00% 965,303
E-banking 684,836 99.54% 3,145 0.46% 0 0.00% 687,981
Unsecured Loans 71,197 100.00% 1 0.00% 0 0.00% 71,198
Credit (Working Capital, Investment, Consumer) 5,835 99.97% 2 0.03% 0 0.00% 5,837
Grand Total 1,921,529 99.81% 3,686 0.19% 0 0% 1,925,215
Complaints Regarding Security to Customer
Data [F.24] [GRI 418-1] Description Unit 2022 2023 2024
Complaints* from External Parties # 0 0 0
Complaints* from Government Parties # 0 0 0
*) Substantiated complaints concerning breaches of customer privacy and losses of customer data
Information Security Incidents
Description Unit 2022 2023 2024
Number of Information Security or Cybersecurity Violations # 0 0 0
Fines or Sanctions for Information Security or Cybersecurity Violations IDR 0 0 0
Number of Customers Affected by the Violations # 0 0 0
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Employee Composition* [GRI 2-7, 405-1] [C.3]
Description Unit 2022 2023 2024
Persons 74,735 77,739 81,848
Total
Male Persons 46,411 47,262 48,131
Gender
Female Persons 28,324 30,477 33,717
Female Composition % 37.90 39.20 41.19
Total Persons 60,209 60,084 59,495
Permanent Male Persons 40,296 39,875 39,237
Employee Female Persons 19,913 20,209 20,258
Female Composition % 33.07 33.63 34.05
Total Persons 14,347 17,207 22,244
Contract Male Persons 6,021 7,135 8,837
Employee status
Employee Female Persons 8,326 10,072 13,407
Female Composition % 58.03 58.53 60.27
Total Persons 179 448 109
Male Persons 94 252 57
Trainee
Female Persons 85 196 52
Female Composition % 47.49 43.75 47.71
< 30 Years Total Persons 12,603 21,348 23,890
Age 30-50 Years Total Persons 57,411 52,627 54,611
> 50 Years Total Persons 4,721 3,764 3,347
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Description Unit 2022 2023 2024
Total Persons 109 117 125
Male Persons 87 90 98
Top Management
Female Persons 22 27 27
Female Composition % 20.18 23.08 21.60
Total Persons 1,372 1,591 1,682
Middle Male Persons 769 1,238 1,315
Management Female Persons 603 353 367
Female Composition % 43.95 22.19 21.82
Management Level
Total Persons 3,529 2,757 2,715
Junior Male Persons 2,623 2,013 1,968
Management Female Persons 906 744 747
Female Composition % 25.67 26.99 27.51
Total Persons 70,328 73,274 77,326
Male Persons 43,098 43,921 44,750
Non-Management
Female Persons 27,230 29,353 32,576
Female Composition % 38.72 40.06 42.13
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Description Unit 2022 2023 2024
Total Person 13,573 15,205 13,809
Jakarta Male Person 8,231 9,121 8,051
Female Person 5,342 6,084 5,758
Total Person 13,926 14,157 13,224
Sumatera Male Person 9,021 9,021 8,236
Female Person 4,905 5,136 4,988
Region
West Java, Total Person 30,182 31,113 33,757
Central Java,
East Java, and Male Person 19,051 19,143 19,811
Yogyakarta Special
Region Female Person 11,131 11,970 13,946
Indonesia Total Person 17,009 17,217 21,058
Eastern part
(Kalimantan, Male Person 10,069 9,936 12,033
Sulawesi, Maluku,
Papua) Female Person 6,940 7,281 9,025
Indonesia Person 74,735 77,739 81,848
Timor Leste Person 20 24 24
America Person 7 7 7
Citizenship
Singapore Person 7 14 14
Taiwan Person 10 10 12
Others Person 11 11 11
Revenue-generating Functions Female Composition % 28.94 30.51 30.87
STEM (Science, Technology, Engineering,
Female Composition % 23.73 25.34 29.29
and Mathematics)-related functions
Total Person 69 60 54
Male Person 40 35 32
Persons with disability
Female Person 29 25 22
Female Composition % 42.03 41.67 40.74
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Description Unit 2022 2023 2024
Total Person 0 0 0
Elementary & Male Person 0 0 0
Junior High School Female Person 0 0 0
Female Composition % 0 0 0
Total Person 1,046 1,149 1,146
Male Person 605 509 444
High School
Female Person 441 640 702
Female Composition % 42.16 55.70 61.26
Total Person 8,961 8,727 9,469
Male Person 5,026 4,701 4,947
Diploma I-III
Female Person 3,935 4,026 4,522
Female Composition % 43.91 46.13 47.76
Level of Education
Total Person 63,138 66,079 69,462
Male Person 39,615 40,745 41,454
Bachelor Degree
Female Person 23,523 25,334 28,008
Female Composition % 37.26 38.34 40.32
Total Person 1,584 1,774 1,761
Male Person 1,159 1,297 1,278
Masters Degree
Female Person 425 477 483
Female Composition % 26.83 26.89 27.43
Total Person 6 10 10
Male Person 6 10 8
Doctoral Degree
Female Person 0 0 2
Female Composition % 0 0 20
*) The composition of workers does not include outsourced workers. [GRI 2-7, 2-8]
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Internal Hires and New Hires [GRI 401-1]
Description Unit 2022 2023 2024
Total Internal Hires Person 47,761 48,606 69,242
Total New Hires Person 2,825 9,692 13,131
Percentage of Internal Hires to Total Hires % 94.42 83.38 84.06
Percentage of New Hires to Total Hires % 5.58 16.62 15.94
Percentage of New Hires to Total Employees % 3.78 12.47 16.04
Male Person 26,534 22,685 38,689
Gender
Female Person 21,227 25,921 30,553
Internal Hires < 30 Years Person 14,369 21,048 23,928
Age 30-50 Years Person 31,023 25,332 42,756
> 50 Years Person 2,369 2,226 2,558
Male Person 1,579 3,436 5,840
Gender
Female Person 1,246 6,256 7,291
< 30 Years Person 2,058 9,464 12,245
Age 30-50 Years Person 766 225 878
New Hires > 50 Years Person 1 3 8
Jakarta & Banten Person 599 1,117 1,451
Sumatera Person 425 1,529 2,611
Region
West Java, Central Java, East Java, and Yogyakarta Special Region Person 1,057 4,890 5,769
Eastern Indonesia (Kalimantan, Sulawesi, Maluku, Papua) Person 744 2,156 3,300
Average Hiring Cost
Description Unit 2022 2023 2024
Average Hiring Cost IDR 2,031,631 8,676,201 8,571,150
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Freedom of Association [2-30]
Description Unit 2022 2023 2024
# 41,978 39,939 39,176
Employees affiliated with the Labor Union
% 69.71 66.47 65.85
Total Employees # 74,735 77,739 81,848
Wage Indicators by Gender [GRI 202-1] [GRI 405-2]
Description Position Group Gender Unit 2022 2023 2024
Male IDR Million 15.80 18.90 20.97
Management
Female IDR Million 14.96 18.25 19.83
Average Wage
Male IDR Million 5.16 5.80 6.23
Non-Management
Female IDR Million 4.51 4.72 5.33
Male IDR Million 78.71 79.88 86.47
Average Wages & Other Incentives Management
Female IDR Million 74.32 77.33 81.98
Employee Compensation Ratio [GRI 2-21]
Description Unit 2022 2023 2024
Highest and lowest employee salaries Times 47.14 66.2 54.5
Highest and lowest Directors' salaries Times 1.25 1.18 1.18
Highest and lowest Commissioner’s salaries Times 1.11 1.11 1.11
Highest salary for Directors and employees Times 2.36 3.16 3.75
Description Unit 2022 2023 2024
The median value of compensation without the highest value IDR Million 41.07 53.36 61.64
The average value of compensation without highest value IDR Million 58.94 60.16 70.24
Change in the annual compensation ratio % 18.86 24.29 25.42
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Training [GRI 404-1] [F.22]
Category Unit 2022 2023 2024
Average Training Cost per Employee IDR Million 5.94 9.11 8.50
Average Training Hours per Employee Hours 78 84 79
Male Hours 74 81 77
Gender
Female Hours 84 90 79
< 30 Years Hours 86 96 81
Age 30-50 Years Hours 74 81 74
> 50 Years Hours 83 95 102
Top Management Hours 61 56 61
Management Level Middle Management Hours 126 118 87
Junior Management & Officer Hours 72 81 77
Type and Scope of Training [GRI 404-2]
Type of Training Vendor Name Unit 2022 2023 2024
Audit Intern Bank LSP BRI Participants 228 184 69
Wealth Management MCI Participants 5 16 89
Treasury Dealer LSP ACI Participants 4 2 65
General Banking LSP BRI Participants 1,430 1,779 0
Risk Management BSMR & LSPP Participants 1,731 29 698
Compliance LSP BRI Participants 1,063 - 4
Credit LSP BRI Participants 423 730 1,635
Human Capital LSP BRI Participants 3 - 0
IT LSP BRI Participants 19 6 4
Funding & Service LSP BRI Participants 31 95 51
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Number of Education/Training Participants
In-class & E-Learning Description Unit 2022 2023 2024
Number of Participants Participants 2,957,075 2,800,792 2,413,766
Total Hours Hours 8,653,464 9,128,524 9,234,247
Average Hours of Education/Employee Hours 78 84 79
Employee Turnover Rate [GRI 401-1]
Category Unit 2022 2023 2024
Total Turnover Rate % 2.88 3.24 4.96
Male % 3.03 1.75 5.09
Gender
Female % 2.65 5.61 4.77
< 30 Years % 0.71 0.46 2.33
Total Turnover Age 30-50 Years % 2.13 2.6 3.64
> 50 Years % 21.31 20.72 27.15
Top Management % 2.56 14.53 12.65
Junior and Middle
Position % 1.38 4.65 4.61
Management
Non-Management % 1.02 2.94 4.97
Total Voluntary Turnover Rate % 1.12 1.01 1.29
Male % 1.03 0.91 0.96
Gender
Female % 1.25 1.18 1.94
< 30 Years % 0.19 0.2 0.48
Voluntary Turnover Age 30-50 Years % 1.24 1.12 1.22
> 50 Years % 3.43 2.48 3.10
Top Management % 1.09 - 0.68
Junior and Middle
Position % 2.77 1.12 0.99
Management
Non-Management % 0.34 1 1.34
Notes: There is a change in the method of calculating total labour turnover in 2024.
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Employee Engagement Trend
Description Unit 2022 2023 2024
Employee Engagement scale 4 3.48 3.49 3.51
Employee Coverage % 100 100 100
Active Employee Engagement % 92 93 93.8
Male % 92 93 93.8
Gender
Female % 93 94 93.8
< 30 Years % 91 89 91
Age 30-50 Years % 92 93 94
> 50 Years % 94 95 93
Employee Coverage % 77.70 77.60 73.40
Employee Satisfaction Survey
Description Unit 2023 2024
Satisfaction Index # 3.35 3.40
Coverage % 77.64 73.38
Data on Maternal Leave
Description Gender Unit 2022 2023 2024
Male Person 37,494 35,165 34,445
Number of employees entitled to maternity leave
Female Person 17,891 30,477 33,717
Male Person 2,901 1,142 1,070
Number of employees who take maternity leave
Female Person 1,088 2,282 1,841
Male Person 2,901 1,142 1,069
Returning after taking maternity leave
Female Person 1,088 2,265 1,817
The rate of employees who take maternity leave and return to work and can be retained Female % 100.00 99.50 99.14
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Absenteeism Rate
Description Unit 2022 2023 2024
Absentee Rate * % 2.44 1.16 1.32
Number of days in a year day 242 236 235
Total Employees person 74,735 77,739 81,848
*) The absentee rate calculation has included both permanent and contract workers, and the data has been verified by a third party. Assurance documents are available in the appendix on page 247
Compliance Level of State Officials' Wealth
Report Obligations (LHKPN) Obligation Designation Unit 2022 2023 2024
Board of
employee 11 11 10
Commissioners
Employees With LHKPN Obligation Directors employee 12 12 12
BRI Employee employee 270 105 155
Board of employee 11 11 10
Commissioners % 100 100 100
employee 12 12 12
Employees Already Report LHKPN Directors
% 100 100 100
employee 270 105 155
BRI Employee
% 100 100 100
Board of employee 0 0 0
Commissioners % 0 0 0
employee 0 0 0
Employees That Have Not Reported LHKPN Directors
% 0 0 0
employee 0 0 0
BRI Employee
% 0 0 0
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Number of Whistleblowing System Reports and
Follow-up Actions [GRI 205-3] Description 2022 2023 2024
Number of Sub Indications of Violation 107 50 63
Proven 62 29 46
Not Proven 41 16 15
Follow-up
Cannot Be Followed-up 0 0 0
In Process 0 0 2
Violation Category in Whistleblowing System
Category Unit 2023 2024
Employee Violations of the Code of Ethics
Corruption & Bribery # 16 17
Conflict of Interest # 5 2
Violations of Customer Information Security # 1 1
Discrimination or Harassment # 0 2
Anti-Money Laundering Violations # 0 0
Others # 7 24
Status
Number of Proven Violations # 29 46
In process # 0 2
Total Number of Violations # 29 48
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Number of Follow Up Fraud Cases [GRI 205-3]
Description Designation Unit 2022 2023 2024
Board of Commissioners and
employee - - -
commissions
Employees Involved in Fraud Permanent Employee employee 388 160 1,040
Non-Permanent Employee employee 5 4 119
Board of Commissioners and
employee - - -
commissions
Having Been Completed with Disciplinary Punishment
Process Permanent Employee employee 272 79 456
Non-Permanent Employee employee 3 3 69
Board of Commissioners and
employee - - -
commissions
In Settlement Process at Bank's Internal (Disciplinary
Punishment) Permanent Employee employee 8 16 584
Non-Permanent Employee employee - 0 50
Board of Commissioners and
employee - - -
commissions
Not Yet Resolved Permanent Employee employee 108 65 0
Non-Permanent Employee employee 2 1 0
Board of Commissioners and
employee - - -
commissions
Having Been Followed Up Through Legal Process Permanent Employee employee - 9 133
Non-Permanent Employee employee - 8 24
Contribution and Other Spending [GRI 415-1]
Description Unit 2022 2023 2024
Lobbying, representation of interests, etc IDR 0 0 0
Campaigns and local, regional, national political candidates / organizations IDR 0 0 0
Trade associations/tax exempt groups IDR 0 0 0
Other expenses (e.g. expenses for counting votes for elections or referendums) IDR 0 0 0
Note: BRI prohibits political contributions to organizations based on our Code of Conduct and Internal Policy
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Transaction Value of Procurement of Goods and
Services for BRI’s Suppliers [GRI 2-6, 204-1][B.1e] Segment Unit 2022 2023 2024
Domestic Suppliers % 99.35 97.27 99.63
Overseas Suppliers % 0.65 2.73 0.37
Total Vendors by Region and Type of Vendors in
2024 (with SKT) [GRI 2-6, 204-1] [B.1e] Non- Non-
Other Goods
Office Other Construction construction Other construction Total
Region Property Vehicle Furniture Inventory IT Printing Advertising Consulting Supplier
Machines Goods Services Consulting Services Goods Supplier Vendor
Services Services
Services Services
Lampung 0 0 0 0 0 0 0 0 0 0 1 0 0 1 0 2
Bandung 3 0 1 0 2 3 1 0 0 0 0 1 2 0 0 13
Banjarmasin 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0
Pekanbaru 4 0 0 0 1 0 0 0 0 0 0 0 0 0 0 5
Yogyakarta 0 0 0 0 0 0 1 0 0 0 7 0 1 1 0 10
Malang 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 1
Denpasar 3 0 0 0 0 0 0 0 0 0 0 0 0 1 0 4
Manado 2 0 0 1 0 0 0 0 0 0 0 0 0 0 0 3
Surabaya 6 0 0 1 1 0 0 0 0 0 1 0 1 2 0 12
Semarang 5 0 2 1 3 2 0 0 1 0 5 0 1 1 0 21
Head Office 28 4 7 3 6 71 12 2 8 9 18 17 32 32 4 253
Medan 4 0 1 0 1 0 0 0 0 0 1 0 0 0 0 7
Jayapura 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0
Makassar 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0 1
Padang 0 0 0 0 0 0 0 0 0 0 2 0 0 0 0 2
Palembang 1 0 0 0 0 0 0 0 0 0 2 0 0 0 0 3
Total 56 4 11 6 14 76 14 2 9 9 38 18 37 39 4 337
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BRI Peduli CSR Program Distribution [F.4][F.25]
Program Unit 2022 2023 2024
IDR Million 196,678 236,170 259,265
Social
% 69.01 69.06 75.57
IDR Million 16,008 21,366 23,330
Economic
% 5.62 6.25 6.80
IDR Million 72,313 84,462 60,484
Environmental
% 25.37 24.70 17.63
IDR Million 284,999 341,998 343,079
Total
% 100 100 100
Budget Allocation for BRI Peduli CSR Community
Development Program [F.25] Program Unit 2022 2023 2024
Charitable Donations % 49.00 48.50 49.40
Community Investments % 46.00 45.65 43.98
Commercial Initiatives % 6.00 5.85 6.63
Total % 101 100 100
CSR Contribution Type [F.25]
Type of Contribution Unit 2022 2023 2024
Cash Contribution* IDR Million 0 0 0
In-Kind Giving (product or service donation, project / collaboration or similar
IDR Million 284,999 341,998 343,079
programs)**
Management Overhead (consulting and research fees) IDR Million 1,588 1,925 2,140
*) BRI does not provide cash assistance to the community. The entire contribution of TJSL is implemented through community development programs and strategic infrastructure development.
**) Represents the total realized funds of the CSR program.
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Human Rights Assessment
Category Unit 2023✅ 2024
Internal
Employee Assessed # 12,870 52,127
Percentage of Employees Assessed % 16.56 67.05
External
Supplier/Business Partner # 42 99
Percentage of Suppliers/Business Partner Assessed % 16.73 42.13
Skor Prisma # 103 (Good) 103 (Good)
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Energy Use [F.6] [GRI 302-1] [GRI 302-2] [GRI 302-3] [GRI 302-4]
Description Unit 2022 2023 2024
Fuel Usage Liter 44,922,960 42,927,942 42,521,434
Electricity Usage kWh 404,925,311 403,192,231 383,878,408
Fuel Usage IDR 441,235,670,170 526,974,322,479 483,403,295,406
Electricity Usage IDR 579,663,972,351 574,118,412,662 555,530,945,998
Total Energy Consumed MJ 3,074,957,680 2,919,627,648 2,848,795,079
Energy Savings MJ (162,996,722) 155,330,032 70,832,569
Energy Intensity per Office MJ/office/year 374,584 376,483 376,426
Energy Intensity per Worker MJ/office/year 26,078 24,271 23,620
Notes: (1) Calculation standards and conversion factors used for energy calculations are sourced from the Ministry of Energy and Mineral Resources (2) Energy data has been verified by an independent third party, (3) Energy savings is the value of
energy reduction compared to the previous year.
Water Use [F.8]
Description Unit 2022 2023 2024
Water Use m 3
1,944,879 2,396,993 1,959,810
Water Use Performance % -2 23 -18
Water Use Intensity m /employee
3
16.49 19.93 16.25
Paper Use [F.5]
Description Unit 2022 2023 2024
Paper Use per Work Unit* kg/work unit 248.72 149.04 113.01
Paper Use per Employee** kg/employee 17.31 9.61 7.09
*) All work units in Indonesia
**) All employees including outsourced employees
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Waste Disposal [F.13] [F.14] [F.15] [GRI 306-2] [GRI 306-3] [GRI
306-3] [GRI 306-4] [GRI 306-5] Description Unit 2022 2023 2024
Total Waste Reuse/Recycle/Recovery ton 238 591 704
Pengurangan Emisi (Limbah) kgCo2e 441,817 524,180
Total Waste Disposed (Landfill)* ton 18,784 16,563 14,245
*) Bankwide waste generation was extrapolated based on waste generation data per worker at BRI head office. Waste at the head office was sent to landfill from January to July 2023. From August 2023 onwards, with the launch of the Zero Waste to
Landfill program, all waste generated is diverted from landfill through composting, recycling and RDF technologies. In 2024, there were no incidents of waste spillage or leakage.
Emission Control in All Work Units [F.11] [GRI 305-1] [GRI
305-2] [GRI 305-3] [GRI 305-4] [GRI 305-5] [FN-CB-410b.1] Description Unit 2022 2023 2024
Emissions from Scope 1: Mobile and Stationary Combustion (Positive Emissions)* TonCO2e 126,515 125,120 118,689
Emissions from Scope 1: Fugitive & Refrigerant (Positive Emissions)* TonCO2e 5,720 5,490 5,466
Emissions from Scope 2 (Positive Emissions)* TonCO2e 360,135 355,742 346,353
Scope 3 Emissions: Financed Emissions TonCO2e 11,222,829 10,434,550 12,884,676
Scope 3 Emissions: Purchased Goods and Services** TonCO2e 19,135** 121,156 99,167
Scope 3 Emissions: Waste Generated in Operations*** TonCO2e 9,680 8,937 8,340
Scope 3 Emissions: Business Travel TonCO2e 3,267 8,272 7,217
Emission Intensity of Scope 1 and 2 TonCO2e/Work Unit 60 62.7 62.2
Emission Intensity of Scope 1 and 2**** TonCO2e/Employee 4.2 4 3.9
TonCO2e/Outstanding
Financed Emissions Intensity 0.1 0.1
in Million Rupiah
*) Positive Emissions are emissions generated from Scope 1 banking operational activities derived from the use of fuel and refrigerants and Scope 2 derived from the use of electricity in all BRI work units in Indonesia. The use of these energy sources is
still under BRI's control.
**) Spend-based emission factors are adopted to estimate emissions associated with: Purchased goods and services, Capital goods, Transportation and upstream distribution. The Scope 3: Purchased Goods and Services Emission Coverage in 2022 is
44.16% and 2023 is 100%.
***) Bankwide waste generation was extrapolated based on waste generation data per worker at BRI head office. Waste at the head office is sent to landfill from January to July 2023. From August 2023 onwards, with the launch of the Zero Waste to
Landfill program, all waste generated is diverted from landfill through composting, recycling and RDF technologies.
****) To support the validity of emission intensity per worker, outsourced workers are included in the calculation of total worker intensity. This is because all energy produced by the company is used by all BRI workers, including outsourced workers.
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Scope 3 Emissions: Financed Emission by Asset
Class [GRI 305-3] [GRI 305-5] [F.11] [FN-CB-410b.2.] Description Unit 2022 2023 2024
Bond Investment Metric Ton CO2e 437,036 460,841 336,014
Business Loans Metric Ton CO2e 6,776,501 6,358,055 8,472,896
Listed Equity Metric Ton CO2e 381 881 852
Electricity Generation Project Finance Metric Ton CO2e 3,872,508 3,504,669 3,816,573
Commercial Real Estate Metric Ton CO2e 136,403 110,104 258,341
Total Metric Ton CO2e 11,222,829 10,434,550 12,884,676
Scope 3 Emissions: Financed Emission by
Sectoral Assets [F.11] Description Unit 2022 2023 2024
Agriculture, forestry and fishing TonCO2e 222,456 114,347 208,106
Construction TonCO2e 94,265 39,104 226,374
Electricity, gas, steam and air conditioning supply TonCO2e 7,141,849 6,286,465 7,325,977
Finance and insurance TonCO2e 1,744 2,360 2,653
Manufacturing TonCO2e 2,594,548 2,028,631 3,513,694
Mining and quarrying TonCO2e 1,027,462 1,848,358 1,345,290
Real estate TonCO2e 136,403 110,104 258,341
Transportation and storage TonCO2e 4,103 5,181 4,242
Total TonCO2e 11,222,830 10,434,550 12,884,676
Avoided Emission [F.12] [GRI 305-1] [GRI 305-2] [GRI 305-3] [GRI
305-5] Description Unit 2022 2023 2024
Zero Waste to Landfill Activity* KgCO2e 164,375 441,817 524,180
Digitalization of Products and Services KgCO2e 1,201,496 872,713 1,096,551
*) This calculation does not include waste classified as "Other", such as tissue, styrofoam, masks, etc., as emission factors for RDF Technology are not available.
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Issued Securities
Impact Reporting
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Green Bond Phase I
Introduction Summary of the Framework
PT Bank Rakyat Indonesia (Persero) Tbk (“BRI”), as Indonesia’s largest bank with a primary focus on the micro, small, BRI has formulated the framework for the BRI Green Bond before its issuance in July 2022. To ensure the framework's
and medium enterprise (MSME) segment, continues to contribute to national development by supporting Indonesia’s compliance with applicable regulations and standards, BRI collaborated with the Sustainable Development Goals
economic growth strategy. This includes active participation in government programs related to financial literacy, Hub at the University of Indonesia (SDGs UI) to obtain a Second Party Opinion. The issuance of BRI's Green Bond in
financial inclusion, and social and economic resilience. Amidst the post-pandemic economic recovery, BRI remains Indonesian Rupiah is conducted in accordance with the Financial Services Authority Regulation No. 60/POJK.04/2017
committed to delivering best-in-class services by fostering, empowering, and enhancing the competencies of the concerning the Issuance and Requirements of Environmentally Friendly Debt Securities ("Green Bond") (POJK 60).
Indonesian people, ultimately improving household and community welfare. This commitment aligns with BRI’s vision The structured framework encompasses four main focuses, including the Use of Proceeds, Process for Project
to become “The Most Valuable Banking Group in Southeast Asia and Champion of Financial Inclusion.” Evaluation & Selection, Management of Proceeds, and Reporting.
BRI also actively participates as a growth enabler, aligning its efforts with various government initiatives aimed
at reducing economic inequality, particularly disparities in wealth distribution. The Bank is also dedicated to Use of Proceeds
the conservation of natural resources and environmental sustainability, including sustainable land use, water
management, and irrigation, while promoting long-term economic growth to enhance both social and environmental
well-being. This commitment extends not only to BRI but also to Indonesian society as a whole. A minimum of 70% financing for environmentally A maximum of 30% financing for other general activities,
friendly business activities (KUBL) such as the micro sector, health, and social initiatives
Various business activities and efforts undertaken by BRI sustainably align with the principles of the United
Nations Sustainable Development Goals (UN SDGs), reflecting BRI's commitment to Environmental, Social, and Environmentally Friendly Business Activities (KUBL)
Governance (ESG) principles. The issuance of Green Bonds as a source of bank liquidity serves as an example of ESG
implementation in BRI's banking activities. The Green Bond I Bank BRI Phase I, 2022, is the first Green Bond issued by
Activities Activities
a bank in Indonesia.
l Renewable Energy l Sustainable Water & Waste Water
Management
l Energy Efficiency
Issuance Details l Climate Change Adaptation
l Pollution prevention & control
In 2022, BRI issued the Green Bond I Phase I, 2022, with an emission value of IDR 5 trillion, experiencing an l Environmental efficiency
oversubscription of 4.4 times during the bookbuilding process. l Biological Resources Management &
Sustainable Land Use l Environmentally Friendly Building
l Land & Water Biodiversity Conservation l Other environmentally friendly business
Summary of Bond Transactions activities
l Environmentally Friendly Transportation
Name Green Bonds I Bank BRI Phase I Year 2022
Project Evaluation and Selection Process
PUB IDR 5 trillion
Series Tenor Listing Date Due Date Coupon Value Status
A 370 days July 21, 2022 July 30, 2023 3.70% IDR 2.5 Trillion Mature
B 3 years July 21, 2022 July 20, 2025 5.75% IDR 2 Trillion Eksisting
C 5 years July 21, 2022 July 20, 2027 6.45% IDR 0,5 Trillion Eksisting
Rating idAAA (Pefindo)
Listing Indonesia Stock Exchange Identification Pre-screening Review Allocation
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Green Bond Phase I
Management of Proceeds
Proceeds Allocation
Eligible Sectors Financing Type Percentage (%)
l Proceeds from the issuance will be managed collectively and then allocated to (KUBL), with a minimum allocation (IDR Billion)
of 70% ; Renewable Energy Refinancing 1,948.49 77.84
l The creation of a special account or separate records in the financial statements and sustainability reports; Biological Resources Management &
Refinancing 200.50 8.01
Sustainable Land Use
l Assets allocated for financing purposes will be actively managed, both individually and as part of a portfolio;
Employment Generation Refinancing 261.48 10.45
l If there are assets that are not relevant to the framework or have discontinued financing, they will be redirected to
other assets; Socioeconomic advancement and
Refinancing 92.62 3.70
empowerment
l Proceeds pending realization may be placed in safe and liquid financial instruments;
Reporting
Green Categories Social Categories
Allocation Reporting 261.48
1,948.49
BRI reports the allocation of proceeds periodically, at least once a year, within one year after the issuance, and
whenever there is a material change in KUBL, accompanied by a review report by environmental experts
92.62
Impact Reporting
BRI issues periodic reports on the impact of projects/assets financed to the extent that it can be practically calculated 200.5
and measured in accordance with the environmental expert review.
Renewable energy Biological Resources Management Employee Generation Socioeconomic advancement
& Sustainable Land Use and empowerment
Allocation Report Proceed Allocation
As of the reporting period ending December 31, 2024, BRI has maintained the allocation of 50% of the proceeds from 14.15%
the issuance of Green Bond I Phase I Year 2022. The funds raised have been utilized to refinance existing projects within
BRI’s financing portfolio that generate both environmental and social benefits. In accordance with OJK Regulation No.
60/POJK.04/2017 and in alignment with BRI’s Green Bond Framework, the Bank conducts a rigorous selection and
evaluation process for its financing portfolio and pipeline. This process ensures that funded projects comply with the
eligible sectors defined in the framework. The detailed allocation of proceeds is as follows:
85.85%
Green Social
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Green Bond Phase I
Impact Eligible Sectors Alignment with SDGs Brief Description & Impact Indicators
Referring to the Bank BRI Green Bond Phase I framework, the environmental impact (as applicable based on eligible Socioeconomic KUR program is intended to support the development of
KUBL sectors) and social impact are as follows: advancement and non-bankable Micro businesses. The businesses financed
empowerment through the proceeds from the issuance of Green Bond
Phase I are estimated to generate more than ±890 jobs
Green Categories across various regions in Indonesia.
Alignment with % of Eligible Brief Description & Impact
Eligible Sectors Project Type KUR distribution by sector
KUR distribution by sector KUR Distribution by Region
SDGs Assets Indicators KUR Distribution by Region
5.63%
5.63%
16.76% 25.26%
Estimated environmental impact 16.76% 30.22%
30.22% Agriculture
Agriculture
25.26%
Bali, NTT and NTB
Bali, NTT and NTB
generated: Construction
Construction
Fishing
Java
Java
Kalimantan
Kalimantan
• Renewable energy produced per year: Fishing
Retail Trade Papua
Papua
Retail Trade
Hydro Power 1,669,000 MWh 0.14%
0.14% Services 16.58%
Sulawesi
Sulawesi
Renewable Energy 90.67% • Avoided GHG emissions per year:
Services 16.58%
47.48% Sumatera
Plant 52.19%
Other
Other
0.84%
47.48% Sumatera
52.19%
917,950 Ton CO2eq. 0.84%
4.21%
4.21%
The project funded is 1 (one) and has
been operational.
Biological 9.33% Financing for BRI has financed sustainable oil
Resources Sustainable and palm plantation projects that
Management & Environmentally adopt the best domestic and
Sustainable Land Friendly Oil global practices and standards in Conclusion
Use Palm Plantation responsible palm oil production,
The Green Bond Report represents BRI's commitment as a pioneer in sustainable finance in Indonesia. BRI is
Investments namely having two certifications,
dedicated to continuously meeting the established and applicable criteria related to green bonds to maintain the trust
namely RSPO and ISPO
of investors, regulators, and the public in general towards BRI as an ESG-focused financial institution. In accordance
certification.
with the Green Bond framework prepared by BRI, at least 70% (actual realization: 85.85%) of the activities financed
by BRI Green Bond Phase I 2022, meet the criteria as ERPA and have a positive impact on the environment through
emission reduction, resource management, and renewable energy.
Social Categories
Eligible Sectors Alignment with SDGs Brief Description & Impact Indicators
Employee generation opportunities in the MSME segment,
with an estimated total of ± 3,100 new jobs distributed across
Indonesia.
Kupedes Distribution by Region Kupedes Distribution by Sector
Kupedes Distribution by Region Kupedes Distribution by Sector
0.50%
7.36% 0.50%
7.36% 18.12%
Employee 19.08%
19.08% Bali, NTT and NTB
Bali, NTT and NTB 21.27%
21.27%
18.12%
0.49%
Generation
Java 0.49%
Java
Kalimantan 1.33%
Kalimantan 1.33%
Agriculture
12.04% Papua Agriculture
12.04% Papua Construction
Sulawesi Construction
Sulawesi Fishing
1.67% Sumatera Fishing
1.67% Sumatera Retail Trade
3.50% Retail Trade
3.50% 56.35%
56.35% Services
Services
58.31% Other
58.31% Other
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Appendix I
Review Report by Environmental Expert
Review results
SDGs Hub of the University of Indonesia, as the Environmental Expert selected to review the Report on Bank BRI Based on the review that has been done, it can be concluded:
Green Bond, Phase I Year 2022 (Green Report) which includes some supporting data regarding the issuer of Bank 1. The selection of environmentally friendly business activities (KUBL) projects in the distribution of proceeds from
BRI Phase I Green Bond I Year 2022. Environmental Experts have competency experience and relevant certificates in the 2022 Green Bond issuance is following the Green Bond Framework.
environmentally sound activities (attached-Appendix I). 2. The proceeds from Sustainable Green Bond I Phase I 2022 have remained 100% unchanged from their original
allocation, funding two approved KUBL. Of the total allocation, 85.85% was used for refinancing projects aligned
Management Responsibilities with ERPA criteria, specifically in Renewable Energy and Sustainable Management of Natural Resources & Land
Management's responsibility for the preparation and presentation of the Green Bond Report 2024 is following Bank Use, while 14.15% was allocated for refinancing social activities. This allocation complies with OJK Regulation No.
BRI's Green Bond Framework. 60/2017, which mandates that at least 70% of Green Bond proceeds be directed toward KUBL projects and up to
30% toward social activities.
Responsibilities of Environmental Experts 3. BRI has financed one renewable energy project, which is now fully operational. The selected indicators align with
The responsibility of the Environmental Expert is to review the Green Bond Report and several other supporting the previously established KUBL criteria. Additionally, the estimated greenhouse gas (GHG) emission reductions
documents following the provisions of the Financial Services Authority Regulation Number 60 of 2017 (“POJK 60”) have been calculated in accordance with best practices for measuring avoided emissions from renewable energy
Article 10 Paragraph 1. The review that we carry out includes the suitability of the implementation of the selection of projects.
Environmentally Friendly Business Activities projects (“KUBL”) as stated in the Green Bond Framework, distribution 4. Projects under this category are required to obtain relevant environmental certifications based on industry
of proceeds from the 2022 Green Bond issuance to selected KUBL projects, and the availability of environmental standards. The impact report confirms that the funded projects have secured one ISPO) and one RSPO
impact estimates from the financed KUBL project. 100% of the proceeds from the issuance of the Green Bond Phase certification, demonstrating compliance with sustainability principles.
I 2022 have been allocated and reported in the Green Bond Report Phase I 2022, and there has been no change to the 5. The social impact of the Green Bond proceeds includes the creation of approximately 3,100 new jobs across
projects financed. Environmental experts only review the environmental impacts contained in the 2022 Green Bond Indonesia through MSME initiatives. Additionally, BRI’s People’s Business Credit Program (KUR), aimed at
Report compiled by the Team at Bank BRI, based on data provided by recipients of the 2022 Phase I Green Bond supporting the growth of non-bankable microenterprises, has facilitated the creation of an estimated ±890
issuance funds. additional jobs across various regions in Indonesia.
6. The impact report for KUBL and social initiatives has been aligned with the SDGs (refer to Pages 5 and 6 for further
details).
Jakarta, January 30, 2025
SDGs HUB UI Coordinator SDGs HUB UI Advisor
Dr. Triatko Nurlambang Prof. Dr. Jatna Supriatna, M.Sc
Page 211
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
ESG Data Tables Issued Securities Impact Reporting Reporting Standard Indices IDX Reporting Index Assurance Feedback Form
Appendix II
Usage of Proceeds from Issuance Environmental Benefits of Financed Projects
All Green Sector projects have positive environmental impacts, as per the indicators predefined by Bank BRI. These
Proceeds Flow indicators are obtained through a consistent identification and calculation process in accordance with established
BRI has allocated 100% of the proceeds from the issuance of Bank BRI Green Bond, Phase I Year 2022 to finance best practices. Projects financed through the issuance of BRI Green Bond Phase I 2022 comply with OJK Regulation
KUBL projects in accordance with Financial Services Authority (OJK) Regulation No. 60/POJK.04/2017. The proceeds No. 60/POJK.04/2017 and contribute to the achievement of the Sustainable Development Goals ("SDGs").
obtained are intended for the refinancing of several projects already present in BRI's financing portfolio that deliver The following is a summary of environmental benefits in 2023 from projects financed by the proceeds of the issuance
environmental and social benefits. These projects include: of BRI Green Bond Phase I 2022.
Percentage Financing of Palm Oil Land Investment with
Project Value Indicators Hydropower Plant environmentally friendly and sustainable
Green Category Project Types Allocation of
(IDR Billion) production processes
Proceeds
Renewable Energy Generated 1,669,000 MWh N.A
Renewable Energy Hydro Power Plant 77.84% 1,948.49
Avoidable GHG Emissions 917,950 Ton CO2e N.A
Possessing environmental certifications as
Management of Biodiversity Financing for Sustainable and Environmentally required for sustainable purposes within N.A Having ISPO or RSPO certification
8.01% 200.50
and Sustainable Land Use Friendly Oil Palm Plantation Investments the respective industry
Percentage
Project Value
Social Category Project Types Allocation of
(IDR Billion)
Proceeds
Employee Generation Employee Generation in the MSME segment 10.45% 261.48
Socio-economic improvement Development of non-bankable micro
3.70% 92.62
and empowerment businesses
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
ESG Data Tables Issued Securities Impact Reporting Reporting Standard Indices IDX Reporting Index Assurance Feedback Form
Green Bond Phase II
Introduction Summary of the Framework
BRI is strongly committed to integrating sustainability principles into its business strategy, focusing not only on BRI has formulated the framework for the Green Bond I before its issuance in July 2022. To ensure the framework's
financial performance but also on environmental sustainability, social well-being, and national economic growth. compliance with applicable regulations and standards, BRI collaborated with the Sustainable Development Goals
The Bank recognizes that advancing sustainable finance will have a far-reaching impact on Indonesia’s economy and Hub at the University of Indonesia (SDGs UI) to obtain a Second Party Opinion. The issuance of BRI's Green Bond in
directly benefit communities. As part of this commitment, BRI continues to drive the implementation of Sustainable Indonesian Rupiah is conducted in accordance with the Financial Services Authority Regulation No. 60/POJK.04/2017
Finance Action Plan (RAKB) programs to support the Sustainable Development Goals (SDGs). This initiative aligns concerning the Issuance and Requirements of Environmentally Friendly Debt Securities ("Green Bond") (POJK 60).
with BRI’s 2025 vision to become “The Most Valuable Banking Group in Southeast Asia and Champion of Financial The structured framework encompasses four main focuses, including the Use of Proceeds, Process for Project
Inclusion.” Evaluation & Selection, Management of Proceeds, and Reporting.
As a demonstration of its dedication to sustainable economic growth, BRI actively increases its financing to green
sectors that generate positive environmental impacts (green financing) and to businesses that promote social well-
being (social financing). Additionally, BRI strictly avoids financing businesses involved in illegal logging, drug trafficking,
labor and child exploitation, human rights violations, money laundering, destruction of prehistoric sites, illegal wildlife Use of Proceeds
trade, illegal fishing, and any other activities that violate Indonesian law.
Bond issuance serves as an alternative funding source for BRI’s financing activities, including the Sustainable Green A minimum of 70% financing for environmentally A maximum of 30% financing for other general activities,
Bond I Phase II Year 2023. The proceeds from this issuance have been allocated for refinancing both green and social friendly business activities (KUBL) such as the micro sector, health, and social initiatives
sectors. The 2023 Green Bond issuance is part of BRI’s Sustainable Public Offering (PUB) of Green Bonds I, with a total
issuance limit of IDR 15 trillion.
Environmentally Friendly Business Activities (KUBL)
Issuance Details Activities Activities
In 2023, BRI issued the Green Bond I Bank BRI Phase II for the year 2023 with an emission value of IDR 6 trillion,
l Renewable Energy l Sustainable Water & Waste Water Management
recording an oversubscription of 2.63 times.
l Energy Efficiency l Climate Change Adaptation
Summary of Bond Transactions l Pollution prevention & control l Environmental efficiency
l Biological Resources Management & Sustainable l Environmentally Friendly Building
Name Green Bonds I Bank BRI Phase II Year 2023 Land Use
l Other environmentally friendly business
PUB IDR 6 trillion l Land & Water Biodiversity Conservation activities
Series Tenor Listing Date Due Date Coupon Value Status l Environmentally Friendly Transportation
A 370 days October 17, 2023 October 27, 2024 6.10% IDR 1,35 trillion Mature
B 2 Years October 17, 2023 October 17, 2025 6.35% RP 4,15 trillion Eksisting
C 3 Tahun October 17, 2023 October 17, 2026 6.30% IDR 0,50 trillion Eksisting
Project Evaluation and Selection Process
Rating idAAA (Pefindo)
Listing Indonesia Stock Exchange
Identification Pre-screening Review Allocation
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
ESG Data Tables Issued Securities Impact Reporting Reporting Standard Indices IDX Reporting Index Assurance Feedback Form
Green Bond Phase II
Pengelolaan Dana A total of 83.22% of the proceeds was allocated to green financing, supporting environmentally sustainable activities,
while 16.78% was directed toward social financing. The detailed allocation breakdown is provided as follows:
l Proceeds from the issuance will be managed collectively and then allocated to KUBL, with a minimum allocation of
70%; Proceeds Allocation
Eligible Sectors Financing Type Percentage (%)
(IDR Billion)
l The creation of a special account or separate records in the financial statements and sustainability reports;
Renewable Energy Refinancing 2,111 35.18
l Assets allocated for financing purposes will be actively managed, both individually and as part of a portfolio;
Biological Resources Management &
l If there are assets that are not relevant to the framework or have discontinued financing, they will be redirected to Refinancing 2,884 48.04
Sustainable Land Use
other assets;
Employment Generation Refinancing 455 7.58
l Proceeds pending realization may be placed in safe and liquid financial instruments; Socioeconomic advancement and empowerment Refinancing 552 9.19
Reporting
Allocation Reporting
BRI reports the allocation of proceeds periodically, at least once a year, within one year after the issuance, and
whenever there is a material change in KUBL, accompanied by a review report by environmental experts. Green Category Social Category
552
2,884
455
Impact Reporting 2,111
BRI issues periodic reports on the impact of projects/assets financed to the extent that it can be practically calculated
and measured in accordance with the environmental expert review.
Allocation Report
Renewable energy Biological Resources Management Employment Generation Socioeconomic advancement
As of the reporting period ending December 31, 2024, BRI has fully allocated the proceeds from the issuance of & Sustainable Land Use and empowerment
Sustainable Green Bond I Phase II Year 2023. The funds were utilized for refinancing existing projects within BRI’s
financing portfolio that deliver both environmental and social benefits. In accordance with POJK No. 60/POJK.04/2017
The allocation for the Green Category is 83,22%, equivalent to The allocation for the Social Category is 16.78%, equivalent to
on the Issuance and Requirements for Green Debt Securities (Green Bonds) and aligned with BRI’s Green Bond IDR 4.995 trillion. The financed projects fall into two categories: IDR 1.007 trillion. The financed projects fall into the categories
Framework, the Bank conducted a rigorous selection and evaluation process to ensure that the financed projects Renewable Energy and Sustainable Resource Management & of Employment Generation and Socioeconomic Advancement
comply with the eligible sectors defined in the framework. Land Use. and Empowerment.
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 214
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
ESG Data Tables Issued Securities Impact Reporting Reporting Standard Indices IDX Reporting Index Assurance Feedback Form
Green Bond Phase II
Impact Eligible Sectors Alignment with SDGs Brief Description & Impact Indicators
Referring to the Bank BRI Green Bond Phase II framework,in 2023, the environmental and social impacts are in KUR program is intended to support the development of non-
accordance with the qualified sectors, namely: bankable Micro businesses and is estimated to create more than
±7,000 jobs in various
KURregions
distribution of Indonesia.
by sector KUR Distribution by Region
0% 1%
Green Categories KUR distribution by sector 17% KUR Distribution by Region 14%
22%
Agriculture
0% 34% 1% Sum
Alignment with % of Eligible Brief Description & Impact Socioeconomic
Construction 4%
Eligible Sectors Project Type 17% 14%
22%
Jaw
SDGs Assets Indicators advancement and 34%
Agriculture Fishing
7% Sumatera Ba
Construction 4% Mining
Estimated environmental impact empowerment Fishing Retail Trade
Jawa Kal
7% 0% Bali, NTB, and NTT Sul
generated: Mining Services
Pa
Kalimantan
• Renewable energy produced per year: Retail Trade 2% Other
47% Sulawesi
1,134,272 MWh. 0% 0%
Hydro Power • Avoided GHG emissions per year:
Services
Papua 52%
Renewable Energy 42.27% 2% Other
Plant 1,054,873 TonCO2eq. 47%
0%
52%
Proyek yang dibiayai adalah
sebanyak 1 (satu) dan telah
beroperasi.
Biological 57.73% Financing for BRI has financed sustainable oil
Resources Sustainable and palm plantation projects that
Management & Environmentally adopt the best domestic and Conclusion
Sustainable Land Friendly Oil global practices and standards in
Use Palm Plantation responsible palm oil production, The Impact Report on BRI Green Bond I Phase II in 2023 demonstrates the commitment and realization of sustainable
Investments namely having two certifications, finance implementation in line with the United Nations Sustainable Development Goals, particularly points 7, 8, 10, 12,
namely RSPO and ISPO and 13. BRI continues to encourage active participation from all relevant parties to support and advance the national
certification. economy through the implementation of sustainable finance.
The issuance of BRI Green Bond I Phase II in 2023 is part of the Sustainable Public Offering (PUB) amounting to IDR15
trillion, which was positively responded to by investors, marked by an oversubscription of 2.63 times.
BRI has also undergone external review by environmental experts, stating that at least 70% (actual: 80.59%) of the
Green Categories activities financed by green bonds have met the criteria as environmentally friendly business activities (KUBL) and
have a positive impact on the environment, in accordance with the previously established framework. This confirms
Eligible Sectors Alignment with SDGs Brief Description & Impact Indicators
the credibility of BRI Green Bond’s compliance and commitment to meeting Green Bond requirements.
Employee generation opportunities in the MSME segment, with
an estimated total of ± 4,000 new jobs
distributed across Indonesia.
Kupedes Distribution by Sector Kupedes Distribution by Region
6% 2%
Employee 18%
Kupedes Distribution by Sector Kupedes Distribution by Region 6% 22%
Generation 27%
6%
Agriculture
2% Sumatera
Construction
(Kupedes Credit) 18% 6%
Fishing
22%
9% Jawa
Agriculture Bali, NTB, and NTT
27% Sumatera
Construction
Mining
9%
1% Jawa Kalimantan
Retail Trade
Fishing 1% Sulawesi
Services Bali, NTB, and NTT
Mining Papua
1% Other Kalimantan
Retail Trade
1% 53% Sulawesi
Services
Papua 55%
Other
53%
55%
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 215
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
ESG Data Tables Issued Securities Impact Reporting Reporting Standard Indices IDX Reporting Index Assurance Feedback Form
Appendix I
External Report Review Review results
SDGs Hub, University of Indonesia, as the Environmental Expert chosen to review the Bond Report I BRI Bank Phase Based on the review that has been done, it can be concluded:
II 2023, which includes several supporting data related to the issuance of Sustainable Bonds I BRI Bank Phase II 2023. 1. The selection of KUBL projects in the distribution of proceeds from the 2023 Green Bond issuance is following the
External Review has relevant experience and diploma competencies in environmentally friendly activities (attached- Green Bond Framework.
Attachment I). 2. The proceeds from the issuance of Green Bond I Phase II 2023, 100% have not changed from the funds that have
been allocated to finance the two KUBL sectors that have been approved, where 83.22 percent is for refinancing
according to KUBL, namely and 16.78 percent for refinancing social activities, with a total percentage of fund
Management Responsibilities allocation of 100%, where the KUBL allocation fund is IDR 4,995 trillion, and social is IDR 1,007 trillion, this is in
Management's responsibility for the preparation and presentation of the Green Bond Report Phase II 2023 is following accordance with the information on Page 4 of the Impact Report.
Bank BRI's Green Bond Framework. 3. BRI has financed one renewable energy project, which is now fully operational. The selected indicators align with the
previously established KUBL criteria. Additionally, the estimated greenhouse gas (GHG) emission reductions have
been calculated in accordance with best practices for measuring avoided emissions from renewable energy projects.
External Review Responsibility 4. Projects under this category are required to obtain relevant environmental certifications based on industry
The External Reviewer's responsibility is to review the Green Bond annual report and several other supporting standards. The impact report confirms that the funded projects have secured one ISPO) and one RSPO
documents following the provisions of the Financial Services Authority Regulation Number 60 of 2017 (“POJK 60”) certification, demonstrating compliance with sustainability principles.
Article 10 Paragraph 1. The review that we carry out includes the suitability of the implementation of the selection of 5. The social impact of the Green Bond proceeds includes the creation of approximately ±4,000 new jobs across
Environmentally Friendly Business Activities projects (“KUBL”) as stated in the Green Bond Framework, distribution Indonesia through MSME initiatives. Additionally, BRI’s People’s Business Credit Program (KUR), aimed at
of proceeds from the 2022 Green Bond issuance to selected KUBL projects, and the availability of environmental supporting the growth of non-bankable microenterprises, has facilitated the creation of an estimated ±7,000
impact estimates from the financed KUBL project. 100% of the proceeds from the issuance of the Green Bond Phase II additional jobs across various regions in Indonesia.
2023 have been allocated and reported in the Green Bond Report Phase II 2023, and there has been no change to the 6. The impact report for KUBL and social initiatives has been aligned with the SDGs (refer to Pages 5 and 6 for
projects financed. Environmental experts only review the environmental impacts contained in the 2022 Green Bond further details).
Report compiled by the Team at Bank BRI, based on data provided by recipients of the 2023 Phase II Green Bond
issuance funds.
Jakarta, January 30, 2025
SDGs HUB UI Coordinator SDGs HUB UI Advisor
Dr. Triatko Nurlambang, MA Prof. Dr. Jatna Supriatna, M.Sc
Page 216
Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 216
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
ESG Data Tables Issued Securities Impact Reporting Reporting Standard Indices IDX Reporting Index Assurance Feedback Form
Appendix II
Usage of Proceeds from Issuance Environmental Benefits of Financed Projects
Proceeds Flow All Green Sector projects have positive environmental impacts, as per the indicators predefined by Bank BRI. These
indicators are obtained through a consistent identification and calculation process in accordance with established
BRI has fully allocated the proceeds from the issuance of Sustainable Green Bond I Phase II Year 2023 to finance
best practices. Projects financed through the issuance of BRI Green Bond Phase II 2023 comply with OJK Regulation
Eligible Green and Social KUBL Projects KUBL in accordance with POJK No. 60/POJK.04/2017. The funds were utilized
No. 60/POJK.04/2017 and contribute to the achievement of the Sustainable Development Goals ("SDGs").
for refinancing existing projects within BRI’s financing portfolio that generate both environmental and social benefits,
including: The following is a summary of environmental benefits in 2023 from projects financed by the proceeds of the issuance
of BRI Green Bond Phase II 2023:
Financing of Palm Oil Land Investment
Percentage
Project Value (IDR Indicators Hydro Power Plant with environmentally friendly and
Green Category Project Types Allocation of
Billion) sustainable production processes
Proceeds
Renewable Energy Generated 1,134,272 N.A
Renewable Energy Hydro Power Plant 35.18% 2,111,412,477,351 Avoidable GHG Emissions 1,054,873 N.A
Possessing environmental
Financing Investment in Oil Palm Land certifications as required for
Management of Biodiversity N.A Having ISPO or RSPO certification
with Environmentally Friendly and 48.04% 2,883,519,843,750 sustainable purposes within the
and Sustainable Land Use
Sustainable Production Processes respective industry
Percentage
Project Value (IDR
Social Category Project Types Allocation of
Billion)
Proceeds
Employment Generation in the MSME
MSME Support 16.78% 1,006,822,822,556
segment
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 217
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
ESG Data Tables Issued Securities Impact Reporting Reporting Standard Indices IDX Reporting Index Assurance Feedback Form
Green Bond Phase III
Introduction Summary of the Framework
BRI is strongly committed to integrating sustainability principles into its business strategy, focusing not only on BRI has formulated the framework for the Green Bond I before its issuance in July 2022. To ensure the framework's
financial performance but also on environmental sustainability, social well-being, and national economic growth. compliance with applicable regulations and standards, BRI collaborated with the Sustainable Development Goals
The Bank recognizes that advancing sustainable finance will have a far-reaching impact on Indonesia’s economy and Hub at the University of Indonesia (SDGs UI) to obtain a Second Party Opinion. The issuance of BRI's Green Bond in
directly benefit communities. As part of this commitment, BRI continues to drive the implementation of Sustainable Indonesian Rupiah is conducted in accordance with the Financial Services Authority Regulation No. 60/POJK.04/2017
Finance Action Plan (RAKB) programs to support the Sustainable Development Goals (SDGs). This initiative aligns concerning the Issuance and Requirements of Environmentally Friendly Debt Securities ("Green Bond") (POJK 60).
with BRI’s 2025 vision to become “The Most Valuable Banking Group in Southeast Asia and Champion of Financial The structured framework encompasses four main focuses, including the Use of Proceeds, Process for Project
Inclusion.” Evaluation & Selection, Management of Proceeds, and Reporting.
As a demonstration of its dedication to sustainable economic growth, BRI actively increases its financing to green
sectors that generate positive environmental impacts (green financing) and to businesses that promote social well- Use of Proceeds
being (social financing). Additionally, BRI strictly avoids financing businesses involved in illegal logging, drug trafficking,
labor and child exploitation, human rights violations, money laundering, destruction of prehistoric sites, illegal wildlife A minimum of 70% financing for environmentally A maximum of 30% financing for other general activities,
trade, illegal fishing, and any other activities that violate Indonesian law. friendly business activities (KUBL) such as the micro sector, health, and social initiatives
Bond issuance serves as an alternative funding source for BRI’s financing activities, including the Sustainable Green
Bond I Phase III Year 2024. The proceeds from this issuance have been allocated for refinancing both green and social
sectors. The 2023 Green Bond issuance is part of BRI’s Sustainable Public Offering (PUB) of Green Bonds I, with a total
issuance limit of IDR 15 trillion. Environmentally Friendly Business Activities (KUBL)
Activities Activities
Issuance Details l Renewable Energy l Sustainable Water & Waste Water Management
In 2024, BRI issued the Green Bond I Bank BRI Phase III for the year 2024 with an emission value of IDR 4 trillion, l Energy Efficiency l Climate Change Adaptation
recording an oversubscription of 1.64 times. l Pollution prevention & control l Environmental efficiency
l Biological Resources Management & Sustainable l Environmentally Friendly Building
Summary of Bond Transactions Land Use
l Other environmentally friendly business
l Land & Water Biodiversity Conservation activities
Name Green Bonds I Bank BRI Phase III Year 2024
l Environmentally Friendly Transportation
PUB IDR 4 trillion
Series Tenor Listing Date Due Date Coupon Value Status
A 370 days March 20, 2024 March 30, 2025 6.15% IDR 1.23 trillion Eksisting
B 2 Years March 20, 2024 March 20, 2026 6.25% IDR 879 billion Eksisting Project Evaluation and Selection Process
C 3 Years March 20, 2024 March 20, 2027 6.25% IDR 382 billion Eksisting
Rating idAAA (Pefindo)
Listing Indonesia Stock Exchange
Identification Pre-screening Review Allocation
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
ESG Data Tables Issued Securities Impact Reporting Reporting Standard Indices IDX Reporting Index Assurance Feedback Form
Green Bond Phase III
Management of Proceeds A total of 80.10% of the proceeds was allocated to green financing, supporting environmentally sustainable activities,
l Proceeds from the issuance will be managed collectively and then allocated to KUBL, with a minimum allocation of while 19.90% was directed toward social financing. The detailed allocation breakdown is provided as follows:
70%; Proceeds Allocation
Eligible Sectors Financing Type Percentage (%)
l The creation of a special account or separate records in the financial statements and sustainability reports; (IDR Billion)
Renewable Energy Refinancing 1.713 67,96%
l Assets allocated for financing purposes will be actively managed, both individually and as part of a portfolio;
Biological Resources Management &
l If there are assets that are not relevant to the framework or have discontinued financing, they will be redirected to Refinancing 301 11,96%
Sustainable Land Use
other assets;
Employment Generation Refinancing 213 8,45%
l Proceeds pending realization may be placed in safe and liquid financial instruments. Socioeconomic advancement and
Refinancing 293 11,64%
empowerment
Reporting
1,713
Green Category Social Category
Allocation Reporting
293
BRI reports the allocation of proceeds periodically, at least once a year, within one year after the issuance, and
whenever there is a material change in KUBL, accompanied by a review report by environmental experts. 213
Impact Reporting
301
BRI issues periodic reports on the impact of projects/assets financed to the extent that it can be practically calculated
and measured in accordance with the environmental expert review.
Renewable Energy Biological Resources Management Employment Generation Socioeconomic advancement
& Sustainable Land Use and empowerment
Allocation Report
As of the reporting period ending December 31, 2024, BRI has fully allocated the proceeds from the issuance of Green Proceed Allocation
Bond I Phase III Year 2024. The funds were utilized for refinancing existing projects within BRI’s financing portfolio
that deliver both environmental and social benefits. In accordance with POJK No. 60/POJK.04/2017 on the Issuance 20.09%
and Requirements for Green Debt Securities (Green Bonds) and aligned with BRI’s Green Bond Framework, the Bank
conducted a rigorous selection and evaluation process to ensure that the financed projects comply with the eligible
sectors defined in the framework.
79.92%
Green Social
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 219
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
ESG Data Tables Issued Securities Impact Reporting Reporting Standard Indices IDX Reporting Index Assurance Feedback Form
Green Bond Phase III
Impact Eligible Sectors Alignment with SDGs Brief Description & Impact Indicators
Referring to the Bank BRI Sustainable Green Bond Phase III framework,in 2024, the environmental and social impacts The Kredit Usaha Rakyat (KUR) program is intended to support
are in accordance with the qualified sectors, namely. the development of non-bankable
KUR Distribution by Region micro businesses. The
KUR distribution by sector
businesses refinanced from 8.46% the proceeds of the Green Bond 0.04%
Phase I issuance are estimated to create more than16.79% ±3,653 jobs in
Green Categories various regions in Indonesia.
18.51%
Sumatera 32.80%
Agricultu
Construc
Jawa
Alignment with % of Eligible Brief Description & Impact Socioeconomic
KUR Distribution by Region KUR distribution by sector Fishing
Eligible Sectors Project Type Bali, NTB, and NTT
Mining
SDGs Assets Indicators advancement and
8.46%
2.77%
Kalimantan 0.04%
Retail Tra
Sulawesi 0.14%
Estimated environmental impact empowerment 63.44% 18.51%
Sumatera
1.74%
4.70%
16.79%
Papua
32.80%
Agriculture 1.63%
Services
Other
generated: Jawa 0.39%
48.60%
Construction
Fishing
0.00%
• Renewable energy produced per year: Bali, NTB, and NTT
Mining
Kalimantan
1,669,000 MWh. 2.77%
Sulawesi 0.14%
Retail Trade
Hydro Power • Avoided GHG emissions per year: 917,950 1.74%
Papua 1.63%
Services
Renewable Energy 67.96%
63.44%
4.70% Other
Plant TonCO2eq 0.39%
0.00%
48.60%
Of the 2 (two) projects financed, one
project has been operational and
the other project is planned to be
operational in 2025.
Biological 57.73% Financing for BRI has financed a sustainable
Resources Sustainable and oil palm plantation project that Conclusion
Management & Environmentally adopts the best domestic and
Sustainable Land Friendly Oil global practices and standards in The Impact Report on BRI Green Bond I Phase III in 2024 demonstrates the commitment and realization of sustainable
Use Palm Plantation responsible palm oil production, finance implementation in line with the United Nations Sustainable Development Goals, particularly points 7, 8, 10, 12,
Investments namely possessing ISPO or RSPO and 13. BRI continues to encourage active participation from all relevant parties to support and advance the national
certification. economy through the implementation of sustainable finance.
The issuance of BRI Green Bond I Phase III in 2024 is part of the Sustainable Public Offering (PUB) amounting to IDR15
trillion, which was positively responded to by investors, marked by an oversubscription of 1.64 times.
BRI has also undergone external review by environmental experts, stating that at least 70% (actual: 79.91%) of the
activities financed by green bonds have met the criteria as environmentally friendly business activities (KUBL) and
have a positive impact on the environment, in accordance with the previously established framework. This confirms
Social Categories the credibility of BRI Green Bond’s compliance and commitment to meeting Green Bond requirements.
Eligible Sectors Alignment with SDGs Brief Description & Impact Indicators
Creating job opportunities in the MSME segment, with an
estimated total of ± 2,922 new job.
Kupedes Distribution by Region Kupedes Distribution by Sector
Employee 9.71% 12.83%
Sumatera 0.70% Agriculture
Generation Kupedes Distribution by Region
Jawa
Kupedes Distribution by Sector 0.12% Construction
(Kupedes Credit) 9.71%
28.67%
Bali, NTB, and NTT 12.83%
Fishing
Mining
50.00% Sumatera Kalimantan 50.00% 0.70% Agriculture
0.12% Retail Trade
Jawa Sulawesi Construction
Services
Fishing
Bali, NTB, and NTT
Papua 26.71% Other
28.67% Mining
50.00% Kalimantan Kupedes 50.00% Kupedes
3.47% Retail Trade
Sulawesi
2.44% Services
9.45%
0.72% 4.99% 0.16%
Papua 26.71% Other
Kupedes Kupedes
3.47%
2.44% 9.45%
0.72% 4.99% 0.16%
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
ESG Data Tables Issued Securities Impact Reporting Reporting Standard Indices IDX Reporting Index Assurance Feedback Form
Appendix I
External Report Review Review Results
SDGs Hub, University of Indonesia, as the Environmental Expert chosen to review the Sustainable Environmental Bond Based on the review that has been done, it can be concluded:
Report I BRI Bank Phase III 2024, which includes several supporting data related to the issuance of Sustainable Bonds 1. The selection of KUBL projects in the distribution of funds from the issuance of Green Bond I Phase III 2024 for the
I BRI Bank Phase III 2024. External Review has relevant experience and diploma competencies in environmentally 2024 reporting year is in accordance with the Green Bond Framework.
friendly activities (attached-Attachment I). 2. The funds from the issuance of Green Bond I Phase III 2024, 100% have not changed from the funds that have
been allocated to finance the two approved KUBL sectors, where 79.91% is for refinancing according to KUBL,
which is IDR 2.01 trillion and 20.09% for refinancing social activities of IDR 506 billion, with a total percentage of
Management Responsibilities fund allocation of 100%.
Management's responsibility for the preparation and presentation of the Green Bond Phase III 2024 is following Bank 3. There are 2 renewable energy projects that have been funded; 1 is not yet operational and 1 is already operational.
BRI's Green Bond Framework. The calculation of the estimated impact uses the Emission Factor in the 2019 ESDM Regulation concerning
Electricity. The indicators used are in accordance with the KUBL previously determined by Bank BRI. Indicator 1
is the power generated from renewable energy, namely 1,669,000 MWh and 1,134,272 MWH (Page 4 of the 2024
Tanggung Javab Ahli Lingkungan Impact Report) and Indicator 2 is the Greenhouse Gas Emissions that have been successfully avoided from the
The responsibility of the Environmental Expert is to review the Green Bond Report and several other supporting Company's project locations funded in Central Sulawesi and Sumatra, namely using the Central Sulawesi Paposta
documents in accordance with the provisions of POJK No. 60 of 2017. The review we conducted includes the suitability Grid of 0.55 with emissions that can be avoided are 917,950 tons of CO2eq and projects funded in Sumatra with an
of the implementation of the selection of environmentally friendly business activities (“KUBL”) projects as stated in emission factor of 0.93 with an estimated Greenhouse Gas Emissions that can be avoided are 1,054,872.96 tons of
the Green Bond Framework and POJK 60 of 2017. Although POJK No. 18 of 2023 has been issued, replacing POJK 60 of CO2eq, so the total is 1,972,822.96 tons of CO2eq. This is in accordance with the impact report on page 8.
2017, Issuers who have issued Environmentally Conscious Debt Securities before POJK 18 of 2023 comes into effect, 4. The Sustainable Natural Resources and Land Management Project with indicators of having environmental
still follow the provisions as stipulated in POJK No. 60/POJK.04/2017 concerning the Issuance and Requirements of certification according to the type of industry required for sustainable purposes, in the impact report 2 companies
Environmentally Conscious Debt Securities (Green Bonds). Distribution of funds from the issuance of Green Bond I that have ISPO and RSPO certificates have been listed.
Phase III 2024 to selected KUBL projects, and the availability of environmental impact estimates from the financed 5. Related to the calculation of the impact of social activities creating MSME jobs, namely employing an estimated
KUBL projects. The proceeds from the issuance of Green Bond I Phase III 2024 have been allocated 100% and reported 2,922 jobs spread throughout Indonesia, and the People's Business Credit Program (KUR) activities are intended
in the Green Bond Report 2024 and there are no changes to the financed projects. We only reviewed the environmental to support the development of non-bankable Micro businesses and are estimated to create more than ± 3,653
impacts contained in the Green Bond Report Phase III 2024 for the 2024 impact reporting prepared by the Team at jobs in various regions of Indonesia.
Bank BRI, based on data provided by the recipients of the Green Bond I Phase III 2024 issuance funds. 6. The impact report on the issuance of Sustainable Environmentally Conscious Bonds I Bank BRI Phase III in 2024
has shown commitment and realization of the implementation of sustainable finance in line with the United
Nation Sustainable Development Goals, especially points 7, 8, 10, 12 and 13.
Jakarta, January 30, 2025
SDGs HUB UI Coordinator SDGs HUB UI Advisor
Dr. Triatko Nurlambang, MA Prof. Dr. Jatna Supriatna, M.Sc
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ESG Data Tables Issued Securities Impact Reporting Reporting Standard Indices IDX Reporting Index Assurance Feedback Form
Appendix II
Usage of Proceeds from Issuance Environmental Benefits of Financed Projects
Proceeds Flow All Green Sector projects have positive environmental impacts, as per the indicators predefined by Bank BRI. These
indicators are obtained through a consistent identification and calculation process in accordance with established
BRI has fully allocated the proceeds from the issuance of Sustainable Green Bond I Phase III Year 2024 to finance
best practices. Projects financed through the issuance of BRI Green Bond Phase III 2024 comply with OJK Regulation
Eligible Green and Social Projects (KUBL) in accordance with POJK No. 60/POJK.04/2017. The funds were utilized
No. 60/POJK.04/2017 and contribute to the achievement of the Sustainable Development Goals ("SDGs").
for refinancing existing projects within BRI’s financing portfolio that generate both environmental and social benefits,
including: The following is a summary of environmental benefits in 2024 from projects financed by the proceeds of the issuance
of BRI Green Bond Phase III 2024.
Percentage
Project Value (IDR Financing of Palm Oil Land Investment
Green Category Project Types Allocation of
Billion) Indicators Hydropower Plant with environmentally friendly and
Proceeds
sustainable production processes
Renewable Energy Hydropower Plant 67.96% 1,712,786,881,079 Renewable Energy Generated 1,669,000 MWh and 1,134,272 MWh N.A
917,950 tons of CO2eq and
Financing Investment in Oil Palm Land Avoidable GHG Emissions N.A
Management of Biodiversity 1,054,873 tons CO2eq./year
with Environmentally Friendly and 11.96% 301,420,200,563
and Sustainable Land Use Possessing environmental
Sustainable Production Processes
certifications as required for
N.A Having ISPO or RSPO certification
Percentage sustainable purposes within the
Project Value (IDR respective industry
Social Category Project Types Allocation of
Billion)
Proceeds
Employment Generation in the MSME
MSME Support 20.09% 506,234,119,953
segment
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ESG Data Tables Issued Securities Impact Reporting Reporting Standard Indices IDX Reporting Index Assurance Feedback Form
Medium Term Notes Bank BRI Year 2022
Introduction Summary of the Framework
Since its establishment in 1895, PT Bank Rakyat Indonesia (Persero) Tbk ("Bank BRI") has been a key driver of the As stated in the Use of Proceeds section of the Information Memorandum for the Medium Term Notes Bank BRI 2022,
Indonesian economy, particularly in the micro, small, and medium-sized enterprise (MSME) segment. BRI continues the proceeds from the issuance of these securities are allocated for inclusive financing as defined in Bank Indonesia
to contribute to improving the welfare of the community by supporting government policies to ensure financial Regulation Number 23/13/PBI/2021 concerning Macroprudential Inclusive Financing Ratios for Conventional
literacy, especially financial inclusion, in order to achieve social and economic resilience. BRI's commitment to this Commercial Banks, Sharia Commercial Banks, and Sharia Business Units, as well as Regulation Number 24/3/
is reflected in its vision for 2025 to become "The Most Valuable Banking Group in Southeast Asia and Champion of PBI/2022 amending Bank Indonesia Regulation Number 23/13/PBI/2021 concerning Macroprudential Inclusive
Financial Inclusion."Providing services to communities that are not yet fully digitized, especially in the three special Financing Ratios for Conventional Commercial Banks, Sharia Commercial Banks, and Sharia Business Units, and
3T Regions (Frontier, Outermost, and Deprived), requiring special attention to enhance financial literacy, is one of the Member of the Board of Governors Regulation Number 24/6/PADG/2022 concerning the Implementation Regulation
strategies consistently pursued by BRI. for Macroprudential Inclusive Financing Ratios for Conventional Commercial Banks, Sharia Commercial Banks, and
As a manifestation of BRI's role in developing sustainable financial practices, BRI has launched financing policies Sharia Business Units, in accordance with prevailing laws and regulations. Inclusive financing refers to the provision of
considering Environmental, Social, and Governance (ESG) aspects. In order to promote financial inclusion, BRI strives funds by the bank to MSMEs, MSME Corporations, and/or MSME Cooperatives in both local and foreign currencies.
to bring financial services closer to all layers of society. BRI currently has 627 thousand BRI-Link agents spread across
more than 58 thousand villages. Reporting
With a focus on financial inclusion and new sources of growth, BRI completed the establishment of the Ultra Allocation Reporting
Micro (UMi) holding in 2021. Its aim is to provide access to financial services to micro and ultra-micro communities
in Indonesia. The ultra-micro holding was formed as an effort to provide sustainable and integrated services to all BRI reports the allocation of proceeds periodically, at least once a year, within one year after the issuance accompanied
Indonesian citizens. by a review report by external experts who are competent in their fields.
Impact Reporting
Issuance Details BRI issues periodic reports on the impact of projects/assets financed to the extent that it can be practically calculated
In 2022, BRI issued Medium Term Notes Bank BRI Year 2022 with an emission value of IDR 5 trillion in 2 (two) series, and measured practically according to the review of external experts who are competent in the field.
namely Series A and Series B and all funds were used to distribute financing to the micro and ultra-micro segments.
Currently, the MTN that still has outstanding is MTN series B of IDR 3 trillion with the following details:
Summary of Bond Transaction
Name Bank BRI Medium Term Notes Year 2022
PUB IDR 5 trillion
Series Tenor Listing Date Due Date Coupon Value Status
B 2 Years November 24, 2022 November 24, 2024 6.60% IDR 2 Trillion Mature
C 3 Years November 24, 2022 November 24, 2025 6.98% IDR 3 Trillion Eksisting
Rating idAAA (Pefindo)
Listing Indonesia Stock Exchange
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Medium Term Notes Bank BRI Year 2022
Allocation Report Alignment with
Eligible Sectors Brief Description & Impact Indicators
As of the reporting period on December 31, 2022, BRI has allocated 100% of the proceeds from the issuance of the SDGs
Medium Term Notes Bank BRI 2022. The funds obtained are designated for inclusive financing, as categorized in Creating job opportunities in the MSME segment, estimated at
Bank Indonesia Regulation Number 23/13/PBI/2021 concerning Macroprudential Inclusive Financing Ratios for 16,954 jobs spread across Indonesia
Conventional Commercial Banks, Sharia Commercial Banks, and Sharia Business Units, and Regulation Number Kupedes Distribution by Region
24/3/PBI/2022 amending Bank Indonesia Regulation Number 23/13/PBI/2021 concerning Macroprudential Inclusive Kupedes Distribution by Region
1%
Financing Ratios for Conventional Commercial Banks, Sharia Commercial Banks, and Sharia Business Units. The 10%
10%
1%
21%
proceeds amounting to IDR 5 trillion are utilized for disbursing bank financing in the micro and ultra-micro business Employee 5%
5% 21% Sumatera
segments in November 2023. As of December 31, 2024, the proceeds to be reported in the allocation report are IDR 3 Generation 7%
Sumatera
Jawa
7% Jawa
trillion in accordance with the current outstanding MTN. (Kupedes Credit) Bali, NTB, and NTT
Bali, NTB, and NTT
Kalimantan
The allocation details are as follows: Kalimantan
Sulawesi
Sulawesi
Papua
Proceeds Allocation Papua
Eligible Sectors Financing Type Percentage (%)
(IDR Billion) 56%
56%
New Financing period
Employment Generation 1,284 42.80% The KUR program is intended to support the development of
November 2022
non-bankable micro enterprises and is estimated to create
Socioeconomic advancement and New Financing period
1,716 57.20% more than 20,257 jobs in various parts of Indonesia. regions of
empowerment November 2022
Indonesia.
KUR Distribution by Region
KUR Distribution by Region
1%
Social Category Socioeconomic 12%
1%
12% 23%
advancement and 5% 23% Sumatera
1,716
empowerment 5% Sumatera
Jawa
7% Jawa
Bali, NTB, and NTT
1,284 7%
Bali, NTB, and NTT
Kalimantan
Kalimantan
Sulawesi
Sulawesi
Papua
Papua
52%
52%
Employment Generation Socioeconomic advancement
and empowerment
Conclusion
The Medium Term Notes report demonstrates the realization of BRI's commitment to enhancing sustainable financial
inclusion in Indonesia, aligning with the goals of the Government and Regulators. BRI will strengthen collaboration with
all relevant stakeholders in the allocation, utilization, and monitoring processes of the proceeds from the issuance of
Medium Term Notes to continuously meet the criteria established in applicable regulations and standards.
Impact
The issuance of Medium Term Notes is one of BRI's endeavors to realize the vision of becoming the Champion of
Based on the categories of inclusive financing stipulated in Bank Indonesia Regulation Number 23/13/PBI/2021
Financial Inclusion. BRI has also successfully attracted investor interest in the securities used for financial inclusion
concerning Macroprudential Inclusive Financing Ratios for Conventional Commercial Banks, Sharia Commercial
purposes.
Banks, and Sharia Business Units, and Bank Indonesia Regulation Number 24/3/PBI/2022 concerning Amendments
to Bank Indonesia Regulation Number 23/13/PBI/2021 concerning Macroprudential Inclusive Financing Ratios for BRI has obtained a review from external experts (SDGs-Hub University of Indonesia), stating that all proceeds from
Conventional Commercial Banks, Sharia Commercial Banks, and Sharia Business Units, the issuance of Bank BRI's this issuance are exclusively used for inclusive financing and have a positive social impact on the development of
Medium Term Notes in 2022 has social impacts based on eligible sectors, namely: community welfare.
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
ESG Data Tables Issued Securities Impact Reporting Reporting Standard Indices IDX Reporting Index Assurance Feedback Form
Appendix I
External Report Review Review results
SDGs Hub Universitas Indonesia is the External Review chosen to review the 2022 Bank BRI Medium Term Notes Based on the review that has been done, it can be concluded:
Report to ensure the suitability of the use of funds in the Information Memorandum, which includes several supporting 1. The selection of sectors for the allocation of proceeds from BRI's 2022 Medium-Term Note (MTN) issuance has
data related to the issuance of Bank BRI Medium Term Notes. External Reviewers have relevant experience and been carried out in accordance with the Information Memorandum.
diploma competencies in social and environmental activities (in attachment I). 2. The proceeds from the 2022 BRI Medium-Term Note issuance have remained fully allocated (100%) to fund the
two approved sectors without any changes.
3. The Employment Generation sector, funded at 42.80% through new financing mechanisms, requires the
Management Responsibilities calculation of its social and environmental impact. Impact assessments can adopt standard methodologies
Management's responsibility for preparing and presenting the Bank BRI Report 2024 Medium Term Notes annual such as Social Return on Investment (SROI), Poverty and Social Impact Analysis (PSIA), Comparative Analysis,
report is under the Bank BRI Medium Term Notes Memorandum Information. Cost-Benefit Analysis, or other methods in line with best practices. While this sector has already contributed to
the creation of an estimated 16,594 jobs across Indonesia within the MSME segment through Kupedes-Micro
Segment Credit, further attention is needed to assess its social impact.
External Responsibilities Review 4. The Socioeconomic Advancement and Empowerment sector (Micro KUR-Micro Segment), with 57.20%
The External Review's responsibility is to review the 2022 Bank BRI Medium Term Notes annual report and several funding allocated through new financing mechanisms, has yet to record an impact assessment. Although it has
other supporting documents according to the use or distribution of the 2022 Bank BRI Medium Term Notes (MTN) contributed to the creation of more than 20,257 jobs in various regions across Indonesia, several indicators can be
proceeds with an issuance value of IDR 5 trillion, and all proceeds are used for financing distribution to the micro and used to measure its impact, including: (a) community well-being and health, (b) education and literacy levels, (c)
ultra-micro segments. Since 1 June 2020 with POJK 30/2019, MTN issuance must be submitted to the OJK. Based social inequality in terms of income, gender, and access for marginalized groups, (d) food security, (e) community
on this, our review includes compliance with the implementation of what is written in the Information Memorandum participation, and (f) social security and justice.
provided. Funds from the issuance of the 2022 Bank BRI MTN have allocated 100% of the funds from the issuance of 5. The impact report for the Socioeconomic Advancement and Empowerment sector and the Employment
the 2022 Bank BRI Medium Term Notes, namely Series A, amounting to 2 trillion Rupiah, and Series B, amounting Generation sector has been aligned with the Sustainable Development Goals (SDGs) (as detailed in Pages 4 and
to 3 trillion Rupiah, and there are no changes to the projects financed. We only conducted a review of the social and 5 of the MTN Report).
environmental impacts contained in the annual Medium Term Notes Bank BRI Report 2024 report prepared by the
Team at Bank BRI.
Jakarta, January 27, 2025
SDGs HUB UI Coordinator SDGs HUB UI Advisor
Dr. Triatko Nurlambang, MA Prof. Dr. Jatna Supriatna, M.Sc
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Appendix II
Utilization of Proceeds from the Issuance of Bank BRI Medium Term Notes 2022 Social Benefits of Financed Projects
Proceeds Flow Based on the inclusive financing categories outlined in Bank Indonesia Regulation Number 23/13/PBI/2021 regarding
Macroprudential Inclusive Financing Ratios for Conventional Commercial Banks, Sharia Commercial Banks, and
BRI has allocated 100% of the proceeds from the issuance of Bank BRI Medium Term Notes 2022. The proceeds obtained
Sharia Business Units, and Bank Indonesia Regulation Number 24/3/PBI/2022 amending Bank Indonesia Regulation
are designated for inclusive financing as categorized in Bank Indonesia Regulation Number 23/13/PBI/2021 regarding
Number 23/13/PBI/2021 regarding Macroprudential Inclusive Financing Ratios for Conventional Commercial Banks,
Macroprudential Inclusive Financing Ratios for Conventional Commercial Banks, Sharia Commercial Banks, and
Sharia Commercial Banks, and Sharia Business Units, the issuance of Bank BRI Medium Term Notes 2022 has social
Sharia Business Units, and Bank Indonesia Regulation Number 24/3/PBI/2022 amending Bank Indonesia Regulation
impacts based on eligible sectors, namely:
Number 23/13/PBI/2021 regarding Macroprudential Inclusive Financing Ratios for Conventional Commercial Banks,
Sharia Commercial Banks, and Sharia Business Units. The proceeds of IDR5 trillion are utilized for the disbursement Sector (Eligible Category) Estimated Social/Environmental Benefits
of bank financing in the micro and ultra-micro business segments in November 2023. As of December 31, 2024, the Creating jobs in the MSME segment, estimated at 16,594 jobs distributed across
proceeds to be reported in the allocation report are IDR 3 trillion in accordance with the current outstanding MTN. Employment Generation
various regions in Indonesia.
The allocation details are as follows:
The People's Business Credit (KUR) program is intended to support the
Socioeconomic Advancement
development of non-bankable Micro businesses and is estimated to create more
and Empowerment
Proceeds than 20,257 jobs in various regions of Indonesia.
Sector (Eligible Category) Loan Type Allocation (IDR Percentage (%)
Billion)
Employment Generation New Financing for November 2022 1,284 42.80%
Socioeconomic Advancement
New Financing for November 2022 1,716 57.20%
and Empowerment
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Bank BRI Subordinated Bonds IV Year 2024
Introduction Summary of the Framework
PT Bank Rakyat Indonesia (Persero) Tbk was established in 1895 and has consistently been a key driver of Indonesia's In accordance with the designated use of funds outlined in the Prospectus for Bank BRI's Subordinated Bonds IV 2023,
economy, especially in the micro, small, and medium-sized enterprises (MSMEs) segment. BRI continues to strive to the proceeds from the issuance of these securities are entirely earmarked specifically for Inclusive Financing. This
be at the forefront of improving societal well-being by supporting government policies related to increasing financial includes financing for MSMEs, MSME Corporations, and/or Low-Income Individuals (PBR), in accordance with Bank
literacy to achieve national financial inclusion. BRI's dedication to the MSME segment is reflected in its 2025 vision to Indonesia Regulation No. 23/13/PBI/2021 regarding Macroprudential Inclusive Financing Ratios for Conventional
become "The Most Valuable Banking Group in Southeast Asia and Champion of Financial Inclusion." Commercial Banks, Sharia Commercial Banks, and Sharia Business Units.
In developing sustainable financial practices, BRI is committed to supporting the financial needs of the community Inclusive Financing refers to the provision of funds by the Bank for MSMEs, MSME Corporations, and/or Low-Income
through BRI-Link Agents spread across Indonesia, especially in the 3T regions (Frontier, Outermost, and Deprived). Individuals (PBR) in both local currency and foreign currency.
The role of BRI-Link Agents has become increasingly significant in providing access and formal financial services, with
BRI having 740 thousand agents in over 58 thousand villages as of the end of December 2024.
Reporting
To promote financial inclusion and enhance the integration of financial services for the public, BRI is developing a
hybrid bank, combining digitalization in banking while continuing to provide conventional services to bring financial Allocation Reporting
services closer to all segments of society. This strategy further strengthens the Ultra Mikro holding formed to improve BRI reports the allocation of proceeds periodically, at least once a year, within one year after the issuance by external
community access in remote Regions to sustainable and integrated banking products. experts.
Issuance Details Impact Reporting
In 2023, BRI issued Bank BRI Subordinated Bond IV Year 2023 with an issuance value of IDR 500 billion, and all proceeds BRI issues periodic reports on the impact of projects/assets financed to the extent that it can be calculated and
are used for financing distribution to the micro and ultra-micro segments. measured practically according to the review of external experts.
Summary of Bond Transaction
Name Bank BRI Subordinated Bonds IV Year 2023
PUB IDR 500 Billion
Series Tenor Listing Date Due Date Coupon Dana
A 5 Years July 6, 2023 July 6, 2028 6.45% IDR 500 Billion
Rating idAAA (Pefindo)
Listing Indonesia Stock Exchange
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Obligasi Subordinasi IV Bank BRI Tahun 2024
Allocation Report Eligible Sectors Alignment with SDGs Brief Description & Impact Indicators
As of the reporting period on December 31, 2024, BRI has allocated 100% of the proceeds from the issuance of Bank BRI Creating job opportunities in the MSME segment, estimated at
Subordinated Bonds IV, 2023. The obtained proceeds are designated for Inclusive Financing, following the provisions 2,740 jobs spread across Indonesia.
of Regulation No. 23/13/PBI/2021 on Macroprudential Inclusive Financing Ratios for Conventional Commercial Banks, Kupedes Distribution by Region Kupedes Distribution by Sector
Sharia Commercial Banks, and Sharia Business Units. The allocation details are as follows: Kupedes 1.68% by Region
Distribution 0.02% by Sector
Employee 8.53%
4.16% 20.87%
Kupedes Distribution
18.01% 28.55%
0.02%
Generation 5.92%
8.53% 1.68%
20.87%
Sumatera
18.01%
Agriculture
4.16% 28.55% Construction
Proceeds Allocation (Kupedes Credit- Java
Sumatera
Bali, NTB, and NTT
Agriculture
Fishing
Sector (Eligible Category) Loan Type Percentage (%) Micro Segment)
5.92%
Java 0.34%
Construction
Mining
(IDR Billion) Kalimantan
Bali, NTB, and NTT
Fishing
Retail Trade
Sulawesi 1.21%
0.34% Mining
Services
New Financing for Juli Kalimantan
Papua 0.14% Retail
Other Trade
Employment Generation 219.98 43.81% Sulawesi 1.21%
Services
2023 Papua 51.71% 0.14%
Other
58.85%
Socioeconomic Advancement and New Financing for Juli 51.71%
280.98 56.19% 58.85%
The KUR program is intended to support the development of
Empowerment 2023
non-bankable micro enterprises and is estimated to create
Social Category more than 3,209 jobs in various parts of Indonesia. regions of
280.98
Indonesia.
219.98
. KUR Distribution by Region KUR distribution by sector
Socioeconomic 0.6%by Region
KUR Distribution
12.7%
1.2%
KUR distribution by sector
advancement and 4.2% 12.7% 0.6%
23.1% 17.3%
1.2%
The allocation for the Social Category is 100% or IDR 500 Sumatera 31.1% Agriculture
billion. The funded projects fall under the categories of empowerment 4.2%
23.1%
Jawa
17.3%
Construction
Agriculture
Sumatera 31.1%
Employment Generation and Socioeconomic Advancement (KUR Micro-Micro 8.2% Bali, NTB, and NTT
Jawa
Fishing
Construction
and Empowerment. 8.2%
Kalimantan
Bali, NTB, and NTT
Retail Trade
Fishing
Sulawesi 0.2%
Kalimantan Services
Retail Trade
Papua 0.0%
Sulawesi 0.2% Other
Services
Papua 50.2% 0.0%
51.1% Other
Employment Generation Socioeconomic advancement 50.2%
and empowerment 51.1%
Impact
Based on the category of inclusive financing, such as financing for MSMEs, MSME Corporations, and/or Low-Income Conclusion
Individuals (PBR), in accordance with Bank Indonesia Regulation No. 23/13/PBI/2021, the issuance of Bank BRI
BRI Subordinated Bonds 2024 Report is a manifestation of BRI's commitment to enhancing sustainable financial
Subordinated Bonds IV, 2023 has social impacts aligned with eligible sectors, namely:
inclusion in Indonesia, aligning with the goals of the Government and Regulators. BRI will strengthen collaboration with
all relevant stakeholders in the allocation, utilization, and monitoring processes of the proceeds from the Subordinated
Bonds issuance, ensuring continued adherence to established criteria in regulations and applicable standards.
The issuance of Subordinated Bonds, besides fulfilling BRI's supplementary capital requirements, is also an effort by
BRI to realize its vision of becoming "The Most Valuable Banking Group in Southeast Asia & Champion of Financial
Inclusion." BRI has successfully attracted investor interest in the BRI Subordinated Bonds, evident from the
oversubscription in the book building process, reaching 1.77 times.
BRI has received a review from external experts (SDGs-Hub Universitas Indonesia), stating that the entire proceeds
from this issuance are exclusively used for inclusive financing and have positive social impacts on the development of
community welfare.
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INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
ESG Data Tables Issued Securities Impact Reporting Reporting Standard Indices IDX Reporting Index Assurance Feedback Form
Appendix I
External Report Review Review results
SDGs Hub University of Indonesia, as the External Reviewer chosen to review the 2023 Bank BRI Subordinated Bonds Based on the review that has been done, it can be concluded:
IV Report to ensure the suitability of the use of funds in the Prospectus, which includes several supporting data related 1. The selection of sectors for the allocation of proceeds from the 2024 Subordinated Bonds IV Issuance by Bank
to the issuance of 2023 Bank BRI Subordinated Bonds IV. The External Reviewer has relevant experience and diploma BRI has been carried out in accordance with the Prospectus.
competencies in social and environmental activities (attachment I). 2. The proceeds from the 2023 Subordinated Bonds IV Issuance by Bank BRI amounting to IDR 500 billion have been
fully allocated (100%) to fund the two approved sectors without any changes.
3. The Employment Generation sector, funded at 43.81% through new financing mechanisms as of July 2023,
Management Responsibilities requires social and environmental impact assessments. The calculations may adopt established methodologies
Management's responsibility for preparing and presenting the 2024 Bank BRI Subordinated Bonds IV annual report is such as Social Return on Investment (SROI), Poverty and Social Impact Analysis (PSIA), Comparative Analysis,
in accordance with the Bank BRI Subordination IV Bond Prospectus. or Cost-Benefit Analysis, among other recognized methods. While this sector has contributed to the creation of
an estimated 2,740 jobs across Indonesia—with the highest allocation through Kupedes in Java and the lowest
in Papua—further attention is needed to evaluate the social impacts of this subordinated bond utilization as
External Responsibilities Review perceived by beneficiaries.
The responsibility of the External Review is to review the annual report of the 2023 Bank BRI Subordinated Bonds IV 4. The Socioeconomic advancement and empowerment sector (Micro KUR-Micro Segment) with a new financing
Report and several other supporting documents according to the funds obtained, which are intended for inclusive mechanism for the July 2023 period of 43.81% with the largest amount of KUR financing in Java and the smallest
financing. Inclusive financing refers to provisions Number 23/13/PBI/2021 concerning Macroprudential Inclusive in Papua. The largest KUR sector is for Retail Trade, and the second largest is for Agriculture.
Financing Ratios for Conventional General Banks, Sharia Commercial Banks, and Sharia Business Units. Inclusive 5. There is no record of impact calculation, although it has created more than 3209 jobs in various regions in
financing is the provision of funds provided by the Bank for MSMEs, MSME Corporations, and/or PBR in Rupiah and Indonesia. There are several things that can be used as indicators such as: (a) Public welfare and health, (b)
Foreign Currency. Our review includes compliance with the implementation as written in the Prospectus. Funds from education and literacy levels, (c) levels of social inequality in terms of income, gender, and access for marginalized
the issuance of BRI have allocated 100% of the proceeds from the issuance of 2023 Bank BRI Subordinated Bonds IV, groups, (d) food security, (e) community participation, (f) security, and social justice.
and there are no changes to the projects financed. We only reviewed the social and environmental impacts in the 2024 6. The impact report for the Socioeconomic advancement and empowerment & Employment Generation sector
Bank BRI Subordinated Bonds IV annual report prepared by the Team at Bank BRI. has been aligned with the Sustainable Development Goals (SDGs) (Page 4 and 5).
Jakarta, January 27, 2025
SDGs HUB UI Coordinator SDGs HUB UI Advisor
Dr. Triatko Nurlambang, MA Prof. Dr. Jatna Supriatna, M.Sc
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ESG Data Tables Issued Securities Impact Reporting Reporting Standard Indices IDX Reporting Index Assurance Feedback Form
Appendix II
Usage of Proceeds from the Issuance of Bank BRI Subordinated Bonds 2023 Social Benefits of Financed Projects
Proceeds Flow Based on inclusive financing categories such as financing for MSMEs, MSME Corporations, and/or Low-Income
Individuals (PBR) according to Bank Indonesia Regulation No. 23/13/PBI/2021, the issuance of Subordinated Bonds IV
BRI has allocated 100% of the proceeds from the issuance of Subordinated Bonds IV Bank BRI 2023. The proceeds
Bank BRI 2023 has corresponding social impacts based on eligible sectors:
obtained are designated for inclusive financing in accordance with the provisions of Regulation Number 23/13/
PBI/2021 regarding Macroprudential Inclusive Financing Ratios for Conventional Commercial Banks, Sharia
Commercial Banks, and Sharia Business Units. Inclusive financing involves providing proceeds by the Bank for MSMEs,
MSME Corporations, and/or Low-Income Individuals in both Rupiah and Foreign Currency. The detailed allocation is Sector (Eligible Category) Estimated Social/Environmental Benefits
as follow:
Creating jobs in the MSME segment, estimated at 2,740 jobs distributed across
Employment Generation
various regions in Indonesia.
Proceeds
The People's Business Credit (KUR) program is intended to support the
Sector (Eligible Category) Loan Type Allocation (IDR Percentage (%) Socioeconomic Advancement
development of non-bankable Micro businesses and is estimated to create more
Billion) and Empowerment
than 3,209 jobs in various regions of Indonesia
Employment Generation New Financing for Juli 2023 219.98 43.81%
Socioeconomic Advancement
New Financing for Juli 2023 280.98 56.19%
and Empowerment
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Reporting Standard Indices
GRI Standard 2021 Index
Statement of use : PT Bank Rakyat Indonesia (Persero) Tbk has reported in accordance with the GRI Standards for the period 1 January to 31 December 2024.
GRI 1 used : GRI 1: Landasan 2021
Applicable GRI Sector Standard(s) : GRI G4 Jasa Keuangan
Omission
Gri Sector Standard Ref.
GRI Standard Disclosure Location
Requirement(S) No.
Reason Explanation
Omitted
General Disclosures
GRI 2: General Disclosures 2-1 Organizational details 9-13
2021
2-2 Entities Included in the Sustainability Reporting 4
2-3 Reporting Period, Frequency, and Contact Point 4
2-4 Restatements of Information 4
2-5 External Assurance 4
2-6 Activities, Value Chain, and Other Business Relationships 11-13, 148, 201
2-7 Workforce 123, 188-192
2-8 Workers Who Are Not Direct Employees 122
2-9 Governance Structure and Composition 14, 94-98
2-10 Nomination and Selection of the Highest Governance 99-100
2-11 Chair of the Highest Governance 94-98
Role of the Highest Governance in Overseeing Impact
2-12 14, 20, 30, 85, 108, 141, 158
Management
2-13 Delegation of Responsibility for Impact Management 14, 102
2-14 Role of the Highest Governance in Sustainability Reporting 4, 9-10, 14, 102
2-15 Conflict of Interest 99-100
2-16 Communication of Critical Concerns 102-106
2-17 Collective Knowledge of the Highest Governance 101
2-18 Evaluation of the Highest Governance’s Performance 113-114, 116
2-19 Remuneration Policy 100, 113
2-20 Process for Determining Remuneration 100, 113, 125
2-21 Annual Total Compensation Ratio 113, 125, 194
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Omission
Gri Sector Standard Ref.
GRI Standard Disclosure Location
Requirement(S) No.
Reason Explanation
Omitted
2-22 Statement on Sustainable Development Strategy 5-8, 108, 158
2-23 Policy Commitments 108-111, 123, 146-148
2-24 Embedding Policy Commitments 14, 63, 127-128, 146-151
2-25 Processes to Address Negative Impacts 137, 152
2-26 Mechanisms for Seeking Advice and Raising Concerns 102, 128, 134, 152,
2-27 Compliance with Laws and Regulations 147, 152
2-28 Membership in Associations 154
2-29 Approach to Stakeholder Engagement 20-21, 152
2-30 Collective Bargaining Agreements 122-123, 193
GRI 3: Material Topics 2021 3-1 Process for determining material topics 20-24
3-2 List of material topics 24
3-3 Management of material topic 24-25
Material Topics
Economic Performance
GRI 3: Material Topics 2021 3-3 Process for determining material topics 29
GRI 201: Economic 201-1 Direct economic value generated and distributed 170-171
Performance 2016
Financial implications and other risks and opportunities due to
201-2 17, 29, 31, 45
climate change
201-3 Defined benefit plan obligations and other retirement plans 131
201-4 Financial assistance received from government 17
Market Presence 17
GRI 3: Material Topics 2021 3-3 Management of material topics 125
GRI 202: Market Presence Ratios of standard entry level wage by gender compared to local
202-1 125, 193
2016 minimum wage
Proportion of senior management hired from the local
202-2 100%
community
Anti-corruption
GRI 3: Material Topics 2021 3-3 Management of material topics 151
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Omission
Gri Sector Standard Ref.
GRI Standard Disclosure Location
Requirement(S) No.
Reason Explanation
Omitted
GRI 205: Anti-corruption 205-1 Operations assessed for risks related to corruption 150, 152
2016
Communication and training about anti-corruption policies and
205-2 148, 150
procedures
205-3 Confirmed incidents of corruption and actions taken 147, 151, 199-200
Anti-competitive Behavior
GRI 3: Material Topics 2021 3-3 Management of material topics 146
GRI 206: Anti-competitive Legal actions for anti-competitive behavior, anti-trust, and
206-1 146-147
Behavior 2016 monopoly practices
Tax
GRI 3: Material Topics 2021 3-3 Management of material topics 153
GRI 207: Tax 2019 207-1 Approach to tax 153
207-2 Tax governance, control, and risk management 153
207-3 Stakeholder engagement and management of concerns related to tax 153
207-4 Country-by-country reporting 172
Energy
GRI 3: Material Topics 2021 3-3 Management of material topics 120
GRI 302: Energy 2016 302-1 Energy consumption within the organization 120, 204
302-2 Energy consumption outside of the organization 120
302-3 Energy intensity 120, 204
302-4 Reduction of energy consumption 120, 204
302-5 Reductions in energy requirements of products and services 120
Emissions
GRI 3: Material Topics 2021 3-3 Management of material topics 51
GRI 305: Emissions 2016 305-1 Direct (Scope 1) GHG emissions 51, 204-205
305-2 Energy indirect (Scope 2) GHG emissions 51, 204-205
305-3 Other indirect (Scope 3) GHG emissions 51, 179, 204-205
305-4 GHG emissions intensity 51, 204
305-5 Reduction of GHG emissions 379
305-6 Emissions of ozone-depleting substances (ODS) 51
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Omission
Gri Sector Standard Ref.
GRI Standard Disclosure Location
Requirement(S) No.
Reason Explanation
Omitted
Nitrogen oxides (NOx), sulfur oxides (SOx), and other significant
305-7 51
air emissions
Waste
GRI 3: Material Topics 2021 3-3 Management of material topics 119
GRI 306: Waste 2020 306-1 Waste generation and significant waste-related impacts 119
306-2 Management of significant waste-related impacts 119
306-3 Waste generated 378
306-4 Waste diverted from disposal 205
306-5 Waste directed to disposal 205
Employment
GRI 3: Material Topics 2021 3-3 Management of material topics 125
GRI 401: Employment 2016 401-1 New employee hires and employee turnover 192, 196
Benefits provided to full-time employees that are not provided to
401-2 125, 131
temporary or part-time employees
401-3 Parental leave 197
Occupational Health and Safety
GRI 3: Material Topics 2021 3-3 Management of material topics 128
GRI 404: Training and 403-1 Occupational health and safety management system 128
Education 2016
403-2 Hazard identification, risk assessment, and incident investigation 129
403-3 Occupational health services 131
Worker participation, consultation, and communication on
403-4 129
occupational health and safety
403-5 Worker training on occupational health and safety 129
403-6 Promotion of worker health 131
Prevention and mitigation of occupational health and safety
403-7 131
impacts directly linked by business relationships
Workers covered by an occupational health and safety
403-8 131
management system
403-9 Work-related injuries 161
403-10 Work-related ill health 161
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Omission
Gri Sector Standard Ref.
GRI Standard Disclosure Location
Requirement(S) No.
Reason Explanation
Omitted
Training and education
GRI 3: Material Topics 2021 3-3 Management of material topics 122
GRI 404: Training and
404-1 Average hours of training per year per employee 194
Education 2016
Programs for upgrading employee skills and transition assistance
404-2 126-127
programs
Percentage of employees receiving regular performance and
404-3 122
career development reviews
Diversity and equal opportunity
GRI 3: Material Topics 2021 3-3 Management of material topics 100
GRI 405: Diversity and Equal 405-1 Diversity of governance bodies and employees 100, 188-192
Opportunity 2016
405-2 Ratio of basic salary and remuneration of women to men 125, 193
Non-discrimination
GRI 3: Material Topics 2021 3-3 Management of material topics 122
GRI 406: Nondiskriminasi
406-1 Incidents of discrimination and corrective actions taken 134
2016
Freedom of association and collective bargaining
GRI 3: Material Topics 2021 3-3 Management of material topics 122
GRI 407: Freedom of
Operations and suppliers in which the right to freedom of
Association and Collective 407-1 122, 147
association and collective bargaining may be at risk
Bargaining 2016
Child labor 122, 147
GRI 3: Material Topics 2021 3-3 Management of material topics 133
Operations and suppliers at significant risk for incidents of child
GRI 408: Child Labor 2016 408-1 133-134, 148
labor
Forced or compulsory labor
GRI 3: Material Topics 2021 3-3 Management of material topics 134
GRI 409: Forced or Operations and suppliers at significant risk for incidents of forced
409-1 134
Compulsory Labor 2016 or compulsory labor
Local communities
GRI 3: Material Topics 2021 3-3 Management of material topics 70, 136-137
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Omission
Gri Sector Standard Ref.
GRI Standard Disclosure Location
Requirement(S) No.
Reason Explanation
Omitted
GRI 413: Local Communities Operations with local community engagement, impact
413-1 136-137
2016 assessments, and development programs
Operations with significant actual and potential negative impacts
413-2
on local communities
Public policy
GRI 3: Material Topics 2021 3-3 Management of material topics 146
GRI 415: Public Policy 2016 415-1 Political contributions 150-151, 200
Marketing and labeling
GRI 3: Material Topics 2021 3-3 Management of material topics 61
GRI 417: Marketing and 417-1 Requirements for product and service information and labeling 61
Labeling 2016
Incidents of non-compliance concerning product and service
417-2 63
information and labeling
Incidents of non-compliance concerning marketing
417-3 63
communications
Customer privacy
GRI 3: Material Topics 2021 3-3 Management of material topics 85
GRI 418: Customer Privacy Substantiated complaints concerning breaches of customer
418-1 91, 187
2016 privacy and losses of customer data
GRI G4 Financial Sector Index
Omission
GRI Sector Standard Ref.
GRI Standard Disclosure Location
Requirement(S) No.
Reason Explanation
Omitted
Policies with specific environmental and social components
FS1
applied to business lines 16, 47, 61, 148, 155
Procedures for assessing and screening environmental and
FS2
social risks in business lines 47
Processes for monitoring client implementation and
FS3 compliance with environmental and social requirements
included in agreements or transactions 47
Processes for improving staff competency to implement
FS4 environmental and social policies and procedures as applied to
lines of business 127-28, 158
Interactions with clients/investments/business partners
FS5
regarding environmental and social risks and opportunities 20, 148
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Omission
GRI Sector Standard Ref.
GRI Standard Disclosure Location
Requirement(S) No.
Reason Explanation
Omitted
Portfolio percentage for business lines by specific area size (eg
FS6
micro/SME/large) and by sector 172-176
The monetary value of products and services designed to
FS7 provide specific social benefits for each line of business broken
down by purpose or objective 55, 73 - 80
The monetary value of products and services designed
FS8 to provide specific environmental benefits for each line of
business broken down by purpose or objective 55-56, 177-179
Scope and frequency of audits to assess implementation
FS9 of environmental and social policies and risk assessment
procedures 47
Percentage and number of companies held in the portfolio of
FS10 institutions with which the reporting organization interacts on
environmental or social issues 177 - 178
Percentage of assets that are subject to positive and negative
FS11
environmental social issues 177 - 178
A voting policy on where environmental or social issues are
FS12 shared where the reporting organization has the right to vote
to share or receive suggestions on voting 14
Access points in low-populated or economically disadvantaged
FS13
areas by type 75-80
Initiatives to improve access to financial services for
FS14
disadvantaged people 75, 180-184
Policies for the fair design and sale of financial products and
FS15
services 70, 76
FS16 Initiatives to improve financial literacy by type or beneficiary 70, 79
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SEOJK No 16 Tahun 2021 Index
Index Number Disclosure Page
A. Sustainability Strategy
A.1 Descriptions of Sustainability Strategy 15, 108
B. Ikhtisar Kinerja Aspek Keberlanjutan
B.1 Economic Aspects, contains at least: 18
B.1.a Quantity of production or services sold; 18, 172-176
B.1.b Revenue or sales; 17
B.1.c Net profit or loss; 17
B.1.d Environmentally friendly products; and 55
B.1.e Local engagement related to Sustainable Finance business processes. 18
B.2 Environmental Aspects, at least contains: 18
B.2.a Energy use 18
B.2.a Reduction of emissions produced 18
B.2.a Waste and effluent reduction 18
B.2.a Biodiversity conservation 18
B.3 Social Aspects 18
C. Company Profile
C.1 Vision, Mission and Sustainability Values 15, 108
C.2 Company Address 11
C.3 Scale of Business, containing at least: 11
C.3.a total assets or capitalization of assets and total liabilities; 11
C.3.a number of employees by
C.3.a.1 gender 123, 188
C.3.a.2 job title 123, 188
C.3.a.3 age 123, 188
C.3.a.4 education 123, 188
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C.3.a.5 employment status 123, 188
C.3.a name of shareholders and percentage of share ownership 11
C.3.a operational area. 11
C.4 Products, Services, and Business Activities Performed 12
C.5 Membership in Associations 154
C.6 Significant Changes in Issuers and Public Companies 17
D. Explanation of Board of Directors
D.1 Explanation of Board of Directors 7-8
D.1.a Policies to respond to challenges in the fulfillment of the sustainability strategy 7
D.1.a Implementation of Sustainable Finance 8
D.1.a Target achievement strategy 8
E. Sustainability Governance
E.1 Person in Charge of Sustainable Finance Implementation 16, 29-30, 155
E.2 Competency Development Related to Sustainable Finance 41, 101, 127
E.3 Risk Assessment of Sustainable Finance Implementation 31, 93
E.4 Relationship with Stakeholders 20, 41.
E.5 Issues on Implementation of Sustainable Finance 31, 158
F. Sustainability Performance
F.1 Activities to Build a Culture of Sustainability 63, 111,127-128
F.2 Comparison of Target and Performance of Production, Portfolio, Financing Target, or Investment, Revenue and Profit and Loss 170
F.3 Comparison of Target and Performance of Portfolio, Financing Target, or Investment in Financial Instruments or Projects Aligned with Sustainable Finance 55, 177-179
F.4 Environmental Costs 18, 202
F.5 Use of Environmentally Friendly Materials 119 - 121, 205
F.6 Amount and Intensity of Energy Used 18, 120, 204
F.7 Efforts and Achievements in Energy Efficiency and Use of Renewable Energy 120
F.8 Water Usage 121, 205
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F.9 Impact of Operational Areas Near or in Conservation or Biodiversity Areas 47
F.10 Biodiversity Conservation Efforts 47, 137, 179
F.11 Amount and Intensity of Emissions Generated by Type 18, 119-120, 206-207
F.12 Emission Reduction Efforts and Achievements Made 18, 119-121, 207
F.13 Amount of Waste and Effluent Generated by Type 18, 119, 205
F.14 Waste and Effluent Management Mechanism 119
F.15 Spills Occurred (if any) 119, 205
F.16 Number and Materials of Environmental Complaints Received and Resolved. 119
F.17 Commitment to Provide Equal Service for Products and/or Services to Consumers 59 - 63
F.18 Equal Employment Opportunity 93, 122-126
F.19 Child Labor and Forced Labor 133-135, 148, 167
F.20 Regional Minimum Wage 125
F.21 Decent and Safe Working Environment 128, 130
F.22 Employee Training and Skill Development 126, 194
F.23 Impact of Operations on the Surrounding Community 18, 48, 77, 135-137
F.24 Community Complaints 137, 152, 186-187
F.25 Environmental Social Responsibility (CSR) Activities 135-140, 202
F.26 Innovation and Development of Sustainable Finance Products/Services 48, 55-57, 61, 73-75
F.27 Products/Services that have been Evaluated for Customer Safety 61-64
F.28 Product/Service Impact 18,64,77
F.29 Number of Products Recalled 61
F.30 Customer Satisfaction Survey on Sustainable Financial Products and/or Services 18, 186
G. Others:
G.1 Written Verification from Independent Party (if any) 4, 247-252
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G.2 Feedback Sheet 253
G.3 Response to Feedback on Previous Year's Sustainability Report 20
G.4 List of Disclosures in accordance with Financial Services Authority Regulation Number 51/POJK.03/2017 239-242
Sustainability Accounting Standard Board (SASB) References
Index Number Disclosure Page
Data Security
FN-CB-230a.1. (1) Number of data breaches, (2) percentage that are personal data breaches, (3) number of account holders affected 91
FN-CB-230a.2. Description of approach to identifying and addressing data security risks 85
Financial Inclusion & Capacity Building
FN-CB-240a.1. (1) Number and (2) amount of loans outstanding that qualify for programmes designed to promote small business and community development 74, 176
((1) Number and (2) amount of past due and nonaccrual loans or loans subject to forbearance that qualify for programmes designed to promote
FN-CB-240a.2. 74, 176
small business and community development
FN-CB-240a.3 Number of no-cost retail checking accounts provided to previously unbanked or underbanked customers 73
FN-CB-240a.4. Number of participants in financial literacy initiatives for unbanked, underbanked, or underserved customers 76 - 77
Incorporation of Environmental, Social, and Governance Factors in Credit Analysis
FN-CB-410a.2 Description of approach to incorporation of environmental, social and governance (ESG) factors in credit analysis 32, 45, 47, 133,
Financed Emissions
FN-CB-410b.1 Absolute gross financed emissions, disaggregated by (1) Scope 1, (2) Scope 2 and (3) Scope 3 53-54, 206
FN-CB-410b.2. Gross exposure for each industry by asset class 53, 207
FN-CB-410b.3 Percentage of gross exposure included in the financed emissions calculation 54, 207
FN-CB-410b.4 Description of the methodology used to calculate financed emissions 51-52
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Index Number Disclosure Page
Business Ethics
Total amount of monetary losses as a result of legal proceedings associated with fraud, insider trading, antitrust, anti-competitive behaviour, market manipulation, malpractice, or other
FN-CB-510a.1 147
related financial industry laws or regulations
FN-CB-510a.2 Description of whistleblower policies and procedures 152
Systemic Risk Management
FN-CB-550a.1 Global Systemically Important Bank (G-SIB) score, by category 171
FN-CB-550a.2 Description of approach to integrate results of mandatory and voluntary stress tests into capital adequacy planning, long-term corporate strategy, and other business activities 35-36, 40-41, 143
Sustainable Banking Assessment (SUSBA) References
Indicator Disclosure Page
Sustainability strategy and stakeholder engagement 14, 20-26
Objective
Participation in sustainable finance initiatives 28-57
Public statements about ESG 5-7, 92-117
Policies Public statements on specific sectors 45-48
Responsibility for climate-related risks 45-48
ESG risk assessment and transaction approval 45
Processes Client oversight and engagement 45
Monitoring process 45-48
Responsibilities towards ESG 20-22, 92-117
Communities
Environmental & social staff training, and performance evaluation 127-28, 158
ESG integration in products and services 45-48
Products
ESG risk assessment and mitigation at portfolio level 45-48
Portofolio Disclosure of ESG risk exposure and targets 41-57, 108-110
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Task Force on Climate-related Financial Disclosures References
Topic Disclosure Focus BRI Response Page
Governance
(a) Board’s oversight of climate related risks Process and frequency of information Overview of Governance 29-30
Influence on business planning and goals Overview of Governance 29-30
How the board assesses progress against goals Overview of Governance 29-30
(b) Management’s role in assessing and managing climate-related risks Responsibilities for climate-related risks Overview of Governance 29,30
Description of organization structure Overview of Governance 29-30
Process of communication Overview of Governance 29-30
Process for monitoring Overview of Governance 29-30
Strategy
(a) Near, medium and long-term climate- related risks Climate Change Poses Risks but Also
Description of time horizons 31
Specific risks that could be material for each time horizon Creates Opportunities
BRI Approach in Analyzing Climate Change
Specific risks that could be material for each time horizon 32
Scenarios
Process to determine material risks Evaluation of Sector Materiality 33
(b) Impact on business, strategy and planning Choice of Climate Scenario Analysis &
Impact on business and strategy 38
Climate Related Material Issues
Strategi BRI dalam Mengelola Risiko Iklim
Impact on financial planning, timing and prioritization 41
Melalui Penerapan Sustainable Finance
How risks are integrated into current decision-making and strategy Strategi BRI dalam Mengelola Risiko Iklim
41
formulation Melalui Penerapan Sustainable Finance
BRI's Strategy for Managing Climate Risk
Describe climate-related strategies 41
through Implementing Sustainable Finance
(c) Resilience of strategy using 2-degree or lower scenarios Climate Risk Stress Test Result 40
Risk Management
(a) Process to assess climate-related risks Risk management process Credit Approval Procedure 45
Existing and emerging regulatory requirements Sub Sector Financing Policy 47
Operational Risk Management Process -
Process for assessing size and scope of risk 49
Related to Climate Change
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Topic Disclosure Focus BRI Response Page
Adaptation to Physical Risks of Climate
(b) Process to manage climate-related risks 50
Change
Adaptation to Physical Risks of Climate
(c) Integration of risk process into overall risk management 50
Change
Metrics and Targets
(a) Metrics used to assess climate-related risks BRI Achievement 53 - 54
(b) Scope 1 and Scope 2 emissions BRI Achievement 53 - 54
(c) Describe targets used BRI Achievement 53 - 54, 206
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IDX Reporting Indices
S-01 Gender Equality
Male Female
Management Level
Number of employees Percentage of employees (%) Number of employees Percentage of employees (%)
Entry-Level 44,750 92.98% 32,576 67.68%
Mid-Level 1,968 4.09% 747 1.55%
Senior-Level 1,315 2.73% 367 0.76%
Executive-Level * 98 0.20% 27 0.06%
Total Employees 48,131 100% 33,717 100%
*)including Directors-level officials
S-02 Number of employee levels held by men
and women by age group Entry-Level Mid-Level Senior-Level Executive-Level*
Age range Total
(years) Employees
Male Female Male Female Male Female Male Female
18-25 3.737 8.171 11.908
25-35 20.374 12.916 1008 482 76 11 34.867
35-45 16.751 8.981 712 214 873 252 21 8 27.812
45-55 3.861 2.483 246 49 352 104 75 19 7.189
>55 27 25 2 2 14 2 72
*)including Directors-level officials
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Assurance
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Sustainability Report 2024 PT Bank Rakyat Indonesia (Persero) Tbk. 251
INTRODUCTION MATERIAL TOPIC GENERAL TOPIC APPENDICES
ESG Data Tables Issued Securities Impact Reporting Reporting Standard Indices IDX Reporting Index Assurance Feedback Form
Feedback Form
The 2024 Sustainability Report of PT Bank Rakyat Indonesia (Persero) Tbk provides an overview of financial performance and sustainability. The Company did not record any feedback to the previous year's Sustainability Report.
1. This report is easy to understand
Disagree Neutral Agree
2. This report describes information on the Company's material aspects, both from the positive and negative sides.
Disagree Neutral Agree
3. Please Rating the importance of the following material topics:
((Score 1=highest priority to 7=least priority)
• Financial Inclusion and Digitalization ()
• Sustainability Governance ()
• Data Security and Privacy ()
• Responsible Investments and Financing ()
• Emission and Climate Change Management ()
• Human Resources and Human Rights Management ()
• Community Relations ()
4. Please provide your suggestions/comments on this report.
Full Name
Occupation
Name of Institution/Company
Stakeholder Category
Investor Customer Employee Community Government Other
Please send the feedback form back to
Hendy Bernadi
Head of Corporate Secretariat Division
BRI I Building
Jl. Jenderal Sudirman No. 44-46
Jakarta 10210, Indonesia
Phone : +6221 575 1966
Facsimile : +6221 570 0916
*In previous reports, BRI noted that no input was received, leading to the absence of follow-up actions [G.3]
Names mentioned 40 people and organisations named in the text · linked when the evidence is strong
unresolved
org
Financial Services Authority
p.4 ×6
unresolved
org
Bank BRI (Persero) Tbk
p.4 ×2
unresolved
org
Indonesia (Persero) Tbk
p.7 ×2
unresolved
org
Government of the Republic of Indonesia
p.11 ×2
unresolved
org
BRI Global Financial Services Ltd
p.12
unresolved
org
PT Asuransi BRI Life
p.12 ×2
unresolved
org
PT BRI Multifinance Indonesia
p.12
unresolved
org
PT BRI Danareksa
p.12
unresolved
org
PT BRI Ventura Investama
p.12
unresolved
org
PT BRI Asuransi Indonesia
p.12
unresolved
org
PT KB C
p.12
unresolved
org
PT Permodalan Nasional Madani Sekuri
p.12
unresolved
org
PT BRI V
p.12
unresolved
org
PT BRI Manajemen Investasi
p.12
unresolved
org
PT Bank Rakyat Governance
p.14
unresolved
person
Chairperson
· Director
p.14
unresolved
person
Permanent
· Director
p.14 ×3
unresolved
person
Sustainalytics
· Member
p.19
unresolved
org
Ministry of Environment and Forestry
p.48
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