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Page 1
2023
INTEGRATED
ANNUAL REPORT
PT BFI Finance Indonesia Tbk
Page 2
ii   PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 3
                    COVER STORY
                    Spiral staircases have been an eye-pleasing feature of architecture for more than two millennia.
                    They are found in ancient castles, temples, and towers, all the way to lighthouses that still
                    stand to this day alongside modern buildings across the globe. Many ancient philosophers
                    had contemplated upon the reason behind the enchanting aesthetic of the spiral structure, a
                    pattern that also abounds in nature—from sunflower blossoms to nautilus shells.

                    Upon centuries of study and tinkering through multi-disciplinary application, the reason
                    for this elegance became formalized in the Renaissance, with the introduction of the term
                    “the divine proportion” by an Italian mathematician. That proportion, more popularly known
                    now as the “golden ratio”, is defined as a ratio between two numbers—lengths—that when
                    represented visually creates a sensation of elegance and orderliness that, seemingly, came out
                    of nowhere but strikes our eyes as a marvel. Even as the spiral grows, the ratio between each
                    successive pair of lengths remains the same.

                    It took another half millennium for humanity, enabled by scientific strides, to see for itself that
                    this notion of beauty is inherent not just in nature. It is also within us all. The golden ratio is
                    embedded in our DNA: dividing the length of one full double-helix structure of our DNA by its
                    width produces this very ratio.

                    With further exploration we learnt why nature persistently prefers such a particular
                    proportion. Spiral structures that arise from the golden ratio are not objects of mere
                    beauty. They also provide a structural integrity and stability to the building through an even
                    distribution of weight. These staircases are also an embodiment of efficiency, making use of
                    the least amount of space to achieve an optimum vertical ascent.

                    Just as the idea of beauty is encoded in our genetics, the idea of progress is also inherent to
                    BFI Finance’s corporate DNA. Just as one climbs the spiral staircase to reach the apex of the
                    tower, we ascend along circular paths, adapting and innovating with each business cycle that
                    we experience. Constantly reinventing as we progress, we become more resilient and agile.
                    We get better at what we do. Our journey continues.




                    DISCLAIMER
                    PT BFI Finance Indonesia Tbk (BFI Finance or the Company) has ensured the accuracy of the information contained in this Integrated
                    Annual Report. However, the Company does not guarantee the appropriateness, accuracy, usefulness or any other matter regarding
                    this information. This Integrated Annual Report contains some forward-looking statements about the Company’s future expectations,
                    plans, and strategies that are not historical facts. They are based on current expectations, estimates, forecasts, and projections about
                    the business and environment in which the Company operates and beliefs and assumptions made by management. As these
                    expectations, estimates, forecasts, and projections are subject to a number of risks, uncertainties, and assumptions, actual results
                    may differ materially from those projected. The Company, therefore, cautions readers not to place undue reliance on forward-looking
                    statements. The Company undertakes no obligation to update any forward-looking statements as a result of new information, future
                    events or other developments. Any reliance placed on the Integrated Annual Report and Financial Statements is done entirely at
                    the risk of the person placing such reliance. Additionally, numbers represented throughout this Integrated Annual Report have
                    been rounded up to the closest million or billion rupiah, and as such, there may be discrepancies in percentage change calculations
                    compared to when calculated using full figures from the Annual Financial Statements.


2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                                   1
Page 4
    TABLE OF CONTENTS

    1         Cover Story                   44   Responsibility of                  83      Senior Management
                                                 Integrated Annual Report                   Profiles

              ABOUT THIS REPORT             44   • Statement of the Board           86      Corporate Structure
                                                   of Commissioners on
                                                   the Responsibility for the       87      Subsidiaries and
    4         Continuous Reinvention
                                                   2023 Integrated Annual                   Associated Entities
    5         Theme Continuity                     Report of PT BFI Finance         92      Share Ownership
    6         Introduction to Integrated           Indonesia Tbk                            Composition
              Reporting                     45   • Statement of the Board           94      Controlling Shareholder
    8         Summary of Integrated                of Directors on the                      Profile
              Annual Report 2023                   Responsibility for the
                                                   2023 Integrated Annual           94      Ultimate Beneficial
    10        Summary of 2023                      Report of PT BFI Finance                 Owners
              Sustainable Performance              Indonesia Tbk
                                                                                    95      Chronological Listing of
    12        2023 Key Highlights                                                           Shares and Changes in
                                                                                            Number of Shares
                                             03 COMPANY PROFILE                     98      Chronological Listing of
         01   2023 PERFORMANCE HIGHLIGHTS   48   General Company                            Other Securities
                                                 Information                        100     Public Accountant
    16        Key Financial Highlights
                                            50   Company Vision and                         Services
    18        Share Highlights                   Mission                            101     Capital Market Supporting
    19        • Comparison between          51   Sustainability Vision and                  Institutions and
                Share Price Performance          Mission                                    Professions
                of BFI Finance (BFIN)
                and the Composite           52   Brief Company History
                Share Price Index (IHSG)
                in 2023                     54   Milestones                           04 BUSINESS SUPPORTING UNITS
    19                                      56   Core Values and Corporate          104     Information Technology
              • Corporate Action
                                                 Culture
    19        • Suspension and/or                                                   107     Network and Operational
                                            58   Corporate Identity                         Development
                Delisting
                                            59   Line of Business                   110     Customer Service
    20        • Structure of
                Shareholders                62   Map and Operational
                                                 Network
                                                                                            MANAGEMENT DISCUSSION
                                                                                      05 AND ANALYSIS
    21        • Dividend Payment
                History                     64   Organization Structure
    22        Bonds Highlights              66   Workforce Profile                  116     Industry Overview
    23        Important Events in 2023      68   Board of Commissioners             120     Business Review
                                                 Profiles
    28        Awards and Recognition                                                128     Marketing
                                            73   Board of Directors Profiles
                                                                                    132     Financial Performance

        02 REPORTS TO STAKEHOLDERS
                                            77   Sharia Supervisory Board                   Review
                                                 Profiles
                                                                                    132     • Consolidated Statement
                                            79   Committees of the Board                      of Financial Position
    32        Report of the Board of
                                                 of Commissioners Profiles
              Commissioners
                                                                                    148     • Consolidated
                                            79   • Audit Committee                            Statement of Profit
    38        Report of the Board of
              Directors                     80   • Risk Oversight                             or Loss and Other
                                                   Committee                                  Comprehensive Income

                                            82                                      154     • Consolidated Statement
                                                 • Nomination and
                                                   Remuneration                               of Cash Flows
                                                   Committee




2                                                                 PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 5
                                                                                      07 SUSTAINABILITY
    155     Analysis of Key Ratios             207     Sharia Supervisory Board
    158     Comparison of                      210     Audit Committee
            Achievements Against                                                     260   Sustainability Strategy
            Targets in 2023                    215     Risk Oversight Committee
                                                                                     263   Human Capital
    159     Capital Structure (Capital         218     Nomination and
            Adequacy)                                  Remuneration Committee        270   Environmental
                                                                                           Performance
    159     Material Capital                   222     Corporate Secretary
            Expenditures                                                             273   Social Performance
                                               224     Internal Audit
    160     Events After Reporting                                                   281   Responsibility for
                                               229     Internal Control System
            Period                                                                         Sustainable Product/
                                               231     Risk Management                     Service Development
    160     Dividends
                                               237     Legal Cases
    161     Use of Public Offering
            Funds                              237     Administrative Sanctions       08 SUPPORTING DATA
    161     Material Investment,               238     Access to Information and     284   Addresses of Outlets
            Divestment, Merger &                       Communication
            Acquisition, and Debt or                                                 300   Glossary
                                               243     Investor Relations
            Capital Restructuring
                                               244     Compliance
                                                                                      09 ANNUAL FINANCIAL STATEMENTS
    161     Transactions with
            Potential Conflicts of             244     • Anti-Money Laundering,
            Interest and Related                         Combating the
            Parties                                                                  306   Consolidated Financial
                                                         Financing of Terrorism,
                                                                                           Statements for the Year
    162     Impact from Regulatory                       and Counter Proliferation
                                                                                           Ended 31 December 2023
            Changes on the Company                       Financing of Weapons of
                                                                                           and Independent Auditors’
                                                         Mass Destruction (AML—
                                                                                           Report
    163     Accounting Policy                            CFT—CPF)
            Changes
                                               246     Code of Conduct and
    165     2024 Business Prospects                    Corporate Culture                   APPENDICES
                                               249     Management and
                                                                                     416   Summary of
     06 GOOD CORPORATE GOVERNANCE
                                                       Employee Stock
                                                       Ownership Program                   the Sustainable Financial
                                                       (MESOP)                             Action Plan (RAKB) Report
    168     Good Corporate
                                               249     Information Disclosure        419   Feedback Form
            Governance Report
                                                       Policy                        420   Cross Reference
    174     Sustainability Governance
                                               250     Whistleblowing System               OJK Circular No. 16/
    176     General Meeting of                                                             SEOJK.04/2021 – Form
            Shareholders                       251     Anti-Corruption Policy              and Content of Annual
                                                                                           Reports of Issuers or Public
    181     Board of Commissioners             252     Procurement Policy                  Companies
    190     Board of Directors                 255     Transparency of Financial     432   Cross Reference OJK
                                                       and Non-Financial                   Regulation No. 51/
    202     Performance Assessment                     Conditions Not Disclosed            POJK.03/2017 –
            of the Board of                            in Other Reports                    Implementation of
            Commissioners and Board
                                               256     Statement of                        Sustainable Finance
            of Directors
                                                       Implementation of the               for Financial Services
    203     Meetings of the Board of                   Corporate Governance                Institutions, Issuers, and
            Commissioners, Board                       Guidelines for Public               Public Companies
            of Directors, and Joint                    Companies
            Meetings of the Board of
            Commissioners and Board
            of Directors




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                              3
Page 6
                          2023 PERFORMANCE                                                            BUSINESS
    ABOUT THIS REPORT                              REPORTS TO STAKEHOLDERS       COMPANY PROFILE
                          HIGHLIGHTS                                                                  SUPPORTING UNITS




CONTINUOUS
REINVENTION
The 41-year journey that BFI                 Mastery of digital capabilities as           we move forward and elevate our
Finance has undergone is                     part of business transformation              level of performance may well be
continuously enriching the                   demands change to take place                 more demanding and varied, as
people and the organization                  across old frames of mind and                this industry is becoming more
with multiple facets of learning             ways of working. Some of these               competitive with each passing
experiences that have enabled                have been deeply rooted in the               day. All this notwithstanding,
it to grow to where it is now.               practice of various components               giving up is not in our playbook.
The Company continued to face                of the Company, just as they                 We sharpen our agility to fashion
challenges and changing trends.              have in the society. Digitalization          the best solutions, constantly
In light of this, there is no reason         is a journey, and the process                learning as we climb the stairs,
to be complacent. In 2022,                   requires all parties involved in the         step by steady step, towards the
BFI Finance delivered a most                 Company to hone their adaptive               apex of our aspirations.
sterling performance, recording              skills. This takes time.
                                                                                          With a positive attitude and a
the highest business results in
                                             While the learning process carries           mentality that embraces learning,
its 40-year history. Following
                                             on, the range of experiences in              we firmly believe that every
that, in 2023 the Company
                                             2023 had forged the Company to               obstacle can be surmounted
continued its transformation,
                                             become more mature as well as                by ingenious and effectual
which it had been pursuing for
                                             prepared to navigate the future.             adaptation. We strive to expand
the last few years. At the heart
                                             BFI Finance’s transformation                 our capacity to run the business
of this transformation are digital
                                             to become the tech-based                     with optimum effectiveness
capabilities, which the Company
                                             multifinance in Indonesia is                 and efficiency, starting from
believes must be mastered to
                                             fraught with challenges. Many                origination to collection. All
generate sustainable growth.
                                             processes must be repeated, over             employees of BFI Finance
In this increasingly digital era,
                                             and over again, with only gradual            are required and equipped
digital capabilities have become
                                             and time-consuming progress.                 to work more optimally while
the defining factor for businesses
                                             Going through all this calls for             upholding prudence at all times,
in their aim to become better in
                                             vast reserves of energy, a staunch           as we all trace this learning
serving the market.
                                             commitment, and an optimism                  curve of technological mastery,
                                             powered by determination. The                strengthening our grip of cutting-
                                             challenges that lie before us as             edge technologies that bolster our
                                                                                          business process. This is the BFI
                                                                                          Finance way to deliver excellence
                                                                                          that sets us apart from the rest.




4                                                                       PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 7
   MANAGEMENT DISCUSSION        GOOD CORPORATE                                               ANNUAL FINANCIAL
                                                      SUSTAINABILITY   SUPPORTING DATA                               APPENDICES
   AND ANALYSIS                 GOVERNANCE                                                   STATEMENTS




   THEME CONTINUITY


          2023
          CONTINUOUS REINVENTION
          BFI Finance, leveraging decades of experience, continued its
          transformative journey by focusing on digital capabilities to sustain
          growth in the competitive financing industry. Following a historic
          performance in 2022, the Company addressed the need for a cultural
          and operational shift towards digital proficiency. Against several
          challenges, BFI Finance’s firm stance on continuous reinvention
          underpins its strategy to excel in the business as a technology-driven
          leader in Indonesia's multifinance industry.




      2022                                                             2021
      BUILDING THE NEXT CHAPTER                                        BEYOND THE NEW NORMAL
      Grounded upon the solid financial achievements made              A change in perspective is key to survival in the face of
      possible thanks to a comprehensive transformation                rampant uncertainty. It also gives rise to a change in
      that took place in lockstep with the post-pandemic               mindset, showing us that there are many means and
      economic recovery, the Company recorded a significant            ways to pursue a goal towards its fruition. Changing
      achievement in its 40th anniversary. The Company strives         our mindset requires us to contemplate things that we
      to enhance its business model, which have matured                have never done before, and with it, our field of vision
      over the course of four decades, to continue evolving            becomes enriched with colors and nuances. This is the
      and maintain its position at the forefront in serving            powerful effect of perspective change: it sharpens the
      customers in the multifinance industry.                          focus, affording us to glimpse into the future, far beyond
                                                                       our current confines.




      2020                                                             2019
      OPPORTUNITY IN UNCERTAINTY                                       AGILITY FOR TRANSFORMATION
      The Covid-19 pandemic presents significant challenges            Aspiring to thrive alongside market development while
      and add to the element of “uncertainty” in the era of            seizing emerging opportunities, BFI Finance continues
      “New Normal”. However, through experiences and                   to instill a culture of change and transformation within
      business agility, and supported by the determination             the organization, to make it more agile and resilient in
      of the entire organization to continue to strive for             the face of future challenges. This requires deftness and
      excellence amid various limitations, the Company could           robustness of systems and processes, as well as in our
      maintain its operations and seek to seize opportunities          organization-wide mindset.
      amid the difficult conditions. The Company will maintain
      its existence adaptively, create value to the stakeholders
      continuously, and implement various plans to reach the
      desired transformation.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                        5
Page 8
                                      2023 PERFORMANCE                                                                       BUSINESS
         ABOUT THIS REPORT                                                REPORTS TO STAKEHOLDERS       COMPANY PROFILE
                                      HIGHLIGHTS                                                                             SUPPORTING UNITS




INTRODUCTION TO INTEGRATED REPORTING
    BFI Finance presents the 2023                            4. Integrated Reporting                             decision-making based on
    Annual Report as an Integrated                              International <IR> Framework,                    interconnected, multi-capital
    Report.                                                     issued in January 2021 by                        information. This approach is
                                                                the International Integrated                     fundamental to the Integrated
    The concept of integrated
                                                                Reporting Council (IIRC, now                     Reporting Framework, which
    reporting has been espoused by
                                                                part of the IFRS Foundation);                    BFI Finance has long adopted,
    BFI Finance since 2016, with the
                                                                and                                              as it encourages us to think
    publication of its 2016 Integrated
                                                             5. Integrated Thinking Principles                   and report beyond traditional
    Annual Report. Since then,
                                                                v1.0, issued in December                         financial metrics and take
    the Company has aligned and
                                                                2021 by the Value Reporting                      into account broader factors
    updated its reporting practices
                                                                Foundation (now part of the                      such as social, intellectual, and
    with the following reporting
                                                                IFRS Foundation).                                environmental capitals.
    criteria and standards:
    1.   SEOJK No. 16/2021 on Form                           Including the nascent concept                       Incorporating integrated thinking
         and Content of Annual                               of “integrated thinking” into the                   into business practices aligns
         Report of Issuers of Public                         Integrated Reporting Framework                      with the global shift towards
         Companies;                                          enriches the understanding of                       sustainable decision-making.
                                                             why our company has chosen to                       It helps BFI Finance address
    2. POJK No. 51/2017 on
                                                             align our annual report with this                   complex challenges and
       Implementation of
                                                             framework.                                          opportunities in a more cogent
       Sustainable Finance for
                                                                                                                 and comprehensive manner. By
       Financial Services Institutions,
       Issuers, and Public                                   Integrated Thinking:                                adopting the Integrated Thinking
                                                                                                                 Principles–namely Purpose,
       Companies;                                            A Holistic Approach
                                                                                                                 Governance, Culture, Strategy,
    3. Statements of Financial                               Integrated thinking is a multi-                     Risks & Opportunities, and
       Accounting Standards (PSAK)                           capital management approach                         Performance–our business will
       and Interpretation of Financial                       that enables organizations to                       be able to optimize the ability to
       Accounting Standards (ISAK),                          deliver their purpose to benefit                    create value over the long term,
       issued by the Indonesian                              their key stakeholders over time.                   understanding the trade-offs
       Financial Accounting                                  It emphasizes creating and                          made across various resources
       Standards Board (DSAK) of                             preserving value and improving                      and relationships.
       the Institute of Indonesia
       Chartered Accountants (IAI);

    Graph 1 • Integrated Thinking


                               NA   L ENVIRONMENT                                                                                THE CAPITALS
                           TER
                         EX                                                                                                               Financial
                                                                                                                                     Manufactured
                                                           CA
                                                    PR
                                                                                                                                        Intellectual
                                                      IN                                                                                    Human
                                                             PI
                                                               TA




                                                                                                                            Social and Relationship
                                                        CI

                                                                  LS




                                                 BUSIN
                                                          P




                                OUTPUTS &              ESS
                                                                   LE




                                OUTCOMES
                                                  MOD
                                                      EL
                                                                                                                                            Natural
                                                                      S




                                     TAN
                                                                                                                              THE PRINCIPLES
                                        GIBL
                                              E VAL
                                                    UE
                                                                                                                                            Purpose
                                            INTA
                                                 NGIBL
                                                       E VALUE                                                                          Governance
                                                                                                                                             Culture
                                                                                                                                           Strategy
                                                         VALUE CREATION
                                                     FOR THE ORGANIZATION                                                     Risks & Opportunities
                                                    AND ITS KEY STAKEHOLDERS                                                           Performance


    Source: IFRS Foundation – https://integratedreporting.ifrs.org/integrated-thinking/




6                                                                                              PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 9
   MANAGEMENT DISCUSSION            GOOD CORPORATE                                                                   ANNUAL FINANCIAL
                                                              SUSTAINABILITY          SUPPORTING DATA                                           APPENDICES
   AND ANALYSIS                     GOVERNANCE                                                                       STATEMENTS




   Graph 2 • The Interplay of Multiple Capitals in Company Value Creation

                                                             EXTERNAL ENVIRONMENT

                                                            PURPOSE, MISSION, VISION

                                                                       GOVERNANCE
            Financial                                                                                                                     Financial
                                                       RISKS AND                         STRATEGY AND
                                                     OPPORTUNITIES                    RESOURCE LOCATION

         Manufactured                                                                                                                   Manufactured
                                                                     BUSINESS MODEL


           Intellectual                                                  BUSINESS                                                        Intellectual
                                                                         ACTIVITIES
                                                                                                 OUTCOMES
                                                                                                   (Positive and
                                               INPUTS
                                                                                                 Negative over the
                                                                                                  short, medium
                                                                                                  and long term)
                                                                         OUTPUTS
             Human                                                                                                                         Human


           Social and                                                                                                                    Social and
          Relationship                               PERFORMANCE                          OUTLOOK                                       Relationship


             Natural                                                                                                                       Natural




                                              VALUE CREATION, PRESERVATION OR EROSION OVER TIME



   Source: International <IR> Framework, Integrated Reporting – https://integratedreporting.ifrs.org




   Benefits and Long-                                   •    Create Long-term Value: By                        About This
                                                             considering multiple capitals
   term Goals of                                             under our control, we can
                                                                                                               Integrated Report
   Integrated Reporting                                      focus on creating value not                       The 2023 Integrated Annual
   and Thinking                                              just financially but also in                      Report of PT BFI Finance Indonesia
                                                             terms of social, intellectual,                    Tbk reports the Company’s
   Our Company believes that by
                                                             and environmental impacts.                        performance of value creation in
   adopting the Integrated Reporting
                                                        •    Improve Stakeholder                               the aspects as described in the
   and Thinking framework and
                                                             Engagement: Our integrated                        above framework. The scope of
   principles, we can:
                                                             report provides stakeholders                      this report is the Company and its
   •   Enhance Decision-Making:                                                                                subsidiary, PT Finansial Integrasi
                                                             with a more comprehensive
       Integrated Thinking fosters                                                                             Teknologi (FIT), whose financial
                                                             view of our strategy,
       a more holistic view of our                                                                             results are consolidated into the
                                                             performance, and prospects.
       organization, leading to                                                                                Company’s. The period covered in
       better-informed decisions                        •    Uphold Transparency
                                                                                                               this report is from 1 January 2023 to
       that consider a wide array                            and Accountability: This
                                                                                                               31 December 2023. The Company
       of factors, from financial to                         approach promotes greater
                                                                                                               publishes its integrated reporting
       environmental.                                        transparency in our reporting,
                                                                                                               on an annual basis.
                                                             allowing our stakeholders to
   •   Promote Sustainable
                                                             see clearly and understand the
       Business Practices: We
                                                             full spectrum of our activities
       will align our practices with
                                                             and impacts.
       global trends emphasizing
       sustainability, which in turn
       will empower us in adapting
       to environmental and social
       risks and opportunities.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                                 7
Page 10
                           2023 PERFORMANCE                                                       BUSINESS
       ABOUT THIS REPORT                       REPORTS TO STAKEHOLDERS       COMPANY PROFILE
                           HIGHLIGHTS                                                             SUPPORTING UNITS




SUMMARY OF INTEGRATED
ANNUAL REPORT 2023

    Subject Matter
    The 2023 Integrated Annual Report of PT BFI Finance Indonesia Tbk is an integration of both the annual
    and sustainability reports, consisting of ten chapters on the Company’s business and non-business related
    discussions, as follows:

1.     About This Report                                       6. Management Discussion and Analysis
2. 2023 Performance Highlights                                 7. Good Corporate Governance
3. Reports to Stakeholders                                     8. Sustainability
4. Company Profile                                             9. Supporting Data
5. Business Supporting Units                                   10. Annual Financial Statements

In addition to the printed form, this report is accessible online on the Company’s website:
https://www.bfi.co.id/en/corporate/Investor-Relations/Annual-Sustainability-Report


References
The main references used in the making of the 2023 Integrated Annual Report of PT BFI Finance Indonesia
Tbk are the regulations issued by regulators or authorities concerning publication of annual report by public
companies or issuers and international standard guideline for sustainability reporting, among others:
1.     Law No. 40/2007 on Limited Liability Companies (UU PT);
2. POJK No. 29/POJK.04/2016 on Annual Report of Issuers or Public Companies;
3. POJK No. 51/POJK.03/2017 on Implementation of Sustainable Finance for Financial Services Institutions,
   Issuers, and Public Companies;
4. SEOJK No. 16/SEOJK.04/2021 on Form and Content of Annual Report of Issuers or Public Companies;
5. Regulations related to stock exchange and capital market issued by IDX; and
6. Other laws, POJK, SEOJK, and regulations which become the references for the content and discussion
   material in the integrated annual report.

Sustainability Element
The inclusion of the Sustainability chapter in the Integrated Annual Report is a form of compliance with
POJK No. 51/POJK.03/2017 on the Implementation of Sustainable Finance for Financial Services Institutions,
Issuers, and Public Companies, as affirmed by SEOJK No. 16/SEOJK.04/2021.

Sustainable Finance is a comprehensive support from the financial services sector to create sustainable
economic growth by aligning economic, social and environmental interests.

Various sustainability elements have been integrated into the Company’s annual reporting using the
Integrated Thinking approach promoted by the Value Reporting Foundation.




8                                                                   PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 11
   MANAGEMENT DISCUSSION      GOOD CORPORATE                                               ANNUAL FINANCIAL
                                                   SUSTAINABILITY    SUPPORTING DATA                          APPENDICES
   AND ANALYSIS               GOVERNANCE                                                   STATEMENTS




   Company Capital
   Referring to the Integrated Thinking approach, the Company’s business processes involve six main types of
   capital, namely:




       Financial           Intellectual        Manufactured               Human           Relationship &         Natural
                                                                                              Social




   Company Stakeholders
   Given BFI Finance’s line of business as a multifinance company, and its alignment with the six main types of
   capital, the Company’s business and non-business performances and achievements create added value to its
   main stakeholders, who are, among others:




    Customers          Shareholders/      Employees          Regulators         General        Environment       Business
                         Investors                                              Public                           Partners




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                9
Page 12
                                     2023 PERFORMANCE                                                                         BUSINESS
       ABOUT THIS REPORT                                         REPORTS TO STAKEHOLDERS            COMPANY PROFILE
                                     HIGHLIGHTS                                                                               SUPPORTING UNITS




 SUMMARY OF 2023
 SUSTAINABILITY PERFORMANCE

 Sustainability Statement
 We conduct a responsible business that elevates the livelihoods of our customers by providing them with
 access to financial empowerment through financing products, with a consideration on the betterment of
 society and conservation of the environment.

 BFI Finance’s Value Distribution
 By conducting a superior business in the multifinance industry in Indonesia, over the course of 2023 we:
 •     Provided financing products to more than 459 thousand customers in 35 provinces in Indonesia to
       improve their economic capability;
 •     Disbursed financing of more than Rp12 trillion to support the advancement of MSMEs in Indonesia;
 •     Employed 11,207 personnel and supported their families;
 •     Procured products and services from 6,810 entities across Indonesia, creating economic ripple effect that
       elevated livelihoods;
 •     Contributed to the surroundings’ social betterment and environmental conservation through our CSR
       and financial literacy activities and tax payments to the government; and
 •     Created attractive shareholder value and returns for our investors grounded upon our industry standing
       and a high dividend payout ratio.

 Financial Value Creation and Distribution
 BFI Finance creates financial value and capital through its various business processes, and distributes this to
 different stakeholders via various means and in various forms. The amount of financial value that BFI Finance
 distributed over the past three years is detailed below (in Rp million):

 Table 1 • Financial Value Creation and Distribution


                                  Description (Rp million)                                         2021                  2022                     2023

     Revenue                                                                                    4,122,555              5,383,010                 6,353,113

     Shareholders/Investors                                                                       374,109               570,747*             902,363**

     Employees                                                                                  1,023,279              1,324,648                 1,457,103

     Business Partners and Other Operations                                                     1,685,388               1,816,258           2,869,264

     Government                                                                                   279,620                432,002                  381,453

     Surrounding Communities                                                                         2,930                   3,423                  1,494

     Business Continuity                                                                         1,131,338            1,806,679             1,643,799

 *    Final dividend for 2021 paid in 2022 and interim cash dividend for 2022, including Article 26 Income Tax on Dividend
 ** Final dividend for 2022 paid in 2023 and interim cash dividend for 2023, including Article 26 Income Tax on Dividend




10                                                                                      PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 13
   MANAGEMENT DISCUSSION      GOOD CORPORATE                                                       ANNUAL FINANCIAL
                                                   SUSTAINABILITY        SUPPORTING DATA                                   APPENDICES
   AND ANALYSIS               GOVERNANCE                                                           STATEMENTS




   Table 2 • Capital Utilization and Value Creation for Stakeholders


                                                             Utilization and
        Type of Capital        Form of Capital                                             Beneficiary Stakeholder    Explained in Chapter
                                                         Value Creation Activity

    Financial              Financing facility     Normal business activities,              Customers,                    2, 3, 4, 6, 10
                                                  adjustments of business                  Shareholders/
                                                  strategy to the developments             Investors,
                                                  of digital transformation                Suppliers, Business
                                                                                           Partners
                           Equity                 Business strategy execution
    Intellectual           Business model         Development of a robust                  Customers,                     2, 3, 4, 5, 6
                                                  and adaptive business                    Shareholders/
                                                  model                                    Investors,
                                                                                           Employees,
                           Digitalization         Continuous formulation                   Suppliers, Business
                           initiatives            and implementation of                    Partners
                                                  digitalization in various
                                                  business processes
    Manufactured           Operational            Expansion of physical                    Customers,                     2, 3, 4, 5, 8
                           business network       and digital presence,                    Shareholders/
                                                  strengthening via                        Investors,
                                                  partnerships                             Employees,
                                                                                           Suppliers, Business
                           Operational            Investment, and                          Partners                        2, 3, 4, 5
                           infrastructure         enhancement and
                                                  development
                           Information            Development and                                                             2, 5
                           technology (IT)        investment in IT,
                                                  cybersecurity reinforcement
    Human                  Employees              Training, empowerment,                   Employees,                         2, 8
                                                  professional development,                Regulators
                                                  occupational health and
                                                  safety
                           Work culture           Implementation of New                                                        8
                                                  Mindset by all employees
                           Employment             Enhancement and                                                             7, 8
                           practices              alignment with the
                                                  prevailing standards and
                                                  best practices
    Relationship           Partnership with       Support to government’s                  Regulators                      2, 6, 7, 8
    & Social               the government         initiatives and programs for
                                                  national welfare, compliance
                                                  with regulations
                           Interactions with      Empowerment and                          General Public                      8
                           surrounding            enhancement of economic
                           communities            self-reliance, improvement
                                                  of quality of life through
                                                  the provision of clean water
                                                  facilities, public health
                                                  protection, development
                                                  of educational facilities in
                                                  schools in economically
                                                  disadvantaged areas to
                                                  adapt to the digital era
                           Scholarship            Ongoing implementation                   General Public,                     8
                           program                and concept refinement                   Employees
                           CSR programs           Formulation,                             General Public                      8
                                                  implementation,
    Natural                                       evaluation, and continuous                                                   8
                                                  improvement                              Environment

                           Resources              Reduction and more                       Environment                         8
                           utilization            efficient use of resources
                                                  with technology support




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                 11
Page 14
                                           2023 PERFORMANCE                                                                                 BUSINESS
       ABOUT THIS REPORT                                                  REPORTS TO STAKEHOLDERS            COMPANY PROFILE
                                           HIGHLIGHTS                                                                                       SUPPORTING UNITS




 2023
 KEY HIGHLIGHTS

     Income                                                   Assets                                                     Net Financing
     (Rp billion)                                             (Rp billion)                                               Receivables
                                                                                                                         (Rp billion)

                                           18.0%                                                       9.4%                                                           6.1%

                               6,353                                               23,993                                                      20,759
     2023




                                                              2023




                                                                                                                        2023
                                                                                                                         2021 2022
     2021 2022




                                                              2021 2022




                                        5,383                                                 21,930                                                          19,562

                                4,123                                                    15,363                                                      13,683




     Profit for                                               Managed Receivables by Asset Type
     the Year
     (Rp billion)                                                                  8.4

                                                 9.0%
                                                                            7.6
                                                                                                                          Car



                               1,644                                                %
                                                                                                                          Heavy Equipment
     2023




                                                                  14.9

                                                                                                     69.1                 Motorcycle
                                                                                                                          Property and Others
     2021 2022




                                            1,807

                                  1,131




      ROAA (%)                                                 ROAE (%)                                                   NPF (%)


                                                                                            17.7
                                                                                                                             3.53
                        12.2


                                    8.4
                                                                                  21.9
         9.6                                                                                                                                  2.32             2.44
                                                                 16.1             14.4              15.0

                         5.7               5.6                    11.4



                                                                                                                                                         1.36
          4.5
                                                                                                                            1.25
                                                                                                                                            1.00

       2021            2022               2023                   2021             2022            2023                      2021            2022               2023
                 BFI Finance     Industry Average                         BFI Finance     Industry Average                           BFI Finance        Industry Average




12                                                                                                PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 15
   MANAGEMENT DISCUSSION      GOOD CORPORATE                                                 ANNUAL FINANCIAL
                                                   SUSTAINABILITY   SUPPORTING DATA                                    APPENDICES
   AND ANALYSIS               GOVERNANCE                                                     STATEMENTS




        271
         Outlets
                                                                            Outlet Region (%)
                                                                             Java, Bali & Nusa Tenggara
                                                                             (including Greater Jakarta)
                                                                             Eastern Indonesia
                                                                                                                        51.7

                                                                                                                        19.5
                                                                             (Sulawesi, Maluku, Papua)
         in Indonesia, including 45 sharia
         representative branches sharing premises                            Sumatra                                    17.7
         with conventional branches
                                                                             Kalimantan                                   11.1




       Awards                                                       Shareholders
       Asiamoney AOCP Awards 2023
       Outstanding Company in the Financials Sector in
       Indonesia based on “Asia’s Outstanding Companies
       Poll 2023”



                                                                                              %
       19th Infobank Multifinance Awards 2023                                    40,82
                                                                                 40.82                       48,15
                                                                                                              48.15
       • “The Highest Score Multifinance Company 2023
         (Assets > Rp10 Trillion)” category
       • “The Best Performance Multifinance Company
         2023 (Assets > Rp10 Trillion)” category
                                                                                          5.22
                                                                                          5,81
       • “Titanium Trophy for The Best Performance                                             5,22
                                                                                               5.81

         in 15 Consecutive Years” for the fourth
         consecutive year
                                                                        Trinugraha                          NTAsian
       12th Infobank Digital Brand Awards 2023                          Capital & Co SCA                    Discovery Fund
       • “The Best” for the category of Assets of
                                                                        PT BFI Finance                      Others (each
         Rp10 Trillion and Above
                                                                        Indonesia Tbk*                      below 5%)
       • Golden Trophy for “The Best Multifinance
         Company in Digital Brand 5 Years in a Row
         (2019–2023)”                                                * Result of the Company's stock buyback program in line with
                                                                       the EGMS resolution on 15 April 2015 and the remaining treasury
       • “The 2nd Highest Digital Index”                               stock after the MESOP implementation based on the EGMS
                                                                       resolution on 29 June 2022
       Top 5 Best Multifinance Companies in 2022
       (Asosiasi Perusahaan Pembiayaan Indonesia/APPI)
       Award for the category of Assets Above Rp5 Trillion           Employees                     Active Contracts
       Bisnis Indonesia Award 2023
       Perusahaan Jasa Pembiayaan Terbaik (Best
       Multifinance Company)
                                                                     11,207                        498,378


2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                             13
Page 16
01
2023 PERFORMANCE
HIGHLIGHTS




14      PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 17
   Transformative Growth
   through Sustainable Innovation
   Yesterday was a lesson, today is an experience, and tomorrow
   represents improvement and advancement. The challenges
   and experiences we have faced have motivated us to maintain
   a positive outlook as we progress, flexibly embracing change in
   our pursuit of success.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk         15
Page 18
                               2023 PERFORMANCE                                                           BUSINESS
 ABOUT THIS REPORT                                    REPORTS TO STAKEHOLDERS       COMPANY PROFILE
                               HIGHLIGHTS                                                                 SUPPORTING UNITS




 KEY FINANCIAL HIGHLIGHTS
 Figures in the tables and graphs below are presented in billion rupiah (unless stated otherwise).

 Table 3 • Financial Performance Highlights and Ratios


                                   Description                                     2021                2022                  2023

     Consolidated Statement of Profit or Loss and Other Comprehensive Income

     Financing Income                                                              3,821                5,117                 6,042

     Others                                                                         302                 266                         311

     Total Income                                                                  4,123              5,383                   6,353

     Salaries and Benefits                                                         1,023               1,325                   1,457

     Interest and Financing Charges                                                 570                 624                     951

     General and Administrative                                                     647                  771                    871

     Allowance for Impairment Losses                                                435                 367                     786

     Others                                                                           37                  57                    263

     Total Expenses                                                                2,712               3,144                  4,328

     Profit Before Tax                                                              1,411              2,239                  2,025

     Income Tax Expense                                                             280                 432                     381

     Profit for the Year                                                            1,131              1,807                  1,644

     Other Comprehensive Income for the Year - Net of Tax                             67                  14                         2

     Total Comprehensive Income for the Year                                       1,198               1,821                  1,646

     Consolidated Statement of Financial Position

     Cash and Cash Equivalents                                                      969                1,073                   1,740

     Net Financing Receivables                                                    13,683              19,562                 20,759

     Other Receivables - Third Parties                                                87                 163                    251

     Derivative Assets                                                                  -                103                        57

     Fixed Assets - Net                                                             607                 659                     721

     Intangible Assets - Net                                                          56                140                     255

     Other Assets                                                                   234                 230                     209

     Total Assets                                                                 15,636              21,930                 23,992

     Fund Borrowings - Third Parties                                              4,789               10,247                  8,666

     Securities Issued - Net                                                      2,488                1,581                   4,721

     Other Payables                                                                 929                1,346                   1,105

     Total Liabilities                                                            8,206               13,174                 14,492

     Equity                                                                       7,430                8,756                  9,500

     Total Liabilities and Equity                                                15,636               21,930                 23,992

     Shares Data

     Share Outstanding (million)                                                  15,967              15,967                  15,967

     Basic Earnings per Share (Full Amount of Rupiah)                                 76                 121                    109

     Dividend per Share (Full Amount of Rupiah)   1
                                                                                      17                 60            See Note 1




16                                                                         PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 19
   MANAGEMENT DISCUSSION                     GOOD CORPORATE                                                    ANNUAL FINANCIAL
                                                               SUSTAINABILITY        SUPPORTING DATA                                     APPENDICES
   AND ANALYSIS                              GOVERNANCE                                                        STATEMENTS




                                                 Description                                      2021                  2022                  2023

    Ratios

    Profitability

    Return on Average Assets (ROAA)2                                                              9.6%                  12.2%                        8.4%

    Return on Average Equity (ROAE)3                                                              16.1%                 21.9%                    17.7%

    Profit for the Year / Total Income                                                           27.4%                 33.6%                     25.9%
    Asset Quality

    NPF (including Joint Financing) - Gross                                                      1.25%                 1.00%                     1.36%

    Allowance for Impairment Losses on Managed Receivables                                        5.8%                   4.1%                        3.5%

    Coverage of NPF                                                                                4.6x                   4.1x                       2.6x
    Liquidity

    Current Ratio4                                                                                  1.9x                  1.6x                       1.4x
    Solvency

    Liabilities to Assets Ratio5                                                                   0.5x                  0.6x                        0.6x

    Liabilities to Equity Ratio              6
                                                                                                    1.1x                  1.5x                        1.5x

    Gearing Ratio        7
                                                                                                   1.0x                   1.4x                       1.4x
    Other Relevant Financial Ratios

    Financing-to-Assets Ratio                                                                    87.5%                 89.2%                     86.5%

    Equity-to-Paid-up-Capital Ratio                                                           1,861.4%              2,193.5%                 2,379.8%

    Operational Efficiency Ratio                                                                 66.5%                 59.0%                     69.4%
    Other Information

    Number of Outlets8                                                                              319                   282                         271

    Number of Employees                  9
                                                                                                 9,450                  10,111                   11,207


   1. Final dividend per share for 2023 is pending the 2024 GMS resolution
   2. Profit Before Tax / Average Assets
   3. Profit for the Year / Average Equity
   4. Current Assets / Current Liabilities
   5. Total Liabilities / Total Assets
   6. Total Liabilities / Total Equity
   7. (Fund Borrowings and Securities Issued) / Equity
   8. Comprising conventional branches, kiosks, and sharia representative branches. Prior to 2022, sharia representative branches were counted
      as conventional branches. Starting from 2022, in line with licenses obtained from OJK, sharia representative branches are counted separately
      from conventional branches.
   9. For 2023, comprising 11,119 employees of BFI Finance and 88 employees of FIT




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                                 17
Page 20
                                2023 PERFORMANCE                                                                     BUSINESS
 ABOUT THIS REPORT                                       REPORTS TO STAKEHOLDERS            COMPANY PROFILE
                                HIGHLIGHTS                                                                           SUPPORTING UNITS




 SHARE HIGHLIGHTS

 Table 4 • History of Share Issuance


                                                                                                              New Shares          Outstanding
                          Corporate Action                                         Period                       Issued              Shares
                                                                                                               (million)           (million)
  IPO @Rp5,750                                                        April 1990                                    2.1                    10.5
  1-for-10 Stock Dividend                                             January 1993                                  1.2                     11.7
  17-for-20 Stock Bonus                                               July 1993                                    9.9                     21.6
  1-for-3 Stock Dividend                                              January 1994                                 7.2                     28.8
  1-for-1 Rights Issue @Rp1,500                                       May 1994                                    28.9                     57.7
  2-for-1 Rights Issue @Rp1,000                                       March 1997                                  115.4                    173.1
  2-for-1 Stock Split                                                 September 1997                              173.1                  346.2
  New Shares from Mandatory Convertible                               August 2002 - May 2006                     414.2                   760.4
  Bonds Conversion
  2-for-1 Stock Split                                                 August 2012                                760.3                  1,520.7
  MESOP Phase I - Grant Date 1                                        May 2013                                     5.9                  1,526.6
  MESOP Phase I - Grant Date 2                                        May 2014                                    23.3                  1,549.9
  MESOP Phase II - Grant Date 1                                       May 2015                                    16.0                  1,566.0
  MESOP Phase II - Grant Date 2                                       May 2016                                    30.8                  1,596.7
  10-for-1 Stock Split                                                June 2017                               14,370.4                  15,967.1




 Table 5 • Share Price Summary


                                               Share Price (Rp)
                                                                                                   Transaction Volume       Market Capitalization
                                                                                                      (million units)           (Rp billion)
              Period       Highest                   Lowest                  Closing

                        2022       2023       2022        2023           2022         2023         2022           2023        2022           2023
     1 Quarter
     st
                        1,460      1,400       1,130          1,010      1,280          1,315      2,382            782     20,438          20,997
     2nd
              Quarter   1,375        1,535         935        1,205      1,095         1,430         1,712         820       17,484         22,833
     3 Quarter
      rd
                        1,320        1,455         990        1,085       1,150         1,145       1,100         1,305      18,362          18,123
     4 Quarter
         th
                        1,150        1,215         965         955       1,055         1,205         699            958      16,845         19,240




18                                                                                PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 21
    MANAGEMENT DISCUSSION      GOOD CORPORATE                                          ANNUAL FINANCIAL
                                                    SUSTAINABILITY   SUPPORTING DATA                        APPENDICES
    AND ANALYSIS               GOVERNANCE                                              STATEMENTS




    Graph 3 • Share Performance


2,000,000,000                                                                                                            2,000
                                       2022                                            2023
1,800,000,000                                                                                                            1,800

1,600,000,000                                                                                                            1,600

1,400,000,000                                                                                                            1,400

1,200,000,000                                                                                                            1,200

1,000,000,000                                                                                                            1,000

 800,000,000                                                                                                             800

 600,000,000                                                                                                             600

 400,000,000                                                                                                             400

 200,000,000                                                                                                             200

             0                                                                                                           0

                 Jan Feb Mar Apr May Jun   Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun   Jul Aug Sep Oct Nov Dec


                                                      Volume         Closing Price




    BFI Finance’s market capitalization reached Rp19.2 trillion as at end of 2023, 14.22% higher than its value as at
    end of 2022, which was Rp16.8 trillion. The total number of BFI Finance shares traded in 2023 was 5.9 billion
    shares, worth Rp4.8 trillion.

    By end of 2023, BFIN shares were included in the KOMPAS100 and IDX ESG Leaders indices, respectively
    demonstrating the shares’ liquidity and the Company’s excellence in the environmental, social, and
    governance aspects among companies listed on the IDX.

    Comparison between Share Price Performance of BFI Finance (BFIN)
    and the Composite Share Price Index (IHSG) in 2023
    Trading of BFIN shares opened on 2 January 2023 with a price of Rp1,050 and closed on 29 December 2023
    with a price of Rp1,205 per share, equal to an increase of 14.76% within the year. The IHSG rose by 6.16%
    from the level of 6,850.98 to 7,272.80 by the end of 2023, continuing its previous year’s increase of 4.09%.
    Indonesia's stock market capitalization reached Rp11,708 trillion, which was an increase of 22.86% over the
    course of 2023. IHSG’s performance throughout 2022 was the second best among stock exchanges in ASEAN,
    and ranked seventh across Asia Pacific.

    Corporate Action
    The Company distributed cash dividends amounting to a total of Rp60 (full amount) per share or equivalent
    to Rp902 billion from the 2022 net income. Dividend of Rp28 (full amount) per share amounting to
    Rp421 billion was distributed to the shareholders of the Company on 22 December 2022. The remaining balance of
    Rp32 (full amount) per share amounting to Rp481 billion was distributed on 15 June 2023.

    The Company also approved the distribution of interim cash dividends for 2023 fiscal year, amounting to
    Rp28.00 (full amount) per share, or equivalent to Rp421 billion. This was paid out on 21 December 2023.

    Apart from the above, in 2023 the Company did not conduct any other corporate actions that might affect
    the trading of its shares on the stock exchange.

    Suspension and/or Delisting
    The trading of BFIN shares was never suspended in 2023.




 2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                    19
Page 22
                                 2023 PERFORMANCE                                                                        BUSINESS
ABOUT THIS REPORT                                             REPORTS TO STAKEHOLDERS           COMPANY PROFILE
                                 HIGHLIGHTS                                                                              SUPPORTING UNITS




Structure of Shareholders
As of 31 December 2023, Trinugraha Capital & Co SCA (profile presented in the Company Profile chapter
page 94 was the controlling shareholder of BFI Finance with 48.15% ownership. The structure of shareholders
with ownership of 5% or more as of 31 December 2023 are detailed below:


Table 6 • Structure of Shareholders


                                                                                                        2023
                         Shareholders
                                                                       Total Shares             Nominal Amount (Rp)                     %
    Trinugraha Capital & Co SCA                                      7,688,125,938                192,203,148,450                     48.15
    PT BFI Finance Indonesia Tbk*                                      927,732,000                 23,193,300,000                       5.81
    NTAsian Discovery Fund                                            832,804,900                  20,820,122,500                       5.22
    Others (each below 5%)                                           6,518,452,782                  162,961,319,550                   40.82
    Total Issued and Fully Paid-up Capital                          15,967,115,620               399,177,890,500                    100.00

*    Result of the Company's stock buyback program in line with the EGMS resolution on 15 April 2015 and the remaining treasury stock after the MESOP
     implementation based on the EGMS resolution on 29 June 2022




Graph 4 • Composition of Shareholders




                                                           Trinugraha Capital & Co SCA




                    %
                                                           PT BFI Finance Indonesia Tbk*
    40.82                             48.15
                                                           NTAsian Discovery Fund
                                                           Others (each below 5%)
                                                           * Result of the Company's stock buyback program in line with the EGMS resolution on
                                                             15 April 2015 and the remaining treasury stock after the MESOP implementation based on
                                                             the EGMS resolution on 29 June 2022
               5.22
                      5.81




20                                                                                    PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 23
   MANAGEMENT DISCUSSION            GOOD CORPORATE                                                        ANNUAL FINANCIAL
                                                            SUSTAINABILITY          SUPPORTING DATA                              APPENDICES
   AND ANALYSIS                     GOVERNANCE                                                            STATEMENTS




   Dividend Payment History
   The Company’s dividend payment history for the past five years is as follows:


   Table 7 • Dividend Payments for the Last Five Years


                Fiscal Year                 2019               2020                  2021                   2022                   2023
       Date of BOD Meeting                     -                 -           6 December 2021          2 December 2022        1 December 2023
       Date of GMS                     29 June 2020       25 May 2021           29 June 2022            16 May 2023                  *
       Dividend per Share (in full amount - rupiah currency)
       Interim**                               -                 -                        7                     28                  28
       Final                                       12             18                     10                     32                  ***
       Total                                       12             18                     17                    60                   28
       Payout Ratio                        25.2%             38.4%                   22.5%                 50.0%                    ***
       Payment Date
       Interim**                               -                 -           23 December 2021         22 December 2022       21 December 2023
       Final                           29 July 2020       25 June 2021          28 July 2022            15 June 2023                ***
       Total of Dividend
                                              180               269                      254                     902               421
       (Rp billion)

   *    Pending decision on the date of 2024 GMS
   ** Interim cash dividend was determined at the BOD Meeting
   *** Payment of final dividend for 2023 shall be determined during the 2024 GMS




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                    21
Page 24
                               2023 PERFORMANCE                                                                 BUSINESS
 ABOUT THIS REPORT                                     REPORTS TO STAKEHOLDERS       COMPANY PROFILE
                               HIGHLIGHTS                                                                       SUPPORTING UNITS




 BONDS HIGHLIGHTS

 The Company’s securities that were issued in the period 2020–2023 and listed on IDX are as follows:



 Table 8 • Bonds Issuance


                                                                                    Amount        Amount
                                        Date Listed    Effective      Bond
             Bonds Issued                                                           Issued       per Serial          Due Date       Status
                                          on IDX         Date         Rating
                                                                                  (Rp billion)   (Rp billion)

                                                                                                                      18
  Obligasi                  Serial A:                                                              437            September
                                                        7 June
  Berkelanjutan IV                           8                                                                       2021
                                                         2018
  BFI Finance                           September                    AA-(idn)         832                                          Paid
                                                      (No.S-67/
  Indonesia Tahap                          2020
                                                      D.04/2018)                                                 8 September
  III Tahun 2020            Serial B:                                                              395
                                                                                                                     2023


  Obligasi                  Serial A:                                                              200            8 June 2022      Paid
  Berkelanjutan V
                                          31 May
  BFI Finance                                                        AA-(idn)         600
                                           2021
  Indonesia Tahap I
                                                                                                                                   Not yet
  Tahun 2021                Serial B:                                                              400            28 May 2024
                                                                                                                                   due

                                                                                                                    16 August
                            Serial A:                                                               210
  Obligasi                                                                                                             2022
  Berkelanjutan V                                                                                                                  Paid
                                        9 August                                                                    6 August
  BFI Finance               Serial B:                                AA-(idn)       1,000          260
                                          2021                                                                        2023
  Indonesia Tahap II
  Tahun 2021                                                                                                        6 August       Not yet
                            Serial C:                                                              530
                                                                                                                      2024         due
                                                        21 May                                                     7 February
                            Serial A:                    2021                                          617
  Obligasi                                                                                                            2024
  Berkelanjutan V                                     (No. S-66/
                                        30 January    D.04/2021)                                                   27 January      Not yet
  BFI Finance               Serial B:                                AA-(idn)        1,100         227
                                           2023                                                                       2025         due
  Indonesia Tahap
  III Tahun 2023                                                                                                   27 January
                            Serial C:                                                              256
                                                                                                                      2026

  Obligasi                  Serial A:                                                              590            24 April 2024
  Berkelanjutan V
                                         17 April                                                                                  Not yet
  BFI Finance               Serial B:                                AA-(idn)       1,600          385            14 April 2025
                                          2023                                                                                     due
  Indonesia Tahap
  IV Tahun 2023             Serial C:                                                              625            14 April 2026

  Obligasi
                            Serial A:                                                              250           25 June 2024
  Berkelanjutan V
                                         16 June                                                                                   Not yet
  BFI Finance                                                        AA-(idn)        1,100
                                           2023                                                                                    due
  Indonesia Tahap V
                            Serial B:                                                              850            15 June 2026
  Tahun 2023




22                                                                          PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 25
   MANAGEMENT DISCUSSION      GOOD CORPORATE                                                 ANNUAL FINANCIAL
                                                    SUSTAINABILITY    SUPPORTING DATA                            APPENDICES
   AND ANALYSIS               GOVERNANCE                                                     STATEMENTS




   IMPORTANT EVENTS IN 2023


       January

        a                                  10      Holding of the 2023 National Kick-off Meeting online
                                               a
                                                   from BFI Tower, Tangerang Selatan, Banten

                                           12–13 Holding of the BFI Finance 2023 National Work Meeting
                                                 in Tangerang Selatan

                                           25      Provision of free medical services to female traders at Jatibarang
                                                   Regional Market, Indramayu, West Java

                                           30      Issuance of Obligasi Berkelanjutan V BFI Finance Indonesia Tahap III
                                                   Tahun 2023 Serial A, B, and C with a total amount of Rp1.1 trillion




      February

        a                                      b                               16       Financial literacy seminar for
                                                                                a
                                                                                        MSME owners in Belitung,
                                                                                        Bangka Belitung Islands

                                                                               27       Holding of the 2023 National
                                                                                b
                                                                                        Agent Gathering in Trembesi
                                                                                        Hotel, Tangerang Selatan




      March
       a                                       2   Upgrade of BFI Finance’s ratings by Fitch Ratings Indonesia:
                                                   National Long-Term Rating to ‘AA-(idn)’ with a Stable Outlook,
                                                   National Short-Term Rating to ‘F1+(idn)’, and Obligasi Berkelanjutan
                                                   BFI Finance Indonesia to ‘AA-(idn)’

                                               4   Handing of reward for a consumer in Ketapang, West Kalimantan,
                                               a
                                                   as part of the Sensasi BFI Finance program

                                           16      Provision of plant seeds, agricultural tools, distribution of basic
                                               b   goods, free health service, and provision of emergency latrine
       b
                                                   facility to accelerate societal recovery following the Cianjur
                                                   earthquake in West Java




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                  23
Page 26
                    2023 PERFORMANCE                                                         BUSINESS
ABOUT THIS REPORT                        REPORTS TO STAKEHOLDERS         COMPANY PROFILE
                    HIGHLIGHTS                                                               SUPPORTING UNITS




     April

      a                          b                                  13        Celebration of BFI Finance’s 41st
                                                                     a
                                                                              anniversary marked by various
                                                                              events at numerous locations

                                                                    17        Issuance of Obligasi Berkelanjutan
                                                                              V BFI Finance Indonesia Tahap IV
                                                                              Tahun 2023 Serial A, B, and C with
                                                                              a total amount of Rp1.6 trillion

                                                                    18        Sharing of takjil and basic goods
                                                                     b
                                                                              for the community around 15 of
                                                                              BFI Finance’s branches, in the
                                                                              spirit of Ramadan




     May

      a                              b                                   2     Signing of a syndicated term
                                                                               loan facility agreement worth
                                                                               USD 150 million with Standard
                                                                               Chartered Bank and United
                                                                               Overseas Bank Ltd. as the
                                                                               Mandated Lead Arranger and
                                                                               Bookrunner, respectively

                                                                     16        Holding of AGMS and EGMS of
      c                              d                                   a
                                                                               BFI Finance in hybrid format at
                                                                               BFI Tower, Tangerang Selatan

                                                                     20        Financial literacy seminar for
                                                                         b
                                                                               MSME owners in Pontianak,
                                                                               West Kalimantan

                                                                     21        Holding of “Road to BFI
                                                                         c
                                                                               RUN 2023”

                                                                     26        Signing of a joint financing
                                                                         d
                                                                               facility agreement worth
                                                                               Rp2 trillion with Bank Jago




24                                                            PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 27
   MANAGEMENT DISCUSSION      GOOD CORPORATE                                            ANNUAL FINANCIAL
                                                     SUSTAINABILITY   SUPPORTING DATA                        APPENDICES
   AND ANALYSIS               GOVERNANCE                                                STATEMENTS




       June

            a                                   b




            7   Press conference related to the holding of BFI RUN 2023, in Jakarta Selatan
            a

        15      Distribution of final dividend of Rp32 per share, bringing the total dividend from the 2022 net
                income to Rp60 per share, or equal to Rp902 billion

        16      Issuance of Obligasi Berkelanjutan V BFI Finance Indonesia Tahap V Tahun 2023 Serial A and B
                with a total amount of Rp1.1 trillion

        25      BFI RUN 2023 taking place in Tangerang, Banten, themed Power Up to the Next Level, featuring
            b
                four race categories and total prize of Rp350 million, joined by about 5,000 participants




       July

        a                                      20–24 Participation in Surabaya Printing Expo at Grand City
                                                a
                                                     Mall, Surabaya, East Java




       August

        a                                      5     Holding of BFI RIDE 2023 in commemoration of the 78th
                                                a
                                                     Anniversary of the Independence of the Republic of Indonesia,
                                                     involving 150 participants from customers, business partners,
                                                     members of the community, employees, and the general
                                                     public, taking place in BSD City, Tangerang Selatan

                                               10    Holding of education CSR program, “Gerakan 1000 Sepatu
                                                b
                                                     Sekolah untuk Anak Bangsa” (“1000 Shoes for Indonesian
                                                     Children Movement”), in which one thousand pairs of shoes
        b
                                                     and socks were distributed to elementary school students
                                                     in Maluku and North Maluku, followed by a financial literacy
                                                     education program and provision of employee-donated books




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                              25
Page 28
                             2023 PERFORMANCE                                                         BUSINESS
 ABOUT THIS REPORT                                 REPORTS TO STAKEHOLDERS          COMPANY PROFILE
                             HIGHLIGHTS                                                               SUPPORTING UNITS




     August

      a
                                          16–26 Blood drive and free medical check-up titled “Sehat untuk
                                           a
                                                Merdeka” (Healthy for Freedom), taking place at the Head
                                                Office and several branch offices, involving customers,
                                                business partners, employees, and communities around
                                                the offices




     September

         a                                 b                                    c




      7      •     Launching of EV2W financing product for two-wheeled electric vehicles
      a
                 • Holding of Media Gathering, in which Company management interacted with journalists from
                   various mass media, taking place in Jakarta Selatan

     8–10        Participation in the national Franchise & Business Concept (IFBC) Expo 2023 at
      b          The Square Ballroom, ICBC Building, Surabaya, East Java

     13–16 Participation in Mining Expo 2023 at Jakarta International Expo (JIExpo) Kemayoran,
      c
           Jakarta Pusat




     October

         a                                 b                                    c




     7–8         Holding of MSME festival #BFINgangkatUsahaLokal 2023 titled “Belajar Kreatif, Omzet Makin
     a
                 Melejit” (“Learn to Be Creative to Boost Revenue”) at Oudetrap, Semarang Old Town, Central Java

     11–14       Participation in ALLPRINT Indonesia 2023 at Jakarta International Expo (JIExpo) Kemayoran,
     b
                 Jakarta Pusat

     13–15       Participation in APPI’s Multifinance Day exhibition in Palembang, South Sumatra, in
     c
                 commemoration of the Financial Inclusion Month 2023




26                                                                      PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 29
   MANAGEMENT DISCUSSION            GOOD CORPORATE                                          ANNUAL FINANCIAL
                                                         SUSTAINABILITY   SUPPORTING DATA                      APPENDICES
   AND ANALYSIS                     GOVERNANCE                                              STATEMENTS




       October

       a                                         17      Continuation of the financial literacy seminar for MSME owners
                                                         in Belitung, in the form of a business financial management
                                                         workshop

                                                 26–29 Participation in FinEXPO 2023 in Yogyakarta held by OJK
                                                  a
                                                       to improve public understanding of BFI Finance’s financial
                                                       products and solutions




       November

       a
                                                 22      Holding of the Annual Public Expose of BFI Finance online from
                                                     a
                                                         BFI Tower, Tangerang Selatan




       December

        a                                        6–9      Participation in Manufacturing Indonesia 2023 at Jakarta
                                                          International Expo (JIExpo) Kemayoran, Jakarta Pusat

                                                 7–8      Holding of the second MSME festival #BFINgangkatUsahaLokal
                                                     a
                                                          2023, taking place at Focal Point Mall, Medan, North Sumatra




      This event is featured in the photo




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                27
Page 30
                              2023 PERFORMANCE                                                             BUSINESS
 ABOUT THIS REPORT                                     REPORTS TO STAKEHOLDERS       COMPANY PROFILE
                              HIGHLIGHTS                                                                   SUPPORTING UNITS




 AWARDS AND
 RECOGNITION


                                                                                             19th Infobank
                                                                                             Multifinance Awards
                                                                                             2023
                                                                                             •   “The Highest
  12th Infobank Digital                                                                          Score Multifinance
  Brand Awards 2023                                                                              Company 2023
                                                                                                 (Assets > Rp10 Trillion)”
  •    “The Best” for the
                                                                                                 category
       category of Assets of
       Rp10 Trillion and Above                                                               •   “The Best Performance
                                                                                                 Multifinance
  •    Golden Trophy for
                                                                                                 Company 2023
       “The Best Multifinance
                                                                                                 (Assets > Rp10 Trillion)”
       Company in Digital
                                                                                                 category
       Brand 5 Years in a Row
       (2019–2023)”                              Bisnis Indonesia Award                      •   “Titanium Trophy for

  •    “The 2nd Highest Digital                  2023                                            The Best Performance in
                                                                                                 15 Consecutive Years” for
       Index”                                    “Perusahaan Jasa
                                                                                                 the fourth consecutive
                                                 Pembiayaan Terbaik”
                                                                                                 year
                                                 (“Best Multifinance
  Infobank magazine and Isentia,                 Company”)
  12 April 2023, in Jakarta
                                                                                             Infobank magazine, 27 July 2023,
                                                                                             in Jakarta
                                                 Bisnis Indonesia, 31 May 2023,
                                                 in Jakarta




                                                          Asiamoney AOCP
                                                          Awards 2023                                  Top 5 Best Multifinance
                                                          Outstanding Company in
                                                                                                       Companies in 2022
                                                          the Financials Sector in
                                                          Indonesia based on “Asia’s                   Award for the category of
             Bisnis Indonesia                             Outstanding Companies                        Assets Above Rp5 Trillion
             Financial Award                              Poll 2023”
             (BIFA) 2023                                                                               Indonesian Financial
             “The Best Performance                                                                     Services Association (APPI),
                                                          Asiamoney.com, 31 August 2023
             Multifinance” in the sub-                                                                 28 November 2023, in Jakarta
             category of “Multifinance
             Go Public”



             Bisnis Indonesia, 24 August 2023,
             in Jakarta




28                                                                          PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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   MANAGEMENT DISCUSSION        GOOD CORPORATE                                                         ANNUAL FINANCIAL
                                                        SUSTAINABILITY         SUPPORTING DATA                                 APPENDICES
   AND ANALYSIS                 GOVERNANCE                                                             STATEMENTS




       Top 20 Financial
       Institutions 2023                                                                                   The 14th IICD Corporate
       The Best Performing                                                                                 Governance (CG)
       Multifinance 2023 in the                                                                            Conference and Award
       category of Assets of                                                                               2023
       Rp10 Trillion and Above
                                                                                                           “Top 50 Big Capitalization
                                                                                                           Public Listed Company”
                                                            Human Capital                                  (Big Cap PLCs) and Best
                                                            Resilience Award
       The Finance
       online magazine,
                                                                                                           Governance Practices for
       14 November 2023,                                    (HCREA) 2023                                   the third consecutive year
       in Jakarta
                                                            •    “The Best Recruitment”
                                                                 category
                                                                                                           Indonesian Institute for
                                                            •    “The Best Teamwork”                       Corporate Directorship (IICD),
                                                                 category                                  18 September 2023, in Jakarta

                                                            •    “Excellence in HC
              Appreciation Night for                             Change Management
              Issuers: Launching of                              & Communication
              Tempo-IDN Financials                               Strategy” category

              52 Index                                      •    “The Best Leadership
                                                                 Development Focus
              “Main Index–High
                                                                 on HC” title for Andrew
              Dividend” category for
                                                                 Adiwijanto, Director
              increasing financial
              performance portfolio in
              the last five years up to                                                                           Indonesia Corporate
                                                                                                                  Secretary &
                                                            First Indonesia Magazine,
              March 2023                                    5 July 2023, in Jakarta
                                                                                                                  Communication Award
              Tempo.co and Idnfinancials.com,
                                                                                                                  2023
              23 June 2023, in Jakarta                                                                            Platinum Award for the
                                                                                                                  category of “Multifinance
                                                                                                                  Public Company”
   Financial Integrity
   Rating on Money                                                                                                Economic Review magazine,
   Laundering and                                                                                                 19 May 2023, in Jakarta

   Terrorism Financing
   (FIR on ML/TF) 2022
   Anti-Money Laundering
                                                                                                 TrenAsia ESG Award
   and Combating Terrorism                                                                       2023
   Financing (AML–CFT) in                        ISO IEC 27001:2013                              Winner in the category of
   the Good category                                                                             Multifinance Companies
                                                 Information Security
                                                                                                 with “Sustainability” title
                                                 Management System

   Financial Transaction Reports
   and Analysis Center (PPATK),                                                                  PT Tren Media Berjejaring,
                                                 BSI Group Indonesia,
   10 May 2023, in Jakarta                                                                       30 August 2023, in Jakarta
                                                 30 October 2023, in Jakarta




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                29
Page 32
Agile and Adaptive
Effective business strategy encompasses key elements
to fulfill the Company's objectives, supported by rigorous market
analyses for understanding customer needs, industry trends,
and competitive dynamics.




30                                        PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 33
  02
  REPORTS TO
  STAKEHOLDERS




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk   31
Page 34
                     2023 PERFORMANCE                                                      BUSINESS
 ABOUT THIS REPORT                      REPORTS TO STAKEHOLDERS       COMPANY PROFILE
                     HIGHLIGHTS                                                            SUPPORTING UNITS




 REPORT OF THE BOARD OF COMMISSIONERS



 The BOC acknowledges
 the efficacy of the quick
 response and measures taken
 by the BOD and management
 in bringing stability and
 leading the Company out
 of this difficult period
 with composure.

 Kusmayanto Kadiman
 President Commissioner




 Esteemed Stakeholders,

 On behalf of the Board of
 Commissioners, I extend to you
 the report of our supervisory
 activities over the running
 of BFI Finance’s business
 throughout 2023. We appreciate
 the firm support from all
 stakeholders for every measure
 the Company has taken in
 overcoming the challenges while
 striving to preserve our growth
 momentum.

 In 2023 the world re-emerged to
 pre-pandemic normalcy in terms
 of physical activity. However, there
 were aftereffects of the global
 shutdown that have persisted
 even after the world opened up.
 Global growth spurt was held
 back by soaring inflation rates




32                                                           PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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   MANAGEMENT DISCUSSION      GOOD CORPORATE                                            ANNUAL FINANCIAL
                                                   SUSTAINABILITY    SUPPORTING DATA                       APPENDICES
   AND ANALYSIS               GOVERNANCE                                                STATEMENTS




   resulting from extended supply              the face of this incident.              the BOD has maintained BFI
   shortages due to the pandemic.                                                      Finance’s reputation in the view
                                               As a result, even though business
   As a response, central banks                                                        of its stakeholders, particularly
                                               operations were disrupted
   around the globe reversed                                                           banking institutions and
                                               for several months and the
   their policies, raising their key                                                   investors. Thus, in the prevailing
                                               recovery took place gradually,
   interest rates that had been kept                                                   high rate environment, the
                                               the Company’s balance sheet
   at very low levels throughout                                                       Company was able to secure
                                               and reserves were well-managed.
   the pandemic.                                                                       stable funding sources at
                                               The BOC acknowledges the
                                                                                       competitive rates. Attesting to
   In the midst of the declining rate          efficacy of the quick response
                                                                                       BFI Finance’s improving financial
   of global economic growth in                and measures taken by the
                                                                                       soundness, Fitch Ratings
   2023, Indonesia’s GDP increase of           BOD and management in
                                                                                       upgraded our National Long-
   5.05% showed the sturdiness of its          bringing stability and leading
                                                                                       Term Rating from ‘A+(idn)’ to ‘AA-
   economic sectors even with the              the Company out of this difficult
                                                                                       (idn)’ in March 2023.
   decline in prices of several of its         period with composure. The
   core export commodities. Strong             BOD not only succeeded in               Equipped with highly adequate
   household economic activity                 comprehensively restoring               capital reserves, BFI Finance
   was a driver of this growth. In             and strengthening the                   ended 2023 in a satisfactory
   line with this, the multifinance            Company’s business systems              position, setting the foundation
   industry recorded 13.2% growth,             and infrastructure, making it           to further expand the size and
   continuing the previous                     better prepared to deal with            scope of its financing portfolio
   year’s run.                                 similar future events, but also         in the future. While new
                                               protected the financing portfolio       bookings were hampered by the
   Supervision and                             from a significant deterioration        cybersecurity incident in May,
   Evaluation of BOD                           in quality. Simultaneously, the         resulting in full-year negative
                                               BOD continued to guide the              growth of 5.0%, the Company
   Performance
                                               exploration of new business             was able to deliver portfolio
   For BFI Finance, 2023 was an                avenues by developing the               growth of 7.4% and maintain a
   peculiar year owing to the                  appropriate capabilities                robust composition of assets,
   challenges it presented. While              to enrich the Company’s                 while recording a respectable net
   the Company carried on with its             partnership network, including in       income of Rp1.64 trillion, a slight
   business process modernization              the digital space.                      decline of 9.0% from 2022 figure.
   and digitalization, as part of an
                                               Mitigating the cyberattack had          Such a financial performance
   ongoing transformation, in mid–
                                               quite an impact on the business,        has enabled the Company to
   2023 the Company experienced
                                               requiring the Company to make           continue to provide meaningful
   a cyberattack that disrupted
                                               adjustments to its financial            shareholder value, both through
   its operational activities. This
                                               targets for 2023. Nonetheless,          the increase in market valuation
   incident necessitated the
                                               apart from ensuring that these          as well as dividend distribution.
   Company to move swiftly by
                                               new targets were achieved, the          Based on the net income
   limiting and even temporarily
                                               BOD managed to keep a healthy           for 2023 financial year, the
   suspending all of its operational
                                               liquidity position by banking           Company distributed in late 2023
   systems to minimize the impact.
                                               on the Company’s competitive            an interim dividend of Rp28 per
   While coordinating with us as
                                               advantages as an independent            share, equivalent to a dividend
   shareholder representatives, and
                                               and leading multifinance                yield of 2.5%.
   communicating transparently
                                               in Indonesia. Relying on the
   with regulators and other
                                               consistent achievements that
   stakeholders, management has
                                               we have recorded year after
   demonstrated their leadership
                                               year, supported by continuously
   qualities by implementing the
                                               enhanced risk management,
   business continuity plan in a
   proper and measured manner in




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                            33
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                    2023 PERFORMANCE                                                          BUSINESS
ABOUT THIS REPORT                          REPORTS TO STAKEHOLDERS       COMPANY PROFILE
                    HIGHLIGHTS                                                                SUPPORTING UNITS




                                       Corporate Governance                      BFI Finance’s performance in
     BFI Finance’s                                                               maintaining an excellent level
                                       Performance                               of corporate governance is
     performance in
                                       We were able to closely oversee           reflected in a number of awards
     upholding excellent
                                       all measures taken by the BOD             for compliance and governance
     corporate governance              and management in leading                 that the Company received
     garnered a number                 BFI Finance to navigate the rather        in 2023. These include the
     of awards in 2023,                challenging terrain thanks to the         "Financial Integrity Rating on
     including those from              strong coordination between the           Money Laundering and Terrorism
     IICD and PPATK.                   BOD and the BOC along with                Financing" from PPATK and the
                                       the committees under the BOC.             Company’s inclusion in the IICD
                                       We held joint meetings with the           list of “Top 50 Big Capitalization
                                       BOD, where they reported on               Public Listed Companies” in
                                       key processes in the business.            terms of governance performance
                                       In these meetings, the BOC                for the third consecutive year.
                                       conveyed direction and advice             These two awards make up a
                                       on various topics of concern,             multi-year string of accolades in
                                       without encountering any                  recognition of BFI Finance as a
                                       obstacles. In addition, the BOC           first-rate multifinance.
                                       fostered productive relationships
                                       with various stakeholders,                Changes in BOC
                                       including the authorities and             Composition
                                       minority shareholders.
                                                                                 Based on the 16 May 2023 EGMS
                                       Success in carrying out our               resolution, the BOC composition
                                       supervisory role as the BOC was           was changed with the succession
                                       enabled by reliable committees            of Mr. Dominic John Picone from
                                       led by the two Independent                his role as Commissioner by Mr.
                                       Commissioners in the Company.             Saurabh Narayan Agarwal, who
                                       The Audit Committee and the               was appointed for a five-year term,
                                       Risk Oversight Committee, led             2023–2028. Representing the BOC,
                                       by Mr. Johanes Sutrisno, ensured          I express our respect and gratitude
                                       that all business processes               to Dom, a capable colleague
                                       were carried out well within the          that had contributed positively
                                       corridor of strict regulations            to the progress of the Company.
                                       and in line with the Company’s            We warmly welcome Saurabh’s
                                       risk appetite. Meanwhile, the             joining the Company and have
                                       Nomination and Remuneration               also begun to work together
                                       Committee chaired by Mr.                  fruitfully with him in carrying out
                                       Alfonso Napitupulu provided               our supervisory duties.
                                       assurance that nomination
                                       and remuneration policies and
                                       practices are attuned to industry
                                       best practices and the Company’s
                                       internal capacity. These three
                                       committees routinely submit
                                       reports and recommendations
                                       according to their respective
                                       purviews to the BOC, to obtain
                                       our direction to be followed up
                                       by management.




34                                                              PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 37
   MANAGEMENT DISCUSSION      GOOD CORPORATE                                            ANNUAL FINANCIAL
                                                   SUSTAINABILITY   SUPPORTING DATA                        APPENDICES
   AND ANALYSIS               GOVERNANCE                                                STATEMENTS




   View of Business Plan                       The global economy will be a           Closing
                                               highly dynamic one in 2024,
   and Prospect                                and we believe Indonesia will          We thank the shareholders
   Having brought to the fore                  be able to grow at a relatively        and stakeholders who have
   the Company’s resilience in                 stable pace. Private consumption       provided support to BFI
   overcoming disruptions in 2023              is expected to be the growth           Finance, especially given that
   to quickly return to growth, the            engine, while investment               2023 has taught the Company
   BOD has presented a plan for                will escalate under the new            an invaluable lesson. We are
   2024 to the BOC. We have looked             administration’s guidance. As          indebted to many, including our
   at the various elements of their            Indonesia is shifting gear in          customers, business partners,
   exposition, according to which,             anticipation of the 2045 Golden        and investors, whose loyalty and
   2024 will be a monumental                   Indonesia era, a foundation for        trust always motivate us in our
   year for BFI Finance’s growth.              inclusive, green, and sustainable      endeavor to serve better. With
   Various capabilities that have              economic growth is being built.        all stakeholders, BFI Finance will
   been and continue to be built               All of this spells fertile ground      persevere with its aim to boost its
   in digitalization and automation            for the Company to cultivate           relevance in serving this nation’s
   will be increasingly utilized               the market segments that over          financing needs, and render the
   to expedite the Company’s                   the years have been its bread-         economy stronger together.
   business transformation amidst              and-butter, and also to carve out
   the burgeoning of the digital               new market niches by means
   financial ecosystem and the                 of partnerships. We give full
   ever-keener competition. This               backing to the BOD to enact this
   is the crux of the Continuous               plan with wisdom and audacity.
   Reinvention spirit that underlies
   BFI Finance’s strategy to be
   a leader in the multifinance
   industry in terms of efficiency,
   innovation, and collaboration.




                                           On behalf of the Board of Commissioners of
                                                 PT BFI Finance Indonesia Tbk,




                                                      Kusmayanto Kadiman
                                                    President Commissioner




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                            35
Page 38
                     2023 PERFORMANCE                                                      BUSINESS
 ABOUT THIS REPORT                      REPORTS TO STAKEHOLDERS       COMPANY PROFILE
                     HIGHLIGHTS                                                            SUPPORTING UNITS




 THE BOARD OF COMMISSIONERS




36                                                           PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 39
   MANAGEMENT DISCUSSION      GOOD CORPORATE                                           ANNUAL FINANCIAL
                                                   SUSTAINABILITY   SUPPORTING DATA                        APPENDICES
   AND ANALYSIS               GOVERNANCE                                               STATEMENTS




                                                                                      From left to right

                                                                                      Johanes Sutrisno
                                                                                      Independent Commissioner
                                                                                      Sunata Tjiterosampurno
                                                                                      Commissioner
                                                                                      Kusmayanto Kadiman
                                                                                      President Commissioner

                                                                                      Alfonso Napitupulu
                                                                                      Independent Commissioner
                                                                                      Saurabh Narayan Agarwal
                                                                                      Commissioner




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                            37
Page 40
                      2023 PERFORMANCE                                                      BUSINESS
 ABOUT THIS REPORT                       REPORTS TO STAKEHOLDERS       COMPANY PROFILE
                      HIGHLIGHTS                                                            SUPPORTING UNITS




 REPORT OF THE BOARD OF DIRECTORS




 We continued to lay the
 foundations of more agile and
 rigorous systems to serve the
 market better.

 Francis Lay Sioe Ho
 President Director




 Dear Shareholders and
 Stakeholders,

 As we reflect on another
 challenging year, we see how
 the Company has evolved and
 navigate the obstacles during the
 year. After strong post-pandemic
 recovery in 2022, BFI Finance
 faced some unexpected and
 formidable challenges in 2023.
 Through this, we learnt to be
 resilient, cautious, and more agile
 as we stepped up our awareness
 of risk management.

 In 2023, Indonesia’s economy
 charted a path of moderate
 growth of about 5.05%. This was
 somewhat short of expectations,
 with shrinking exports and




38                                                            PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 41
   MANAGEMENT DISCUSSION      GOOD CORPORATE                                            ANNUAL FINANCIAL
                                                   SUSTAINABILITY    SUPPORTING DATA                       APPENDICES
   AND ANALYSIS               GOVERNANCE                                                STATEMENTS




   soft household spending.                    As we reflect back to the               levels gradually returned to
   Globally, inflation following loose         incident, we feel a sense of            normal, we took time to revamp,
   monetary policies during the                humility, and a dent to our             and in some instances replace
   pandemic forced central banks               track record. We deactivated            wholesale, critical components
   to act fast, lifting interest rates         our systems to prevent further          in the Company’s technological
   to prevent the economy from                 harm and protect our data               backbone, leading towards full
   overheating. Indonesia’s inflation          from being stolen or destroyed          recovery by Q3 2023.
   was well within Bank Indonesia’s            by the perpetrators, and set
                                                                                       During and after the incident
   target range, as the central bank           emergency protocols into
                                                                                       recovery, the BOD was deeply
   raised BI7DRR early in the year,            motion in a calculated manner
                                                                                       involved in coordinating
   with another hike in October, for           to dampen the impact and
                                                                                       the system recovery effort,
   a total of 0.50%.                           systematically worked our way
                                                                                       communicating with key
                                               towards full operation recovery.
   The multifinance industry also                                                      stakeholders, mainly regulators,
                                               At the top of our mind was how
   chugged along, recording                                                            investors, lenders and customers.
                                               to continue serving customers,
   modest growth in a year of                                                          Subsequently, BOD revisited
                                               while keeping stakeholders
   missing targets, where car sales                                                    business plans and leading the
                                               informed of our actions and
   showed 4% decrease compared                                                         execution thereof. Key initiatives
                                               plans to deal with the matter.
   to 2022. Slight deterioration in                                                    in 2023 included accelerating
                                               We were transparent from the
   receivables quality to 2.44% was                                                    process automation and
                                               beginning, and provided full
   recorded, compared to 2.32% the                                                     strengthening data analytics
                                               disclosure to regulators as well
   year before whilst the industry                                                     capabilities for us to evaluate
                                               as the market on the incident.
   notched a 13.2% overall growth                                                      financing applications, engage
                                               It was a monumental task for
   in 2023, supported largely                                                          customers, and perform
                                               everyone in the Company, from
   by investment and working                                                           collection more optimally. These
                                               back office staff all the way to
   capital loans.                                                                      were supported by granular
                                               frontliners and collection officers,
                                                                                       upgrades to work systems and
                                               to maintain operations while
   Strategy Execution                                                                  procedures, and continuation of
                                               being inundated by inquiries
   and Operations                              from all sides and with what
                                                                                       several pilot projects.

                                               limited means available. We put
   BFI Finance started the year                                                        Financial Performance
   on a high note, continuing                  our best foot forward from the
   our momentum carried over                   start, each going the extra mile        The Company’s 2023 financial
   from 2022. In the first quarter             to sort out any consequential           achievements were below target
   of 2023, our business was                   issues as effectively as possible.      due to the mid-year operational
   robust. We continued to lay the                                                     disruption. Aggregate New
                                               It is a mark of resilience to
   foundations of more agile and                                                       Financing stood at Rp19.1 trillion
                                               bounce back following an
   rigorous systems to serve the                                                       in 2023, 5.0% lower than 2022
                                               episode of adversity and grow
   market better, and we focused                                                       figure and 85.4% of the target
                                               from the challenge. It was
   on strengthening our collection                                                     for the year. At year-end, Total
                                               what our teams demonstrated,
   capability, whilst continuing our                                                   Managed Receivables amounted
                                               starting from restoring
   upgrades across the board.                                                          to Rp22 trillion, 7.4% above prior
                                               customer-facing services to
                                                                                       year’s figure and 90.3% of our
   Our biggest challenge came                  reasonable levels within days.
                                                                                       target. Our financing portfolio
   in May 2023, when our IT                    In the ensuing weeks, extensive
                                                                                       composition in 2023 remained
   infrastructure was breached.                investigations and IT audit
                                                                                       dominated by our core offering,
   Given the scale of our operations,          were undertaken by the digital
                                                                                       Non-Dealer Financing (NDF),
   and the increasing dependence               forensics team, aided by expert
                                                                                       making up 70.0% of Total New
   on digital technologies, this               consultants. The root cause was
                                                                                       Financing and 62.7% of Total
   attack has a significant impact to          found and addressed, thereafter
                                                                                       Managed Receivables.
   our operations.                             additional measures were set
                                               up to correct lapses. As service




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                            39
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                    2023 PERFORMANCE                                                           BUSINESS
ABOUT THIS REPORT                           REPORTS TO STAKEHOLDERS       COMPANY PROFILE
                    HIGHLIGHTS                                                                 SUPPORTING UNITS




                                       Improvements in new bookings               Risk Management and
     Our asset                         were achieved in Heavy
                                       Equipment Financing, Dealer
                                                                                  Corporate Governance
     composition
                                       Financing, and Sharia Financing.           BFI Finance maintained close
     remained healthy.
                                       Our segmentation shift in                  communication with regulators
     We continued
                                       Heavy Equipment Financing                  and all stakeholders throughout
     to be able to                     towards higher-grade customers             2023, and especially during
     secure funding at                 increased by 11.0% and cost of             the cyberattack mitigation.
     competitive rates and             credit declined accordingly. In            We continued to have a robust
     received corporate                Dealer Financing and Sharia                disclosure policy by regular
     rating upgrade.                   Financing, we grew 28.2% and               reporting of the Company’s
                                       30.3% respectively, albeit their           business progress and plans
                                       prior year figures were still rather       to our shareholders through
                                       small. These three segments at             BOC–BOD joint meetings,
                                       the end of 2023 made up 27.3% of           analyst meetings, and to
                                       the Total Managed Receivables.             the stakeholders through
                                                                                  public expose. We sought and
                                       Our asset composition remained
                                                                                  considered recommendations
                                       healthy and we continued to be
                                                                                  from various parties, and put
                                       able to secure funding at rates
                                                                                  most of these into action,
                                       lower than industry average.
                                                                                  with an aim to make our
                                       Fitch Ratings’ upgrade of BFI
                                                                                  operations more secure and our
                                       Finance’s National Long-Term
                                                                                  governance sturdier.
                                       Rating to ‘AA-(idn)’ was obtained
                                       in March. The Company’s was                We concluded 2023 with our
                                       again able to secure USD 150               Non-Performing Financing
                                       million in syndicated and                  (NPF) standing at 1.36%. This
                                       bilateral loans from various               was higher than 2022 figure yet
                                       offshore lenders. In addition, we          still much lower than industry
                                       also obtained Rp3.8 trillion of            average. We maintain an
                                       fresh funds at competitive rates           adequate allowances to protect
                                       through three shelf-registered             our position against future
                                       bonds issuance.                            impairments. Throughout the
                                                                                  year, we made adjustments
                                       BFI Finance also continues to
                                                                                  to our risk management tools
                                       take an expansionary approach
                                                                                  to monitor our financing
                                       and create greater shareholder
                                                                                  receivables quality and manage
                                       value. With Total Income for 2023
                                                                                  our cost of credit.
                                       reaching Rp6.4 trillion, we
                                       booked Profit for the Year of              At the EGMS on 16 May 2023,
                                       Rp1.64 trillion, 9,0% lower than           the shareholders accepted
                                       in 2022 and 79.5% of the 2023              the resignation of our valued
                                       target, allowing us to distribute          colleague, Mr. Sigit Hendra
                                       interim dividends of Rp28 per              Gunawan, from his position as
                                       share in December 2023.                    Enterprise Risk Director. His
                                                                                  portfolio has since been taken
                                                                                  up temporarily by myself and
                                                                                  my fellow board member, Mr.
                                                                                  Andrew Adiwijanto, until the
                                                                                  appointment of a new Enterprise
                                                                                  Risk Director. We thank Sigit
                                                                                  for his invaluable contribution




40                                                               PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 43
   MANAGEMENT DISCUSSION      GOOD CORPORATE                                             ANNUAL FINANCIAL
                                                    SUSTAINABILITY    SUPPORTING DATA                       APPENDICES
   AND ANALYSIS               GOVERNANCE                                                 STATEMENTS




   throughout his tenure, and wish              To keep up with our outward             Acknowledgements
   him our best for the journey                 expansion, we continue to
   ahead. We also welcome Mr.                   add capacity and scale up our           What BFI Finance has achieved
   Saurabh Narayan Agarwal as                   digital capabilities. We are            was only possible with the
   Commissioner representing the                enhancing, accelerating, and            commitment and dedication
   Company’s majority shareholder.              streamlining processes so we can        of our employees. We continue
                                                serve customers better. We are          to enhance our talent pool by
   Looking Ahead:                               positioning ourselves by adding         adding innovative bright talent
                                                                                        to complement the existing
   Penetrating New                              capabilities as well as capacity in
                                                2023 in order to ready ourselves        team. The BOD extends our
   Markets                                                                              thanks and appreciation to their
                                                in our journey for continous
   For 41 years BFI Finance’s                   transformation. At the same             efforts. Their contribution and
   successes as a multifinance                  time, we continue reinforcing           the continued support of our
   company have rested on                       the guardrails of governance            shareholders, the BOC and its
   our customers’ patronage.                    and risk management to ensure           committees, business partners
   As we continue to widen                      long-term continuity and market         and regulators, and the loyalty
   our customer base across                     leadership. We are confident            and trust of our customers, are
   Indonesia by delivering tried-               about the future, drawing on            essential and have enabled the
   and-tested financing products                what we have built up over              Company to sustain its growth
   with our commitment to                       the years.                              trajectory. We will continue in our
   service, we are also striving                                                        growth journey in the coming
                                                For the shorter time horizon,           year and play a role in assisting
   to fashion new offerings and
                                                supported by the above                  Indonesia’s thriving economy.
   forge new partnerships to
                                                enhancements, we aim to
   tap into Indonesia’s younger
                                                achieve New Booking of at
   demographic. BFI Finance’s
                                                least Rp21.9 trillion (15% growth)
   value proposition needs to
                                                in 2024, which would see us
   be constantly enriched to
                                                expand our Total Assets by 10%
   cater to this market more
                                                and record a 15% increase in
   profitably, leveraging on their
                                                Profit for the Year.
   digital savviness and lifestyle
   preferences. With that in mind,
   we are enhancing collaboration
   with certain players in the
   digital ecosystem to expand our
   presence in this space.




                                               On behalf of the Board of Directors of
                                                  PT BFI Finance Indonesia Tbk,




                                                        Francis Lay Sioe Ho
                                                         President Director




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                              41
Page 44
                    2023 PERFORMANCE                                                      BUSINESS
ABOUT THIS REPORT                      REPORTS TO STAKEHOLDERS       COMPANY PROFILE
                    HIGHLIGHTS                                                            SUPPORTING UNITS




THE BOARD OF DIRECTORS




42                                                          PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 45
   MANAGEMENT DISCUSSION      GOOD CORPORATE                                           ANNUAL FINANCIAL
                                                   SUSTAINABILITY   SUPPORTING DATA                         APPENDICES
   AND ANALYSIS               GOVERNANCE                                               STATEMENTS




                                                                                      From left to right

                                                                                      Andrew Adiwijanto
                                                                                      Operations, Human Capital &
                                                                                      Asset Management Director
                                                                                      Francis Lay Sioe Ho
                                                                                      President Director
                                                                                      Sudjono
                                                                                      Finance Director
                                                                                      Sutadi
                                                                                      Business Director




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                             43
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                     2023 PERFORMANCE                                                           BUSINESS
ABOUT THIS REPORT                           REPORTS TO STAKEHOLDERS       COMPANY PROFILE
                     HIGHLIGHTS                                                                 SUPPORTING UNITS




STATEMENT OF THE BOARD OF COMMISSIONERS
ON THE RESPONSIBILITY FOR
THE 2023 INTEGRATED ANNUAL REPORT OF
PT BFI FINANCE INDONESIA Tbk
We, the undersigned, testify that all information contained in the 2023 Integrated Annual Report of
PT BFI Finance Indonesia Tbk has been presented completely and we are fully responsible for the
accuracy of the contents of the Company’s Integrated Annual Report.

This statement is hereby made in all truthfulness.



Tangerang Selatan, 26 April 2024




                                        BOARD OF COMMISSIONERS




                                             Kusmayanto Kadiman
                                            President Commissioner




           Johanes Sutrisno                                                                 Alfonso Napitupulu
     Independent Commissioner                                                         Independent Commissioner




      Sunata Tjiterosampurno                                                           Saurabh Narayan Agarwal
             Commissioner                                                                     Commissioner




44                                                               PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 47
   MANAGEMENT DISCUSSION      GOOD CORPORATE                                          ANNUAL FINANCIAL
                                                   SUSTAINABILITY   SUPPORTING DATA                               APPENDICES
   AND ANALYSIS               GOVERNANCE                                              STATEMENTS




   STATEMENT OF THE BOARD OF DIRECTORS
   ON THE RESPONSIBILITY FOR
   THE 2023 INTEGRATED ANNUAL REPORT OF
   PT BFI FINANCE INDONESIA Tbk
   We, the undersigned, testify that all information contained in the 2023 Integrated Annual Report of
   PT BFI Finance Indonesia Tbk has been presented completely and we are fully responsible for the
   accuracy of the contents of the Company’s Integrated Annual Report.

   This statement is hereby made in all truthfulness.



   Tangerang Selatan, 26 April 2024




                                               BOARD OF DIRECTORS




                                                       Francis Lay Sioe Ho
                                                        President Director




                   Sudjono                                                                               Sutadi
              Finance Director                                                                 Business Director




                                                       Andrew Adiwijanto
                                               Operations, Human Capital & Asset
                                                    Management Director




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                   45
Page 48
03
COMPANY
PROFILE




46        PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 49
   Jaringan
   ExtensiveOperasional
             Operationalyang
                         Network
                             Luas
   Equippedjaringan
   Berbekal   with vastoperasional
                          operational
                                   yangnetwork
                                         luas dan
                                               andstaf
                                                    competent
                                                       yang     talents,
   BFI FinanceBFI
   kompeten,     stands
                    Finance
                        ready
                            siap
                              to serve
                                 melayani
                                       customers
                                           konsumen
                                                  withdengan
                                                        financing solutions
   tailored
   solusi pembiayaan
            to their needs.
                        yang sesuai kebutuhan.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                  47
Page 50
                               2023 PERFORMANCE                                                                         BUSINESS
ABOUT THIS REPORT                                       REPORTS TO STAKEHOLDERS               COMPANY PROFILE
                               HIGHLIGHTS                                                                               SUPPORTING UNITS




GENERAL COMPANY INFORMATION


     Company Name                                             Domicile                                                         Established
     PT BFI Finance Indonesia Tbk                             Tangerang Selatan, Banten                                        7 April 1982
                                                              Province, Indonesia
     (abbreviated as BFI Finance)




     Legal Basis of Establishment
     The Company was established based on Deed No. 57
     made before Kartini Muljadi, S.H., Notary in Jakarta.
     The deed of establishment was approved by the
     Minister of Justice (now the Ministry of Justice and
     Human Rights) of the Republic of Indonesia through
     Decree No. C2-2091-HT.01.01.TH.82 dated 28 October
     1982 and published on the RI State Gazette No. 102
     dated 21 December 1982, Supplement No. 1390.                                                           Stock Market
                                                                                                            BFI Finance shares are listed
                                                                                                            and traded on the IDX.




                       Authorized                                   Issued and Fully                     Date of Share                       Ticker
                       Capital                                      Paid-up Capital                      Registration                        Symbol
                       Rp500                                        Rp399.2                              16 May 1990                         BFIN
                       billion                                      billion




                                                      Share Ownership

                                                      Trinugraha Capital & Co SCA                        NTAsian Discovery Fund
        40.82                          48.15          PT BFI Finance Indonesia Tbk*                      Public/Others (each below 5%)


                                                  * Result of the Company's stock buyback program in line with the EGMS resolution on
                                                    15 April 2015 and the remaining treasury stock after the MESOP implementation based on
                5.22                                the EGMS resolution on 29 June 2022
                        5.81




     Memberships in Associations




     Indonesian                   Indonesian Public          Indonesian                  Financial Services Sector             PT Rapi Utama
     Financial Services           Listed Companies           Employers’                  Alternative Dispute                   Indonesia
     Association                  Association                Association                 Resolution Institution                (RAPINDO)
     (APPI)                       (AEI)                      (APINDO)                    (LAPS SJK)




48                                                                                   PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 51
   MANAGEMENT DISCUSSION       GOOD CORPORATE                                                        ANNUAL FINANCIAL
                                                       SUSTAINABILITY          SUPPORTING DATA                               APPENDICES
   AND ANALYSIS                GOVERNANCE                                                            STATEMENTS




                   Corporate                                            Investor                                   Website
                   Secretary                                            Relations                                  www.bfi.co.id
                   corsec@bfi.co.id                                     investor@bfi.co.id




       Social Media                                  Main Business Activities
                                                     • Investment Financing                         • Multipurpose Financing
           BFI Finance
                                                     • Working Capital Financing                    • Sharia Financing
           @BFIFinance

           @bfifinance

           PT BFI Finance                                                     Total Outlets


                                                                              271
           Indonesia Tbk

           BFI Finance Official

           @BFIFinanceOfficial                                                Comprising 195 conventional branches, 45 sharia
                                                                              representative branches sharing premises with the
                                                                              conventional branches, and 31 kiosks




                            Total Employees                                                      Head Office
                                                                                                 BFI Tower, Sunburst CBD Lot 1.2

                            11,207
                                                                                                 Jl. Kapt. Soebijanto Djojohadikusumo
                                                                                                 BSD City - Tangerang Selatan 15322
                                                                                                 Indonesia
                            of whom 11,119 worked at                                                 (62-21) 2965 0300, 2965 0500
                            BFI Finance and 88 worked at
                            FIT (a subsidiary)                                                   Call Center
                                                                                                 1500018




     Business Scale                             Total           Total Liabilities        Total Net Financing       Market Share in
     As at 31 December 2023,                    Assets                                   Receivables               the Indonesian
     indicators of the Company’s                                                                                   Multifinance Industry
     business scale are
     as follows:
                                                Rp24            Rp14                     Rp21                      4.4%
                                                trillion        trillion                 trillion




     Significant Changes in 2023
     No significant changes to the Company’s line of business, scope of operations, or its supply chains,
     took place in 2023.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                               49
Page 52
                    2023 PERFORMANCE                                                           BUSINESS
ABOUT THIS REPORT                      REPORTS TO STAKEHOLDERS          COMPANY PROFILE
                    HIGHLIGHTS                                                                 SUPPORTING UNITS




COMPANY VISION AND MISSION



     VISION
     To become a trusted partner in
     financial solutions that contributes
     to the enhancement of people’s
     standard of living


     MISSION
     • To provide reliable and effective financial solutions
       to our customers
     • To deliver superior return-on-investment and sustain
       our reputation as a trusted public company
     • To provide an ecosystem that nurtures future leaders
       of the organization
     • To build long-term collaboration with business
       partners, based on mutual trust and benefit
     • To contribute positively to the society




     The Company’s Vision and Mission have been reviewed comprehensively
     to keep them up to date with the Company’s dynamic business
     development. The Company’s BOC and BOD have approved this Vision
     and Mission to be the Company’s objective of its business activities.




50                                                               PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 53
   MANAGEMENT DISCUSSION      GOOD CORPORATE                                          ANNUAL FINANCIAL
                                                   SUSTAINABILITY   SUPPORTING DATA                      APPENDICES
   AND ANALYSIS               GOVERNANCE                                              STATEMENTS




   SUSTAINABILITY VISION AND MISSION



     VISION
     SUSTAINABLE FINANCE
     To become a multifinance company that is always
     at the forefront of the non-bank financial industry
     by upholding its commitment to becoming
     a trusted partner in the public’s financial solutions,
     paying attention to the balance of achieving
     economic, social, and environmental sustainability,
     to support sustainable development of the nation
     and improve the living standards of the community
     wherever the Company operates




     MISSION
     SUSTAINABLE FINANCE
     Capable of carrying out business activities
     in a sustainable manner, supporting the
     development of entrepreneurs in the low- to
     middle-income groups to boost the local economy
     and social welfare by always paying attention
     to environmental impacts



2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                          51
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                     2023 PERFORMANCE                                                            BUSINESS
 ABOUT THIS REPORT                       REPORTS TO STAKEHOLDERS          COMPANY PROFILE
                     HIGHLIGHTS                                                                  SUPPORTING UNITS




 BRIEF COMPANY HISTORY




 Establishment                          No. 102 dated 21 December 1982,             Indonesia, under the deed made
                                        Supplement No. 1390. MHLC’s                 before Inge Hendarmin, S.H.,
 BFI Finance is one of the              shareholding in the Company                 a Notary in Jakarta, dated
 pioneers in the financing sector       was 70%, with the rest owned by             17 September 1986, and approved
 in Indonesia. Initially established    Indonesian nationals.                       by the RI Minister of Justice by
 as PT Manufacturers Hanover                                                        virtue of its Decree No. C2-6977.
 Leasing Indonesia, a joint             The Company was granted the
                                                                                    HT.01.04.TH.86 dated 7 October
 venture with Manufacturers             finance institution business
                                                                                    1986, and published on the
 Hanover Leasing Corporation            license as a leasing company
                                                                                    RI State Gazette No. 94 dated
 from the United States, the            from the RI Minister of Finance
                                                                                    25 November 1986, Supplement
 Company was established on             under the Decree No. KEP-038/
                                                                                    No. 1451.
 7 April 1982 under the Notarial        KM.11/1982 dated 12 August 1982.
 Deed No. 57 made before                In 1986, PT Bank Umum Nasional              Development
 Kartini Muljadi, S.H., a Notary in     and Essompark Ltd., Hong Kong,
 Jakarta, and approved by the RI                                                    In 1990, the Company became
                                        took over Manufacturers Hanover
 Minister of Justice by virtue of                                                   one of the first multifinance
                                        Leasing Corporation’s ownership
 its Decree No. C2-2091-HT.01.01.                                                   companies to list its shares at
                                        of the Company, and later
 TH.82 dated 28 October 1982, and                                                   the Jakarta Stock Exchange and
                                        changed the Company name
 published on the RI State Gazette                                                  Surabaya Stock Exchange (both
                                        to PT Bunas Intitama Leasing




52                                                                 PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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   MANAGEMENT DISCUSSION      GOOD CORPORATE                                            ANNUAL FINANCIAL
                                                   SUSTAINABILITY    SUPPORTING DATA                       APPENDICES
   AND ANALYSIS               GOVERNANCE                                                STATEMENTS




   now known as IDX), with the                 to Articles 3 and 15 of the             Internationally, following its
   ticker symbol of BFIN. The name             Company’s articles of association,      2021 and 2022 achievements,
   and status of the Company were              which have been received and            the Company’s performance
   adjusted to PT Bunas Finance                registered in the database of the       was acknowledged by the
   Indonesia Tbk. The Company                  Legal Entities Administration           prestigious online media portal,
   also altered its operating license          System of the RI Ministry of Law        Asiamoney.com , as Indonesia
   to a multifinance company,                  and Human Rights by virtue of its       Outstanding Company in
   pursuant to the Decree of the               Letter No. AHU-0052483.AH.01.02.        Financials Sector based on the
   RI Minister of Finance No. 493/             Tahun 2022 dated 27 July 2022.          “Asia's Outstanding Companies
   KMK.013/1990 dated 23 April 1990.           The amendment was announced             Poll 2023” (AOCP 2023). Besides
                                               on the RI State Gazette No. 74          accolades for its business and
   After overcoming the 1997 Asian
                                               dated 16 September 2022,                finance, BFI Finance also won
   financial crisis, the Company
                                               Supplement No. 31534.                   awards and accolades in various
   successfully restructured its debts
                                                                                       other fields, such as the ISO/
   in 2001 and changed its name
                                               BFI Finance Today                       IEC 27001:2013 Information
   to PT BFI Finance Indonesia Tbk,
                                                                                       Security Management System
   under the Notarial Deed No. 116             BFI Finance is now among the
                                                                                       certification, good corporate
   made before Aulia Taufani, S.H.,            top multifinance companies in
                                                                                       governance (GCG), Anti-Money
   previously Sutjipto, S.H., a Notary         Indonesia, known for its widest
                                                                                       Laundering and Combating
   in Jakarta, dated 27 June 2001,             coverage and product range,
                                                                                       Terrorism Financing (AML–CFT),
   that was approved by the RI                 employing 11,207 personnel
                                                                                       HC management, corporate
   Minister of Law and Human                   in 271 outlets in 35 provinces.
                                                                                       secretary and corporate
   Rights by virtue of its Decree
                                               BFI Finance has demonstrated            communications performance,
   No. C-03668.HT.01.04.TH.2001
                                               continuous growth, as made              digital brand index, as well
   dated 24 July 2001 and published
                                               evident by the numerous awards          as sustainable practices for
   on the RI State Gazette No. 35
                                               it has won for its business             multifinance companies.
   dated 30 April 2002, Supplement
                                               performance, among others,
   No. 4195.                                                                           Details of the Company’s awards
                                               retaining the title of “Multifinance
                                                                                       and accolades in 2023 are
   On 20 February 2006, the RI                 Company with Excellent Financial
                                                                                       presented in the Awards and
   Minister of Finance amended                 Performance” from InfoBank
                                                                                       Recognition section in the 2023
   the Company’s business license              magazine for fifteen consecutive
                                                                                       Performance Highlights chapter
   through the Decree No. KEP-038/             financial years (2008-2022),
                                                                                       (pages 28–29).
   KM.5/2006 to amend the business             an achievement for which it
   license previously granted to               received the Infobank Titanium          As at 31 December 2023,
   PT Bunas Finance Indonesia                  Trophy 2023. This high-profile          Trinugraha Capital & Co SCA was
   Tbk to the date of the approval             trophy is testament to the              the controlling shareholder of
   of the Company’s name change                Company’s sterling performance          BFI Finance, with a 48.15% stake.
   to PT BFI Finance Indonesia                 for four years in a row.
                                                                                       Since 2013, the Company’s
   Tbk under the Decree of the
                                               For yet another year, the               Head Office has been located
   RI Minister of Law and Human
                                               Company was garnered the                in BFI Tower, Sunburst CBD
   Rights No. C-03668.HT.01.04.
                                               Infobank Multifinance Awards            Lot 1.2, Jl. Kapt. Soebijanto
   TH.2001 dated 24 July 2001.
                                               2023 in the category of “Financial      Djojohadikusomo, BSD City,
   The Company’s articles of                   Companies with Assets of                Tangerang Selatan 15322,
   association have been amended               Rp10 Trillion and Above” with           Banten Province.
   several times. The latest                   “Excellent” financial performance
   amendment was made under the                throughout 2022 and occupied
   Deed of Statement of Meeting                the First Rank in the rating of
   Resolution on the Amendment to              139 multifinance companies in
   the Articles of Association No. 19          Indonesia, based on the survey
   dated 29 June 2022, made before             results from Infobank Research
   Shanti Indah Lestari, S.H., M.Kn.,          Bureau in 2023.
   Notary in Tangerang Regency, on
   the approval of the amendments




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                               53
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                       2023 PERFORMANCE                                                            BUSINESS
ABOUT THIS REPORT                         REPORTS TO STAKEHOLDERS           COMPANY PROFILE
                       HIGHLIGHTS                                                                  SUPPORTING UNITS




MILESTONES

                                                • Obtained a multifinance business license, which was renewed
     1982                                         in 1990

                                                • Conducted an Initial Public Offering on the Jakarta Stock
• The Company was founded                         Exchange and the Surabaya Stock Exchange (now Indonesia
  under the name of                               Stock Exchange/IDX) with ticker symbol of BFIN by issuing
  PT Manufacturers Hanover                        25% of new shares (2,125,000 shares) offered to the public at
  Leasing Indonesia                               Rp5,750 per share with nominal price of Rp1,000 per share

• Obtained a finance                            • The Company’s status and name was changed to PT Bunas
  institution business license                    Finance Indonesia Tbk
  (leasing)

                                                     1990                           1994

                                                                               • Conducted Limited Public Offering I
                                                                                 (Rights Issue I) for 28,829,558 shares




                    2018                                                                   2017

             • The Company obtained the                                               • Established of a subsidiary,
               license from OJK to run                                                  PT Finansial Integrasi Teknologi
               the Sharia Business Unit by                                              (FIT), a company that provides
               offering products marketed                                               IT-based money borrowing
               via online and conventional                                              and lending services, based on
               channels through its sharia                                              the peer-to-peer (P2P) lending
               representative branches across                                           concept
               Indonesia, and launched
               two initial sharia financing
               products, i.e., for umrah and
               halal travel                                             2022
             • FIT was registered on the OJK
                                                                    • Trinugraha Capital & Co SCA (TCC) conducted
               and commenced operations
                                                                      a Voluntary Tender Offer of the Company’s shares
               officially via Pinjam Modal
               platform                                             • Mr. Jerry Ng became the Company’s controlling
                                                                      shareholder upon passing the OJK’s fit and
                                                                      proper test

                                                                    • Transfer of 75 million treasury shares of the
                    2020                                              Company to eligible management personnel
                                                                      and employees via MESOP

             • FIT obtained a Business                              • The Company recorded the highest-ever assets,
               License from OJK as the                                new bookings, and net income for the year in its
               provider of IT-based lending                           40-year history in the industry
               and borrowing services




54                                                                   PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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   MANAGEMENT DISCUSSION      GOOD CORPORATE                                            ANNUAL FINANCIAL
                                                   SUSTAINABILITY     SUPPORTING DATA                       APPENDICES
   AND ANALYSIS               GOVERNANCE                                                STATEMENTS




                     2001                               2006                                2007

                • Completed financial              • Amended the Company’s              • Conducted an initial bond
                  restructuring, resulting           business license to                  offering for BFI Finance
                  in a change of majority            accommodate the                      Indonesia Bonds
                  shareholder                        Company’s name change                Year 2007 With Fixed
                                                                                          Interest Rate
                • The Company                      • Full repayment of debts
                  changed its name                   under debt restructuring           • Obtained a rating of
                  to PT BFI Finance                  exercise                             ‘Baa1(id)’ from Moody’s
                  Indonesia Tbk                                                           Investors Service




                 2016                                          2015                                2011

            • Obtained the ‘AA-(idn)’                     • Conducted stock buyback          • Trinugraha Capital & Co
              rating with Outlook Stable                    program to improve                 SCA became a controlling
              from Fitch Ratings from                       the Company’s capital              shareholder with a
              previously ‘A+(idn)’ with                     management                         44.95% stake
              Outlook Positive
                                                                                             • Obtained a rating of
                                                                                               ‘A(idn)’ from Fitch Ratings




                  2023
            • Signing of Guaranteed Syndicated Term
              Facility amounting to USD 150 million
            • Upgrading of Long-Term National Rating
              from ‘A+(idn)’ to ‘AA-(idn)’ with Outlook
              Stable from Fitch Ratings




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                             55
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                        2023 PERFORMANCE                                                             BUSINESS
 ABOUT THIS REPORT                         REPORTS TO STAKEHOLDERS           COMPANY PROFILE
                        HIGHLIGHTS                                                                   SUPPORTING UNITS




 CORE VALUES AND CORPORATE CULTURE




 G
                                                        Definition

                     Grow and Improve
                                                        Continuing to improve oneself as a contribution to the Company
                                                        This value is adapted into three main behaviors, namely:
                     Continuously
                                                              Studious                  Innovative                Proactive




 R
                                                        Definition
                                                        Cultivating mutual respect and care to maintain a positive

                     Respect and Care
                                                        work environment
                                                        This value is adapted into three main behaviors, namely:


                                                              Respect             Positive Solution                Caring




 E
                                                        Definition
                                                        Giving the best service to ensure internal and external

                     Excellent Service
                                                        customers’ satisfaction
                                                        This value is adapted into three main behaviors, namely:


                                                              Positive Attitude          Responsive               Professional




 A
                                                        Definition
                                                        Maintaining integrity in every action to maintain professional

                     Absolute Integrity
                                                        reputation of oneself and the Company’s
                                                        This value is adapted into three main behaviors, namely:


                                                              Honest                   Consistent                  Compliant




 T
                                                        Definition

                     Trust and
                                                        Maintaining a spirit of cooperation and mutual trust to achieve
                                                        mutual goals

                     Team Spirit                        This value is adapted into three main behaviors, namely:


                                                              Communicative             Cooperative                Synergic




 The Core Values underlying the Corporate Culture have been reviewed comprehensively to keep them up
 to date with the Company’s dynamic business development. The Company’s BOC and BOD have approved
 the Core Values and Corporate Culture to be the key guidelines for all employees in achieving the Company’s
 objectives of its business activities.




56                                                                   PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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   MANAGEMENT DISCUSSION      GOOD CORPORATE                                          ANNUAL FINANCIAL
                                                   SUSTAINABILITY   SUPPORTING DATA                      APPENDICES
   AND ANALYSIS               GOVERNANCE                                              STATEMENTS




   To promote the digital transformation process development and the implementation of such processes to
   achieve BFI Finance’s goal of becoming a tech-based multifinance company, with full support from all of the
   Company’s workforce at all levels, on 17 October 2022 the Human Capital (HC) Department launched the “BFI
   New Mindset”. Accompanied by the #NewMindset hashtag, the three-point launch, which is a statement of
   agreement among the management and all employees of the Company to adopt this new positive mindset
   and behavior, consists of:




      Dare to Try                                Empower and                            Listen, Speak
      and Learn                                  Collaborate with                       Up, and Take
                                                 Other Parties                          Responsibility


      Definition: Possessing                     Definition: Proactive in              Definition: Willing to
      the courage to try new                     supporting others to carry            listen and consider others’
      approaches or new ways                     out work according to the             opinions when making
      of solving problems, and                   set targets, and establishing         decisions, and possessing
      willing to learn from one’s                effective collaboration with          a strong initiative to take
      own successes or failures                  other parties to achieve              responsibility for the
                                                 common goals                          consequences of these
                                                                                       decisions




   The three new mindsets and behaviors of the Company’s workforce aim to complement the G.R.E.A.T.
   Core Values and Corporate Culture, which remain applicable to this day. How the “BFI New Mindset”
   is disseminated and applied among the employees is detailed in the Human Resources section of the
   Sustainability chapter (page 263–269).




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                          57
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                     HIGHLIGHTS                                                                 SUPPORTING UNITS




 CORPORATE IDENTITY




      Logogram


                                                                                                             Company
                                                                                                             Name




       Logotype




 The logo of BFI Finance has been designed to reflect the Company’s identity and values. The logo comprises
 three main elements, namely logogram, logotype, and company name. In their usage for all kinds of
 purposes, the logogram and the logotype are inseparable. The various configurations of placement of the
 logogram, logotype, and company name, along with the color palettes that are allowed, are detailed in a
 Corporate Brand Guidelines document in BFI Finance, titled “Brand Visual Identity”.




58                                                                PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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                                                        SUSTAINABILITY       SUPPORTING DATA                                 APPENDICES
   AND ANALYSIS                    GOVERNANCE                                                          STATEMENTS




   LINE OF BUSINESS


   Business Activities
   In accordance with POJK                          The scope of business of each of               •     Funding Facility;
   No. 35/POJK.05/2018 (POJK 35) on                 the above is carried out through
                                                                                                   •     Factoring (with recourse);
   Execution of Finance Companies’                  these means:
   Businesses, the Company’s scope                                                                 •     Financing of projects,
                                                    •   Finance Lease;
   of business covers the following:                                                                     infrastructure, and others.
                                                    •   Sale and Leaseback;
   •     Investment Financing;                                                                     Currently, the Company is
                                                    •   Installment Financing, or                  engaged in the following
   •     Working Capital Financing;
                                                        also known as Consumer                     business activities:
   •     Multipurpose Financing; and                    Financing;

   •     Other financing activities                 •   Working Capital Facility;
         approved by OJK.



   Table 9 • The Company’s Business Activities


                                                                                          Type of Business Activities
                           Means of Financing
                                                                     Investment      Working Capital         Multipurpose
                                                                                                                             Other Financing
                                                                      Financing        Financing              Financing
       Conventional Financing
       Finance Lease                                                     √                     -                   -                -
       Sale and Leaseback                                                √                     √                   -                -
       Consumer Financing                                                √                     -                   √                -
       Working Capital                                                   -                     √                   -                -
       Funding Facility                                                  -                     -                   √                -
       Factoring                                                         -                     -                   -                -
       Project Financing and Others                                      -                     -                   -                -




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                             HIGHLIGHTS                                                                             SUPPORTING UNITS




 Table 9 • The Company’s Business Activities


                                                                                            Type of Business Activities
                       Means of Financing
                                                                                                Sale and Purchase
                                                                   Investment Financing                                    Services Financing
                                                                                                    Financing
    Sharia Financing
    Wadi’ah                                                                    -                         -                             -
    Mudharabah                                                                 -                         -                             -
    Musyarakah                                                                 -                         -                             -
    Murabahah                                                                  -                         √                             -
    Salam                                                                      -                         -                             -
    Istisna                                                                    -                         -                             -
    Ijarah                                                                     -                         -                             √
    Ijarah Muntahiyah Bittamlik                                                -                         -                             -
    Qardh                                                                      -                         -                             -
    Al-Bai’ wa al-Isti’jar                                                     -                         -                             √


Based on the amendment                          1.     Financing of Cars via Dealers                Finance Lease
to the Company’s articles                              Cars financing via dealers
                                                                                                    Finance Lease business includes
of association as stated in                            has been BFI’s core business
                                                                                                    financial services aimed at
Deeds No. 6 and No. 7 dated                            for more than 25 years. This
                                                                                                    individual and corporate
25 October 2017, the Company                           product, offered in almost all
                                                                                                    customers who purchase or
is also engaged in sharia-based                        branches, provides financing
                                                                                                    engage in sale and leaseback of
financing activities based                             facilities for new and used cars
                                                                                                    heavy equipment, machinery,
on Article 4 of POJK                                   purchased via dealer partners.
                                                                                                    motor vehicles, and other
No. 10/POJK.05/2019 on Business                        The financing term ranges
                                                                                                    equipment, in new or used
Operations of Sharia Finance                           from one to up to four years,
                                                                                                    condition. Customers of the
Companies and Sharia Business                          with a fixed interest
                                                                                                    Company’s Finance Lease
Units of Finance Companies                      2. Non-Dealer Financing of Cars
                                                                                                    business generally come
(POJK 10), comprising:                             and Motorcycles
                                                                                                    from the mining, trading,
•     Sale and Purchase Financing;                 Non-dealer financing was
                                                                                                    construction, services, agriculture,
•     Investment Financing; and/or                 introduced in 2006 to
                                                                                                    manufacturing, transportation,
                                                   serve the financing needs
•     Services Financing.                                                                           infrastructure, and other sectors.
                                                   of the customers (car and
                                                   motorcycle owners) directly,                     Sharia-based Consumer
Business Segments
                                                   as well as existing customers                    Financing
In line with the division of                       with repeat orders, new
                                                                                                    Sharia-based financing was
business activities in which                       customers referred by existing
                                                                                                    started in 2018. The Company’s
the Company is engaged, as                         customers (Customer-Get-
                                                                                                    Sharia Business Unit (SBU) has
explained above, the types of                      Customer program), or
                                                                                                    received approval from OJK to
business activities the Company                    through independent sales
                                                                                                    conduct and market the use
conducts, by segment, are as                       agents and Telesales Call
                                                                                                    of deeds from sharia-based
follows:                                           Centers (direct marketing
                                                                                                    financing, namely:
                                                   and sales). The Company’s
Consumer Financing                                                                                  1.   Ijarah contract for umrah
                                                   target market is the low-to-
Consumer Financing includes                        middle income segment.                                financing;
the financing of new and used                                                                       2. Ijarah contract for halal travel
cars purchased via dealers, and                                                                        financing;
financing via the Company’s sales                                                                   3. Ijarah contract for financing of
representatives (non-dealers) with                                                                     various services;
used cars and used motorcycles
as collateral).


60                                                                                 PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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                                                   SUSTAINABILITY   SUPPORTING DATA                            APPENDICES
   AND ANALYSIS               GOVERNANCE                                                   STATEMENTS




   4. Ijarah contract for education            4. My B-Share for multipurpose         Financing Product
      financing;                                  financing or refinancing, for
                                                  productive and consumptive
                                                                                      by Asset Type
   5. Murabahah contract for
      motorized vehicle financing;                purposes, such as for tuition,      Consumer Financing and Finance
                                                  home renovation, and                Lease business segments cover
   6. Murabahah contract for
                                                  business development.               the following product portfolio by
      financing of various goods;
                                                                                      asset type:
      and                                      Marketing for My Ihram (umrah
                                               financing), My Safar (halal            1.        New cars;
   7. Al-Bai’wa al-Isti’jar contract for
      sharia refinancing, for which            travel financing), and My Ta’lim       2. Used cars;
      the license was obtained                 (education financing) products         3. Used motorcycles;
      by the SBU pursuant to the               are temporarily deactivated, in
                                                                                      4. Heavy equipment,
      approval letter from OJK                 line with the SBU management’s
                                                                                         consisting of:
      No. S-1027/NB.213/2022 dated             focus on marketing sharia
                                               financing for goods and services,            •     Heavy equipment;
      10 October 2022.
                                               and with the policy of requiring             •     Trucks and public
   Out of the seven sharia financing           collateral in the form of proof of                 transportation;
   products, all managed by the                ownership of motorized vehicles.             •     Machinery;
   SBU, the Company focused only
   on marketing four products,                 All the above financing                      •     Other equipment; and
   namely:                                     contracts are marketed online          5. Property.
                                               via BFI Finance Syariah microsite,
   1.   My Hajat for financing of                                                     Further explanation on the
                                               syariah.bfi.co.id, other digital
        various services, such as                                                     Company’s product portfolio is
                                               marketing channels, and
        house/shophouse contract                                                      presented in the Management
                                               conventionally via the sharia
        services, home renovation,                                                    Discussion and Analysis chapter
                                               representative branches across
        and consultancy;                                                              of this Integrated Annual Report
                                               45 locations in various regions
   2. My Car Syariah for financing of                                                 (pages 120–127).
                                               in Indonesia.
      used four-wheeled motorized
      vehicles;                                Pursuant to Article 12 of POJK 10,
                                               BFI Finance has established the
   3. My Faedah for financing
                                               Sharia Product and Business
      of various goods, such
                                               Activity Development Committee
      as construction material,
                                               since 2021, chaired by the head of
      household goods, and other
                                               the SBU.
      goods that are beneficial to
      society; and




                                          I Made Artaya
                                          Dealer and Owner of Artha Jaya Motor
                                          Denpasar, Bali

                                          Cooperating with BFI Finance has been a truly impressive
                                          experience. They offer attractive bonuses and expand the network
                                          to other dealers. It feels to me like being part of a big family where
                                          everyone is so supportive of each other towards a common goal.
                                          The process is fast, and BFI Finance’s service is top-notch. I hope in
                                          the future the financing application processing time will be shorter
                                          and the down payments lighter.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                61
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  ABOUT THIS REPORT                             REPORTS TO STAKEHOLDERS            COMPANY PROFILE
                        HIGHLIGHTS                                                                            SUPPORTING UNITS




  MAP AND OPERATIONAL NETWORK




                                                                                     Kalimantan

                                                                          Branches     Kiosks      Sharia

                                                                            22            3           5




            Sumatra

Branches      Kiosks   Sharia

  40            0        8

                                  Jabodetabek

                       Branches      Kiosks     Sharia

                          27           14         10                          Java, Bali & Nusa Tenggara

                                                                          Branches      Kiosks       Sharia

                                                                             64            8          17




 62                                                                         PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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   MANAGEMENT DISCUSSION      GOOD CORPORATE                                                              ANNUAL FINANCIAL
                                                       SUSTAINABILITY       SUPPORTING DATA                                  APPENDICES
   AND ANALYSIS               GOVERNANCE                                                                  STATEMENTS




                                           Eastern Indonesia
                                       (Sulawesi, Maluku, Papua)

                                  Branches           Kiosks     Sharia

                                     42               6             5




                                     Distribution of Branches, Kiosks, and Sharia 2021-2023
                                     (as of 31 December 2023)

                                     2021      217                                  57        45         319


                                     2022      203                             34        45        282


                                     2023      195                            31         45    271



                                        Branches           Kiosks        Sharia




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                              63
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      ABOUT THIS REPORT                                   REPORTS TO STAKEHOLDERS             COMPANY PROFILE
                                 HIGHLIGHTS                                                                            SUPPORTING UNITS




      ORGANIZATION STRUCTURE
      BFI Finance’s organization structure as at 31 December 2023 was as follows:




          SHARIA SUPERVISORY
                BOARD


          Asrori S. Karni (Chairman)
              Helda Rahmi Sina




                                                                 PRESIDENT DIRECTOR


                                                                   Francis Lay Sioe Ho




                                                                OPERATIONS, HUMAN
                                  BUSINESS DIRECTOR               CAPITAL & ASSET                  FINANCE DIRECTOR
                                                               MANAGEMENT DIRECTOR


                                          Sutadi                   Andrew Adiwijanto                     Sudjono




NEW BUSINESS TRIBE                                                  HUMAN CAPITAL                 FINANCE & TREASURY                 CREDIT OPERATIONS
                                          DIRECT &
Baskoro Fadin Wafdana                  TELEMARKETING             Elisabeth Vivi Jeki Aryani            Tonny Widjaja                  Emiliana Woro Saptiti
                                                                                                                                            Hari Putri
                                Dani Reinhard Hutabarat
CORPORATE BUSINESS                                                  OPERATIONS &                   FINANCIAL CONTROL                      OPERATIONAL
                                                                 SERVICE EXCELLENCE
                               BUSINESS PROJECT & MIS                                                                                      RISK & KYC
   Stanly Darisang                                                                                      Jefry Suryo
                                                                 Margaretha Br. Tarigan
                                                                                                                                          Amy Setyawati
                                        Anov Finanda
 SHARIA PRODUCT                                                                                       CORPORATE
                                                                   BRANCH BUSINESS
                                                                                                    COMMUNICATION,                    RISK MANAGEMENT
                                                                      PARTNER
     Deni Nasri                  CORE BUSINESS TRIBE                                                  CSR & CPDM
                                                                           Iwan                                                      August Rinaldi Sanoesi
                                                                                                    Francisca Susilawati
                                           (TBA)**
                                                                                                        Rimbajaya
  NATIONAL SALES
                                                                    INSURANCE &                                                      DATA MANAGEMENT
                                       CHANNEL TRIBE            OPERATIONAL SERVICES
Tan Rudy Eddywidjaja
                                                                                                                                          Ni Made Sunarti
                                           (TBA)**                       Ika Santi
      DIGITAL
                                                                     OPERATIONAL                                                           ANTI-FRAUD
                                INTEGRATED MARKETING
     Kardiawan                                                       DEVELOPMENT
                                   COMMUNICATION                                                                                              (TBA)**
                                                               Yogi Pratama Putra Moedy
                                           (TBA)**
                                                                                                                                    COLLECTION ANALYTIC
                                                                 ASSET MANAGEMENT,
                                                                RECOVERY & INVENTORY                                                          (TBA)**

                                                                    John Piter Sinaga



                                                                  COLLECTION SQUAD

                                                                   Purwaning Baskoro




     64                                                                               PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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   MANAGEMENT DISCUSSION        GOOD CORPORATE                                                                ANNUAL FINANCIAL
                                                       SUSTAINABILITY              SUPPORTING DATA                                       APPENDICES
   AND ANALYSIS                 GOVERNANCE                                                                    STATEMENTS




           GENERAL MEETING OF
             SHAREHOLDERS




                                                                                       BOARD OF COMMISSIONERS


                                                                        President Commissioner            : Kusmayanto Kadiman
                                                                        Commissioner                      : Sunata Tjiterosampurno
                                                                        Commissioner                      : Saurabh Narayan Agarwal
                                                                        Independent Commissioner          : Johanes Sutrisno
                                                                        Independent Commissioner          : Alfonso Napitupulu




                                                        NOMINATION &
                                                                                                                                 RISK OVERSIGHT
                                                        REMUNERATION                        AUDIT COMMITTEE
                                                                                                                                   COMMITTEE
                                                          COMMITTEE

                                                   Alfonso Napitupulu (Chairman)*       Johanes Sutrisno (Chairman)*
                                                                                                                            Johanes Sutrisno (Chairman)*
                                                     Sunata Tjiterosampurno*                   Friso Palilingan
                                                                                                                                      Jono Effendy
                                                     Elisabeth Vivi Jeki Aryani*                 Edy Sugito




                                         SHARIA PRODUCT &
      DIGITAL & BUSINESS
                                         BUSINESS ACTIVITY                              HEAD OF INTERNAL AUDIT               CORPORATE SECRETARY
         INCUBATION
                                      DEVELOPMENT COMMITTEE

                                           Deni Nasri (Ketua)*
     Ari Binoto Lumbantobing                                                                   Fledy Rizmara                           Sudjono*
                                         August Rinaldi Sanoesi*
                                          Emiliana Woro Saptiti
                                                Hari Putri*
    TECHNOLOGY PROGRAM                     John Piter Sinaga*                              HEAD OF PROJECT
        MANAGEMENT                                                                        MANAGEMENT OFFICE

       Debut M. O. Mustari                RISK MANAGEMENT
                                             COMMITTEE                                               Goklas

          ENTERPRISE
         ARCHITECTURE                  Francis Lay Sioe Ho (Ketua)*
                                                 Sudjono*
     Azby Khil Mafazi Luthfan                                                             HEAD OF CORPORATE
                                         August Rinaldi Sanoesi*                             COMPLIANCE
                                             Amy Setyawati*
         TECHNOLOGY
         DEVELOPMENT                                                                       Budi Darwan Munthe
              (TBA)**
                                       IT STEERING COMMITTEE

          TECHNOLOGY
          OPERATIONS
                                       Francis Lay Sioe Ho (Ketua)*
         Anton Rumayar                           Sudjono*
                                                 Sutadi*
                                           Andrew Adiwijanto*
      SHARED ENTERPRISE
          SOLUTION                      Ari Binoto Lumbantobing*
                                                 Goklas*
          Heri Setiawan


         SQUAD LEADER

         Lisa Gunawan,
       Donny Patrick Manik,                                                                                                       *    Concurrent position
          Tania Febrina                                                                                                           ** To be assigned




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                             65
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                       HIGHLIGHTS                                                                       SUPPORTING UNITS




WORKFORCE PROFILE
 Table 10 • Total Employees

                                                                                              Comparison with Last year
         Description             31 Dec 2022                31 Dec 2023
                                                                                           Total                  Percentage

 Total Employees                     10,111                     11,207                     1,096                     10.8%


 Table 11 • Number of Employees by Directorate


                              Directorate                                       Male               Female                  Total
 BOC & Sharia Supervisory Board                                                        6                 1                         7
 BOD                                                                                 4                   -                     4
 CEO Office                                                                       517                 184                    701
 Business                                                                       3,357                 681                  4,038
 Operations & HC                                                                2,248                1,255                 3,503
 Enterprise Risk                                                                2,148                 385                  2,533
 Finance                                                                          271                  62                    333
 FIT                                                                               68                  20                     88
 Total                                                                          8,619              2,588                   11,207


Table 12 • Number of Employees by Employment Status


                          Employment Status                                     Male               Female                  Total
 Permanent                                                                      4,560               1,766                  6,326
 Non-permanent                                                                  4,059                 822                  4,881
 Total                                                                          8,619              2,588                   11,207


Table 13 • Number of Employees by Employment Contract


                         Employment Contract                                    Male               Female                  Total
 Full Time                                                                      8,619               2,588                  11,207
 Part Time                                                                             -                 -                         -
 Total                                                                          8,619              2,588                   11,207


Table 14 • Number of Employees by Region


                                Region                                          Male               Female                  Total
 Head Office                                                                      890                 614                  1,504
 Greater Jakarta                                                                1,689                 396                  2,085
 Java, Bali & Nusa Tenggara                                                     2,850                704                   3,554
 Sumatra                                                                          1,211               321                   1,532
 Kalimantan                                                                       742                 210                    952
 Eastern Indonesia (Sulawesi, Maluku, Papua)                                     1,237                343                   1,580
 Total                                                                          8,619              2,588                   11,207



66                                                                        PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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   MANAGEMENT DISCUSSION      GOOD CORPORATE                                           ANNUAL FINANCIAL
                                                   SUSTAINABILITY   SUPPORTING DATA                       APPENDICES
   AND ANALYSIS               GOVERNANCE                                               STATEMENTS




   Table 15 • Number of Employees by Level of Education


                             Level of Education                              Male            Female           Total
    Master's & Doctoral Degree                                                   67               38             105
    Bachelor's Degree                                                        5,607            2,004            7,611
    Diploma                                                                     691             282             973
    High School & below                                                      2,254              264            2,518
    Total                                                                    8,619            2,588          11,207


   Table 16 • Number of Employees by Position Level


                               Position Level                                Male            Female           Total
    BOC, BOD & Sharia Supervisory Board                                          10                 1              11
    Senior Manager                                                               97               26             123
    Junior Manager                                                              511              124            635
    Officer                                                                  2,927             1,071          3,998
    Staff                                                                    5,074             1,366          6,440
    Total                                                                    8,619            2,588          11,207


   Table 17 • Number of Employees by Age Group


                                Age Group                                    Male            Female           Total
    < 25 years                                                                 1,115            494            1,609
    25-30 years                                                              3,776              1,178         4,954
    31-40 years                                                               3,188             796           3,984
    41-50 years                                                                473                99            572
    > 50 years                                                                   67                21            88
    Total                                                                    8,619            2,588          11,207


   Table 18 • Number of Employees by Tenure


                                  Tenure                                     Male            Female           Total
    < 3 years                                                                4,807             1,206           6,013
    3-5 years                                                                 1,269              415          1,684
    6-10 years                                                                1,730             602           2,332
    > 10-20 years                                                               712              323           1,035
    > 20 years                                                                  101               42             143
    Total                                                                    8,619            2,588          11,207




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                            67
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                    HIGHLIGHTS                                                                 SUPPORTING UNITS




BOARD OF COMMISSIONERS PROFILES
 In 2023, the composition of BOC members changed with the succession of Dominic John Picone
 by Saurabh Narayan Agarwal as a Commissioner, effective from the closing of the 2023 EGMS.



                                            Kusmayanto Kadiman
                                            President Commissioner




                                                                          Indonesian              Tangerang,
                                                   Age: 69
                                                                          Citizen                 Banten



                                             He serves as the Company’s President Commissioner pursuant to
                                             the Deed of AGMS Minutes No. 80 dated 15 June 2011 (2011–2016),
                                             was reappointed pursuant to the Deed of EGMS Minutes No. 43
                                             dated 25 April 2016 (2016–2021), and the Deed of EGMS Minutes
                                             No. 3 dated 25 May 2021 in conjunction with the Deed of Meeting
                                             Resolutions Statement No. 4 dated 25 May 2021 for the period
                                             2021–2026. He earned the Basic Financing Certification from
                                             PT Sertifikasi Profesi Pembiayaan Indonesia (SPPI) on 27 July 2016.

                                             He also has been serving as Vice President Commissioner
                                             of PT Adaro Power since 2015, President Commissioner of
                                             PT Setiabudi Investment Management since 2016, Commissioner
                                             of PT Profesional Telekomunikasi Indonesia (Protelindo) since 2017,
                                             Independent Commissioner of PT Sarana Menara Nusantara Tbk
                                             since 2020, member (advisor) of the International Advisory Board of
                                             Komatsu Ltd, Japan, since 2021, and Independent Commissioner of
                                             PT Global Digital Niaga Tbk since 2022.

                                             Previously, he served as a Commissioner of PT Tamaris Hidro
                                             (2015–2020), President Commissioner of PT iForte Solusi Infotek
                                             (2016–2017), commissioner and advisor at several companies
                                             focusing on natural resources and power generation since 2009,
                                             Minister of Research and Technology of the Republic of Indonesia
                                             (2004–2009), Chairman of Asian–Europe University Network (ASEA–
                                             UNINET) in 2002–2004, Rector of Bandung Institute of Technology
                                             (ITB) in 2001–2004, Head of Technology Development Center of ITB
                                             (1998–2001), Head of ITB Control Laboratory (1995–1998), Director of
                                             Business Group in Jakarta (1993–1995), and Director of ITB Computer
                                             Center (1990–1993).

                                             In connection with his position at PT Adaro Power (subsidiary of
                                             PT Adaro Energy Tbk), he has an affiliation with the controlling
                                             shareholder, Trinugraha Capital & Co SCA. There is no affiliation with
                                             other members of the BOC and members of the BOD.

                                             He obtained his Doctor of Philosophy degree from the Australian
                                             National University, Canberra, Australia, in 1988, and Bachelor of
                                             Engineering Physics from ITB in 1977.




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   Johanes Sutrisno
   Independent Commissioner




                                Indonesian              Jakarta,
        Age: 72
                                Citizen                 DKI Jakarta



   He serves as the Company’s Independent Commissioner pursuant
   to the Deed of AGMS Minutes No. 80 dated 15 June 2011 (2011–2016),
   was reappointed pursuant to the Deed of EGMS Minutes No. 43
   dated 25 April 2016 (2016–2021), and the Deed of EGMS Minutes
   No. 3 dated 25 May 2021 in conjunction with the Deed of Meeting
   Resolutions Statement No. 4 dated 25 May 2021 for the period
   2021–2026. He also serves as Chairman of the Audit Committee
   and Chairman of the Risk Oversight Committee. He earned the
   Basic Financing Certification from SPPI on 2 March 2017.

   He once joined BFI Finance as a Credit Officer (1982–1991), then
   Director (1991–1999) and President Commissioner (2000–2011).

   He was also Director of PT Gaudi Dwi Laras (2014–2016),
   member of the Audit Committee of PT Bentoel International
   Investama Tbk (2010–2016), Finance Director of PT Carsurin
   (2007–2013), joined the Mutual International Finance Corporation
   (1980–1982), and Auditor in SGV, Utomo, Mulia & Co. (1973–1976).

   He does not have any concurrent positions outside BFI Finance
   and any affiliation with other members of the BOC, members
   of the BOD, major and controlling shareholders; either directly
   or indirectly.

   He obtained his Master of Business Administration (MBA) degree
   from Gadjah Mada University, Yogyakarta, in 2009, and Bachelor
   of Economics in Management (Drs.) from Universitas Indonesia,
   Jakarta, in 1980.




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                                            Alfonso Napitupulu
                                            Independent Commissioner




                                                                          Indonesian              Jakarta,
                                                   Age: 73
                                                                          Citizen                 DKI Jakarta



                                             He serves as the Company’s Independent Commissioner
                                             pursuant to the Deed of AGMS Minutes No. 80 dated 15 June 2011
                                             (2011–2016), was reappointed pursuant to the Deed of EGMS
                                             Minutes No. 43 dated 25 April 2016 (2016–2021), and the Deed of
                                             EGMS Minutes No. 3 dated 25 May 2021 in conjunction with the
                                             Deed of Meeting Resolutions Statement No. 4 dated 25 May 2021
                                             for the period 2021–2026. He earned the Basic Financing
                                             Certification from SPPI on 12 June 2015.

                                             He also serves as Chairman of the Nomination and Remuneration
                                             Committee and holds a concurrent position as Managing Partner at
                                             the Law Office of Alfonso Napitupulu & Partners, Jakarta, since 1993.

                                             Previously, he concurrently served as Statutory Management
                                             Expert Staff of AJB Bumiputera 1912 (2016–2017), Independent
                                             Commissioner of PT BRI Asuransi Indonesia (BRINS General
                                             Insurance) (2015–2021), Commissioner and President
                                             Commissioner of PT Kredit Biro Indonesia Jaya (KBIJ) for the
                                             period 2014–2016 and 2016–2018, President Director of PT Nana
                                             Mandiri Dwikarya (1989–2020), and Advisory Board of Indonesian
                                             Advocates Association (Perhimpunan Advokat Indonesia/
                                             PERADI) for the period 2015–2020.

                                             Prior to joining BFI Finance, he was a Partner at the Law
                                             Office of Alfonso, Giunseng & Kolopaking, Jakarta (1988–1993),
                                             International Lawyer Practitioner at the Law Office of Bronson &
                                             McKinnon, San Francisco, California, USA (1984–1985), Partner at
                                             the Law Office of Gani Djemat & Partners (1975–1988), and Legal
                                             Consultant Advocate for Capital Market and Intellectual Property
                                             Rights (1976).

                                             He does not have any affiliation with other members of the BOC,
                                             members of the BOD, and major and controlling shareholders;
                                             either directly or indirectly.

                                             He obtained his Bachelor of Law degree (Civil Law) from
                                             Universitas Indonesia, Jakarta, in 1975.




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   Sunata Tjiterosampurno
   Commissioner




                               Indonesian              Jakarta,
        Age: 51
                               Citizen                 DKI Jakarta



   He serves as the Company’s Commissioner pursuant to the
   Deed of EGMS Minutes No. 44 dated 15 April 2015 in conjunction
   with the Deed of Meeting Resolutions Statement No. 3 dated
   6 July 2015 (2015–2020), then was reappointed pursuant to the
   Deed of EGMS Minutes No. 7 dated 29 June 2020 in conjunction
   with the Deed of Meeting Resolutions Statement No. 8 dated
   29 June 2020 for the period 2020–2025. He earned the Basic
   Financing Certification from SPPI on 27 July 2016.

   He also serves as member of the Nomination and Remuneration
   Committee. Previously, he was member of the Risk Management
   Committee (now Risk Oversight Committee) from May 2013 until
   September 2014.

   Currently, he also holds the positions of Managing Director
   of Northstar Advisors Pte. Ltd. since 2006, Commissioner
   of PT Trimegah Sekuritas Indonesia Tbk since 2013 and
   PT Bundamedik Healthcare System Tbk (BMHS) since 2022.

   He once served as Commissioner of PT Delta Dunia Makmur Tbk
   (2011–2022), President Commissioner of PT Bukit Makmur Mandiri
   Utama (2009–2021), Commissioner, member of the Audit, Risk
   Monitoring, and Remuneration and Nomination Committees
   of PT Bank Tabungan Pensiunan Nasional Tbk (2008–2015),
   Director of Investment Banking of PT Danareksa Sekuritas (2004–
   2006), and Consultant at Boston Consulting Group, Jakarta (1998–
   2004). His career began as Assistant Vice President for Equity
   Research of PT Lippo Securities – SBC Warburg (1995–1998).

   In connection with his position at Northstar Advisors Pte. Ltd.,
   he has an affiliation with the controlling shareholder, Trinugraha
   Capital & Co SCA. There is no affiliation with other members of
   the BOC and members of the BOD.

   He obtained his Master of Finance (Merit) degree from
   London Business School, UK, 2002, and Bachelor of Business
   Administration (Distinction) from University of Wisconsin–
   Madison, USA, in 1995.




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                                              Saurabh Narayan Agarwal
                                              Commissioner




                                                                           Singapore
                                                    Age: 42                                        Singapore
                                                                           Citizen



                                              He serves as the Company’s Commissioner pursuant to the
                                              Deed of EGMS Minutes No. 7 dated 16 May 2023 for the period
                                              2023–2028. He earned the Basic Financing Certification from
                                              SPPI on 7 August 2023.

                                              He also has been serving as Managing Director and Head of
                                              Southeast Asia Private Equity of Warburg Pincus LLC since 2016
                                              in Singapore, where he relocated from the company’s headquarter
                                              in New York, USA, which he joined in 2009. Currently, he is also
                                              a Commissioner of PT Asuransi Bina Dana Arta Tbk (ABDA; also
                                              known as Oona Insurance Indonesia), a Director of Advance
                                              Intelligence Group (ADVANCE.AI), Oona Insurance Singapore
                                              (Oona Holding Pte. Ltd.), Circles.Life, Everise, GCash (Mynt – Globe
                                              Fintech Innovations, Inc.), MoMo Pay, and Techcombank (Vietnam
                                              Technological and Commercial Joint Stock Bank).

                                              Prior to joining Warburg Pincus, he worked at McKinsey &
                                              Company in New Jersey (USA) and New Delhi (India) as Business
                                              Analyst (2004–2007), and Temasek Holdings in Mumbai (India)
                                              as Private Equity Investment Associate (2007). He also previously
                                              served on the boards of various companies, among others, AAG
                                              Energy Holdings Ltd. (HKG:2686), CleanMax Enviro Energy Solutions
                                              Pvt. Ltd., Converge Information and Communications Technology
                                              Solutions, Inc. (Converge ICT), Competitive Power Ventures, Inc.
                                              (CPV), Solar Mosaic LLC (Mosaic Inc.), RimRock Oil & Gas, RS Energy
                                              Group, Trident Energy, CASA Exploration, Canbriam Energy Inc.,
                                              Delonex Energy Ltd., Velvet Energy Ltd., Venari Resources LLC,
                                              Liberty Wireless Pte. Ltd., and M-Service GmbH.

                                              In connection with his position at Warburg Pincus, he has an
                                              affiliation with the controlling shareholder, Trinugraha Capital &
                                              Co SCA. There is no affiliation with other members of the BOC
                                              and members of the BOD.

                                              He holds a Bachelor of Technology (B.Tech.) degree in
                                              Electrical Engineering and a Master of Science (M.S.) degree in
                                              Microelectronics in 2004 from the Indian Institute of Technology
                                              (IIT) Bombay, India, as well as a Master of Business Administration
                                              (M.B.A.) degree in 2009 from Harvard Business School, USA.




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   BOARD OF DIRECTORS PROFILES
   In 2023, the composition of BOD members changed with the resignation of
   Sigit Hendra Gunawan as a Director, effective from the closing of the 2023 EGMS.



   Francis Lay Sioe Ho
   President Director




                                Indonesian              Jakarta,
        Age: 75
                                Citizen                 DKI Jakarta



   Appointed as Director of the Company in 1983 and elected as
   President Director in 1986. He was reappointed to the same
   position pursuant to the Deed of AGMS Minutes No. 80 dated
   15 June 2011 (2011–2016), the Deed of EGMS Minutes No. 43 dated
   25 April 2016 (2016–2021), and the Deed of EGMS Minutes No. 3
   dated 25 May 2021 in conjunction with the Deed of Meeting
   Resolutions Statement No. 4 dated 25 May 2021 for the period
   2021–2026. He earned the Basic Financing Certification
   from PT Sertifikasi Profesi Pembiayaan Indonesia (SPPI) on
   2 March 2017.

   Pursuant to the Shareholders’ Resolutions in Lieu of GMS of
   PT FIT (the Company’s subsidiary) dated 29 July 2021 as per
   Deed of Shareholders' Resolutions Statement in Lieu of GMS
   of PT FIT No. 06 dated 5 August 2021, he was also appointed as
   the President Commissioner of PT FIT.

   Prior to joining BFI Finance in 1980, he worked at Singapore
   Ministry of Finance (1972–1973), then joined PT Indovest
   (1975–1980).

   He does not have any other positions outside BFI Finance
   (including FIT) and any affiliation with other BOD members, BOC
   members, major and controlling shareholders; either directly
   or indirectly.

   He earned his Bachelor of Business Administration (BBA) degree
   from the University of Singapore (now the National University of
   Singapore or NUS) in Singapore in 1972, and Master of Business
   Management (MBM) from the Asian Institute of Management
   (AIM) in Manila, Philippines, in 1975.




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                                             Sudjono
                                             Finance Director




                                                                           Indonesian              Tangerang
                                                    Age: 53
                                                                           Citizen                 Selatan, Banten



                                              He serves as the Company’s Finance Director pursuant to the
                                              Deed of EGMS Minutes No. 18 dated 6 May 2014 (2014-2019).
                                              He was reappointed for the period 2019-2024 pursuant to the
                                              Deed of EGMS Minutes No. 59 dated 28 May 2019 in conjunction
                                              with the Deed of Meeting Resolutions Statement No. 56 dated
                                              25 June 2019. He concurrently holds the position of Corporate
                                              Secretary based on the BOD Decree No. BOD–BOC/VI/2014–0011
                                              dated 24 June 2014. He earned the Basic Financing Certification
                                              from SPPI on 26 April 2016.

                                              Referring to the Shareholders’ Resolutions in Lieu of GMS of PT FIT
                                              (the Company’s subsidiary) dated 29 July 2021 as per Deed of
                                              Shareholders' Resolutions Statement in Lieu of GMS of PT FIT No. 06
                                              dated 5 August 2021, he also serves as the Commissioner of PT FIT.

                                              Previously, he also served as Information Technology Director
                                              from May 2014 to May 2017. Prior to his appointment as Director,
                                              he held the positions of Head of Finance and Information
                                              Technology Division and various other positions (1993-2014), and
                                              member of the Risk Management Committee (2003-2013) now
                                              known as the Risk Oversight Committee.

                                              Prior to joining BFI Finance, he had served as Senior Auditor
                                              at the Public Accounting Firm of Hans Tuanakotta Mustofa –
                                              member firm of Deloitte Touche Tohmatsu International
                                              (1991-1993).

                                              He does not have any concurrent positions outside BFI Finance
                                              (including FIT) and any affiliation with other BOD members, BOC
                                              members, major and controlling shareholders; either directly
                                              or indirectly.

                                              He obtained his Enterprise Risk Manager (ERM™) title
                                              f rom Asia Risk Management Institute (ARiMI) and National
                                              University of Singapore (NUS) in Singapore in 2009, Master of
                                              Business Administration (MBA) from Institut Pengembangan
                                              Manajemen Indonesia (IPMI), Jakarta, in 2006, and Bachelor
                                              of Economics majoring in Accounting from Tarumanagara
                                              University, Jakarta, in 1993.




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   Sutadi
   Business Director




                                Indonesian              Tangerang,
        Age: 49
                                Citizen                 Banten



   He serves as the Company’s Business Director pursuant to
   the Deed of EGMS Minutes No. 18 dated 6 May 2014 (2014-2019).
   He was then reappointed for the period 2019-2024 pursuant
   to the Deed of EGMS Minutes No. 59 dated 28 May 2019 in
   conjunction with the Deed of Meeting Resolutions Statement
   No. 56 dated 25 June 2019. He earned the Basic Financing
   Certification from SPPI on 26 April 2016.

   Previously, he served in various other positions at the Company,
   among others, Retail Business Division Head until April 2014,
   Department Head and Associate Division Head (2008-2012),
   Regional Manager (2006-2008), Branch Manager (2004-2006),
   Branch Establishment Manager (2001-2004), and Branch
   Manager (2000-2001).

   He also had served as Sales Executive in Marketing Export of
   PT Tjiwi Kimia Pulp & Paper (1999-2000) and Collection & Credit
   Analyst Officer of PT Bunas Finance Indonesia (1997-1999).

   He does not have any concurrent positions outside BFI Finance
   and any affiliation with other BOD members, BOC members,
   major and controlling shareholders; either directly or indirectly.

   He earned his Executive MBA degree from IPMI International
   Business School, Jakarta, in 2018, and Bachelor of Industrial
   Engineering from Trisakti University, Jakarta, in 1998.




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                                             Andrew Adiwijanto
                                             Operations, Human Capital & Asset Management Director




                                                                           Indonesian              Jakarta,
                                                    Age: 55
                                                                           Citizen                 DKI Jakarta



                                              He serves as the Company’s Operations, Human Capital &
                                              Asset Management Director pursuant to the Deed of EGMS
                                              Minutes No. 25 dated 18 April 2017 in conjunction with the Deed
                                              of Meeting Resolutions Statement No. 15 dated 13 June 2017
                                              for the period 2017-2022, and was reaffirmed for the period
                                              2022-2027 by the Deed of EGMS Minutes No. 17 dated 29 June
                                              2022 in conjunction with the Deed of Meeting Resolutions
                                              Statement No. 18 dated 29 June 2022. Since 2023, he has also
                                              held responsibility for asset management on an interim basis.
                                              He earned the Basic Financing Certification from SPPI on
                                              27 July 2017.

                                              Previously, he was a member of the Nomination and
                                              Remuneration Committee from April 2015 to April 2017, Head of
                                              Operations & Control (2012-2017), and Head of Compensation &
                                              Benefit (2014-2017).

                                              He joined BFI Finance in 1993 as a Marketing Officer and
                                              has held various other positions, among others, Branch
                                              Manager in Makassar, Denpasar, and Palembang, Regional
                                              Manager for Sumatera Region, and Department Head of
                                              Quality Service, Corporate Services, Human Resources, as well
                                              as Branch Operations.

                                              He does not have any concurrent positions outside BFI Finance
                                              and any affiliation with other BOD members, BOC members,
                                              major and controlling shareholders; either directly or indirectly.

                                              He earned his Master of Business Administration (MBA) degree
                                              from Gadjah Mada University, Jakarta, in 2013, and Bachelor of
                                              Electrical Engineering from Sekolah Tinggi Teknik Surabaya
                                              (STTS), East Java, in 1992. He obtained a special certificate for
                                              joining “Human Capital Management: Making HR & Business
                                              Partnership Work”, an intensive course from the Asian Institute of
                                              Management (AIM) in Manila, Philippines, in 2008.




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   SHARIA SUPERVISORY BOARD PROFILES

   Asrori S. Karni
   Chairman of Sharia Supervisory Board




                                Indonesian              Jakarta,
        Age: 48
                                Citizen                 DKI Jakarta



   He serves as the Company’s Chairman of Sharia Supervisory
   Board pursuant to the Deed of Minutes of EGMS No. 6 dated
   25 October 2017 in conjunction with the Deed of Meeting
   Resolutions Statement No. 19 dated 21 December 2017 for the
   period 2017-2022, and was reaffirmed for the period 2022-2027
   by the Deed of EGMS Minutes No. 17 dated 29 June 2022 in
   conjunction with the Deed of Meeting Resolutions Statement
   No.18 dated 29 June 2022.

   He obtained his Sharia Supervisory Competency Certificate
   from the Professional Certification Agency (LSP) of National
   Sharia Board–Indonesian Ulema Council (DSN–MUI) on
   28 November 2018 and valid until 28 November 2021.

   Currently, he is a Lecturer of Sharia Economic Law Study
   Program at Sharia and Law Faculty of State Islamic University
   (UIN) Syarif Hidayatullah Jakarta since 2013, also serves as Deputy
   Secretary–General of MUI Headquarters for the period 2020-2025,
   Chairman of Sharia Supervisory Board of PT Sinar Mitra Sepadan
   (SMS) Finance since 2021, and member of Sharia Supervisory
   Board of PT Indomobil Finance Indonesia since 2018.

   He was previously a Lecturer of Sharia Economics Study
   Program at Islamic Religion Faculty of Universitas Nahdlatul
   Ulama Indonesia (UNUSIA) Jakarta (2012-2020), served as Vice
   Chairman of Qanuniyah (Islamic Law) at Bahtsul Masail Institute
   of the Board of Nahdlatul Ulama (LBM PBNU) (2015-2020), and
   Chairman of the Information and Communications Commission
   of MUI Headquarters (2015-2020).

   He does not have any affiliation with the members of Sharia
   Supervisory Board, BOC, and BOD, major and controlling
   shareholders; either directly or indirectly.

   At the moment, he is taking a Doctoral Program in Law Science
   at Diponegoro University, Semarang, Central Java. He earned
   his Master of Laws degree majoring in Economic Law from
   Universitas Indonesia in 2010, and Bachelor of (Islamic) Religion
   majoring in Comparative Madhhab and Law from Sharia and Law
   Faculty at Institut Agama Islam Negeri (IAIN) Syarif Hidayatullah;
   now known as UIN Syarif Hidayatullah Jakarta; in 1998.




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                                            Helda Rahmi Sina
                                            Member of Sharia Supervisory Board




                                                                          Indonesian              Jakarta,
                                                   Age: 50
                                                                          Citizen                 DKI Jakarta



                                             She serves as the Company’s Member of Sharia Supervisory
                                             Board pursuant to the Deed of Minutes of EGMS No. 6 dated
                                             25 October 2017 in conjunction with the Deed of Meeting
                                             Resolutions Statement No. 19 dated 21 December 2017 for the
                                             period 2017-2022, and was reaffirmed for the period 2022-2027
                                             by the Deed of EGMS Minutes No. 17 dated 29 June 2022 in
                                             conjunction with the Deed of Meeting Resolutions Statement
                                             No.18 dated 29 June 2022.

                                             Currently, her concurrent positions include Chief of Strategic
                                             Alliance at Hurriyah Global Consulting Firm (HGC Firm), General
                                             Secretary of Yayasan Pendidikan Fatahillah Jakarta (YPFJ),
                                             Postgraduate Program Lecturer at Sekolah Tinggi Ilmu Ekonomi
                                             Indonesia (STEI) Rawamangun, Jakarta Timur, as well as the
                                             Faculty Member of Indonesian Banking Development Institute
                                             (Lembaga Pengembangan Perbankan Indonesia/LPPI).

                                             Previously, she was a Head of Marketing and Training Division
                                             of LPPI (2020-2023), Head of Consultation and Development
                                             Division for Sharia Financial Program at International Center
                                             for Development in Islamic Finance – Indonesian Banking
                                             Development Institute (ICDIF–LPPI) (2014-2020), member of the
                                             Sharia Economics Expert Board at Universitas Azzahra in Jakarta
                                             Timur (2010-2014), worked as a Lecturer of Sharia Contracts &
                                             Products course for the M.B.A. in Sharia Banking & Finance
                                             Program at Bandung Institute of Technology or ITB (2009-2015),
                                             Head of Sharia Financial Program Implementation Department
                                             at ICDIF–LPPI (2008-2014), and President of Sekolah Tinggi
                                             Ekonomi Islam Tiara (STEI Tiara) Rawamangun, Jakarta Timur
                                             (2006-2008).

                                             She does not have any affiliation with the Chairman of Sharia
                                             Supervisory Board, BOC and BOD members, major and
                                             controlling shareholders; either directly or indirectly.

                                             She graduated from her Doctoral Program in Sharia Economics
                                             from Universiti Malaya, Kuala Lumpur, Malaysia, in 2007, earned
                                             her Master in Islamic Economics (MA) degree from Universiti
                                             Kebangsaan Malaysia in 2000, and Bachelor of Syariah Islamiyyah
                                             (Lc) from the Faculty of Islamic Studies and Arabic Language,
                                             Al–Azhar University in Cairo, Egypt, in 1996.



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   COMMITTEES OF THE BOARD OF
   COMMISSIONERS PROFILES
   AUDIT COMMITTEE

          Johanes Sutrisno
          Chairman of the Audit Committee


                                   Indonesian
               Age: 72                                         Jakarta, DKI Jakarta
                                   Citizen




          He was appointed as Chairman of the Audit Committee pursuant to the BOC Decree No. BOC/
          SK/I/2021-001 dated 26 January 2021 for the period 2021-2026. He also serves as Independent
          Commissioner and Chairman of the Risk Oversight Committee. His profile is presented in the BOC
          Profiles section (page 69).




         Edy Sugito
         Member of the Audit Committee


                                   Indonesian
               Age: 59                                         Jakarta, DKI Jakarta
                                   Citizen




         He serves as a member of the Audit Committee pursuant to the BOC Decree No. BOC/SK/VI/2016-
         05 dated 21 June 2016 (2016-2021) and was reappointed by the BOC Decree No. BOC/SK/I/2021-001
         dated 26 January 2021 for the period 2021-2026.

         He also serves as President Commissioner/ Independent Commissioner of PT Trimegah Sekuritas
         Indonesia Tbk and Independent Commissioner in several companies, among others, PT PP London
         Sumatra Indonesia Tbk and PT Wismilak Inti Makmur Tbk.

         Previously, he was a Commissioner of PT Gayatri Kapital Indonesia (until 2023), Director of Company
         Valuation of PT Bursa Efek Indonesia (2000-2005), Director of PT Kliring Penjaminan Efek Indonesia
         (2000-2005), and Director of PT Kustodian Sentral Efek Indonesia (1998-2000).

         He does not have any affiliation with other members of the BOC Committees, BOC and BOD
         members, or major and controlling shareholders; either directly or indirectly.

         He earned his Bachelor of Economics degree in Accounting from Trisakti University, Jakarta, in 1991.




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      Friso Palilingan
      Member of the Audit Committee


                                 Indonesian
             Age: 40                                        Jakarta, DKI Jakarta
                                 Citizen




       He serves as a member of the Audit Committee pursuant to the BOC Decree No. BOC/SK/
       IV/2015/0081 dated 13 April 2015, was reaffirmed by the BOC Decree No. BOC/SK/VI/2016-05 dated
       21 June 2016 (2016-2021), and subsequently reappointed by the BOC Decree No. BOC/SK/I/2021-001
       dated 26 January 2021 for the period 2021-2026.

       At present, he also serves as Senior Partner at the Certified Public Accounting Firm Paul
       Hadiwinata, Hidajat, Arsono, Retno, Palilingan & Rekan (PKF Indonesia, member of PKF
       International), Independent Commissioner and Chairman of the Audit Committee of PT Intiland
       Development Tbk, Commissioner of PT Kiat Ananda Cold Storage, PT Ananda Solusindo, and
       PT Manggala Kiat Ananda, as well as member of the Audit Committees of PT Asahimas Flat
       Glass Tbk, PT Cisarua Mountain Dairy (Cimory), and PT Provident Investasi Bersama Tbk. Since 2023,
       he has also been serving as a Commissioner of PT Mitra Ananda Megadistrindo and member of the
       Audit Committee of PT BNI Sekuritas.

       Previously, he was a partner of a global top five accounting firm, member of the Audit Committee
       of PT Medikaloka Hermina Tbk and PT Duta Intidaya Tbk, as well as member of the Financial
       Accounting Standards Board at the Institute of Indonesia Chartered Accountants.

       He does not have any affiliation with other members of the BOC Committees, BOC and BOD
       members, or major and controlling shareholders; either directly or indirectly.

       He obtained his Bachelor of Economics degree in Accounting in 2005 and Master of Accounting
       in 2008, both from Kwik Kian Gie School of Business, Certified Public Accountant (CPA) in 2008 and
       Chartered Accountant (CA) in 2013, both from IAI, as well as Certified Audit Committee Practitioner
       from Indonesian Institute of Audit Committee (IKAI) in 2016.




 RISK OVERSIGHT COMMITTEE

       Johanes Sutrisno
       Chairman of the Risk Oversight Committee

                                 Indonesian
             Age: 72                                        Jakarta, DKI Jakarta
                                 Citizen




       He was appointed as Chairman of the Risk Oversight Committee pursuant to the BOC Decree No. BOC/
       SK/VI/2016-05 dated 21 June 2016 (2016-2021) and was reappointed by the BOC Decree No. BOC/SK/
       VI/2021-0092 dated 15 June 2021 for the period 2021-2026. He also serves as Independent Commissioner
       and Chairman of the Audit Committee. His profile is presented in the BOC Profiles section (page 69).




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         Jono Effendy
         Member of the Risk Oversight Committee

                                   Indonesian
               Age: 49                                         Jakarta, DKI Jakarta
                                   Citizen




          He serves as a member of the Risk Oversight Committee pursuant to the BOC Decree No. BOC/SK/
          IV/2015-0081 dated 13 April 2015, was reaffirmed by the BOC Decree No. BOC/SK/VI/2016-05 dated
          21 June 2016 (2016-2021), and subsequently reappointed by the BOC Decree No. BOC/SK/VI/2021-
          0092 dated 15 June 2021 for the period 2021-2026.

          He is the Founder and President Director of PT Pasar Jasa Profesional (since 2019). Currently, he
          also serves as a member of the Audit Committee and the Risk Oversight Committee of PT Bank
          Commonwealth (since 2013), Independent Commissioner and concurrently member of the Risk
          Oversight Committee (since 2020) and the Good Corporate Governance Committee (since 2022) of
          PT FWD Insurance Indonesia, as well as member of the Audit Committee and the Risk Oversight
          Committee of PT Nusantara Finance Cakrawala (since 2023).

          He previously served as Independent Commissioner and Chairman of the Risk Oversight
          Committee of PT Commonwealth Life (2014-2020), Managing Director of PT Mudita Finansial
          Teknologi for 3 years, Managing Director of PT Kiran Resources Indonesia for 14 years, and member
          of Audit Committee and Risk Monitoring Committee in several banks and financial institutions,
          such as PT Bank BNP Paribas Indonesia (11 years), PT Bank Barclays Indonesia (1 year), and PT BII
          Finance Centre (2 years). From 2001 to 2004, he held various positions at the Indonesian Bank
          Restructuring Agency (BPPN).

          He began his career at PT Tanjung Johor Wood Industry, Jakarta (1993-1996) as an Accountant, then
          as Senior Auditor at Arthur Andersen, Jakarta (1996-1998), and Senior Consultant at Deloitte Touche,
          Jakarta (1998-2001).

          He does not have any affiliation with other members of the BOC Committees, BOC and BOD
          members, or major and controlling shareholders; either directly or indirectly.

          He obtained his Master’s degree in Finance from Pelita Harapan University, Tangerang, in
          2003, Bachelor of Economics in Accounting from Tarumanagara University, Jakarta, in 1996,
          Risk Management Certification Level 3 from Badan Sertifikasi Manajemen Risiko (BSMR) in
          Indonesia and International Certificate in Banking and Regulation from Global Association of
          Risk Professionals (GARP) in 2011, Risk Management Certification for Insurance Company Level
          5 from Asosiasi Ahli Manajemen Asuransi Indonesia (AAMAI) in 2015, Certified in Enterprise Risk
          Governance (CERG) from Enterprise Risk Management Academy (ERMA), Singapore, in 2017,
          Certified in Qualified Risk Governance Professional (QRGP) from LSP MKS in 2021, and “Digital
          Transformation: Platform Strategies for Success” Certification from EMERITUS in collaboration with
          MIT Sloan School of Management held online in 2021.




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NOMINATION AND REMUNERATION COMMITTEE

       Alfonso Napitupulu
       Chairman of the Nomination and Remuneration Committee

                             Indonesian
             Age: 73                                     Jakarta, DKI Jakarta
                             Citizen




        His position as Chairman of the Nomination and Remuneration Committee was pursuant to the
        BOC Decree No. BOC/SK/IV/2015-0081 dated 13 April 2015, was reaffirmed by the BOC Decree
        No. BOC/SK/VI/2016-05 dated 21 June 2016 (2016-2021), and subsequently reappointed by the
        BOC Decree No. BOC/IV/2021-0049 dated 1 April 2021 for the period 2021-2026. He also serves as
        Independent Commissioner. His profile is presented in the BOC Profiles section (page 70).




       Sunata Tjiterosampurno
       Member of the Nomination and Remuneration Committee

                             Indonesian
             Age: 51                                     Jakarta, DKI Jakarta
                             Citizen




        He serves as a member of the Nomination and Remuneration Committee pursuant to the BOC
        Decree No. BOC/VI/2017-0103 dated 2 June 2017 for the period up to 2021, and was reappointed by
        the BOC Decree No. BOC/IV/2021-0049 dated 1 April 2021 for the period 2021-2026. He also serves as
        Commissioner. His profile is presented in the BOC Profiles section (page 71).




       Elisabeth Vivi Jeki Aryani
       Member of the Nomination and Remuneration Committee


                             Indonesian
             Age: 55                                     Bogor, West Java
                             Citizen




        She serves as a member of the Nomination and Remuneration Committee pursuant to the BOC Decree
        No. BOC/IV/2021-0049 dated 1 April 2021 for the period 2021-2026. She also has a concurrent position as the
        Company’s Head of Human Capital (page 83).

        Previously, she was a Talent Acquisition Head at Bank CIMB Niaga (2017-2019), Recruitment Head at Bank
        OCBC NISP (2016-2017), Mass Resourcing Head at Bank BTPN (2008-2016), and Recruitment Planning &
        Strategic Head at Bank Danamon (2008).

        She does not have any affiliation with other members of the BOC Committees, BOC members, or major
        and controlling shareholders; either directly or indirectly.

        She earned her Bachelor of Psychology degree from Soegijapranata Catholic University, Semarang,
        in 1994.




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   SENIOR MANAGEMENT PROFILES
    Head Office

   The following are Head Office Senior Management officers whose structural positions are one level below
   the BOD:




                                   Ari Binoto              Baskoro Fadin        Elisabeth Vivi Jeki
            Name                                                                                                    Goklas
                                 Lumbantobing                Wafdana                  Aryani

    Citizenship             Indonesian                Indonesian               Indonesian                   Indonesian

    Age                     44                        39                       55                           45

                                                      Tangerang Selatan,
    Domicile                Jakarta, DKI Jakarta                               Bogor, West Java             Jakarta, DKI Jakarta
                                                      Banten

    Joined BFI Finance in   2022                      2008                     2019                         2001

                            Head of Digital &         New Business Tribe       Head of Human                Head of Project
    Position
                            Business Incubation       Lead                     Capital                      Management Office

    Since                   2022                      2023                     2019                         2015




                                                                                        Tan Rudy
            Name                     Iwan               John Piter Sinaga                                        Tonny Widjaja
                                                                                       Eddywidjaja

    Citizenship             Indonesian                Indonesian               Indonesian                   Indonesian

    Age                     53                        54                       53                           56

    Domicile                Tangerang, Banten         Tangerang, Banten        Jakarta, DKI Jakarta         Jakarta, DKI Jakarta

    Joined BFI Finance in   1995                      1997                     1997                         1994

                                                      Head of Asset
                            Head of Branch                                     Head of National             Head of Finance &
    Position                                          Management,
                            Business Partner                                   Sales                        Treasury
                                                      Recovery & Inventory

    Since                   2019                      2019                     2017                         1996




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 Regional Offices

The following are General Managers who are part of the Senior Management:




          Name                   Sudi Hartono                         Arwin                      Susinto Tenggono Then

 Citizenship             Indonesian                      Indonesian                         Indonesian

 Age                     52                              41                                 50

 Domicile                Medan, North Sumatra            Tangerang Selatan, Banten          Tangerang Selatan, Banten

 Joined BFI Finance in   1994                            2005                               1994

                                                         General Manager-Asset              General Manager-Business
                         General Manager-Business
 Position                                                Management covering                covering Greater Jakarta
                         covering Sumatra region
                                                         Sumatra region                     region

 Since                   2021                            2021                               2020




          Name                   Tan Eng Han                       Rachmadi                        Augusnen Silalahi

 Citizenship             Indonesian                      Indonesian                         Indonesian

 Age                     48                              53                                 51

 Domicile                Tangerang Selatan, Banten       Semarang, Central Java             Tangerang, Banten

 Joined BFI Finance in   1997                            2006                               1999

                         General Manager-Asset           General Manager-Business           General Manager-Asset
 Position                Management covering             covering West and Central          Management covering West
                         Greater Jakarta region          Java Provinces                     and Central Java Provinces

 Since                   2020                            2023                               2023




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            Name                   I Kadek Tirtayasa                       Medy Mirdianata                 Hernandi Kusno

    Citizenship             Indonesian                              Indonesian                     Indonesian

    Age                     52                                      50                             55

    Domicile                Denpasar, Bali                          Tangerang Selatan, Banten      Samarinda, East Kalimantan

    Joined BFI Finance in   1997                                    1997                           1994

                            General Manager-Business                General Manager-Asset          General Manager-Business
    Position                covering East Java and Bali             Management covering East       covering Kalimantan region
                            Provinces                               Java and Bali Provinces

    Since                   2022                                    2022                           2022




            Name                   Khenriek Tjandra                  Sastero Wijaya Gunawan                      Nuzul Ittaqa

    Citizenship             Indonesian                              Indonesian                     Indonesian

    Age                     50                                      44                             52

    Domicile                Tangerang Selatan, Banten               Tangerang Selatan, Banten      Tangerang Selatan, Banten

    Joined BFI Finance in   2002                                    2002                           1997

                            General Manager-Asset                   General Manager-Business       General Manager-Asset
                            Management covering                     covering Sulawesi, Maluku,     Management covering
    Position
                            Kalimantan region                       and Papua region               Sulawesi, Maluku, and Papua
                                                                                                   region

    Since                   2022                                    2022                           2022




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CORPORATE STRUCTURE

BFI Finance’s corporate structure as at 31 December 2023 was as follows:




         48.15%                                  5.81%                                 5.22%                                40.82%
        Trinugraha Capital                       PT BFI Finance                                                                  Others
                                                                                  NTAsian Discovery Fund
             & Co SCA                            Indonesia Tbk*                                                              (each below 5%)




                                                                                                                        1.00%
                                                 99.00%                                                                     Others




*    Result of the Company's stock buyback program in line with the EGMS resolution on 15 April 2015 and the remaining treasury stock after the MESOP
     implementation based on the EGMS resolution on 29 June 2022						




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   SUBSIDIARIES AND ASSOCIATED ENTITIES

   Subsidiaries                                offer include Inventory Financing,     Through partnerships with
                                               Merchant Financing, Working            prominent names and nascent
   Up to the end of 2023, BFI Finance          Capital Financing, and Employee        players in the ecosystem, FIT is
   had one subsidiary: PT Finansial            Loan. All products offer flexible      reaching out to an increasingly
   Integrasi Teknologi (FIT).                  tenure and competitive interest        large market across channels,
   PT Finansial Integrasi                      rates.                                 from B2C to B2B and B2B2C
                                                                                      segments. FIT has enabled them
   Teknologi (FIT)                             FIT employs the latest and most
                                                                                      to connect to its ecosystem in
                                               secure digital technologies,
   FIT in a Nutshell                                                                  a fast and hassle-free manner.
                                               and continues to strengthen
                                                                                      This is how FIT is supporting the
   PT Finansial Integrasi Teknologi            its infrastructure with a rich
                                                                                      Indonesian Government’s vision
   (FIT) is a financial technology arm         array of features. It ensures that
                                                                                      of an equitable and just society
   of the Company that engages                 users of the platform can enjoy
                                                                                      through digitally-empowered
   in peer-to-peer (P2P) lending               a seamless experience from the
                                                                                      financial inclusion.
   through its proprietary platform,           moment they apply for funding,
   Pinjam Modal. FIT is majority-              all the way to the underwriting        Strategy and Performance
   owned by the Company, with                  process and relationship               in 2023
   a 99.00% stake.                             management. Currently,
                                               customers can independently            FIT’s P2P lending business
   FIT was established in 2017 amid                                                   in 2023 remained focused on
                                               perform various processes on
   the trend of increasing demand                                                     providing funding to small
                                               Pinjam Modal mobile application
   for easy-to-access, technology-                                                    and medium-sized retailers
                                               and web dashboard, starting
   driven financial products in the                                                   present in traditional markets
                                               from onboarding, submitting
   Indonesian market. In July 2018,                                                   across the country, as well
                                               application, to obtaining funding.
   FIT was registered as a financial                                                  as businesses engaged in the
   technology P2P lending company              With its business processes            fast moving consumer goods
   on OJK. It subsequently began               enabled by an advanced and             sector. The emphasis of business
   operating in September 2018.                comprehensive technology               development was on expansion
   In May 2020, FIT obtained a                 stack from end to end, FIT             of network and reinforcement
   license from OJK, making                    runs a lean and streamlined            of business supporting
   BFI Finance the first multifinance          operation, allowing its                technologies, especially to
   company who owned a fintech                 services to be optimizable             support FIT’s strategy to cultivate
   company.                                    and customizable to each               business along the supply chain
                                               customer. Customer data and            industrial segment.
   FIT’s services are accessible by
                                               privacy are maintained in FIT’s
   the Indonesian society through                                                     FIT’s collaboration with a wide
                                               ISO 27001-certified information
   its application available on                                                       range of players in the Indonesian
                                               security management system.
   Google Play Store and Apple App                                                    financial services ecosystem in
                                               Furthermore, FIT ensures its
   Store, as well as pinjammodal.id                                                   2023 included its partnership
                                               business governance and
   website. Its primary target market                                                 with: Bank Jago as an institutional
                                               manages its financial and
   are budding entrepreneurs and                                                      lender; Boom Motorist and Grosir
                                               operational risks within the
   SMEs that require financing                                                        One for product diversification;
                                               acceptable range by employing
   for their business or productive                                                   and various leading names in the
                                               superior big data analytics and
   purposes, as well as technology                                                    tech world for strengthening FIT’s
                                               machine learning capabilities.
   platform in supply chain that                                                      overall system, spanning from
   need support for their working                                                     cyber security to credit scoring
   capital financing. Services on                                                     capability.




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Bolstered by intensive marketing       application. Apart from that,               Development of the latest
efforts and financing products         strengthening will also be carried          technological aspects will
that effectively serve the needs of    out by adding new partnerships              include an early warning system
its targeted market segments, FIT      with third parties who have                 and integration of the OJK’s
managed to multiply its user base      productive business ecosystems              Fintech Lending Data Center
in 2023, to reach 100 lenders (of      that involve technology                     (Pusdafil) to maintain funding
whom around 8 were active) and         integration between partners                quality, development of internal
24,000 borrowers (around 3,400         so that financial services can be           applications in the form of sales
active) as at the end of the year.     easily accessed by productive               applications to support and
FIT’s customers now can use the        communities, such as shops,                 enhance the work processes of
loan facility ceiling conveniently     wholesalers and distributors.               each network, as well as system
and in real time.                                                                  development Internal assessment
                                       Improvements to Pinjam Modal
                                                                                   and individual performance
By end of 2023, FIT had disbursed      platform will be carried out
                                                                                   control to assist the HC team
financing with total amount of         by developing information
                                                                                   in executing HC development.
Rp2.3 trillion, and the total loan     system features and capab ilities
                                                                                   In order to secure customer data,
outstanding amounted to more           from existing technological
                                                                                   FIT will apply industry-leading
than Rp280 billion. FIT’s Loan         aspects, namely developing
                                                                                   information architecture. With
Repayment Rate on average              data architecture which includes
                                                                                   all these efforts, the governance
reached 95,71%, in accordance          database technology to support
                                                                                   system at FIT will become
with the target suggested by OJK.      mapping, patterns and trends
                                                                                   stronger and in accordance with
                                       to support decision making,
Future Plans                                                                       the latest regulations.
                                       augmenting cyber security in the
In 2024, FIT plans to strengthen       scope of infrastructure, continued          Success in implementing this
and develop its network further.       development of the core funding             business plan will support
Networking in this context             system, internal dashboard,                 FIT’s goal of extending at least
pertains to an offline to online       integration with banks, and                 Rp3.1 trillion in financing to
concept through the presence           payment gateways. Integration               its users, with the financing
of sales staff who educate and         with third parties will be pursued,         receivables balance of
disseminate the Company’s              including with credit bureau                Rp421 billion at the end of 2024,
products to certain customer           services, digital signatures,               thus reaffirming its market share
segments in the business chain,        verification, and customer                  in the P2P lending industry
supported by online work tools         validation.                                 in Indonesia.
such as mobile sales application
and web-based customer




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       Corporate Data                          Vision                                  Shareholders

                                               To provide easily accessible            •   PT BFI Finance Indonesia
       Office Address
                                               financial services to the                   Tbk: 99.00%
       Foresta Business Loft 5 Unit 11
                                               Indonesian society to                   •   Others: 1.00%
       Lengkong Kulon, Pagedangan
                                               contribute to the improvement
       Tangerang Regency 15331                                                         OJK Registration and License
                                               of public welfare
       Date of Establishment                                                           •   Letter No. S-588/NB.213/2018
                                               Mission                                     dated 31 July 2018
       15 September 2017
                                               1.   Providing easy access to           •   Letter No. KEP-20/D.05/2020
       Legal Basis of Establishment                 services for the public by             dated 19 May 2020
                                                    utilizing state-of-the-art
       Notary Deed of Herna
                                                    technologies                       Membership in Association
       Gunawan, S.H., M.Kn., No. 4
       dated 15 September 2017,                2. Providing competitive and
       as approved by the Minister                practical financial services
       of Law and Human Rights of                 to be used widely by the
       the Republic of Indonesia by               Indonesian society                   Indonesia Fintech Association
       the letter No. AHU-0043022.             3. Growing into a sound,                (AFTECH)
       AH.01.01.Tahun 2017 dated                  strong, and integrated
       29 September 2017                          company

       Line of Business
                                                                                       Indonesia Fintech Lending
       Financial technology borrowing                                                  Association (AFPI)
       and lending services via Pinjam
       Modal platform




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 Management Profiles


       Francis Lay Sioe Ho
       President Commissioner


                              Indonesian
             Age: 75                                    Jakarta, DKI Jakarta
                              Citizen



       He served as Commissioner for the period 2017-2022 and was subsequently appointed as President
       Commissioner pursuant to the Shareholders’ Resolutions in Lieu of GMS of PT FIT on 29 July 2021
       as per Deed of Shareholders' Resolutions Statement in Lieu of GMS of PT FIT No. 06 dated
       5 August 2021.

       He also serves as President Director of BFI Finance. His profile is presented in the Board of Directors
       Profiles (page 73).




       Sudjono
       Commissioner

                              Indonesian                Tangerang Selatan,
             Age: 53
                              Citizen                   Banten



       He was appointed as Commissioner pursuant to the Shareholders’ Resolutions in Lieu of GMS of PT FIT
       on 29 July 2021 as per Deed No. 06 dated 5 August 2021.

       He also serves as Finance Director and Corporate Secretary of BFI Finance. His profile is presented in
       the Board of Directors Profiles (page 74).




       Herman Handoko
       President Director


                              Indonesian
             Age: 45                                    Jakarta, DKI Jakarta
                              Citizen



     Appointed as President Director according to the Shareholders’ Resolutions in Lieu of GMS of PT FIT dated
     29 July 2021 as per Deed No. 06 dated 5 August 2021. The Notary Deed of Veronika Farida Riswanti, S.H., M.Kn.
     has been received and recorded by the Minister of Law and Human Rights of the Republic of Indonesia as
     proven in the Decree of Acceptance of Amendment Notification to the Company Data of PT FIT regarding
     changes in the Board of Directors and Commissioners No. AHU-AH.01.03-0439071 dated 20 August 2021.

     Previously, he was the Director of PT FIT pursuant to the Notary Deed of Herna Gunawan, S.H., M.Kn. No. 4
     dated 15 September 2017 that had been endorsed by the Minister of Law and Human Rights of the Republic
     of Indonesia No. AHU-0043022.AH.01.01.TAHUN 2017 dated 29 September 2017.

     He had worked at BFI Finance (2003-2017) and held various positions, among others: as Head of Operations,
     Marketing Officer of Leasing & Used Car, Head of Sales, Head of Car Product, Branch Manager of Jakarta
     Barat-Meruya, Area Manager of DKI Jakarta, Associate Department Head of Network & Development,
     Head of Branch Management Department, Regional Manager for Jakarta, Depok and Tangerang region,
     Head of Business Strategy Development & Management, and Head of Channel.

     He earned his Bachelor of Economics degree in Accounting from Atma Jaya Catholic University, Jakarta,
     in 2002.

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         Ichwan Peryana
         Director


                                Indonesian                     Tangerang Selatan,
               Age: 33
                                Citizen                        Banten



      Joined PT FIT in 2017 as System & Technology Manager and Head of Technology. Then, he was appointed
      as Director according to the Shareholders’ Resolutions in Lieu of GMS of PT FIT dated 29 July 2021 as
      per Deed No. 06 dated 5 August 2021. The Notary Deed of Veronika Farida Riswanti, S.H., M.Kn. has been
      received and recorded by the Ministry of Law and Human Rights of the Republic of Indonesia as proven
      in the Decree of Acceptance of Amendment Notification to the Company Data of PT FIT regarding
      changes in the Board of Directors and Commissioners No. AHU-AH.01.03-0439071 dated 20 August 2021.

      Previously, he had also joined BFI Finance and held a position of Digital Marketing Unit Head (2016–2017).

      He earned his Bachelor of Communication Management degree from Universitas Padjadjaran, Bandung,
      West Java, in 2013 and completed the Executive Education FinTech & Digital Strategy from INSEAD and
      Cybersecurity Leadership from MIT Sloan School of Management in 2021.

      He has received several awards, including being among the Top 200 CIO Southeast Asia from Global CIO
      Forum in The World CIO 200 Summit 2021, 2022, and 2023, CIO 100 Awards 2022 and 2023 from cio.com,
      CSO30 ASEAN Awards 2022 and 2023 from csoonline.com, and Tech Innovator of the Year from World
      Financial Innovation Series 2023.




   In 2023, the composition of FIT BOD was changed with the resignation of Agus Ghozali from his position as
   Director, pursuant to the Notary Deed of Geraldine H.S.S.U. Sianturi, S.H., M.Kn., in Tangerang Selatan, i.e.,
   Deed of Shareholders Resolution Statement in Lieu of AGMS of PT FIT No. 06 dated 8 May 2023.



   Associated Entities
   Up to the end of 2023, BFI Finance did not have any associated entities.




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 SHARE OWNERSHIP COMPOSITION

 Based on the Shareholders Register issued by PT Raya Saham Registra as the Company’s Share Registrar,
 the composition of shareholders of BFI Finance as at 31 December 2023 was as follows:


 Table 19 • Composition of Shares and Shareholders

                                                                                                  Price per Share Rp25
                           Description
                                                                          Total Shares                 Face Value (Rp)                   % Shares
     Authorized Capital                                              20,000,000,000                   500,000,000,000                     100.00
     Issued and Fully Paid-up Capital                                      15,967,115,620              399,177,890,500                      79.84
     Share Capital in Portfolio                                           4,032,884,380                100,822,109,500                      20.16
     Shareholders
     Trinugraha Capital & Co SCA                                           7,688,125,938               192,203,148,450                      48.15
     PT BFI Finance Indonesia Tbk*                                          927,732,000                 23,193,300,000                           5.81
     NTAsian Discovery Fund                                                832,804,900                  20,820,122,500                           5.22
     Others (each below 5%)                                                6,518,452,782                162,961,319,550                     40.82
     Total                                                                15,967,115,620              399,177,890,500                     100.00

 *    Result of the Company's stock buyback program in line with the EGMS resolution on 15 April 2015 and the remaining treasury stock after the MESOP
      implementation based on the EGMS resolution on 29 June 2022			



 Share ownership of members of the BOD as at 31 December 2023 was as follows:


 Table 20 • Share Ownership of Members of the BOD

                                                                             Beginning of Year                   Akhir Tahun                     Nature of
                   Name                           Position
                                                                          Total Shares     % Shares       Total Shares        % Shares           Ownership

     Francis Lay Sioe Ho                  President Director               386,771,480        2.42          344,108,180           2.16            Direct
     Sudjono                              Director                          26,310,800        0.16           26,310,800           0.16            Direct
     Sutadi                               Director                           17,517,000        0.11           17,517,000          0.11            Direct
     Andrew Adiwijanto                    Director                          10,240,000        0.06           10,240,000          0.06             Direct
     Sigit Hendra Gunawan*                Director                         10,000,000         0.06                        -          -            Direct
     Total                                                                450,839,280         2.81         398,175,980           2.49
 *    No longer serving as Director effective from the 16 May 2023 EGMS




 PT BFI Finance Indonesia Tbk’s ownership structure, as at end of 2023, comprised a total of 8,781 individuals
 and institutions, of which 69.70% were registered abroad and the remaining 30.30% locally. There were
 no shareholders with ownership of more than 5%, except Trinugraha Capital & Co SCA as the controlling
 shareholder, NTAsian Discovery Fund, and the Company’s treasury stock.




92                                                                                       PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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   MANAGEMENT DISCUSSION             GOOD CORPORATE                                                           ANNUAL FINANCIAL
                                                              SUSTAINABILITY        SUPPORTING DATA                                     APPENDICES
   AND ANALYSIS                      GOVERNANCE                                                               STATEMENTS




   Graph 5 • Classification of Shareholders                                             Graph 6 • Shareholding Composition




                                13.92



                                30.30       16.38                                           40.82                                  48.15
                 69.70


       69.69                                             0.01

                                                                                                       5.22     5.81




       Domestic                          Foreign                                             Trinugraha Capital & Co SCA
       Individual                        Individual
                                                                                             PT BFI Finance Indonesia Tbk*
       Domestic                          Foreign
       Institutional                     Institutional                                       NTAsian Discovery Fund

       Total Domestic                    Total Foreign                                       Others (each below 5%)
       Share                             Share
                                                                                             * Result of the Company's stock buyback program
                                                                                               in line with the EGMS resolution on 15 April 2015
                                                                                               and the remaining treasury stock after the MESOP
                                                                                               implementation based on the EGMS resolution on
                                                                                               29 June 2022



   Share Ownership Structure
   as of 31 December 2023



                                             Jerry Ng


                                                      100%                 Private equity
                                                                            managed by
                                           Bravo Capital                   NS Advisors 1
      Garibaldi Thohir                     Holdings Ltd.                                                       Other/Passive Investor 2


               7.3%                                   23.2%                        14.3%                                     55.2%

                                                       Bravo Investments Ltd.
           0.66%
                                                                    99.34%

     Trinugraha Capital & Co SCA             Treasury Stock/BFI Finance             NTAsian Discovery Fund                       Public below 5%

                           48.15%                               5.81%                              5.22%                                   40.82%


        PT BFI Finance Indonesia Tbk                                                          Francis Lay Sioe Ho


                            99.00%                                                                            1.00%


      PT Finansial Integrasi Teknologi
                                                              Ultimate Beneficial Owners (UBO)
                                                              1 NS Advisors is Northstar Advisors Pte. Ltd.
                                                              2 Other/Passive Investors are those without voting rights




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                         93
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                    2023 PERFORMANCE                                                            BUSINESS
ABOUT THIS REPORT                       REPORTS TO STAKEHOLDERS          COMPANY PROFILE
                    HIGHLIGHTS                                                                  SUPPORTING UNITS




CONTROLLING SHAREHOLDER PROFILE
Trinugraha Capital                     with the latest amendment                   Managers and Supervisors
                                       being effective based on the                of TCC
& Co SCA                               resolutions of TCC’s EGMS dated
                                                                                   In accordance with its articles
Manager                                28 November 2022, made before
                                       Maître Edouard Delosch, a Notary            of association, TCC is managed
Trinugraha Capital (TC SARL)                                                       by one or more managers
                                       in Luxembourg.
                                                                                   who are the unlimited liability
Brief History
                                       Objectives and Interests                    shareholders/commandite.
Trinugraha Capital & Co SCA            of TCC                                      TC SARL, a société à
(TCC) is a company incorporated                                                    responsabilité limitée, was
                                       TCC’s objectives and interests are
under the laws of the Grand-                                                       appointed as the sole manager
                                       in participating, in any form, in
Duchy of Luxembourg with its                                                       of TCC. All matters related to TCC
                                       companies, partnerships, or other
establishment made before                                                          and their financial condition
                                       forms of business entity. TCC has
Maître Joseph Elvinger, a Notary                                                   including in particular the
                                       the capability to be involved in
in Luxembourg, and was listed                                                      bookkeeping and accounts are
                                       all of the commercial, technical,
on The Registre de Commerce                                                        overseen by the TCC Supervisory
                                       financial, or operational aspects,
et des Sociétés in Luxembourg                                                      Board.
                                       either directly or indirectly,
under number B 160504. The
                                       in order to successfully achieve its
articles of association of TCC have
                                       objectives.
been amended several times




ULTIMATE BENEFICIAL OWNERS
The Ultimate Beneficial Owners         The designation of Garibaldi                The two parties designated as
(UBO) of the Company are               Thohir and Jerry Ng as the UBO              the UBO have fulfilled the criteria
Garibaldi Thohir and Jerry Ng.         is in accordance with the                   stated in Article 4 paragraph 1
The Company submitted the              provisions in the Regulation of             points f and g of the Regulation
information disclosure regarding       the RI President No. 13/2018 on             of the RI President No. 13/2018,
the ultimate beneficial owners         Implementation of the Principle             namely:
to the RI Minister of Law and          of Recognizing Beneficial                   a. Receiving benefits from
Human Rights as stated in the          Owners of Corporations in the                  a limited liability company;
Data Submission Statement              Context of Preventing and                      and/or
dated 17 June 2022. Jerry Ng           Eradicating the Financial Crime
                                                                                   b. Being the actual owner of the
was approved as the controlling        of Money Laundering and
                                                                                      funds related to the ownership
shareholder of BFI Finance based       the Criminal Act of Terrorism
                                                                                      of shares of the limited liability
on the Decree of Members of the        Financing, in conjunction with
                                                                                      company.
Board of Commissioners of OJK          the Regulation of the RI Minister
No. KEP-381/NB.11/2022 dated           of Law and Human Rights
1 July 2022 on the Fit and Proper      No.15/2019 on Procedures for
Test Result for Mr. Jerry Ng as the    Implementing the Principle of
Candidate for Controller of PT BFI     Recognizing Beneficial Owners of
Finance Indonesia Tbk.                 Corporations.




94                                                                PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 97
   MANAGEMENT DISCUSSION      GOOD CORPORATE                                            ANNUAL FINANCIAL
                                                   SUSTAINABILITY    SUPPORTING DATA                         APPENDICES
   AND ANALYSIS               GOVERNANCE                                                STATEMENTS




   CHRONOLOGICAL LISTING OF SHARES AND
   CHANGES IN NUMBER OF SHARES
   Chronology of Share                         capital amounting to Rp1.5 billion,     Rp1.5 million to Rp15 billion divided
                                               divided into 100 preferred shares       into 15 million ordinary shares each
   Listing                                     and 900 common shares.                  having a nominal value of Rp1,000,
   Based on Deed No. 57 on                                                             while the issued and fully paid-up
                                               Based on Deed No. 80 dated
   7 April 1982, and amended by                                                        capital amounting to Rp8.5 billion,
                                               22 November 1989 and Deed
   Deed No. 40 dated 6 October                                                         consisting of 8.5 million shares.
                                               No. 27 dated 8 March 1990,
   1982, both made before Kartini
                                               the authorized capital of the           The following is a summary of the
   Muljadi, S.H., a Notary in Jakarta,
                                               Company when the Company                Company’s chronological share
   the authorized capital of the
                                               was about to conduct a public           listings:
   Company was Rp3 billion divided
                                               offering increased from Rp3
   into 100 preferred shares and
                                               billion divided into 100 preferred
   1,900 common shares, each with
                                               shares and 1,900 common shares
   a nominal value of Rp1.5 million,
                                               each with a nominal value of
   while the issued and fully paid-up




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                              95
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                           2023 PERFORMANCE                                                                BUSINESS
ABOUT THIS REPORT                               REPORTS TO STAKEHOLDERS             COMPANY PROFILE
                           HIGHLIGHTS                                                                      SUPPORTING UNITS




Table 21 • Chronological Listing of Shares and Changes in Total Outstanding Shares


                                      Stock                                                                              Total Listed
        Corporate Action                           Listing Date           Listed Shares       Value & Price (Rp)
                                    Exchange                                                                               Shares

                                   BEJ &
 Initial Public Offering                          16 May 1990                2,125,000                1,000                   2,125,000
                                   BES

                                   BEJ           14 June 1993                              The Company issued
 Share Dividend                                                             1,062,500      1 new share for every              3,187,500
                                   BES            11 June 1993                             10 shares owned


                                   BEJ         22 September 1993                           The Company issued
                                                                                           17 bonus shares
 Bonus Share                                                                9,934,668                                         13,122,168
                                                                                           for every 20 shares
                                   BES         13 September 1993                           owned

                                   BEJ         6 December 1993
 Company Listing                                                            8,500,000                 1,000                   21,622,168
                                   BES         2 December 1993

                                   BEJ           22 March 1994                             The Company issued
 Share Dividend                                                             7,207,390      1 new share for every          28,829,558
                                   BES           21 March 1994                             3 shares owned

 Limited Public Offering I
 (Rights Issue I):                 BEJ &
                                                  9 May 1994               28,829,558                 1,000                   57,659,116
 1 share entitled to 1 new         BES
 share

 Limited Public Offering
 II (Rights Issue II):             BEJ &
                                                12 February 1997           115,318,232                1,000              172,977,348
 1 share entitled to 2 new         BES
 shares

                                   BEJ &
 Stock Split 1:2                               3 November 1997            172,977,348                  500              345,954,696
                                   BES

 New Shares from MCB               BEJ            11 May 2006
                                                                          414,384,585                                    760,339,281
 Conversion                        BES            5 June 2006

 Stock Split 1:2                   BEI           7 August 2012            760,339,281                  250             1,520,678,562

 Issuance of Shares for
 Implementation of
                                   BEI            31 May 2013               5,936,000                  250              1,526,614,562
 MESOP Phase I - Grant
 Date 1
 Issuance of Shares for
 Implementation of
                                   BEI            30 May 2014              23,320,000                  250             1,549,934,562
 MESOP Phase I - Grant
 Date 2
 Issuance of Shares for
 Implementation of
                                   BEI            29 May 2015              16,025,000                  250             1,565,959,562
 MESOP Phase II - Grant
 Date 1
 Issuance of Shares for
 Implementation of
                                   BEI            31 May 2016              30,752,000                  250              1,596,711,562
 MESOP Phase II - Grant
 Date 2
 Company's Share
                                                                                           Total shares
 Buyback with the
                                                                                           purchased
 maximum repurchasing              N/A            15 April 2015           100,273,200                                         n/a
                                                                                           amounted to
 period of 18 months
                                                                                           Rp252,160,169,658
 from 15 April 2015

 Stock Split 1:10                  BEI            5 June 2017             1,596,711,562                  25            15,967,115,620

 MESOP from Treasury
                                   BEI          11 October 2022           75,000,000                   500             15,967,115,620
 Shares

All of the above actions have been approved by the capital market authorities and duly implemented.


96                                                                          PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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   MANAGEMENT DISCUSSION      GOOD CORPORATE                                          ANNUAL FINANCIAL
                                                   SUSTAINABILITY   SUPPORTING DATA                      APPENDICES
   AND ANALYSIS               GOVERNANCE                                              STATEMENTS




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                          97
Page 100
                           2023 PERFORMANCE                                                                        BUSINESS
ABOUT THIS REPORT                                    REPORTS TO STAKEHOLDERS           COMPANY PROFILE
                           HIGHLIGHTS                                                                              SUPPORTING UNITS




CHRONOLOGICAL LISTING
OF OTHER SECURITIES
Listing of Bonds

Table 22 • Bond Listing Summary


                                                                                                      Amount
                                        Date Listed        Effective       Bond     Amount Issued
            Bonds Issued                                                                             per Serial     Coupon            Due Date
                                          on IDX             Date          Rating    (Rp billion)
                                                                                                    (Rp billion)
                                                                                                                                     18
 Obligasi                  Serial A                                                                   437            8.00%       September
                                                          7 June
 Berkelanjutan IV                           8                                                                                       2021
                                                           2018
 BFI Finance                           September                         AA-(idn)        832
                                                        (No.S-67/
 Indonesia Tahap                          2020                                                                                  8 September
                           Serial B                     D.04/2018)                                    395            9.50%
 III Tahun 2020                                                                                                                     2023


 Obligasi                  Serial A                                                                   200            6.00%      8 June 2022
 Berkelanjutan V
                                          31 May
 BFI Finance                                                             AA-(idn)        600
                                           2021
 Indonesia Tahap I
 Tahun 2021                Serial B                                                                   400             7.75%     28 May 2024


                                                                                                                                  16 August
                           Serial A                                                                    210            5.25%
                                                                                                                                     2022
 Obligasi
 Berkelanjutan V                                                                                                                  6 August
                           Serial B      9 August                                                     260             6.25%
 BFI Finance                                                             AA-(idn)      1,000                                        2023
                                           2021
 Indonesia Tahap II
 Tahun 2021
                                                                                                                                  6 August
                           Serial C                                                                   530             7.25%
                                                                                                                                    2024

                                                                                                                                 7 February
                           Serial A                                                                    617            6.25%
                                                                                                                                    2024
 Obligasi                                                  21 May
 Berkelanjutan V                                            2021
                                       30 January                                                                                27 January
 BFI Finance               Serial B                      (No. S-66/      AA-(idn)       1,100          227           7.00%
                                          2023                                                                                      2025
 Indonesia Tahap                                         D.04/2021)
 III Tahun 2023
                                                                                                                                 27 January
                           Serial C                                                                   256           7.375%
                                                                                                                                    2026


                           Serial A                                                                   590             6.10%     24 April 2024
 Obligasi
 Berkelanjutan V
                                          17 April
 BFI Finance               Serial B                                      AA-(idn)       1,600         385            7.00%      14 April 2025
                                           2023
 Indonesia Tahap
 IV Tahun 2023
                           Serial C                                                                   625             7.15%     14 April 2026


 Obligasi                  Serial A                                                                   250            6.00%      25 June 2024
 Berkelanjutan V
                                          16 June
 BFI Finance                                                             AA-(idn)       1,100
                                            2023
 Indonesia Tahap
 V Tahun 2023              Serial B                                                                   850           7.00%       15 June 2026




98                                                                              PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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   MANAGEMENT DISCUSSION      GOOD CORPORATE                                                  ANNUAL FINANCIAL
                                                   SUSTAINABILITY        SUPPORTING DATA                                  APPENDICES
   AND ANALYSIS               GOVERNANCE                                                      STATEMENTS




                                                                                Public        Legal                            Bond Rating
     Status                  Underwriter                       Trustee                                           Notary
                                                                              Accontant     Consultant                           Agency

               PT BNI Sekuritas
                                                                            Tanubrata
               PT Danareksa Sekuritas                     PT Bank                                         Ir. Nanette
                                                                            Sutanto        Jusuf                              PT Fitch
                                                          Tabungan                                        Cahyanie
    Paid       PT DBS Vickers Sekuritas Indonesia                           Fahmi          Indradewa                          Ratings
                                                          Negara                                          Handari Adi
               PT Mandiri Sekuritas                                         Bambang        & Partners                         Indonesia
                                                          (Persero) Tbk                                   Warsito, S.H.
                                                                            & Rekan
               PT Trimegah Sekuritas Indonesia Tbk

               PT BNI Sekuritas
    Paid                                                                    Tanubrata
               PT BRI Danareksa Sekuritas                 PT Bank                                         Ir. Nanette
                                                                            Sutanto        Jusuf                              PT Fitch
                                                          Tabungan                                        Cahyanie
               PT DBS Vickers Sekuritas Indonesia                           Fahmi          Indradewa                          Ratings
    Not                                                   Negara                                          Handari Adi
               PT Mandiri Sekuritas                                         Bambang        & Partners                         Indonesia
    yet                                                   (Persero) Tbk                                   Warsito, S.H.
                                                                            & Rekan
    due        PT Trimegah Sekuritas Indonesia Tbk


               PT BCA Sekuritas
    Paid       PT BNI Sekuritas                                             Tanubrata
                                                          PT Bank                                         Ir. Nanette
               PT DBS Vickers Sekuritas Indonesia                           Sutanto        Jusuf                              PT Fitch
                                                          Tabungan                                        Cahyanie
                                                                            Fahmi          Indradewa                          Ratings
               PT BRI Danareksa Sekuritas                 Negara                                          Handari Adi
                                                                            Bambang        & Partners                         Indonesia
                                                          (Persero) Tbk                                   Warsito, S.H.
    Not        PT Mandiri Sekuritas                                         & Rekan
    yet        PT Trimegah Sekuritas Indonesia Tbk
    due



               PT BCA Sekuritas                                             Tanubrata
                                                          PT Bank                                         Ir. Nanette
    Not        PT BRI Danareksa Sekuritas                                   Sutanto        Jusuf                              PT Fitch
                                                          Tabungan                                        Cahyanie
    yet                                                                     Fahmi          Indradewa                          Ratings
               PT Mandiri Sekuritas                       Negara                                          Handari Adi
    due                                                                     Bambang        & Partners                         Indonesia
                                                          (Persero) Tbk                                   Warsito, S.H.
               PT Trimegah Sekuritas Indonesia Tbk                          & Rekan




               PT BCA Sekuritas                                             Tanubrata
                                                          PT Bank                                         Ir. Nanette
    Not        PT BRI Danareksa Sekuritas                                   Sutanto        Jusuf                              PT Fitch
                                                          Tabungan                                        Cahyanie
    yet                                                                     Fahmi          Indradewa                          Ratings
               PT Mandiri Sekuritas                       Negara                                          Handari Adi
    due                                                                     Bambang        & Partners                         Indonesia
                                                          (Persero) Tbk                                   Warsito, S.H.
               PT Trimegah Sekuritas Indonesia Tbk                          & Rekan




               PT BCA Sekuritas                                             Tanubrata
                                                          PT Bank                                         Ir. Nanette
    Not        PT BRI Danareksa Sekuritas                                   Sutanto        Jusuf                              PT Fitch
                                                          Tabungan                                        Cahyanie
    yet                                                                     Fahmi          Indradewa                          Ratings
               PT Mandiri Sekuritas                       Negara                                          Handari Adi
    due                                                                     Bambang        & Partners                         Indonesia
                                                          (Persero) Tbk                                   Warsito, S.H.
               PT Trimegah Sekuritas Indonesia Tbk                          & Rekan




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                            99
Page 102
                          2023 PERFORMANCE                                                                    BUSINESS
 ABOUT THIS REPORT                                  REPORTS TO STAKEHOLDERS           COMPANY PROFILE
                          HIGHLIGHTS                                                                          SUPPORTING UNITS




 PUBLIC ACCOUNTANT SERVICES


 Public Accounting Firm                            The above public accounting                  The fee for the 2023 assignment
                                                   firm has audited the Company’s               period was Rp627 million,
 Tanubrata Sutanto Fahmi                           annual financial statements for              including VAT.
 Bambang & Rekan                                   eight years, since 2016.
                                                                                                The public accounting firm
 Prudential Tower Lt. 17                           The public accountant that                   rendered no other professional
 Jl. Jend. Sudirman Kav. 79                        audited the Company’s annual                 services to the Company in the
 Jakarta 12910, Indonesia                          financial statements for the                 financial year of 2023, apart from
 Tel: (62-21) 5795 7300                            financial year of 2023 was Susanto           the audit of financial statements
 Fax: (62-21) 5795 7301                            Bong, S.E., Ak., C.P.A, C.A.                 as mentioned above.
 www.bdo.co.id




 Table 23 • Chronology of Public Accounting Firm Appointments


      Period              Public Accounting Firm               Accountant Name          Report Release Date               Opinion

      2019           Tanubrata Sutanto Fahmi               Susanto Bong, S.E.,          19 February 2020         Unmodified Opinion
                     Bambang & Rekan                       Ak., C.P.A., C.A.

      2020           Tanubrata Sutanto Fahmi               Susanto Bong, S.E.,            12 March 2021          Unmodified Opinion
                     Bambang & Rekan                       Ak., C.P.A., C.A.

       2021          Tanubrata Sutanto Fahmi               Dr. Herry Sunarto,           15 February 2022         Unmodified Opinion
                     Bambang & Rekan                       S.E., Ak., S.H., M.B.A.,
                                                           M.H., C.P.A., C.P.M.A.,
                                                           C.M.A., C.A.

      2022           Tanubrata Sutanto Fahmi               Santanu Chandra,             13 February 2023         Unmodified Opinion
                     Bambang & Rekan                       C.P.A.

      2023           Tanubrata Sutanto Fahmi               Susanto Bong, S.E.,          23 February 2024         Unmodified Opinion
                     Bambang & Rekan                       Ak., C.P.A., C.A.




100                                                                           PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 103
   MANAGEMENT DISCUSSION      GOOD CORPORATE                                              ANNUAL FINANCIAL
                                                   SUSTAINABILITY       SUPPORTING DATA                      APPENDICES
   AND ANALYSIS               GOVERNANCE                                                  STATEMENTS




   CAPITAL MARKET SUPPORTING INSTITUTIONS
   AND PROFESSIONS

   Ratings Agency                                                   Share Registrar
   PT Fitch Ratings Indonesia                                       PT Raya Saham Registra
   DBS Bank Tower Lt. 24, Suite 2403                                Gedung Plaza Sentral Lt. 2
   Jl. Prof. Dr. Satrio Kav. 3-5                                    Jl. Jend. Sudirman Kav. 47-48
   Jakarta 12940, Indonesia                                         Jakarta 12930, Indonesia
   Phone (62-21) 2988 6800                                          Phone (62-21) 252 5666
   Fax: (62-21) 2988 6822                                           Fax: (62-21) 252 5028
   www.fitchratings.com/region/indonesia                            www.registra.co.id

   Fee for the 2023 assignment period was                           Fee for the assignment period 2023 was
   Rp492 million.                                                   Rp186 million.


   Trustee                                                          Capital Market Institution
   PT Bank Tabungan Negara (Persero) Tbk                            PT Bursa Efek Indonesia
   Menara BTN                                                       (Indonesia Stock Exchange)
   Jl. Gajah Mada No. 1                                             Gedung Bursa Efek Indonesia, Tower 1, Lt. 6
   Jakarta 10130, Indonesia                                         Jl. Jend. Sudirman Kav. 52–53
   Phone (62-21) 633 6789 ext. 1844-1847                            Jakarta Selatan 12190, Indonesia
   www.btn.co.id                                                    Phone (62-21) 515 0515
                                                                    Fax: (62-21) 515 4153
   Fee for the assignment period 2016-2023
                                                                    Call Center (National): 150515
   ranged from 0.0088%-0.0165% of the total
                                                                    www.idx.co.id
   bonds issued.


   Legal Consultant                                                 Depository and Settlement
                                                                    Institution
   Jusuf Indradewa & Partners
   Menara BCA (Grand Indonesia) Lt. 50                              PT Kustodian Sentral Efek Indonesia
   Jl. M.H. Thamrin No. 1                                           (Indonesia Central Securities Depository)
   Jakarta 10310, Indonesia                                         Gedung Bursa Efek Indonesia, Tower 1, Lt. 5
   Tel.: (62-21) 2254 4117 (hunting)                                Jl. Jend. Sudirman Kav. 52–53
   Fax: (62-21) 2254 4367                                           Jakarta 12190, Indonesia
   www.jusufind.com                                                 Phone (62-21) 515 2855
                                                                    Fax: (62-21) 5299 1199
   Fee for the assignment period 2019-2023 was
                                                                    Toll Free: 0800-186-5734
   approximately 0.0138-0.0248% of the total
                                                                    www.ksei.co.id
   bonds issued.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                              101
Page 104
 Effectiveness Across All Fronts
 The Telecollection operational system at BFI Finance
 is steadily improving in effectiveness and efficiency
 through the implementation of the Call Identifier
 system, which aids in the selection of customer
 contacts, automatically connecting our agents
 with active numbers.




102                                        PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 105
   04
   BUSINESS
   SUPPORTING
   UNITS




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk   103
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                     2023 PERFORMANCE                                                           BUSINESS
 ABOUT THIS REPORT                      REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                     HIGHLIGHTS                                                                 SUPPORTING UNITS




 INFORMATION TECHNOLOGY




 IT initiatives in 2023 were focused                                                   To stay relevant in the fast-
                                                                                       evolving financial ecosystem,
 on revamping the origination                                                          BFI Finance has been
                                                                                       reinventing itself to excel in
 system and strengthening overall                                                      the information technology (IT)
                                                                                       domain. It is pursuing a multi-
 IT security, in particular with                                                       pronged strategy aiming to

 regards to prevention, monitoring,                                                    digitally transform the business
                                                                                       in ways that are aligned with

 and employee awareness.                                                               the demands of the times,
                                                                                       while remaining rooted to the
                                                                                       principles that have made
                                                                                       BFI Finance the top-of-mind
                                                                                       choice for hundreds of thousands
                                                                                       of customers in the first place.

                                                                                       In 2023, as the digitalization
                                                                                       momentum was gaining
                                                                                       strength, BFI Finance’s business
                                                                                       experienced a hiccup. It proved




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   MANAGEMENT DISCUSSION      GOOD CORPORATE                                            ANNUAL FINANCIAL
                                                   SUSTAINABILITY    SUPPORTING DATA                       APPENDICES
   AND ANALYSIS               GOVERNANCE                                                STATEMENTS




   to be a pivotal moment for the              limited scope in the beginning of       for dominance in the new
   Company, calling for a firm and             2024, with a view to be scaled up       normal, this system banks on
   well-orchestrated response to               nationwide later on in the year.        advanced machine learning to
   the ensuing complexities, to                                                        evaluate current and potential
                                               IT-related improvements
   minimize impact on its day-                                                         delinquencies, which can to
                                               to the loan origination side
   to-day operations. For the IT                                                       some extent predict customers’
                                               of the business have made
   team and the entire workforce                                                       future payment performance
                                               onboarding process a faster
   of BFI Finance, the outcomes                                                        based on big data and prior
                                               and more seamless experience
   of this hiccup helped steer the                                                     records. The system will
                                               for customers. This is paired
   Company’s future digitalization                                                     then devise a customer-by-
                                               up with upgraded decision-
   initiatives with stronger risk                                                      customer individual approach
                                               making processes on the back
   management and greater                                                              for field collection agents to
                                               end. Effective underwriting is
   agility, bringing itself on par with                                                perform collection as efficiently
                                               enhanced through automated
   leading digital-native companies                                                    as possible.
                                               algorithms empowered by
   of today.
                                               machine learning capabilities.          The second took the form of
                                               Furthermore, deeper integration         a revamped mobile application
   Enhancements to
                                               of the Company’s digital systems        for collection. Utilizing the data
   Loan Origination                            with those of its partners’ allows      fed into it by the centralized
   The cornerstone of IT initiatives           the entire flow—from origination        collection system, the application
   in 2023 was a thorough                      to payment—to take place                gives recommendations to
   rejuvenation of the loan                    on interconnected platforms.            field collection agents on the
   origination system, complete                This hassle-free approach has           strategy to deal with specific
   with the establishment of new               proven crucial in boosting              delinquent customers. It also
   features within the system. These           customer satisfaction.                  actively collects insights from
   newly developed systems not                                                         agent-customer interactions to
   only have streamlined processes,            Strengthening                           inform future actions and decide
   but also carved up new channels             Collection                              whether the treatment plan
                                                                                       needs adjusments.
   for loan generation, significantly          Performance
   expanding the Company’s reach                                                       The third major path was
   into the vast and relatively                Advances in loan origination
                                                                                       through the autodialer
   undertapped Indonesian market.              to expand the scale of business
                                                                                       system. It went live in late
                                               were complemented by a host
   Armed with additional                                                               2023 and has significantly
                                               of initiatives to reinforce
   capabilities, the Company’s                                                         raised the performance level
                                               the Company’s collection
   loan origination systems now                                                        of the telecollection team.
                                               performance. Essential to
   serve both internal employees                                                       It has done so by reducing
                                               guarding against deterioration of
   as well as external partners                                                        the telecollection agent’s waiting
                                               portfolio quality, these initiatives
   and agents to bring in new                                                          time when making calls and
                                               involved a more extensive
   leads more efficiently than with                                                    by increasing the chance that
                                               automation of key tasks that
   conventional methods. Certain                                                       customers are contacted at
                                               the collection team performed
   collaboration projects had                                                          the most opportune moment.
                                               on a regular basis. They also
   been run up to the end of 2023,             enriched the collection strategy,       Blending technology into
   involving several key players in            and thus improved performance,          both the strategic and routine
   the digital financial ecosystem,            through three main paths.               decision-making tasks of the
   allowing the Company to extend                                                      collection staff, who themselves
   its offerings to a wider swath              The first dealt with
                                                                                       are continuously equipped and
   of the market, and with more                the Company’s centralized
                                                                                       upskilled, has improved collection
   diverse characteristics. These              collection system. Established
                                                                                       efficacy without causing a linear
   systems are to be piloted in                as part of BFI Finance’s drive
                                                                                       increase in headcount or cost.




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 ABOUT THIS REPORT                        REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                      HIGHLIGHTS                                                                   SUPPORTING UNITS




 The Cyberattack and                     conducted to identify the core                  Plans for 2024
                                         issues and at the same time
 Its Aftermath                           formulate new protection                        Two main initiatives in IT for 2024
 In May 2023 the Company                 and monitoring mechanisms                       are scaling up loan origination
 faced a cyberattack caused              to better prepare the Company                   systems and strengthening
 by a vulnerability in one of the        in facing future recurrence. This               collection operations. The full
 commercial software systems             involved enhancing the systems’                 running of several systems
 used in its IT infrastructure.          credential management,                          that are being integrated into
 The vulnerability allowed               bolstering backup capabilities,                 partners’ ecosystems—planned
 unauthorized access to                  as well as ramping up endpoint                  to commence in the first half of
 the Company’s critical systems          security and remote monitoring                  2024—will help the Company
 by external parties. Infiltration of    across the digital devices used                 gain traction from these digital
 the main infrastructure through         by employees.                                   partners’ considerably large user
 this vulnerability rendered                                                             base. Engagement with external
                                         At the same time, BFI Finance                   consultants will also continue to
 various IT-supported processes
                                         has also been promoting                         enrich the IT team’s expanding
 in the Company inaccessible.
                                         awareness among its employees                   skillset, as BFI Finance aspires
 The first rapid-response                of cyber threats, and what                      to be a prominent tech-based
 measure by the Company was              needs to be done to prevent and                 financial institution with a robust
 to disconnect its systems from          tackle such risk. This ongoing                  security posture.
 the external network, isolating         campaign includes webinars
 them so a thorough clean-up             and dissemination of relevant
 can be performed. The Company           materials regularly to all
 engaged third-party experts to          employees.
 assist in the identification and
 recovery processes following
 the incident. An IT audit was




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                                                   SUSTAINABILITY   SUPPORTING DATA                       APPENDICES
   AND ANALYSIS               GOVERNANCE                                               STATEMENTS




   NETWORK AND OPERATIONAL DEVELOPMENT




   BFI Finance succeeded in                                                           Since 2020, BFI Finance has
                                                                                      embarked on an initiative
   overcoming the cyber challenge                                                     to centralize processes and
                                                                                      verticalize business functions
   it faced mid-year, setting its                                                     as it transitioned into a new
                                                                                      operational model. These two
   course back on a future-oriented                                                   strategic efforts were pursued

   path where various network                                                         thoroughly in 2023 with the
                                                                                      expanded application of

   development projects are being                                                     automation to accelerate
                                                                                      business processes, redefining
   pursued to serve customers                                                         various aspects from consumer
                                                                                      acquisition to billing.
   better and more expeditiously                                                      In the previous years, numerous
   while empowering the collection                                                    operational aspects had been
                                                                                      transformed. As each function’s
   process.                                                                           structure became verticalized,
                                                                                      productivity increased. Related
                                                                                      processes also made extensive




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 ABOUT THIS REPORT                       REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                     HIGHLIGHTS                                                                   SUPPORTING UNITS




 use of digital technology, bringing    However, employees in each                      further speeding up service for
 comfort and convenience to             affected function were able to                  customers, so that branch staff
 both employees and consumers.          demonstrate strong capability,                  could drive the scalability of their
 Nonetheless, there was                 competence, and enthusiasm to                   operations while ensuring a high
 a disruption to the operational        continue working under these                    level of customer satisfaction.
 transformation that the Company        extraordinary circumstances, thus               This project has been piloted in
 was undertaking.                       enabling a smooth and rapid                     67 outlets in different regions
                                        recovery to normal conditions.                  in Indonesia. Once the results
 Mitigating the                         These challenges could be                       get evaluated in 2024, the next
 Cyberattack’s Impact                   overcome without substantial                    target will be to expand its
                                        delays to various automation                    implementation to more outlets.
 The May 2023 cyberattack               and digitalization initiatives as
 delivered a unique lesson              originally planned.                             Reinforcing Collection
 for the Company. To limit
                                                                                        Capabilities
 the spread of its impact, and          Accelerated
 mitigate it completely, the                                                            In 2023, the Company continued
 management set into motion
                                        Processing and                                  the pilot project initiated in
 a controlled business recovery         Customer Service                                2022 to strengthen its collection
 plan. The business continuity plan     Throughout 2023, the Company’s                  capabilities with the help of
 contained a series of operational      operational development                         machine learning. Aside from
 procedures to address priority         team continued to focus on                      expanding its application,
 issues for each function.              accelerating the digitalization                 the capabilities of this new
                                        of various business processes,                  collection system also continued
 After ensuring that the incident
                                        further enhancing what had                      to be enriched. Now, the system
 did not threaten the Company’s
                                        been implemented in the                         can identify and categorize
 data integrity, especially those
                                        previous period. One of the                     customers automatically, in light
 directly related to customers,
                                        main innovations introduced                     of their habit patterns, installment
 the operational team’s main
                                        in 2023 was a new operational                   payment schedules, risk factors
 priority was to restore key
                                        platform whose function was                     associated with the business
 functions by activating
                                        to speed up the processing of                   they run, along with their other
 backup systems. The feature of
                                        administrative data related to                  characteristics.
 installment payments—as one
 of the most critical functions         financing applications, with                    Once customers are classified by
 affected—could be restored at          an improved capability for                      the machine learning algorithm
 each branch within one day after       risk factor analysis. As a result,              into the segments, the system will
 the incident.                          customers could receive their                   provide recommendations on the
                                        funds after a shorter wait time                 best way for collection personnel
 While the Company thoroughly
                                        than before. This platform had                  to approach them. This system
 evaluated the incident, a number
                                        been implemented in nearly all                  thus allows the field collection
 of non-critical processes that
                                        branches as at the end of 2023.                 team to choose the most effective
 previously had been automated
                                        Up to the close of 2023, the                    route for collecting installment
 and moved to the digital
                                        Company had been running                        payments from customers.
 realm were done manually
                                        a pilot project that integrated                 In addition, this system helps
 for some time. The decline in
                                        sleek and high-capability features              the Company prioritize which
 productivity that occurred was
                                        into its operational platform.                  segments require further
 a logical consequence that
                                        This project was aimed at                       handling from the field team.
 the Company had previously
 taken into consideration.




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                                                   SUSTAINABILITY    SUPPORTING DATA                        APPENDICES
   AND ANALYSIS               GOVERNANCE                                                STATEMENTS




   The new colleciton system had               contact customers at the right          Routine processes, some of
   been implemented in all outlets             time, resulting in higher response      which had been transferred to
   as at the end of 2023.                      rates. The Company provided             the center (as a result of prior
                                               ongoing training to agents so           years’ centralization strategy) and
   To complement this new
                                               they can carry out the new work         others retained in the branches,
   system, the Company has also
                                               procedures smoothly, facilitated        can now take place more swiftly
   been developing machine
                                               by the autodialer. A number of          and effectively than before.
   learning capabilities to perform
                                               trailblazing projects in the area of
   independent analyses of data                                                        Taking into account this progress
                                               collection supported the ongoing
   obtained from customers.                                                            and the different business
                                               development of a comprehensive
   The results of the analyses will                                                    conditions in each area the
                                               and centralized collection
   be useful for determining the                                                       Company serves, in 2023 the
                                               management system.
   type of treatment for customers                                                     Company decided to streamline
   showing a deterioration in                                                          its operations to increase work
                                               Increased Network
   the quality of their financing                                                      effectiveness, from 282 outlets
   portfolio. This feature will provide        Productivity                            one year prior to 271, consisting
   reasonable and impartial                    With increasing use of                  of 195 branches and 31 kiosks,
   recommendations to the                      automation and digital systems          including 45 sharia representative
   collection personnel in handling            throughout the Company’s                branches operating within the
   individual customers.                       operational network, each of            conventional branches. Despite
                                               the outlets is now able to serve        the smaller number of outlets,
   One particular advancement
                                               customer needs in a more                BFI Finance’s geographic
   that has been proven to boost
                                               focused manner, taking into             coverage has not shrunk, but
   the efficacy of the collection
                                               consideration the particular            instead, productivity per outlet
   function upon its initiation
                                               characteristics of the dominant         was bolstered
   in mid–2023 is the autodialer
   mechanism, which helps                      market segments in each region.
   connect telecollection agents
   with customers automatically.
   The autodialer algorithm ensures
   that telecollection agents can




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 ABOUT THIS REPORT                          REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                         HIGHLIGHTS                                                                 SUPPORTING UNITS




 CUSTOMER SERVICE




                                                                                               Customer Care
                     WhatsApp
                                                                                                 1500018
            0882-1150-0018




 Broadening the deployment                                                                 For decades serving the
                                                                                           multifinance needs of the
 of CS Virtual to 21 provinces                                                             Indonesian people, BFI Finance
                                                                                           continues to maintain its
 brought employees closer                                                                  reputation as a multifinance
                                                                                           that is committed to providing
 to the customers, therefore                                                               the highest level of service to

 raising customer satisfaction                                                             its customers. This means that
                                                                                           the Company ensures every

 as evidenced by the year-end                                                              employee, from customer-
                                                                                           facing frontliners all the way
 Net Promoter Score of 95%.                                                                to the support staff, has a
                                                                                           profound understanding and
                                                                                           strong enthusiasm in their
                                                                                           interactions with the customers.
                                                                                           The Company continues to forge
                                                                                           meaningful relationships with
                                                                                           customers, while deepening
                                                                                           its understanding of their




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                                                   SUSTAINABILITY   SUPPORTING DATA                         APPENDICES
   AND ANALYSIS               GOVERNANCE                                               STATEMENTS




   financial needs, ready to                   responsive, and professional           Maintaining Trust
   respond across an array of                  attitude, while interacting with
   communication channels that are             customers as well as when
                                                                                      and Loyalty
   regularly updated.                          carrying out their daily tasks.        Implementing the three elements
                                                                                      of Service Excellence Strategy
                                               This is supported by character
   Foundation for                                                                     at all times with discipline, the
                                               development of employees,
   Excellent Customer                          to make them ready and alert
                                                                                      Company was able to uphold the
                                                                                      level of customer satisfaction in
   Service                                     in building relationships with
                                                                                      2023, even as its operations were
                                               customers. This attitude is
   The customer service program at                                                    disrupted by a cyberattack in the
                                               brought into practice, among
   BFI Finance has been developed                                                     middle of the year. Immediately
                                               other things, by offering the right
   according to the Consumer                                                          following the incident, the
                                               solutions to what customers
   Protection Law and the POJK                                                        Company exerted every effort
                                               need, collecting non-performing
   on Consumer Protection in                                                          to restore service levels back
                                               financing ethically, as well as
   the Financial Sector. Every                                                        to normal conditions, with the
                                               giving customers appreciation for
   Customer Financing Agreement                                                       shortest possible recovery time.
                                               their loyalty.
   between BFI Finance and
                                                                                      Embodying the principle of
   prospective customers is drawn              In an effort to impress customers
                                                                                      transparency in service, Company
   by upholding transparency.                  in their experience, BFI Finance
                                                                                      employees promptly conveyed
   Detailed information about                  carried out several service
                                                                                      information to them regarding
   consumer rights and obligations,            programs to boost consumer
                                                                                      the disruption to the online
   including the freedom to request            satisfaction and loyalty. One of
                                                                                      payment system. The Company
   information and submit questions            them was the Servprize
                                                                                      set up an emergency customer
   or complaints regarding                     program, where the Company
                                                                                      complaint handling service, so
   Company services, is conveyed               representative pays special
                                                                                      that every urgent need could
   straightforwardly by Company                visits to selected customers
                                                                                      be attended to. Simultaneously,
   employees. This information                 in special moments. Several
                                                                                      various resources in each branch
   is also made available on the               customers whose businesses
                                                                                      were deployed to serve customers
   Company’s official website,                 have been growing together with
                                                                                      who wished to make payments
   bfi.co.id.                                  BFI Finance were also involved
                                                                                      directly at the branch.
                                               in this program. Additionally,
   As a foundation for various
                                               the BFI Close to You program           As operational recovery efforts
   initiatives to ensure that the
                                               brought the Company closer             progressed, the Company strived
   best level of service is delivered
                                               to several communities in six          to restore service as well as
   to the customers, the Company
                                               operational areas.                     customer satisfaction. A measure
   maintains the Service Excellence
                                                                                      to maintain trust and loyalty
   Strategy framework, underpinned             In keeping with this, Company
                                                                                      was to bring the management
   by three core components:                   employees are also open
                                                                                      directly to the front line. At least
   1.   Sustaining Service Insight;            to listening to customer
                                                                                      once a month, members of the
                                               complaints, and make every
   2. Customer Relationship &                                                         management met face to face
                                               effort to ensure that these
      Engagement; and                                                                 with customers at the branches,
                                               complaints are handled promptly
   3. Complaint Handling & Service                                                    listening to their insights and
                                               and satisfactorily. As a result,
      Recovery.                                                                       complaints. Field employees
                                               customers retained their trust in
                                                                                      also became more proactive in
   To sustain service insight,                 the Company.
                                                                                      approaching customers to listen
   BFI Finance employees are
                                                                                      to their needs and provide the
   required to provide satisfaction to
                                                                                      best solutions for them.
   customers by keeping a positive,




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 ABOUT THIS REPORT                                    REPORTS TO STAKEHOLDERS            COMPANY PROFILE
                            HIGHLIGHTS                                                                             SUPPORTING UNITS




 As a means for customers to submit their complaints, identify financing products, and obtain solutions, the
 Virtual Customer Service channel, running since 2022, was expanded to more branches in Indonesia. As at
 the end of 2023, this Virtual CS service had been running in 46 branches in 21 provinces, and within the year
 it interacted with 2,638 customers and potential customers of BFI Finance.


 Measuring Consumer Satisfaction
 Sincere measures taken by BFI Finance employees to preserve good relations with customers and
 engage them with intent proved effective in restoring customer satisfaction levels following the May 2023
 cyberattack. Having dipped following this incident, the scores of two customer satisfaction parameters which
 the Company measured—Customer Satisfaction Index (CSI) and Net Promoter Score (NPS)—have been
 climbing up since.


 Graph 7 • Consumer Satisfaction Index 2023


 5.00
 4.00
                                                                                                  4.94     4.74     4.86      4.84
 3.00                                      4.42       4.57                               4.69
                     3.84        4.10                                      3.97
            3.73                                                3.63
 2.00
 1.00
 0.00
             Jan     Feb         Mar           Apr    May        Jun        Jul          Aug       Sep     Oct       Nov      Dec



 Graph 8 • Net Promoter Score 2023

 100%
  80%
  60%                                                                                               95%     93%       94%      95%
                                               82%      84%                               90%
                      74%          79%                                          78%
  40%         72%
                                                                  62%
  20%
   0%
               Jan     Feb         Mar          Apr      May       Jun          Jul        Aug       Sep     Oct      Nov       Dec



 The Company maintains a customer satisfaction survey that can be taken independently by customers
 through an online form. This method has been in effect nationwide since 2022. Various channels are
 also made available to receive complaints from customers, as stated on the Company’s website. In 2023,
 a total of 8,063 complaints were received and 100% of this number had been resolved by the end of the
 year. The Company sustained its performance in resolving complaints in accordance with the standards
 stipulated in POJK No. 18/POJK.07/2018 on Customer Complaint Services in the Financial Services Sector,
 namely a maximum of 5 working days for verbal complaints and 20 working days for written complaints.




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                                                          SUSTAINABILITY        SUPPORTING DATA                                    APPENDICES
   AND ANALYSIS               GOVERNANCE                                                                  STATEMENTS




   Table 24 • Customer Complaint Handling 2023


                                                                  Status of Resolution

          Financing Type                 Resolved                   Being Processed                  Unresolved              Number of Complaints

                                 Total              %              Total          %               Total           %
    Investment                    186               100              0             0                0             0                    186
    Working Capital             2,445               100              0             0                0             0                 2,445
    Multipurpose                4,256               100              0             0                0             0                 4,256
    Non-Customer                 1,176              100              0             0                0             0                   1,176
    Total                                                                                                                           8,063


   Complaints in 2023 increased in number by 30% from 2022’s figure, due to the cyberattack that occurred in
   mid-2023. This incident prevented some customers from making online payments on the Company system.
   Of the total number of complaints received in 2023, 21% related directly to issues with the payment system.
   All complaints were resolved according to the applicable service level.

   Internal Assessments
   The Company has a dedicated mechanism called YOUR VOICE to measure employee satisfaction regarding
   the quality of their professional interactions with Company colleagues, and the services of these colleagues.
   YOUR VOICE serves as both team and individual performance assessments, and is accessible using a QR code.

   YOUR VOICE has two assessment types: iVOTE to assess the colleagues’ performance, and iCARE to channel
   ideas and aspirations for developing an internal strategy on certain topics and improving the future
   execution thereof.

   In 2023, iVOTE received 9,175 responses from employees, with an average score of 3.75 out of a maximum 4,
   and 40% of respondents expressed the highest level of satisfaction (“excellent”). A total of 3,905 responses
   were received via iCARE, with the top two topics of concern among respondents being work infrastructure
   (31% of the total) and employee welfare (19%).




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 05
 MANAGEMENT
 DISCUSSION
 AND ANALYSIS




114       PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 117
   Evaluation for Improved Performance
   Comprehensive economic and business reviews across different
   levels support the formulation of future business strategies,
   ensuring a robust competitive edge, and fostering effective
   and optimal business performance.




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                     2023 PERFORMANCE                                                        BUSINESS
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                     HIGHLIGHTS                                                              SUPPORTING UNITS




 INDUSTRY OVERVIEW




 Indonesia's economic stability                                                        Global Economic
                                                                                       Review
 brought growth of 5.05%
                                                                                       As economic fragmentation
 in 2023, with the financing                                                           intensified, global GDP growth
                                                                                       was affected, reaching only
 industry recording a 13.2% rise                                                       3.1% in 2023, based on IMF data.

 in financing receivables to reach                                                     This growth was slightly slower
                                                                                       than the previous year’s.

 Rp470.9 trillion in total.                                                            Two main factors underlay
                                                                                       this slowdown.

                                                                                       Persistent high core inflation in
                                                                                       various countries, both developed
                                                                                       and developing, limited the fiscal
                                                                                       room for governments and global
                                                                                       banking authorities to boost
                                                                                       growth. This prompted the Fed
                                                                                       to raise the Fed Funds Rate four
                                                                                       times in 2023, up to 5.50% at the
                                                                                       end of the year. The increase in



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                                                         SUSTAINABILITY   SUPPORTING DATA                         APPENDICES
        AND ANALYSIS                GOVERNANCE                                                 STATEMENTS




   the US benchmark interest rate             Meanwhile, the return of energy           Indonesia’s economic growth was
   strengthened the standing of               commodity supply levels caused            boosted by household spending,
   the US dollar among other global           this sector to be corrected               which remained robust, and the
   currencies. However, as the Fed            significantly. Average prices for         steady growth of investment flow.
   paused its interest rate hike in           non-renewable energy sources,             This helped offset the decline in
   November 2023, the US dollar               such as oil and coal, was recorded        Indonesia’s export performance,
   exchange rate also reversed                to be lower in the course of 2023,        which was more pronounced
   direction. Market expected the             compared to their respective              than its import performance in
   current levels had peaked, and             figures in 2022. However, energy          2023, due to the weaker prices of
   may reverse in the next year.              supply from renewable sources             two key commodities, coal and
   Many central banks had followed            continued to accelerate, even             palm oil. The average exchange
   the Fed’s direction by raising             at the highest rate in history.           rate of the rupiah against the US
   interest rates in their respective         Progress in the renewable energy          dollar in 2023 also dropped 2.54%
   countries, while gradually                 sector has also been driven by            from the 2022 annual average,
   reducing their balance sheet.              the development of increasingly           owing to the Fed’s hawkish
                                              cheap and sophisticated battery           monetary policy over the last two
   On the other hand, China’s
                                              technology.                               years. The rupiah however was
   economy experienced
                                                                                        among the better-performing
   a significant slowdown, impacted
                                              Indonesia’s Economic                      regional currencies for the whole
   by the US policy to decouple its
   manufacturing base from China,             Review                                    period.

   alongside the restrictive policies         Indonesia’s economic stability as         Indonesian population’s
   undertaken during the Covid-19             a developing country continues            spending patterns in the
   pandemic. Export performance,              to be reliant on global economic          first post-pandemic year had
   which has historically been                policies which themselves are still       notably shifted. With the lifting
   underpinning China’s economic              replete with uncertainty. Various         of restrictions on people’s
   growth, contracted quite sharply.          factors have influenced this              mobility, household spending
   Import value also experienced              uncertainty, ranging from post-           for entertainment and tourism
   a comparable decline.                      pandemic inflation, geopolitical          purposes were greater in 2023,
                                              tensions, economic polarization           and as an impact spending on
   Economic growth in 2023 was
                                              between the US and China,                 goods shrank. High interest
   bolstered by the higher GDP
                                              to disruptions in food and energy         rates also suppressed the
   growth rates in the US and
                                              commodity supply chains, all of           appetite to buy motor vehicles
   a number of developing countries,
                                              which gave an impact on the               on installments, even as more
   particularly China, India, Indonesia,
                                              Indonesian economy.                       affordable Chinese brands were
   Brazil, and Russia. In the US,
                                                                                        beginning to penetrate the
   the technology sector posted the           Indonesia’s GDP grew steadily             market. Sales of cars declined
   most stellar performance, with             in 2023, at 5.05%, slightly               compared to in 2022, despite
   the uplift from the increasingly           slower than 5.31% in 2022. Bank           the supply of new cars having
   sophisticated artificial intelligence      Indonesia’s efforts to increase           normalized, while sales of
   technology taking the shape                its benchmark interest rate,              motorbikes went up significantly
   of generative AI (GenAI). GenAI            BI7DRR, by 0.50%, continuing              in 2023.
   has been predicted to transform            the measures it had taken
   the way things work in various             since August 2022, managed                In contrast to the motor vehicle
   industries. Digital transformation         to reduce annual inflation in             market, sales of electric vehicles
   has also improved the performance          2023 to 2.61%, significantly              (EV) recorded a rapid rise from
   of the telecommunications                  lower than the previous year’s            2022 figures, with hybrid vehicles
   industry, with the implementation          5.51%, and relatively below those         becoming the choice of the
   of 5G network technology by                rates observed in various other           majority of buyers. In the EV
   cellular operators in many                 developing countries.                     segment, Chinese and Korean
   countries.



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 ABOUT THIS REPORT                                   REPORTS TO STAKEHOLDERS        COMPANY PROFILE
                          HIGHLIGHTS                                                                          SUPPORTING UNITS




 brands that have been in the                      Nevertheless, 2023 was                             Data from the Association of
 market for longer seemed to                       a particularly challenging year,                   Indonesia Automotive Industries
 dominate. The Indonesian                          given the shift in the quality of                  (GAIKINDO) stated that car sales
 government also supported the                     financing customers, as physical                   in 2023 reached 1,005,802 units,
 transition to EVs by providing                    mobility restrictions ended and                    below the year’s target and
 subsidized electric motorbikes.                   people tended to postpone their                    also the 2022’s figure. A more
 Their sales as at the end of 2023                 investment decisions ahead                         heartening situation was seen in
 reached 11,532 units.                             of the 2024 general election.                      the motorbike segment, where
                                                   Consequently, the multifinance                     domestic sales were reported
 Financing Industry                                industry’s overall risk profile had                by the Association of Indonesia
 Overview                                          also changed, as reflected in                      Motorcycle Industry (AISI)
                                                   the increase in Non-Performing                     at 6.24 million units, compared
 The multifinance industry                         Financing (NPF) from 2.32% at                      to 5.22 million units in 2022.
 recorded growth of 13.2% in                       the end of 2022 to 2.44% in 2023.
 2023, with financing receivables                                                                     The multifinance industry also
 booked by industries standing                     Inflation and high interest rates                  expanded into EV financing.
 at Rp470.9 trillion. The amount                   also contributed to a higher                       Entering 2024, rising popularity
 comprised multipurpose financing                  ratio of operating expenses                        of EV vehicles among various
 of Rp245.2 trillion or 52.1% of the               to operating income (BOPO).                        circles in the Indonesian market
 total financing amount, followed                  At year-end BOPO stood at                          is predicted to intensify, and with
 by investment financing whose                     76.89%, compared to 75.64% one                     it, prospect on the multifinance
 portion was 32.8%, and then                       year earlier. Despite this, overall                industry seems to be brighter.
 working capital financing (9.7%),                 the multifinance industry was
 sharia financing (5.3%), and                      able to record better profitability,
 others (0.1%).                                    with industry ROA reaching 5.58%
                                                   and ROE reaching 14.96%.




           Graph 9 • National Car Sales (units)                                Graph 10 • National Motorcycle Sales (units)


                                                                                                   5,521,470
                                                                                                                    6,236,992
                                                                                   5,057,516




                           1,048,040
                                           1,005,802
             887,200




               2021          2022                2023                                 2021            2022                  2023
           Source: The Association of Indonesia Automotive                         Source: Association of Indonesia Motorcycle
           Industries (GAIKINDO) as of 31 December 2023                            Industry (AISI) as of 31 December 2023




118                                                                              PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 121
          MANAGEMENT DISCUSSION               GOOD CORPORATE                                                           ANNUAL FINANCIAL
                                                                       SUSTAINABILITY          SUPPORTING DATA                               APPENDICES
          AND ANALYSIS                        GOVERNANCE                                                               STATEMENTS




   Graph 11 • Multifinance Industry Receivables (in Rp billion)




                                     Investment           Working Capital           Multipurpose              Others    Sharia




  500,000
                                Total: 364,232                                  Total: 415,864                              Total: 470,863

                                                                                                                                 24,909
                                                                                                                                                  823



                                                                                     18,745
  400,000                                                                                                     511



                                     13,674
                                                           422

                                                                                                                                 245,224
  300,000
                                                                                   215,399


                                   206,907



  200,000
                                                                                                                                 45,557
                                                                                    39,579

                                    28,953

   100,000
                                                                                                                                 154,351
                                                                                   141,630
                                    114,276




            0
                                     2021                                            2022                                         2023


   *   Source: Data of Statistics of Indonesian Financing Institutions as of 31 December 2023 issued by OJK




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                         119
Page 122
                     2023 PERFORMANCE                                                         BUSINESS
 ABOUT THIS REPORT                       REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                     HIGHLIGHTS                                                               SUPPORTING UNITS




 BUSINESS REVIEW

 Recording a positive performance in Heavy Equipment,
 New Cars, and Sharia Financing segments, BFI Finance
 continued to contribute towards raising the living
 standards of its customers even amidst a challenging
 business situation in 2023.




 BFI Finance’s financing services       approach, which is crucial for                  In 2023, Heavy Equipment,
 are fully supervised and regulated     future business expansion,                      Machinery, and Other Equipment
 by OJK Regulations with financing      has influenced the Company’s                    Financing again showed positive
 products including asset-              overall performance, both in                    growth and became one of the
 backed products (in the form of        terms of how it works and its                   pillars supporting financing
 motorcycles and cars, machinery,       supporting systems, as part                     performance. Meanwhile,
 heavy equipment, and property)         of its comprehensive digital                    the automotive sector, especially
 for investment, working capital        transformation process. This                    used cars and motorcycles,
 and multipurpose purposes.             reflects BFI Finance’s focused                  experienced a contraction,
 These products are available           efforts to align its operations with            contributing to the weakening
 to customers in conventional           long-term goals and emerging                    of the Company’s overall
 and sharia-based forms.                market trends.                                  new financing distribution
                                                                                        during 2023.
 Through these products,                In addition to this, in May 2023
 BFI Finance contributes to             the Company was confronted                      The following is the analysis
 improve the standard of living         with a cyberattack that forced                  of the Company’s business
 of its customers, including            the Company to temporarily                      on the performance of New
 individuals, MSMEs and large-          halt its operational systems to                 Financing disbursed in 2023
 scale companies. The Company’s         carry out security enhancements                 compared to 2022, followed by
 contribution has an impact             on various lines. This situation                the performance of the Financing
 on many industrial sectors             contributed to the slowing of                   Receivables Portfolio.
 in Indonesia.                          the Company’s business growth.

 In line with achieving sustainable     For the purpose of business
 growth, BFI Finance has taken          analysis in this chapter,
 strategic steps to adapt to the        BFI Finance records all of its
 new ways of working and new            financing receivables based on
 operating model implemented            the financed asset type with the
 since 2020. This proactive             classification as stated in Table 25.




120                                                                PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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        MANAGEMENT DISCUSSION          GOOD CORPORATE                                                 ANNUAL FINANCIAL
                                                         SUSTAINABILITY       SUPPORTING DATA                                   APPENDICES
        AND ANALYSIS                   GOVERNANCE                                                     STATEMENTS




   New Financing
   Table 25 • New Financing by Asset Type

                                                                                                      Comparison with Last Year
                 Description (Rp billion)                  2022                2023
                                                                                                      Total                Percentage

      Used Cars Financing                                  12,948               12,528                  (420)                 -3.2%

      New Cars Financing                                         381              590                    209                 54.9%

    Cars Financing                                         13,329               13,118                   (211)                 -1.6%

    Motorcycles Financing                                      3,389             2,410                  (979)                -28.9%

    Heavy Equipment Financing                                  2,372            2,634                     262                  11.0%

    Property Financing                                          677                510                  (167)                -24.7%

    Sharia Financing                                             314              409                         95              30.3%

    Total                                                  20,081              19,081                 (1,000)                 -5.0%

    Percentage of Total

      Used Cars Financing                                  64.5%                65.7%                     n/a                  1.2%

      New Cars Financing                                        1.9%              3.1%                    n/a                  1.2%

    Cars Financing                                         66.4%               68.8%                      n/a                  2.4%

    Motorcycles Financing                                      16.9%             12.6%                    n/a                 -4.3%

    Heavy Equipment Financing                                  11.8%            13.8%                     n/a                  2.0%

    Property Financing                                         3.4%              2.7%                     n/a                 -0.7%

    Sharia Financing                                            1.5%              2.1%                    n/a                  0.6%

    Total                                                 100.0%              100.0%

    Description (unit)

      Used Cars Financing                                 130,146              119,247             (10,899)                   -8.4%

      New Cars Financing                                       1,353            2,009                    656                 48.5%

    Cars Financing                                        131,499             121,256              (10,243)                   -7.8%

    Motorcycles Financing                                380,059              260,168              (119,891)                 -31.5%

    Heavy Equipment Financing                                  3,312            3,484                     172                  5.2%

    Property Financing                                          1,123            1,077                   (46)                  -4.1%

    Sharia Financing                                           2,406              3,151                   745                 31.0%

    Total                                                 518,399             389,136             (129,263)                 -24.9%




         121,256                      260,168                     3,484                   1,077                    3,151
         units                        units                       units                   units                    units

         Cars                         Motorcycles                 Heavy                   Property                 Sharia
         Financing                    Financing                   Equipment               Financing                Financing
                                                                  Financing




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                            121
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                              2023 PERFORMANCE                                                     BUSINESS
 ABOUT THIS REPORT                               REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                              HIGHLIGHTS                                                           SUPPORTING UNITS




 New Financing recorded by the Company in 2023 amounted to Rp19,081 billion, a decrease of 5.0% from
 Rp20,081 billion in 2022.

 Cars Financing continued to dominate the Company’s New Financing portfolio, with a portion of 68.8% of
 the total, which consisted of Used Cars Financing with 65.7% contribution, and New Cars Financing with 3.1%.
 The remaining 31.2% was divided between Heavy Equipment Financing (13.8%), Motorcycles Financing (12.6%),
 Property Financing (2.7%), and Sharia Financing (2.1%).

 New Cars Financing and Sharia Financing showed significant proportional growth in 2023. New Cars
 Financing increased by 54.9% from Rp381 billion in 2022 to Rp590 billion in 2023, and Sharia Financing
 increased by 30.3% from Rp314 billion to Rp409 billion.

 The performance of each financing product is described in the following tables.


 Cars Financing
 Table 26 • New Financing of Cars (New and Used) by Source of Origination


                                                                                                    Comparison with Last Year
                     Description (Rp billion)                 2022               2023
                                                                                                    Total             Percentage
  Non-Dealer Financing                                       11,640             10,953               (687)              -5.9%

  Dealer Financing

      Used Cars Financing                                     1,308               1,575               267               20.4%

      New Cars Financing                                         381               590                209               54.9%

  Total                                                      13,329              13,118              (211)              -1.6%

  Description (unit)

  Non-Dealer Financing                                      120,231            108,797            (11,434)              -9.5%

  Dealer Financing

      Used Cars Financing                                      9,915            10,450                535                5.4%

      New Cars Financing                                       1,353             2,009                656               48.5%

  Total                                                    131,499             121,256           (10,243)               -7.8%



 Table 27 • New Financing of Cars (New and Used) by Category


                                                                                                    Comparison with Last Year
                     Description (Rp billion)                 2022               2023
                                                                                                    Total             Percentage
  Passenger Car                                              10,575             10,267               (308)              -2.9%

  Commercial Car                                              2,754               2,851                97                3.5%

  Total                                                      13,329              13,118              (211)               -1.6%

  Percentage of Total

  Passenger Car                                               79.3%              78.3%                 n/a               -1.0%

  Commercial Car                                             20.7%               21.7%                 n/a               1.0%

  Total                                                     100.0%             100.0%




122                                                                        PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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        MANAGEMENT DISCUSSION          GOOD CORPORATE                                       ANNUAL FINANCIAL
                                                         SUSTAINABILITY   SUPPORTING DATA                           APPENDICES
        AND ANALYSIS                   GOVERNANCE                                           STATEMENTS




   Table 28 • New Financing of Cars (New and Used) by Car Type


                                                                                            Comparison with Last Year
                 Description (Rp billion)                  2022            2023
                                                                                            Jumlah             Persentase
    Minibus/MPV                                            8,278            8,144            (134)                -1.6%

    Jeep                                                       1,701        1,549            (152)               -8.9%

    Truck                                                      1,350        1,423              73                 5.4%

    Pick-up                                                    1,296        1,302                   6             0.5%

    Sedan                                                       608           582             (26)               -4.3%

    Bus                                                          96            118             22                22.9%

    Total                                                 13,329           13,118            (211)               -1.6%

    Percentage of Total

    Minibus/MPV                                            62.1%            62.1%              n/a                0.0%

    Jeep                                                   12.8%            11.8%              n/a                -1.0%

    Truck                                                      10.1%       10.8%               n/a                0.7%

    Pick-up                                                    9.7%         9.9%               n/a                0.2%

    Sedan                                                      4.6%         4.5%               n/a                -0.1%

    Bus                                                        0.7%         0.9%               n/a                0.2%

    Total                                                100.0%           100.0%



   Table 29 • New Financing of Cars (New and Used) by Brand


                                                                                            Comparison with Last Year
                 Description (Rp billion)                  2022            2023
                                                                                            Total              Percentage
    Toyota                                                 4,793           4,556             (237)               -4.9%

    Mitsubishi                                             2,079            2,035             (44)                -2.1%

    Honda                                                      1,944        1,855             (89)               -4.6%

    Daihatsu                                                   1,820         1,812             (8)               -0.4%

    Suzuki                                                      1,191        1,197                  6             0.5%

    Isuzu                                                       166           192              26                15.7%

    Other Japanese Brand                                        924         1,002              78                 8.4%

    Non-Japanese Brand                                          412          469               57                13.8%

    Total                                                 13,329           13,118            (211)               -1.6%

    Percentage of Total

    Toyota                                                 36.0%           34.7%               n/a                -1.3%

    Mitsubishi                                             15.6%            15.5%              n/a                -0.1%

    Honda                                                  14.6%           14.2%               n/a               -0.4%

    Daihatsu                                               13.7%           13.8%               n/a                0.1%

    Suzuki                                                     8.9%          9.1%              n/a                0.2%

    Isuzu                                                       1.2%         1.5%              n/a                0.3%

    Other Japanese Brand                                       6.9%          7.6%              n/a                0.7%

    Non-Japanese Brand                                          3.1%         3.6%              n/a                0.5%

    Total                                                100.0%           100.0%




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                123
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                              2023 PERFORMANCE                                                         BUSINESS
 ABOUT THIS REPORT                                REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                              HIGHLIGHTS                                                               SUPPORTING UNITS




 New Financing of Cars weakened                  which has been the largest                      Contributions of New Financing
 with the accumulated value                      contributor. The decline                        for Passenger Cars and
 reaching Rp13,118 billion, a drop               in NDF was recorded at                          Commercial Cars in 2023 were
 of 1.6% or Rp211 billion from 2022              Rp687 billion or 5.9% of the                    Rp10,267 billion (78.3% of the total)
 figure. This can be attributed                  value in 2022 to Rp10,953 billion.              and Rp2,851 billion (21.7%),
 to several factors—a general                    However, on the other hand,                     respectively. This was a slight shift
 slowdown in the automotive                      the Dealer Financing (DF)                       from conditions in 2022, where
 sector, softer consumption and                  segment increased in 2023 by                    Passenger Cars took up a slightly
 higher risk perception, especially              Rp267 billion (20.4% growth                     larger portion (79.3% of the
 in the lower income segment,                    in 2023) respectively for Used                  total). Of all the Passenger Cars
 as well as operational disruptions              Cars and Rp209 billion (54.9%)                  whose financing was facilitated
 in the Company during the year.                 for New Cars.                                   by the Company in 2023,
                                                                                                 the majority were of the Minibus/
 This weaker performance was                     The total number of car units
                                                                                                 MPV type, while the most
 largely contributed by a decrease               financed by the Company
                                                                                                 common type of Commercial
 in the amount of New Financing                  reached 121,256 units in 2023.
                                                                                                 Cars financed by the Company
 of Cars through the Non-Dealer                  The financing of cars via the NDF
                                                                                                 was Trucks.
 Financing (NDF) scheme,                         scheme reached 108,797 units,
                                                 and financing through DF
                                                 reached 12,459 units.


 Motorcycles Financing
 Table 30 • New Financing of Motorcycles by Brand


                                                                                                         Comparison with Last Year
                     Description (Rp billion)                  2022               2023
                                                                                                         Total            Percentage
  Honda                                                         2,210              1,592                 (618)             -28.0%

  Yamaha                                                        1,029               725                  (304)              -29.5%

  Suzuki                                                           74                45                   (29)              -39.2%

  Others                                                           76                48                   (28)             -36.8%

  Total                                                        3.389              2.410                 (979)              -28.9%

  Percentage of Total

  Honda                                                       65.2%              66.0%                     n/a                0.8%

  Yamaha                                                      30.4%               30.1%                    n/a               -0.3%

  Suzuki                                                        2.2%               1.9%                    n/a               -0.3%

  Others                                                        2.2%               2.0%                    n/a               -0.2%

  Total                                                      100.0%             100.0%



 The Motorcycles Financing                       In 2023, the Company started                    Motorcycles Financing
 business run by the Company                     the initial phase to provide                    performance experienced
 is still completely dominated                   financing for new electric                      a substantial decline, due to
 by Used Motorcycles Financing,                  motorcycles. This product is still              the tightening in origination
 with the units treated as                       being refined through expanded                  between the second and third
 collateral. This product is the                 collaboration with manufacturers                quarters of 2023. The financing
 product of choice especially                    and distributors.                               value decreased by 28.9%
 among the lower middle class.                                                                   compared to the previous year.




124                                                                         PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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        MANAGEMENT DISCUSSION           GOOD CORPORATE                                      ANNUAL FINANCIAL
                                                         SUSTAINABILITY   SUPPORTING DATA                           APPENDICES
        AND ANALYSIS                    GOVERNANCE                                          STATEMENTS




   However, the performance of this segment began to rebound in the fourth quarter after the recovery
   of the Company’s entire business system. The Company is also committed to continuing the process of
   adjusting its business model, which has been developed since 2020 to be more reflective and responsive
   to shifting trends and market segments.

   Based on brand, Honda motorcycles retained its dominance with 66.0% of total Motorcycles Financing
   in 2023, followed by Yamaha (30.1%), Suzuki (1.9%), and Others (2.0%)


   Financing of Heavy Equipment, Machinery, and Other Equipment

   Table 31 • New Financing of Heavy Equipment, Machinery, and Other Equipment by Industry


                                                                                            Comparison with Last Year
                  Description (Rp billion)                 2022            2023
                                                                                            Total              Percentage
    Mining                                                      862           927              65                 7.5%

    Construction                                                503          589               86                 17.1%

    Industrial and Manufacturing                                271          346               75                27.7%

    Plantation                                                  208           236              28                13.5%

    Forestry                                                    228           221              (7)                -3.1%

    Services                                                    129           152              23                17.8%

    Trade and Distribution                                       92            74             (18)               -19.6%

    Others                                                       79            89               10               12.7%

    Total                                                  2,372           2,634             262                 11.0%

    Percentage of Total

    Mining                                                 36.3%           35.2%              n/a                 -1.1%

    Construction                                           21.2%           22.4%              n/a                  1.2%

    Industrial and Manufacturing                               11.4%        13.1%             n/a                  1.7%

    Plantation                                                 8.8%         8.9%              n/a                 0.1%

    Forestry                                                   9.6%         8.4%              n/a                 -1.2%

    Services                                                   5.5%         5.8%              n/a                 0.3%

    Trade and Distribution                                     3.9%         2.8%              n/a                 -1.1%

    Others                                                     3.3%         3.4%              n/a                 0.1%

    Total                                                100.0%           100.0%



   Table 32 • New Financing of Heavy Equipment, Machinery, and Other Equipment by Type


                                                                                            Comparison with Last Year
                  Description (Rp billion)                 2022            2023
                                                                                            Total              Percentage
      Excavator                                                1,060        1,089              29                 2.7%
      Truck                                                     470           520              50                10.6%
      Bulldozer                                                 174            161            (13)               -7.5%
      Wheel Loader                                               55            69               14               25.5%
      Forklift                                                   24            44              20                83.3%
      Other Heavy Equipment                                     178           218              40                22.5%
    Total Heavy Equipment                                      1,961        2,101             140                  7.1%



2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                125
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                              2023 PERFORMANCE                                                         BUSINESS
 ABOUT THIS REPORT                                REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                              HIGHLIGHTS                                                               SUPPORTING UNITS




 Table 32 • New Financing of Heavy Equipment, Machinery, and Other Equipment by Type


                                                                                                        Comparison with Last Year
                     Description (Rp billion)                  2022               2023
                                                                                                        Total             Percentage
  Machinery                                                      393                 513                 120                30.5%
  Others                                                           18                20                    2                 11.1%
  Total                                                        2,372              2,634                 262                 11.0%
  Percentage of Total
      Excavator                                               44.7%               41.3%                  n/a                -3.4%
      Truck                                                    19.8%              19.7%                  n/a                 -0.1%
      Bulldozer                                                 7.3%               6.1%                  n/a                 -1.2%
      Wheel Loader                                              2.3%               2.6%                  n/a                 0.3%
      Forklift                                                  1.0%               1.7%                  n/a                 0.7%
  Other Heavy Equipment                                         7.5%               8.3%                  n/a                 0.8%
  Total Heavy Equipment                                       82.6%              79.7%                   n/a                -2.9%
  Machinery                                                    16.6%              19.5%                  n/a                 2.9%
  Others                                                        0.8%               0.8%                  n/a                 0.0%
  Total                                                      100.0%             100.0%



 BFI Finance supports                            during that period. Meanwhile,                  Based on the type of equipment,
 the business operations of clients              the Construction sector                         the largest portion of financing
 in various industrial sectors                   experienced a value growth                      in 2023 was for Excavators, with
 through Financing of Heavy                      of Rp86 billion (increased by                   a portion of 41.3% of the total
 Equipment, Machinery, and Other                 17.1% from 2022). Financing to                  financing value in this segment.
 Equipment products.                             the Mining sector continued to                  However, Excavators financing
                                                 grow, amounting to Rp65 billion                 portion was reduced from 44.7%
 The primary sectors that obtained
                                                 (7.5%), even though coal prices on              in the previous year. On the other
 financing from the Company
                                                 the global market experienced                   hand, the other three categories,
 in 2023, as in 2022, were
                                                 a sharp correction in line with                 namely Heavy Equipment,
 Mining, Construction, as well as
                                                 the returning of normal supply                  Machinery, and Other Equipment,
 Industry and Manufacturing.
                                                 and prices of various global                    all experienced promising growth.
 The contributions of these three
                                                 energy commodities.                             Machinery Financing showed
 sectors to the overall value of
                                                                                                 a strong increase by 30.5% to
 Heavy Equipment, Machinery,                     Overall, the amount of Heavy
                                                                                                 Rp120 billion, making it the
 and Other Equipment Financing                   Equipment, Machinery, and
                                                                                                 highest growth with a significant
 were 35.2%, 22.4% and 13.1%,                    Other Equipment Financing
                                                                                                 contribution to this segment.
 respectively.                                   increased by 11.0%, reaching
                                                                                                 Thus, financing for the Industry
                                                 Rp2,634 billion in 2023, compared
 The highest proportional growth                                                                 and Manufacturing sector grew
                                                 to Rp2,372 billion in 2022.
 in 2023, namely 27.7%, was in                                                                   significantly in 2023.
                                                 Apart from being bolstered
 the Industry and Manufacturing
                                                 by the increase in financing to
 sector, in line with the
                                                 the sectors described above,
 consistent flow of investment
                                                 several other sectors also
 into the manufacturing sector
                                                 recorded positive growth, for
                                                 example Plantation and Services.




126                                                                         PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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        MANAGEMENT DISCUSSION          GOOD CORPORATE                                           ANNUAL FINANCIAL
                                                           SUSTAINABILITY   SUPPORTING DATA                             APPENDICES
        AND ANALYSIS                   GOVERNANCE                                               STATEMENTS




   Property-Backed Financing
   Table 33 • New Property-Backed Financing by Type


                                                                                                Comparison with Last Year
                 Description (Rp billion)                    2022            2023
                                                                                                Total              Percentage
    House                                                      657              474              (183)              -27.9%

    Shophouse                                                    20              36                 16              80.0%

    Total                                                      677              510              (167)              -24.7%

    Percentage of Total

    House                                                   97.0%            92.9%                n/a                 -4.1%

    Shophouse                                                  3.0%            7.1%               n/a                 4.1%

    Total                                                 100.0%            100.0%



   The Company distributes                       This growth was consistent               The amount of Sharia Financing
   Property-Backed Financing                     with the improving business              thus increased sharply
   for House and Shophouse                       climate during 2023, while the           by 30.3%, from Rp314 billion in
   products as collateral. In 2023,              weakening in the property                2022 to Rp409 billion in 2023.
   the financing value decreased by              market for housing was largely           The increase was the highest
   24.7%, from Rp677 billion in 2022             caused by people’s anticipation          proportional growth in 2023,
   to Rp510 billion. This was caused             of uncertainty in 2024 due to it         compared to other financing
   by a 27.9% decline in the amount              being a political year.                  products offered by the Company.
   of House-Backed Financing
                                                                                          While several other financing
   in 2023. On the other hand,                   Sharia Financing
                                                                                          segments experienced a decline,
   Shophouse-Backed Financing
                                                 Throughout 2023, the Company             growth in this segment saw
   grew significantly by 80% from
                                                 continued to focus its Sharia            an increase in its contribution
   Rp20 billion to Rp36 billion.
                                                 Financing business on collateral-        to the overall value of New
   Hence, the proportion of
                                                 based products, continuing               Financing from 1.5% in 2022
   Shophouses to overall Property-
                                                 with the transition in 2022.             to 2.1% in 2023.
   Backed Financing was increased
                                                 Meanwhile, the acquisition and
   more than doubled, from
                                                 asset management process for
   3.0% in 2022 to 7.1% in 2023.
                                                 the Sharia Financing segment
                                                 was also continuously refined.




                                            Dian Syahputra
                                            Sharia Financing Customer
                                            Medan, Sumatra Utara


                                            I have used My Cars product from BFI Finance’s sharia business unit
                                            in Medan branch since March 2023. I found out about it through Elang
                                            Property, a Sharia credit service company. The Sharia product has
                                            significantly eased my business capital concerns. What made me
                                            choose BFI Finance? Well, the easy administrative requirements and the
                                            fact there are no penalties or fines, with consistent installment amounts.
                                            I’ve been impressed with their service quality, including their fast and
                                            easy procedures, reliability, and friendly staff. I’ll definitely choose BFI
                                            again for future financing needs.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                    127
Page 130
                     2023 PERFORMANCE                                                        BUSINESS
 ABOUT THIS REPORT                      REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                     HIGHLIGHTS                                                              SUPPORTING UNITS




MARKETING




 Working along four principal                                                          Indonesia’s economy grew
                                                                                       quite consistently in 2022–2023,
 marketing channels,                                                                   as society experienced its
                                                                                       first year where Covid-19 was
 BFI Finance reaches out to                                                            no longer treated as a pandemic.
                                                                                       The level of societal mobility
 various demographic groups                                                            returned to pre-pandemic

 across Indonesia, relentlessly                                                        times, and various technological
                                                                                       advances introduced during

 introducing new innovations                                                           the pandemic have now become
                                                                                       an integral part of daily life.
 into the formulation of its                                                           People have become more fluent
                                                                                       in utilizing technology to interact
 marketing strategies.                                                                 in the digital realm, even as they
                                                                                       return to conducting activities
                                                                                       in the physical world.

                                                                                       BFI Finance saw the need to act
                                                                                       swiftly and market its financing
                                                                                       products as effectively as possible.




128                                                               PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 131
        MANAGEMENT DISCUSSION       GOOD CORPORATE                                                ANNUAL FINANCIAL
                                                           SUSTAINABILITY    SUPPORTING DATA                         APPENDICES
        AND ANALYSIS                GOVERNANCE                                                    STATEMENTS




   Over the last few years,                   Marketing Channels                           As at the end of 2023, BFI Finance
   the Company has sharpened                                                               managed partnerships with
   its capabilities in working on             BFI Finance maintains four main              1,801 dealers who actively worked
   the market and reaching into               marketing channels, namely:                  as its partners in financing
   certain market segments                    •      Dealer/Supplier: for car, heavy       the purchase of used and new
   which remain the main                             equipment, and machinery              cars. This figure increased from
   contributors to its business,                     financing products;                   1,374 active dealers at the end
   through continuously building              •      Agent: for multipurpose               of 2022.
   partnership networks and also                     financing with a car,                 Marketing via the agency
   harnessing technology and                         motorbike or house/shop               channel is one of the initiatives
   automation. The Company is also                   certificate as collateral;            that the Company has been
   expanding its target market and
                                              •      Telemarketing: to reach               focusing intensively. Along with
   strengthening its penetration
                                                     customers via telephone, short        the Company’s growth, there
   into new segments, especially
                                                     message, and hotline number           was an increase in the average
   the young people in Indonesia.
                                                     1500018; and                          number of agents, from 80,249
   BFI Finance’s market segments              •      Digital: to rapidly respond           in 2022 to 81,997 in 2023, with
   cover various demographic                         to various consumer needs             18,151 of them (approximately
   groups throughout Indonesia.                      conveyed on the official              22% of the total) being active
   This calls for the Company to                     Corporate website, agent              agents and regularly contribute
   continue evolving and innovating                  aggregators, and a number of          to sales. The Company provided
   in developing marketing                           social media accounts.                opportunities for those interested
   strategies that are rich and                                                            in becoming its marketing
   diversified, so that the Company                                                        agents to register, via online or
   can be more relevant to each                                                            offline channels.
   segment it wishes to serve.




                                         I Komang Sudiarta
                                         Dealer and Owner of Nyoman Motor
                                         Denpasar, Bali

                                         Partnering with BFI Finance was a brilliant decision. The bonuses,
                                         rewards, and international tours they provide have been satisfying.
                                         BFI Finance team is friendly, always helpful and flexible. The service is
                                         consistently outstanding. I expect to see faster financing application
                                         processing, more effective programs, and bigger bonuses from them in
                                         the future.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                129
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                     2023 PERFORMANCE                                                         BUSINESS
 ABOUT THIS REPORT                       REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                     HIGHLIGHTS                                                               SUPPORTING UNITS




 Company agents were given              BFI Finance designed an                         the telecommunications industry
 ample material and technological       omnichannel marketing channel                   and digital marketplace. As at
 support, so they could carry           to tap into to the increasingly                 the end of 2023, the Company
 out their marketing effectively.       widespread use of WhatsApp.                     had finalized a partnership
 The Company also gave                  Through omnichannel marketing,                  program with one of the unicorn
 appreciation to its active agents      the Company reached out to                      startups in Indonesia. Through
 who had demonstrated optimal           a variety of communication                      this program, the Company will
 performance and work results.          channels in a coordinated                       be able to serve the motorbike
 Agent satisfaction in partnering       manner. This enabled                            and car financing needs of the
 with the Company continues             the telemarketing personnel                     ride hailing driver partners.
 to be maintained, in light of          to do work more flexibly and
                                                                                        Anticipating further progress
 their crucial role in building         practically, while the field staff
                                                                                        in the electric vehicle industry,
 the BFI Finance business over          could convey information on
                                                                                        especially electric motorbikes,
 the years.                             relevant financing products
                                                                                        which are now available in various
                                        information to customers
 Centralization of telemarketing                                                        brands and at relatively affordable
                                        across all marketing channels
 agents, which took place in 2022                                                       prices, in 2023 the Company
                                        coherently. Omnichannel
 and included the separation                                                            built collaborations to market
                                        operations enabled the Company
 of telecollection function from                                                        the related financing products.
                                        to analyze customer behavior
 telemarketing’s scope of work,                                                         This business is expected to
                                        data holistically, allowing
 made their performance even                                                            become more attractive in the
                                        better decision making
 more effective in 2023. Currently,                                                     coming years, with increasing
                                        regarding customer application
 BFI Finance’s telemarketing                                                            readiness in Indonesia in terms
                                        submissions, including from
 agents work in three locations:                                                        of the supporting infrastructure,
                                        repeat customers. Such
 Jakarta, Semarang, and Makassar.                                                       especially the number and scope
                                        comprehensive analysis made
                                                                                        of distribution of battery swap
 Throughout 2023, the Company           the application and disbursement
                                                                                        stations and charging stations.
 also developed its digital             process faster, and is expected
 marketing network. A range of          to bring greater satisfaction                   In marketing machinery and
 initiatives were pursued to foster     to customers.                                   heavy equipment financing,
 partnerships with digital agents,                                                      the Company strengthened
 including aggregators, as well         Marketing Strategy                              its partnership with a heavy
 as building new collaborations         and Initiatives                                 equipment supplier from
 with leading players in the                                                            China, whose market share
 digital ecosystem in Indonesia.        The Company’s flagship financing                continued to expand. Gradually,
 The Company’s value proposition        product is Non-Dealer Financing                 the Company was also shifting
 in marketing its products in           (NDF), with cars and motorbikes                 its target segment for heavy
 digital channels–namely Fast,          as collateral. The Company has                  equipment financing towards
 Easy, and Trustworthy–was              been exploring a number of                      contractors with excellent track
 upheld. And in anticipation of the     collaborative schemes to market                 records, thereby minimizing the
 enactment of the Personal Data         this NDF product, including                     risk of deteriorating financing
 Protection Law (Law No. 27 of          with several institutional                      quality. This strategy succeeded
 2022), the Company implemented         players with a wide scope and                   in preventing an increase in the
 a system to ensure the security of     strong presence throughout                      NPF ratio in the heavy equipment
 its customers’ personal data.          Indonesia, for example those in




130                                                                PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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        MANAGEMENT DISCUSSION       GOOD CORPORATE                                             ANNUAL FINANCIAL
                                                         SUSTAINABILITY   SUPPORTING DATA                         APPENDICES
        AND ANALYSIS                GOVERNANCE                                                 STATEMENTS




                                          Umi Lestari
                                          Car and Motorcycle Financing Customer
                                          Semarang, Jawa Tengah

                                          I have been a BFI Finance customer in Semarang branch since 2010.
                                          I discovered the Company through an outdoor billboard. They have
                                          been very helpful for me to satisfy my additional business capital.
                                          The application process was hassle-free, with requirements that were
                                          easy to fulfill and the funds were quickly transferred to my account.
                                          I applaud BFI Finance for the easy administrative requirements and
                                          satisfying service. I’ll definitely choose BFI Finance again for future
                                          financing needs, although I do hope they can lower their interest
                                          rates for loyal customers like me, and possibly offer a three-month
                                          tenure option.




   segment, even though in 2023               Network Distribution                      As detailed in the previous
   the prices of Indonesia’s main                                                       section, the reduction in the
   export commodities, especially             BFI Finance managed                       number of outlets has not caused
   coal, dropped rather steeply.              271 operational outlets as at             the Company’s business network
                                              the end of 2023. This consisted           to become narrower in scope.
   The proportion of property and             of 195 branches and 31 outlets,           The Company’s operational
   sharia financing products to               including 45 sharia representative        area remains the largest among
   the total is still relatively small,       branches operating in                     other multifinance companies
   but the annual growth has                  conventional branch buildings.            with nationwide presence in
   been significant over the years.           The number of outlets decreased           Indonesia. BFI Finance is serving
   To market these products, the              from 282 outlets one year prior,          the Indonesian population,
   Company enhanced their value               in line with the Company’s efforts        from Sumatra to Papua, from
   proposition to make them more              to boost its business effectiveness,      major cities to settlements in
   attractive to potential customers.         but without reducing the                  the remote and border areas.
                                              employee headcount in                     BFI Finance’s reputation, as an
                                              the outlets.                              independent financing company
                                                                                        that understands best what the
                                                                                        public needs and also is most
                                                                                        accessible to them, continues
                                                                                        to be maintained.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                              131
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                              2023 PERFORMANCE                                                     BUSINESS
 ABOUT THIS REPORT                               REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                              HIGHLIGHTS                                                           SUPPORTING UNITS




FINANCIAL PERFORMANCE REVIEW

 Consolidated Statement of Financial Position

 Assets

 Table 34 • Total Assets


                                                                                                    Comparison with Last Year
                     Description (Rp billion)                 2022               2023
                                                                                                     Total            Percentage
  Cash and Cash Equivalents                                    1,073             1,740                667               62.2%

      Financing Receivables - Net                            19,554             20,706                1,152              5.9%

      Ijarah and IMBT Receivables - Net                            8                 53                 45            562.5%

  Total Net Receivables                                      19,562             20,759               1,197               6.1%

  Other Receivables - Third Parties                              163                251                88              54.0%

  Derivative Assets                                              103                 57               (46)            -44.7%

  Prepaid Expenses and Advances                                   25                34                   9             36.0%

  Fixed Assets - Net                                            659                 721                 62               9.4%

  Right-of-Use Assets - Net                                       38                 41                  3               7.9%

  Intangible Assets - Net                                       140                255                 115              82.1%

  Deferred Tax Assets                                           164                 132               (32)             -19.5%

  Other Assets                                                     3                  2                 (1)            -33.3%

  Total Assets                                               21,930             23,992              2,062               9.4%

  Percentage of Total

  Cash and Cash Equivalents                                    4.9%               7.3%                 n/a               2.4%

      Financing Receivables - Net                            89.2%              86.3%                  n/a              -2.9%

      Ijarah and IMBT Receivables - Net                        0.0%               0.2%                 n/a               0.2%

  Total Net Receivables                                      89.2%              86.5%                  n/a              -2.7%

  Other Receivables - Third Parties                            0.7%               1.0%                 n/a               0.3%

  Derivative Assets                                            0.5%               0.2%                 n/a              -0.3%

  Prepaid Expenses and Advances                                0.1%               0.1%                 n/a               0.0%

  Fixed Assets - Net                                           3.0%               3.0%                 n/a               0.0%

  Right-of-Use Assets - Net                                    0.2%               0.2%                 n/a               0.0%

  Intangible Assets - Net                                      0.6%                1.1%                n/a               0.5%

  Deferred Tax Assets                                          0.8%               0.6%                 n/a              -0.2%

  Other Assets                                                 0.0%               0.0%                 n/a               0.0%

  Total Assets                                              100.0%             100.0%




132                                                                        PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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        MANAGEMENT DISCUSSION          GOOD CORPORATE                                       ANNUAL FINANCIAL
                                                         SUSTAINABILITY   SUPPORTING DATA                           APPENDICES
        AND ANALYSIS                   GOVERNANCE                                           STATEMENTS




   The Company continued to grow with Total Assets recorded as at 31 December 2023 reached Rp23,992 billion,
   an increase of 9.4% from Rp21,930 billion in the previous year. The largest contributor to this increase was
   the escalation of Financing Receivables – Net as well as Cash and Cash Equivalents.

   The Company’s Total Net Receivables as at the end of 2023 amounted to Rp20,759 billion, an increase of 6.1%
   from the value as at the end of 2022, representing 86.5% of the Company’s Total Assets.


   Net Receivables

   Table 35 • Net Receivables


                                                                                            Comparison with Last Year
                 Description (Rp billion)                  2022            2023
                                                                                            Total              Percentage
    Financing Receivables - Net                            19,554         20,706             1,152                5.9%

    Ijarah and IMBT Receivables - Net                           8              53              45              562.5%

    Total Net Receivables                                 19,562          20,759            1,197                 6.1%



   The Company’s total Financing Receivables – Net increased by 5.9% from Rp19,554 billion at the end of 2022
   to Rp20,706 billion at the end of 2023. This increase was mainly contributed by financing receivables for used
   and new cars and heavy equipment.

   The Company also recorded an increase of 562.5% in Ijarah and IMBT Receivables – Net from Rp8 billion to
   Rp53 billion as at the end of 2023. Thus, Total Net Receivables grew 6.1% in 2023, reaching Rp20,759 billion at
   the end of the year.

   Total Managed Receivables at the end of 2023 was recorded at Rp22,012 billion or an increase of 7.4% with a
   value of Rp1,514 billion from the 2022 position of Rp20,498 billion. The details are presented in Table 36.

   Allowance for Impairment Losses is detailed on pages 139–140.




                                            Hery Yudianto Sertiawan
                                            President Director of PT Sany Perkasa
                                            Heavy Equipment Financing Business Partner


                                            We have been partnering with BFI Finance since 2017 for our heavy
                                            equipment financing. The reasons are simple, BFI Finance stands
                                            out in the market with competitive interest rates, reasonably easy
                                            administrative requirements, and extensive networking opportunities.
                                            They were the first multifinance company willing to work with us
                                            when we were only newcomers in the heavy equipment market,
                                            especially with excavators. This partnership has significantly boosted
                                            our business operations, making us now a force to be reckoned with
                                            in the market. We are very satisfied working with BFI Finance. Looking
                                            ahead, we hope to see enhanced offerings, especially in financing
                                            for our customers.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                133
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                              2023 PERFORMANCE                                                     BUSINESS
 ABOUT THIS REPORT                               REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                              HIGHLIGHTS                                                           SUPPORTING UNITS




 Table 36 • Managed Receivables vs Net Receivables


                                                                                                     Comparison with Last Year
                     Description (Rp billion)                 2022               2023
                                                                                                     Total            Percentage
  Financing Receivables                                     20,490              21,958               1,468                7.2%

  Ijarah and IMBT Receivables                                      8                54                  46             575.0%

  Total Managed Receivables                                 20,498              22,012               1,514               7.4%

  Less Joint Financing - booked by third
                                                               (102)             (488)               (386)             378.4%
  parties

  Total Receivables Before Allowance for
                                                            20,396              21,524               1,128               5.5%
  Impairment Losses

  Allowance for Impairment Losses                               834                765                (69)               -8.3%

  Total Receivables - Net                                    19,562            20,759                1,197                6.1%



 The analysis of Receivables is focused on Total Receivables Managed by Asset Type, according to the business
 classification as determined by the Company.


 Table 37 • Diversification of Financing Portfolio by Asset Type


                                                                                                     Comparison with Last Year
                     Description (Rp billion)                 2022               2023
                                                                                                     Total            Percentage
      Used Cars Financing                                    13,288             14,400               1,112               8.4%

      New Cars Financing                                         510               810               300                58.8%

  Cars Financing                                             13,798              15,210             1,412               10.2%

  Heavy Equipment Financing                                   2,674              3,286                612               22.9%

  Motorcycles Financing                                       2,435               1,681             (754)               -31.0%

  Property Financing                                            854                957                103                12.1%

  Sharia Financing                                               391               606                215               55.0%

  Channeling                                                    346                272               (74)               -21.4%

  Total Managed Receivables                                 20,498              22,012              1,514                7.4%

  Percentage of Total

      Used Cars Financing                                    64,8%               65,4%                n/a                0.6%

      New Cars Financing                                       2,5%               3,7%                n/a                 1.2%

  Cars Financing                                             67,3%               69,1%                n/a                 1.8%

  Heavy Equipment Financing                                   13,0%              14,9%                n/a                 1.9%

  Motorcycles Financing                                        11,9%              7,6%                n/a               -4.3%

  Property Financing                                           4,2%               4,4%                n/a                0.2%

  Sharia Financing                                              1,9%              2,8%                n/a                0.9%

  Channeling                                                    1,7%              1,2%                n/a                -0.5%

  Total                                                     100.0%             100.0%




134                                                                        PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 137
        MANAGEMENT DISCUSSION          GOOD CORPORATE                                           ANNUAL FINANCIAL
                                                          SUSTAINABILITY   SUPPORTING DATA                              APPENDICES
        AND ANALYSIS                   GOVERNANCE                                               STATEMENTS




   The largest portion of Total                  Total Managed Receivables               The Company’s Cars Financing
   Managed Receivables in 2023,                  – Cars                                  covered various car types,
   with a value of Rp15,210 billion                                                      namely Minibus/MPV, Jeep,
   or 69.1% of the total, was                    The portions of the Used                Truck, Pick-up, Sedan, and Bus.
   Cars Financing. The Used                      Cars Financing and New Cars             The Cars Financing portfolio
   Cars Financing Portfolio was                  Financing to Total Managed              was still dominated by Minibus/
   recorded at Rp14,400 billion,                 Receivables in 2022 were                MPV, with the proportion
   grew by 8.4%, while the New                   65.4% and 3.7%, respectively.           unchanged from the end of
   Cars Financing portion was                    The contribution of both to             2022. The next two categories
   Rp810 billion, grew by 58.8% from             the Company’s Financing                 were Trucks at 11.9% and Jeeps
   the respective positions at the               Portfolio increased with the            at 11.4%. The growth in the value
   end of 2022. The remaining 30.9%              strong increase in New Cars             of the Financing Portfolio for
   came from Heavy Equipment                     Financing Portfolio in 2023             Trucks, Pick-ups, and Buses was
   Financing (14.9%), followed by                in terms of New Financing               consistent with the performance
   Motorcycles Financing (7.6%),                 disbursement.                           of New Financing for Commercial
   Property-Backed Financing (4.4%),                                                     Car which grew by 3.5% in 2023.
   Sharia Financing (2.8%), and
   Channeling (1.2%).




   Table 38 • Diversification of Cars Financing Portfolio by Car Type


                                                                                                Comparison with Last Year
                 Description (Rp billion)                   2022            2023
                                                                                                Total              Percentage
    Minibus/MPV                                             8,487           9,344                 857                 10.1%

    Truck                                                      1,569             1,811            242                15.4%

    Jeep                                                       1,681         1,739                 58                 3.5%

    Pick-up                                                    1,368         1,553                185                13.5%

    Sedan                                                       597              632               35                 5.9%

    Bus                                                          96               131              35                36.5%

    Total                                                  13,798           15,210              1,412                10.2%

    Percentage of Total

    Minibus/MPV                                             61.5%           61.4%                 n/a                 -0.1%

    Truck                                                      11.4%         11.9%                n/a                 0.5%

    Jeep                                                    12.2%            11.4%                n/a                -0.8%

    Pick-up                                                    9.9%         10.2%                 n/a                 0.3%

    Sedan                                                      4.3%          4.2%                 n/a                 -0.1%

    Bus                                                        0.7%          0.9%                 n/a                 0.2%

    Total                                                 100.0%           100.0%




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                    135
Page 138
                              2023 PERFORMANCE                                                         BUSINESS
 ABOUT THIS REPORT                                REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                              HIGHLIGHTS                                                               SUPPORTING UNITS




 Table 39 • Diversification of Cars Financing Portfolio by Brand


                                                                                                        Comparison with Last Year
                     Description (Rp billion)                  2022               2023
                                                                                                        Total             Percentage
  Toyota                                                       4,999              5,327                   328                6.6%

  Mitsubishi                                                   2,207              2,496                   289                13.1%

  Daihatsu                                                      1,947              2,156                  209               10.7%

  Honda                                                        1,907              2,048                    141               7.4%

  Suzuki                                                        1,241             1,409                   168               13.5%

  Isuzu                                                           169               209                    40               23.7%

  Other Japanese Brand                                           965               1,120                   155               16.1%

  Non-Japanese Brand                                             363                445                    82               22.6%

  Total                                                       13,798             15,210                  1,412              10.2%

  Percentage of Total

  Toyota                                                      36.2%               35.0%                    n/a               -1.2%

  Mitsubishi                                                   16.0%              16.4%                    n/a               0.4%

  Daihatsu                                                     14.1%              14.2%                    n/a               0.1%

  Honda                                                        13.8%              13.5%                    n/a              -0.3%

  Suzuki                                                        9.0%               9.3%                    n/a               0.3%

  Isuzu                                                          1.2%              1.4%                    n/a               0.2%

  Other Japanese Brand                                          7.0%               7.3%                    n/a               0.3%

  Non-Japanese Brand                                            2.7%               2.9%                    n/a               0.2%

  Total                                                      100.0%             100.0%



 In 2023, the Cars Financing                     Total Managed Receivables                       The Financing Portfolio value
 Portfolio continued to be                       – Motorcycles                                   for all motorcycle brands as at
 dominated by Japanese                                                                           the end of 2023 experienced
 brands, with only 2.9% of the                   Total Managed Receivables –                     a decline. Honda motorcycles
 value of the Company’s Cars                     Motorcycles at the Company as                   experienced a huge decline of
 Financing Portfolio came from                   at the end of 2023 was recorded                 Rp481 billion (30.1%) and occupied
 brands from other countries.                    at Rp1,681 billion, a decrease                  the top position in terms of
 The contribution of non-Japanese                of 31.0% from its value in 2022.                proportion to the number.
 brands increased slightly in                    This decrease was a direct impact               However, the contribution
 2023, mainly due to a decline                   of the reduced value of New                     of Honda brand to the total
 in the Toyota brand by 1.2%,                    Financing for Motorcycles in                    Motorcycles Financing Portfolio
 continuing the trend seen since                 2023, due to the causes that were               as at the end of 2023 increased
 2021. With a proportion of 35.0%                mentioned previously.                           by 0.8% due to other brands also
 of the overall Cars Financing                                                                   experienced proportionally larger
 Portfolio, Toyota remained the                                                                  declines.
 main contributor, followed by
 Mitsubishi, Daihatsu, and Honda,
 respectively at 16.4%, 14.2%, and
 13.5%.




136                                                                         PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 139
        MANAGEMENT DISCUSSION           GOOD CORPORATE                                      ANNUAL FINANCIAL
                                                         SUSTAINABILITY   SUPPORTING DATA                           APPENDICES
        AND ANALYSIS                    GOVERNANCE                                          STATEMENTS




   Table 40 • Diversification of Motorcycles Financing Portfolio by Brand


                                                                                            Comparison with Last Year
                  Description (Rp billion)                 2022            2023
                                                                                            Total              Percentage
    Honda                                                      1,597         1,116          (481)               -30.1%

    Yamaha                                                      733          504            (229)                -31.2%

    Suzuki                                                       52            29             (23)              -44.2%

    Others                                                       53            32             (21)              -39.6%

    Total                                                  2,435            1,681           (754)               -31.0%

    Percentage of Total

    Honda                                                  65.6%           66.4%              n/a                 0.8%

    Yamaha                                                 30.1%           30.0%              n/a                 -0.1%

    Suzuki                                                      2.1%         1.7%             n/a                -0.4%

    Others                                                     2.2%          1.9%             n/a                -0.3%

    Total                                                100.0%           100.0%



   Total Managed Receivables – Heavy Equipment, Machinery, Other Equipment
   The total Financing Portfolio of Heavy Equipment, Machinery and Other Equipment as at the end of 2023
   was recorded at Rp3,286 billion, an increase of 22.9% or Rp612 billion compared to the end of 2022.

   This increase was supported by Excavators portfolio growth of 22.7%. Excavators also occupied the top
   position in percentage terms, accounting for 44.3% of the Total Managed Receivables in this segment.
   Meanwhile, the growth in New Financing for Other Heavy Equipment in 2023 resulted in the share of Heavy
   Equipment in Total Managed Receivables in this segment rising from 81.8% as at the end of 2022 to 83.8%.
   The remainder consisted of Machinery (15.6%) and Other Equipment (0.6%).

   Based on industry, the highest growth in the Financing Portfolio, amounting to Rp242 billion in 2023, came
   from the Mining sector. This sector was also the largest contributor to the Financing Portfolio, with a portion
   of 35.5%. Significant increase was also experienced by the Construction and Plantation sectors, amounting to
   Rp157 billion and Rp62 billion, respectively.


   Table 41 • Diversification of Heavy Equipment, Machinery, and Other Equipment Financing Portfolio 		
              by Type of Equipment


                                                                                            Comparison with Last Year
                  Description (Rp billion)                 2022            2023
                                                                                            Total              Percentage
      Excavator                                                1,186        1,455             269                22.7%

      Truck                                                     466           625             159                34.1%

      Bulldozer                                                 185           220              35                18.9%

      Wheel Loader                                               63            87              24                38.1%

      Forklift                                                   30            48               18               60.0%

      Other Heavy Equipment                                     257           321              64                24.9%

    Total Heavy Equipment                                      2,187       2,756             569                26.0%

    Machinery                                                   470           512              42                 8.9%

    Others                                                        17            18                  1             5.9%

    Total                                                  2,674           3,286              612               22.9%




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                137
Page 140
                              2023 PERFORMANCE                                                     BUSINESS
 ABOUT THIS REPORT                               REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                              HIGHLIGHTS                                                           SUPPORTING UNITS




 Table 41 • Diversification of Heavy Equipment, Machinery, and Other Equipment Financing Portfolio 		
            by Type of Equipment


                                                                                                    Comparison with Last Year
                     Description (Rp billion)                 2022               2023
                                                                                                    Total             Percentage
  Percentage of Total

      Excavator                                              44.4%              44.3%                 n/a                -0.1%

      Truck                                                   17.4%              19.0%                n/a                 1.6%

      Bulldozer                                                6.9%               6.7%                n/a               -0.2%

      Wheel Loader                                             2.4%               2.6%                n/a                0.2%

      Forklift                                                  1.1%              1.4%                n/a                0.3%

      Other Heavy Equipment                                    9.6%               9.8%                n/a                0.2%

  Total Heavy Equipment                                      81.8%              83.8%                 n/a                2.0%

  Machinery                                                   17.6%              15.6%                n/a               -2.0%

  Others                                                       0.6%               0.6%                n/a                0.0%

  Total                                                     100.0%             100.0%


 Table 42 • Diversification of Heavy Equipment, Machinery, and Other Equipment Financing Portfolio by Industry


                                                                                                    Comparison with Last Year
                     Description (Rp billion)                 2022               2023
                                                                                                    Total             Percentage
  Mining                                                        924               1.166              242                26.2%

  Construction                                                  578                735                157               27.2%

  Industrial and Manufacturing                                  334                 391                57                17.1%

  Forestry                                                      249                301                 52               20.9%

  Plantation                                                    234                296                 62               26.5%

  Services                                                       179               190                  11                6.1%

  Trade and Distribution                                          83                89                  6                7.2%

  Others                                                          93                118                25               26.9%

  Total                                                       2,674              3,286                612              22.9%

  Percentage of Total

  Mining                                                     34.6%               35.5%                n/a                0.9%

  Construction                                                21.6%              22.4%                n/a                0.8%

  Industrial and Manufacturing                                12.5%               11.9%               n/a               -0.6%

  Forestry                                                     9.3%               9.1%                n/a               -0.2%

  Plantation                                                   8.7%               9.0%                n/a                0.3%

  Services                                                     6.7%               5.8%                n/a               -0.9%

  Trade and Distribution                                        3.1%              2.7%                n/a               -0.4%

  Others                                                       3.5%               3.6%                n/a                 0.1%

  Total                                                     100.0%             100.0%




138                                                                        PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 141
        MANAGEMENT DISCUSSION          GOOD CORPORATE                                             ANNUAL FINANCIAL
                                                           SUSTAINABILITY    SUPPORTING DATA                              APPENDICES
        AND ANALYSIS                   GOVERNANCE                                                 STATEMENTS




   Table 43 • Diversification of Property-Backed Financing Portfolio by Type


                                                                                                  Comparison with Last Year
                 Description (Rp billion)                    2022              2023
                                                                                                  Total              Percentage
    House                                                      828               916                 88                10.6%

    Shophouse                                                    26                41                 15               57.7%

    Total                                                      854               957                103                12.1%

    Percentage of Total

    House                                                    97.0%             95.7%                n/a                 -1.3%

    Shophouse                                                  3.0%             4.3%                n/a                  1.3%

    Total                                                  100.0%            100.0%



   Total Managed Receivables –                   Total Managed Receivables                 Allowance for Impairment Losses
   Property-Backed Financing                     – Channeling                              decreased by 8.3% or Rp69 billion
                                                                                           in 2023, to Rp765 billion. This was
   In 2023, BFI Finance took a more              The total Channeling represents           in line with the use of reserves
   aggressive stance in marketing                the financing carried out by              set aside at the end of 2022
   its Property-Backed Financing                 the Company’s P2P Lending                 to anticipate credit losses that
   product. Therefore, as at                     subsidiary, namely PT FIT,                occur during the current year.
   the end of 2023, Total Managed                where BFI Finance as the parent           The current reserves level reached
   Receivables in this segment                   company acts as a lender.                 3.5% of the Total Managed
   was recorded at Rp957 billion,                This financing recorded                   Receivables, and the Company’s
   or 12.1% higher than the position             a decrease from Rp346 billion             NPF Coverage was recorded
   at the end of 2022. A total                   in 2022 to Rp272 billion in 2023.         at 2.6x, above the financing
   of 95.7% of the portfolio was in              This was in line with the decrease        industry average.
   the form of Houses, with the                  in the amount of receivables
   value rising by Rp88 billion                  financed by the Company                   As at 31 December 2023, the value
   in 2023. The remaining 4.3%                   as a lender.                              of financing that was more
   was in the form of Shophouses,                                                          than 90 days past due was
                                                 Allowance for Impairment                  Rp300 billion, or the equivalent
   supported by significant
   growth of 57.7% or Rp15 billion               Losses                                    of 1.4% of the Company’s Total
   during 2023.                                                                            Managed Receivables.
                                                 Allowance for Impairment
                                                 Losses is the value set aside
   Total Managed Receivables –
                                                 from Total Managed Receivables
   Ijarah and IMBT Receivables
                                                 to anticipate potential losses
   (Ijarah Muntahiyah                            on the Receivables in the future.
   Bittamlik)                                    The value is calculated statistically
   The total Ijarah and IMBT                     for each exposure and type
   Receivables – Net at the end                  of assets being financed.
   of 2023 reached Rp53 billion and              Further information is presented
   experienced more than five-fold               in Note 2.e.6 to the Consolidated
   growth during 2023 in line with               Financial Statements, Exhibit E/18.
   growth in the Sharia Financing
   segment during the same period.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                      139
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                              2023 PERFORMANCE                                                     BUSINESS
 ABOUT THIS REPORT                               REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                              HIGHLIGHTS                                                           SUPPORTING UNITS




 Table 44 • Allowance for Impairment Losses


                                                                                                     Comparison with Last Year
                     Description (Rp billion)                 2022               2023
                                                                                                     Total            Percentage
  Total Managed Receivables                                 20,498              22,012               1,514                7.4%

  NPF (including Joint Financing)                               205                300                  95              46.3%

  Allowance for Impairment Losses                               834                765                (69)               -8.3%

  NPF Coverage                                                  4.1x              2.6x



 Cash and Cash Equivalents
 The Company’s Cash and Cash Equivalents as at the end of 2023 amounted to Rp1,740 billion, an increase
 of Rp667 billion or 62.2% from Rp1,073 billion as at the end of 2022. This increase was mainly due to the
 distribution of Net Cash Flows from Financing Activities of Rp725 billion and from Operating Activities
 amounting to Rp277 billion.

 Other Receivables – Third Parties
 The Company recorded Other Receivables – Third Parties in various forms, including Receivables in
 the Settlement Process – Net (book value of collateral assets returned by/repossessed from customers who
 were unable to continue paying the installments), Customer Installment Receipt Receivables (payments that
 have been made by customers and received by BFI Finance’s payment partners, but will only be credited
 to the Company’s bank account on the next working day), Employee Receivables, and Insurance Premium.

 The amount of Other Receivables recorded as at 31 December 2023 was Rp251 billion, or 54.0% of Rp163 billion
 as at the end of 2022 due to an increase in the value of Receivables in the Settlement Process – Net of
 Rp75 billion and an increase in Customer Installment Receipt Receivables of Rp17 billion.


 Table 45 • Other Receivables – Third Parties


                                                                                                    Comparison with Last Year
                     Description (Rp billion)                 2022               2023
                                                                                                     Total            Percentage
  Receivables in the Settlement Process - Net                   72                147                 75               104.2%

  Customer Installment Receipt Receivables                      33                 50                 17                 51.5%

  Employee Receivables                                          53                49                  (4)                -7.5%

  Insurance Premium                                              2                   1                (1)              -50.0%

  Others                                                         3                  4                   1               33.3%

  Total                                                        163                251                 88               54.0%



 Prepaid Expenses and Advances
 The total Prepaid Expenses and Advances as at 31 December 2023 was Rp34 billion, an increase of 36.0%
 from Rp25 billion as at the end of 2022. This increase was mainly due to prepaid provision expenses on loans
 received amounting to Rp9 billion.




140                                                                        PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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        MANAGEMENT DISCUSSION          GOOD CORPORATE                                            ANNUAL FINANCIAL
                                                           SUSTAINABILITY   SUPPORTING DATA                              APPENDICES
        AND ANALYSIS                   GOVERNANCE                                                STATEMENTS




   Table 46 • Prepaid Expenses and Advances


                                                                                                 Comparison with Last Year
                 Description (Rp billion)                    2022            2023
                                                                                                 Total              Percentage
    Loan Access Bureau                                         13              13                  -                   0.0%

    Interest                                                    2               11                 9                 450.0%

    IT Project Implementation                                   7               8                   1                  14.3%

    Others                                                      3               3                 (1)                 -33.3%

    Total                                                      25             34                   9                  36.0%



   Fixed Assets – Net                            Deferred Tax Assets                      Increases or decreases
                                                                                          in Derivative Assets have
   BFI Finance’s Fixed Assets –                  Deferred Tax Assets
                                                                                          no impact on the Company’s
   Net as at 31 December 2023                    reached Rp132 billion as at
                                                                                          performance, as these assets
   amounted to Rp721 billion,                    31 December 2023, a decrease
                                                                                          are purely derived from
   an increase of 9.4% from                      of 19.5% from Rp164 billion as at
                                                                                          the Company’s hedging activities.
   Rp659 billion as at the end of                the end of 2022. This decrease
   2022. This increase was mainly                occurred for the third year in           The Company implements
   due to the addition of tangible               a row since 2021. The main cause         a strict hedging policy for loans
   assets for Vehicles in the                    of this decrease was the Expenses        denominated in foreign currencies
   Company during 2023.                          for Bonuses and Other Employee           and with floating interest rates.
                                                 Benefits Due to be Paid and              All hedging activities take
   Right-of-Use Assets – Net                                                              place through currency swap
                                                 additions to Intangible Assets
   The total Right-of-Use Assets                 during 2023.                             agreements with leading banks.
   – Net as at 31 December 2023                                                           Hedging is carried out on all loans
                                                 Derivative Assets                        in foreign currency. There are
   reached Rp41 billion, or 7.9%
   higher than the Rp38 billion                  The Company recorded Derivative          no financial components exposed
   recorded at the end of 2022.                  Assets worth Rp103 billion               to foreign currency risk and
                                                 on 31 December 2022, while               interest rate risk.
   Intangible Assets – Net
                                                 the value on 31 December 2023
   As at 31 December 2023,                       decreased by 44.7% to Rp57 billion.
   Intangible Assets – Net increased             These Derivative Assets originate
   by 82.1%, from Rp140 billion                  from the Company’s swap
   to Rp255 billion and mostly                   agreements to hedge loans
   consist of software acquired                  in foreign currencies—especially
   for digitalization purposes.                  foreign loans denominated in
   This increase was in line                     US dollars—as one of its funding
   with additional investments                   sources, to anticipate interest
   by the Company to support                     rate risk and currency exchange
   its information technology                    rate risk.
   transformation process,
   as well as the strengthening
   of the Company’s cybersecurity
   and infrastructure following
   the cyberattack.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                     141
Page 144
                              2023 PERFORMANCE                                                        BUSINESS
 ABOUT THIS REPORT                               REPORTS TO STAKEHOLDERS          COMPANY PROFILE
                              HIGHLIGHTS                                                              SUPPORTING UNITS




 Table 47 • Derivative Assets

                                                                           2022                                     2023

                           Description                    USD Notional                              USD Notional
                                                                              Derivative Assets                          Derivative Assets
                                                             Amount                                    Amount
                                                                                 (Rp billion)                               (Rp billion)
                                                          (full amount)                             (full amount)
  Standard Chartered Bank, Jakarta Branch                 25,000,000                   34            10,500,000                  13

  PT Bank Permata Tbk                                      53,500,000                  58            40,833,334                 25

  PT Bank CIMB Niaga Tbk                                    8,000,000                   11          24,000,000                   15

  PT Bank CTBC Indonesia                                               -                 -           13,000,000                   2

  PT Bank Rakyat Indonesia (Persero) Tbk                               -                 -          55,000,000                    2

  Total                                                   86,500,000                 103            143,333,334                 57



 Liabilities

 Table 48 • Total Liabilities


                                                                                                        Comparison with Last Year
                     Description (Rp billion)                 2022                  2023
                                                                                                        Total               Percentage
  Fund Borrowings - Third Parties                            10,247                  8,666             (1,581)                -15.4%

  Securities Issued - Net                                      1,581                 4,721              3,140                198.6%

  Accrued Expenses                                              480                    324               (156)               -32.5%

  Taxes Payable                                                 263                    200               (63)                -24.0%

  Other Payables - Third Parties                                491                    438                (53)               -10.8%

  Post-Employment Benefits Liabilities                           112                   143                  31                27.7%

  Total                                                      13,174                14,492               1,318                 10.0%

  Percentage of Total

  Fund Borrowings - Third Parties                            77.8%                  59.8%                 n/a                -18.0%

  Securities Issued - Net                                     12.0%                 32.6%                 n/a                 20.6%

  Accrued Expenses                                             3.6%                   2.2%                n/a                  -1.4%

  Taxes Payable                                                2.0%                   1.4%                n/a                 -0.6%

  Other Payables - Third Parties                               3.7%                   3.0%                n/a                 -0.7%

  Post-Employment Benefits Liabilities                         0.9%                   1.0%                n/a                   0.1%

  Total                                                     100.0%                100.0%


 BFI Finance’s Total Liabilities as at 31 December 2023 reached Rp14,492 billion, an increase of 10.0% from
 Rp13,174 billion as at 31 December 2022. The main component of Liabilities as at the end of 2023 was Fund
 Borrowings – Third Parties, with a proportion of 59.8% of total liabilities. This proportion decreased from
 the 2022 figure, due to a shift in borrowings to Bonds, which increased by almost 200% throughout 2023,
 and contributed 20.6% to overall Liabilities.




142                                                                          PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 145
        MANAGEMENT DISCUSSION          GOOD CORPORATE                                             ANNUAL FINANCIAL
                                                           SUSTAINABILITY    SUPPORTING DATA                                APPENDICES
        AND ANALYSIS                   GOVERNANCE                                                 STATEMENTS




   Table 49 • Source of Funds


                                                                                                  Comparison with Last Year
                 Description (Rp billion)                    2022             2023
                                                                                                  Total               Percentage
    Fund Borrowings

    Foreign Currency Borrowings                                1,350           2,190               840                   62.2%

    Rupiah Borrowings                                        8,897            6,476              (2,421)                -27.2%

    Total Fund Borrowings                                   10,247            8,666              (1,581)                -15.4%

    Securities Issued

    Bonds Payable                                              1,581           4,721              3,140                198.6%

    Total Securities Issued - Net                              1,581           4,721              3,140                198.6%

    Total Source of Funds                                   11,828           13,387               1,559                  13.2%



   Fund Borrowings                                as at 31 December 2023, or 15.4%         Rp8,897 billion as at the end
                                                  lower than Rp10,247 billion as at        of 2022 to Rp6,476 billion as at
   BFI Finance signed new loan
                                                  the end of 2022. This decrease           the end of 2023. This decrease
   agreements with several banks
                                                  was mainly due to repayment of           was higher than the increase in
   and financial institutions during
                                                  overdue loans, which was higher          the value of Fund Borrowings in
   2023. The total Loans Received
                                                  than new loans, from a total of          US Dollar at Rp840 billion in 2023.
   was recorded at Rp8,666 billion


   Table 50 • Details of Fund Borrowings


                                                                                                                      Comparison
                            Description (Rp billion)                          2022                2023
                                                                                                                     with Last Year
    Borrowings (US Dollar)

    Syndicated Loans                                                           1,076               1,901                   825

    PT Bank CTBC Indonesia                                                       -                  200                    200

    responsAbility SICAV (Lux) - consolidated                                    274                 89                   (185)

    Total Borrowings (US Dollar)                                               1,350              2,190                   840

    Borrowings (Rupiah)

    PT Bank Mandiri (Persero) Tbk                                              1,958               1,219                 (739)

    Syndicated Loan (Agent: PT Bank DKI)                                         927               1,072                    145

    PT Bank Pan Indonesia Tbk                                                  1,664              1,050                   (614)

    PT Bank Central Asia Tbk                                                    1,651               978                   (673)

    PT United Tractors Tbk                                                      407                 432                      25

    PT Bank KEB Hana Indonesia                                                   238                330                      92

    PT Bank Jago Tbk                                                             299                296                     (3)

    PT Bank CIMB Niaga Tbk                                                       230                276                     46

    PT Bank DKI                                                                  422                261                   (161)




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                          143
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                           2023 PERFORMANCE                                                                   BUSINESS
 ABOUT THIS REPORT                                      REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                           HIGHLIGHTS                                                                         SUPPORTING UNITS




 Table 50 • Details of Fund Borrowings


                                                                                                                                  Comparison
                             Description (Rp billion)                                   2022                   2023
                                                                                                                                 with Last Year
  PT Bank Pembangunan Daerah Jawa Barat dan Banten                                             -                 150                    150

  PT Bank China Construction Bank Indonesia Tbk                                            212                    132                  (80)

  PT Bank UOB Indonesia                                                                   400                    100                 (300)

  PT Bank Shinhan Indonesia                                                                166                   100                   (66)

  PT Bank Permata Tbk                                                                      135                     35                 (100)

  PT Gaya Makmur Tractors                                                                   53                     35                  (18)

  PT Bank Permata Syariah Tbk                                                               35                     10                  (25)

  PT Bank Victoria International Tbk                                                      100                         -               (100)

  Total Borrowings (Rupiah)                                                             8,897                  6,476                (2,421)

  Total Borrowings                                                                     10,247                  8,666                (1,581)



 Joint Financing                                   as a service provider, which was                     The BFI Finance Joint Financing
                                                   responsible, among other things,                     agreement as at the end
 The Company signed a Joint
                                                   for withdrawing and receiving                        of 2023 reached Rp494 billion,
 Financing Agreement with
                                                   payments from customers and                          having increased by Rp391 billion,
 PT Bank Jago Tbk in 2023.
                                                   forwarding payments to the                           or almost four times from
 The Company’s portion in
                                                   lending bank, as well as being                       Rp103 billion recorded
 Co-Financing was 10%. In this Joint
                                                   the custodian of asset documents                     at the end of 2022.
 Financing, the Company acted
                                                   that are used as collateral.


 Table 51 • Joint Financing


                                                                                                                 Comparison with Last Year
                                                                                        BFI Finance's
       Description (Rp billion)               2022                     2023
                                                                                          Portion
                                                                                                                  Total            Percentage
  PT Bank Jago Tbk                             103                      494                 10%                    391               379.6%

  Total                                        103                      494                                        391              379.6%



 Taxes Payable                                     Securities Issued                                    BFI Finance Indonesia Tahap III,
                                                                                                        IV, and V Tahun 2023, with a total
 Tax Payable as at 31 December                     Aside from bank loans,
                                                                                                        acquisition value Rp3,800 billion.
 2023 reached Rp200 billion, 24.0%                 BFI Finance also obtains funding
                                                                                                        BFI Finance also made payments
 below its value as at the end of                  from the debt securities market
                                                                                                        on bonds that had matured
 2022 at Rp263 billion. This was                   in the form of Rupiah Bonds. As
                                                                                                        in 2023.
 the result of a decrease in the                   at 31 December 2023, Securities
 Estimated Corporate Income                        Issued – Net had reached
 Tax (Article 29) Payable for                      Rp4,721 billion, an increase of
 the Current Year, amounting to                    Rp3,140 billion or 198.6% from
 Rp46 billion. This correlates with                the position at the end of 2022.
 the amount of Profit Before Tax                   This increase came from the
 in 2023, which decreased by 9.6%                  issuance of new bonds, namely
 compared to the amount in 2022.                   Obligasi Berkelanjutan V




144                                                                               PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 147
        MANAGEMENT DISCUSSION           GOOD CORPORATE                                                ANNUAL FINANCIAL
                                                                   SUSTAINABILITY   SUPPORTING DATA                           APPENDICES
        AND ANALYSIS                    GOVERNANCE                                                    STATEMENTS




   Table 52 • Securities Issued


                                        Description (Rp billion)                                      2022                 2023
    Bonds

    Obligasi Berkelanjutan IV BFI Finance Indonesia Tahap III Tahun 2020                                395                       -

    Obligasi Berkelanjutan V BFI Finance Indonesia Tahap I Tahun 2021                                  400                  400

    Obligasi Berkelanjutan V BFI Finance Indonesia Tahap II Tahun 2021                                 790                   530

    Obligasi Berkelanjutan V BFI Finance Indonesia Tahap III Tahun 2023                                       -             1,100

    Obligasi Berkelanjutan V BFI Finance Indonesia Tahap IV Tahun 2023                                        -            1,600

    Obligasi Berkelanjutan V BFI Finance Indonesia Tahap V Tahun 2023                                         -             1,100

    Total Nominal Value                                                                               1,585                4,730

    Less Unamortized Bonds Issuance Cost                                                                   4                      9

    Total - Net                                                                                       1,581                4,721

    Total Securities Issued                                                                           1,581                4,721



   Accrued Expenses
   Accrued Expenses are expenses consisting of Bonuses and Other Allowances, Interest, Professional Services,
   and Others. As at 31 December 2023, the value of Accrued Expenses decreased by 32.5% from Rp480 billion
   in the previous year to Rp324 billion. The main cause of this decrease was the repayment of accrued expenses
   in the current year, and a decrease in expenses to be paid at the end of 2023.


   Table 53 • Accrued Expenses


                                                                                                      Comparison with Last Year
                  Description (Rp billion)                           2022            2023
                                                                                                      Total              Percentage
    Bonus and Other Allowances                                        259              199            (60)                -23.2%

    Interest                                                           48               75              27                 56.3%

    Professional Fees                                                  130                8           (122)               -93.8%

    Others                                                              43              42               (1)               -2.3%

    Total                                                            480              324             (156)               -32.5%



   Other Payables – Third Parties
   Other Payables mainly consisted of Customer Deposits, Payables to Suppliers, Insurance Premium, and
   Others. Total Other Payables as at 31 December 2023 was Rp438 billion, 10.8% lower than the position
   one year earlier, due to a decrease in all its components.


   Table 54 • Other Payables – Third Parties


                                                                                                      Comparison with Last Year
                  Description (Rp billion)                           2022            2023
                                                                                                      Total              Percentage
    Customer Deposits                                                 279              259            (20)                 -7.2%

    Payables to Suppliers                                               85               81             (4)                -4.7%

    Insurance Premium                                                   59              45             (14)               -23.7%

    Others                                                              68              53             (15)               -22.1%

    Total                                                             491             438             (53)                -10.8%



2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                          145
Page 148
                              2023 PERFORMANCE                                                         BUSINESS
 ABOUT THIS REPORT                                REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                              HIGHLIGHTS                                                               SUPPORTING UNITS




 Post-Employment Benefit                         until retirement, or sooner,                    year to Rp143 billion, due to an
 Liabilities                                     in accordance with applicable                   adjustment to the Press Release
                                                 labor regulations. The Company’s                of the Financial Accounting
 Post-Employment Benefit                         Post-Employment Benefits                        Standards Board (DSAK) of
 Liabilities are the Company’s                   Liabilities as at 31 December 2023              the Institute of Indonesian
 obligation to fulfill the rights of             showed an increase of 27.7%                     Chartered Accountants (IAI).
 employees who have worked                       from Rp112 billion in the previous



 Table 55 • Post-Employment Benefit Liabilities


                                                                                                        Comparison with Last Year
                     Description (Rp billion)                  2022               2023
                                                                                                        Total             Percentage
  Beginning Balance                                             116                112                   (4)                -3.4%

  Contributon Plan of the Company                                (6)               (6)                      -                0.0%

  Benefits Paid by the Company                                  (15)              (14)                      1               -6.7%

  Expense Recognized in Profit Loss                              37                 41                     4                10.8%

  Expense Recognized in Other
                                                                  7                 10                     3               42.9%
  Comprehensive Income

  Impact of DSAK IAI Press Release's
                                                               (27)                   -                   27              -100.0%
  Adjustments

  Total                                                         112                143                    31               27.7%



 Equity

 Table 56 • Total Equity


                                                                                                        Comparison with Last Year
                     Description (Rp billion)                  2022               2023
                                                                                                        Total             Percentage
  Share Capital                                                399                399                       -                0.0%

  Additional Paid-in Capital - Net                              610                610                      -                0.0%

  Treasury Stock                                              (233)              (233)                      -                0.0%

  Other Comprehensive Income

      Cumulative (Losses) Gain on Derivative
                                                                (10)                  1                    11             -110.0%
      Instrument for Cash Flows Hedges - Net

      Gain on Remeasurement of Defined
                                                                 73                 65                   (8)                -11.0%
      Benefit Actuarial Program

  Retained Earnings

      Appropriated                                               115               120                     5                 4.3%

      Unappropriated                                         7,802              8,538                   736                  9.4%

  Total                                                      8,756              9,500                   744                 8.5%




146                                                                         PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 149
         MANAGEMENT DISCUSSION             GOOD CORPORATE                                                     ANNUAL FINANCIAL
                                                                     SUSTAINABILITY        SUPPORTING DATA                                APPENDICES
         AND ANALYSIS                      GOVERNANCE                                                         STATEMENTS




   BFI Finance’s Total Equity as at 31 December 2023 increased by Rp744 billion or 8.5%, from Rp8,756 billion
   as at the end of 2022 to Rp9,500 billion. The increase in Equity largely came from an increase in the value of
   Unappropriated Retained Earnings, from Rp7,802 billion at the end of 2022 to Rp8,538 billion at the end of 2023.

   Additional Paid-in Capital – Net
   During the period 31 December 2022 to 31 December 2023, Additional Paid-in Capital – Net has yet to change
   at Rp610 billion.

   Treasury Stock
   During the period 31 December 2022 to 31 December 2023, the amount of Treasury Stock was unchanged
   at Rp233 billion.


   Table 57 • Treasury Stock


                      Description                                    Number of Shares                              Percentage
    Treasury Stock                                                          927,732,000                                          5.81%



   Table 58 • Share Ownership of Members of the BOC and the BOD


                                                                                         2022                               2023
                Name                             Position
                                                                          Total Shares          % Shares     Total Shares          % Shares
    Francis Lay Sioe Ho               President Director                 386,771,480             2.42        344,108,180                 2.16

    Sudjono                           Director                             26,310,800             0.16        26,310,800             0.16

    Sutadi                            Director                              17,517,000            0.11         17,517,000                0.11

    Andrew Adiwijanto                 Director                            10,240,000             0.06         10,240.000             0.06

    Sigit Hendra Gunawan*             Director                            10,000,000             0.06                       -               -

    Total                                                                450,839,280             2.81        398,175,980             2.49
   * No longer serving as Director effective from the 16 May 2023 EGMS




   Retained Earnings
   The Company’s total Retained Earnings as at the end of 2023 reached Rp8,658 billion, or 9.4% of the position
   as at the end of 2022 at Rp7,917 billion.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                     147
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                              2023 PERFORMANCE                                                     BUSINESS
 ABOUT THIS REPORT                               REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                              HIGHLIGHTS                                                           SUPPORTING UNITS




 Consolidated Statement of Profit or Loss and Other Comprehensive Income

 Income
 The Company’s Income was derived from Financing Income (93.4% of the total), Sharia Income (1.7%),
 and Other Income (4.9%).

 Total Income increased by 18.0% from Rp5,383 billion in 2022 to Rp6,353 billion in 2023. This increase mainly
 came from Financing Receivables Income of Rp881 billion.

 Table 59 • Income


                                                                                                     Comparison with Last Year
                     Description (Rp billion)                 2022               2023
                                                                                                     Total            Percentage
  Income

  Own & Joint Financing                                        5,119             6,065                946                18.5%

  Other Income                                                  266                 311                 45               16.9%

  Total                                                       5,385              6,376                 991               18.4%

  Less Joint Financing                                           (2)               (23)                (21)           1,050.0%

  Total Income                                                5,383              6,353                970                18.0%

  Income (Own Financing)

  Financing Receivables

       Financing Income                                       3,670              4,442                772                21.0%

       Administration                                           764                839                  75               9.8%

       Late Charges                                             329                353                  24                7.3%

       Termination                                              289                299                  10                3.5%

  Total Financing Receivables Income                          5,052              5,933                881               17.4%

  Sharia Financing                                                65               109                 44               67.7%

  Total Financing Income                                       5,117             6,042                925                18.1%

  Other Income                                                  266                 311                 45               16.9%

  Total Income                                                5,383              6,353                970               18.0%



 Financing Income
 Financing Income (excluding Joint Financing) during 2023 was recorded at Rp6,042 billion, an increase of
 18.1% from Rp5,117 billion during 2022. Financing Income was derived from Interest Income from Financing
 Activities, Administration Income, Late Charges, and Termination Income.

 The largest component was Financing Income, whose value reached Rp4,442 billion, an increase of 21.0%
 in 2023 compared to 2022. Administration Income increased by 9.8% to Rp839 billion in 2023, while Late
 Charges and Termination Income also increased from their previous year's figures by 7.3% and 3.5%,
 respectively, to Rp353 billion and Rp299 billion.




148                                                                        PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 151
        MANAGEMENT DISCUSSION          GOOD CORPORATE                                       ANNUAL FINANCIAL
                                                         SUSTAINABILITY   SUPPORTING DATA                           APPENDICES
        AND ANALYSIS                   GOVERNANCE                                           STATEMENTS




   Table 60 • Financing Income by Asset Type


                                                                                            Comparison with Last Year
                 Description (Rp billion)                  2022            2023
                                                                                            Total              Percentage
    Breakdown by Asset Type

    Used Cars Financing                                    3,345            3,924             579                17.3%

    Motorcycles Financing                                      1,104         1,187             83                 7.5%

    Heavy Equipment Financing                                   356          479              123               34.6%

    Property Financing                                           112           181             69                61.6%

    New Cars Financing                                           79           133              54               68.4%

    Sharia Financing                                             65           109              44                67.7%

    Channeling                                                   58            52              (6)              -10.3%

    Total Financing Income
                                                               5,119       6,065             946                 18.5%
    (including Joint Financing)

    Percentage of Asset Type

    Used Cars Financing                                    65.3%           64.7%              n/a                -0.6%

    Motorcycles Financing                                  21.6%            19.5%             n/a                 -2.1%

    Heavy Equipment Financing                                  7.0%          7.9%             n/a                 0.9%

    Property Financing                                         2.2%         3.0%              n/a                 0.8%

    New Cars Financing                                         1.5%         2.2%              n/a                 0.7%

    Sharia Financing                                           1.3%          1.8%             n/a                 0.5%

    Channeling                                                  1.1%        0.9%              n/a                -0.2%

    Total                                                100.0%           100.0%


   Discussion of Financing Income was carried out based on Asset Type. In 2023, the largest contributor
   was Used Cars Financing, worth Rp3,924 billion with a portion of 64.7% of the total Financing Income.
   This amount increased by 17.3%, from Rp3,345 billion in 2022.

   The New Cars Financing segment recorded the highest percentage increase in Income at 68.4%,
   from Rp79 billion to Rp133 billion in 2023.

   Sharia Income increased by 67.7% due to a significant increase in Murabahah Margin in 2023.

   Other Income
   Other Income includes all non-core sources of income originating from the Company’s main activities
   outside of financing activities, namely Recovery on Write-Off Receivables, Finance, Gain on Sale of Fixed
   Assets – Net, and Others.

   Total Other Income increased by 16.9% from 2022 amounting to Rp266 billion to Rp311 billion in 2023,
   mainly due to Other Income – Finance, which increased by Rp60 billion or 260.9% in 2023.

   Table 61 • Other Income


                                                                                            Comparison with Last Year
                 Description (Rp billion)                  2022            2023
                                                                                            Total              Percentage
    Recovery on Written-off Receivables                    209               196            (13)                  -6.2%

    Finance                                                    23             83             60                 260.9%

    Gain on Sale of Fixed Assets - Net                         20              14            (6)                -30.0%

    Others                                                      14             18              4                 28.6%

    Total                                                  266                311            45                  16.9%


2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                149
Page 152
                              2023 PERFORMANCE                                                                   BUSINESS
 ABOUT THIS REPORT                                     REPORTS TO STAKEHOLDERS          COMPANY PROFILE
                              HIGHLIGHTS                                                                         SUPPORTING UNITS




 Expenses

 Table 62 • Expenses


                                                                                                                   Comparison with Last Year
                     Description (Rp billion)                       2022                   2023
                                                                                                                   Total               Percentage
  Salaries and Benefits                                              1,325                  1,457                     132                 10.0%

  Interest and Financing Charges                                       624                     951                   327                 52.4%

  General and Administrative                                           771                    871                    100                  13.0%

  Provision for Impairment Losses                                      367                    786                    419                 114.2%

  Others                                                                57                    263                    206                361.4%

  Total                                                              3,144                 4,328                   1,184                 37.7%

  Percentage of Expenses

  Salaries and Benefits                                              42.1%                 33.7%                      n/a                 -8.4%

  Interest and Financing Charges                                     19.8%                 22.0%                      n/a                  2.2%

  General and Administrative                                        24.5%                   20.1%                     n/a                 -4.4%

  Provision for Impairment Losses                                    11.7%                  18.1%                     n/a                  6.4%

  Others                                                              1.8%                   6.1%                     n/a                  4.3%

  Total                                                           100.0%                 100.0%


 Total Expenses were recorded at Rp4,328 billion in 2023, an increase of 37.7% from Rp3,144 billion in 2022.
 All Expenses components in 2023 experienced an increase from their respective values in 2022. The largest
 increase, namely Rp419 billion, occurred in the component Provision for Impairment Losses. Meanwhile,
 the largest component of Expenses in 2023 was Salaries and Benefits, which reached Rp1,457 billion and
 made up 33.7% of the total Expenses.


 Salaries and Benefits
 Salaries and Benefits consist of all salaries and benefits paid throughout the year, including all types of
 employee benefits such as performance bonuses, employee benefits and pension compensation that have
 been determined in accordance with applicable accounting standards.

 The value of Salaries and Benefits increased by 10.0% of its value in 2022. This increase was consistent with
 the increase in the number of employees, from 10,111 employees in 2022 to 11,207 employees in 2023, or 10.8%.


 Table 63 • Salaries and Benefits Expenses


                                                                                                                   Comparison with Last Year
                     Description (Rp billion)                       2022                   2023
                                                                                                                   Total               Percentage
  Salaries and Employee Benefits                                     1,277                   1,416                    139                 10.9%

  Post-Employment Benefits*                                              10                     41                     31               310.0%

  Others                                                                38                        -                  (38)                    n/a

  Total                                                              1,325                  1,457                     132                10.0%

 * There was an adjustment to post-employment benefits due to the implementation of the Job Creation Law No. 11/2020 and its derivative regulation, that
  is Government Regulation No. 35/2021




150                                                                                 PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 153
        MANAGEMENT DISCUSSION          GOOD CORPORATE                                       ANNUAL FINANCIAL
                                                         SUSTAINABILITY   SUPPORTING DATA                           APPENDICES
        AND ANALYSIS                   GOVERNANCE                                           STATEMENTS




   Interest and Financing Charges
   Interest and Financing Charges originated from the Company’s funding activities, both through bank loans
   and securities issued, as well as related costs and expenses.

   Interest and Financing Charges in 2023 rose significantly by Rp327 billion or 52.4% of the value in 2022.
   The increase in Interest Charges was in line with total Borrowings in 2023, which reached Rp13,387 billion, or 13.2%
   higher than Rp11 ,828 billion in 2022. Average Cost of Funds did not change from 2022 to 2023, which was at 7.0%.


   Table 64 • Borrowings, Interest and Financing Charges, and Cost of Funds


                                                                                            Comparison with Last Year
                 Description (Rp billion)                  2022            2023
                                                                                            Total              Percentage
    Fund Borrowings - Third Parties                        10,247          8,666            (1.581)             -15.4%

    Securities Issued - Net                                    1,581        4,721           3.140               198.6%

    Total Borrowings                                       11,828         13,387            1.559                13.2%

    Interest and Financing Charges                              624           951             327                52.4%

    Average Cost of Funds                                      7.0%         7.0%              n/a                0.0%



   General and Administrative Expenses
   General and Administrative Expenses consist of expenses paid to support the Company’s operational
   activities and business growth. There was an increase of Rp100 billion in General and Administrative Expenses
   in 2023, which was mainly due to Installment Collection Expense, which increased by 85.2% or Rp69 billion.
   A significant increase also occurred in Repairs and Maintenance Expense, amounting to 39.3% or Rp35 billion.
   Meanwhile, Professional Fees, which in 2022 was the largest component of General and Administrative
   Expenses, showed a decrease of 70.9% or Rp105 billion in 2023.


   Table 65 • General and Administrative Expenses


                                                                                            Comparison with Last Year
                 Description (Rp billion)                  2022            2023
                                                                                            Total              Percentage
    Installment Collection Expense                              81          150                69               85.2%

    Repairs and Maintenance                                    89           124                35                39.3%

    Depreciation of Fixed Assets                               100           117               17                17.0%

    Marketing                                                  79            99                20                25.3%

    Amortization of Intangible Assets                          22            54                32               145.5%

    Travel and Transportation                                  34             51               17               50.0%

    Professional Fees                                          148           43             (105)               -70.9%

    Training and Education                                     23            27                 4                17.4%

    Communications                                             25            26                  1                4.0%

    Depreciation of Right-of-Use Assets                        22            23                  1                4.5%

    Insurance                                                   17           22                 5                29.4%

    Courier, Postage and Stamp Duty                             18           22                 4                22.2%

    Outsourced Service Expenses                                 16            17                 1                6.3%

    Electricity and Water                                       16            17                 1                6.3%




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                151
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                              2023 PERFORMANCE                                                     BUSINESS
 ABOUT THIS REPORT                               REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                              HIGHLIGHTS                                                           SUPPORTING UNITS




 Table 65 • General and Administrative Expenses


                                                                                                     Comparison with Last Year
                     Description (Rp billion)                 2022               2023
                                                                                                     Total            Percentage
  Office Expense                                                17                 16                  (1)               -5.9%

  Membership and Subscription                                    9                 14                   5               55.6%

  Bank Administration Charges                                    3                  3                    -               0.0%

  Rental                                                         2                  2                    -               0.0%

  CSR Program                                                    3                  2                  (1)              -33.3%

  Legalized Document and Photocopy                               2                   1                 (1)             -50.0%

  Others                                                        45                 41                  (4)              -8.9%

  Total                                                        771                871                100                13.0%



 Provision for Impairment Losses
 Provision for Impairment Losses is the value set aside based on an evaluation of the value of the Company’s
 Financing Receivables, both individually and collectively, which is calculated on a monthly basis to ensure the
 adequacy of Allowance for Impairment Losses in Receivables stated in the Statement of Financial Position,
 which represents fair value according to the standard applicable accounting standards (IFRS 9/SFAS 71).

 Provision for Impairment Losses in 2023 increased by 114.2% from Rp367 billion in 2022 to Rp786 billion.
 This increase was partly due to the impact of rising amounts of bad debts following the cyberattack,
 owing to the temporary halting of the Company’s operational system. This hampered the effectiveness
 of the collection team in carrying out their duties, and in turn caused the increase in bad debts
 and uncollectible receivables.


 Table 66 • Provision for Impairment Losses


                                                                                                     Comparison with Last Year
                     Description (Rp billion)                 2022               2023
                                                                                                     Total            Persentase
  Provision for Impairment Losses -
                                                              367                785                 418                113.9%
  Financing Receivables

  Provision for Impairment Losses - Ijarah
                                                                  -                  1                  1                        -
  and IMBT Receivables

  Total                                                       367                786                 419               114.2%



 Other Expenses
 Other Expenses consist of expenses that are not routine in nature or directly support the Company’s
 operational activities and business growth.

 Other Expenses in 2023 were mainly in the form of Written-off Receivables in the Settlement Process.
 The amount reached 87.1% of total Other Expenses, which reached Rp263 billion, an increase of more than
 3.5 times the value in 2022. The cause is the high level of settlement of receivables through the asset transfer
 mechanism, in which there was a decrease in the sales value of transferred assets compared to the book
 value from the settlement process.




152                                                                        PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 155
          MANAGEMENT DISCUSSION           GOOD CORPORATE                                                 ANNUAL FINANCIAL
                                                                  SUSTAINABILITY    SUPPORTING DATA                              APPENDICES
          AND ANALYSIS                    GOVERNANCE                                                     STATEMENTS




   Table 67 • Other Expenses


                                                                                                         Comparison with Last Year
                    Description (Rp billion)                        2022             2023
                                                                                                         Total              Percentage
       Written-off Receivables in the Settlement
                                                                      65              229                 164                252.3%
       Process

       (Recovery) Provision for Impairment Losses
                                                                      (8)              34                 42                -525.0%
       of Receivables in the Settlement Process

       Total                                                          57              263                206                 361.4%



   Profit for the Year
   In 2023, the Company paid Income Tax Expense of Rp381 billion, or Rp51 billion lower than in 2022. This
   correlated with the amount of Profit Before Tax in 2023, at Rp2,025 billion or 9.6% below the achievement in
   2022. Income Tax Expense Ratio was 18.8% of total Profit Before Tax in 2023, while the corresponding ratio
   in 2022 was 19.3%. As a result, Profit for the Year in 2023 was recorded at Rp1,644 billion, or 9.0% lower than
   Rp1,807 billion in 2022.


   Table 68 • Profit for the Year


                                                                                                         Comparison with Last Year
                    Description (Rp billion)                        2022             2023
                                                                                                         Total              Percentage
       Profit Before Tax                                            2,239             2,025               (214)               -9.6%

       Income Tax Expense                                             432               381                (51)               -11.8%

       Profit for the Year                                          1,807            1,644                (163)               -9.0%

       Income Tax Expense Ratio                                     19.3%            18.8%                 n/a                -0.5%



   The income tax rate for                          •      Both of these conditions               adjustments to posts that had
   the Company in 2022 and 2023                            must be fulfilled for at least         no effect on net profit, but had
   was 19%, lower than the standard                        six months (183 days) in one           an impact on the Company’s
   rate of 22%, since the Company                          tax year.                              equity value.
   met the following criteria:
                                                    Comprehensive Income for                      Thus, Total Comprehensive
   •     At least 40% of the shares                                                               Income for the Year in 2023
                                                    the Year
         issued are owned by                                                                      reached Rp1,646 billion, or 9.6%
         the public;                                The total of Other Comprehensive              lower than Rp1,821 billion
   •     The public must consist of                 Income for the Year – Net of                  recorded in 2022.
         a minimum of 300 individuals,              Tax in 2023 reached Rp2 billion,
         each holding less than 5%                  compared to Rp14 billion
         of the issued shares; and                  in 2022. This was derived from


   Table 69 • Comprehensive Income for the Year


                                                                                                         Comparison with Last Year
                    Description (Rp billion)                        2022             2023
                                                                                                         Total              Percentage
       Profit for the Year                                          1,807             1,644               (163)               -9.0%

       Other Comprehensive Income for the Year
                                                                        14                  2              (12)              -85.7%
       - Net of Tax

       Total Comprehensive Income for the Year                       1,821           1,646                (175)               -9.6%




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                             153
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                              2023 PERFORMANCE                                                         BUSINESS
 ABOUT THIS REPORT                                REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                              HIGHLIGHTS                                                               SUPPORTING UNITS




 Basic Earnings per Share
 Consistent with the decline in Profit for the Year of 9.0% in 2023, BFI Finance recorded Basic Earnings
 per Share of Rp109 per share, or 9.9% lower than Rp121 in 2022.


 Table 70 • Basic Earnings per Share


                                                                                                         Comparison with Last Year
                     Description (Rp billion)                  2022               2023
                                                                                                         Total            Percentage
  Profit for the Year                                          1,807              1,644                  (163)              -9.0%

  Basic Earnings per Share (full amount)                          121               109                    (12)              -9.9%




 Consolidated Statement of Cash Flows
 BFI Finance’s Cash Flows are classified into Operating, Investing and Funding Activities, as follows:

 Table 71 • Statement of Cash Flows


                                                                                                         Comparison with Last Year
                     Description (Rp billion)                  2022               2023
                                                                                                         Total            Percentage
  Cash and Cash Equivalents
                                                                 969               1,073                   104               10.7%
  at Beginning of Year

  Net Cash Flows (for)
                                                              (3,522)               277                 3,799             -107.9%
  from Operating Activities

  Net Cash Flows for Investing Activities                      (238)               (335)                  (97)              40.8%

  Net Cash Flows from Financing Activities                     3,864                725                 (3,139)             -81.2%

  Net Increase in Cash and Cash Equivalents                      104                667                   563              541.3%

  Cash and Cash Equivalents at End of Year                      1,073             1,740                   667               62.2%



 The Company’s Cash and                          at Rp3,522 billion. The biggest                 increase of Rp97 billion from
 Cash Equivalents experienced                    contributor to this change in cash              the value in 2022. This was due
 a significant increase of                       flow came from an increase in                   to the increase in Acquisition
 Rp667 billion during 2023.                      Cash Received from Financing                    of Intangible Assets in 2023,
 These changes are                               Transactions in 2023 compared                   namely software.
 explained below.                                to 2022, however there were
                                                                                                 Cash Flows from
                                                 lower Cash Disbursements for
 Cash Flows from                                                                                 Financing Activities
                                                 New Financing Transactions in
 Operating Activities                            the same period.                                Cash Flows from Financing
 Cash Flows from Operating                                                                       Activities refer to financing
                                                 Cash Flows from
 Activities represent cash                                                                       transactions, including new
                                                 Investing Activities
 movements used to fund the                                                                      funding, debt repayment, and
 Company’s business activities,                  Cash Flows from Investing                       interest payments on sources
 especially the disbursement                     Activities originate from                       of funds. Net Cash Flows from
 of new financing. Net Cash                      gains and losses related                        Financing Activities reached
 Flows from Operating Activities                 to investing activities and                     Rp725 billion in 2023, lower than
 in 2023 was recorded at                         capital expenditures. Net                       the value in 2022, which reached
 Rp277 billion. Meanwhile, in 2022,              Cash Flows for Investing                        Rp3,864 billion. This was due to the
 the Company recorded Net Cash                   Activities in 2023, amounting                   Loan Repayment value was higher
 Flows for Operating Activities                  to Rp335 billion, it showed an                  compared to new Loans Received
                                                                                                 in 2023 in comparison to 2022.




154                                                                         PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 157
           MANAGEMENT DISCUSSION              GOOD CORPORATE                                                      ANNUAL FINANCIAL
                                                                        SUSTAINABILITY          SUPPORTING DATA                              APPENDICES
           AND ANALYSIS                       GOVERNANCE                                                          STATEMENTS




   ANALYSIS OF KEY RATIOS

   Profitability
   BFI Finance recorded a respectable level of profitability during 2023, although below the results achieved
   in 2022, where the Company achieved the highest level of profitability in the Company’s 40-year history.
   The total net profit of Rp1,644 billion achieved in 2023 was the second highest net profit in BFI Finance’s
   history.

   Average Return on Assets (ROAA) in 2023 was recorded at 8.4%, decreased by 3.8% from 12.2% in 2022,
   although still higher than the average for the financing industry in Indonesia, which is 5.6%.

   Average Return on Equity (ROAE) also contracted, from 21.9% to 17.7% in the same period. As with ROAA,
   the Company’s ROAE was also higher than financing industry in Indonesia.


   Table 72 • ROAA and ROAE


                                            Rasio                                                 2022            2023               Industry Average*
       ROAA                                                                                       12.2%           8.4%                      5.6%

       ROAE                                                                                       21.9%           17.7%                    15.0%

       Profit for the Year / Total Income                                                         33.6%           25.9%                    18.7%
   *    Source: Data of Statistics of Indonesian Financing Institutions as of 31 December 2023 issued by OJK




   Debt Repayment Ability
   The Company’s ability to pay debts is measured by the following criteria:
   •     Asset Solvency Ratio to measure the amount of Assets financed using Liabilities;
   •     Liquidity Ratio to measure the ability to meet Current Liabilities using Current Assets;
   •     Gearing Ratio to measure Debt-to-Equity Ratio; and
   •     Rating results by accredited credit rating agencies.

   Despite encountering a slowdown in business performance in 2023, the Company recorded solvency ratios
   whose values at the end of 2023 did not change from the end of 2022. In addition, in 2023 the Company’s
   credit rating increased from ‘A+(idn)’ to ‘AA-(idn)’.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                         155
Page 158
                             2023 PERFORMANCE                                                                      BUSINESS
 ABOUT THIS REPORT                                      REPORTS TO STAKEHOLDERS           COMPANY PROFILE
                             HIGHLIGHTS                                                                            SUPPORTING UNITS




 Table 73 • Debt Repayment Ability Ratio


                                       Ratios                                               2022                   2023               Industry Average*
  Solvency

  Liabilities-to-Assets Ratio                                                                 0.6x                   0.6x                     0.7x

  Liabilities-to-Equity Ratio                                                                  1.5x                  1.5x                     2.5x

  Gearing Ratio                                                                                1.4x                  1.4x                     2.3x

  Corporate Credit Ratings                                                                A+(idn)               AA-(idn)                         -

 * Source: Data of Statistics of Indonesian Financing Institutions as of 31 December 2023 issued by OJK




 Receivables Collectibility Level (Asset Quality)
 Table 74 • Receivables Collectibility Level (Asset Quality)


                                                                           Amount of Receivables
                                                                                                                             Percentage
                                                                               (Rp billion)
               Description                      Days Past Due
                                                                         2022                  2023                  2022                   2023
  1 - Current                                    0 - 10 days              18,272                19,087               89.14%                 86.71%

  2a - Special Mention                          11 - 60 days               1,895                 2,448                9.25%                   11.12%

  2b - Special Mention                          61 - 90 days                  126                     177             0.61%                  0.81%

  3a - Non-current                              91 - 120 days                 67                      88              0.33%                  0.40%

  3b - Non-current                              121 - 150 days                47                      80              0.23%                  0.36%

  4 - Doubtful                               151 - 180 days                    39                     72              0.19%                  0.33%

  5 - Bad                                        > 180 days                    52                     60              0.25%                  0.27%

  Total                                                                 20,498                  22,012             100.00%                100.00%

  Non-NPF                                       0 - 90 days              20,293                  21,712             99.00%                 98.64%

  NPF                                            > 90 days                   205                   300                1.00%                  1.36%




 Receivables Collectibility is                        as at the end of 2023 reached                         the end of 2022, but still lower
 classified based on the number of                    86.7%, while the number of                            than the financing industry
 days due.                                            Receivables categorized as "Loss"                     average in Indonesia of 2.44%.
                                                      was only less than 0.3% of Total                      Meanwhile, net NPF was
 The Company’s Collectibility
                                                      Receivables.                                          successfully reduced from 0.38%
 Ratio in 2023 experienced a
                                                                                                            at the end of 2022 to 0.15% at the
 weakening compared to the end                        At the end of 2023, gross NPF
                                                                                                            end of 2023. This achievement
 of 2022. The proportion of Current                   at BFI Finance was recorded
                                                                                                            was far better than the NPF
 Receivables to Total Receivables                     at 1.36%, higher than 1.00% at
                                                                                                            provisions set by the OJK, i.e., less
                                                                                                            than or equal to 5%.




156                                                                                   PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 159
         MANAGEMENT DISCUSSION             GOOD CORPORATE                                                       ANNUAL FINANCIAL
                                                                     SUSTAINABILITY          SUPPORTING DATA                               APPENDICES
         AND ANALYSIS                      GOVERNANCE                                                           STATEMENTS




   Other Relevant Financial Ratios
   BFI Finance continuously complies with all applicable Bank Indonesia and OJK regulations, including those
   related to financial ratios.

   Overall, based on the financial ratios shown in Table 75, the Company’s financial position was relatively stable
   during 2023. All of these ratios were better than the industry average and the thresholds set by the OJK.


   Table 75 • Other Relevant Financial Ratios


                             Ratios                               OJK Requirement                2022           2023               Industry Average*
    Financing-to-Assets Ratio (FAR)                                     ≥ 40%                     89.2%           86.5%                  85.2%

    Financing-to-Debt Ratio                                            ≥ 50%**                   165.4%           155.1%                131.3%

    Investment and Working Capital
                                                                         ≥ 10%                    76.9%           78.6%                  42.5%
    Financing to Total Financing Ratio

    Non-Performing Financing Ratio - Gross                                ≤ 5%                    1.00%           1.36%                 2.44%

    Non-Performing Financing Ratio - Net                                  ≤ 5%                    0.38%           0.15%                 0.64%

    Capital Ratio                                                        ≥ 10%                    62.6%           65.0%                     n/a

    Gearing Ratio                                                         ≤ 10x                      1.4x           1.4x                   2.3x

    Equity-to-Paid-up-Capital Ratio                                     ≥ 50%                  2,193.5%        2,379.8%                 315.0%

   * Source: Data of Statistics of Indonesian Financing Institutions as of 31 December 2023 issued by OJK
   ** The target set by management is in accordance with POJK No. 35/POJK.05/2018




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                      157
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                            2023 PERFORMANCE                                                              BUSINESS
 ABOUT THIS REPORT                                   REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                            HIGHLIGHTS                                                                    SUPPORTING UNITS




 COMPARISON OF ACHIEVEMENTS
 AGAINST TARGETS IN 2023

 BFI Finance posted lower                          and return business growth to                    investment in this case was
 performance in 2023 compared                      levels close to pre-attack. The                  carried out to ensure success
 to the target set at the beginning                decline in business was largely                  and sustainable growth in the
 of the year. The main cause                       contributed by the performance                   future. This was also a factor
 was the cyberattack incident                      in the second and third quarters                 causing a temporary decline
 experienced in May 2023, which                    where the Company was                            in the performance of New
 had an impact on disrupting                       in the recovery period after                     Financing distribution in 2023.
 the Company’s operations                          the cyberattack.
                                                                                                    The Company’s achievements in
 and increasing bad debts,
                                                   Furthermore, to pursue                           various aspects of performance
 forcing management to adjust
                                                   sustainable growth, BFI Finance                  are presented in full in Table 76.
 credit policies while restoring
                                                   has taken innovative steps                       In several aspects, such as NPF
 the Company’s operations and
                                                   since 2020 by improving its                      and gearing ratio, the Company
 stabilizing the quality of its
                                                   working methods and operational                  made positive achievements
 deteriorating assets.
                                                   model. This step is part of a                    and was able to meet, if not
 The quick response given by the                   long-term strategy to increase                   exceed, the targets that had been
 Company’s management had a                        competitiveness and business                     set. This proves the Company’s
 sustainable positive impact on                    growth. However, the process                     discipline in managing the quality
 the Company’s performance.                        of adapting to this new way of                   of its financing portfolio and in
 In the fourth quarter of 2023,                    working and operational model                    seeking funding. In several other
 the Company was able to                           requires time and focused                        aspects, especially profitability,
 restore its overall operations                    effort. BFI Finance’s strategic                  the Company’s target for 2023
                                                                                                    was not achieved.



 Table 76 • Comparison of Achievements Against Targets


                                        Description (Rp billion)                                           Target            Realization
     New Financing Growth                                                                                    10%               -5.0%

     Net Receivables Growth                                                                                  10%                 6.1%

     Asset Growth                                                                                           20%                 9.4%

     Revenue Growth                                                                                         20%                18.0%

     Net Profit                                                                                              15%               -9.0%

     NPF                                                                                                  < 2.0%                1.36%

     Debt-to-Equity Ratio                                                                                  < 2.0x                 1.4x

     Dividend Payout Ratio                                                                              Up to 50%                    *

 *    Pending 2024 GMS resolution




158                                                                            PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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          MANAGEMENT DISCUSSION          GOOD CORPORATE                                          ANNUAL FINANCIAL
                                                          SUSTAINABILITY      SUPPORTING DATA                             APPENDICES
          AND ANALYSIS                   GOVERNANCE                                              STATEMENTS




   CAPITAL STRUCTURE (CAPITAL ADEQUACY)

   Management Policy on Capital Structure
   The Company’s articles of association stipulate that the Company’s Authorized Capital is Rp500 billion,
   consisting of 20 billion shares with a nominal value of Rp25 per share. Of the Authorized Capital,
   15,967,115,620 shares have been issued and fully paid up. A total of 1,002,732,000 shares have been bought
   back by the Company as at 31 December 2023.
   For capital management, the Company refers to POJK 35, which requires:
   •     A minimum capital of Rp100 billion;
   •     Minimum equity of 50% of the total Paid-in Capital; and
   •     Gearing Ratio (Ratio of Total Financing to Equity minus Subordinated Loans with Investment) of
         a maximum of 10 times, both for domestic and international financing.


   Table 77 • Capital Structure


                                                                                                    Company Realization
                       Description (Rp billion)                      POJK Requirement
                                                                                                 2022                2023
       Equity                                                  Minimum Rp100 billion              8,756               9,500

       Ratio of Total Equity to Paid-up Capital                Minimum 50%                      2,193.5%            2,379.8%

       Financing-to-Equity Ratio                               Maximum 10x                           1.4x                 1.4x




   MATERIAL INVESTMENT ON CAPITAL GOODS
   The Company’s Capital Expenditure in 2023 was focused on purchasing Vehicles and Office Equipment,
   following developments in the operational needs of its employees.

   For 2023, overall Capital Expenditures amounting to Rp362 billion, with 89.8% had been completed,
   and the remainder still in process. The source of funding for Capital Expenditures was derived from
   the Company funds.




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                          2023 PERFORMANCE                                                                 BUSINESS
 ABOUT THIS REPORT                                   REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                          HIGHLIGHTS                                                                       SUPPORTING UNITS




 Table 78 • Value of Capital Goods Investment


                                                                                      Value of Capital Goods Investment (Rp billion)
                      Type of Capital Goods Investment
                                                                                   Completed             In Progress             Total
     Building and Infrastructure                                                         3                     10                   13

     Office Equipment                                                                 202                      26                 228

     Vehicles                                                                          119                       -                 119

     Furniture and Fixtures                                                               1                      1                     2

     Total                                                                            325                      37                 362



 Material Commitments
 Throughout 2023, the Company did not make any material commitments other than those discussed in
 the previous sections.




 EVENTS AFTER THE REPORTING PERIOD
 The Company did not carry out any corporate actions in the period between 31 December 2023 up to
 the 2024 AGMS.




 DIVIDENDS
 The Company’s Dividend Policy is                •     Without prejudice to the                     •   The Company’s Board
 summarized as follows:                                right of the GMS to determine                    of Directors meeting on
 •     All issued and fully paid                       otherwise, the Company                           1 December 2023 decided to
       shares have the same                            intends to distribute Cash                       distribute an Interim Cash
       rights, including the right                     Dividends with a value of                        Dividend for the 2023 financial
       to Dividends, except for                        up to 50% of Net Income for                      year of Rp28 per share.
       repurchased shares                              the Year;                                        Dividend payments to
       (Treasury Shares);                        •     Dividends can be distributed                     shareholders was made on
                                                       all at once in a year, or more                   21 December 2023.
                                                       than once through Interim
                                                       Dividends; and


 Table 79 • Dividend Policy and Payment


                                      Description (Rp billion)                                             Target             Realization
     Net Income for the Year                                                                                2,078                1,644

     Cash Dividend                                                                                            956                 421*

     % Cash Dividend to Previous Year Net Income                                                           46.0%                       **

 * Interim dividend
 ** Pending 2024 GMS resolution




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        MANAGEMENT DISCUSSION       GOOD CORPORATE                                             ANNUAL FINANCIAL
                                                         SUSTAINABILITY   SUPPORTING DATA                         APPENDICES
        AND ANALYSIS                GOVERNANCE                                                 STATEMENTS




   USE OF PUBLIC OFFERING FUNDS
   In accordance with                         Berkelanjutan V BFI Finance               the Company reported the use
   POJK requirements                          Indonesia Tahap III, IV and V             of funds from the corporate
   No. 30/POJK.04/2015 on the                 2023, with total proceeds of              action. In accordance with the
   obligation to submit a Report              Rp3,800 billion. Details of the           guidance in the prospectus and
   on the Realization of the Use of           public offering are presented in          additional information published,
   Funds from a Public Offering,              the Company Profile chapter,              these funds were used entirely for
   the Company reports the use of             pages 98–99.                              working capital needs to carry out
   funds from each corporate action                                                     the Company’s main business.
                                              In accordance with the
   it performs.                                                                         There was no change in the use of
                                              requirements of POJK
                                                                                        funds from this general issuance.
   During 2023, the Company                   No. 30/POJK.04/2015 on
                                                                                        All uses had been reported to
   offered bonds denominated                  the obligation to submit a
                                                                                        the authorities.
   in rupiah, namely Obligasi                 Report on the Realization of Use
                                              of Funds from Public Offering,




   INVESTMENT, DIVESTMENT, MERGER
   & ACQUISITION, AND DEBT OR
   CAPITAL RESTRUCTURING
   The Company did not carry out any Material Investments, Divestments, Mergers & Acquisitions, or Debt
   or Capital Restructuring in 2023




   TRANSACTIONS WITH POTENTIAL CONFILICT OF
   INTEREST AND RELATED PARTIES
   In carrying out its business               in 2023, which was 1.5% of                All Transactions with Related
   activities, the Company and its            Total Expenses for that year.             Parties, except for Salaries
   subsidiaries carry out transactions        Meanwhile, the amount in 2022             and Employee Benefits
   with certain related parties.              reached Rp58 billion (1.8% of             paid to key management
                                              Total Expenses).                          personnel, were carried out
   Transactions with related parties
                                                                                        under the normal business
   consist of Salaries and Benefits
                                                                                        operations requirements.
   amounting to Rp66 billion




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                     2023 PERFORMANCE                                                         BUSINESS
 ABOUT THIS REPORT                       REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                     HIGHLIGHTS                                                               SUPPORTING UNITS




 IMPACT FROM REGULATORY CHANGES
 ON THE COMPANY

 In 2023, the RI Government issued      8. OJK Regulation No. 3/2023 on                 15. OJK Regulation No. 29/2023 on
 18 new regulations related to             Increasing Financial Literacy                    the Buyback of Shares Issued
 the implementation of business            and Inclusion in the Financial                   by Public Companies;
 activities and operations of              Services Sector for Consumers                16. OJK Circular No. 18/
 multifinance companies, namely:           and the Public;                                  SEOJK.03/2023 on Procedures
 1.   RI Government Law No. 4/2023      9. OJK Regulation No. 8/2023 on                     for Using the Services of
      on Development and                   Implementation of Programs                       Public Accountants and Public
      Strengthening of the Financial       of Anti-Money Laundering,                        Accounting Firms in Financial
      Sector;                              Prevention of Terrorism                          Services Activities;
 2. RI Government Law No. 6/2023           Financing, and Prevention of                 17. OJK Circular No. 19/
    on Stipulation of Government           Funding for the Proliferation of                 SEOJK.06/2023 on the
    Regulation in Lieu of Law              Weapons of Mass Destruction                      Implementation of
    No. 2/2022 on Job Creation to          in the Financial Services                        Information Technology-
    Become Law;                            Sector;                                          Based Shared Services; and
 3. RI Government Regulation            10. OJK Regulation No. 9/2023 on                18. OJK Circular No. 20/
    No. 5/2023 on Investigation of          the Use of Services of Public                   SEOJK.06/2023 on Application
    Criminal Acts in the Financial          Accountants and Public                          for Licensing, Approval, and
    Services Sector;                        Accounting Firms in Financial                   Electronic Reporting for
                                            Services Activities;                            Financing Companies and
 4. RI Government Regulation
    No. 10/2023 on Types and            11. OJK Regulation No. 13/2023                      Sharia Financing Companies.
    Tariffs for Non-Tax State               on Policies for Maintaining
                                                                                        The Company views that these
    Revenues Applicable to the              Capital Market Performance
                                                                                        regulatory changes have been
    Ministry of Home Affairs;               and Stability in Significantly
                                                                                        intended to bring about a
                                            Fluctuating Market
 5. RI Government Regulation                                                            positive, strengthening impact
                                            Conditions;
    No. 49/2023 on the Second                                                           on Indonesia’s financial services
    Amendment to Government             12. OJK Regulation No. 16/2023                  sector and especially the
    Regulation No. 44/2015 on               on Investigation of Criminal                financing industry. Accordingly,
    the Implementation of Work              Acts in the Financial Services              it has taken every measure
    Accident Insurance and Death            Sector (POJK on Investigation);             necessary to comply with
    Insurance Programs;                 13. OJK Regulation No. 18/2023 on               the requirements of these
 6. RI Government Regulation                Issuance and Requirements                   regulations.
    No. 51/2023 on Amendments               for Debt Securities and Sukuk
    to Government Regulation                Based on Sustainability;
    No. 36/2021 on Remuneration;        14. OJK Regulation No. 22/2023
 7. RI Minister of Finance                  on Consumer and Community
    Regulation No. 41/2023                  Protection in the Financial
    on Value Added Tax on                   Services Sector;
    the Delivery of Collateral Taken
    Over by Creditors to Collateral
    Buyers;




162                                                                PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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          MANAGEMENT DISCUSSION         GOOD CORPORATE                                                 ANNUAL FINANCIAL
                                                            SUSTAINABILITY       SUPPORTING DATA                               APPENDICES
          AND ANALYSIS                  GOVERNANCE                                                     STATEMENTS




   ACCOUNTING POLICY CHANGES

   Changes to Statements of Financial Accounting Standards (SFAS) and
   Interpretation of Financial Accounting Standards (ISAK) which Applied
   Effectively in the Current Period
   The implementation of changes to accounting standards, which are effective from 1 January 2023, and are
   relevant for the Company and its subsidiaries but do not have a significant impact on the accounting policies
   of the Company and its subsidiaries, are as follows:
   •     Amendment to SFAS 1: “Presentation of Financial Statements; Disclosure of Accounting Policies”;
   •     Amendment to SFAS 16: “Fixed Assets”;
   •     Amendment to SFAS 25: "Accounting Policies, Changes in Accounting Estimates, and Errors: Definition of
         Accounting Estimates";
   •     Amendment to SFAS 46: “Income Tax”; and
   •     Revision of SFAS 107: “Ijarah Accounting”.

   These new accounting standards have been implemented to the financial statements since 1 January 2023.
   A summary of the changes and their impact on the Company’s financial condition is presented in Table 80.



   Table 80 • Changes of SFAS that Affect the Company


                                                                                                                            Impact on
        Accounting Standards                Summary of Changes                        Reasons for Changes
                                                                                                                          the Company
       Amendment to SFAS          The amended SFAS 1                         This amendment clarifies that     Has been
       1: "Presentation of        required entities to disclose              immaterial accounting policies do adjusted
       Financial Statements:      material accounting policies,              not need to be disclosed, and if
       Disclosure of              not significant accounting policies.       they are disclosed, they should
       Accounting Policies"       The amendments define what                 not obscure material accounting
                                  is ‘material accounting policy             information.
                                  information’ and explain how to
                                  identify when accounting policy
                                  information is material.

       Amendment to SFAS          This amendment prohibits entities          This amendment clarifies                 Not significant
       16: "Fixed Assets"         from deducting the cost of a fixed         the meaning of ‘testing’ whether
                                  asset from sales received of selling       the asset is functioning properly
                                  items produced by fixed asset before       when the entity assesses
                                  ready for it's intended use.               the technical and physical
                                                                             performance of the asset.




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                             2023 PERFORMANCE                                                            BUSINESS
 ABOUT THIS REPORT                                     REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                             HIGHLIGHTS                                                                  SUPPORTING UNITS




 Table 80 • Changes of SFAS that Affect the Company


                                                                                                                                Impact on
      Accounting Standards                      Summary of Changes                        Reasons for Changes
                                                                                                                              the Company
  Amendment to SFAS              'Changes in Accounting Estimates                The distinction is important,              No
  25: “Accounting                and Errors: Definition of Accounting            because changes in                         implications
  Policies, Changes              Estimates' clarifies how an entity              accounting estimates are
  in Accounting                  distinguishes changes in accounting             applied prospectively to future
  Estimates, and                 policies and changes in accounting              transactions and other future
  Errors: Definition             estimates.                                      events, whereas changes in
  of Accounting                                                                  accounting policies are generally
  Estimates”                                                                     applied retrospectively to past
                                                                                 transactions and other past
                                                                                 events as well as the current
                                                                                 period.

  Amendment to                   Deferred Tax related to Assets                  This amendment generally                   No
  SFAS 46: "Income               and Liabilities arising from                    applies to transaction occuring at         implications
  Tax" - Deferred Tax            Single Transaction requires an                  or after the beginning of earliest
  related to Assets              entity to recognize deferred tax                comparative period presented.
  and Liabilities                on transactions that on initial                 Otherwise, the entity must
  arising from Single            recognition, give rise to taxable               recognize deferred tax assets and
  Transaction                    temporary differences that can be               liabilities including all deduction
                                 deducted in the equal amounts.                  of temporary differences,
                                                                                 and other related temporary
                                                                                 differences are to be recognized
                                                                                 at the beginning of the earliest
                                                                                 comparative period.

  Revision of SFAS 107:          Change in the method of                         This revision accommodates                 No
  “Ijarah Accounting”            recognition of indirect service                 ijarah contracts for sharia-based          implications
                                 and income and expenses from                    hotel and health industry sectors.
                                 a straight line to a percentage of
                                 completion and evenly distributed
                                 according to period of both
                                 contracts




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        MANAGEMENT DISCUSSION       GOOD CORPORATE                                                 ANNUAL FINANCIAL
                                                           SUSTAINABILITY    SUPPORTING DATA                            APPENDICES
        AND ANALYSIS                GOVERNANCE                                                     STATEMENTS




   2024 BUSINESS PROSPECTS

   The Indonesian government                     purchasing power of the middle            predictions, growth in this
   through the 2024 APBN has                     class, thereby suppressing                industry will be in the range
   set economic growth at 5.2%,                  household consumption growth.             of 11 to 13% throughout 2024.
   while various analysts and global             Meanwhile, GAIKINDO predicted
                                                                                           BFI Finance has set a growth
   financial institutions are targeting          car sales to dealers will rise to
                                                                                           target of 15–20% in 2024 for
   growth in the range of 4.9 to 5.2%.           1.1 million units (about 10% of
                                                                                           New Financing Distribution,
   Indonesia’s growth rate is higher             2023 sales figure). Motorcycle
                                                                                           Net Receivables, and Net
   than predicted growth, both for               sales, on the other hand, having
                                                                                           Profit, from their respective
   the global economy, which is in               experienced an increase of 19.4%
                                                                                           values in 2023. Both Assets
   the range of 2.4 to 3.0%, and for             in 2023, are targeted by AISI to
                                                                                           and Revenue are targeted
   the economies of G20 member                   reach 6.5 million units, which is
                                                                                           to grow 15% from the 2023
   countries, which is around 2.8%.              equivalent to growth of around
                                                                                           achievement. This performance
   Indonesia’s economic growth is                5% from the 2023 figure.
                                                                                           will be supported by a good
   supported by the government’s
                                                 OJK predicts strong growth in             Gearing Ratio kept below 2.0x.
   efforts to ensure the continuation
                                                 the finance industry in 2024,             Thus, the Company expects to
   of the downstream process,
                                                 continuing the momentum                   distribute dividends with a ratio
   especially in the mining and
                                                 in 2023. OJK projects that the            of up to 50%.
   energy sectors, as well as
                                                 total assets of all multi-finance
   sustainable development in                                                              In developing its business
                                                 companies in Indonesia will
   the manufacturing industry.                                                             sustainably, BFI Finance will
                                                 increase by 10–12% in 2024 from
                                                                                           always rely on its reputation,
   Weakening demand from                         their value as at the end of 2023.
                                                                                           which has been built for more
   China for various export                      This growth will be driven by
                                                                                           than 40 years as a finance
   products from Indonesia is                    several main sectors, namely
                                                                                           company that is committed
   slowing down the country’s                    Wholesale and Retail Trade,
                                                                                           to being a trusted partner
   economic growth to around                     Car and Motorcycle Repair and
                                                                                           that are accessible to all layers
   4.7% in 2024. This situation                  Maintenance, and Mining and
                                                                                           of society across Indonesia,
   holds potential to reduce the                 Quarrying. According to APPI
                                                                                           from Aceh to Papua.



   Table 81 • 2024 Business Targets


                                   Description                                                       Target
    New Financing Growth                                                       15% above 2023 achievement

    Net Receivables Growth                                                     13% above 2023 achievement

    Asset Growth                                                               10% above 2023 achievement

    Revenue Growth                                                             8% above 2023 achievement

    Net Profit                                                                 15% above 2023 achievement

    NPF                                                                        < 2.0%

    Debt-to-Equity Ratio                                                       < 2.0x

    Dividend Payout Ratio                                                      Up to 50%




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                   165
Page 168
 Stepping Forward with Confidence
 Transparency, supported by compliance, serves as our primary
 foundation for committing ourselves to good corporate governance
 practices, building trust among our stakeholders.




166                                     PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 169
   06
   GOOD
   CORPORATE
   GOVERNANCE




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                     2023 PERFORMANCE                                                        BUSINESS
 ABOUT THIS REPORT                      REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                     HIGHLIGHTS                                                              SUPPORTING UNITS




 GOOD CORPORATE
 GOVERNANCE REPORT




 A consistent                                                                          BFI Finance conducts good
                                                                                       corporate governance practices
 and disciplined                                                                       (GCG) in accordance with
                                                                                       guidelines from relevant
 implementation of good                                                                authorities, demonstrating the
                                                                                       management and employees’
 corporate governance                                                                  commitment to long-term

 serves as the basis for                                                               business sustainability. The
                                                                                       Company is dedicated to

 BFI Finance in building                                                               conducting a healthy business,
                                                                                       in compliance with financial
 customers’ and investors’                                                             services industry regulations.
                                                                                       The Company’s GCG practices
 trust in the Company.                                                                 adhere to the prevailing laws and
                                                                                       regulations, the list for which is
                                                                                       regularly updated and accessible at
                                                                                       https://www.bfi.co.id/en/corporate/
                                                                                       Corporate-Good-Governance/
                                                                                       corporate-governance-guidelines.




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   MANAGEMENT DISCUSSION          GOOD CORPORATE                                                      ANNUAL FINANCIAL
                                                        SUSTAINABILITY         SUPPORTING DATA                           APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                          STATEMENTS




   Main Principles
   The Company applies the following GCG principles in its business activities in all organizational levels::

   Table 82 • Main GCG Principles


    No.                         GCG Principle                                                    Implementation
    1     Transparency in the decision-making process and in             Transparency of business management to all
          the availability and disclosure of relevant information        stakeholders, through the publication of various
          regarding the Company                                          reports (including integrated annual reports and
                                                                         financial reports) as well as business-related matters
                                                                         on the website
    2     Accountability of all parties in the Company in                Clarity in the rights, authority, duties, and
          conducting every action in accordance with their               responsibilities of employees and all governance
          respective functions                                           bodies of the Company
    3     Responsibility in the Company’s management                     Compliance with the articles of association and the
          according to the rules and regulations in financing            prevailing regulations, and implementation of tax
          sector, ethical values, as well as sound business              obligations and corporate social responsibility
          practices
    4     Independence in the Company’s management,                      Principle of mutual respect upheld by every party
          free from interference from any party which are not            within the Company, and avoidance of conflict of
          in line with the laws and regulations and free from            interest in all business processes
          conflict of interest
    5     Equality and Fairness in fulfilling the rights of              Fulfillment of the rights of stakeholders in a just and
          Stakeholders arising from the agreement, rules and             equitable manner in accordance with the prevailing
          regulations                                                    regulations, maintenance of a decent and safe
                                                                         workplace, and equal opportunity provided to every
                                                                         employee

   The guideline for implementing these GCG principles is available on the Company website at
   https://www.bfi.co.id/en/corporate/Corporate-Good-Governance/corporate-governance-guidelines.

   GCG Purposes
   BFI Finance implements GCG principles to achieve, among others:
   1.   Optimization of the Company’s values for stakeholders;
   2. Improvement of the Company’s professional, effective, and efficient management;
   3. Improvement of the Company’s governance bodies’ and its subordinates’ compliance with the strict
      ethical standards, rules and regulations, and awareness of social responsibility;
   4. Establishment of a financially sound business that is reliable and has a competitive edge in order to
      maintain its presence and sustainability to achieve the Company’s aims and objectives; and
   5. Improvement of the Company’s contribution to the national economy




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                          HIGHLIGHTS                                                                       SUPPORTING UNITS




 GCG Structure and Mechanism
 The GCG structure at BFI Finance consists of the following governance bodies in the chart below:

 Graph 12 • GCG Structure of the Company


                                                                                                                        Governance
              Transparency, Accountability, Responsibility, Independence, and Fairness
                                                                                                                         Principles




                                      GMS

                                                                                         Audit Committee
                                                                                         Risk Oversight
                                                                                         Committee
                                                                                                                        Governance
                                                                                         Nomination and
  Sharia Supervisory                                                                                                     Structure
        Board
                                      BOD                           BOC                  Remuneration
                                                                                         Committee




       Internal
                          Internal           Corporate           Risk
       Control                                                                    Compliance
                            Audit            Secretary        Management
       System




        GMS; execution of functions, authorities and responsibilities of the BOC and the BOD; meetings                  Governance
       between the BOC and the BOD; execution of policies and strategies in line with vision and mission;                Processes
              human capital development and training; and implementation of CSR programs



          Business sustainability, efficiency, benefits for society, compliance with regulations, consumer                Governance
                                      protection, and environmental protection                                           Outcomes



 The Company’s GCG structure is one of the manifestations of GCG implementation for ensuring a clear
 mapping of functions or business activities to avoid conflict of interest and to ensure that the checks and
 balances mechanism takes place effectively and efficiently.

 GCG is exercised by the governance bodies of BFI Finance’s GCG structure takes within a GCG infrastructure
 framework. This includes policies, procedures, management information system, and main duties as well as
 functions of each governance body.

 This GCG infrastructure is evaluated regularly and adjusted to the latest developments and best practices in
 GCG. The latest enhancements to BFI Finance’s GCG Infrastructure were ratified in the Policy/026 dated 1 July
 2021 on Guidelines for the Implementation of Good Corporate Governance.




170                                                                           PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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   MANAGEMENT DISCUSSION           GOOD CORPORATE                                                      ANNUAL FINANCIAL
                                                           SUSTAINABILITY      SUPPORTING DATA                            APPENDICES
   AND ANALYSIS                    GOVERNANCE                                                          STATEMENTS




   Table 83 • BFI Finance’s GCG Infrastructure


    No.                     GCG Infrastructure                                                      Form

    1.    Code of Business Principles which is applicable         • Company Core Values (G.R.E.A.T.) and BFI New Mindset as
          to all BFI Finance’s activities, both in head office      the guidelines on the Company’s culture and behavior
          and branches, and to all employees                      • Corporate Responsibilities
                                                                  • Business Integrity
                                                                  • Operational Activity Commitment
                                                                  • Company Regulations 2022–2024

    2.    Procedures to carry out duties and                      Guidelines for the BOC and the BOD (Board Manual)
          responsibilities of the BOC and the BOD

    3.    Completeness and procedures of carrying out             • Audit Committee Charter
          the duties of committees and work units in              • Risk Oversight Committee Manual
          conducting internal control function                    • Nomination and Remuneration Committee Manual
                                                                  • Sharia Product and Business Activity Development
                                                                    Committee Charter
                                                                  • Risk Management Committee Charter
                                                                  • Information Technology (IT) Steering Committee Charter

    4.    External audit, internal audit, compliance              • Code of Business Principles
          function implementation procedures and                  • G.R.E.A.T. (Company Core Values) and BFI New Mindset,
          policies                                                  guidelines on behavior and culture, applicable to all
                                                                    employees
                                                                  • Company Regulations 2022–2024
                                                                  • Internal Audit Charter
                                                                  • Various applicable policies, decrees, SOPs, and guidelines
                                                                    in the Company

    5.    Policy of transparency of financial and non-            •   Quarterly Financial Statements
          financial conditions                                    •   Mid-year Financial Statements
                                                                  •   Annual Financial Statements
                                                                  •   Integrated Annual Report (featuring both Annual Report
                                                                      and Sustainability Report)




   GCG Roadmap                                   GCG Implementation                              3. Evaluation of outcome
                                                                                                    (implementation result),
   The Company’s GCG Roadmap is                  Focus                                              which includes qualitative
   implicitly stated and aligned to              In 2023, the Company’s focus of                    and quantitative aspects, as
   OJK’s directive in every practice.                GCG implementation was on:                     follows:
   Several important structures                  1.   Improvement of the                            a. Adequate transparency of
   and mechanisms, which are still                    quality and efficacy of                          reports;
   ongoing in GCG implementation                      risk management, in
   at the Company, are Code of                                                                      b. Compliance with rules and
                                                      particular with respect to
   Business Principles, Board Manual                                                                   regulations;
                                                      asset management and
   for the BOC and BOD as well as                     cybersecurity;                                c. Consumer protection;
   the Committees, and supporting                                                                   d. Audit independence; and
                                                 2. Enhancement of Company
   procedures and policies such
                                                    regulations in alignment with                   e. Company performance and
   as Whistleblowing System,
                                                    the latest external regulations;                   achievements, financially
   Risk Management Policy, and
                                                    and                                                and operationally.
   Compliance Policy.

   As a part of GCG Roadmap, the
   Company regularly evaluates,
   updates, and disseminates its
   GCG practices to all employees.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                       171
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 ABOUT THIS REPORT                          REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                       HIGHLIGHTS                                                             SUPPORTING UNITS




 GCG Implementation Evaluation
 Results of an internal assessment conducted by BFI Finance of its GCG achievements in 2023 showed that
 the Management had implemented GCG satisfactorily, as summarized in Table 84.


 Table 84 • GCG Implementation Evaluation


 No.                    Aspect                                           Positive Factors                        Negative Factors

 A     Governance Structure

 1.    The Number, Composition, Integrity          In general, in accordance with the complexity                     None
       and Competence of Members of the            and size of the Company and in compliance with
       BOC, Committees under the BOC,              applicable regulations.
       Sharia Supervisory Board, BOD, and
       Committees under the BOD

 2.    Organizational Structure                    In general, BFI Finance has an organizational                     None
                                                   structure consisting of directorates, divisions,
                                                   departments, and work functions/units with clear
                                                   division of duties, responsibilities, and authorities. It
                                                   support s business and operational activities as well
                                                   as internal control implementation.

 3.    Policies and Procedures                     BFI Finance has policies and procedures consisting                None
                                                   of the Board Manual for the BOC and the BOD, Audit
                                                   Committee Charter, Risk Oversight Committee
                                                   Manual, Nomination and Remuneration Committee
                                                   Manual, Sharia Product and Business Activity
                                                   Development Committee Charter, Risk Management
                                                   Committee Charter, IT Steering Committee
                                                   Charter, Internal Audit Charter, Code of Business
                                                   Principles, Company Regulations 2020–2022,
                                                   Operational Commitments, Company Core Values
                                                   and Employee Behavior Guidelines (G.R.E.A.T. and
                                                   BFI New Mindset), and Information Technology (IT)
                                                   Procedures and Policies.

 4.    Information System                          BFI Finance runs a Management Information System                  None
                                                   (MIS) and Power Business Intelligence (Power BI) to
                                                   support operational and business activities as well as
                                                   internal control system.

 B     Governance Process

 1.    Execution of Duties and                     In general, the duties and responsibilities of the BOC,           None
       Responsibilities                            the BOD, and Committees under the BOC and the
                                                   BOD have been satisfactorily executed.

 2.    Human Capital                               BFI Finance has improved the human capital                        None
                                                   quantity and quality by intensifying training and
                                                   focusing on human capital availability and adequacy.

 3.    Risk Management                             BFI Finance regularly reviews risk limit, risk                    None
                                                   measuring, monitoring and control, and internal
                                                   model assessment of risk management.

 4.    Customer Complaint                          BFI Finance manages and resolves customer                         None
                                                   complaint according to SLA’s stipulations.

 5.    Compliance and Discipline Cultures          BFI Finance continuously upholds discipline and                   None
                                                   compliance culture in all organizational levels by
                                                   establishing the Integrity Pact to increase legal
                                                   enforcement, to carry out anti-fraud policy and
                                                   Whistleblowing System, to apply G.R.E.A.T. and
                                                   BFI New Mindset as the Company Core Values, and
                                                   to strengthen the Internal Control System.

 6.    CSR                                         BFI Finance has carried out CSR as part of its                    None
                                                   business process.




172                                                                   PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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                                                        SUSTAINABILITY     SUPPORTING DATA                            APPENDICES
   AND ANALYSIS                     GOVERNANCE                                                  STATEMENTS




   Table 84 • GCG Implementation Evaluation


   No.                     Aspect                                          Positive Factors                        Negative Factors

   C     Governance Result

   1.    Recommendations from the BOC and             Recommendations from the BOC and the                             None
         Committees under the BOC                     Committees under the BOC are documented
                                                      in the meeting minutes and serve as input and
                                                      considerations for the BOD in making a decision.

   2.    Conflict of Interest                         There is no indication of any conflict of interest that          None
                                                      bring losses to the Company.

   3.    Information Disclosure to the Public         BFI Finance has disclosed its financial and non-                 None
                                                      financial information to public transparently,
                                                      including through quarterly financial statements,
                                                      mid-year financial statements, annual financial
                                                      statements, and Integrated Annual Report
                                                      (consisting of Annual Report and Sustainability
                                                      Report).

   4.    Company Performance                          BFI Finance records growth and positive                          None
                                                      performance, as reflected in its growing assets and
                                                      profit, and a well-managed NPF.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                    173
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 ABOUT THIS REPORT                       REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                     HIGHLIGHTS                                                               SUPPORTING UNITS




 SUSTAINABILITY GOVERNANCE

 GCG implementation within              The responsibility for                          BFI Finance categorizes its
 BFI Finance takes into account         implementing sustainable                        stakeholder groups based on
 Environmental, Social, and             finance lies with the Finance                   the extent of their engagement
 Governance (ESG) principles that       Directorate. The Finance Director               with its business. These groups
 strengthen the foundation for          coordinates all sustainable                     therefore are customers,
 sustainability governance and          finance programs and activities                 shareholders, suppliers,
 sustainable development, which         across the Company’s outlets.                   employees, business partners,
 also comprise the Company’s            The BOD took part in various                    the public, and regulators. With
 long-term vision.                      trainings including for enhancing               each of them, the Company
                                        their sustainability-related                    strives to build a transparent
 ESG practices within the
                                        competence, as detailed in the                  way of communication with the
 Company throughout the
                                        BOD Competency Enhancement                      aim of creating and fostering
 reporting period are presented
                                        table (page 196).                               mutual trust.
 in the Sustainability chapter
 (pages 258–281).                       Risks associated with                           Effective communication is
                                        implementing sustainable                        cultivated through dialogue with
 Sustainable Finance                    finance programs are                            various stakeholders to discern
                                        further discussed in the Risk                   their needs and expectations,
 Being a prominent and far-
                                        Management section of this                      resolve issues, mitigate impacts,
 reaching financial institution in
                                        chapter (pages 231–236).                        and identify opportunities, which
 Indonesia, BFI Finance considers
                                                                                        may arise from the interaction
 sustainable finance as an
 integral part of its business. With
                                        Stakeholder                                     between the Company and these

 a sustainability mindset, the          Engagement                                      stakeholder groups, to deliver
                                                                                        optimal benefits to all parties.
 Company aims to provide broad,         As part of it sustainable
 equal, and inclusive economic          governance, BFI Finance                         The various issues encountered
 empowerment across all societal        engages its stakeholders in a                   while engaging stakeholders,
 levels in Indonesia through its        multitude of ways.                              including in implementing
 financing.                                                                             of sustainable finance, are
                                                                                        presented in Table 85.




174                                                                PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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   MANAGEMENT DISCUSSION           GOOD CORPORATE                                                   ANNUAL FINANCIAL
                                                        SUSTAINABILITY       SUPPORTING DATA                           APPENDICES
   AND ANALYSIS                    GOVERNANCE                                                       STATEMENTS




   Table 85 • Summary of BFI Finance’s Stakeholders Issues in 2023


      Stakeholder
                                Engagement Method                                      Issues Raised in 2023
         Group
    Customers          Customer surveys, customer              Access to customer services, product information
                       complaint data, customer                explanations and services, intensive handling of consumer
                       responses and comments                  complaints regarding service disruptions due to cyberattack
                       through various Company                 on the Company’s operational systems in mid-May 2023, the
                       communication channels,                 Servprize program in the form of special visits to selected
                       including Customer Care services        customers during special moments, the BFI Close to You
                       (hotline, email, SMS, WhatsApp,         program directly involving employees in various community
                       live chat on the website, and           communities in the Company’s six operational areas, the
                       Company social media                    “Fraud Alert!” campaign appealing to customers to be
                                                               careful about special promotional offers in the name of the
                                                               Company, avoiding transfers to bank accounts in the name of
                                                               individuals/individuals claiming to be Company employees,
                                                               dissemination of Payment Points listed on the Company’s
                                                               website, and information on customer installment payments
                                                               via virtual accounts from the Company’s partner banks
    Employees          Employee surveys, meetings              Strengthening of BFI New Mindset across all employee
                       with employee representatives,          levels, innovations in employee recruitment to attract quality
                       email blasts, Leader’s Talk,            talent in digital and technology, reformulation of employee
                       Service Insight Community (SIC),        orientation period, establishment of RTCs for more effective
                       BFI Agile Thought Community             offline training
                       (BATC), interactive employee
                       communication facilities through
                       the BELLA application, various
                       training via offline and online
                       channels such as M-BEAT
                       application as a facility for
                       employees for learning technical
                       and non-technical topics
    Shareholders       Quarterly and annual reports,           Business development, governance and accountability,
                       meetings with investors, potential      business financial soundness, cybersecurity-related issues
                       investors, and analysts, AGMS and
                       EGMS
    Suppliers          Engagement based on contract,           Continuity of supply, level of performance and production,
                       performance review                      timeliness
    Business           Engagement based on contract,           Performance, timeliness, contract evaluation
    Partners           performance appraisal
    Public             forums and training programs,           Support to community’s socioeconomic and environmental
                       annual public expose to the             aspects, financial literacy education, financial inclusion,
                       mass media, partnerships with           Company performance reporting, cybersecurity-related
                       community institutions                  issues
    Regulators         Regular meetings (including             Compliance, information disclosure, business development,
                       webinars and FGDs), survey filling,     governance and accountability, business financial soundness,
                       routine and ad hoc reporting            cybersecurity-related issues

   The Company further engages its stakeholders by becoming a member of relevant external organizations
   aligned with its goals.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                    175
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 ABOUT THIS REPORT                       REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                     HIGHLIGHTS                                                               SUPPORTING UNITS




 GENERAL MEETING OF SHAREHOLDERS

 The GMS is a governance body           2. Ratify or decide on issues that              Shareholders’ Rights
 of the Company that possesses             are necessary to safeguard
 certain powers not granted to the         the long-term and short-term                 The shareholders have the
 BOC or the BOD within the limits          interests of the Company in                  right to propose the agendas
 prescribed by the laws and/or the         accordance with the prevailing               for every GMS that will be held
 articles of association.                  regulations and/or the articles              by the Company, propose the
                                           of association;                              appointment of members of
 The GMS is a forum for                                                                 the BOC and/or the BOD of the
 shareholders to influence the          3. Approve the annual
                                                                                        Company, especially for measures
 Company, as well as a forum for           report including financial
                                                                                        that require prior approval of the
 the BOC and the BOD to report             statements, and approve the
                                                                                        shareholders in accordance with
 and be held accountable for the           BOC’s supervisory duties in
                                                                                        the prevailing regulations.
 implementation of their tasks and         accordance with the prevailing
                                           regulations and/or the articles
 performance to the shareholders.                                                       2023 GMS
                                           of association;
 The GMS consists of the                                                                Implementation
                                        4. Set targets and assess the
 Annual GMS (AGMS) and the
                                           performance of the BOD and                   In 2023, BFI Finance held 1 AGMS
 Extraordinary GMS (EGMS), which
                                           the BOC;                                     and 1 EGMS.
 are held in accordance with the
 articles of association and the        5. Determine remuneration for                   Procedures of 2023 GMS
 prevailing regulations.                   the BOC and the BOD;
                                                                                        Implementation
                                        6. Appoint the external public
 GMS Authority                             accounting firm;
                                                                                        BFI Finance held the 2023 GMS
                                                                                        by adhering to the procedures
 The GMS has the authority,             7. Approve or reject the
                                                                                        stipulated in OJK Regulation No.
 among other things, to:                   Company’s work plan and
                                                                                        15/POJK.04/2020 on the Plan
                                           budget, and the long-term
 1.   Appoint and dismiss the                                                           and Implementation of General
                                           work plan;
      members of the BOC and                                                            Meeting of Shareholders of Public
      the BOD based on policies/        8. Make decisions through a                     Companies (POJK 15) and OJK
      guidelines established by            process that is open, fair, and              Regulation No. 16/POJK.04/2020
      shareholders;                        accountable; and                             on Electronic Implementation of
                                        9. Implement GCG in accordance                  General Meeting of Shareholders
                                           with its authority and remits.               (POJK 16).




176                                                                PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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   MANAGEMENT DISCUSSION              GOOD CORPORATE                                                 ANNUAL FINANCIAL
                                                              SUSTAINABILITY    SUPPORTING DATA                             APPENDICES
   AND ANALYSIS                       GOVERNANCE                                                     STATEMENTS




   Table 86 • AGMS and EGMS Procedures


     No.                   Activity                          Implementation Stages of AGMS & EGMS 2023                  Legal Basis

   1.      Notification of plan and               BFI Finance’s letter No. Corp/Sjn/L/III/23-0063 dated             Articles 4, 13, and
           agendas of the GMS to OJK              28 March 2023 was sent to OJK, with copies sent to                52 POJK 15
           no later than five business            the Chief Executive Supervisor of Non-Bank Financial
           days before the GMS                    Institutions (IKNB), IDX, KSEI, PT Raya Saham Registra,
           announcement                           and The Indonesia Capital Market Institute (TICMI)

   2.      Notice for the GMS Plan to the         • Notice for the GMS Plan was announced on the                    Articles 14 and 52
           Shareholders, at least 14 days              websites of IDX, KSEI, and the Company in Indonesian         POJK 15
           prior to the GMS Summons                    and English on 4 April 2023
                                                  • Correspondences of BFI Finance’s letter No. Corp/
                                                       SJN/L/IV/23-0067 dated 4 April 2023 to OJK, Chief
                                                       Executive Supervisor of IKNB, and IDX, with copies
                                                       sent to IKNB and TICMI, by attaching screen captures
                                                       as proof of the Notice of the GMS Plan to the
                                                       Shareholders on the websites of IDX, KSEI, and the
                                                       Company

   3.      The final date for the                 Requested the Share Registrar (PT Raya Saham                      Article 23
           Shareholders Register, at 16:00        Registra) to recap the names of shareholders entitled to          POJK 15
           Western Indonesia Time, one            attend the GMS
           day prior to the date of the
           GMS Summons

   4.      GMS Summons to the                     • GMS Summons to the Shareholders was announced                   Articles 17 and 52
           Shareholders, at least 21 days              on the websites of IDX, KSEI, and the Company in             POJK 15
           prior to the GMS, excluding the             Indonesian and English on 19 April 2023
           date of summons and the date
           of the GMS                             • Correspondences of BFI Finance’s letter Corp/SJN/L/
                                                       IV/23-0079 dated 19 April 2023 to OJK, with copies
                                                       sent to Chief Executive Supervisor of IKNB, IDX,
                                                       PT Raya Saham Registra, and TICMI, by attaching
                                                       screen captures as proof of the GMS Summons to the
                                                       Shareholders on the websites of IDX, KSEI, and the
                                                       Company

   5.      GMS implementation                     On 16 May 2023 at BFI Tower, Sunburst CBD Lot.1.2,                         -
                                                  Jl. Kapt. Soebijanto Djojohadikusumo, BSD City –
                                                  South Tangerang 15322, Indonesia

   6.      Delivery of the GMS Minutes to         BFI Finance’s letter No. Corp/SJN/L/V/23-0107 dated 17            Article 50
           OJK, no later than 30 days after       May 2023 to OJK, with copies sent to the Chief Executive          POJK 15
           the date of the GMS                    Supervisor of IKNB, IDX, KSEI, PT Raya Saham Registra,
                                                  and TICMI

   7.      Announcement of the GMS                • Notice for the GMS Minutes was announced on the                 Articles 51 and 52
           Minutes to the public, no later             websites of IDX, KSEI, and the Company in Indonesian         POJK 15
           than two working days after                 and English on 19 May 2023
           the date of the GMS                    • Correspondences of BFI Finance’s letter No. Corp/
                                                       SJN/L/V/23-0111 dated 17 May 2023 to OJK, with copies
                                                       sent to IDX, KSEI, PT Raya Saham Registra, and
                                                       TICMI, by attaching screen captures as proof of the
                                                       announcement of the Summary of the GMS Minutes
                                                       on the websites of IDX, KSEI, and the Company




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                          177
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                     HIGHLIGHTS                                                             SUPPORTING UNITS




 Description and Resolutions of 2023 GMS
 On Tuesday, 16 May 2023, at BFI Tower, Sunburst CBD Lot 1.2 Jl. Kapt. Soebijanto Djojohadikusumo, BSD City,
 Tangerang Selatan, the Annual General Meeting of Shareholders (“AGMS”) and the Extraordinary General
 Meeting of Shareholders (“EGMS”) of the Company were held.

 The summary of the AGMS and the EGMS is presented on https://www.bfi.co.id/en/corporate/Investor-
 Relations/General-Meeting-of-Shareholders/Announcement-of-the-Extraordinary-General-Meeting-of-
 Shareholders-2023.

 2023 GMS Resolutions and Their Implementation
 All of the 2023 GMS resolutions, i.e., those of the AGMS and EGMS held on 16 May 2023, had fully been
 implemented in 2023, as stated in Tables 87 and 88.


 Table 87 • Implementation of 16 May 2023 AGMS Resolutions


                                                                                                           Implemented (Y)
                                            Resolution
                                                                                                         Not Implemented (N)

 To accept and approve the Company’s Annual Report for the financial year ended
 31 December 2022, including the Financial Statements and the Supervisory Report from the                        Y
 Company’s BOC

 To accept and ratify the Company’s Financial Statements for the financial year ended
 31 December 2022 as audited by the Public Accountant Firm “Tanubrata Sutanto Fahmi
 Bambang & Rekan” whose Report Number: 00005/3.0423/AU.1/09/0119-1/II/2023 expressed
 “Unmodified” opinion, thus granting the release and discharge (acquit et de charge) to the                      Y
 BOD and the BOC relating to their duties of management and supervision conducted during
 the financial year 2022, provided that such actions are reflected in the Company’s Annual
 Report for the financial year 2022 and not in conflict with statutory regulations

 To approve the use of the Company’s net profit for the financial year ending
 31 December 2022, amounting to Rp1,806,679,000,000 (one trillion eight hundred and
 six billion six hundred seventy-nine million rupiah) with the allocation as follows:
 a. The amount of Rp5,000,000,000 (five billion rupiah) from the net profit which can be
    attributed to the owners of the Company’s parent entity as mandatory reserves, pursuant to
    the Company’s Articles of Association and the Company Law No. 40 of 2007;
 b. As final cash dividends of Rp60 (sixty rupiah) per share of the Company’s net profit,
    including the Rp28 (twenty-eight rupiah) per share that have been distributed as interim                     Y
    dividends and have been paid on 22 December 2022, so that the remaining dividends to
    be distributed are Rp32 (thirty-two rupiah) per share. The remaining final dividends will
    be distributed to the Company’s shareholders listed in the Register of the Company’s
    Shareholders on 29 May 2023, at 16:00 WIB, and will be paid to the Company’s shareholders
    on 15 June 2023;
 c. The balance of 2022 net profit will be booked as Retained Earnings to strengthen the
    Company’s capital

 To give power and authority to the Company’s Board of Directors with substitution rights to
 execute the utilization of net profit as mentioned above, including to set up the schedule and
 procedures of cash dividends distribution to the Company’s shareholders, and to attend and                      Y
 meet the authorities, one way or another without any exception, including the procedure for
 taking dividends that have been included in special reserves

 To authorize the Company’s BOC to appoint a Public Accountant and/or a Public Accountant
 Firm registered with the Financial Services Authority (OJK) to audit the Company’s Financial
 Statements for the financial year ended 31 December 2023 and to authorize the Company’s                         Y
 BOC to determine the amount of honorarium and other requirements relating to the
 appointment by taking into account the proposals from the Company’s Audit Committee




178                                                                 PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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   MANAGEMENT DISCUSSION          GOOD CORPORATE                                             ANNUAL FINANCIAL
                                                          SUSTAINABILITY   SUPPORTING DATA                            APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                 STATEMENTS




   Table 87 • Implementation of 16 May 2023 AGMS Resolutions


                                                                                                            Implemented (Y)
                                                   Resolution
                                                                                                          Not Implemented (N)

   To establish the remuneration of the BOC with the total amount of Rp252,166,958
   (two hundred fifty-two million one hundred sixty-six thousand nine hundred fifty-eight
   rupiah) per month after tax for the financial year 2023 and to give the bonus to the BOC for                   Y
   the financial year 2022 amounting to Rp2,815,813,574 (two billion eight hundred fifteen million
   eight hundred thirteen thousand five hundred seventy-four rupiah)

   To delegate the authority to the BOC in determining the amount for each member of the
   BOC and to adjust the total amount of remuneration in the event of changes in the number                       Y
   of members of the BOC in the financial year 2023

   To approve the provision of power and authority to the BOC in determining the division of
   duties and authorities to each member of the BOD as well as to determine the remuneration                      Y
   for members of the BOD

   The accountability report on the use of proceeds from the Continuous Public Offering of
   Obligasi Berkelanjutan V BFI Finance Indonesia Tahap III and Tahap IV Tahun 2023 after
                                                                                                                  Y
   deducting issuance costs has been used in accordance with the plan for the use of funds set
   forth in the Prospectus


   Table 88 • Implementation of 16 May 2023 EGMS Resolutions


                                                                                                            Implemented (Y)
                                                   Resolution
                                                                                                          Not Implemented (N)

   Approval to transfer and/or pledge more than 50% of the Company’s assets in one or more
   transactions, whether in relation to each other or not within a period of one financial year or
   more, for obtaining loans from banks and non-banks, the issuance of Bonds and Medium
                                                                                                                  Y
   Term Notes (MTN), conducting joint financing with banks and non-banks, securitization, and
   obtaining loans from various other funding sources needed for the Company’s normal course
   of business activities

   Approval to grant power and authority to the BOD of the Company to perform the above
   actions, including to obtain loans from banks and non-banks, issue Bonds and Medium Term
   Notes (MTN), carry out financing cooperation with banks and non-banks, securitization, and
                                                                                                                  Y
   obtain loans from various other funding sources in the Company’s normal bussines activities,
   by taking into account the terms and conditions in the applicable laws and regulations,
   especially the Capital Market regulations

   To approve the respectful discharge of Dominic John Picone from his position as
                                                                                                                  Y
   Commissioner of the Company which is effective as of the closing of this Meeting

   To approve the appointment of Saurabh N. Agarwal as Commissioner of the Company which
   is effective as of the closing of this Meeting and after obtaining approval from the relevant                  Y
   Regulator, until the closing of the next 5th (fifth) AGMS

   To accept well and ratify the resignation of Sigit Hendra Gunawan from his position as
                                                                                                                  Y
   Director of the Company which is effective as of the closing of this Meeting




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                    179
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 ABOUT THIS REPORT                         REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                     HIGHLIGHTS                                                              SUPPORTING UNITS




 Table 88 • Implementation of 16 May 2023 EGMS Resolutions


                                                                                                            Implemented (Y)
                                             Resolution
                                                                                                          Not Implemented (N)

 To establish the composition of the members of the Company’s BOC, BOD, and SSB as of the
 closing of this Meeting until the closing of the next 5th (fifth) AGMS since their respective
 appointments, to be as follows:

 BOARD OF COMMISSIONERS
 President Commissioner: Kusmayanto Kadiman
 Independent Commissioner: Johanes Sutrisno
 Independent Commissioner: Alfonso Napitupulu
 Commissioner: Sunata Tjiterosampurno
 Commissioner: Saurabh N. Agarwal
                                                                                                                  Y
 BOARD OF DIRECTORS
 President Director: Francis Lay Sioe Ho
 Director: Sudjono
 Director: Sutadi
 Director: Andrew Adiwijanto

 SHARIA SUPERVISORY BOARD
 Chairman: Asrori S. Karni
 Member: Helda Rahmi Sina

 To grant power and authority to the Company’s BOD with substitution rights to declare
 changes to the members of the BOD and/or the BOC in a separate notarial deed and arrange
 a notification and a registration to relevant authorities, as well as perform all necessary                      Y
 actions in accordance with the prevailing legislation in connection with the Meeting agenda
 resolutions



 2022 GMS Resolutions and Their Implementation
 Among the EGMS resolutions on 29 June 2022, one agenda had not been fully realized, namely the transfer
 of a maximum of 927,732,000 (nine hundred twenty-seven million seven hundred thirty-two thousand)
 Treasury Shares by selling them on the Stock Exchange, or outside of the Stock Exchange to other parties, to
 the main shareholder of the Company (Trinugraha Capital & Co. SCA) and to other third parties. The reason
 for this was the capital market conditions not being conducive to such transfer. The summary of these AGMS
 and the EGMS is presented on https://www.bfi.co.id/en/corporate/Investor-Relations/General-Meeting-of-
 Shareholders/Announcement-of-the-Extraordinary-General-Meeting-of-Shareholders-2022.

 Counting of Votes at the GMS
 The counting of votes for the 2023 AGMS and EGMS was carried out through the KSEI system as the e-GMS
 provider, accompanied by a physical counting by the Share Registrar and witnessed by a Notary.




180                                                                  PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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   MANAGEMENT DISCUSSION          GOOD CORPORATE                                                 ANNUAL FINANCIAL
                                                        SUSTAINABILITY   SUPPORTING DATA                            APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                     STATEMENTS




   BOARD OF COMMISSIONERS

   Main Tasks                                 4. Supervision is conducted not              BOC Appointment and
                                                 only by receiving information
   The Board of Commissioners                    from the BOD or the GMS,
                                                                                           Dismissal Procedures
   (BOC) is a representative body                but can also be conducted by              Based on the articles of
   of the shareholders, established              taking other actions according            association, BOC members
   to perform supervisory functions              to accurate and reliable                  are appointed by the GMS for
   based on the articles of                      information from other                    a period of five years, without
   association, to advise the BOD in             sources;                                  prejudice to the right of the GMS
   managing the Company, as well                                                           to dismiss them at any time
                                              5. The BOC is not merely
   as to monitor the efficacy of GCG                                                       before the tenure expires, if the
                                                 approving or disapproving
   practices in the Company.                                                               BOC members are deemed to
                                                 of the acts that require the
   The supervision function of the               approval of the BOC, but                  be able to carry out their duties
   BOC takes place on two levels,                also supervising all business             as stipulated in the articles of
   namely:                                       and corporate aspects of the              association and/or the GMS
                                                 Company;                                  resolutions. Such dismissal is
   1.   Performance Level, i.e.,
                                                                                           applicable after the close of
        supervision through joint             6. The BOC shall ensure that the
                                                                                           the meeting, unless otherwise
        meetings with the BOD                    Company’s Annual Report
                                                                                           determined by the GMS. After
        to obtain explanation,                   includes information about
                                                                                           their term of office ends, BOC
        provide assessment and                   the identity of the BOC
                                                                                           members may be reappointed by
        recommendation to the BOD,               members, its main tasks,
                                                                                           the GMS.
        if necessary, and submit a               concurrent positions assumed
        proposal in the GMS to gain              by the BOC members in other               Prior to their appointment as
        approval.                                companies, membership of                  BOC members, candidates
   2. Conformance Level, i.e.,                   the BOC members in the                    are required to meet the
      implementation of supervision              Company’s Committees                      requirements set by OJK
      function at a later stage to               and in committees of other                Regulation No. 34/POJK.03/2018
      ensure compliance with the                 companies, including                      dated 27 December 2018 on
      applicable regulations and the             meetings conducted in one                 Reassessment of Key Personnel in
      articles of association.                   year (BOC meeting and joint               Financial Services Institutions in
                                                 meetings with the BOD), and               conjunction with POJK
   In exercising supervision:
                                                 the amount of honorarium                  No. 27/POJK.03/2016 dated
   1.   The BOC acts collectively as             received from the Company                 22 July 2016 on Fit and Proper
        the board and not individually;          as well as other information              Test for Key Personnel in Financial
   2. The BOC is not allowed to                  as stipulated in the applicable           Services Institutions. Candidates
      perform executive tasks,                   regulations; and                          are required to pass the fit
      which are the authority of              7. The BOC shall ensure that                 and proper test conducted by
      the BOD, except in certain                 the BOD has followed                      the fit and proper test team
      circumstances and for a                    up on audit findings and                  formed by OJK. All current BOC
      specific period of time, based             recommendations of the                    members have complied with the
      on the articles of association             Company’s internal audit                  applicable regulations.
      or GMS resolution;                         unit, external audit, and the             Upon reaching the end of their
   3. Supervision is conducted                   results of OJK and/or other               term of office, the BOC members
      on the decisions that have                 authorities’ supervision.                 may be reappointed, subject
      been taken (ex-post facto)                                                           to a performance assessment
      and/or decisions to be taken                                                         overseen by the Nomination and
      (preventive basis);                                                                  Remuneration Committee. After
                                                                                           assessment, the Nomination




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                     HIGHLIGHTS                                                              SUPPORTING UNITS




 and Remuneration Committee               c. Have never been convicted                 4. Have met the additional
 will make a recommendation,                 of a criminal act that                       criteria for the Commissioner
 should the Committee decide                 is detrimental to the                        who is also an Independent
 to authorize the BOC members’               country’s financial sector                   Commissioner, as outlined
 reappointment. Based on                     and/or related to the                        in the Independent
 the recommendations of the                  financial sector;                            Commissioners section in this
 Nomination and Remuneration              d. Have never been members                      chapter.
 Committee, the BOC will propose             of a BOD and/or a BOC that
 the reappointment of the BOC                during their period:                      BOC Composition and
 members at the GMS.
                                               •   Have never conducted                Profile
                                                   an AGMS;
 Criteria for                                                                          In 2023, there was a change to
                                               •   Have been members                   the composition of the BOC of
 BOC Members                                       of a BOD and/or a BOC               BFI Finance, with Dominic John
 Appointment                                       whose accountability                Picone replaced by Saurabh
 Those who may be appointed                        had not been accepted               Narayan Agarwal.
 as BOC members are those                          by the GMS or had not
                                                                                       The composition of the currently
 who meet the requirements                         provided accountability
                                                                                       presiding BOC is based on the
 as specified by the applicable                    as members of a BOD
                                                                                       Company’s Minutes of EGMS by
 regulations in the Capital Market,                and/or a BOC to the
                                                                                       means of the Deed No.7 dated
 and that upon appointment and                     GMS; and
                                                                                       16 May 2023 in conjunction
 during their period:                          •   Have never caused a                 with the Deed of Statement of
 1.   Have a good character, morals,               company that obtained               Meeting Resolutions No. 8 dated
      and integrity;                               a license, approval, or             16 May 2023 prepared before
                                                   registration of OJK to              Shanti Indah Lestari, S.H., M.Kn.,
 2. Are legally competent;
                                                   not fulfill the obligation          Notary in Tangerang Regency,
 3. Within five years prior to                     to submit annual                    accepted and recorded in the
    appointment and during their                   reports and/or financial            SABH database of the Ministry
    tenure:                                        reports to OJK;                     of Law and Human Rights
      a. Have not been declared           e. Have commitment to                        of the Republic of Indonesia
         bankrupt;                           complying with the                        No. AHU-AH.01.09-0123964 dated
      b. Have never been members             prevailing regulations; and               6 June 2023.
         of a BOD and/or a BOC that       f.   Have the required                       The BOC composition is
         has been found guilty for             knowledge and/or                        presented in Table 89.
         causing a company to go               expertise in the Company’s
         bankrupt;                             field of business;




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                                                          SUSTAINABILITY         SUPPORTING DATA                                  APPENDICES
   AND ANALYSIS                    GOVERNANCE                                                             STATEMENTS




   Table 89 • BOC Composition


           Name               Position       Country of    Date of Appointment         End          Number and Date of the Decree of the Fit
                                             Residence                               of Term                   and Proper Test
    Kusmayanto             President        Indonesia      Deed of the             2026            Decree of Bapepam-LK Chairman
    Kadiman                Commissioner                    EGMS Minutes            GMS             No. KEP-473/BL/2011 dated
                                                           No. 3 dated                             11 August 2011
                                                           25 May 2021
    Johanes Sutrisno       Independent      Indonesia      Deed of the             2026            Decree of the Board of
                           Commissioner                    EGMS Minutes            GMS             Commissioners of OJK
                                                           No. 3 dated                             No. KEP-2020/NB.1/2014 dated
                                                           25 May 2021                             4 August 2014
    Alfonso                Independent      Indonesia      Deed of the             2026            Decree of the Board of
    Napitupulu             Commissioner                    EGMS Minutes            GMS             Commissioners of OJK
                                                           No. 3 dated                             No. KEP-2019/NB.1/2014 dated
                                                           25 May 2021                             4 August 2014
    Sunata                 Commissioner     Indonesia      Deed of the             2025            Decree of the Board of
    Tjiterosampurno                                        EGMS Minutes            GMS             Commissioners of OJK
                                                           No. 7 dated                             No. Kep-282-NB.11-2015 dated
                                                           29 June 2020                            1 June 2015
    Saurabh                Commissioner     Singapore      Deed of the             2028            Decree of the Board of
    Narayan Agarwal                                        EGMS Minutes            GMS             Commissioners of OJK
                                                           No. 7 dated                             No. KEP-203/PL.02/2023 dated
                                                           16 May 2023                             8 December 2023




   Profiles of each member of the              The Board Manual is a                               9. Supporting Bodies of the BOC;
   BOC are presented in the BOC                compilation of the principles of                       and
   Profile section in the Company              corporate laws, the prevailing                      10. Working Relationships
   Profile chapter (pages 68–72).              regulations, and the Company’s                          between the BOC and
                                               articles of association governing                       the BOD.
   BOC Guidelines and                          the working procedures
                                                                                                   Information on the Positional
   Work Rules                                  of the BOC and the BOD.
                                                                                                   Ethics, Duties and Authorities,
                                               The Board Manual is the result
   In carrying out its duties and              of codification of the various                      and other matters related to the
   responsibilities, the BOC refers            regulations applicable to the                       BOC are available at https://www.
   to its guidelines and work rules            Company and best practices in                       bfi.co.id/en/corporate/Corporate-
   prescribed in the Board Manual              implementing GCG principles.                        Good-Governance/board-manual.
   of the BOC and the BOD of
   PT BFI Finance Indonesia Tbk                The Board Manual stipulates:                        Diversity of
   (Board Manual), issued on                   1.   Function of the BOC;                           BOC Composition
   1 December 2015.                            2. Membership of the BOC;
                                                                                                   The BOC composition reflects its
   The Board Manual is a reference             3. General Guidelines for BOC                       members’ diversity in education,
   and/or guideline for the BOC and               Supervision;                                     work experience, age, and
   the BOD in performing the duties            4. Positional Ethics of the BOC;                    skills. Each member of the BOC
   and functions as the respective                                                                 competently supports the BOC
                                               5. Duties and Authorities of
   governance bodies of the                                                                        supervisory function to ensure
                                                  the BOC;
   Company, to improve the quality                                                                 the Company performs optimally.
   and effectiveness of the working            6. Rights of the BOC;
   relationship between the BOC                7. Meetings of the BOC;
   and the BOD; and to implement               8. Performance Evaluation of
   GCG principles.                                the BOC;




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 Table 90 • Diversity of BOC Composition


            Name                 Position                                               Competence
  Kusmayanto             President                   Education: Doctor of Philosophy and Bachelor of Engineering Physics
  Kadiman                Commissioner
                                                     Work Experience: President Commissioner, Vice President
                                                     Commissioner, Commissioner, Independent Commissioner, Director,
                                                     ITB Rector, Minister of Reseach and Technology of the Republic of
                                                     Indonesia
                                                     Age: 69
  Johanes Sutrisno       Independent                 Education: Master of Business Administration (M.B.A.) and Bachelor of
                         Commissioner                Economics in Management
                                                     Work Experience: President Commissioner, Commissioner, Director,
                                                     Audit Committee, Risk Management Committee, Risk Oversight
                                                     Committee
                                                     Age: 72
  Alfonso Napitupulu     Independent                 Education: Bachelor of Law
                         Commissioner
                                                     Work Experience: Lawyer, Legal Consultant, Commissioner,
                                                     Independent Commissioner, President Director, Nomination and
                                                     Remuneration Committee
                                                     Age: 73
  Sunata                 Commissioner                Education: Master of Finance and Bachelor of Business Administration
  Tjiterosampurno
                                                     Work Experience: Consultant, Director, Managing Director,
                                                     Commissioner, President Commissioner, Audit Committee, Risk
                                                     Management Committee, Nomination and Remuneration Committee
                                                     Age: 51
  Saurabh Narayan        Commissioner                Education: Bachelor of Technology (B.Tech.) in Electrical Engineering,
  Agarwal                                            Master of Science (M.S.) in Microelectrics, Master of Business
                                                     Administration (M.B.A.)
                                                     Work Experience: Commissioner, President Director, and Director
                                                     in various companies in the fields of finance, telecommunications,
                                                     investment, energy, mining, and management consulting services,
                                                     business analyst, private equity investment associate
                                                     Age: 42



 BOC Independence
 Members of BFI Finance’s BOC have no financial and family relationships to the second degree with fellow
 BOC members, members of the BOD, and/or controlling shareholders, or relationships with the Company,
 except Kusmayanto Kadiman (President Commissioner), Sunata Tjiterosampurno (Commissioner), and
 Saurabh Narayan Agarwal (Commissioner), who have financial relationships with the controlling shareholder.

 Table 91 • BOC Independence


                                             Financial Relationship with                              Family Relationship with

                                                                      Controlling                                            Controlling
               Name             Commissioners        Directors                        Commissioners         Directors
                                                                     Shareholders                                           Shareholders

                                 Yes        No      Yes     No       Yes      No       Yes       No        Yes     No       Yes      No
  Kusmayanto Kadiman              -         √        -      √         √        -         -       √          -      √         -       √
  Johanes Sutrisno                -         √        -      √         -       √          -       √          -      √         -       √
  Alfonso Napitupulu              -         √        -      √         -       √          -       √          -      √         -       √
  Sunata Tjiterosampurno          -         √        -      √         √        -         -       √          -      √         -       √
  Saurabh Narayan
                                  -         √        -      √         √        -         -       √          -      √         -       √
  Agarwal



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                                                              SUSTAINABILITY   SUPPORTING DATA                                   APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                           STATEMENTS




   Table 92 • BOC Share Ownership Amounting to 5% or More from the Paid-up Capital


                  Name                             Position                       BFI Finance                      Other Company
    Kusmayanto Kadiman              President Commissioner                          None                                  None
    Johanes Sutrisno                Independent Commissioner                        None                                  None
    Alfonso Napitupulu              Independent Commissioner                        None                                  None
    Sunata Tjiterosampurno          Commissioner                                    None                                  None
    Saurabh Narayan Agarwal         Commissioner                                    None                                  None




   Independent                                      Independent Commissioner of                  their ability to act independently,
                                                    the Company in subsequent                    cannot be appointed as
   Commissioners                                    periods;                                     Independent Commissioners of
   Independent Commissioners                  2. Does not own shares; either                     the Company, before completing
   encourage the creation of a                   directly or indirectly; in the                  a cooling off period of one year.
   working environment that                      Company;                                        Of the five BOC members
   is objective, placing fairness
                                              3. Is not affiliated with the                      who were in office as at
   and equality among various
                                                 Company, members of the                         31 December 2023, two of them
   interests, including the interests
                                                 BOC, members of the BOD,                        are Independent Commissioners.
   of minority shareholders and
                                                 or major shareholders of                        Therefore, 40% of the total BOC
   other stakeholders. Independent
                                                 the Company;                                    members are Independent
   Commissioner should be free
                                              4. Does not have any business                      Commissioners, in keeping with
   of any conflict of interest in
                                                 relationship; either directly                   OJK provisions.
   conducting their duties.
                                                 or indirectly; relating to the                  Independent
   Independent Commissioners,                    Company’s business activities;
   based on OJK Regulation No.                                                                   Commissioners’ Statement
                                                 and
   33/POJK.04/2014 on Board                                                                      of Independence
                                              5. Independent Commissioners
   of Directors and Board of                                                                     With reference to Article 25 of
                                                 who have served for two
   Commissioners of Issuers or                                                                   POJK 33, each of the Company’s
                                                 periods may be reappointed
   Public Companies (POJK 33),                                                                   Independent Commissioners,
                                                 for the next period
   are members of the BOC from                                                                   namely Johanes Sutrisno and
                                                 providing the Independent
   outside the Issuer or Public                                                                  Alfonso Napitupulu, have met
                                                 Commissioners declare to
   Company who meet the                                                                          the criteria as Independent
                                                 remain independent to the
   requirements as Commissioners.                                                                Commissioners. Neither
                                                 GMS.
   In the event that the BOC                                                                     of them has any financial,
   consists of two members, one of            The Statement of Independence
                                                                                                 management, share ownership
   them must be an Independent                from Independent
                                                                                                 and/or family relationships with
   Commissioner.                              Commissioners is disclosed in
                                                                                                 other BOC members, BOD and/
                                              the annual report. In the case
   In addition to meeting the                                                                    or Controlling Shareholders or
                                              of Independent Commissioners
   requirement provisions as                                                                     relationships with the Company,
                                              serving on the Audit Committee,
   a member of the BOC, an                                                                       which may affect their ability to
                                              the Independent Commissioners
   Independent Commissioner shall                                                                act independently as stipulated
                                              concerned can only be
   meet the following requirements:                                                              in the implementation of GCG for
                                              reappointed for one more term as
                                                                                                 finance companies.
   1.   Is not a person who is working        member of the Audit Committee.
        or having authority and
        responsibility for planning,          Based on the Board Manual of
        directing, controlling, or            the BOC and the BOD, former
        supervising the activities            members of the BOD or executive
        of the Company within                 officers of the Company or parties
        six months, except for                who have a relationship with
        reappointment as an                   the Company, which may affect




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 Concurrent Positions of BOC Members
 Table 93 • Concurrent Positions of BOC Members


          Name             Position                              Position Outside the Company and Its Subsidiary
  Kusmayanto         President           •    Vice President Commissioner of PT Adaro Power
  Kadiman            Commissioner        •    President Commissioner of PT Setiabudi Investment Management
                                         •    Commissioner of PT Profesional Telekomunikasi Indonesia (Protelindo)
                                         •    Commissioner of Independen PT Sarana Menara Nusantara Tbk
                                         •    Commissioner of Independen PT Global Digital Niaga Tbk
                                         •    Member of International Advisory Board Komatsu Ltd., Jepang
  Johanes Sutrisno   Independent         None
                     Commissioner
  Alfonso            Independent         Managing Partner at the Law Office of Alfonso Napitupulu & Partners
  Napitupulu         Commissioner
  Sunata             Commissioner        • Managing Director of Northstar Advisors Pte. Ltd.
  Tjiterosampurno                        • Commissioner of PT Trimegah Sekuritas Indonesia Tbk
                                         • Commissioner of PT Bundamedik Healthcare System Tbk (BMHS)
  Saurabh Narayan    Commissioner        • Managing Director and Head of Southeast Asia Private Equity di
  Agarwal                                  Warburg Pincus LLC, Singapura
                                         • Commissioner of PT Asuransi Bina Dana Arta Tbk (ABDA / Oona
                                           Insurance Indonesia)
                                         • Director of Advance Intelligence Group (ADVANCE.AI), Oona Insurance
                                           Singapore (Oona Holdings Pte. Ltd.), Circles.Life, Everise, GCash (Mynt –
                                           Globe Fintech Innovations, Inc.), MoMo Pay, and Techcombank (Vietnam
                                           Technological and Commercial Joint Stock Bank)



 Based on Article 24 of POJK 33,        running the functional tasks of                      4. Approved the Company’s 2024
 BOC members may hold                   the Company’s shareholders,                             operating plan; and
 concurrent positions as members        which are legal entities in the                      5. Approved the BOD’s proposal
 of the BOD at no more than two         business group; and/or BOC                              for 2024 budget.
 other issuers or other public          members holding positions
 companies, and BOC members             at non-profit organizations or                       In 2023, the BOC made the
 at two issuers or other public         agencies, ensuring that those                        following recommendations:
 companies at most. In the case of      concerned do not neglect their                       1.   Proposed nomination of the
 none of the BOC members holds          duties and responsibilities as the                        Company’s internal officials;
 a position as a member of the          Company’s BOC members.                               2. Proposed remuneration for
 BOD, BOC members concerned                                                                     the BOD and the BOC;
                                        All BOC members of the
 may hold concurrent positions
                                        Company presiding up to                              3. Appointment of the public
 as BOC members at no more
                                        31 December 2023 have complied                          accounting firm;
 than four issuers or other public
                                        with the provisions of POJK 30                       4. Follow up on the public
 companies. BOC members may
                                        and POJK 33.                                            accounting firm’s
 serve as a member of at most five
                                                                                                recommendations;
 committees of public companies
                                        BOC’s Duties                                         5. Proposed the appropriation of
 and also serve as a member of the
 BOD or the BOC.                        Execution                                               the FY2022 earnings;
                                        In 2023, the BOC carried out                         6. Proposed matters related
 Based on Article 18 of POJK
                                        among others the following                              to the strategic business
 No. 30/POJK.05/2014 regarding
                                        activities:                                             activities; and
 GCG for Finance Companies
 (POJK 30), BOC members are             1.     Conducted 11 BOC Meetings;                    7. Approved the actions of
 prohibited from concurrent             2. Conducted 11 BOC–BOD Joint                           the BOD as stipulated in
 positions as BOC members                  Meetings;                                            the Company’s articles of
 in more than three other                                                                       association.
                                        3. Approved the appointment of
 companies. This excludes
                                           the public accounting firm for
 concurrent positions as referred
                                           FY2023;
 to in Paragraph (4) if the non-
 independent BOC members



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                                                        SUSTAINABILITY     SUPPORTING DATA                            APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                       STATEMENTS




   Policy on Determining BOC Remuneration
   The Company’s remuneration policy is based on Article 113 of the Limited Liability Company Law and Article
   17 Paragraph (10) of the Company’s articles of association. These laws describe the amount of salary or
   honorarium and allowances for BOC members and the BOD to be determined by the GMS. The GMS can also
   delegate the authority to the BOC to establish and approve the amount of the proposed remuneration.

   The BOC’s and the BOD’s remunerations are recommended by the Nomination and Remuneration
   Committee, based on a formula referred to in the Company’s internal policies, prevailing regulations, and
   taking into account the Company’s performance.


   Graph 13 • BOC Remuneration Mechanism


              Recommendation of
                                                             BOC                                        GMS
              the Nomination and
                                                        Approval Meeting                              Approval
            Remuneration Committee




   The Nomination and                              to the BOC to obtain their                per month after tax for 2023, and
   Remuneration Committee’s                        approval, in accordance                   determined to give performance
   recommendation is submitted                     with the authority granted                bonus (tantieme) for 2022
   to the BOC and delivered in                     by the GMS, approves the                  amounting to Rp2.8 billion.
   the GMS. The mechanism for                      amount of remuneration, and               The total salary and allowances
   determining the remuneration for                determines the distribution               for all BOC members for 2023
   the BOC is as follows:                          of remuneration among                     thus amounted to Rp5.6 billion.
   •   The BOD, taking into                        the BOC members. The
       account the Company’s                       total remuneration for the                Orientation Program
       financial condition, prepares               BOC and the BOD will be                   for New BOC Members
       a proposal for the amount                   reported to the Shareholders
                                                   in the Annual Report of the               For new BOC members, to enable
       of remuneration for the
                                                   Company.                                  them to determine the general
       BOC to the Nomination and
                                                                                             condition of the Company
       Remuneration Committee;
                                              BOC’s Remuneration                             and be more familiar with the
   •   The Nomination and                     Structure and Amount                           other members, and devise
       Remuneration Committee                                                                ways to collaborate as a solid,
       examines the remuneration              The structure of remuneration for
                                                                                             comprehensive and effective
       proposal from the BOD and              all BOC members of the Company
                                                                                             team, the Company organizes an
       the market conditions for the          for 2023 consists of:
                                                                                             orientation program. Orientation
       relevant industry and business         •    Honorarium;                               of new BOC members is held at
       of a comparable size; and              •    Allowances; and                           the first BOC Meeting attended
   •   Taking into account the                •    Performance bonus.                        by the new members.
       business performance of the
                                              The AGMS on 16 May 2023                        In 2023, the new Commissioner
       Company and its members’
                                              determined that the total                      Saurabh Narayan Agarwal
       contributions, the Nomination
                                              amount of the remuneration                     attended the orientation program
       and Remuneration Committee
                                              of the BOC was Rp252.2 million                 taking place at the BOC Meeting
       will make recommendations
                                                                                             on 13 June 2023.




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 BOC Competence Enhancement and Training Programs
 The Company allocates a budget for the BOC to attend various training programs and seminars in order to
 develop their competence. The list of training programs in 2023 attended by BOC members is presented in
 Graph 14.


 Graph 14 • BOC Competence Enhancement



       JUNE                                                                       OCTOBER

           6                      APPI, Jakarta
                                                                                    3                        APPI, Jakarta



       National Seminar on A New Era for                                          National Seminar on Economic Outlook 2024
       Financing Industry



       KK       JS    AN                                                            ST




               Kusmayanto Kadiman                        Alfonso Napitupulu                    Saurabh Narayan Agarwal
      KK                                         AN                                      SA



               Johanes Sutrisno                          Sunata Tjiterosampurno
      JS                                          ST




 Working Relationship                                  4. Informal working relationships               7. The BOD is responsible for
                                                          are allowed for the BOC                         ensuring that information
 between the BOC and                                      members and BOD members,                        about the Company is granted
 the BOD                                                  but cannot be used as a formal                  to the BOC in a timely,
 The Company maintains a good                             policy before undergoing                        accurate, consistent and
 working relationship between the                         the proper mechanism or                         complete manner; and
 BOC and the BOD by applying                              correspondence that can be                   8. Every working relationship
 the following principles:                                accounted for;                                  between the BOC and the
 1.    The BOC must respect the                        5. The BOC reserves the right to                   BOD is an institutional
       functions and roles of the BOD                     gain access to timely, accurate,                relationship, i.e., the BOC
       in managing the Company                            and complete company                            and the BOD are collective
       as stipulated in the laws and                      information;                                    offices that represents all of its
       the Company’s articles of                       6. To obtain further information                   members, so that the working
       association;                                       on a case, the Board may                        relationship between the BOC
                                                          request explanations from                       and the BOD is understood by
 2. The BOD must respect the
                                                          officials under the BOD with                    BOC members and the BOD.
    functions and roles of the BOC
    in conducting monitoring and                          prior coordination with the
    providing policy advice to the                        BOD, so as to create a working
    management of the Company;                            relationship between the BOC
                                                          and the BOD, so that the aim
 3. The working relationship
                                                          of corporate communication
    between the BOC and
                                                          through the one-gate policy
    the BOD is a formal
                                                          can be achieved;
    relationship, guided by
    a standard mechanism or
    correspondence that can be
    accounted for;




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                                                        SUSTAINABILITY   SUPPORTING DATA                            APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                     STATEMENTS




   BOC Committees                             The duties of the above three                Based on the result of assessment
                                              committees are elaborated                    of each committee under the
   In executing their duties, the BOC         in their own charter. The                    BOC, considering the collective
   is assisted by three committees,           Committees report directly to                performance, competence, and
   i.e., Audit Committee, Risk                the BOC, and at the Company’s                attendance in meetings of each
   Oversight Committee, and                   expenses, each committee is                  committee, the BOC concluded
   Nomination and Remuneration                entitled to ask for advisory service         that its committees carried
   Committee. Each committee                  from external agencies if deemed             out their respective duties and
   holds meetings regularly or                necessary. The description of                responsibilities meetings in 2023,
   whenever deemed necessary.                 each committee under the BOC is              according to the mandate given
   Each committee consists of the             presented in subsequent sections             to them.
   Chairperson from one of the                in this chapter (pages 210–221).
   Independent Commissioners,
   and its members, whom are
   appointed by the BOC.




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 ABOUT THIS REPORT                           REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                     HIGHLIGHTS                                                                  SUPPORTING UNITS




 BOARD OF DIRECTORS

 Main Tasks                             fit and proper test team formed                     3. Within five years prior to
                                        by OJK. All BOD members have                           appointment and during their
 The Board of Directors (BOD) is        complied with the prevailing                           period:
 established as the Company’s           regulations.                                           a. Have not been declared
 governance body that is fully
                                        Upon reaching the end of                                  bankrupt;
 responsible for the management
 of the Company’s interests and         their term of office, the BOD                          b. Have never been members
 objectives as well as representing     members may be reappointed,                               of a BOD and/or a BOC
 the Company, both in and out of        subject to a performance                                  that has been found guilty
 the court, in every way and for        assessment supervised by the                              for causing a company to
 any event.                             Nomination and Remuneration                               bankruptcy;
                                        Committee. After the                                   c. Have never been convicted
 BOD Appointment and                    assessment, the Nomination                                of a criminal act that
                                        and Remuneration Committee
 Dismissal Procedures                                                                             is detrimental to the
                                        shall make a recommendation                               country’s financial sector
 Based on the articles of               if the Committee authorizes the                           and/or related to the
 association, BOD members are           reappointment of those members                            financial sector; and
 appointed by the shareholders at       whose period has finished. Based
                                                                                               d. Have never been members
 the GMS for a term commencing          on the recommendations of the
                                                                                                  of a BOD and/or a BOC that
 on the date of appointment until       Nomination and Remuneration
                                                                                                  during their period:
 the closing of the fifth AGMS.         Committee, the BOC will propose
 BOD members may be dismissed           the reappointment of the BOD                              •   Have never conducted
 by the shareholders at the GMS         members at the GMS.                                           an AGMS;
 at any time before their term of                                                                 •   Have been members
 office expires.                        Criteria for                                                  of a BOD and/or a BOC
                                        BOD Members                                                   whose accountability
 Prior to their appointment as
                                                                                                      had not been accepted
 BOD members, candidates                Appointment                                                   by the GMS or had
 are required to meet the
                                        Those who may be appointed                                    not provided the
 requirements set by POJK
                                        as BOD members can be                                         accountability as
 No. 34/POJK.05/2018 dated 27
                                        Indonesian citizens and/or foreign                            members of a BOD and/
 December 2018 on Reassessment
                                        nationals who are qualified to                                or a BOC to the GMS;
 of Key Personnel in Financial
                                        be appointed as Directors of the                              and
 Services Institutions, which has
                                        Company, in line with the articles                        •   Have caused a
 been amended with POJK No.
                                        of association, and following                                 company that obtained
 14/POJK.03/2021 dated 31 July
                                        the provisions of the prevailing                              a license, approval, or
 2021, in conjunction with POJK
                                        regulations in the Capital Market,                            registration of OJK to
 No. 27/POJK.03/2016 dated 22
                                        among others:                                                 not fulfill the obligation
 July 2016 on Fit and Proper Test
 for Key Personnel in Financial         1.     Have a good character, morals                          to submit annual
 Services Institutions. Candidates             and integrity;                                         reports and/or financial
 are required to pass the fit and       2. Are legally competent;                                     reports to OJK;
 proper test conducted by the




190                                                                    PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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                                                            SUSTAINABILITY      SUPPORTING DATA                                APPENDICES
   AND ANALYSIS                       GOVERNANCE                                                        STATEMENTS




        e. Have commitment to                     3. Have experience working in                   The composition of the currently
           comply with the prevailing                finance companies and other                  presiding BOD is based on the
           regulations; and                          fields that are relevant to their            Company’s Minutes of EGMS by
        f.    Have the required                      positions; and                               means of the Deed No. 7 dated
              knowledge and/or                    4. Have the ability to make                     16 May 2023 in conjunction
              expertise in the Company’s             strategic management                         with the Deed of Statement of
              field of business.                     decisions in order to develop                Meeting Resolutions No. 8 dated
                                                     the Company into a healthy                   16 May 2023 prepared before
   In addition to the above, BOD                                                                  Shanti Indah Lestari, S.H., M.Kn.,
                                                     financial institution.
   members are also obliged to                                                                    Notary in Tangerang Regency,
   meet the following requirements:
                                                  BOD Composition                                 accepted and recorded in the
   1.   Have sufficient knowledge                                                                 SABH database of the Ministry
        and relevant to their positions;
                                                  and Profile
                                                                                                  of Law and Human Rights
   2. Have an understanding of                    In 2023, there was a change                     of the Republic of Indonesia
      the laws and regulations                    to the number of members                        No. AHU-AH.01.09-0123964 dated
      concerning finance                          and composition of the BOD                      6 June 2023.
      companies as well as other                  of BFI Finance, namely the
                                                                                                  The BOD composition is
      laws and regulations relating               resignation of Sigit Hendra
                                                                                                  presented in Table 94.
      to the finance companies;                   Gunawan from his position
                                                  as Director.



   Table 94 • BOD Composition


             Name          Position      Country of       Date of Appointment        End of Term        Number and Date of the Decree of
                                         Residence                                                          the Fit and Proper Test
    Francis Lay      President          Indonesia      Deed of the EGMS            2026 GMS            Decree of the Board of
    Sioe Ho          Director                          Minutes No. 3 dated                             Commissioners of OJK
                                                       25 May 2021                                     No. KEP-2021/NB.1/2014 dated
                                                                                                       4 August 2014
    Sudjono          Finance            Indonesia      Deed of the EGMS            2024 GMS            Decree of the Board of
                     Director                          Minutes No. 59 dated                            Commissioners of OJK
                                                       28 May 2019                                     No. KEP-1294/NB.1/2014 dated
                                                                                                       3 June 2014
    Sutadi           Business           Indonesia      Deed of the EGMS            2024 GMS            Decree of the Board of
                     Director                          Minutes No. 18 dated                            Commissioners of OJK
                                                       28 May 2019                                     No. KEP-1292/NB.1/2014 dated
                                                                                                       3 June 2014
    Andrew           Operations,        Indonesia      Deed of the EGMS            2027 GMS            Decree of the Board of
    Adiwijanto       Human                             Minutes No. 17 dated                            Commissioners of OJK
                     Capital                           29 June 2022                                    No. KEP-465/NB.11/2017 dated
                     & Asset                                                                           14 August 2017
                     Management
                     Director

   Profile of each BOD member is presented in the BOD Profile section in the Company Profile chapter
   (pages 73–76).




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                        HIGHLIGHTS                                                                       SUPPORTING UNITS




 BOD Guidelines                              The Board Manual stipulates:                          Information on the Positional
                                                                                                   Ethics, Duties and Authorities,
 and Work Rules                              1.     Function of the BOD;
                                                                                                   and other matters related to the
                                             2. Membership of the BOD;
 In carrying out its duties and                                                                    BOD are available at https://www.
 responsibilities, the BOD refers            3. Term of the BOD;
                                                                                                   bfi.co.id/en/corporate/Corporate-
 to its guidelines and work rules            4. Positional Ethics of the BOD;                      Good-Governance/board-manual.
 prescribed in the BOC and the               5. Duties and Authority of the
 BOD Manual of PT BFI Finance                   BOD;                                               Division of BOD Duties
 Indonesia Tbk as discussed in the
                                             6. Authority of the BOD;                              and Responsibilities
 Board of Commissioners section
                                             7. Rights of the BOD;                                 The details of duties and
 in this chapter (page 183).
                                             8. Meetings of the BOD;                               responsibilities for each BOD
                                             9. Performance Evaluation of the                      member is presented in Table 95.
                                                BOD; and
                                             10. Supporting Bodies of the BOD.


 Table 95 • BOD Duties and Responsibilities


 Name and Position                                                Duties and Responsibilities

 Francis Lay         As a Chief Executive Officer (CEO), he holds the highest decision-making authority in the Company
 Sioe Ho             and is responsible for the overarching achievement of the Company’s business objectives and
 President           targets. Along with other BOD members, he leads the formulation and implementation of the
 Director            Company’s strategic objectives and business plan. He receives direct reports from all Directors
                     and leaders of work units, consisting of the Head of Digital & Business Incubation (including
                     Information Technology or IT management functions) and the Head of Project Management Office
                     (PMO). In relation to the resignation of Sigit Hendra Gunawan as Chief Risk Officer (CRO), which
                     had been approved by the shareholders at the 16 May 2023 EGMS, there was a temporary transfer
                     of duties and responsibilities from several departments and work units under the Directorate of
                     Corporate Risk to him, comprising Risk Management, Credit Operations, Operational Risk & KYC,
                     Data Management, Anti-Fraud and Collection Analytic functions. These temporary duties and
                     responsibilities will be transferred back to the new/replacement CRO following his/her official
                     appointment. He also supervises the Corporate Compliance, Internal Audit and Corporate Secretary
                     functions. In the BOD Committees, he acts as Chairman of the Risk Management Committee
                     and Chairman of the Information Technology Steering Committee. In relation to the Company’s
                     subsidiary (PT FIT), he serves as the President Commissioner.

 Sudjono             As a Chief Financial Officer (CFO), he is responsible for directing and monitoring all the financial
 Finance             activities, including funding sources and adequacy of funding (including liquidity position)
 Director            to support business growth, financial control, oversight of strategic projects, and also the
                     presentation of financial statements in accordance with the applicable accounting standards
                     and regulations. He also serves as the Corporate Secretary and the partner for business
                     units and regional business operations in regards to reporting and analysis of financial and
                     operational performance of the Company’s business lines. The units under his supervision are
                     Financial Control, Finance & Treasury, Corporate Secretariat (including Corporate Regulatory
                     & Compliance), Investor Relations, and Corporate Communication, CSR & Corporate Program
                     Development & Management (CPDM). In the BOD Committees, he acts as Member of the Risk
                     Management Committee and Member of the Information Technology Steering Committee. In
                     relation to the Company’s subsidiary (PT FIT), he serves as a Commissioner.

 Sutadi              As a Chief Marketing Officer (CMO), he is responsible for formulating strategy and marketing
 Business            work plan to ensure the achievement of annual business targets, developing an annual budget
 Director            plan for the financing business that includes product segments for retail customers (used and
                     new cars, used motorcycle, property, and non-collateral), commercial products for corporate
                     customers (heavy equipment and machinery), and sharia-based financing. He cooperates with
                     Enterprise Risk Directorate in managing the risk level of each segment of retail and commercial
                     products to support the profitability target achievement. The units under his supervision
                     include National Sales (including under it the work units related to the Product Development
                     & Management functions for Cars, Motorcycles, Property-Backed Financing/PBF, and Non-
                     Collateral), Corporate Business (Heavy Equipment and Machinery), Sharia Business Unit (SBU),
                     Digital Marketing, Direct & Telemarketing, Business Project & MIS, New Business Tribe, Core
                     Business Tribe, Channel Tribe, and Integrated Marketing Communication (IMC). In the BOD
                     Committees, he acts as Member of the Information Technology Steering Committee.




192                                                                          PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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   MANAGEMENT DISCUSSION          GOOD CORPORATE                                                      ANNUAL FINANCIAL
                                                        SUSTAINABILITY        SUPPORTING DATA                             APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                          STATEMENTS




   Table 95 • BOD Duties and Responsibilities


    Name and Position                                          Duties and Responsibilities

    Andrew          As a Chief Operating Officer (COO), he is responsible for ensuring the alignment of functions
    Adiwijanto      within the organization run properly and complying with internal policies. He is also
    Operations,     responsible for monitoring the development and management of human capital as well as the
    Human           standardization of customer service in order to achieve sustainable consumer and customer
    Capital & Asset satisfaction level. Concurrently as a Chief Human Capital Officer (CHCO), he is also responsible for
    Management monitoring the development and management of human capital. In relation to the resignation of
    Director        Sigit Hendra Gunawan as CRO, which had been approved by the shareholders at the 16 May 2023
                    EGMS, there was a temporary transfer of duties and responsibilities from departments and work
                    units under the Directorate of Corporate Risk to him, namely Asset Management, Recovery &
                    Inventory. His responsibility in this regard is to maintain the Company’s portfolio quality, through
                    collection and recovery of outstanding receivables, as well as ensuring that the collection
                    and settlement of non-performing contracts are compliant with the prevailing regulations.
                    He receives direct reports from Head of Human Capital, Head of Operations & Service Excellence,
                    Head of Branch Business Partner (formerly Head of Network Development & Management),
                    Head of Insurance & Operational Services, Head of Operational Development, Head of Asset
                    Management, Recovery & Inventory, and Head of Collection Squad. In the BOD Committees,
                    he acts as Member of the Information Technology Steering Committee.




   BOD Authority                              In carrying out the business                      5. The BOD members are
                                              and operational activities, BOD                      entitled to a salary and/or
   and Rights                                 reserves the following rights:                       benefits.
   The BOD, in carrying out                   1.   Every BOD member is entitled
   the Company’s activities                        to resign by submitting a                    Diversity of
   and operations, reserves the                    written notification to the                  BOD Composition
   authority to:                                   Company of their intent at
                                                                                                The composition of the
   1.   Pursue business development;               least 30 days before the date
                                                                                                Company’s BOD reflects the
   2. Represent the Company in                     of their resignation;
                                                                                                diversity of its members, both
      and out of court;                       2. Every BOD member has the                       in terms of education, work
   3. Develop provisions concerning              right to defend themselves                     experience, age, and skills.
      employment including                       at the GMS if the GMS at                       Each BOD member is highly
      recruitment, transfer,                     any time dismiss said BOD                      competent with regards to
      succession and termination,                member;                                        enhancing the Company’s
      salary determination, post-             3. The BOD has the right to                       performance. The diversity of the
      employment benefits                        appoint one or more as                         BOD members has been met
      and retirement, as well as                 representatives or proxies to                  implicitly with the fulfillment
      other income based on the                  perform certain legal actions                  of the requirements as BOD
      prevailing regulations;                    by giving special powers set                   members, one of which is having
   4. Appoint and dismiss the                    forth in the power of attorney;                expertise in the areas that are
      Corporate Secretary; and                4. The BOD is entitled to                         important for the Company.

   5. Establish strategic and                    represent the Company in and
      operational decisions that                 out of court on all matters and
      involve risks and uncertainties.           in any event as well as perform
                                                 all acts and deeds, both
                                                 regarding maintenance and
                                                 ownership, as well as binding
                                                 the Company with other
                                                 parties, within the restrictions
                                                 stipulated in the articles of
                                                 association of the Company;
                                                 and




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 ABOUT THIS REPORT                                 REPORTS TO STAKEHOLDERS         COMPANY PROFILE
                        HIGHLIGHTS                                                                          SUPPORTING UNITS




 Table 96 • Diversity of BOD Composition


            Name                  Position                                                  Competence
  Francis Lay Sioe Ho     President Director           Education: Master of Business Management (M.B.M.), Bachelor of
                                                       Business Administration (B.B.A.)
                                                       Work Experience: President Commissioner of FIT, President Director,
                                                       Director and Company Founder, Credit Manager, Treasury Officer,
                                                       Executive Officer at Singapore Ministry of Finance
                                                       Age: 75
  Sudjono                 Finance Director             Education: Enterprise Risk Manager (ERM™), Master of Business
                                                       Administration (M.B.A.), Bachelor of Economics in Accounting
                                                       Work Experience: Commissioner of FIT, Director, Corporate
                                                       Secretary, Finance and Information Technology Division Head, Risk
                                                       Management Committee, Senior Auditor
                                                       Age: 53
  Sutadi                  Business Director            Education: Executive M.B.A., Bachelor of Industrial Engineering
                                                       Work Experience: Director, Division Head, Regional Manager, Branch
                                                       Manager, Sales Executive, Collection & Credit Analyst Officer
                                                       Age: 49
  Andrew Adiwijanto       Operations, Human            Education: Master of Business Administration (M.B.A.), Bachelor of
                          Capital & Asset              Electrical Engineering
                          Management
                          Director                     Work Experience: Director, Nomination and Remuneration
                                                       Committee, Division Head and Department Head in various sections
                                                       of the head office, Regional Manager and Branch Manager in various
                                                       regions in Indonesia, Marketing Officer
                                                       Age: 55


 BOD Independence
 Members of BFI Finance’s BOD have no financial and family relationships to the second degree with fellow
 BOD members, members of the BOC, and/or Controlling Shareholders, or relationships with the Company.

 Table 97 • BOD Independence


                                                  Financial Relationship with                             Family Relationship with

                                                                            Controlling                                           Controlling
                Name               Commissioners         Directors                          Commissioners        Directors
                                                                           Shareholders                                          Shareholders

                                   Yes       No        Yes     No       Yes        No      Yes       No        Yes      No     Yes      No
  Francis Lay Sioe Ho               -        √          -       √          -       √         -       √          -       √       -       √
  Sudjono                           -        √          -       √          -       √         -       √          -       √       -       √
  Sutadi                            -        √          -       √          -       √         -       √          -       √       -       √
  Andrew Adiwijanto                 -        √          -       √          -       √         -       √          -       √       -       √

 Table 98 • BOD Share Ownership Amounting to 5% or More from the Paid-up Capital


                Name                                            Position                                  BFI Finance          Other Company
  Francis Lay Sioe Ho              President Director                                                       None                     None
  Sudjono                          Finance Director                                                         None                     None
  Sutadi                           Business Director                                                        None                     None
  Andrew Adiwijanto                Operations, Human Capital                                                None                     None
                                   & Asset Management Director




194                                                                             PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 197
   MANAGEMENT DISCUSSION          GOOD CORPORATE                                                  ANNUAL FINANCIAL
                                                        SUSTAINABILITY          SUPPORTING DATA                             APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                      STATEMENTS




   Concurrent Positions of BOD Members
   Based on Article 9 of POJK 30, the Company’s BOD members are prohibited from concurrent positions
   as executive directors at other companies, except as a member of the BOC at a maximum of three other
   companies, except for BOD members who are responsible for the supervision of investments in subsidiaries
   that conduct business in the financing industry, carrying out functional tasks as members of the BOC in
   subsidiaries controlled by the Company, as long as such concurrent positions do not result in neglect of their
   duties and authorities as members of the Company’s BOD.

   In accordance with Article 6 of POJK 33, BOD members may hold concurrent positions as BOD members in
   not more than one other issuer or other public company, BOC members in not more than three other issuers
   or public companies, and members of committees in not more than five committees in the issuers or public
   companies where they serve as BOD or BOC members.

   All BOD members of the Company presiding up to 31 December 2023 have complied with POJK 30 and
   POJK 33 provisions.

   Table 99 • Concurrent Positions of BOD Members


                      Name                                           Position                         Position Outside the Company
                                                                                                            and Its Subsidiary
       Francis Lay Sioe Ho                  President Director                                                       None
       Sudjono                              Finance Director                                                         None
       Sutadi                               Business Director                                                        None
       Andrew Adiwijanto                    Operations, Human Capital                                                None
                                            & Asset Management Director


   Policy on Determining BOD Remuneration
   In accordance with the Company’s articles of association, salaries and other benefits for the BOD members
   are determined by the BOC, who is authorized by the AGMS. Remuneration of the BOD is determined
   by the BOC Meeting annually.

   The AGMS on 16 May 2023 approved to give power and authority to the BOC to determine the duties
   and responsibilities of each BOD member and determine the BOD members’ remuneration.

   Graph 15 • BOD Remuneration Mechanism




                  Recommendation of
                                                            BOC                                        GMS
                  the Nomination and
                                                       Approval Meeting                              Approval
                Remuneration Committee



   The mechanism for determining the remuneration for BOD is as follows:
   •     The BOD, by taking into account the Company’s financial condition, develops a proposal of remuneration
         amount for the BOD to the Nomination and Remuneration Committee;
   •     The Nomination and Remuneration Committee examines the proposed remuneration for the BOD based
         on the duties and responsibilities of each Director, the Company’s financial condition, and comparisons
         with relevant industries and businesses of a comparable size; and
   •     The Nomination and Remuneration Committee shall make recommendations to the BOC Meeting
         for approval, and then be brought to the GMS.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                         195
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                           2023 PERFORMANCE                                                                    BUSINESS
 ABOUT THIS REPORT                                   REPORTS TO STAKEHOLDERS         COMPANY PROFILE
                           HIGHLIGHTS                                                                          SUPPORTING UNITS




 BOD Remuneration                                Orientation Program                                    BOD Competence
 Structure                                       for New BOD Members                                    Enhancement and
 The BOD’s remuneration                          To enable new BOC members                              Training Programs
 structure consists of:                          to determine the general                               The Company allocates a
 •    Salaries,                                  condition of the Company and                           budget for the BOD members
 •    Benefits,                                  be more familiar with the other                        to attend training programs
                                                 members, and altogether devise                         through various seminars and
 •    Facilities, and
                                                 ways to collaborate as a solid,                        trainings. The list of training
 •    Performance bonus.
                                                 comprehensive and effective                            programs in 2023 attended
 Total remuneration for the BOD                  team, BFI Finance organizes an                         by BOD members is presented in
 in 2023 amounted to Rp35 billion.               orientation program for these                          Graph 16.
                                                 new members. The orientation of
                                                 new BOD members is held in the
                                                 first BOD meeting attended by
                                                 the new members.


 Graph 16 • BOD Competence Enhancement



      JANUARY                                                                   MARCH

      31                       APPI, Jakarta
                                                                                    3                          APPI, Jakarta



      National Seminar on Financing Challenges in                               National Seminar on Microfinance and HR in
      the Midst of Political Year                                               the Era of Society 5.0



      FL     SI                                                                     AA




      MAY                                                                       JUNE

      22                  APPI, Daring dari Jakarta
                                                                                    6                          APPI, Jakarta



      Webinar "Strengthening National Resilience in                             National Seminar on A New Era for
      the Financial Services Industry"                                          Financing Industry



      FL    SO       SI   AA                                                        FL      SI     AA




      AUGUST
                                                                                         Francis Lay Sioe Ho
                                                                               FL
      10                  OJK, Daring dari Jakarta


                                                                                         Sudjono
                                                                               SO
      Webinar "Mengenal Lebih Jauh Pengaturan
      UU P2SK Dalam Rangka Penguatan Industri
      Keuangan Non-Bank (IKNB)"                                                          Sutadi
                                                                               SI



                                                                                         Andrew Adiwijanto
      SO                                                                       AA




196                                                                            PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 199
   MANAGEMENT DISCUSSION             GOOD CORPORATE                                                        ANNUAL FINANCIAL
                                                                SUSTAINABILITY       SUPPORTING DATA                                APPENDICES
   AND ANALYSIS                      GOVERNANCE                                                            STATEMENTS




   Committees Under                                     the Committee was chaired                      3. Providing
                                                        by the Head of UUS, had three                     recommendations,
   the BOD                                              members, and in possession                        suggestions/input, and
   The BOD has three committees                         of a charter. Committee                           evaluation of marketing
   under the BOD to support the                         meetings are held at least                        aspects, fulfillment of
   management’s performance, with                       once in six months.                               sharia principles, and risk
   the details for each as follows:                                                                       mitigation; and
                                                        Independence Statement
                                                                                                       4. Formulating and
   1. Sharia Product and                                All Committee members
                                                                                                          proposing monthly and
      Business Activity                                 maintain their professionalism
                                                                                                          annual performance
      Development                                       and accountability at work,
                                                                                                          achievements for business
      Committee                                         and refrain from taking
                                                                                                          activities based on sharia
                                                        personal advantage, either
       This committee was formed                                                                          principles.
                                                        directly or indirectly, from the
       based on the BOD Decree
       No. SK/SYARIAH/19-0176 dated
                                                        Company’s activities other                     Committee Composition
                                                        than their legitimate income.                  The Sharia Product
       25 July 2019, in accordance
                                                        Committee members are                          and Business Activity
       with POJK No. 10/POJK.05/2019
                                                        committed to implementing                      Development Committee as at
       on Business Operations of
                                                        POJK 10/2019 provisions.                       31 December 2023 comprised:
       Sharia Finance Companies
       and Sharia Business Units                        Duties and Functions                           •   Chairman: Deni Nasri
       of Finance Companies                                                                            •   Members:
                                                        1.   Conducting studies
       (POJK 10/2019). The structure
                                                             and analysis of product                       -     August Rinaldi Sanoesi
       and duties of the Committee
                                                             development or new                            -     John Piter Sinaga
       were re-established through
                                                             business activities to be
       the BOD Decree                                                                                      -     Emiliana Woro Saptiti
                                                             enacted or marketed;
       No. SK/SYARIAH/23-0201 UPD 1                                                                              Hari Putri
                                                        2. Evaluating and improving
       dated 7 November 2023.
                                                           each product or business
       As at 31 December 2023,
                                                           activity;




   Table 100 • Profiles and Term of Office of Members of Sharia Product and Business Activity Development Committee


                                                                                                               Internal Position     Term of
       Name          Position   Age       Nationality                    Educational Background
                                                                                                                in the Company        Office
    Deni          Chairman      45      Indonesian           • Bachelor of Economics in                        Head of SBU         2021–2026
    Nasri                                                      Accounting, Universitas Andalas,
                                                               Padang, West Sumatra (2001)
                                                             • Master of Economics, Sekolah Tinggi
                                                               Ekonomi Islam (STEI) Tazkia, Bogor,
                                                               West Java (2021)
    August        Member        41      Indonesian           • Associate Diploma in Engineering,               Head of Risk        2022–2026
    Rinaldi                                                    Mechanical Engineering Major,                   Management
    Sanoesi                                                    Politeknik Negeri Jakarta (2003)
                                                             • Credit Risk Program Academy Global,
                                                               Singapore (2015)
    John          Member        54      Indonesian           Bachelor of Social and Political Science,         Head of Asset       2022–2026
    Piter                                                    Universitas Sumatera Utara (USU),                 Management,
    Sinaga                                                   Medan, North Sumatra (1988)                       Recovery &
                                                                                                               Inventory
    Emiliana      Member        41      Indonesian           Bachelor of Architectural Engineering,            Head of             2023–2026
    Woro                                                     Universitas Atma Jaya Yogyakarta                  Consumer
    Saptiti                                                  (UAJY), Yogyakarta Special                        Credit
    Hari Putri                                               Region (2000)                                     Operations




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                   197
Page 200
                      2023 PERFORMANCE                                                           BUSINESS
 ABOUT THIS REPORT                       REPORTS TO STAKEHOLDERS          COMPANY PROFILE
                      HIGHLIGHTS                                                                 SUPPORTING UNITS




 Table 101 • Schedule and Attendance of Sharia Product and Business Activity Development Committee Meetings

                                                                             August Rinaldi                          Emiliana Woro
                         Date                             Deni Nasri                           John Piter Sinaga
                                                                                Sanoesi                             Saptiti Hari Putri
  17 January 2023                                             √                    √                  √                     -
  13 December 2023                                            √                    √                  √                    √
  Total Attendance of Each Member                             2                    2                   2                    1
  Attendance Percentage of Each Member                      100%                 100%               100%                  50%



 2. Risk Management                        Duties and Functions                                  kept by the Company
    Committee                              1.   Identifying risks including                      against the pre-established
                                                inherent risks in the                            Risk Management policies
      This committee was formed
                                                Company’s business                               and strategies;
      based on the BOD Decree
      No. SK/RPP/21-0116 dated                  activities;                                   5. Periodically reviewing the
      14 July 2021 to carry out            2. Developing risk                                    Risk Management process;
      the duties and functions                measurement methods                             6. Reviewing proposals
      according to POJK                       according to the size                              for the development
      No. 44/POJK.05/2020 on Risk             and complexity of the                              or expansion of the
      Management Application                  Company’s business,                                Company’s business
      for Non-Bank Financial                  including designing                                activities which are
      Services Institutions                   and implementing the                               focused on aspects of
      (POJK 44/2020). The structure           tools needed in the                                the Company’s ability
      and duties of the Committee             implementation of Risk                             to develop or expand
      were re-established                     Management;                                        business activities and
      through the BOD Decree               3. Monitoring the                                     their impact on the
      No. SK/OPRISK/23-0302                   implementation of the Risk                         Company’s overall risk
      dated 1 May 2023. As at                 Management strategy,                               exposure;
      31 December 2023, the                   including monitoring the                        7. Evaluating the accuracy
      Committee was chaired                   Risk Management strategy                           of the model and the
      by the President Director,              in business and operational                        validity of the data used to
      had three members, and                  functions;                                         measure risk for companies
      in possession of a charter.                                                                that use models for
                                           4. Monitoring the overall
      Committee meetings are held                                                                internal purposes (internal
                                              (composite) risk position,
      at least once in three months.                                                             model) in the context of
                                              each type of risk, and
                                                                                                 risk measurement;
      Independence Statement                  each type of functional
                                              activity against the                            8. Providing
      All Committee members
                                              given risk tolerance                               recommendations to the
      maintain their professionalism
                                              and predetermined                                  Company’s business and
      and accountability at work,
                                              limits, as well as carry                           operational functions
      and refrain from taking
                                              out stress testing to                              (risk-taking functions),
      personal advantage, either
                                              determine the impact                               among others, in
      directly or indirectly, from
                                              of the implementation                              determining the risk
      the Company’s activities other
                                              of Risk Management                                 exposure limits acceptable
      than their legitimate income.
                                              policies/strategies on the                         to the Company, and/or
      Committee members are
                                              Company’s performance                              to the Risk Management
      committed to implementing
                                              as a whole and performing                          Committee, among others,
      POJK 44/2020 provisions.
                                              back testing to find out                           in formulating the policies,
                                              the appropriateness of the                         strategies, and Risk
                                              risk measurement method                            Management framework,
                                              based on historical data                           in accordance with their
                                                                                                 respective remit; and




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                                                              SUSTAINABILITY        SUPPORTING DATA                            APPENDICES
   AND ANALYSIS                     GOVERNANCE                                                        STATEMENTS




       9. Preparing and submitting the risk profile reports to the President Director or a Director who oversees
          the Risk Management function and the Risk Management Committee on a regular basis, with the
          frequency of reporting able to be increased in the event of rapidly changing market conditions.

       Committee Composition
       The Risk Management Committee as at 31 December 2023 comprised:
       •   Chairman: Francis Lay Sioe Ho
       •   Members:
           -   Sudjono
           -   August Rinaldi Sanoesi
           -   Amy Setyawati

   Table 102 • Profiles and Term of Office of Members of Risk Management Committee


                                                                                                       Internal Position
            Name            Position     Age    Nationality                Educational Background                           Term of Office
                                                                                                        in the Company
    Francis Lay Sioe       Chairman     75     Indonesia          • Bachelor of Business               President            2021–2026
    Ho                                                              Administration, University of      Director
                                                                    Singapore (now the National
                                                                    University of Singapore or
                                                                    NUS), Singapore (1972)
                                                                  • Master of Business
                                                                    Management, Asian Institute
                                                                    of Management (AIM), Manila,
                                                                    Philippines (1975)
    Sudjono                Member       53     Indonesia          • Bachelor of Economics in           Finance              2021–2026
                                                                    Accounting, Tarumanagara           Director
                                                                    University, Jakarta (1993)
                                                                  • Master of Business
                                                                    Administration (M.B.A.),
                                                                    Institut Pengembangan
                                                                    Manajemen Indonesia (IPMI),
                                                                    Jakarta (2006)
                                                                  • Enterprise Risk Manager
                                                                    (ERM™), Asia Risk
                                                                    Management Institute
                                                                    (ARiMI) and National
                                                                    University of Singapore (NUS),
                                                                    Singapura (2009)
    August Rinaldi         Member       41     Indonesia          See Table 100                        Head of Risk         2022–2026
    Sanoesi                                                                                            Management
    Amy Setyawati          Member       51     Indonesia          Bachelor of Economics in             Head of              2021–2026
                                                                  Management, Satya Wacana             Operational
                                                                  Christian University (UKSW),         Risk & KYC
                                                                  Salatiga, Central Java (1996)


   Table 103 • Schedule and Attendance of Risk Management Committee Meetings

                                                                     Francis Lay                      August Rinaldi
                             Date                                                         Sudjono                          Amy Setyawati
                                                                       Sioe Ho                           Sanoesi

    14 February 2023                                                      √                  √              √                   √
    26 April 2023                                                         √                  √              √                   √
    26 July 2023                                                          √                  √              √                   √
    25 October 2023                                                       √                  √              √                   √
    Total Attendance of Each Member                                       4                  4              4                   4
    Attendance Percentage of Each Member                               100%                100%          100%                 100%




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                      2023 PERFORMANCE                                                      BUSINESS
ABOUT THIS REPORT                        REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                      HIGHLIGHTS                                                            SUPPORTING UNITS




3. Information Technology                  Duties and Functions                         6. Monitoring IT performance
   (IT) Steering Committee                 1.   In relation to the                         and efforts to improve IT
                                                Department’s Business                      performance;
      This committee was formed
      based on the BOD Decree                   Strategic Plan, periodically            7. Working towards resolving
      No. SK/IT/21-0113 dated                   reviewing the IT                           various IT-related issues
      4 August 2021 to carry out                Department’s strategy,                     that cannot be resolved by
      the duties and functions in               including the roadmap and                  work units of IT users and
      accordance with POJK                      required resources;                        operators in an effective,
      No. 4/POJK.05/2021                   2. Providing                                    efficient and timely
      on Application of Risk                  recommendations for the                      manner; and
      Management in the Use of                formulation of IT policies                8. Ensuring sound and proper
      Information Technology by               and procedures, and                          allocation of IT resources. If
      Non-Bank Financial Services             ensuring that IT policies                    necessary, the Committee
      Institutions (POJK 4/2021).             and procedures are                           may procure the services
      The structure and duties                implemented effectively                      of a third party to assist in
      of the Committees were                  in the work units of the IT                  project implementation.
      re-established through the              users and operators;
                                                                                        Committee Composition
      BOD Decree No. SK/IT/22-             3. Monitoring the suitability
      0066 dated 16 March 2022.                                                         The Information Technology
                                              and implementation of
      As at 31 December 2023, the                                                       Steering Committee as at
                                              IT projects with the IT
      Committee was chaired by the                                                      31 December 2023 comprised:
                                              Development Strategic
      President Director, had five            Plan and ensuring the                     •   Chairman: Francis Lay Sioe Ho
      members, and in possession              priorities;                               •   Members:
      of a charter. Committee
                                           4. Ensuring IT compatibility                     -   Sudjono
      meetings are held at least
                                              with the needs of                             -   Sutadi
      once in six months.
                                              management information
                                                                                            -   Andrew Adiwijanto
      Independence Statement                  systems and the needs
                                                                                            -   Ari Binoto
      All Committee members                   of BFI Finance’s business
                                                                                                Lumbantobing
      maintain their professionalism          activities;
                                                                                            -   Goklas
      and accountability at work,          5. Reviewing the
      and refrain from taking                 effectiveness of risk
      personal advantage, either              mitigation plans for
      directly or indirectly, from the        the implementation
      Company’s activities other              of IT investments and
      than their legitimate income.           ensure the contribution
      Committee members are                   of investments to the
      committed to implementing               business of a unit/division/
      POJK 4/2021 provisions.                 department;




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   MANAGEMENT DISCUSSION               GOOD CORPORATE                                                            ANNUAL FINANCIAL
                                                                 SUSTAINABILITY          SUPPORTING DATA                                APPENDICES
   AND ANALYSIS                        GOVERNANCE                                                                STATEMENTS




   Table 104 • Profiles and Term of Office of Members of IT Steering Committee

                                                                                                                   Internal Position      Term
          Name              Position     Age       Nationality               Educational Background
                                                                                                                    in the Company      of Office

    Francis Lay            Chairman       75      Indonesian     See Table 96                                     President            2021–2026
    Sioe Ho                                                                                                       Director
    Sudjono                Member         53      Indonesian     See Table 96                                     Finance              2021–2026
                                                                                                                  Director
    Sutadi                 Member        49       Indonesian     • Bachelor of Industrial                         Business             2021–2026
                                                                   Engineering, Trisakti University,              Director
                                                                   Jakarta (1998)
                                                                 • Executive M.B.A., IPMI
                                                                   International Business School,
                                                                   Jakarta (2018)
    Andrew                 Member         55      Indonesian     • Bachelor of Electrical                         Operations,          2021–2026
    Adiwijanto                                                     Engineering, Sekolah Tinggi                    Human
                                                                   Teknik Surabaya (STTS), Surabaya,              Capital
                                                                   East Java (1992)                               & Asset
                                                                 • Master of Business Administration              Management
                                                                   (M.B.A.), Universitas Gadjah Mada              Director
                                                                   (UGM), Jakarta (2013)
                                                                 • Certificate of “Human Capital
                                                                   Management: Making HR &
                                                                   Business Partnership Work”,
                                                                   Asian Institute of Management
                                                                   (AIM), Manila, Philippines (2008)
    Ari Binoto             Member        44       Indonesian     • Bachelor of Science in Mechanical              Head of              2022–2026
    Lumbantobing                                                   Engineering, University of                     Digital &
                                                                   Washington, Seattle, USA (2001)                Business
                                                                 • Master of Science in Mechanical                Incubation
                                                                   Engineering, University of
                                                                   California, Berkeley, USA (2003)
    Goklas                 Member        45       Indonesian     • Bachelor of Economics in                       Head of              2021–2026
                                                                   Financial Management,                          Project
                                                                   Universitas Indonesia (UI), Depok,             Management
                                                                   West Java (2000)                               Office
                                                                 • Management Development
                                                                   Program – Asian Institute of
                                                                   Management (AIM), Manila,
                                                                   Philippines (2007)


   Table 105 • Schedule and Attendance of IT Steering Committee Meetings

                                               Francis Lay                                           Andrew           Ari Binoto
                   Date                                          Sudjono           Sutadi                                               Goklas
                                                 Sioe Ho                                            Adiwijanto      Lumbantobing

    16 June 2023                                   √                √                √                     √              √               √
    19 October 2023                                √                √                √                     √              √               √
    Total Attendance of Each                       2                2                2                     2               2              2
    Member
    Attendance Percentage                        100%            100%              100%               100%              100%            100%
    of Each Member

   The BOD evaluates the performance of each of the committees based on a set of criteria, including the
   Company’s performance and achievements in the aspects of concern for each respective committee against
   the targets that have been set at the beginning of each year.




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                     2023 PERFORMANCE                                                          BUSINESS
 ABOUT THIS REPORT                       REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                     HIGHLIGHTS                                                                SUPPORTING UNITS




 PERFORMANCE ASSESSMENT OF THE BOARD OF
 COMMISSIONERS AND BOARD OF DIRECTORS

 BOC Performance                        BOD Performance                                 BOD Performance
 Assessment                             Assessment                                      Assessment Criteria
                                                                                        The criteria for the BOD’s
 General Policy                         General Policy
                                                                                        performance assessment are
 Generally, the performance of          Performance of the BOD and its                  found in the KPIs. The collective
 the BOC is assessed against the        individual members is evaluated                 and individual performance
 duties stipulated in the prevailing    by the BOC. Generally, the BOD’s                criteria for Directors are based on
 regulations and the articles of        performance is determined                       the proposal of the Nomination
 association of the Company             based on the duties listed in                   and Remuneration Committee
 as well as the mandate of the          the prevailing regulations and                  or other committees that
 shareholders. The results of the       the articles of association of the              carry out the nomination and
 BOC’s performance assessment           Company.                                        remuneration function, then
 will be an inseparable part of                                                         are proposed by the BOC to
                                        The results of the overall
 the compensation and incentive                                                         shareholders for approval. The
                                        performance assessment of the
 schemes for the BOC members.                                                           BOD’s KPIs include at least,
                                        BOD and the performance of
                                                                                        among others:
 BOC Performance                        its each individual member are
                                        based on two scoring standards,                 1.   Contribution to the Company’s
 Assessment Criteria
                                        i.e., collective assessment based                    business activities;
 The criteria for the BOC’s             on of the achievement of budget                 2. Involvement in specific
 performance assessment at least        enterprises, and individual                        assignments;
 contains the following:                assessments based on the KPIs                   3. Commitment to advancing
 1.   Level of achievement of           of each Director, and as part of an                the interests of the Company;
      quorum in any of the BOC          integral part of the compensation
                                                                                        4. Compliance with the
      meetings, coordination            scheme and provision of
                                                                                           prevailing regulations, and
      meetings, and committee           incentives for the BOD members.
                                                                                           Company policies;
      meetings;
                                        Results of the performance                      5. Achievement of targets set
 2. The Company’s contribution in       assessment of individual BOD                       out in the Company’s Annual
    the regulatory process;             members are among the basic                        Work Plan and Management
 3. Involvement in specific             considerations, especially for the                 Contract; and
    assignments;                        shareholders, to discharge and/
                                                                                        6. Achievement of individual
 4. Commitment in advancing             or reappoint BOD members.
                                                                                           performance against the
    the interests of the Company;       These results serve as a means
                                                                                           determined targets.
    and                                 for assessing as well as improving
                                        BOD effectiveness.                              Details of the BOD performance
 5. Compliance with the
                                                                                        assessment are contained in the
    applicable regulations, the
                                                                                        BOC Report in the Reports to
    articles of association, the GMS
                                                                                        Stakeholders chapter
    provisions, as well as Company
                                                                                        (pages 32–35).
    policies.




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   MANAGEMENT DISCUSSION          GOOD CORPORATE                                                  ANNUAL FINANCIAL
                                                        SUSTAINABILITY   SUPPORTING DATA                               APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                      STATEMENTS




   MEETINGS OF THE BOARD OF COMMISSIONERS,
   BOARD OF DIRECTORS, AND JOINT MEETINGS
   OF THE BOARD OF COMMISSIONERS AND THE
   BOARD OF DIRECTORS

   BOC Meetings and                           present in the meeting. Each                 Implementation of BOC
                                              member of the BOC who has a                  Meetings and BOC–BOD
   BOC–BOD Joint                              conflict of interest in decisions
                                                                                           Joint Meetings
   Meetings                                   to be made shall not vote on any
                                              decision related to it.                      In 2023, the BOC held
   BOC Meeting Policy
                                                                                           22 meetings, consisting of:
                                              The BOC also can make valid
   The BOC shall meet at least once                                                        1.   11 BOC Meetings; and
                                              and binding decisions without
   every two months if attended by a
                                              convening an authorized BOC                  2. 11 BOC–BOD Joint Meetings.
   majority or two thirds of the BOC
                                              Meeting, provided that all the               In carrying out the functions of
   members.
                                              BOC members have approved the                monitoring and providing advice
   The BOC also holds joint                   proposal and signed the relevant             to the BOD, the BOC hold joint
   meetings regularly with the BOD.           documents. Decisions made in                 meetings together with the BOD
   A BOC Meeting may be held after            this way have the same power as              to discuss the implementation of
   the joint meeting, if considered           decisions made legitimately in               decisions made in the previous
   necessary by one member of the             the official BOC Meetings.                   meeting, financial performance,
   BOC by written request of one
                                              Minutes of BOC Meeting                       risk management, and other
   or more members of the BOD
                                                                                           matters that may affect the
   or if requested by one or more             In each BOC Meeting, minutes                 financial performance and
   shareholders who together own              of meeting shall contain of                  operations of the Company.
   one tenth of the total shares              matters discussed, including
   issued by the Company with valid           the dissenting opinion from                  The dates of the BOC Meetings
   voting rights.                             BOC members (if any) and the                 and the attendance of BOC
                                              decisions reached.                           members at the BOC Meetings
   BOC Meeting decisions are made
                                                                                           in 2023 are presented in Table 108.
   based on a joint decision, and if          The minutes of meetings are                  The dates of the BOC–BOD Joint
   the decision is not reached by             signed by the Chairman of the                Meetings and the attendance
   consensus, then decisions will be          Meeting and BOC members                      of BOC members at the Joint
   made by way of voting by more              present at the meeting.                      Meetings in 2023 are presented in
   than half of the BOC members
                                                                                           Table 109.




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                         2023 PERFORMANCE                                                                  BUSINESS
ABOUT THIS REPORT                                  REPORTS TO STAKEHOLDERS           COMPANY PROFILE
                         HIGHLIGHTS                                                                        SUPPORTING UNITS




Table 106 • Schedule and Attendance of BOC Meetings

                                                                                                                              Saurabh
                                                         Kusmayanto          Johanes           Alfonso           Sunata
                         Date                                                                                                 Narayan
                                                          Kadiman            Sutrisno         Napitupulu    Tjiterosampurno
                                                                                                                              Agarwal*

 17 January 2023                                              √                 √                  √               √             -
 14 February 2023                                             √                 √                  √               √             -
 15 March 2023                                                √                 √                  √               √             -
 26 April 2023                                                √                 √                  √               √             -
 16 May 2023                                                  √                 √                  √               √             -
 13 June 2023                                                 √                 √                  √               √             √
 26 July 2023                                                 √                 √                  √               √             √
 15 August 2023                                               √                 √                  √                √            √
 13 September 2023                                            √                 √                  √                √            √
 25 October 2023                                              √                 √                  √                √            √
 16 November 2023                                             √                 √                  √                √            √
 Total Attendance of Each Member                              11                11                 11               11           6
 Attendance Percentage of Each Member                       100%             100%                100%            100%          100%

* Appointed Commissioner based on the resolution of the EGMS 16 May 2023




Table 107 • Schedule and Attendance of the BOC in BOC-BOD Joint Meetings

                                                                                                                              Saurabh
                                                         Kusmayanto          Johanes           Alfonso           Sunata
                         Date                                                                                                 Narayan
                                                          Kadiman            Sutrisno         Napitupulu    Tjiterosampurno
                                                                                                                              Agarwal*

 17 January 2023                                              √                 √                  √               √             -
 14 February 2023                                             √                 √                  √               √             -
 15 March 2023                                                √                 √                  √               √             -
 26 April 2023                                                √                 √                  √               √             -
 16 May 2023                                                  √                 √                  √               √             -
 13 June 2023                                                 √                 √                  √               √             √
 26 July 2023                                                 √                 √                  √               √             √
 15 August 2023                                               √                 √                  √                √            √
 13 September 2023                                            √                 √                  √                √            √
 25 October 2023                                              √                 √                  √                √            √
 16 November 2023                                             √                 √                  √                √            √
 Total Attendance of Each Member                              11                11                 11               11           6
 Attendance Percentage of Each Member                       100%             100%                100%            100%          100%

* Appointed Commissioner based on the resolution of the EGMS 16 May 2023




204                                                                            PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 207
   MANAGEMENT DISCUSSION          GOOD CORPORATE                                                          ANNUAL FINANCIAL
                                                        SUSTAINABILITY            SUPPORTING DATA                              APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                              STATEMENTS




   BOD Meetings                               be proven to the other members,                       Minutes of BOD Meeting
                                              the BOD Meeting will be chaired
   BOD Meeting Policy                                                                               Minutes of BOD Meeting shall be
                                              by a BOD member selected by
                                                                                                    recorded for each BOD Meeting
   The BOD shall meet at least                and among the BOD members
                                                                                                    and on the minutes of meeting
   one time every month. The                  in attendance.
                                                                                                    shall be disclosed any dissenting
   BOD is also required to conduct            The BOD members may be                                opinions with the BOD Meeting
   joint meetings with the BOC                represented in the BOD Meeting                        decisions (if any). Minutes of BOD
   periodically at least one time             only by another BOD member                            Meeting shall be recorded and
   every four months.                         based on a power of attorney. In                      documented by the Corporate
   BOD Meeting is conducted at the            the case that the party granting                      Secretary, including the filing
   Company’s location or place of             the authority does not give                           and distribution to the meeting
   business of the Company. BOD               special powers, then granted                          participants. Each BOD member
   Meetings may also be carried out           power is deemed absolute. BOD                         is entitled to receive a copy of
   by way of teleconference, Zoom             Meetings are valid and may adopt                      the minutes of BOD Meetings,
   Video Communications, or other             binding resolutions if more than                      regardless of whether they were
   similar digital communication              half of the total BOD members                         present or not at the meetings.
   systems, whereby the BOD                   are present or represented
   members participating in the               at the meeting.
   meeting can communicate                    BOD Meetings shall be attended                        Implementation of
   and participate thereby                    by the BOD members, and                               BOD Meetings
   being considered a present                 if required, officials from                           In 2023, the BOD conducted
   in the meeting.                            one level below the BOD or                            23 meetings, comprising:
   BOD Meetings are chaired by                other officials assigned by
                                                                                                    1. 12 BOD Meetings; and
   the President Director. In the             the President Director.
                                                                                                    2. 11 BOC–BOD Joint Meetings.
   event that the President Director
   is absent or unavailable for any                                                                 Dates of the BOD meetings and
   reason, which is not required to                                                                 attendance of BOD members
                                                                                                    in the 2023 BOD Meetings are
                                                                                                    presented in Table 108.




   Table 108 • Schedule and Attendance of BOD Meetings

                                                                         Francis Lay                                          Andrew
                                Date                                                         Sudjono           Sutadi
                                                                           Sioe Ho                                           Adiwijanto

    17 January 2023                                                          √                  √                √               √
    14 February 2023                                                         √                  √                √               √
    15 March 2023                                                            √                  √                √               √
    26 April 2023                                                            √                  √                √               √
    16 May 2023                                                              √                  √                √               √
    13 June 2023                                                             √                  √                √               √
    26 July 2023                                                             √                  √                √               √
    15 August 2023                                                           √                  √                √               √
    13 September 2023                                                        √                  √                √               √
    25 October 2023                                                          √                  √                √               √
    16 November 2023                                                         √                  √                √               √
    1 December 2023                                                          √                  √                √               √
    Total Attendance of Each Member                                          12                12                12             12
    Attendance Percentage of Each Member                                   100%              100%              100%           100%




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                              205
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                     2023 PERFORMANCE                                                       BUSINESS
ABOUT THIS REPORT                       REPORTS TO STAKEHOLDERS        COMPANY PROFILE
                     HIGHLIGHTS                                                             SUPPORTING UNITS




As presented in Table 109, the BOD has complied with POJK 30 Article 16 Paragraph (2), in which the BOD
shall attend the BOD Meetings at least 50% of the time within one-year period.

Attendance of BOD Members at the BOC–BOD Joint Meetings
The BOD on a regular basis conducts joint meetings with the BOC. In 2023, the BOC–BOD Joint Meetings
were held 11 times.

The dates of the BOC–BOD Joint Meetings and the attendance of BOD members at the Joint Meetings
in 2023 are presented in Table 109.


Table 109 • Schedule and Attendance of the BOD in BOC–BOD Joint Meetings

                     Dated                    Francis Lay Sioe Ho        Sudjono             Sutadi            Andrew Adiwijanto

 17 January 2023                                       √                   √                   √                      √
 14 February 2023                                      √                   √                   √                      √
 15 March 2023                                         √                   √                   √                      √
 26 April 2023                                         √                   √                   √                      √
 16 May 2023                                           √                   √                   √                      √
 13 June 2023                                          √                   √                   √                      √
 26 July 2023                                          √                   √                   √                      √
 15 August 2023                                        √                   √                   √                      √
 13 September 2023                                     √                   √                   √                      √
 25 October 2023                                       √                   √                   √                      √
 16 November 2023                                      √                   √                   √                      √
 Total Attendance of Each Member                       11                  11                  11                     11
 Attendance Percentage of Each Member               100%                 100%                100%                   100%




206                                                                 PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 209
   MANAGEMENT DISCUSSION           GOOD CORPORATE                                                            ANNUAL FINANCIAL
                                                            SUSTAINABILITY         SUPPORTING DATA                                        APPENDICES
   AND ANALYSIS                    GOVERNANCE                                                                STATEMENTS




   SHARIA SUPERVISORY BOARD

   BFI Finance conducts sharia                    The establishment of SSB in                        The profiles of both members of
   financing business through                     BFI Finance was in accordance                      the SSB are presented in the SSB
   its Sharia Business Unit (SBU),                with the Resolution of the                         Profiles section in the Company
   as stipulated in the Company’s                 EGMS on 25 October 2017.                           Profile chapter, on pages 77–78.
   Articles of Association. In                    The SSB composition up to
                                                                                                     Both members of the SSB of
   compliance with regulations                    31 December 2023 was as follows:
                                                                                                     BFI Finance have passed OJK’s fit
   related to the SBU’s business,                 1. Asrori S. Karni (Chairman); and                 and proper test. The decree from
   in 2017 the Company established
                                                  2. Helda Rahmi Sina (Member).                      the Members of the BOC of OJK on
   the Sharia Supervisory Board
                                                                                                     fulfillment of said test was conveyed
   (SSB).
                                                                                                     to the Company in January 2018.

   Table 110 • SSB Composition


                                           Country of                                End of               Number and Date of the Decree
           Name              Position                      Date of Appointment
                                           Residence                                  Term                  of the Fit and Proper Test
    Asrori S. Karni        Chairman       Indonesia       Deed of the              2027          Decree of the Board of
                                                          EGMS Minutes             GMS           Commissioners of OJK No. KEP-104/
                                                          No. 17 dated                           NB.22/2017 dated 27 December 2017
                                                          29 June 2022
    Helda                  Member         Indonesia       Deed of the              2027          Decree of the Board of
    Rahmi Sina                                            EGMS Minutes             GMS           Commissioners of OJK No. KEP-105/
                                                          No. 17 dated                           NB.22/2017 dated 27 December 2017
                                                          29 June 2022


   Duties and                                     3. Advise and facilitate the BOD,                       services which require the
                                                     Head of SBU, and Heads                               study and fatwa of the
   Responsibilities                                  of Sharia Representative                             National Sharia Board.
   The duties and main functions of                  Branches in matters related to
   the SSB are as follows:                           Sharia Principles; and                          SSB Independence
   1.   Represent the National                    4. Act as a mediator between                       Members of BFI Finance’s SSB
        Sharia Board assigned to the                 the Company and the                             have no financial and family
        Company;                                     National Sharia Board in                        relationships to the second
   2. Supervise business activities                  presenting proposals and                        degree with fellow BOD
      of the Company’s Sharia                        recommendations for                             members, BOC members, and/
      Representative Branches,                       the development of the                          or Controlling Shareholders, or
      to ensure compliance with                      Company’s products and                          relationships with the Company.
      Sharia Principles;


   Table 111 • SSB Independence


                                              Financial Relationship with                                 Family Relationship with

                                                                       Controlling                                                    Controlling
                Name              Commissioners      Directors                            Commissioners         Directors
                                                                      Shareholders                                                   Shareholders

                                 Yes     No         Yes    No       Yes       No        Yes          No       Yes     No        Yes         No
    Asrori S. Karni                -      √          -      √        -        √           -          √         -      √          -           √
    Helda Rahmi Sina               -      √          -      √        -        √           -          √         -      √          -           √




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                        207
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                     2023 PERFORMANCE                                                                BUSINESS
ABOUT THIS REPORT                               REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                     HIGHLIGHTS                                                                      SUPPORTING UNITS




Concurrent Positions of SSB
Based on Article 35 of OJK Regulation No. 30/POJK.05/2014 on Good Corporate Governance for Finance
Companies (POJK 30), members of the SSB are prohibited from having concurrent positions as members of
the BOD or BOC of the same multifinance company, however they are allowed to have concurrent positions
as members of the BOD, BOC, or SSB of more than four other sharia financial institutions.

All SSB members of the Company presiding up to 31 December 2023 have complied with the above
POJK 30 provisions.


Table 112 • Concurrent Positions of SSB


         Name              Position                                        Position Outside the Company
 Asrori S. Karni     Chairman                  • Chairman of the SSB of PT Sinar Mitra Sepadan (SMS) Finance
                                               • Member of the SSB of PT Indomobil Finance Indonesia (IMFI)
                                               • Deputy Secretary–General of Indonesian Ulema Council (MUI)
                                                 Headquarters
                                               • Lecturer of Sharia Economic Law Study Program at Sharia and Law
                                                 Faculty of the State Islamic University (UIN) Syarif Hidayatullah Jakarta
 Helda Rahmi Sina Member                       • Chief of Strategic Alliance at Hurriyah Global Consulting Firm (HGC Firm)
                                               • General Secretary of Yayasan Pendidikan Fatahillah Jakarta (YPFJ)
                                               • Postgraduate Program Lecturer at Sekolah Tinggi Ilmu Ekonomi
                                                 Indonesia (STEI) Rawamangun
                                               • Faculty Member of Indonesian Banking Development Institute
                                                 (Lembaga Pengembangan Perbankan Indonesia/LPPI)



SSB Meetings
Pursuant to Article 40 of POJK 30, the SSB is required to conduct a meeting on a regular basis, at least
six times within one-year period.

In 2023, the SSB conducted six meetings. The dates of SSB meetings and the attendance of each member of
the SSB are presented in Table 113 .


Table 113 • Schedule and Attendance of SSB Meetings


                                        Date                                               Asrori S. Karni          Helda Rahmi Sina
 2 March 2023                                                                                    √                         √
 31 March 2023                                                                                   √                         √
 25 August 2023                                                                                  √                         √
 13 September 2023                                                                               √                         √
 1 November 2023                                                                                 √                         √
 20 December 2023                                                                                √                         √
 Total Attendance of Each Member                                                                 6                         6
 Attendance Percentage of Each Member                                                          100%                      100%




208                                                                       PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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                                                         SUSTAINABILITY        SUPPORTING DATA                                APPENDICES
   AND ANALYSIS                     GOVERNANCE                                                        STATEMENTS




   SSB Competence Enhancement
   To enhance SSB members’ competence, the Company encourages their continuing participation in various
   training programs and seminars.

   The training programs and seminars attended by SSB members in 2023 are listed in Graph 17.


   Graph 17 • SSB Competence Enhancement



      MAY                                                                 JULY
                            Indonesian Economic Scholars
       16                     Association (Ikatan Sarjana
                           Ekonomi Indonesia/ISEI), Jakarta
                                                                           26-28                           DSN-MUI, Jakarta



      Seminar on "Strengthening the Supervisory                           7th Annual Conferences on Fatwa MUI Studies
      Role of the Capital Market Sector at OJK in                         themed "The Role of MUI Fatwas in Building
      Accordance with the P2SK Law"                                       National Civilization"


       HR
                                                                           AS



        21-23                       DSN-MUI, Jakarta


      International Conference "Religion,                                 SEPTEMBER
      Peace and Civilization"

                                                                           7                        DSN-MUI, Jakarta



       AS                                                                 Workshop Pra-Ijtima' Sanawi (Annual Meeting)
                                                                          Sharia Supervisory Boards VIII of 2023
                                                                          Regarding Financing, Venture Capital,
                                                                          Pawnshops and Technological Innovation in
      AUGUST                                                              the Sharia Financial Sector


                             Potensia Academy,
       10                       Banda Aceh                                 AS      HR


      Online Workshop "Financial Management
      Framework of Private Colleges: Principles
      of Effective and Accountable Financial
      Governance"


       HR                                                                         Asrori S. Karni                  Helda Rahmi Sina
                                                                          AS                               HR




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                          209
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                     2023 PERFORMANCE                                                             BUSINESS
 ABOUT THIS REPORT                           REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                     HIGHLIGHTS                                                                   SUPPORTING UNITS




 AUDIT COMMITTEE

 Legal Basis and Main                   •      SK/BOC/VII/2011-15 dated                     2. Able to comprehend financial
                                               15 September 2011;                              statements, the Company’s
 Tasks                                                                                         businesses particularly those
                                        •      SK/BOC/II/2013-01 dated
 The Audit Committee was                       7 February 2013;                                related to the Company’s
 established in the Company                                                                    services or activities, audit
                                        •      SK/BOC/I/2016-01 dated
 in 2000, and performs its duties                                                              process, risk management,
                                               26 January 2016; and
 independently and in accordance                                                               and laws and regulations in
 with OJK Regulation No. 55/            •      SK/BOC/I/21-0020A dated                         the capital market as well
 POJK.04/2015 on the Guidance                  26 January 2021.                                as other related laws and
 on Establishment and Work              The Audit Committee Charter                            regulations;
 Implementation of Audit                is available on the Company                         3. Able to comply with the
 Committee (POJK 55).                   website at https://www.bfi.co.id/                      Audit Committee’s code of
 The duties of the Audit                en/corporate/Corporate-Good-                           conduct as determined by
 Committee are to assist the BOC        Governance/Committee-Manual.                           the Company;
 in carrying out management             This Charter regulates, among                       4. Willing to continuously
 oversight functions in accordance      others, duties and responsibilities                    enhance their competence
 with the articles of association       as well as authority of the Audit                      through education and
 and GCG principles, provide            Committee.                                             training;
 advice and assistance to the BOC                                                           5. Must have at least one
 in identifying matters that require
                                        Number of Members,
                                                                                               member with educational
 the latter’s attention, and execute    Composition,                                           background and expertise in
 other duties related to the duties     and Membership                                         accounting and/or finance;
 of the BOC or as assigned by the
                                        Requirements                                        6. Is not a person who is
 BOC.
                                                                                               employed in a Public
                                        The Audit Committee shall consist
                                                                                               Accounting Firm, Law
 Audit Committee                        of at least three members from
                                                                                               Consultant, Public Appraiser,
 Charter                                Independent Commissioners
                                                                                               or other parties providing
                                        and external parties. The
 The Audit Committee carries out                                                               assurance services, non-
                                        Audit Committee consisted of
 its duties and responsibilities                                                               assurance services, appraisal
                                        3 members, i.e., 1 Independent
 pursuant to the guidelines                                                                    services, and/or other
                                        Commissioner as Chairman
 summarized in Audit Committee                                                                 consultative services to the
                                        and 2 members from external
 Charter, allowing for a consistent,                                                           Company within the last
                                        parties. The Audit Committee is
 transparent, and independent                                                                  six months;
                                        responsible to the BOC.
 performance of its duties and                                                              7. Is not a person who has
 responsibilities in accordance         Pursuant to the Audit Committee                        worked or had the authority
 with the prevailing laws and           Charter, the membership                                and responsibilities to plan,
 regulations. The Audit Committee       requirements for the Company’s                         direct, control, or supervise
 Charter was established pursuant       Audit Committee are as follows:                        the Company’s activities
 to the requirements of POJK 55         1.     Possess a strong integrity                      within the last six months,
 and as set out in the Company’s               and excellent capability,                       except as the Independent
 BOC Decree, with the update                   knowledge, and experience in                    Commissioner;
 history as follows:                           their respective fields, as well             8. Does not own any shares in
                                               as good communication skills;                   the Company, whether directly
                                                                                               or indirectly;




210                                                                    PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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   MANAGEMENT DISCUSSION          GOOD CORPORATE                                                 ANNUAL FINANCIAL
                                                        SUSTAINABILITY   SUPPORTING DATA                            APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                     STATEMENTS




   9. In the event that a member of           11. Does not have any business               qualifications and competence
      the Audit Committee receives                relations associated with the            of the candidates. After the
      the Company shares due to a                 Company activities, whether              evaluation is completed, the
      legal event, whether directly               directly or indirectly.                  Nomination and Remuneration
      or indirectly, the shares shall                                                      Committee shall submit a
                                              The BOD or the Chairman of the
      be transferred to another                                                            recommendation to the BOC
                                              Audit Committee may propose
      party within six months after                                                        regarding the appointment of the
                                              candidates who are not BOC
      the acquisition of such shares;                                                      Audit Committee members. Once
                                              members as Audit Committee
   10. Does not have any affiliation                                                       the recommendation is approved,
                                              members. The Nomination
       with any member of the BOC,                                                         the BOC shall instruct the BOD to
                                              and Remuneration Committee
       the BOD, or the controlling                                                         issue the appointment letter for
                                              shall subsequently conduct
       shareholders of the Company;                                                        the approved candidates.
                                              an interview and examine the
       and



   Graph 18 • Audit Committee Members’ Selection and Appointment




                    Recommendation of Nomination
                                                                               BOC Approval Meeting
                     and Remuneration Committee




   Audit Committee                            Audit Committee                              Audit Committee
   Composition                                Members’ Profiles                            Members’ Term of
   The composition of the                     Profiles of the Audit Committee              Office
   Audit Committee as at                      members are presented in                     Audit Committee members’ term
   31 December 2023 was as follows:           the Company Profile chapter                  of office shall not exceed the
   •   Chairman: Johanes Sutrisno             (pages 79–80).                               BOC’s term of office, pursuant
   •   Members:                               The educational backgrounds                  to the articles of association,
                                              and expertise of the Audit                   and a member may only be re-
       -   Friso Palilingan
                                              Committee members are                        elected for one subsequent term.
       -   Edy Sugito
                                              presented in Table 114.                      The term of office of the Audit
   This Audit Committee                                                                    Committee members presiding
   composition was ratified by the                                                         up to 31 December 2023 is
   BOC Decree No. BOC/SK/I/2021-                                                           presented in Table 114.
   001 dated 26 January 2021,
   effective from 26 January 2021.




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                     2023 PERFORMANCE                                                                  BUSINESS
 ABOUT THIS REPORT                              REPORTS TO STAKEHOLDERS         COMPANY PROFILE
                     HIGHLIGHTS                                                                        SUPPORTING UNITS




 Table 114 • Audit Committee Members’ Profiles and Term of Office



                                                                                                                                    Term of
          Name            Position           Educational Background and Expertise         Date and Basis of Appointment
                                                                                                                                     Office

  Johanes            Independent             Bachelor's Degree in                       BOC Decree No. BOC/SK/I/2021-             2021–2026
  Sutrisno           Commissioner            Economics - Management,                    001 dated 26 January 2021
                     and Committee           Master of Business
                     Chairman                Administration (M.B.A.), audit,
                                             finance, risk management
                                             and monitoring, GCG
  Friso Palilingan   Member                  Bachelor's Degree in                       BOC Decree No. BOC/SK/                    2021–2026
                                             Economics - Accounting,                    IV/2015-0081 dated 13 April
                                             Master of Accounting, CPA,                 2015, was reaffirmed by the
                                             CA, audit, management                      BOC Decree No. BOC/SK/
                                                                                        VI/2016-05 dated 21 June 2016
                                                                                        (2016-2021) and BOC Decree
                                                                                        No. BOC/SK/I/2021-001 dated
                                                                                        26 January 2021
  Edy Sugito         Member                  Bachelor's Degree in                       BOC Decree No. BOC/SK/                    2021–2026
                                             Economics - Accounting,                    VI/2016-05 dated 21 June
                                             capital market, custodian,                 2016 (2016-2021) and was
                                             audit                                      reaffirmed by the BOC Decree
                                                                                        No. BOC/SK/I/2021-001 dated
                                                                                        26 January 2021



 Audit Committee Independence
 Members of the Audit Committee are professional individuals with no business relations to the Company,
 whether directly or indirectly, in order to maintain their independence in the execution of their duties and
 responsibilities. Therefore, all members of the Audit Committee have met the required independence, skill,
 experience, and integrity criteria, pursuant to the applicable laws and regulations. The independence of each
 Audit Committee member is stated in Table 115.

 Table 115 • Audit Committee Independence


                                        Financial Relationship with                                Family Relationship with

                                                                  Controlling                                                   Controlling
            Name          Commissioners           Directors                         Commissioners         Directors
                                                                 Shareholders                                                  Shareholders

                        Yes          No         Yes     No      Yes       No       Yes        No        Yes     No        Yes         No
  Johanes Sutrisno        -          √           -      √        -        √         -          √         -      √          -          √
  Friso Palilingan        -          √           -      √        -        √         -          √         -      √          -          √
  Edy Sugito              -          √           -      √        -        √         -          √         -      √          -          √



 Audit Committee’s Policies and Remuneration
 The Nomination and Remuneration Committee provides recommendations to the BOC regarding the
 remuneration of each member of the Audit Committee, based on the Company’s policies and market
 review on the remuneration of Audit Committee. The remuneration of the Audit Committee only consists
 of honorarium. Members of the Audit Committee who hold concurrent positions as members of the BOC or
 senior management of the controlling shareholders are not entitled to additional remuneration as members
 of the Audit Committee.




212                                                                        PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 215
   MANAGEMENT DISCUSSION          GOOD CORPORATE                                                              ANNUAL FINANCIAL
                                                        SUSTAINABILITY              SUPPORTING DATA                                   APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                                  STATEMENTS




   Audit Committee’s                               discussions with the Risk                          Audit Committee
                                                   Oversight Committee on risk
   Work Processes and                              management activities the
                                                                                                      Meetings
   Procedures                                      Company has performed;                             The Audit Committee holds
   The Audit Committee Charter                3. The Audit Committee submits                          regular meetings at least once
   regulates the Audit Committee’s               an annual accountability                             every three months. An Audit
   work processes and procedures                 report on its performance                            Committee meeting may only
   as follows:                                   to the BOC prior to the                              be held if attended by more than
                                                 submission of the BOC                                half the number of members. The
   1.    In relation to the Company’s
                                                 Report on its duties and                             decisions of the Audit Committee
         internal control system, the
                                                 responsibilities to be                               shall be reached by deliberation
         Audit Committee conducts
                                                 published in the Company’s                           and consensus. Each meeting
         regular meetings to discuss
                                                 Annual Report. The BOC shall                         shall be recorded in minutes of
         the planning of activities and
                                                 accordingly evaluate the Audit                       meeting, including any dissenting
         the scope of internal audits for
                                                 Committee annually; and                              opinions. The minutes of the
         the subsequent period,
                                                                                                      meeting shall be signed by all
         as well as evaluates previous        4. The Audit Committee
                                                                                                      members of the Audit Committee
         audit results;                          collaborates with the
                                                                                                      who are present in the meeting
   2. In relation to the review of               Corporate Secretary for the
                                                                                                      and submitted to the BOC.
      risks associated with the                  administration of Audit
      Company’s business, the                    Committee’s documents                                In 2023, the Audit Committee
      Audit Committee holds                      and the execution of Audit                           held four meetings. The
                                                 Committee’s meetings.                                meetings’ results were reported
                                                                                                      to the BOC in the meetings with
                                                                                                      the BOC. The meeting schedule
                                                                                                      and members’ attendance are
                                                                                                      presented in Table 116.



   Table 116 • Schedule and Attendance of Audit Committee Meetings


                                Date                                     Johanes Sutrisno             Friso Palilingan           Edy Sugito
       13 February 2023                                                         √                           √                        √
       12 April 2023                                                            √                           √                        √
       20 July 2023                                                             √                           √                        √
       20 October 2023                                                          √                           √                        √
       Total Attendance of Each Member                                          4                            4                       4
       Attendance Percentage of Each Member                                  100%                         100%                    100%



   Audit Committee’s Competence Enhancement
   In 2023, the Audit Committee members participated in the following competence enhancement programs:
   •     Johanes Sutrisno as Independent Commissioner and Chairman of the Audit Committee attended one
         training/seminar, detailed in Graph 14.
   •     Friso Palilingan participated in seven trainings/seminars, as follows:
         1.   OJK Continuing Professional Education Seminar (PPL) in the Capital Markets Sector regarding
              “Accounting and Audit Considerations and Capital Market Regulations in the Initial Public Offering
              (IPO) Process”, 8 June 2023, held in Jakarta by the Indonesian Institute of Certified Public Accountants
              (IAPI);
         2. Webinar “Standards for Assurance Engagements (SPA) 3000 (Revised 2022) on Assurance
            Engagements Other than Audits or Reviews of Historical Financial Information”, 20 June 2023, held
            online from Jakarta by IAPI;




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                   213
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                      2023 PERFORMANCE                                                             BUSINESS
 ABOUT THIS REPORT                           REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                      HIGHLIGHTS                                                                   SUPPORTING UNITS




      3. Webinar “Managing and                 7. Mandatory PPL Webinar                     Complaint Handling or
         Presenting Financial                     for 2023 PPPK Public
         Reports of Holding                       Accountants Batch 4,
                                                                                            Reporting of Alleged
         Companies”, 23 June 2023,                1 August 2023, held online                Violations Related to
         held online from Jakarta by              from Jakarta by IAPI.                     Financial Reporting
         IAPI;                           •     Edy Sugito participated in                   Based on the BOC’s Letter
      4. Webinar “Implementation               three trainings/seminars, as                 of Assignment, the Audit
         of the New and Revised                follows:                                     Committee may conduct
         Audit Standards 2021                  1.   Webinar “Compliance                     review and investigation on any
         (SA 700, SA 701, SA 720, and               Refreshment for Issuers                 action that is detrimental to the
         SA 260) in the Independent                 and Public Companies”,                  Company, including alleged
         Auditor’s Report”,                         22 August 2023, held online             violations related to Financial
         26 June 2023, held online                  from Jakarta by OJK and                 Reporting, as well as other tasks
         from Jakarta by IAPI;                      IDX;                                    as required by the BOC. For
      5. OJK IKNB PPL Seminar                  2. Webinar “Navigating AI                    the review and investigation,
         “Accounting and Audit                    Governance and ESG                        the Audit Committee may
         Aspects in Insurance                     Reporting for the Future”,                appoint a third party to carry
         Entities and the Impact of               17 October 2023, held                     out the fact-finding studies and
         Implementing PSAK 74”,                   online by KPMG Asia                       examinations upon the approval
         24 July 2023, held in                    Pacific Board Leadership                  of the BOC. All costs incurred
         Jakarta by IAPI;                         Centre (BLC); and                         for the appointment of the
      6. PPL Seminar                                                                        third party shall be borne by the
                                               3. Webinar “Economic
         Accompaniment to                                                                   Company.
                                                  Outlook 2024”,
         PPL Compulsory Public                    6 December 2023, held
         Accountants Batch 5:                     online by the University
                                                                                            Audit Committee’s
         “Sharing Findings of                     of Indonesia and Creco                    2023 Work Programs
         KAP Audit Results by                     Consulting & Research.                    Report
         the Financial Profession
         Development Center              Activity Reporting                                 The Audit Committee’s work
         (PPPK) and Risk Mitigation                                                         programs in 2023 encompassed
                                         System                                             the following:
         Thereof”, 26 July 2023, held
         in Jakarta by IAPI; and         The Audit Committee submits                        1.   Conducted the Audit
                                         periodic reports and/or report                          Committee’s meetings every
                                         for each assignment to the BOC,                         three months;
                                         as well as an annual report of
                                                                                            2. Evaluated the performance of
                                         the Audit Committee’s activities,
                                                                                               external auditors and provided
                                         which shall be included in the
                                                                                               recommendations to the BOC
                                         Company’s Annual Report.
                                                                                               on the appointment of the
                                                                                               external auditors;
                                                                                            3. Evaluated the compliance
                                                                                               with rules and regulations
                                                                                               applicable to multifinance
                                                                                               companies and public
                                                                                               companies; and
                                                                                            4. Evaluated the implementation
                                                                                               of internal control system
                                                                                               and report of Internal Audit
                                                                                               activities.




214                                                                    PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 217
   MANAGEMENT DISCUSSION          GOOD CORPORATE                                                 ANNUAL FINANCIAL
                                                        SUSTAINABILITY   SUPPORTING DATA                            APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                     STATEMENTS




   RISK OVERSIGHT COMMITTEE

   Legal Basis                                Initially, the Risk Management               The duties and responsibilities,
                                              Committee was established                    procedure of supervision, and
   and Main Tasks                             pursuant to the BOC Decree                   reporting of the Risk Oversight
   The Risk Oversight Committee               No. Com/JS/SK/III/2003 dated                 Committee are aligned
   assists the BOC in fulfilling              18 March 2003. Then, pursuant                with OJK Regulation No. 28/
   the latter’s responsibilities to           to OJK Regulation No. 29/                    POJK.05/2020 on Assessment
   shareholders. Moreover, the                POJK.05/2020 on Amendment                    of the Health Level of Non-Bank
   Committee is responsible for               to OJK Regulation No. 30/                    Financial Services Institutions
   reviewing the Company’s principal          POJK.05/2014 on Good Corporate               (POJK 28), OJK Regulation
   risks as stated in the Company’s           Governance for Multifinance                  No. 44/POJK.05/2020 on Risk
   risk register and for ensuring             Companies, the Risk Management               Management Application for
   that all new or arising risks are          Committee changed its                        Non-Bank Financial Services
   appropriately evaluated and                name to Risk Oversight                       Institutions (POJK 44), and OJK
   further actions are identified.            Committee, as ratified by BOC                Circular No. 7/SEOJK.05/2021 on
                                              Decree No. BOC/V/2020-001                    Risk Management Application for
                                              dated 13 May 2020.                           Finance Companies and Sharia
                                                                                           Finance Companies (SEOJK 7).


   Risk Oversight Committee Manual
   The Risk Oversight Committee Manual is published on the Company website on
   https://www.bfi.co.id/en/corporate/Corporate-Good-Governance/Committee-Manual?t=2.


   Graph 19 • Risk Oversight Committee Members’ Selection and Appointment




                  Recommendation of Nomination
                                                                            BOC Approval Meeting
                   and Remuneration Committee




   Risk Oversight                             Risk Oversight                               Risk Oversight
   Committee                                  Committee Members’                           Committee Members’
   Composition                                Profiles                                     Term of Office
   The composition of the Risk                Profiles of all Risk Oversight               The Risk Oversight Committee
   Oversight Committee as at                  Committee members are                        members’ term of office shall not
   31 December 2023 was as follows:           presented in the Company Profile             exceed the BOC’s term of office,
   •   Chairman: Johanes Sutrisno             chapter (pages 80–81).                       and a member may only be re-
       (Independent Commissioner)                                                          elected for one subsequent term.
                                              The educational backgrounds
                                                                                           The term of office of the Risk
   •   Member: Jono Effendy                   and expertise of the Risk
                                                                                           Oversight Committee presiding
                                              Oversight Committee members
   This Risk Oversight Committee                                                           up to 31 December 2023 is
                                              are presented in Table 117.
   composition was ratified by                                                             presented in Table 117.
   the BOC Decree No. BOC/SK/
   VI/2021-0092 dated 15 June 2021,
   effective from 15 June 2021.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                 215
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                     2023 PERFORMANCE                                                                  BUSINESS
 ABOUT THIS REPORT                             REPORTS TO STAKEHOLDERS       COMPANY PROFILE
                     HIGHLIGHTS                                                                        SUPPORTING UNITS




 Table 117 • Risk Oversight Committee Members’ Profiles and Term of Office


                                                                                                                                  Term of
          Name            Position           Educational Background and Expertise     Date and Basis of Appointment
                                                                                                                                   Office

  Johanes            Independent             Bachelor's Degree in                   BOC Decree No. BOC/SK/                      2021–2026
  Sutrisno           Commissioner            Economics - Management,                VI/2016-05 dated 21 June 2016
                     and Committee           Master of Business                     (2016-2021) and was reaffirmed
                     Chairman                Administration (M.B.A.), audit,        by the BOC Decree No.
                                             finance, risk management               BOC/SK/VI/2021-0092 dated
                                             and monitoring, GCG                    15 June 2021
  Jono Effendy       Member                  Bachelor's Degree in                   BOC Decree No. BOC/SK/                      2021–2026
                                             Economics - Accounting,                IV/2015-0081 dated 13 April
                                             Master of Finance,                     2015, was reaffirmed by the
                                             CERP, QRGP, audit, risk                BOC Decree No. BOC/SK/
                                             management and monitoring              VI/2016-05 dated 21 June 2016
                                                                                    (2016-2021) and BOC Decree
                                                                                    No. BOC/SK/VI/2021-0092
                                                                                    dated 15 June 2021



 Risk Oversight Committee Independence
 Members of the Risk Oversight Committee are professional individuals with no business relations to the
 Company, whether directly or indirectly, in order to maintain their independence in the execution of their
 duties and responsibilities. Therefore, all members of the Committee have met the required independence,
 skill, experience, and integrity criteria pursuant to the applicable laws and regulations. The independence of
 each Risk Oversight Committee member is stated in Table 118.

 Table 118 • Risk Oversight Committee Independence


                                         Financial Relationship with                                Family Relationship with

                                                                   Controlling                                             Controlling
              Name          Commissioners        Directors                          Commissioners        Directors
                                                                  Shareholders                                            Shareholders

                             Yes        No      Yes     No       Yes       No        Yes       No       Yes      No       Yes         No
  Johanes Sutrisno            -         √         -      √         -        √         -        √         -       √         -          √
  Jono Effendy                -         √         -      √         -        √         -        √         -       √         -          √



 Risk Oversight Committee’s Policies and Remuneration
 The Nomination and Remuneration Committee provides recommendations to the BOC regarding
 the remuneration of each member of the Risk Oversight Committee, based on the Company’s policies and
 market review on the remuneration of Risk Oversight Committee. The remuneration of the Risk Oversight
 Committee only consists of honorarium. Members of the Risk Oversight Committee who hold concurrent
 positions as members of the BOC or senior management of the controlling shareholders are not entitled
 to additional remuneration as members of the Risk Oversight Committee.


 Risk Oversight Committee Meetings
 The Risk Oversight Committee holds regular meetings at least four times every year and reports the results
 to the BOC.

 In 2023, the Risk Oversight Committee held four meetings. The meetings’ results were reported to the BOC in
 the meetings with the BOC. The meeting schedule and members’ attendance are presented in Table 119.




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                                                        SUSTAINABILITY   SUPPORTING DATA                                      APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                      STATEMENTS




   Table 119 • Schedule and Attendance of Risk Oversight Committee Meetings


                                     Date                                      Johanes Sutrisno                      Jono Effendy
       7 February 2023                                                                 √                                  √
       19 April 2023                                                                   √                                  √
       17 July 2023                                                                    √                                  √
       16 October 2023                                                                 √                                  √
       Total Attendance of Each Member                                                 4                                  4
       Attendance Percentage of Each Member                                         100%                               100%



   Risk Oversight                                  2. Indonesia HR Summit                  of risks that may affect the
                                                      2023, 19–20 June 2023,               running of the Company, thus
   Committee’s                                        hosted in Bali by                    preventing the possibility of
   Competence                                         SKK Migas;                           future surprises. The programs
   Enhancement                                     3. Digital & Risk Management            included:

   In 2023, Risk Oversight Committee                  (DRiM) 2023,                         1.   Conducted quarterly meetings
   members participated in                             18–20 October 2023, held                 with the Company’s Risk
   the following competence                           in Yogyakarta by the                      Management Division and
   enhancement programs:                              Indonesian Life Insurance                 the BOD to discuss the risk
                                                      Association (AAJI in                      monitoring dashboard;
   •     Johanes Sutrisno as
                                                      Indonesian abbreviation);            2. Ensured that the measures
         Independent Commissioner
                                                      and                                     taken in the field of risk
         and Chairman of the Risk
         Oversight Committee                       4. Risk Beyond 2023,                       management have been
         attended one training/                       6–8 December 2023, held                 implemented properly; and
         seminar, detailed in Graph 14.               in Bali by the Enterprise            3. Reviewed the risk
                                                      Risk Management                         management report on the
   •     Jono Effendy participated in
                                                      Academy (ERMA).                         Company’s risk exposure
         four trainings/seminars, as
         follows:                                                                             evaluation, especially in
                                              Risk Oversight                                  the risk-related activities of
         1.   Indonesia Leadership
                                              Committee’s 2023                                multifinance companies, i.e.,
              Forum 2023,
              9–10 March 2023, held           Work Programs Report                            strategic risk, operational
                                                                                              risk, assets and liabilities risk,
              in Bali by Daya Makara          The Risk Oversight Committee’s                  managerial risk, governance
              UI and the University of        2023 work programs were                         risk, funding risk, and financing
              Indonesia (UI) Leadership       aimed at ensuring that the                      risk, pursuant to POJK 28,
              Development Center;             management had an early                         POJK 44, and SEOJK 7.
                                              warning system on the likelihood




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 ABOUT THIS REPORT                          REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                     HIGHLIGHTS                                                                  SUPPORTING UNITS




 NOMINATION AND REMUNERATION COMMITTEE

 Legal Basis                            articles of association, to serve as               Nomination and
                                        a guideline for the Committee
 and Main Tasks                         in carrying out its duties and
                                                                                           Remuneration
 The Nomination and                     responsibilities. The Committee                    Committee Members’
 Remuneration Committee was             Guideline was published                            Profiles
 established in the Company             pursuant to the BOC Decree
                                                                                           Profiles of all Nomination and
 pursuant to the BOC Decree             No. BOC/I/2015-05, then renewed
                                                                                           Remuneration Committee
 No. Com/JS/SK/XII/2005-007             and ratified by SK/BOC/IV/2021-
                                                                                           members are presented in the
 dated 29 December 2005. The            0049A dated 1 April 2021.
                                                                                           Company Profile chapter (page 82).
 currently presiding members
                                        The Nomination and
 of the Nomination and                                                                     The educational backgrounds
                                        Remuneration Committee
 Remuneration Committee were                                                               and expertise of the Nomination
                                        Guideline stipulates the duties
 appointed pursuant to the BOC                                                             and Remuneration Committee
                                        and responsibilities, authorities,
 Decree No. BOC/IV/2021-0049                                                               members are presented in Table 120.
                                        composition, structure and
 dated 1 April 2021.
                                        membership requirements,
                                                                                           Nomination and
 The Nomination and                     processes, and procedures for
 Remuneration Committee is              implementing tasks, meetings,                      Remuneration
 responsible to the BOC to assist       as well as term of office of the                   Committee Members’
 the functions and duties of the        members of the Nomination
                                                                                           Term of Office
 BOC in relation to the nomination      and Remuneration Committee.
 and remuneration of the                This manual is published on the                    The Nomination and
 members of the BOD, BOC, and           Company website on https://www.                    Remuneration Committee
 other Committees under the BOC.        bfi.co.id/en/corporate/Corporate-                  members’ term of office shall
                                        Good-Governance/Committee-                         not exceed the BOC’s term of
 Since 2015, the main tasks of the
                                        Manual?t=1.                                        office, pursuant to the articles
 Nomination and Remuneration
                                                                                           of association, and a member
 Committee have been performed
                                        Nomination and                                     may only be re-elected for one
 in adherence to POJK No. 34/
                                                                                           subsequent term. The term of
 POJK.04/2014 on the Nomination         Remuneration
                                                                                           office of the Nomination and
 and Remuneration Committee of          Committee                                          Remuneration Committee
 Public Companies (POJK 34).            Composition                                        members presiding up to
                                                                                           31 December 2023 is presented in
 Nomination and                         As at 31 December 2023,
                                                                                           Table 120.
                                        the composition of the
 Remuneration
                                        Nomination and Remuneration
 Committee Manual                       Committee was as follows:
 On 1 December 2015, BFI Finance        •     Chairman: Alfonso Napitupulu
 published the Nomination and                 (Independent Commissioner)
 Remuneration Committee                 •     Members:
 Guideline, which is aligned with
                                              -   Sunata Tjiterosampurno
 POJK 34 and the Company’s
                                                  (Commissioner)
                                              -   Elisabeth Vivi Jeki Aryani
                                                  (Head of Human Capital)




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   MANAGEMENT DISCUSSION           GOOD CORPORATE                                                             ANNUAL FINANCIAL
                                                            SUSTAINABILITY          SUPPORTING DATA                                        APPENDICES
   AND ANALYSIS                    GOVERNANCE                                                                 STATEMENTS




   Table 120 • Nomination and Remuneration Committee Members’ Profiles and Term of Office


                                                                                                                                           Term of
           Name                Position         Educational Background and Expertise           Date and Basis of Appointment
                                                                                                                                            Office

    Alfonso                Independent          Bachelor's Degree in Civil               BOC Decree No. BOC/                             2021–2026
    Napitupulu             Commissioner         Law, legal consultancy,                  SK/IV/2015-0081 dated
                           and Committee        management                               13 April 2015, was reaffirmed by
                           Chairman                                                      the BOC Decree No. BOC/SK/
                                                                                         VI/2016-05 dated 21 June 2016
                                                                                         (2016-2021) and BOC Decree
                                                                                         No. BOC/IV/2021-0049 dated
                                                                                         1 April 2021
    Sunata                 Commissioner         Bachelor of Business                     BOC Decree No. BOC/VI/2017-                     2021–2026
    Tjiterosampurno        and Member           Administration, Master of                0103 dated 2 June 2017 as
                                                Finance, equity research,                reaffirmed by the BOC Decree
                                                investment banking, audit,               No. BOC/IV/2021-0049 dated
                                                risk management and                      1 April 2021
                                                monitoring
    Elisabeth Vivi         Head of Human        Bachelor's Degree in                     BOC Decree No. BOC/IV/2021-                     2021–2026
    Jeki Aryani            Capital and          Psychology, HC management                0049 dated 1 April 2021
                           Member



   Nomination and Remuneration Committee Independence
   The Nomination and Remuneration Committee shall be independent in performing its duties, and is
   responsible to the BOC. The independence of each Nomination and Remuneration Committee member is
   stated in Table 121.


   Table 121 • Nomination and Remuneration Committee Independence


                                               Financial Relationship with                                 Family Relationship with

                                                                        Controlling                                                    Controlling
                 Name              Commissioners      Directors                           Commissioners          Directors
                                                                       Shareholders                                                   Shareholders

                                   Yes     No       Yes      No      Yes       No        Yes          No       Yes     No        Yes         No
    Alfonso Napitupulu              -      √          -      √         -       √           -          √         -      √          -           √
    Sunata Tjiterosampurno          -      √          -      √        √         -          -          √         -      √          -           √
    Elisabeth Vivi Jeki Aryani      -      √          -      √         -       √           -          √         -      √          -           √


   Nomination and Remuneration Committee’s Policies and Remuneration
   Each member of the Nomination and Remuneration Committee is prohibited from gaining personal
   advantage, directly or indirectly, from BFI Finance’s business activities, other than their legitimate salary.
   Members of the BOC that also serve as Chair or members of the Nomination and Remuneration Committee
   are not given any additional salary on top of their salary as members of the BOC.




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                       HIGHLIGHTS                                                               SUPPORTING UNITS




 Nomination and                              a. Establish remuneration                    Nomination and
                                                structure for members of
 Remuneration                                   the BOD and/or the BOC;
                                                                                          Remuneration
 Committee’s Work                            b. Develop remuneration
                                                                                          Committee Meetings
 Processes and                                  policy for members of the                 The meetings of the Nomination
 Procedures                                     BOD and/or the BOC;                       and Remuneration Committee
 1.   In performing the nomination           c. Establish remuneration                    shall be held regularly, at least
      function as referred to in point          amount for members of                     once in every four months.
      2(b) of the Nomination and                the BOD and/or the BOC.                   Meetings can only be held if
      Remuneration Committee                                                              attended by the majority of the
                                          3. The Nomination and
      Guideline, the Committee                                                            Nomination and Remuneration
                                             Remuneration Committee
      shall perform the following                                                         Committee members, and if one
                                             in carrying out its duties
      procedures:                                                                         of the attended members is the
                                             and responsibilities related
                                                                                          Committee Chair.
      a. Compile the composition             to remuneration policy shall
         and nomination processes            ensure that the remuneration                 The decisions of the Nomination
         for members of the BOD              policy is in accordance with:                and Remuneration Committee
         and/or the BOC;                     a. The applicable                            meetings shall be reached by
      b. Develop the required                   remuneration in the                       deliberation and consensus.
         policies and criteria in the           industry;                                 Should the deliberation fail to
         nomination processes                                                             reach a consensus, decisions
                                             b. Duties, responsibilities, and
         of candidates for the                                                            shall be made based on majority
                                                authority of members of
         members of the BOD and/                                                          vote. If there is no majority vote,
                                                the BOD and/or the BOC in
         or the BOC;                                                                      decisions shall be made through
                                                relation to the performance
                                                                                          a mechanism stipulated in the
      c. Assist the performance                 and achievement of the
                                                                                          Nomination and Remuneration
         evaluation of members of               Company’s goals;
                                                                                          Committee Guideline. In the
         the BOD and/or the BOC;             c. Performance targets or
                                                                                          event of disagreement, the
      d. Prepare capacity-building              performance of each
                                                                                          difference of opinion and its
         programs for the members               member of the BOD and/or
                                                                                          reasons shall be recorded in the
         of the BOD and/or the                  the BOC; and
                                                                                          minutes of meeting.
         BOC; and                            d. Balance between the
                                                                                          Results of the Nomination and
      e. Examine and propose                    fixed component and the
                                                                                          Remuneration Committee
         qualified candidates as                variable component of
                                                                                          meetings shall be recorded
         members of the BOD and/                remuneration.
                                                                                          and documented in minutes of
         or the BOC to the BOC to         The structure, policies, and                    meetings, which subsequently
         be submitted to the GMS.         amount of remuneration shall be                 shall be submitted in writing to
 2. In performing the                     evaluated by the Nomination and                 the BOC.
    remuneration function                 Remuneration Committee at least
    as referred to in point 2(a)                                                          In 2023, the Nomination and
                                          once a year.
    of the Nomination and                                                                 Remuneration Committee held
    Remuneration Committee                                                                three meetings. The meetings’
    Guideline, the Committee                                                              results were reported to the
    shall perform the following                                                           BOC in the meetings with the
    procedures:                                                                           BOC. The meeting schedule
                                                                                          and members’ attendance are
                                                                                          presented in Table 122.




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                                                          SUSTAINABILITY    SUPPORTING DATA                                 APPENDICES
   AND ANALYSIS                      GOVERNANCE                                                     STATEMENTS




   Table 122 • Schedule and Attendance of Nomination and Remuneration Committee Meetings

                                                                                 Alfonso               Sunata          Elisabeth Vivi
         Agenda                                  Date
                                                                                Napitupulu        Tjiterosampurno       Jeki Aryani
    Nomination             7 February 2023                                           √                   √                  √
                           17 July 2023                                              √                   √                  √
                           16 October 2023                                           √                   √                  √
                           Total Attendance of Each Member                           3                   3                   3
                           Attendance Percentage of Each Member                     100%               100%               100%
    Remuneration           7 February 2023                                           √                   √                  √
                           17 July 2023                                              √                   √                  √
                           16 October 2023                                           √                   √                  √
                           Total Attendance of Each Member                           3                    3                  3
                           Attendance Percentage of Each Member                     100%               100%               100%




   Nomination and                                2. 11th Indonesian Reward                    remuneration procedures, to
                                                    Summit with the theme                     the BOC as part of the BOC
   Remuneration                                     “Strategies for Increasing                performance report which shall
   Committee’s                                      Employee Productivity                     be submitted to the GMS. The
   Competence                                       through Innovative                        nomination and remuneration
                                                    Compensation & Benefits”,                 functions’ implementation shall
   Enhancement
                                                    15–16 March 2023, held in                 be reported by the Company in its
   The trainings/seminars participated              Jakarta by Inti Pesantren;                Annual Report and website.
   by the Chairman and Member of
                                                 3. CIAS Masterclass with the
   the Nomination and Remuneration
                                                    theme “Learn How The Ten                  Nomination and
   Committee in 2023—Alfonso
                                                    Types of Innovation Inspire You           Remuneration
   Napitupulu and Sunata
   Tjiterosampurno, respectively—are
                                                    to Find The Right Innovation              Committee’s 2023
                                                    Tactics”, 28 March 2023, held
   detailed in Graph 14.
                                                    online from Jakarta by CIAS;
                                                                                              Work Programs Report
   One other member, Elisabeth                      and                                       In 2023, the Nomination and
   Vivi Jeki Aryani, attended four               4. People Matters TechHR Pulse               Remuneration Committee
   trainings/seminars, as follows:                  Indonesia Conference 2023                 performed its duties and
   1.   Chief Innovators Roundtable                 with the theme “Reimagine                 responsibilities, which include
        (CIRO) 2023 with the theme                  Work: Design For The Future”,             evaluating the recommendations
        “Accelerating Agile & Digital               22 November 2023, held in                 of the BOD regarding the
        Transformation for the                      Jakarta by People Matters.                remuneration of members of
        Post-Pandemic World”,                                                                 the BOD, the BOC, and other
        8 March 2023, held in Jakarta            Activity Reporting                           Committees, to be submitted to
                                                                                              the BOC.
        by Corporate Innovation Asia             System
        (CIAS);
                                                 The Nomination and
                                                 Remuneration Committee
                                                 shall report the performance
                                                 of its duties, responsibilities,
                                                 as well as the nomination and




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 ABOUT THIS REPORT                            REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                      HIGHLIGHTS                                                                     SUPPORTING UNITS




 CORPORATE SECRETARY

 Legal Basis                             2. Corporate Communication,                         Duties and
                                            CSR & Corporate Program
 and Main Tasks                             Development and
                                                                                             Responsibilities
 The Corporate Secretary facilitates        Management (CPDM)                                The duties and responsibilities of
 effective communication                    Department, led by a Head of                     the Corporate Secretary pursuant
 between BFI Finance and the                Corporate Communication,                         to POJK 35 are as follows:
 shareholders, OJK, and other               CSR & CPDM; and                                  1.   Follow the development of
 stakeholders, including investors.      3. Investor Relations, which                             the capital market, particularly
 As part of its function, in                maintains communications                              regarding applicable laws
 accordance with POJK No. 35/               with the investors of                                 and regulations in the capital
 POJK.04/2014 on Corporate                  the Company.                                          market and inform them to
 Secretary of Issuers or Public                                                                   the BOC, BOD, and other
 Companies (POJK 35), the                Corporate Secretary                                      stakeholders of the Company;
 Corporate Secretary is responsible      Position                                            2. Provide input to the
 for the implementation of                                                                      Company’s BOD and BOC
                                         The Corporate Secretary is
 GCG, the preparation of                                                                        to ensure their compliance
                                         appointed and dismissed by
 management reports as well                                                                     with applicable laws and
                                         the BOD decree. The position of
 as other secretarial activities,                                                               regulations in the capital
                                         Corporate Secretary may be held
 legal handling, public relations,                                                              market;
                                         concurrently by a BOD member.
 quality management system,                                                                  3. Assist the BOD and the BOC
                                         The Corporate Secretary shall
 and information management                                                                     in the implementation of GCG,
                                         not hold any other concurrent
 system. Any information disclosed                                                              which includes:
                                         position in other issuers or public
 by the Corporate Secretary to the
                                         companies.                                               a. Information disclosure
 public is considered as official
                                                                                                     to the public, including
 information from BFI Finance.
                                         Corporate Secretary                                         ensuring the information
 BFI Finance’s Corporate Secretary       Requirements                                                availability on the website;
 was established pursuant to                                                                      b. Timely report submission
 the BOD Decree No. Corp/CH/L/           Requirements for the Corporate
                                                                                                     to OJK, IDX, and other
 VII/07-0115 dated 9 July 2007           Secretary position are as follows:
                                                                                                     regulatory institutions;
 with reference to POJK 35. The          1.     Legally competent;
                                                                                                  c. GMS and the
 Corporate Secretary is appointed        2. Possess knowledge and                                    documentation thereof,
 and dismissed by the decision of           understanding in the fields                              including preparation
 the BOD.                                   of law, finance, and corporate                           (reporting of GMS
 Corporate Secretary is an                  governance;                                              plan, announcement,
 individual position that is also in     3. Understand the Company                                   distribution of summons,
 charge of other work units that            business activities;                                     and GMS resolutions
 carry out Corporate Secretary’s         4. Able to communicate well;                                submission), GMS material
 functions, such as:                        and                                                      preparation (including the
 1.   Corporate Secretariat                                                                          Company Annual Report),
                                         5. Domiciled in Indonesia.
      Department, led by a Head of                                                                   and GMS execution;
      Corporate Secretariat;                                                                      d. Arrangement and
                                                                                                     documentation of the BOD
                                                                                                     and the BOC Meetings;
                                                                                                     and




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                                                        SUSTAINABILITY   SUPPORTING DATA                            APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                     STATEMENTS




       e. Organization of the                 Competence                                      sustainability report, public
          Company’s induction                                                                 expose, share registration
          program for new members
                                              Enhancement and                                 statements, ad-hoc reports
          of the BOD and the BOC as           Training Programs                               related to new development
          well as other Committees            Throughout 2023, Sudjono, who                   plans, sustainable finance
          under the BOC;                      concurrently holds the position of              action plan (RAKB) for OJK,
   4. Act as a liaison officer                Corporate Secretary and Finance                 as well as provided necessary
      between the Company and its             Director, participated in various               information to shareholders;
      shareholders, OJK, and other            seminars and training programs,              4. Sent notices and prepared all
      stakeholders.                           as detailed in Graph 16.                        matters related to GMS and
                                                                                              published the results;
   Details of the Corporate Secretary
   are published on the Company
                                              Corporate Secretary’s                        5. Coordinated and administered
   website on https://www.bfi.co.id/          2023 Activity Report                            share ownership records and
   en/corporate/Corporate-Good-                                                               corporate actions;
                                              Throughout 2023, the Corporate
   Governance/Corporate-Secretary.            Secretary successfully executed              6. Prepared the Integrated
                                              the following duties and                        Annual Report;
   Corporate Secretary                        responsibilities:                            7. Implemented various CSR
   Profile                                    1.   Provided input to the BOD                  programs, externally and
                                                   and the BOC regarding                      internally, through the CSR
   The Corporate Secretary up to
                                                   capital market developments,               Unit in coordination with the
   31 December 2023 was held by
                                                   including new regulations in               Corporate Communication &
   Sudjono. He is an Indonesian
                                                   the capital market issued by               CSR & CPDM Department;
   citizen born in 1970, 52 years of
   age, who was appointed pursuant                 OJK and IDX;                            8. Maintained rapport with the
   to the BOD Decree No. BOD-BOC/             2. Maintained rapport with                      media and other information
   VI/2014-0011 dated 24 June 2014.              Capital Market Authority                     channels;
   He is also a BOD member, serving              and prepared reports on                   9. Coordinated the Company
   as the Finance Director. His                  the Company’s information                    meetings and public exposes,
   profile is presented in the Board             disclosure pursuant to                       and prepared their minutes;
   of Directors’ Profiles section in             the applicable laws and                   10. Coordinated corporate actions;
   the Company Profile chapter                   regulations;
                                                                                           11. Corresponded with OJK 80
   (page 74).                                 3. Published the Company                         times and with IDX 44 times.
                                                 information transparently,
                                                 which included information
                                                 disclosure report on the
                                                 GMS, periodic financial
                                                 statements, annual report,




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 ABOUT THIS REPORT                       REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                     HIGHLIGHTS                                                                 SUPPORTING UNITS




 INTERNAL AUDIT

 Legal Basis of                         and has direct access to the Audit              There were 221 internal auditors
                                        Committee, ensuring that the                    in the Company’s Internal
 Establishment                          implementation of its duties is                 Audit Department as at
 and Main Duties                        carried out independently.                      31 December 2023, consisting of:
 In accordance with OJK                 In the corporate governance                     1.   General Audit: 73 auditors;
 Regulation No. 56/POJK.04/2015         structure of BFI Finance, the                   2. Field Audit: 125 auditors; and
 on the Establishment and               Internal Audit Department                       3• Head Office: 23 auditors.
 Guidelines for the Preparation         is responsible for improving
 of the Internal Audit Unit             the Company’s operational                       In 2023, a number of competence
 Charter, the Internal Audit has a      processes through coordination                  enhancement training sessions
 function to provide confidence         with the Audit Committee who                    were held, including advanced
 and independent and objective          reports to the BOC. The Internal                training for internal auditors
 consultation internally for            Audit Department is led by a                    held both online and offline,
 the Company.                           Department Head (Head of                        Great Leaders Program (GLP),
                                        Internal Audit) and must have at                Leadership Development
 Internal Audit Charter                 least ten members from within                   Program (LDP), and assessments.
                                        the Company. Thus, all staff of                 Up to the end of 2023, no internal
 The Internal Audit Charter was
                                        the Internal Audit Department                   auditors of the Company had
 adopted on 1 March 2009 and
                                        are subject to the Company                      professional certification or
 re-evaluated on 26 January 2021
                                        regulations, including in the                   qualification in the field of
 provides the work guideline for
                                        appointment and dismissal                       internal audit.
 the Internal Audit Department
 in carrying out the duties and         procedures, as well as the
 mandate from the BOD. The              performance evaluation of the
 Internal Audit Charter covers the      Internal Audit staff.
 technical, operational, and ethical    The Head of Internal Audit is
 aspects governing each member          appointed and dismissed by
 of the Internal Audit Department.      the President Director with the
                                        approval of the BOC. Should the
 Structure and Position                 Head of Internal Audit fail to meet
 The Internal Audit Department          the requirements as an internal
 was established on 31 March 2010       auditor and/or is not competent
 based on the Letter of                 to carry out his/her duties, the
 Appointment of the Company’s           President Director can dismiss
 Internal Audit Members. It reports     him/her based on the approval of
 directly to the President Director     the BOC.




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   MANAGEMENT DISCUSSION                 GOOD CORPORATE                                                            ANNUAL FINANCIAL
                                                                  SUSTAINABILITY          SUPPORTING DATA                                 APPENDICES
   AND ANALYSIS                          GOVERNANCE                                                                STATEMENTS




  Graph 20 • Internal Audit Department Structure




                                                          Head of Internal Audit




                                                                                                     Strategic &
                           Operational
                                                                                                    Development
                           Audit Head
                                                                                                     Audit Head




                                                                                                     Assurance
      Investigation         Business           Asset                    Prevention
                                                                                                      Audit &                     General
       & Tele Audit         & Credit        Management                     Data
                                                                                                    Performance                  Audit Head
          Head             Audit Head        Audit Head                 Audit Head
                                                                                                        Head




                                                                                                     Assurance
      Investigation         Regional                           Prevention          System Audit                          Internal
                                                                                                      Audit &                             IT Audit
          Audit              Audit                             Data Audit            Analytic                            Control
                                                                                                    Performance                          Supervisor
        Specialist           Head                              Supervisor           Supervisor                          Supervisor
                                                                                                     Supervisor




                       Operational &           Audit           Business &          System Audit                           Internal
       Tele Audit                                                                                    Audit & QA                           IT Audit
                       Finance Audit         Non-Retail        Credit Data            Analytic                            Control
       Specialist                                                                                     Specialist                         Specialist
                         Supervisor          Supervisor         Analytic             Specialist                          Specialist




                       Operational &           Audit             Asset                                  Audit
                       Finance Audit         Non-Retail       Management                            Performance
                         Specialist          Specialist       Data Analytic                          Specialist




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 ABOUT THIS REPORT                            REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                      HIGHLIGHTS                                                                    SUPPORTING UNITS




 Duties and                              10. Compile a ranking/scoring                       Committee. To ensure their
                                             of audit results per branch                     independence and objectivity, all
 Responsibilities                            office to assess the level of                   members of the Internal Audit
 The duties and responsibilities             compliance of each branch                       Department shall not accept
 of the Internal Audit function              office with the prevailing                      assignments and take operational
 include:                                    regulations, policies and other                 responsibilities in any work units
 1.   Prepare and execute the                provisions.                                     or business functions.
      annual Internal Audit plan;        The Internal Audit Department
                                                                                             Internal Audit
 2. Examine and evaluate the             has the authority to:
    implementation of internal           1.     Access all relevant Company
                                                                                             Qualifications
    control and risk management                 information related to its                   In general, the qualifications for
    systems in accordance with                  duties and functions;                        members of the Internal Audit
    the Company policies;                                                                    Department include:
                                         2. Communicate directly with
 3. Examine and assess the                  the BOD, the BOC, and/or                         1.   Have integrity and
    efficiency and effectiveness            the Audit Committee as well                           professional, independent,
    of finance, accounting,                 as members of the BOD,                                honest, and objective behavior
    operations, human capital,              the BOC, and/or the Audit                             in carrying out their duties;
    marketing, information                  Committee;                                       2. Have knowledge and
    technology and other
                                         3. Hold regular and incidental                         experience on technical
    activities;
                                            meetings with the BOD,                              auditing and other disciplines
 4. Provide suggestions for                 the BOC, and/or the Audit                           relevant to their field of work;
    improvements and objective              Committee; and                                   3. Have knowledge of the laws
    information about the
                                         4. Coordinate its activities with                      and regulations in the capital
    activities examined at all levels
                                            external auditors’ activities.                      market sector and other
    of management;
                                                                                                related laws and regulations;
 5. Prepare audit reports and            Standards for the                                   4. Have the skills to interact and
    report them to the President
                                         Implementation                                         communicate both verbally
    Director and the BOC;
                                         of Internal Audit                                      and in writing effectively;
 6. Monitor, analyze, and report
                                         Activities                                          5. Must comply with professional
    on the implementation of the
                                                                                                standards issued by the
    followed up improvements             Internal Audit performs audit on                       Internal Audit association;
    that have been suggested;            the financial aspect and monitors
                                                                                             6. Must comply with the code of
 7. Cooperate with the Audit             compliance with the Company
                                                                                                ethics of Internal Audit;
    Committee;                           policies and SOPs, as well as
                                         evaluates the effectiveness of                      7. Obliged to maintain the
 8. Develop a program to evaluate
                                         the Company’s internal control                         confidentiality of the
    the quality of Internal Audit
                                         system in accordance with                              Company’s information
    activities it carries out;
                                         the Risk-Based Audit concept                           and/or data related to the
 9. Carry out special                                                                           implementation of the duties
                                         established by the Risk Oversight
    examinations/audits if needed;                                                              and responsibilities of the
                                         Committee and in line with
    and                                                                                         Internal Audit, unless required
                                         the Audit Committee’s input.
                                         The Internal Audit Department                          by laws and regulations or
                                         reports all potentially adverse                        court decisions;
                                         findings to the Risk Oversight
                                         Committee and the Audit




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                                                        SUSTAINABILITY    SUPPORTING DATA                      APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                STATEMENTS




   8. Understand the principles of            Internal Audit
      good corporate governance
      and risk management; and
                                              Code of Conduct
                                              1.   Integrity
   9. Willing to continuously
      improve their knowledge,                     The integrity of Internal
      skills and professional abilities.           Auditors create trust so as to
                                                   bestow confidence on the
   Qualifications for the Head of
                                                   conclusions drawn.
   Internal Audit are:
                                              2. Objectivity
   1.   Provide an assessment of the
        adequacy and effectiveness                 Internal Auditors demonstrate
        of the processes carried out               the highest level of objectivity
        by the Company to control its              and professionalism in
        activities and manage risks                retrieval, evaluation, and
        from its coverage areas;                   dissemination of information
   2. Periodically provide                         regarding the activities or
      information on the status and                processes being audited.
      results of the annual audit                  Internal auditors carry out
      planning and adequacy of                     a balanced assessment
      resources; and                               of all relevant conditions
                                                   and are not influenced by
   3. Obliged to take responsibility
                                                   personal interest or other
      for the implementation of his/
                                                   parties’ interests in making a
      her duties to the President
                                                   conclusion.
      Director and the BOC through
      the Audit Committee.                    3. Confidentiality

   An Internal Auditor is not allowed              Internal Auditors respect
   to carry out concurrent duties                  the value and ownership of
   as an executor of operational                   information and data received
   activities in the Company, except               and do not disseminate such
   with written approval from the                  information and data without
   President Director and President                the approval of the authorized
   Commissioner without reducing                   parties.
   the Company’s internal control             4. Competency
   functions. In the event that
                                                   Internal Auditors have the
   there are double duties, if the
                                                   necessary knowledge,
   department/work unit where
                                                   expertise and experience to
   the party concurrently holds the
                                                   carry out their functions.
   position is being audited, then
   the person concerned may not be
   involved in the audit process.




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                       HIGHLIGHTS                                                                 SUPPORTING UNITS




 Profile of Head of Internal Audit



          Fledy Rizmara

                             Nationality:
             Age: 43                                        Jakarta, DKI Jakarta
                             Indonesian




      He has served since 2014, based on the                          •   Middle-Management Development
      Company’s BOD Decree No. SK/BOD/VII/14-009                          Program (MMDP) 1st Batch, by BFI Finance
      dated 16 July 2014. He has worked at BFI Finance                    in collaboration with Prasetiya Mulya
      since 2005 as Audit Staff, then appointed as                        Business School
      Audit Team Leader in 2007, Audit Supervisor                     •   Know Your Customer by BFI Finance
      in 2010, General Audit Unit Head in March 2011,                     (internal)
      and Field Audit Unit Head in August 2011.
                                                                      •   Problem Solving & Decision Making
      He obtained his Bachelor of Economics in
                                                                          by BFI Finance (internal)
      Accounting degree from the Islamic University
      of Indonesia (UII) in 2004. He has been active                  •   Situational Leadership Training
      as trainer in various training programs for the                     by BFI Finance (internal)
      Company employees since 2009, and has also                      •   Fraud Mitigation & Investigation Training
      participated in the following competence                            by BFI Finance (internal)
      development programs including:                                 •   Training of Basic Certification Program –
      •    Basic Principles of Internal Audit by BFI                      a training program by APPI for managerial
           Finance (internal)                                             certification in the form of ‘Basic Financing
      •    Fraud Detection by BFI Finance (internal)                      Certification’ from PT Sertifikasi Profesi
                                                                          Pembiayaan Indonesia (SPPI).



 Activities and Follow-up on Audit Findings
 In general, the Internal Audit Department has independently and objectively carried out audit activities at
 the head office and all branches, covering financial audits, audits of compliance with policies and SOPs, and
 evaluation of the effectiveness of the internal control system.

 Internal Audit activities in 2023 include:
 1.   Compilation of the 2023 annual audit work program and evaluation of 2022 implementation;
 2. Audit of work units at head office and branches;
 3. Monitoring the implementation of audit recommendations as agreed; and
 4. Regular meetings with the Audit Committee to discuss the Internal Audit work program and other
    matters related to findings in accordance with the Audit Committee’s supervisory function.

 In 2023, Internal Audit conducted 774 audits and 126,750 field visits to branches, as well as 10 audit tasks at
 the Head Office. The Management had properly responded to the internal audit findings, and for the cases
 of fraud that were exposed, the Company had applied penalties in stages, starting from compensation for
 the Company losses to termination of employment. The Company’s financial losses in 2023 amounted to less
 than 0.5% of its total revenue.




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                                                         SUSTAINABILITY     SUPPORTING DATA                              APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                          STATEMENTS




   INTERNAL CONTROL SYSTEM

   The internal control system is part        Internal Control                                4. Information and
   of an integrated business process                                                             Communication System
   that ensures that all activities are
                                              System Components
                                                                                                   The Company prepares
   carried out in accordance with             The internal control system                          reports on its operational and
   the prevailing rules and support           consists of the following                            financial activities as well as
   the achievement of the Company             components:                                          compliance and compliance
   goals, which include effective             1.   Control Environment                             with laws and regulations in
   and efficient business activities,                                                              a timely, accurate, clear and
                                                   The BOD and all employees
   accurate and reliable financial                                                                 objective manner.
                                                   must create and maintain
   reporting, and prudent asset
                                                   a work environment with a                  5. Supervision
   maintenance.
                                                   positive attitude, support the                  The Company assesses the
                                                   internal control, and carry out
   Financial and                                                                                   quality of its internal control
                                                   sound management.                               system, including the Internal
   Operational Control                        2. Risk Assessment                                   Audit function at each level
   In controlling the financial aspect,            Each work unit must identify,                   and unit.
   the Company separates the                       analyze, and assess the                    Overall, the Company maintains
   function of recording transactions              relevant risks in relation to its          a tiered control system covering
   from the cash disbursement                      operational activities, both               the Company governance bodies,
   function. The Company also                      within and outside of the                  as follows:
   runs a tiered budget approval                   Company.
   mechanism that involves a check                                                            1.   BOC: supervises and directs
                                              3. Control Activity                                  the Company’s management
   and re-check process.
                                                   This activity is applied to the                 process, financial report
   In controlling the operational                  implementation of activities                    preparation, and risk oversight
   aspect, the Company assesses                    at every level and unit in the                  by applying the precautionary
   the level of compliance of each                 organizational structure of                     principle;
   function with the relevant policies             the Company, among others,                 2. BOD: implements policies
   and procedures implemented                      by regulating authority,                      and work procedures in
   through the implementation                      authorization, verification,                  accordance with applicable
   of Guidelines for Business                      reconciliation, appraisal of                  regulations, including risk
   Principles, operational guidelines,             work performance, division of                 management and mitigation,
   procedures, implementation                      duties, and safeguarding of                   determination of the
   manuals, work instructions, and                 assets.                                       Company’s strategic plans,
   other reference documents.
                                                                                                 and the division of duties and
                                                                                                 authorities of each member of
                                                                                                 the BOD;




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 3. Internal Audit: conducts            Evaluation of Internal                          audits as input for management
    audits and improves the                                                             in taking corrective steps and
    performance of internal
                                        Control System’s                                improving policies and the
    control in various operational      Effectiveness                                   internal control system, in order
    and financial activities of the     Using the Internal Audit                        to support the achievement of
    Company;                            Department and according to                     the Company objectives.
 4. BOD: follows up on all audit        the Audit Committee evaluation                  The BOC and the BOD concluded
    findings based on the Internal      criteria, the Company has                       that up to 31 December 2023,
    Audit report; and                   evaluated the efficacy of the                   the Company’s internal control
 5. Audit Committee: assesses           internal control system for the                 system over its financial reporting
    the implementation of               Company financial reporting as at               had been effective, and that
    activities and the results of       31 December 2023.                               this system is adequate for the
    audits conducted by the             The result of the evaluation of the             scope of business the Company is
    Internal Audit in order to          internal control system’s efficacy              currently engaged in.
    provide recommendations             contains recommendations on
    for improvements to the             the results of internal and external
    Internal Control System. The
    Audit Committee also ensures
    that there is a procedure for
    reviewing information issued
    by the Company and for
    identifying matters requiring
    the attention of the BOC.




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                                                        SUSTAINABILITY    SUPPORTING DATA                            APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                     STATEMENTS




   RISK MANAGEMENT

   As the business landscape                  collaborating with third parties                and structures for risk
   continued to be shaped by                  and authorities to manage the                   management, from
   wider trends in the economy                Company’s risk profile.                         identifying risks all the way to
   and shifts in customer                                                                     mitigating them. The scope
                                              In the context of AML–CFT–
   preferences, BFI Finance seized                                                            of these mechanisms covers
                                              CPF implementation, the risk
   the opportunity to put in place                                                            customers’ profile setting
                                              management framework
   further improvements to make                                                               to customers’ obligation
                                              is attuned to the OJK’s
   its risk management more                                                                   settlement.
                                              five principles for financial
   robust to support its business                                                           4. Risk management
                                              institutions, covering the
   strategy. The Company pressed                                                               information system
                                              following:
   on with utilizing fully digitalized
                                              1.   Active supervision of the                  The Company’s risk
   process empowered by machine
                                                   BOD and BOC                                management system draws
   learning-built models within its
                                                                                              from its extensive database
   risk management framework,                      The BOD and BOC perform
                                                                                              and is supported by internal
   allowing better control of                      their respective duties in
                                                                                              procedures to improve the
   approval process, partial                       relation to risk management.
                                                                                              quality of risk management
   automation of some steps, and                   The BOC is assisted by the
                                                                                              and portfolio performance
   better allocation of resources                  Risk Management Committee
                                                                                              reporting. The database
   and quality of generated                        in approving the Company’s
                                                                                              also incorporates the wider
   portfolio. Especially in light of               risk management framework
                                                                                              industry’s List of Suspected
   the cyberattack in May 2023,                    and policies. The BOC grants
                                                                                              Terrorists and Terrorist
   BFI Finance revamped certain                    authority to the BOD to
                                                                                              Organizations and Politically
   aspects of system and data                      perform business activities in
                                                                                              Exposed Persons.
   security, backups policies and                  line with the Company’s risk
   other measures to ensure more                   profile and risk appetite.               5. Comprehensive internal
   stringent measures against such                                                             control system
                                              2. Adequacy of policies,
   risks, which are expected to                  procedures, and risk-limit                   The Company’s internal
   intensify in the coming years.                setting                                      control system follows the
                                                                                              Three Lines of Defense
   Throughout 2023, as in previous                 The Company’s risk
                                                                                              approach: supervisory, control,
   years, the Company’s Risk                       management policies,
                                                                                              and management functions.
   Management Department                           procedures, and limits are
   enlarged its team, utilized more                regularly assessed to ensure               a. First Line of Defense
   active applications, and screened               their adequacy as well as                     Business and operational
   the portfolio against potential                 alignment with business                       units are responsible
   fraud attempts. It also progressed              activities and strategies,                    for setting up its
   in implementing the guidance                    segment of new products                       own internal control
   and guardrails relating to Anti-                and customers, and the                        mechanism, identifying,
   Money Laundering, Combating                     regulations. These policies                   assessing, overseeing,
   the Financing of Terrorism, and                 include authorization for credit              and mitigating risks. Their
   Counter Proliferation Financing                 transactions and accounts                     main responsibility is to
   of Weapons of Mass Destruction                  receivable loss reserve.                      manage risk exposure
   (AML–CFT–CPF) and Know Your                3. Adequacy of identification,                     daily in accordance with
   Customer (KYC), as issued by the              assessment, monitoring, and                     established market targets,
   OJK. The department’s scope                   risk control processes                          policies, and procedures.
   of duties includes conducting
                                                   The Company maintains
   training for employees and
                                                   adequate mechanisms




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      b. Second Line of Defense
          Enterprise Risk Directorate, Compliance team, Operational Risk team, Anti-Fraud team, Financial
          Control Department, as well as Legal & Litigation Unit (as part of the Asset Management,
          Recovery & Inventory Department) carry out their independent supervisory functions. Enterprise Risk
          Directorate is responsible for carrying out studies and approving acceptable risk levels and strategies,
          as well as cooperating with business and operational units in ensuring risk is managed according to
          established limits. Financial Control Department manages and is responsible for setting up overall
          budget and setting the acceptable risk levels in it, monitoring its fulfilment, and managing short term
          and long term funding sources and liquidity positions based on portfolio quality development. Legal
          & Litigation Unit manages compliance risks related to legal matters and is responsible in ensuring
          the dissemination and adherence of applicable regulations by all related units.
      c. Third Line of Defense
          The Internal Audit Department periodically conducts independent audit and assessment on each
          process undertaken by each unit on the first and second lines of defense.

 BFI Finance applies a comprehensive risk management system to ensure its business continuity,
 by managing each of the risk factors in its operations. This risk management system is evaluated periodically
 to ensure effective implementation, and is enhanced with new features and the latest standards to improve
 the risk management performance.


 Graph 21 • Three Lines of Defense in Risk Management



                               General Meeting of Shareholders



                                   Board of Commissioners




             Audit                                                        Risk Oversight                  Nomination and
           Committee                                                       Committee                 Remuneration Committee




                                            President
                                             Director




             Internal                       Enterprise
              Audit                        Risk Director




            Risk                           Operational                        Credit                  Asset Management,
         Management                        Risk & KYC                       Operations                Recovery & Inventory




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                                                        SUSTAINABILITY   SUPPORTING DATA                             APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                     STATEMENTS




   Risk Management                            weaknesses, especially in the                aspects of capacity management,
                                              acquisition and underwriting                 digitalized process driven in
   Strategy and                                                                            newly deployed systems (such as
                                              processes, could be addressed
   Performance in 2023                        and the loopholes removed.                   autodialer), and revamped end-
   The Company’s risk management                                                           to-end strategy.
                                              The risk management team
   performance is supported by                collaborated extensively with the            By end of 2023, several pilot
   the improvements made to                   IT team, mustering the digital               projects in digitalization had
   the underlying systems and                 capabilities to obtain a wide-               been carried out to achieve this
   mechanisms, which in 2023                  ranging set of data, both those              aim, with a view to deploy them
   were primarily focused on                  available in the market and on               more widely in 2024. However,
   revamping risk policies, daily             customers’ end. This measure                 the expected progress in this
   control, enlarging data science            resulted in better informed                  result was delayed owing to a
   and other teams with data-                 decision-making related to risk              cyberattack which the Company
   driven professionals, and digital          levels during the underwriting               endured in May 2023.
   capabilities.                              process. The datasets
                                                                                           A particular element of risk
   Initiatives in these areas were            include vehicle ownership
                                                                                           management was also brought
   driven by the deteriorating                documentation, customer IDs,
                                                                                           to focus by this incident. It
   quality of financing portfolio,            drivers’ licenses, market prices
                                                                                           highlighted the importance of
   which was also seen across                 for various vehicles, personal
                                                                                           buttressing digital defense, given
   Indonesia’s multifinance                   evaluation by credit bureaus, and
                                                                                           the increasing reliance of BFI
   industry, as demonstrated by               many others. A strengthened
                                                                                           Finance’s business systems on
   a higher industry NPF at year-             underwriting process allowed for
                                                                                           the digital infrastructure. The risk
   end compared to one year prior,            a greater number of applications
                                                                                           management team dealt with the
   driven to a large extent by the            to be processed in less time, with
                                                                                           issue by making sure that going
   shift towards pre-pandemic levels          the help of this Big Data-driven
                                                                                           forward, all new digital initiatives
   of economic activity.                      machine learning models.
                                                                                           that were built came with the
   Responding to the potential                To bolster fraud detection and               most stringent set of security
   of NPF deterioration, which                prevention, the massive datasets             standards. These initiatives were
   was particularly observed in               that the Company has integrated              also rolled out at pace, not only at
   Motorcycles Financing segment,             into its risk management                     the Head Office but also across
   the Company tightened its                  framework helped strengthen                  the branches, where certain
   requirements for new customers             the acquisition performance.                 legacy systems and ad hoc work
   and adjusted the relevant loan-            With higher quality data, the                procedures were still widely
   to-value limits as well as the             Company now has a more                       used instead of the newer, more
   maximum historical delinquency             effective capability to detect               structured digital systems.
   and some other minimum                     anomalous transactions and
   criteria. Risk from this segment           identify potential issues early on.          2023 Risk Matrix
   was also managed by extending              On the collection side, the Risk             BFI Finance classifies various
   the period before existing                 Management team coordinated                  risks in its business based on
   customers could apply for                  the Company’s engagement of                  POJK 44/2020, and maintains risk
   repeat financing. Furthermore,             external consultants to perform              matrix describing the potential
   the Company applied an                     collection more effectively. As the          impacts and mitigation of each
   individualized approach in setting         Company recruited additional                 risk factor
   the risk acceptance criteria based         personnel, especially field and
                                                                                           .
   on each branch’s main customer             Call Center staff, to aid this task,
   characteristics.                           the collection team’s capabilities
   In dealing with rising market              were improved, mainly in the
   competition, BFI Finance
   sharpened its edge in risk
   management by developing
   more rigorous business policies.
   This ensured that identified




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 ABOUT THIS REPORT                            REPORTS TO STAKEHOLDERS      COMPANY PROFILE
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Table 123 • Risk Matrix 2023

                                                         Potential                                                        Risk
  No.      Risk Type             Source                                                      Mitigation
                                                          Impact                                                         Rating

  1.    Strategic      Failure to set               All business         1. Active supervision of BOC and              Middle–
        Risk           appropriate strategy         and operational         BOD                                        Low
                       to achieve main              aspects              2. Periodic evaluation and
                       objectives                                           adjustment of strategic plans

  2.    Operational    Failure of internal          Products             1. SOP preparation and                        Middle–
        Risk           and external                 and services;           implementation for each work               Low
                       processes; disruption        business                process to prevent violation
                       to operational and           processes;           2. Running of Operational Risk
                       financial processes;         operational             Management (ORM), Risk Quality
                       regulation issues;           activities;             Management, and Operational
                       internal or external         systems and             Risk Monitoring Units
                       frauds                       infrastructure;      3. Running of Disaster Recovery Plan
                                                    reputation              and Disaster Recovery Center
                                                                         4. Internal Audit monitoring
                                                                         5. Comprehensive awareness and
                                                                            fraud prevention programs
                                                                         6. Early warning indicators

  3.    Financing      Failure of debtors to        Financial            1. Existence of policies and                  Middle–
        Risk (Credit   fulfill their obligations    condition;              procedures to determine target             Low
        Risk)          to the Company;              reputation              markets, credit approvals, interest
                       changes in external                                  rate, rate limits, and exposures
                       factors                                           2. Collection management
                                                                         3. Implementation of MIS to measure
                                                                            portfolio performance
                                                                         4. Quick and accurate problem
                                                                            detection and problem solving
                                                                         5. Stress test and early detection
                                                                            system
                                                                         6. Portfolio diversification policies
                                                                            and customer base
                                                                         7. Loan loss provisions in accordance
                                                                            with SFAS 71

  4.    Market Risk    Changes in market            None                 1. Hedging for all debts taken in             Middle–
                       prices of the                                        foreign currencies                         Low
                       portfolio positions                               2. Disbursement of financing in
                       and administrative                                   rupiah
                       accounts including
                       derivative transactions

  5.    Liquidity      Failure to service           Financial            1. Effective management of cash               Middle–
        Risk           obligations that have        condition;              flows                                      Low
                       come due                     reputation           2. Gathering and analysis of data and
                                                                            key indicators
                                                                         3. Management of liquidity, gaps, and
                                                                            pricing




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                                                           SUSTAINABILITY          SUPPORTING DATA                                  APPENDICES
   AND ANALYSIS                      GOVERNANCE                                                             STATEMENTS




   Table 123 • Risk Matrix 2023


                                                             Potential                                                                 Risk
    No.      Risk Type                Source                                                         Mitigation
                                                              Impact                                                                  Rating

    6.     Legal Risk       Failure that may result    All business            1. Proper business conduct in                       Middle–
                            in legal weaknesses        and operational            financing in accordance with the                 Low
                                                       aspects                    prevailing regulations
                                                                               2. Transparency in every financing
                                                                                  provided
                                                                               3. Review of every clause in the
                                                                                  financing document by the legal
                                                                                  team

    7.     Compliance       Non-compliance             Financial               1. Proper business conduct in                       Middle–
           Risk             with the prevailing        condition;                 financing in accordance with the                 Low
                            regulations                business                   prevailing regulations
                                                       operations;             2. Timely fulfillment of obligations
                                                       reputation                 related to the authorities

    8.     Reputation       Events that may            Reputation              1. Collection and collateral execution              Middle–
           Risk             create a negative                                     activities ensured to be in line                 Low
                            perception on the                                     with ethics and the prevailing
                            Company                                               regulations
                                                                               2. Civil and rapid handling of
                                                                                  complaints from debtors and the
                                                                                  public
                                                                               3. Monitoring of negative reporting
                                                                                  from mass media and social
                                                                                  media, and providing explanation
                                                                                  as required




   Graph 22 • Map of Diversification of Financing by Managed Receivables



                                      Kalimantan

                                     13.6%                                                                              Eastern Indonesia
                                                                                                                    (Sulawesi, Maluku, Papua)

                                                                                                                          15.5%




          Sumatra

     19.5%
                           Greater Jakarta

                           24.5%                      Java, Bali & Nusa Tenggara

                                                            26.9%




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 Evaluation on the                       while the Internal Audit function,              more widely across its branches.
                                         acting independently, oversaw                   A particular emphasis will
 Effectiveness of Risk                   and evaluated operational                       be on several pilot projects,
 Management System                       processes; and the Risk                         in acquisition as well as in
 in 2023                                 Oversight Committee and the                     collection, that will be expedited
                                         Audit Committee carried out                     to improve processes in branches,
 BFI Finance’s risk management
                                         independent oversight as needed.                replacing legacy applications.
 team reports its risk profile on
 a quarterly basis to the Risk           The Company’s effective risk                    BFI Finance is also strengthening
 Oversight Committee.                    management, with proactive                      its analytics capability by banking
                                         measures taken in first half of the             on machine learning and
 The Company’s risk profile
                                         year—mainly on the deteriorating                expansion of IT infrastructure.
 for 2023 was maintained in
                                         motorcycles financing portfolio—                This will significantly enhance
 the Middle-Low Risk category
                                         helped BFI Finance to return to                 the analysis and evaluation of
 overall. This was based on
                                         expected performance financially                customers’ applications, both
 self-assessment conducted in
                                         in 2023, in terms of asset size                 from existing and potential ones,
 accordance with POJK 28/2020
                                         and profitability. The BOC’s                    with respect to their behavior
 and POJK 44/2020.
                                         oversight and the BOD’s overall                 and repayment schedules.
 In 2023, the Company continued          direction continued to enhance                  As branches become more
 improving its three lines of            the Company’s risk management                   empowered with capable and
 defense, namely internal control,       performance, enabling it to keep                updated systems, addressing
 risk management, and internal           up with the planned business                    personnel management,
 audit. This was achieved by             initiatives in the future.                      most notably in collection, will
 developing a mitigation plan                                                            complete the cycle and create
 and holding more frequent               2024 Risk                                       a more robust business for
 meetings and reporting on               Management Focus                                BFI Finance.
 several potential risks, as well as a
                                         and Development Plan
 follow-up process when potential
 risks had been identified. The          The Company’s risk management
 Enterprise Risk Directorate             focus in 2024 will be on
 conducted risk portfolio analyses,      developing and implementing
 maintained credit quality and           the digital initiatives related to
 asset quality up to recovery;           risk prevention and mitigation




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                                                                SUSTAINABILITY        SUPPORTING DATA                             APPENDICES
   AND ANALYSIS                           GOVERNANCE                                                       STATEMENTS




   LEGAL CASES

   There were 58 ongoing legal cases faced by the Company as of the end of 2023 and by the time this report
   is printed. A total of 43 cases took place in court, and the rest were handled by the Consumer Dispute
   Settlement Agency (BPSK in Indonesian abbreviation).

   Based on the assessment carried out by the Company, these cases and/or legal cases did not have
   significant/material impacts on the Company’s business continuity, and were part of the Company’s routine
   activities. The total outstanding principal from all these cases is Rp22.6 billion, or 0.1% of the Company’s Total
   Managed Receivables.


   Table 124 • 2023 Legal Cases


          Case Type                      Handling Institution           Number of Cases                    BFI Finance’s Status
                                                                                               As Plaintiff: 1
                                                                                               As Defendant: 42
    Consumer                      Local District Courts                          43
                                                                                               Others: None (bankruptcy litigation of
    Dispute                                                                                    other companies
                                  BPSK                                           15            As Complainee: 15
    Total                                                                        58

   The Company has ensured that all of the above cases will have no significant or material negative impact on
   the Company’s business continuity and they are part of the Company’s normal course of doing business.




   ADMINISTRATIVE SANCTIONS

   In 2023, the Company received 3 administrative sanctions from the OJK, comprising 2 written warning and
   2 fines. All three of them are described in Table 125.


   Table 125 • Administrative Sanctions


                           Date                                   Type of Sanction                                Description
    17 January 2023                                     Written Warning                            Written warning from OJK
                                                                                                   regarding delays in handling
                                                                                                   customer complaints
    6 May 2023                                          Fine                                       Fines f rom OJK in connection with
                                                                                                   the submission of Debtor Reports
                                                                                                   and/or Correction of Debtor
                                                                                                   Reports via SLIK for the period
                                                                                                   December 2022
    23 August 2023                                      Fine                                       Fines f rom OJK in connection with
                                                                                                   the submission of Debtor Reports
                                                                                                   and/or Correction of Debtor
                                                                                                   Reports via SLIK for the period
                                                                                                   March to April 2023




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                              237
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 ABOUT THIS REPORT                        REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                      HIGHLIGHTS                                                                SUPPORTING UNITS




 ACCESS TO INFORMATION AND COMMUNICATION

 Access to Company                       4. Customer Care WhatsApp:                      internally and externally, to
                                            08821 1500018                                maintain Company reputation
 Information and Data                                                                    among stakeholders. Operating
                                         5. Customer Care Live Chat:
 It is in the interest of the               bfi.co.id.                                   under the Department of
 Company to ensure the                                                                   Corporate Communication, CSR
                                         6. Company’s official social
 presence of a clear and effective                                                       & CPDM, this function organizes
                                            media accounts:
 mechanism for the dissemination                                                         communication activities and
 of information to all stakeholders,        •   Facebook: BFI Finance                    manages the Company’s internal
 as part of the transparency or             •   X (formerly Twitter):                    and external communications. It
 information disclosure principle’s             @BFIFinance                              ensures stakeholder satisfaction,
 implementation.                            •   Instagram: @bfifinance                   including shareholders and
                                                                                         the Government, by providing
 The mechanism of the Company’s             •   LinkedIn: PT BFI Finance
                                                                                         company information and data.
 information dissemination                      Indonesia Tbk
                                                                                         This communication is conducted
 covered internal and external              •   YouTube: BFI Finance
                                                                                         through various methods to reach
 mechanisms, with the delivery                  Official
                                                                                         a diverse range of stakeholders,
 depending on the stakeholders
                                            •   TikTok: @bfifinanceofficial              namely:
 and the type of information they
 require.                                Stakeholders wishing to obtain                  1.   External Communication
                                         other information not provided in                    (Public);
 The Company disseminates
                                         the aforementioned channels can                 2. Internal Communication; and
 information to various
                                         address their inquiries directly to
 stakeholders in order to spread                                                         3. Corporate Branding.
                                         BFI Finance’s Head Office, with
 knowledge, understanding,                                                               External Communication
                                         contact details as follows:
 and to create and foster the
                                         PT BFI Finance Indonesia Tbk
                                                                                         (Public)
 stakeholders’ positive perception
 of the Company’s policies and           attn. Corporate Communication                   The Company communicates
 activities.                             (CorComm) Unit                                  with external shareholders by
                                         BFI Tower                                       disseminating Company-related
 Access to Company’s information
                                         Sunburst CBD Lot 1.2                            information to various mass
 and data is available to all
                                         Jl. Kapt. Soebijanto                            media and other third parties.
 stakeholders and investors
                                         Djojohadikusumo                                 Mandatory information, such as
 through bfi.co.id website, which
                                         BSD City, Tangerang Selatan 15322               the business condition of the
 contains various information on
                                         Indonesia                                       Company, is conveyed in a timely
 the Company’s profile, products
                                         Phone:                                          and accurate manner.
 and services, performance
                                         (62-21) 2965 0300, 2965 0500
 reports, financial statements, and                                                      The following describes
                                         Email:
 others.                                                                                 the function of external
                                         corporate.communication@bfi.co.id
                                                                                         communication of the Company:
 Other channels for the                  Website: bfi.co.id.
 dissemination of information                                                            1.   To develop and implement
 include:                                Corporate                                            communication strategies
                                                                                              in all of the Company’s
 1.   Customer Care Hotline:             Communication
                                                                                              communication media;
      1500018 (one-stop solution)
                                         Corporate Communication is                      2. To create publicity materials
 2. Customer Care Email:                 responsible for disseminating                      to enhance the Company’s
    customercare@bfi.co.id               information, latest news, and                      profile and marketing
 3. Customer Care                        messages on behalf of the                          activities;
    SMS: 0815 8767 234                   Company, as well as establishing
                                         effective coordination both




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                                                         SUSTAINABILITY   SUPPORTING DATA                            APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                      STATEMENTS




   3. To ensure up-to-date and                1.   Communication through                      •   BFI Finance, as a business
      appropriate contents, improve                the Company Website                            engaged in the financial
      functions, apply and expand                  The Company website, bfi.co.id,                sector with the Indonesian
      social media strategies                      contains the latest information                Business Field Standard
      in order to enhance the                      related to the Company’s                       Classification (KBLI)
      Company profile;                             financial performance on a                     defining its field as
   4. To ensure strong brand                       quarterly basis, disclosure                    Conventional Multifinance
      communication and                            of information related to                      Company, has obtained
      Corporate Brand Guidelines                   corporate actions, and other                   a Business Permit
      implementations, and monitor                 current information regarding                  to Support Business
      all matters related to the                   the Company, and the latest                    Activities (PB-UMKU)
      Company brand;                               achievements. The Company                      No. 812021319184101510001
                                                   website is updated constantly,                 and Domestic Electronic
   5. To ensure the
                                                   to inform the customers                        System Operator
      countermeasures and
                                                   and general public of the                      Registration Certificate
      handling of the Company’s
                                                   latest promotional programs,                   (TDPSE) No. 003857.01/
      communication crisis in all
                                                   customer testimonials, and                     DJAI.PSE/07/2022 for
      lines;
                                                   financial services offered by                  the Company’s website,
   6. To be responsible for the
                                                   the Company.                                   bfi.co.id. The PB-UMKU
      contents and information in
                                                                                                  and Domestic TDPSE
      each communication channel                   •   Since 2016, BFI Finance’s
                                                                                                  were issued by the
      and promotional material, be                     website has been equipped
                                                                                                  Electronic Certification
      it above-the-line, below-the-                    with communication
                                                                                                  Center on 12 July 2022, on
      line, internally, or externally;                 functions and data access
                                                                                                  behalf of the RI Minister
                                                       to make it easier for the
   7. To work closely with                                                                        of Communication and
                                                       general public, customers
      other related units to                                                                      Information and Minister
                                                       and potential customers,
      ensure an integrated                                                                        of Investment/Head of the
                                                       investors and potential
      and complementary                                                                           Investment Coordinating
                                                       investors, as well as
      communication function;                                                                     Board (BKPM). This reflects
                                                       regulators, to know various
   8. To support all activities or                                                                the Company’s compliance
                                                       news about the latest
      events, both internally and                                                                 with the regulations
                                                       performances, activities
      externally;                                                                                 governing information and
                                                       and achievements of the
   9. To cooperate with                                                                           electronic transactions (ITE).
                                                       Company. The website
      communities or community                         also provides access to              2. Company’s Social Network
      development organizations to                     Customer Care staff, who               BFI Finance maintains online
      conduct economic activities                      are ready to respond                   communications with all
      that are aligned with the                        to questions regarding                 stakeholders via Facebook,
      Company’s vision and mission;                    financial products and                 Instagram, X, YouTube,
      and                                              services, file a complaint             LinkedIn, and TikTok. They are
   10. To cooperate comprehensively                    or suggestion, and inquire             managed collaboratively by the
       with the regulators, to foster                  about job vacancies and                Corporate Communication and
       a mutually-beneficial work                      scholarship opportunities.             Digital Marketing Units.
       relationship that serve the                     This website is managed
       interests of both sides.                        in accordance with POJK
                                                       No. 8/POJK.04/2015 on
   Daily, the Company utilizes
                                                       Website of Issuers or Public
   the following external
                                                       Companies.
   communication channels:




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ABOUT THIS REPORT                            REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                     HIGHLIGHTS                                                                    SUPPORTING UNITS




3. Press Conference                     The Company employs a one-                               are held by the Human
      BFI Finance issued 33             stop communication system                                Capital Department as part
      press releases to disclose        for its internal and external                            of employee engagement
      information to the general        communications alike. All general                        program.
      public in 2023. These press       information of the Company is
                                                                                            Corporate Branding
      releases were published in        managed by the CorComm Unit.
      various print and online media                                                        Corporate branding is used to
                                        The Company’s internal
      across Indonesia.                                                                     coordinate various Company
                                        communication activities include:
                                                                                            activities to improve the
4. Other Communication                  1.     Digital Media                                image of the Company in the
   Channels
                                               The Company uses digital                     public, especially the external
      The Company manages other                media as a communication                     stakeholders. The duties of the
      communication channels to                channel to minimize paper                    Corporate Branding function is
      facilitate interactions with             use, increase operational                    to standardize and define the
      its customers and potential              efficiency, and conserve the                 standards for all matters related
      customers (consumers in                  environment. The various                     to the Company’s corporate
      general), such as SMS, email,            digital media used for internal              identity as well as to seek
      WhatsApp, and Customer                   communication include email                  effective ways to communicate
      Care Hotline, as explained in            blasts, the Company website,                 these to the external and internal
      the previous section.                    and the Service Insight                      stakeholders.
Internal Communication                         Community (SIC) internal
                                                                                            To establish the image and
                                               portal, which is a specialized
The Company provides its                                                                    representation of BFI Finance
                                               electronic information center
employees with access to                                                                    in public, and facilitate its
                                               for employees. SIC contains
information related to various                                                              communications, marketing, and
                                               the latest information
aspects of the Company’s                                                                    promotional efforts, the Company
                                               regarding business activities,
business activities. This internal                                                          relies on its Corporate Brand
                                               fellow employees’ activities,
communication and access                                                                    Guidelines.
                                               and serves as a venue for
ensures that all employees                     sharing information among                    Corporate Branding activities
have the latest information                    employees, accessing general                 in 2023 include:
and accurate understanding                     information and healthy                      1.   Ensuring that all attributes
regarding the current condition                lifestyle and environmental                       used and those carrying the
of the Company, as well as other               campaigns.                                        Company name in national
general information related
                                        2. Meetings                                              or local events at branch
to the Company’s business
                                               The Company organizes                             offices were in line with the
activities. Similar to the external
                                               various meetings to facilitate                    Company’s corporate identity
stakeholders, the Company
                                               dialogue and sharing from                         standards;
implements the same principle
of information disclosure towards              the senior management of                     2. Continuing the campaign
its internal stakeholders in this              the Company and external                        for the Company tagline
manner, to continuously increase               speakers regarding the                          #SelaluAdaJalan (There is
the quality of interaction between             latest topics: those related                    Always a Way) to promote
the management and other                       to the Company’s business                       the Company’s vision and
internal stakeholders, especially              activities or personality                       mission as a multifinance
the employees.                                 development. These meetings                     company that is prepared
                                                                                               to assist community’s needs
                                                                                               and support their self-reliance




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                                                        SUSTAINABILITY    SUPPORTING DATA                              APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                      STATEMENTS




       programs through micro,                        The event was attended                10. Updating the Company’s
       small, medium and even large                   by customers, business                    video profile with a fresher
       scale enterprises;                             communities, and the                      concept and visual;
   3. Providing consultation and                      general public. The events            11. Managing the Company’s
      support to all work units of the                consisted of activities such              form of printed products such
      Company in all activities and                   as training and business                  as calendars, greeting cards,
      official events of the Company,                 mentoring, bazaar for                     and souvenirs as the means
      or those which involved                         various products, and                     to raise awareness on the
      sponsorships so that they                       entertainment;                            Company presence;
      were in line with the corporate         7. Monitoring the promotional                 12. Campaigning the ‘Teliti
      identity standards;                        materials and campaigns                        Sekarang, Tenang Kemudian!’
   4. Providing consultation                     for financing products from                    education event as part of
      and assistance to support                  the Company as published                       the anti-fraud awareness
      the campaign of financial                  in various media to ensure                     campaign aimed at informing
      products of the Company;                   their compliance with the                      customers and the general
                                                 Guidelines for Financial                       public about the potential
   5. Organizing a media
                                                 Services Advertisements (Third                 dangers of fraud, which is
      gathering as one of the media
                                                 Amendment) of 2020;                            increasingly commonplace in
      relations program to provide
      opportunities to stakeholders,          8. Conducting training for                        online transactions;
      i.e., members of the press,                managing the Company                       13. Conducting a talk show on
      to communicate directly in                 product and services                           financial literacy, aimed at
      person to representatives                  communications, especially for                 raising public awareness and
      of the management of the                   employees that run the digital                 knowledge in making the
      Company. At this informal                  communication channels                         right financial decisions for
      event, the Company delivered               via social media, so that the                  their financial sustainability;
      the latest developments in its             provisions and etiquette in
                                                                                            14. Participating in various
      business;                                  interacting in social media,
                                                                                                exhibitions during the
                                                 as stipulated in the Company
   6. Organizing sustainable                                                                    Financial Inclusion Month
                                                 Communications SOP and
      finance programs to improve                                                               (Bulan Inklusi Keuangan/
                                                 the Guidelines for Financial
      the quality of life and the                                                               BIK) in October 2023, among
                                                 Services Advertisements, are
      environment in ways that                                                                  others the Multifinance Day
                                                 adhered to;
      are beneficial to the local                                                               APPI 2023 and FinExpo BIK
      communities and the wider               9. Posting videos on YouTube                      2023, aimed at widening
      public, among others:                      featuring inspirational                        access to financing and
                                                 customers of the Company                       approaching the community
       •   Digital marketing training
                                                 who have become successful                     through the promotion of
           for the Company’s partner
                                                 entrepreneurs thanks to                        the Company’s products and
           agents so that they could
                                                 BFI Finance’s working capital                  services; and
           maximize the digital
                                                 financing. These consumers
           channels to boost their                                                          15. Organizing BFI RUN 2023
                                                 also have excellent credit
           business; and                                                                        and BFI RIDE 2023 as healthy
                                                 track records so that they
       •   ‘#BFINgangkatUsahaLokal                                                              lifestyle campaigns for
                                                 become an example for
           2023’ MSME Festival                                                                  customers, business partners,
                                                 other consumers and
           to raise the capacity                                                                communities, and the
                                                 the community;
           of business owners.                                                                  general public.




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 ABOUT THIS REPORT                            REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                      HIGHLIGHTS                                                                   SUPPORTING UNITS




 Product Promotion                       1.     Promoted financing products                  3. Launched promotional
                                                and services by participating                   materials for the latest
 The Company disseminates                       in various exhibitions for                      financing product, i.e.,
 product information to cultivate               machinery, heavy equipment,                     financing for the purchase of
 customers’ interest in making                  and property-backed                             electric two wheelers.
 use of the Company’s financial                 financing segment, i.e.,
 services, attract new customers,                                                            The unit’s activities are also
                                                Indonesia Apparel Production
 maintain sales in a sluggish                                                                detailed in the Marketing section
                                                Expo, Info Franchise &
 market condition, differentiate its                                                         in the Management Discussion
                                                Business Concept, Surabaya
 financial products to gain edge                                                             and Analysis chapter (pages 128–
                                                Printing Expo, Mining
 vis-à-vis its peers, and build the                                                          131).
                                                Indonesia Expo, and ALLPRINT
 image of the products in the                   Indonesia Expo;
 customers’ view as to meet the                                                              Correspondence
                                         2. Conducted meetings and
 Company’s expectation.                                                                      with OJK and IDX
                                            appreciation events in a
 This function is managed by                number of cities for business                    Throughout 2023, the Company
 the Integrated Marketing                   partners, such as sales agents                   corresponded 80 times with
 Communication Unit or                      and dealers of used four                         OJK and 44 times with IDX.
 IMC (including strategic                   wheelers; and                                    This function is conducted by the
 communication and event                                                                     Corporate Regulatory Compliance
 activation functions). Activities                                                           Unit under the Corporate
 carried out to support the                                                                  Secretariat Department.
 marketing include:




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                                                         SUSTAINABILITY            SUPPORTING DATA                                    APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                               STATEMENTS




   INVESTOR RELATIONS

   The Investor Relations function            visits, and conference calls, as well                  2. To act as a coordinator in
   cultivates and maintains                   as information delivered via the                          preparing the Company’s
   communication and relationships            Company’s official website.                               Integrated Annual Report;
   between BFI Finance and its                                                                       3. To manage the reports’
   various stakeholders, specifically         Duties and                                                publication process online, on
   shareholders, potential investors,         Responsibilities                                          the Company’s website, bfi.co.id;
   and analysts.                                                                                        and
                                              The Investor Relations Unit
   Via this function, the Company             has the following duties and                           4. To act as the organizer, main
   aims to update and engage the              responsibilities:                                         coordinator, and supervisor
   public of all key developments                                                                       of the Company’s various
                                              1.   To serve as a liaison between
   and material information in                                                                          activities, such as GMS and
                                                   the Company and external
   a consistent and transparent                                                                         Public Expose.
                                                   stakeholders, especially
   manner. This is done through
                                                   the shareholders, potential
   various channels, such as analyst
                                                   investors and government
   meetings (including public
                                                   institutions related to capital
   exposes), conferences, investor
                                                   market and investments;




   Investor Relations Profile


         Ng Koon Pek

                                    Malaysian
               Age: 46                                      Jakarta, DKI Jakarta
                                    Citizen




        She has been serving the function of Investor Relations since January 2011 and passed the fit and proper
        test for foreign workers from OJK based on the Decree of the Board of Commissioners of OJK No. KEP-
        860/NB.1/2014 dated 2 May 2014. Prior to joining BFI Finance, she was a Vice President of Equity Capital
        Markets at CIMB Investment Bank in Malaysia and Indonesia until 2009. She started her career as an
        Analyst for Nikkei Pacific Corporate Advisors, Kuala Lumpur, in 2001 before joining General Electric’s
        Financial Management Program from 2002–2004. She obtained her Bachelor of Arts or B.A. (Hons)
        degree in Industrial Economics from the University of Nottingham, UK, in 1999, and Master of Science
        (M.Sc.) in International Securities, Investment and Banking from ISMA Centre of the University of Reading,
        UK, in 2000




   Activities                                 Table 126 • Investor Relations Activities in 2023

   The Investor Relations work                                  Type of Activity                                   Total Activities
   programs in 2023 are as follows:
                                               Analyst Meetings                                         4 times
                                               Conferences                                              2 times
                                               Investor One-on-One Meetings                             70 times
                                               Investor Group Virtual Meetings                          2 times (total participants: 56)




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COMPLIANCE

The Compliance Unit at                 ensures its compliance with                     This unit’s supervisory function
BFI Finance is led by the BOD          the government’s program in                     encompassed five programs in
under the direct supervision of        support of the global initiative                2023, with detail of initiatives in
the President Director. The unit’s     to eradicate the criminal act of                each program as outlined below:
main tasks are to oversee policies,    money laundering and combat                     1.   Active supervision by the
regulations, systems, procedures,      the financing of terrorism.                          BOD and the BOC
and activities of the Company, as
                                                                                            a. Adjustment of the AML–
well as to ensure compliance with      Anti–Money
                                                                                               CFT–CPF organizational
the applicable regulations. Apart      Laundering,                                             structure at the Head
from executing the function
                                       Combating the                                           Office and branches in
of monitoring compliance,
                                       Financing of                                            accordance with the
the Compliance Unit also has
                                                                                               regulations’ requirements
a strategic role in maintaining        Terrorism, and Counter                                  and the Company’s
the Company’s operational
                                       Proliferation Financing                                 strategy;
sustainability and reputation,
as well as participating in
                                       of Weapons of Mass                                   b. Discussion of the AML–
creating a transparent, ethical        Destruction (AML–                                       CFT–CPF framework for
                                                                                               follow-up actions that need
and trustworthy business               CFT–CPF)
environment.                                                                                   to be done by considering
                                       The AML–CFT–CPF (previously                             all aspects of the regulatory
In facing increasingly complex         the AML–CFT & KYC) Unit is under                        requirements and the
business dynamics and                  the coordination and supervision                        Company’s strategy;
increasingly stringent regulations,    of the Operational Risk & KYC                        c. Update to the AML–CFT–
the Compliance Unit plays an           Department and the Enterprise                           CPF risk profile calculation
important role in maintaining          Risk Directorate. The Head of                           reference to the Sectoral
the operational integrity and          Operational Risk & KYC directly                         Risk Assessment (SRA)
reputation of the Company.             reports to the Enterprise Risk                          published by OJK; and
The main responsibility of this        Director. However, in relation
unit involves continuously                                                                  d. Discussion of AML–CFT–
                                       to the resignation of Sigit
monitoring changes in applicable                                                               CPF risk profile and its
                                       Hendra Gunawan as Enterprise
regulations and policies, as well                                                              follow-up with the Risk
                                       Risk Director, which had been
as evaluating their impact on the                                                              Oversight Committee.
                                       approved by the shareholders
Company’s operational activities.      at the 16 May 2023 EGMS, this                   2. Policies and procedures
To achieve this, the Compliance        unit and all departments under                       a. Adjustment to the
Unit works closely with various        it were transferred to be directly                      policies and procedures
departments to develop policies        responsible to Mr. Francis Lay Sioe                     for implementing the
and procedures that comply             Ho as President Director (CEO).                         AML–CFT–CPF Program
with applicable regulations and        This is an interim configuration                        in the Company’s
standards. Continuous updates          until the official appointment of a                     operations according to
are needed so that policies            new Enterprise Risk Director.                           the POJK No. 8/2023 on
remain consistent and relevant                                                                 the Implementation of
in the face of changing business                                                               Anti–Money Laundering,
environments.                                                                                  Combating the Financing
Consistent with its nature                                                                     of Terrorism, and Counter
of business in the financial                                                                   Proliferation Financing
services sector, BFI Finance                                                                   of Weapons of Mass
                                                                                               Destruction in the
                                                                                               Financial Services Sector
                                                                                               (POJK 8/2023);




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                                                          SUSTAINABILITY   SUPPORTING DATA                         APPENDICES
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       b. Dissemination of policies                d. Monitoring of Cash                        and knowledge in line
          and procedures related                      Transactions and                          with the latest regulatory
          to the implementation of                    Suspicious Transactions on                developments and
          AML–CFT–CPF program                         a regular basis to ensure                 typologies of money
          in each function in the                     that no cash transactions                 laundering, terrorism
          Company; and                                whose value exceeded                      financing, and financing
       c. Reporting of Cash                           Rp500 million were                        for the proliferation
          Transactions and                            reported late;                            of weapons of mass
          Suspicious Transactions to               e. Creating a Watchlist                      destruction;
          PPATK through the GoAML                     Database related to the                c. Refreshment training
          application.                                implementation of AML–                    for Senior Officers,
   3. Internal control                                CFT–CPF Program from                      directly delivered by
                                                      various data sources that                 representatives from
       a. Collaboration with Internal
                                                      are not only oriented                     PPATK, with the aim of
          Audit in the audit of
                                                      towards domestic                          ensuring that high-risk
          policies and procedures
                                                      regulatory compliance,                    credit decision makers
          in accordance with POJK
                                                      but also the interests                    related to AML–CFT–
          12/2017 and POJK 23/2019
                                                      of investors from the                     CPF receive updated
          as well as auditing the
                                                      European Union and the                    knowledge about modes
          implementation of the
                                                      United States to identify                 of money laundering and
          Company’s AML–CFT–CPF
                                                      the level of risk of Debtors              terrorism financing, as well
          policies and procedures;
                                                      and Prospective Debtors;                  as getting policy updates
          and
                                                   f.   Enrichment of the                       directly from the most
       b. Data Updating program,
                                                        Politically Exposed                     qualified experts;
          for which the plans and
                                                        Persons (PEPs) Database              d. Training for employees
          accomplishments have
                                                        by drawing on various                   in the positions of Credit
          been reported to OJK.
                                                        sources;                                Factory Head, Credit
   4. Management information
                                                   g. Reporting of enrichment                   Commercial Analyst,
      system
                                                      of information on parties                 Credit PBF, Sharia & Non-
       a. Quarterly reporting of                      suspected of terrorism                    Collateral Credit as well
          debtors’ data to PPATK                      financing through the                     as the Credit Operations
          through the SIPESAT                         SIPENDAR application; and                 Team at the Head Office
          application;                                                                          as the parties responsible
                                                   h. Reporting of AML–CFT–CPF
       b. Identification and                                                                    for AML–CFT–CPF on
                                                      risk scoring level through
          implementation of AML–                                                                the updates regarding
                                                      OJK’s Online Reporting
          CFT–CPF “red flag tools”                                                              the implementation
                                                      Application (APOLO).
          in accordance with the                                                                of POJK 8/2023 and
                                              5. Human resources and                            AML–CFT–CPF cases in
          Circular of the Head of
                                                 training                                       multifinance companies;
          PPATK No. SE-03/1.02/
          PPATK/05/15 on the                       a. The Company’s human                       and
          Indicators of Suspicious                    capital training and                   e. Updates to the employee
          Financial Transactions                      monitoring on AAML–CFT–                   recruitment process
          for Financial Services                      CPF in 2023, which was                    using the AML–CFT–CPF
          Provider, for monitoring                    conducted by e-learning                   Watchlist as a preventive
          of Cash Transactions and                    via M-BEAT application                    measure so that the
          Suspicious Transactions;                    (digital learning media for               Company avoids personnel
                                                      BFI Finance’s employees);                 who may be able to abuse
       c. Testing of the strength of
          indicators in AML–CFT–CPF                b. Participation in AML–                     the Company as a means
          “red flag tools” to ensure                  CFT–CPF seminars and                      of operating crimes.
          that the Company is not                     trainings from OJK,
          utilized as a means of                      PPATK, and other parties,
          money laundering;                           to ensure understanding




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                               245
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ABOUT THIS REPORT                             REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                      HIGHLIGHTS                                                                      SUPPORTING UNITS




 CODE OF CONDUCT AND CORPORATE CULTURE

Code of Conduct                          •      Fairness, which is                           The essence of the Company’s
                                                implemented by upholding                     Code of Conduct is further
BFI Finance has established                     a sense of justice and equality              reflected in the Code of
and is implementing a Code                      in fulfilling the rights of                  Business Principles applicable in
of Conduct, i.e., a set of policies             the stakeholders arising                     BFI Finance, as follows:
related to business ethics and                  under agreements as well
ethical conduct for its employees                                                            Corporate Responsibilities
                                                as the applicable laws and
that govern all business activities,            regulations.                                 In the Code of Business Principles,
to ensure their alignment with                                                               BFI Finance acknowledges
the Company’s vision, mission,           Code of Conduct Contents
                                                                                             five corporate responsibilities,
and culture.                             The Company’s Code of Conduct                       which reflect its commitment to
The Company’s Code of Conduct            consists of business ethics and                     stakeholders, as follows:
is developed based on the                ethical conduct, which form the                     1.   To the Shareholders
following GCG principles:                foundation for the Company
                                                                                                  •   BFI Finance conducts its
                                         principles.
•     Transparency, which is                                                                          business with an aim to
      implemented by ensuring            The business ethics part describes                           improve shareholders’
      that the transparency and          how the Company, as a business                               values based on GCG
      measurability of every step        entity, should behave, conduct,                              principles;
      and process in the policy          and act in an effort to balance the                      •   BFI Finance intends to
      formulation and decision-          interests of the Company and the                             give optimum results and
      making by the BOC, the BOD,        interests of all stakeholders, in                            return on investment to
      and all levels of the Company;     accordance with GCG principles                               shareholders, while still
•     Independence, which is             and the Corporate Values while                               retaining adequate fund
      implemented by carrying out        still maintaining the Company’s                              to support the Company’s
      its activities independently,      profitability.                                               growth;
      professionally, in accordance      Ethical Conduct is a set of value-                       •   BFI Finance values good
      with the code of conduct and       based rules which reflects the                               relationships with its
      standards of professionalism,      attitude and commitment in                                   shareholders by providing
      and free from influence from       complying with the rules of                                  timely, regular, and
      other parties;                     conduct in order to maintain                                 reliable information on the
•     Accountability, which is           good name, confidentiality, and                              activities, financial status,
      implemented by clearly             other important matters that                                 and business outcomes of
      defining the responsibilities      affect the Company’s reputation.                             the Company.
      and authorities of the BOC,                                                            2. To the Customers
                                         The Company’s Code of Conduct
      the BOD, and all levels of the
                                         contains Corporate Values that                           BFI Finance is committed
      Company in the organizational
                                         are concretized in the following                         to attracting and retaining
      structure and their respective
                                         behaviors:                                               customers by providing value-
      job descriptions;
                                         1.     Grow and Improve                                  added financial products
•     Responsibility, which is                                                                    and services which are cost-
                                                Continuously
      implemented by aligning the                                                                 effective and beneficial for the
      management of the Company          2. Respect and Care
                                                                                                  customers.
      with the applicable laws           3. Excellent Service
                                                                                             3. To the Employees
      and regulations and sound          4. Absolute Integrity
      business principles; and                                                                    •   BFI Finance values its
                                         5. Trust and Team Spirit                                     employees as an important
                                                                                                      resource and is committed
                                                                                                      to continuously developing
                                                                                                      them;




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                                                        SUSTAINABILITY    SUPPORTING DATA                            APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                      STATEMENTS




       •   BFI Finance shall recruit,         Business Integrity                            Information Disclosure
           employ, train, and promote
                                              BFI Finance and all of its branch             BFI Finance considers information
           employees based on
                                              offices uphold honesty, integrity,            on business strategies as its
           their qualifications and
                                              and fairness as the foundational              crucial assets, which shall be
           capabilities;
                                              principles in all business aspects            protected from theft, violation,
       •   BFI Finance is responsible
                                              of the Company, and expect the                abuse, and inappropriate
           for creating a healthy
                                              same from any parties dealing                 exposure. This emphasizes the
           workplace and ensuring
                                              business with BFI Finance. All                importance of maintaining the
           the safety of its employees.
                                              business transactions on the                  secrecy of business information
   4. To All Stakeholders                     Company’s behalf are recorded                 and prohibiting unauthorized
       BFI Finance always fosters             accurately in accordance with the             disclosure, reflecting the
       mutually beneficial                    standard operating procedures                 Company’s commitment to
       relationships with its creditors,      and are subject to audit process.             information integrity and security.
       business partners, and other           All employees are expected to
                                                                                            Insider Trading
       stakeholders, and encourage            prioritize Company interest above
       these principles in its daily          their personal interests when                 BFI Finance enforces strict
       activities.                            conducting business duties.                   regulations against insider-
   5. To the Communities                                                                    trading on all employees.
                                              Company Asset Utilization
                                                                                            This means that non-public
       As a member of the                     and Protection                                information that may affect
       community, BFI Finance                                                               BFI Finance’s share price shall be
                                              BFI Finance emphasizes that
       always conducts its business                                                         considered as confidential until
                                              each employee is responsible for
       responsibly, by complying                                                            the announcement thereof by a
                                              using the Company’s assets and
       with the applicable laws                                                             competent party (management).
                                              resources in a fair and responsible
       and regulations, and by                                                              Employees with sensitive
                                              manner, including for their
       ensuring that the Company’s                                                          information that may affect the
                                              protection and preservation.
       activities do not violate any                                                        BFI Finance’s share price and
                                              All assets and resources, as well
       human rights. The Company’s                                                          related rights shall not engage
                                              as any opportunities that arise on
       community participation,                                                             in direct or indirect transactions
                                              the basis of one’s position, shall be
       in the form of donation,                                                             of those shares and other related
                                              used solely for the achievement
       training, and other social                                                           rights. The BOC, BOD, and all
                                              of the Company’s objectives and
       activities, is intended to                                                           employees are committed to
                                              not for personal gain. BFI Finance
       improve the quality of life of                                                       continuously implementing
                                              employees are prohibited from
       the surrounding communities                                                          the Company’s Integrity Pact
                                              abusing their position for their own
       and to yield direct benefits to                                                      to the best of their abilities
                                              or other parties’ personal gain.
       the people.                                                                          along with the implementation
                                                                                            of strategic policies to achieve
                                                                                            sustainable growth.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                 247
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ABOUT THIS REPORT                         REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                      HIGHLIGHTS                                                                SUPPORTING UNITS




Implementation and                       the Company’s Integrity Pact                    the type and level of violation, in
Enforcement of the Code of               to the best of their ability. The               accordance with the applicable
                                         Integrity Pact of BFI Finance                   provisions in the Company.
Conduct
                                         regulates the Guidelines on                     This articulates BFI Finance’s
To support the implementation            Business Principles.                            commitment to the enforcement
of the Code of Conduct, the                                                              of ethics and integrity across all
                                         In implementing the Guidelines
Company requires the following:                                                          levels of the organization.
                                         on Business Principles, the
1.    The Company’s Code of
                                         BOC, BOD, and all employees,
      Conduct shall be applied                                                           Corporate Culture
                                         regardless of their positions,
      to all employees, including
                                         shall comply with the ethics                    The Company has established
      all members of the BOC,
                                         embedded in the Company’s Core                  core values that should be
      all Committees under the
                                         Values to the highest degree.                   understood and adhered to as
      BOC, the Sharia Supervisory
                                         The management and employees                    corporate culture. The core values
      Board, as well as the BOD, all
                                         of the Company must understand                  of the Company, which can be
      Committees under the BOD,
                                         and abide by the core values,                   abbreviated as G.R.E.A.T., are:
      and the management;
                                         which are crucial in maintaining                - Grow and Improve Continuously;
2. The Company’s Code of                 the Company’s sustainable
                                                                                         - Respect and Care;
   Conduct shall be disseminated         growth.
   to and understood by all                                                              - Excellent Service;
   employees; and                        Handling of the Violations                      - Absolute Integrity; and
3. The management shall set an
                                         to the Code of Conduct
                                                                                         - Trust and Team Spirit.
   example to their subordinates         BFI Finance monitors the
                                                                                         To update and complement
   on the implementation of the          enforcement of the Company’s
                                                                                         G.R.E.A.T., BFI New Mindset
   Code of Conduct.                      Code of Conduct and provides
                                                                                         was launched, adopting a new
                                         facilities to submit grievances
Code of Conduct dissemination                                                            thinking framework and set of
                                         related to related violations.
measures in 2023 were carried                                                            behaviors, to accelerate the digital
                                         Employees who are found
out in conjunction with the                                                              transformation processes in
                                         guilty of infringement shall be
dissemination of the Company’s                                                           BFI Finance as it becomes a tech-
                                         investigated by the Employee
Core Values and ethical conduct                                                          based multifinance company.
                                         Disciplinary Violations
for employees. The Human                                                                 BFI New Mindset comprises:
                                         Investigation Team, consisting
Capital Department disseminated                                                          1.   Dare to Try and Learn;
                                         of representatives from the
the Code of Conduct through
                                         Internal Audit and Human Capital                2. Empower and Collaborate
e-mail blast to all employees.
                                         Department, and shall be subject                   with Other Parties; and
BFI Finance’s management                 to sanctions commensurate to                    3. Listen, Speak Up, and Take
maintains an Integrity Pact                                                                 Responsibility.
containing the Company’s
commitment to implementing                                                               Explanation on G.R.E.A.T. and BFI
GCG principles. The BOC, BOD,                                                            New Mindset is presented in the
and all employees are committed                                                          Corporate Values and Corporate
to continuously applying                                                                 Culture section in the Company
                                                                                         Profile chapter (pages 56–57).




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   MANAGEMENT DISCUSSION          GOOD CORPORATE                                                 ANNUAL FINANCIAL
                                                        SUSTAINABILITY   SUPPORTING DATA                            APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                     STATEMENTS




   MANAGEMENT AND EMPLOYEE STOCK
   OWNERSHIP PROGRAM (MESOP)

   Pursuant to the EGMS Resolution            Those among the Company’s                    4. Purchase the number of
   on 29 June 2022, the Company               management and employees                        shares based on their personal
   implemented the Management                 who are eligible to take part in                grade (PG) as at 30 June 2022;
   and Employee Stock Ownership               the MESOP scheme must:                       5. Have their MESOP
   Program (MESOP) on 75 million              1.   Be active as employee of                   eligibility revoked should
   of its treasury shares, with an                 BFI Finance, and not part                  they no longer work with
   execution price of Rp500 per                    of the members of the                      the Company for any reason,
   share, or amounting to a total of               BOD, BOC, and SSB of                       including resignation, before
   Rp37.5 billion.                                 the Company;                               30 September 2022; and
   The transfer took place on                 2. Be registered as permanent                6. Be bound by other
   11 October 2022. Such shares                  employees and/or have been                   stipulations made separate to
   under this MESOP scheme are                   working for the Company                      this regulation for issues that
   blocked from trading for three                since 1 January 2019;                        are not covered herein.
   years since the transfer date.             3. Have their average KPI for the            The Company did not perform
                                                 last two years at 2.5 at least;           any MESOP in 2023.




   INFORMATION DISCLOSURE POLICY

   BFI Finance maintains a policy             Each change to the share                     In 2023, the Company made one
   which ensures that the ownership           ownership as described above is              disclosure of such information to
   of shares of public companies              to be reported at the latest three           the authorities.
   by any member of the BOD                   business days since the change
   and the BOC, both directly and             takes place.
   indirectly, be disclosed according
   to the prevailing regulations to
   the authorities.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                249
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                         2023 PERFORMANCE                                                             BUSINESS
 ABOUT THIS REPORT                               REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                         HIGHLIGHTS                                                                   SUPPORTING UNITS




 WHISTLEBLOWING SYSTEM

The Company runs its                        violations of the Company’s code                    Protection for
Whistleblowing System                       of conduct or the principles of
established under Company                   good corporate governance, by
                                                                                                Reporters and
Regulation No. SOP/031                      submitting their reports through:                   Handling of
dated 22 March 2013, as                     1.     E-mail at                                    Complaints
an implementation of                               fraud_investigator@bfi.co.id;                Any reporting party through
GCG principles, especially
                                            2. Short message service (SMS/                      BFI Finance Whistleblowing
responsibility and fairness. This
                                               WhatsApp) at 0822 5888 8911;                     System has their rights
Whistleblowing System ensures
                                               or                                               protected in accordance with
optimal performance and legal
                                            3. Mailing address:                                 Law No. 31/2014 on Amendments
compliance of every BFI Finance
                                                                                                to Law No. 13/2006 on Protection
employee in carrying out their                     Head Office of
                                                                                                of Witnesses and Victims.
duties and responsibilities.                       PT BFI Finance Indonesia Tbk
                                                   BFI Tower                                    In 2023, 170 complaints and
Whistleblowing                                     Sunburst CBD Lot 1.2
                                                                                                reports of violations were
Mechanism                                          Jl. Kapt. Soebijanto
                                                                                                received, of which 152 were
                                                                                                sent by e-mail and 18 by SMS/
Through BFI Finance                                Djojohadikusumo
                                                                                                WhatsApp message. The details
Whistleblowing System, every                       BSD City, Tangerang Selatan                  are presented in Table 127 and
individual within the Company                      15322                                        128, while the follow-up process is
can submit their grievance and/                                                                 described in Graph 23.
                                                   Indonesia
or report regarding fraud and/or
                                                   attn. Internal Audit
                                                   Department



 Table 127 • Number of Whistleblowing Reports in 2023 and the Handling Status


                Type of Report/Complaint                    In Progress                Solved                            Total

 Alleged Irregularities                                          0                      106                              106

 Others                                                          0                       64                              64

 Total                                                           0                      170                              170




 Table 128 • Whistleblowing Reporting Media in 2023


                     Type of Media                          In Progress                Solved                            Total

 Email of Fraud Investigator                                     0                      152                              152

 SMS/WhatsApp of Fraud Investigator                              0                        18                              18

 Written Letter                                                  0                        0                                0

 Total                                                           0                      170                              170




250                                                                        PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 253
   MANAGEMENT DISCUSSION           GOOD CORPORATE                                                           ANNUAL FINANCIAL
                                                             SUSTAINABILITY        SUPPORTING DATA                                    APPENDICES
   AND ANALYSIS                    GOVERNANCE                                                               STATEMENTS




   Graph 23 • Whistleblowing Report Follow-up Flow Chart



               Report                      Data Verification                     Finding Validation                              Report
              Received                         Process                               Process                                   Validation


        by the Whistleblowing              by the Internal Audit              through valid investigation
               System                      Department and the                 according to the procedure
                                            Risk Management
                                               Department




         The Company shall impose the sanction on the perpetrator of the violation in accordance                        Allegation proven
                            with the applicable regulations in the Company




   Whistleblowing Report Follow-up
   In 2023, all reports of violations have been completely settled, and commensurate sanctions have been given
   to the perpetrators.




   ANTI-CORRUPTION POLICY

   BFI Finance obliges all members              A complete information on                            •   Distribution of a series of
   of the BOC, the BOD, and all                 the Anti-Corruption Policy is                            e-mail blasts and standing
   employees to uphold fair business            available at https://www.bfi.co.id/                      banners containing messages
   competition, sportsmanship and               en/corporate/Corporate-Good-                             of anti-fraud action in all of
   professionalism, as well as the              Governance/Anti-Corruption-                              Company branches; and
   principles of GCG.                           System.                                              •   Establishment of provisions
   The Company is committed                     This Anti-Corruption Policy is                           related to anti-fraud strategy
   to creating a healthy business               disseminated throughout the year,                        which contain prevention and
   climate, avoiding any actions,               and in 2023 it took the forms of:                        handling of fraud, bribery,
   behaviors, or activities that could                                                                   gratuity, and other matters,
                                                •    Anti-fraud campaign involving
   lead to conflicts of interest,                                                                        including disciplinary issues
                                                     all employees of the Company,
   corruption, collusion, and                                                                            in the follow-up of sanctions
                                                     as a form of dissemination of
   nepotism, and always putting the                                                                      affirmed by the Internal
                                                     the anti-corruption policy and
   interest of the Company above                                                                         Discipline and Compliance
                                                     other provisions that form
   personal interest, family interest,                                                                   Committee
                                                     the basis of the Company’s
   or group interest.                                integrity;




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                   251
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 ABOUT THIS REPORT                       REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                     HIGHLIGHTS                                                                 SUPPORTING UNITS




 PROCUREMENT POLICY

 Principle and Policy                   Procurement System                              To strengthen business process
                                                                                        support, at the branches and
 The Company has procedures             The Company consistently runs its               head office, in 2023 the Company
 for the procurement of goods           goods and services procurement                  rejuvenated the computers by
 and services that are carried out      process and system through the                  purchasing 3,000 new units.
 quickly and transparently, by          stages of planning, preparation,
 applying the principles of GCG         selection of vendors, goods and                 Fixed Assets Insurance
 without conflict of interest.          services procurement transaction,
                                        utilization, and management of                  The Company mitigates risk to
 The policy governing the                                                               protect and minimize the risk of
                                        Company assets.
 Company’s procurement of goods                                                         damage or loss of Company fixed
 and services as well as supplier       This goods and services                         assets. The Company insures its
 relations encompasses:                 procurement system is run by                    fixed assets with the following
 1.   Implementation of Internal        the Company transparently                       coverage:
      Memos and Operational             and competitively, by including
                                                                                        1.   Property All Risk Policy
      Procedures for the                prospective vendors who
                                                                                             with a rider to cover risk
      procurement of goods and          satisfy the requirements in line
                                                                                             of earthquake to protect
      services;                         with the Company’s criteria
                                                                                             immovable property;
                                        and needs. In the goods and
 2. Procurement of goods and                                                            2. Moveable All Risk Policy on the
                                        services procurement process,
    services is based on the                                                               loss of movable property;
                                        the Company also employs
    procurement value and level
                                        other methods, such as auction,                 3. Insurance policy on motor
    of authority, particularly at the
                                        direct appointment, and direct                     vehicles; and
    branch offices, to accelerate
                                        purchase, performed both                        4. Insurance policy on public
    the procurement process.
                                        conventionally and online, in                      liability.
    Procurement of goods and
                                        order to ensure that the quantity
    services above a certain
    amount shall be conducted
                                        and quality of goods and services               2023 Budget Spending
                                        procured by the Company are as
    centrally at the head office;                                                       Policy
                                        required, obtained at the most
 3. Major suppliers of goods and        competitive prices, and of the                  Since the Covid-19 pandemic,
    services are required to submit     best possible quality.                          the Company has enhanced
    complete legal documents                                                            its technological capacity to
    to ensure that the rights           The control and monitoring of
                                                                                        adapt to new ways and patterns
    and obligations of both the         goods and services procurement
                                                                                        of working. In early 2023, the
    Company’s and suppliers’            to fulfil needs at the head office
                                                                                        Company replaced 3,000
    comply with the existing            and the branches, starting
                                                                                        technology devices used by
    documents;                          from the purchasing to asset
                                                                                        its employees to support their
                                        maintenance, are conducted
 4. The Company’s Code of                                                               performance and operations
                                        through an integrated system.
    Conduct and Regulations                                                             in the era of hybrid work,
                                        This allows users (parties who
    prohibit employees to                                                               while continuing to make
                                        require the goods or services),
    accept gifts of any kind from                                                       improvements in the Company’s
                                        namely branches and the head
    suppliers; and                                                                      technology and digital areas.
                                        office, to monitor the process.
 5. The Company conducts                                                                However, when the cyberattack
                                        The Company continuously
    periodic evaluations on all                                                         incident occurred, the Company
                                        develops the system to support
    suppliers to ensure that                                                            had to prioritize the agenda of
                                        the ongoing improvement of its
    they are able to support the                                                        enhancing and strengthening its
                                        business processes.
    Company’s activities.                                                               digital security by updating its




252                                                                PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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   MANAGEMENT DISCUSSION            GOOD CORPORATE                                              ANNUAL FINANCIAL
                                                        SUSTAINABILITY        SUPPORTING DATA                         APPENDICES
   AND ANALYSIS                     GOVERNANCE                                                  STATEMENTS




   whole range of operational and security systems with the best quality and tested, to protect all assets owned
   and managed by the Company. This agenda then influenced the value of asset purchases that increased
   significantly from the previous year’s.


   Table 129 • Purchases of Assets in 2023 by Type


                                                                  Procurement Value                 Number of Instances
                           Assets
                                                         Rp million           Percentage         Units             Percentage
    Vehicles                                                   119,118            32.9%            597                5.4%
    Software                                               169,526                46.8%              111              1.0%
    Hardware                                               54,454                 15.0%          8,716               78.5%
    Machinery                                                  3,857                  1.1%         791                7.1%
    Rental                                                     13,639               3.7%           430                3.9%
    Furniture                                                   1,875               0.5%           459                4.1%
    Total                                                 362,469              100.0%           11,104             100.0%


   Graph 24 • Purchases of Assets in 2023 by Type


                     1.1     0.5


                           3.7


            15.0
                                                                         Vehicles
                                              32.9
                                                                         Software
                                                                         Hardware
                                                                         Machinery
                                                                         Rental
                                                                         Furniture



                   46.8




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                    253
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                     2023 PERFORMANCE                                                          BUSINESS
 ABOUT THIS REPORT                       REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                     HIGHLIGHTS                                                                SUPPORTING UNITS




 Giving and                             The Company has a regulation                    •   The giving is not intended for
                                        that governs the giving of gifts,                   personal benefits/interests
 Accepting Gifts                        bribes and similar rewards, gifts                   and is not material in nature;
 Giving of gifts is defined to cover    to other parties as a token of                  •   The giving does not affect any
 all forms of rewards given by          gratitude, gifts in celebration of                  decision for procurement or
 the Company or other parties           religious holidays, souvenirs, and                  goods or services; and
 representing the Company to            mementos in the form of goods
                                                                                        •   Gifts are not given
 certain parties, with the intention    or services.
                                                                                            continuously by the same
 of influencing those parties to
                                        Taking into account the prevailing                  giver to the Company or any of
 benefit the Company beyond
                                        business ethics, any employee                       its representatives
 reasonable limits.
                                        receiving a gift of any price and
 Meanwhile, accepting of gifts is       any form shall submit a report to
 defined to cover as all forms of       their direct supervisor. Accepting
 rewards received by the Company        gifts from other parties for the
 or other parties representing the      purpose of promoting their
 Company from relevant parties,         Company, a token of gratitude,
 with the intention of influencing      religious celebrations, souvenirs,
 the decisions of the Company’s         or mementos, is allowed and
 management to act favorably to         considered appropriate in daily
 the giver of the gift.                 social relations, provided that:




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   MANAGEMENT DISCUSSION          GOOD CORPORATE                                                 ANNUAL FINANCIAL
                                                        SUSTAINABILITY   SUPPORTING DATA                            APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                     STATEMENTS




   TRANSPARENCY OF FINANCIAL AND
   NON-FINANCIAL CONDITIONS NOT DISCLOSED
   IN OTHER REPORTS

   BFI Finance compiles various                    b. Annual Financial                     4. Sustainability Report
   reports that present financial                     Statements audited                      published by BFI as an
   and non-financial information                      by Public Accountant                    inseparable part of its
   transparently for the stakeholders,                and Public Accounting                   Integrated Annual Report; and
   and other related institutions,                    Firm registered on OJK.              5. Transparency of Non-Financial
   in a timely, complete, accurate,                   The Annual Financial                    Condition
   updated, and complete manner.                      Statements is prepared
                                                                                              BFI Finance has provided
                                                      for one financial year and
   Information on the Company’s                                                               information regarding the
                                                      presented in comparison
   financial and non-financial                                                                Company’s products in a
                                                      with the previous financial
   condition have been presented                                                              clear, accurate, and updated
                                                      year; and
   clearly and transparently in                                                               manner. Such information
   several reports, including:                     c. Statement of Responsibility             has been made available
   Integrated Annual Report, which                    by BOC and BOD for                      to customers, in the form
   among others includes                              accuracy of the Integrated              of, among others, leaflets,
                                                      Annual Report contents;                 brochures or other written
   1.   Overview of Key Financial Data
        including:                            2. Financial Statements                         forms at the BFI Finance
                                                 published every six months                   outlets, in locations that
        a. Share Highlights, BOC
                                                 in the mass media, on                        are easily accessible by
           and BOD Reports,
                                                 BFI Finance website under the                customers; and/or through
           Company Profile,
                                                 Press Releases and Info menu,                electronic forms, such
           Business Supporting
                                                 and IDX website;                             as through BFI Finance
           Units, Management
                                              3. Quarterly Financial                          website, an online portal
           Discussion and Analysis
                                                 Statements, published in the                 that provides information
           on financial and business
                                                 websites of BFI Finance and                  on the characteristics of
           performance, Good
                                                 IDX;                                         financial and insurance
           Corporate Governance, and
                                                                                              products in Indonesia as well
           Sustainability that covers
                                                                                              as the comparison between
           the discussions on Human
                                                                                              the products.
           Capital and CSR;




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                255
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                       2023 PERFORMANCE                                                         BUSINESS
 ABOUT THIS REPORT                           REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                       HIGHLIGHTS                                                               SUPPORTING UNITS




 STATEMENT OF IMPLEMENTATION OF
 THE CORPORATE GOVERNANCE GUIDELINES
 FOR PUBLIC COMPANIES

 Implementation of Guidelines Recommendations from OJK
 BFI Finance’s GCG implementation performance adheres to OJK Regulation No. 21/POJK.04/2015 on
 Implementation of Corporate Governance Guidelines in Public Companies as amended by OJK Regulation
 No. 29/POJK.05/2020 and OJK Circular No. 32/POJK.04/2015 on Corporate Governance Guidelines for Public
 Companies, which encompass 5 aspects, 8 principles, and 25 implementation recommendations, summed
 up in Table 130.

 Table 130 • Implementation of Corporate Governance Guidelines Recommendations for Public Companies


                                                                                     Statement of
                                                                                                          Explanation (for non-
                                 Recommendation                                      Compliance/
                                                                                                              compliance)
                                                                                      Explanation

 Aspect I: Relationship of Public Company with Shareholders in Ensuring Shareholders’ Rights

 Principle 1: Improving the Value of Implementation of GMS

 1.   The Public Company has a means or technical procedure for                   Compliant                         -
      voting both open and closed voting mechanisms that uphold the
      independence and interest of shareholders.

 2. All Members of the BOD and the BOC of the Public Company attend Explanation                      One member of the
    the AGMS and EGMS.                                              given                            BOC did not attend
                                                                                                     the AGMS and the EGMS
                                                                                                     on 16 May 2023 due to
                                                                                                     a reason stated to and
                                                                                                     accepted by the GMS.

 3. Summary of GMS minutes of meeting is provided in the Public                   Compliant                         -
    Company Website for at least one year.

 Principle 2: Increasing the Quality of Communications between Public Company and Shareholders/Investors

 4. The Public Company has communications policy with the                         Compliant                         -
    shareholders or investors.

 5. The Public Company discloses its communications policy to the                 Compliant                         -
    shareholders or investors on the Website.

 Aspect II: Functions and Roles of the BOC

 Principle 3: Strengthening the Membership and Composition of the BOC

 6. Determination of the number of Members of the BOC takes into                  Compliant                         -
    consideration the conditions of the Public Company.

 7.   Determination of BOC composition takes into consideration its               Compliant                         -
      diversity in terms of skills, knowledge, and experience required.

 Prinsip 4: Meningkatkan Kualitas Pelaksanaan Tugas dan Tanggung Jawab Dewan Komisaris

 8. The BOC has its self-assessment policy to evaluate its performance.           Compliant                         -

 9. Self-assessment policy to evaluate the BOC performance is disclosed Compliant                                   -
    in the Integrated Annual Report of the Public Company.




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   MANAGEMENT DISCUSSION          GOOD CORPORATE                                                   ANNUAL FINANCIAL
                                                         SUSTAINABILITY     SUPPORTING DATA                                APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                       STATEMENTS




   Table 130 • Implementation of Corporate Governance Guidelines Recommendations for Public Companies


                                                                                        Statement of
                                                                                                             Explanation (for non-
                                   Recommendation                                       Compliance/
                                                                                                                 compliance)
                                                                                         Explanation

   10. BOC has a policy regarding the resignation of BOC members should Compliant                                      -
       they be involved in a financial crime.

   11. BOC or the Committee carrying out the Nomination and                         Compliant                          -
       Remuneration function prepares the succession policy in the BOD
       Nomination process.

   Aspect III: Functions and Roles of the BOD

   Principle 5: Strengthening the Membership and Composition of the BOD

   12. Determination of BOD composition takes into consideration the                Compliant                          -
       Public Company’s conditions and efficacy in decision making.

   13. Determination of BOD composition takes into consideration its                Compliant                          -
       diversity in terms of skills, knowledge and experience required.

   14. Member of the BOD in charge of accounting or finance has an                  Compliant                          -
       expertise and/or knowledge in accounting.

   Principle 6: Improving the Quality of Implementation of BOD Duties and Responsibilities

   15. BOD has a self-assessment policy to evaluate its performance.                Compliant                          -

   16. Self-assessment policy to evaluate the BOD performance is                    Compliant                          -
       disclosed in the annual report of the Public Company.

   17. BOD has a policy regarding the resignation of BOD members                    Compliant                          -
       should they be involved in a financial crime.

   Aspect IV: Stakeholders’ Participation

   Principle 7: Improving Corporate Governance Aspect via Stakeholders’ Participation

   18. The Public Company has a policy to prevent insider trading.                  Compliant                          -

   19. The Public Company has a policy on anticorruption and antifraud.             Compliant                          -

   20. The Public Company has a policy on vendor/supplier selection and             Compliant                          -
       enhancement of skills.

   21. The Public Company has a policy on fulfilling creditors’ rights.             Compliant                          -

   22. The Public Company has a whistleblowing system policy.                       Compliant                          -

   23. The Public Company has a policy on long-term incentive provision             Compliant                          -
       to the BOD and employees.

   Aspect V: Information Disclosure

   Principle 8: Enhancing Information Disclosure Implementation

   24. The Public Company utilizes information technology more broadly              Compliant                          -
       than the website as a means to disclose information.

   25. The Public Company’s Integrated Annual Report discloses the                  Compliant                          -
       ultimate beneficiary of the ownership of its shares for at least 5%
       ownership as well as the disclosure on the ultimate beneficiary of
       the ownership of shares of the public company via the major and
       controlling shareholders.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                         257
Page 260
 07
 SUSTAINABILITY




258       PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 261
   Irma Suryani
   Customers, Lampung

   “I started applying for financing from BFI Finance for additional business
   capital. Alhamdulillah, it has been continuously growing. Ups and downs
   are normal, but I keep remind myself that with sincere dedication, there is
   always a way to fulfill the happiness of my family.”




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                     2023 PERFORMANCE                                                        BUSINESS
ABOUT THIS REPORT                          REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                     HIGHLIGHTS                                                              SUPPORTING UNITS




 SUSTAINABILITY STRATEGY

BFI Finance maintains a Sustainability Vision and Mission that guides the formulation and implementation
of its sustainability strategy, with due consideration of the relevant conditions and needs of its
every stakeholder.




 Sustainability Vision

 To become a partner that contributes positively
 to supporting the improvement of social welfare
 by maintaining the 3P (Profit, People, Planet) balance



                          Sustainability Mission

                          To support the Sustainable Development Goals
                          through the Company’s social programs in
                          education, health, and social welfare, along the
                          Company’s internal and external aspects



 Sustainability Strategy Direction 2020–2023
 The Company’s sustainability strategy for 2020–2023 places emphasis on improvement of public health,
 education, and recovery of public activities from the impact of the pandemic alongside efforts to adapt
 to the digital lifestyle, while empowering internal parties (employees) and external ones (customers,
 communities and the surrounding environment) in various aspects of life.

 The Company’s sustainability strategy and programs have been aligned with the Company’s support for
 the achievement of the United Nations Sustainable Development Goals (SDGs), in particular:




             SDG 3                       SDG 4                            SDG 6                           SDG 17




      Good Health and                    Quality                      Clean Water                     Partnerships
        Well-Being                      Education                    and Sanitation                   for the Goals




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   MANAGEMENT DISCUSSION       GOOD CORPORATE                                                   ANNUAL FINANCIAL
                                                      SUSTAINABILITY      SUPPORTING DATA                             APPENDICES
   AND ANALYSIS                GOVERNANCE                                                       STATEMENTS




   Implementation of 2023 Sustainability Programs

                                                               PILAR




            BFI Finance for                            BFI Finance                                 BFI Finance
          Indonesian Health                          for Indonesian                              for Indonesian
                                                        Education                                  Community
                                                                                                     Welfare
                 SDG Target:                                SDG Target:                                 SDG Target:




      Programs Implemented:                      Programs Implemented:                      Programs Implemented:
      •    BFI 4U (revitalization of             •   BFI 4U (revitalization of              •   BFI 4U (provision of
           health infrastructure)                    educational infrastructure)                public facilities, business
      •    Sehat untuk Merdeka                   •   The 1000 Movement                          mentoring, waste sorting)
           (Healthy for Freedom)                 •   Creative Schools                       •   Financial literacy
      •    Complimentary                         •   Creative Teachers                      •   Disaster relief
           health services                           Go Digital                             •   Donations
      •    Blood donations                       •   Scholarships for teachers                  on religious holidays
      •    Support for mothers                   •   School renovation                      •   Environmental
           and babies                                                                           infrastructure
      •    Stunting awareness                                                               •   Environmentally-friendly
           raising                                                                              (green) lifestyle




   In their implementation,
                                                               THINK
   BFI Finance’s sustainability
   programs are guided by the CSR                              Every layer, both inside and outside of the Company,
                                                               perceives and reflects on social issues happening outside
   Program Policy, which is enacted
                                                               and inside the Company. This reflection is an awareness
   through three actions, namely:
                                                               of what is happening in the surroundings and started to
                                                               think of ways to be actively involved in it.


                                                               ACT
                                                               Every layer inside the Company takes action to provide
                                                               solutions to such issues and implements them in
                                                               real actions as a result of self-reflection and active
                                                               participation in the surrounding community.


                                                               PRESERVE
                                                               The results of implementation and concrete actions are
                                                               continuously maintained and carried out by all layers of
                                                               the Company, thus producing positive outcomes.




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                      2023 PERFORMANCE                                                      BUSINESS
 ABOUT THIS REPORT                        REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                      HIGHLIGHTS                                                            SUPPORTING UNITS




 To finance its sustainability             CSR Program Budget, 2021–2023 (Rp million)
 programs, the Company allocates
 a budget whose amount
 is adjusted to its financial
 performance, taking into account




                                           2023
 the evaluation of the previous
 year's programs.

 The programs that have been
 planned are coordinated by the
 CSR Unit under the supervision
                                                                                           149,420
 of the Finance Directorate,
 in particular the Corporate                 2022                             103,000
 Communication, CSR & CPDM
                                             2021

 Department                                                                                          145,445




 CSR Program Budget Utilization 2023




 Environment                   Community                        Employment                          Responsibility to
 and Infrastructure            Empowerment                      and Social Practices                Customers


   Rp
           638                     Rp
                                         855                        Rp
                                                                           122                      Rp
                                                                                                               436
              million                    million                         million                               million


 Building the Culture of Sustainability
 BFI Finance fosters a culture of sustainability in every employee in accordance with the sustainability
 principles summarized in its Sustainability Policy and CSR Policy. These sustainability policies and practices
 are also disseminated by the Company to external stakeholders on a regular basis.

 The Company motivates every employee to participate in realizing the Sustainable Development Goals
 through their activities within the Company and also in Indonesia. Therefore, the Company encourages
 direct employee involvement in the Company's sustainability programs. Active employee involvement in
 these programs helps create a positive image of BFI Finance in the eyes of direct beneficiaries and the wider
 community.

 Details of sustainability and performance programs in the areas of employment, environment, social, as well
 as product and customer service responsibility are presented in subsequent sections in this chapter.




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   MANAGEMENT DISCUSSION      GOOD CORPORATE                                                     ANNUAL FINANCIAL
                                                       SUSTAINABILITY     SUPPORTING DATA                            APPENDICES
   AND ANALYSIS               GOVERNANCE                                                         STATEMENTS




   HUMAN CAPITAL

   Highlights of HC                             The main initiative of the HC               creative programs in the form of
                                                Department in 2023 was to                   BFI 4U, BFI Valentine’s Day, Kelas
   Management In 2023                           emphasize and expand the                    Sehat (Healthy Class) BFI Finance,
   The Company’s Human Capital                  rollout of BFI New Mindset as               Batik Day X Youth Pledge, BFI
   (HC) management strategy                     the Company’s formulation of                Finance Synchronize Festival, BFI
   strives to make employees                    work culture launched in 2022.              Green Lifestyle, and various other
   progress collectively, by                    BFI New Mindset emphasizes                  programs aimed at promoting
   harnessing digitalization which              three characteristics that must             creative ideas among employees.
   has been transforming its                    be cultivated by every BFI
                                                                                            To empower the Company’s
   business. The management of                  Finance employee, namely: Dare
                                                                                            employees in their work activities,
   employment-related aspects                   to Try and Learn, Empower and
                                                                                            the HC Department has begun
   at BFI Finance is carried out by             Collaborate with Other Parties, as
                                                                                            developing a digitalization
   the Human Capital Department,                well as Listen, Speak Up, and Take
                                                                                            strategy for managing its HC
   which always monitors various                Responsibility.
                                                                                            aspects. This effort is realized
   developments in the financing
                                                Various large-scale activities              through digital systems that
   industry in Indonesia as well as
                                                in 2023 to integrate BFI New                are integrated into a single
   the availability of related talent,
                                                Mindset in employee behavior                platform, which will continue
   to ensure that the Company’s
                                                and actions include activities              to be enriched in the future
   implemented policies remain
                                                such as Morning Sessions which              so that it covers the entire
   relevant and boost BFI Finance’s
                                                are held weekly and monthly                 HC management chain, from
   competitive edge in the market.
                                                to discuss and evaluate work                recruitment strategy to post-
                                                programs, employee social                   employment welfare.




                                               Relin Damanik
                                               Asset Management People Head
                                               BFI Finance


                                               I have been in this journey with the Company for nine years now.
                                               Initially, I was drawn to BFI Finance because it was well aligned
                                               with my experience in banking. In addition, the recruitment
                                               program was attractive, and its industry reputation was sterling.
                                               BFI Finance has consistently supported my career growth, offering
                                               new challenges and promotions. My most memorable experience
                                               was during my assignment in Sampit branch, Central Kalimantan,
                                               which expanded my personal and professional horizons. I truly
                                               appreciate BFI Finance’s culture of inclusivity and values, especially
                                               the emphasis on integrity and continuous improvement. Looking
                                               forward, I hope the skill development opportunities and benefits
                                               for employees will be augmented even further.




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                    2023 PERFORMANCE                                                         BUSINESS
ABOUT THIS REPORT                       REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                    HIGHLIGHTS                                                               SUPPORTING UNITS




The digital transformation of all      in line with the pace of business               A total of 5,110 new employees
BFI Finance business processes         development. The number of                      were recruited in 2023, higher
requires the support from              new employees recruited was                     than the 4,470 employees
qualified digital talent. For this     calculated through an analysis of               recruited in 2022. The employee
reason, the HC Department              existing and future needs, and in               recruitment rate in 2023 thus
ensures the implementation of          consideration of the Company’s                  reached 14.3%. As many as 2.6%
the proper strategies and policies     capacity.                                       of these new recruits now work
to attract, retain and continue                                                        in the digital team, to support
                                       BFI Finance’s recruitment
to hone the quality and skilled                                                        the transformation of business
                                       program takes place along
professional talent in the digital                                                     processes in the Company.
                                       various channels. The Company
arena. This is key to further
                                       maintains long-standing
accelerating the Company’s                                                             Talent Development
                                       collaborations with various
digitalization. In 2023, the
                                       educational and training                        and Management
Company recruited 132 personnel
                                       institutions, allowing it to                    BFI Finance provides extensive
to become part of its digital team,
                                       tap into the pool of excellent                  opportunities for employees
while continuing to develop
                                       freshgraduates. To obtain talent                to participate in training and
related capabilities through
                                       who are experienced and possess                 competence development
value-rich training programs.
                                       specific skills, the Company                    programs. These programs
                                       makes use of social media
Recruitment                                                                            are continuously enriched
                                       channels (LinkedIn, Facebook,                   and updated with the latest
Management                             X (formerly Twitter), Instagram),               developments in the market and
and Policy                             job portals (JobStreet, Kalibrr,                the needs within the Company.
                                       Tech in Asia), the BFI Jobs digital             Some of these programs are
BFI Finance maintains an
                                       platform, as well as headhunting                mandatory, and as for others, the
inclusive recruitment policy to
                                       companies. The Company also                     employees can individually opt to
provide equal opportunity to all
                                       leverages the professional                      enrol.
job seekers with the required
                                       network of its internal employees,
qualifications and competences                                                         Training and competence
                                       whose recommendations often
to work at the Company. The                                                            development classes took
                                       result in high-value hires.
Company does not make any                                                              place both online and offline.
recruitment decisions based            Since 2023, every new employee                  In 2023, no longer hampered
on, nor discriminate against,          at BFI Finance has been given                   by the pandemic, BFI Finance
the candidate’s gender, belief,        adequate training. Instead of                   reversed its priority to face-to-
political affiliation, or other        working immediately upon                        face training, given the higher
backgrounds that are unrelated         completing orientation, most                    level of employee engagement
to work performance. There is          new employees now are given                     and satisfaction on average,
zero tolerance to the practice         the opportunity to learn from                   compared to online training.
of forced labor or underage            their seniors for six months. This
                                       helps to ensure that the new                    In line with this strategy, in 2023
employment in the Company.
                                       recruits have sufficient time to                the Company built Regional
The recruitment strategy in 2023                                                       Training Centers (RTC) in two
                                       adapt to the work environment
was directed at enriching the                                                          regions, Banjarmasin and
                                       and culture at BFI Finance, as
digital team’s skillset. Various                                                       Makassar (South Kalimantan and
                                       well as understand the scope of
innovative recruitment programs                                                        South Sulawesi Provinces). At the
                                       their duties and responsibilities,
that had been running in                                                               RTC, training could be carried out
                                       prior to receiving assignments
previous years were maintained                                                         offline with more efficient costs,
                                       along with the associated
and augmented to make them                                                             as training participants no longer
                                       individual targets. This initiative
more attractive to quality talent.                                                     needed to travel to the Head
                                       is expected to increase employee
Recruitment for other key                                                              Office, as was done prior to the
                                       job satisfaction, resulting in better
positions, such as marketing and                                                       pandemic. Training participants
                                       retention rates.
collection, had been ongoing                                                           can now take part in training at
since the beginning of the year,                                                       the RTC closest to their work area.




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   MANAGEMENT DISCUSSION          GOOD CORPORATE                                                       ANNUAL FINANCIAL
                                                        SUSTAINABILITY         SUPPORTING DATA                                  APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                           STATEMENTS




   In 2023, the two RTCs facilitated one training program involving 32 employees, with the training duration of
   up to 9 months. The RTC received positive reviews from the training participants. Accordingly, in the coming
   years the Company plans to build an RTC in every region.

   Employee competence development expenditures in 2023 reached Rp3.0 billion. This figure included fees
   for the training programs, participant accommodation costs, and other components. The figure was down
   21% from 2022, in keeping with the slightly lower number of participants during the year. Training costs per
   employee in 2023 amounted to Rp127,732, incrementally higher than Rp126,904 in 2022.

   The number of training participants in 2023 was 23,831, with a total training duration of 328,061 hours,
   equivalent to 14 hours of training per employee participant within the year.




         Training                                      Number of Training                                  Number of Training
         Expenditure                                   Participants                                        Programs


              Rp
                      3.0                              23,831            people
                                                                                                           7
                                                                                                           programs
                           billion



   Table 131 • HC Development Metrics


                                  Description                                  2021                   2022                    2023

    Training Expenditures                                                  Rp3.1 billion          Rp3.8 billion            Rp3.0 billion

    Number of Training Participants                                               72,425                   29,944                  23,831

    Number of Training Programs                                                         4                       6                      7


   Table 132 • Education and Training Programs


                             Training Classification                        Total Programs in 2023            Total Participants in 2023

    Internal Training                                                                  4                                  21,179

    External Training                                                                  4                                   2,652

    Total                                                                              8                                  23,831



   Table 133 • Types of Training and Number of Participants


                                Type of Training                         Total Training Sessions in 2023      Total Participants in 2023

    Qualification                                                                      3                                   4,145

    Mandatory                                                                          3                                    559

    Functional                                                                          1                                 19,127




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                           2023 PERFORMANCE                                                                       BUSINESS
 ABOUT THIS REPORT                                    REPORTS TO STAKEHOLDERS          COMPANY PROFILE
                           HIGHLIGHTS                                                                             SUPPORTING UNITS




 Table 134 • Training Participants by Position


                                 Position                                       External Training         Internal Training          Total Participants

      BOC & BOD                                                                           13                            -                      13

      Senior Manager                                                                     111                          16                      127

      Junior Manager                                                                   734                          1,112                  1,846

      Officer                                                                         1,464                      8,495                     9,959

      Staff                                                                             330                      11,556                   11,886

  Total                                                                              2,652                       21,179                   23,831



 Table 135 • Average Training Hours per Employee Participation per Year


                                                   Male                                                  Female
                                                                                                                                             Average
                                               Number of         Average                             Number of               Average         Training
              Position       Number                                                Number
                                              Participation      Training                           Participation            Training       Hours per
                            of Training                                           of Training
                                                  as at         Hours per                               as at               Hours per       Participant
                               Hours                                                 Hours
                                              31 Dec 2023       Participant                         31 Dec 2023             Participant

  BOC & BOD                        94                 13             7                      -                -                   -                  -

  Senior Manager                  710                99              7                   211               28                    8                  7

  Junior Manager              43,686               1,435            30                7,519                411                  18              28

  Officer                     125,553             8,085             16              39,343               1,874                  21                17

  Staff                       78,026              9,205              8              32,920               2,681                  12                  9

  Total                     248,068             18,837              13              79,993            4,994                     16                14



 Performance Management
 BFI Finance employees have Key Performance Indicators (KPIs) that guide them as they strive to
 achieve individual targets. The HC Department involves every employee’s direct superior in formulating
 and evaluating their KPIs. All components of the KPIs are reviewed regularly and adjusted to market
 developments and the Company’s business.

 Employee performance management takes place along the following stages:
 1.     Employee Goals Setting:
        •     Employees develop KPIs that are cascaded from their supervisor’s KPIs; and
        •     Superiors provide input and approval of their subordinates’ KPIs.
 2. Performance Appraisal:
    Superiors assess the annual achievement of their subordinates’ KPIs at the end of the year to determine a
    profit sharing scheme for employees displaying superior performance.

 Table 136 • Employee Productivity


                               Description                                           2021                        2022                      2023
  Number of Employees                                                               9,450                        10,111                    11,207
  Number of Outlets                                                                    319                        282                         271
  Employees per Outlet                                                                29.6                        35.9                       41.0
  New Contracts per Employee                                                          40.2                          51.1                    34.9


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   MANAGEMENT DISCUSSION          GOOD CORPORATE                                                       ANNUAL FINANCIAL
                                                           SUSTAINABILITY       SUPPORTING DATA                                 APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                           STATEMENTS




   Number                                  Number                             Employees                         New Contracts
   of Employees                            of Outlets                         per Outlet                        per Employee


   11,207                                  271                                41.0                              34.9
   Even as digitalization and                      questionnaire. This frequent                   assessment had been carried out
   process automation initiatives                  evaluation method corresponds                  in each directorate, a number
   continued to take place, by                     well with the agile and adaptive               of employees with high
   2023 the majority of employees                  characteristics of digital                     performance and appropriate
   had returned to working from                    teamwork.                                      qualifications were identified
   office. This policy indeed helped                                                              as future leaders. They would
   the Company mitigate the                        Career Path                                    then take part in a succession
   impact of the cyberattack in                    and Succession                                 management program, to be
   May 2023. Employees’ presence                                                                  primed for positions of leadership
                                                   Management
   in the offices accelerated the                                                                 or other strategic positions.
   coordination of recovery efforts                The HC Department ensures
                                                                                                  In 2023 the Company
   amidst the limited utilization                  that all employees receive
                                                                                                  formulated a more formal and
   of the Company’s digital                        regular performance reviews.
                                                                                                  comprehensive list of technical
   systems. Nevertheless, as the                   The results are taken into account
                                                                                                  competencies, to be applied
   disbursement of new financing                   in nurturing them along their
                                                                                                  throughout the employees’ career
   was intentionally limited for some              career path in the Company.
                                                                                                  paths. This array of technical
   period following the incident,                  BFI Finance employs the Human
                                                                                                  competencies is now part of the
   employee productivity level based               Asset Value (HAV) method along
                                                                                                  requirements for rew recruits,
   on the number of new contracts                  with the individual competence
                                                                                                  and is also used to direct specific
   declined, from 51.1 in 2022 to 34.9             profile projections, which consist
                                                                                                  career advancement in each
   in 2023.                                        of core, functional, and technical
                                                                                                  division and directorate.
                                                   competencies.
   To assess the performance of
                                                                                                  A total of 952 personnel were
   the growing digital team, the                   To sharpen the focus of career
                                                                                                  selected in 2023 to be part of the
   Company implemented a “pulse                    development, in 2023 the
                                                                                                  Company’s talent and succession
   check” evaluation once every                    HC Department strengthened
                                                                                                  management program. This was
   two months in the form of a                     its talent mapping. After
                                                                                                  fewer than 981 personnel selected
                                                                                                  in 2022.


   Table 137 • Participants of Talent Management and Succession Programs


                                      2021                                  2022                                     2023
       Position
                           Male      Female        Total        Male        Female        Total        Male         Female         Total

    Managerial
                             11           -           11         179          57          236           156               45        201
    and Above

    Supervisor             107          59          166          575         170          745           574               177       751

    Total                   118         59          177          754         227          981           730           222          952




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                               267
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 ABOUT THIS REPORT                         REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                       HIGHLIGHTS                                                               SUPPORTING UNITS




 Employee Welfare                         3. Motorcycle Ownership                         Industrial Relations
                                             Program (MOP) and Car
 The remuneration packages                   Ownership Program (COP);                     BFI Finance enforces Company
 and structures applicable to                                                             Regulations which stipulate
                                          4. Work support facility
 the Company are prepared by                                                              matters such as working
                                             ownership program;
 considering a number of factors:                                                         conditions, dialogue between
 regulations on wage, minimum             5. Maternity leave;                             management and employees,
 wage standards, talent needs, the        6. Membership in the                            competence development, equal
 Company’s financial capacity, as            Employment BPJS protection                   rights and justice, legal protection,
 well as market trends.                      program (Work Accident                       and protection of employee rights.
                                             Benefit, Old Age Benefit,
 The amount of remuneration in                                                            The Company Regulations
                                             Death Benefit);
 each region is adjusted to take into                                                     applicable to the Company in 2023
 account the multifinance business        7. Personal accident insurance                  had been ratified by the Ministry
 conditions and the competition              and life insurance; and                      of Law and Human Rights of the
 faced by the Company.                    8. Performance bonuses                          Republic of Indonesia for a period
                                             (optional).                                  of two years, from 1 August 2022 to
 Apart from salary, the Company
                                                                                          31 July 2024.
 provides performance bonuses,            As in previous years, the lowest
 whose amount is determined by            remuneration given to employees                 BFI Finance complies with all
 basic factors (rank level) and other     at the lowest level in the Company              applicable labor regulations,
 factors (employee contribution           was guaranteed to be higher or                  as reflected in the Company
 to their individual progress, their      equal to the provincial minimum                 Regulations. This helps create
 team’s, and the Company’s).              wage in each region where the                   productive industrial relations that
                                          Company operates.                               are mutually beneficial for both
 Any change to the remuneration
                                                                                          management and employees.
 structure that applies in                Employees not only receive
                                                                                          So far, the presence of Company
 the Company will be amply                financial remuneration, but also
                                                                                          Regulations has been deemed
 disseminated prior to its                mental support. BFI Finance
                                                                                          sufficient by the employees
 implementation. This is to ensure        regularly organizes various
                                                                                          to channel their aspirations.
 that all employees, especially           events to strengthen the sense
                                                                                          Accordingly, no labor unions
 those that would be affected, have       of togetherness and encourage
                                                                                          operate within the Company.
 a thorough understanding of all          informal interactions among
 the implications of the change.          employees, without regard                       Apart from conveying their
                                          to rank. Employees are free                     aspirations, employees can
 The remuneration package for
                                          to participate in volunteering                  also submit their grievances
 permanent employees of the
                                          activities collectively, to help bring          regarding violations of their rights
 Company includes:
                                          meaning into their personal and                 or violations of the Company
 1.   Basic salary;                       professional lives.                             Regulations. Grievances can be
 2. Employee benefits, including:                                                         submitted orally or in writing
                                          An Employee Engagement Survey
      a. Housing allowance;                                                               to the management, and will
                                          involving 8,465 employees or 76%
                                                                                          be handled in stages within
      b. Travel allowance                 of total employees in 2023, held
                                                                                          the Company’s organizational
         (transportation);                both at the Head Office and all
                                                                                          structure.
      c. Hardship allowance;              branches, showed that 80% of the
                                          respondents felt a good level of                In 2023, there were no significant
      d. Holiday allowance (THR)
                                          togetherness and engagement in                  grievances from employees
         once a year;
                                          the Company. Several employee                   regarding the implementation of
      e. Medical benefits
                                          inputs from this survey were taken              industrial relations at BFI Finance.
         (reimbursement for
                                          into consideration in developing
         hospital treatment costs);
                                          HC-related strategies for the
      f.   Position allowance for         following year.
           structural positions;




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                                                         SUSTAINABILITY    SUPPORTING DATA                                   APPENDICES
   AND ANALYSIS                 GOVERNANCE                                                        STATEMENTS




   Occupational Health                           the Company. Employees are                  Many BFI Finance employees
                                                 also required to seek to resolve            drive to carry out their duties,
   and Safety                                    potential incidents they encounter          for example those who work
   The HC Department collaborates                at work.                                    in marketing, collection, and
   with the Infrastructure                                                                   operations. These personnel
                                                 The integrity of the systems
   Development Unit under the                                                                are obliged to obey all traffic
                                                 and infrastructure supporting
   Operations Division to implement                                                          regulations and wear adequate
                                                 building operations is checked
   the Occupational Health and                                                               protective equipment when
                                                 regularly and permits are updated.
   Safety Management System                                                                  traveling, in order to minimize
                                                 Important assets including
   (OHSMS). The existence of the                                                             work accidents.
                                                 customer documents are stored
   OHSMS is formally governed
                                                 in the Custodian Center which is            BFI Finance urges employees to
   along with clauses related to
                                                 earthquake and fire resistant, at           adopt a healthy and balanced
   occupational health and safety
                                                 the Head Office.                            lifestyle. The Company enrols
   (OHS) in the Company Regulations,
                                                                                             employees to a health insurance
   specifically on Prevention and                To anticipate the danger of fire,
                                                                                             program, and also takes a
   Control. The OHSMS is applicable              employees take part in evacuation
                                                                                             preventive approach to work-
   to all employees.                             drills and test fire fighting
                                                                                             related diseases. The Company
                                                 equipment. On each floor, there
   To ensure comprehensive OHS                                                               disseminates information-rich
                                                 are fire rescue kits and a First Aid
   implementation, all employees                                                             content about healthy lifestyles,
                                                 box. BFI Finance also ensures the
   are obliged to prevent and                                                                and encourages employees to
                                                 readiness of the emergency team
   avoid any potential for rioting,                                                          increase their level of physical
                                                 to respond to any incidents that
   work accidents, or other events                                                           activity and fitness.
                                                 may endanger the Company’s
   that could potentially harm
                                                 assets and human resources.


   Table 138 • Occupational Accidents


       Type of Occupational Accident               Field Staff               Non-Field Staff                         Total

    Serious Accidents                                        1                           0                                    1

    Minor Accidents                                         10                           2                                   12

    Total Cases                                             11                           2                                   13




                                            Hermanto Hilarius Siadari
                                            Branch PBF Manager
                                            Meruya, Jakarta Barat

                                            I have been working at BFI Finance for almost 10 years. Joining BFI
                                            Finance right after graduating was a pivotal moment for me. The rapid
                                            recruitment process and its reputation as a premier multifinance
                                            company in Indonesia caught my attention. My career has flourished
                                            here, moving from Credit Analyst position to Branch Manager, thanks
                                            to the Company’s support for growth and development, through
                                            various training programs. My most memorable experience was my
                                            initial assignment in Sanggau branch, West Kalimantan. That was
                                            both challenging and enriching at the same time. BFI Finance’s highly
                                            dynamic culture, based on core values like integrity and excellence,
                                            have been instrumental to my personal and professional growth. I hope
                                            in the future employees will receive better benefits and enjoy greater
                                            opportunities for career mobility.




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 ABOUT THIS REPORT                              REPORTS TO STAKEHOLDERS         COMPANY PROFILE
                         HIGHLIGHTS                                                                     SUPPORTING UNITS




 ENVIRONMENTAL PERFORMANCE

 Sustainable                                   consumed through employee                          documents. The Company
                                               transportation activities. Data on                 discourages using single-use
 Operations                                    energy consumption and carbon                      items and prohibits Styrofoam
 BFI Finance is engaged in                     emissions from these activities is                 materials in its work environment.
 the multifinancing business.                  therefore not yet available.                       The Company also contributes
 The Company’s operations in                                                                      to carbon emissions along its
                                               Despite this, the Company
 the financial services sector thus                                                               value chain, particularly through
                                               remains committed to
 take place in urban or residential                                                               financing motor vehicles (cars
                                               contributing to energy savings.
 areas, and therefore do not                                                                      and motorbikes), machinery and
                                               At the Head Office and all
 directly come into contact with                                                                  heavy equipment, which helps
                                               its outlets, employees are
 the natural environment, or any                                                                  empower its customers and
                                               encouraged to implement
 protected ecosystems.                                                                            provide uplift to their economic
                                               environmentally-friendly ways
                                                                                                  capabilities.
 The most material impact of                   of working, which include
 BFI Finance’s operations on                   saving electricity and water.                      The electricity and water
 the environment is carbon                     The Company advocates for                          usage data for all BFI Finance
 emissions. Employee activities                employees to turn off lights and                   operational offices, both at the
 that rely on various means of                 air conditioning in rooms that                     head office and its outlets in 2023,
 transportation for work are a                 are not in use, reduce and sort                    are included in this report.
 major contributor to emissions.               domestic waste, and reduce
 Until 2023, the Company had not               new paper use by opting for
 yet measured the amount of fuel               used paper for printing certain



 Table 139 • Electricity and Water Usage

                                    Electricity Consumption   Electricity Cost for the    Water Consumption        Water Cost for the Year
          Operational Region
                                              (kWh)                  Year (Rp)                   (m3)                      (Rp)

  Head Office                               3,188,760           3,554,638,446                      33,530              420,805,503

  Sumatra                                    1,132,225            1,924,250,116                    49,558                   84,225,723

  Greater Jakarta                           1,044,586             1,775,304,911                    62,848                  106,811,600

  Java, Bali & Nusa Tenggara                 2,137,151            3,632,151,493                     87,197                 148,194,328

  Kalimantan                                 835,895             1,420,628,148                      59,401                 100,954,038

  Eastern Indonesia
                                             1,311,567           2,229,047,919                      73,192                  124,391,281
  (Sulawesi, Maluku & Papua)

  Grand Total                               9,650,184          14,536,021,033                     365,726              985,382,473




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                                                         SUSTAINABILITY        SUPPORTING DATA                              APPENDICES
   AND ANALYSIS               GOVERNANCE                                                              STATEMENTS




     Electricity                   Electricity Cost                       Water                             Water Cost
     Consumption                   for the Year                           Consumption                       for the Year



         9.65                      Rp
                                         14.5                             365,726                           Rp
                                                                                                                  985.4
       million kWh                             billion                                           m3                        million



  Environmental Preservation Program
  As a measure to mitigate the environmental impact of its operations, since 2021 BFI Finance has been
  planting mangrove trees. Restoring mangrove ecosystems has been the strategy chosen by the Company
  because mangrove ecosystems are capable of naturally absorbing up to ten times as much carbon as tropical
  forests and storing up to five times as much carbon as tropical forests given the same area.

  In 2023, Company employees planted 10 thousand mangrove trees in a number of villages spread across
  Denpasar (Bali), Indramayu (West Java), Makassar (South Sulawesi), Semarang (Central Java), and Tegal
  (Central Java). With the addition of these 10 thousand new mangrove trees, a total of 25 thousand mangrove
  trees had been planted with the Company's support by the end of 2023, spread across nine regencies/cities.




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                      HIGHLIGHTS                                                                   SUPPORTING UNITS




                        New Planting                                  Total Number of Trees
                        2023                                          2022-2023


                        +10,000                                       25,000
 Table 140 • Spread of Company-Planted Mangrove Trees


                                                                 Existing Trees             New Planting       Total Number of Trees
                         Location
                                                                     2022                      2023                   2022-2023

  Caplok Barong Mangrove Forest, Cirebon, West Java                   1,500                           -                  1,500

  Pabean Ilir Coastline, Indramayu, West Java                         1,500                     2,000                    3,500

  Pulau Cemara Sawojajar, Brebes, Central Java                        1,500                           -                  1,500

  Mangunharjo Beach, Semarang, Central Java                           2,500                           -                  2,500

  Tapak Village, Semarang, Central Java                                     -                   2,000                    2,000

  Mitaragen Village, Tegal, Central Java                                    -                   2,000                    2,000

  Armapala Mangrove Ecotourism, Gresik, East Java                     1,500                           -                  1,500

  Wonorejo Mangrove Ecotourism, Surabaya, East Java                   2,500                           -                  2,500

  Serangan Village, Benoa Bay, Bali                                   2,500                     2,000                   4,500

  Untia Beach, Makassar, South Sulawesi                               1,500                           -                  1,500

  Bira Village, Makassar, South Sulawesi                                    -                   2,000                    2,000

  Total                                                              15,000                    10,000                  25,000




 Apart from planting mangroves, the Company is also actively promoting an environmentally friendly
 lifestyle (“BFI Green Lifestyle”) among employees and communities around its operational areas. In 2023,
 this program included plastic bottle waste management alongside the “Start from Your Plastic Bottles”
 educational program, and a campaign to increase awareness of plastic waste sorting. All of these activities
 took place around the Head Office. At the BFI RUN event, the Company also managed plastic bottle waste.
 A total of 366 kg of plastic bottle waste was collected in 2023. All plastic waste was redirected to a waste bank
 located closest to the Company’s office.

 Waste sorting also became a program of one group of BFI Finance employees who carried out volunteer
 activities through the BFI 4U program in collaboration with Magotsuka Edufarm in Cimahi, West Java. They
 sorted and processed non-organic waste, and cultivated Black Soldier Fly larvae (maggots) to process organic
 waste economically.




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   AND ANALYSIS               GOVERNANCE                                                     STATEMENTS




   SOCIAL PERFORMANCE

   BFI Finance is committed to bringing a positive impact to the communities around its operational locations
   throughout Indonesia. This commitment was made manifest in various programs held in 2023.




              HEALTH




   Awareness Raising on Stunting                                       BFI 4U Program
   Surabaya, 27 February 2023                                          September–December 2023

   To enhance public understanding about the                           Through the BFI 4U volunteering program,
   risks and measures to eradicate stunting among                      employees from the Head Office helped revitalize
   children, BFI Finance conducted an awareness                        a posyandu (integrated health post) in Parung
   raising event in Surabaya, East Java. This effort                   Panjang, Bogor, West Java. The assistance
   was in support of the Indonesian Government’s                       provided includes new equipment, education
   target to reduce the national stunting prevalence                   and counseling, as well as creating social media
   from 21.6% in 2023 to 14% in 2024.                                  accounts for the posyandu. Another group of
                                                                       volunteers helped renovate four units of public
                                                                       sanitation facilities in Pangalengan, Bandung,
                                                                       West Java.




                                               Healthy for Freedom
                                               August 2023

                                               A series of Healthy for Freedom programs were held to celebrate
                                               Indonesian Independence Day in 12 regions, namely in Tangerang
   Healthy for Freedom                         Selatan (Banten), Cirebon (West Java), Majalengka (West Java),
   Beneficiaries                               Magelang (Central Java), Semarang (Central Java), Yogyakarta,
                                               Klaten (Central Java), Pontianak (West Kalimantan), Tanjung (South

   1,144 people                                Kalimantan), Tahuna (North Sulawesi), Balikpapan (East Kalimantan),
                                               and Makassar (South Sulawesi). The number of beneficiaries of this
                                               program reached 1,144 people.




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 ABOUT THIS REPORT                           REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                          HIGHLIGHTS                                                           SUPPORTING UNITS




                      Mobile Health
                      Services Beneficiaries


                      1,295 people                                     Distribution of Masks
                                                                       Ketapang, 6 October 2023

 Mobile Health Services                                                BFI Finance distributed free masks to residents of
 for Disaster Survivors                                                Ketapang, West Kalimantan, to help overcome the
 16 March dan 21 December 2023                                         negative health impacts of smoke from forest fires
                                                                       that hit the area in mid-2023.
 Since 2022, BFI Finance have continued to
 contribute to the provision of mobile health
 services/mobile ambulances, in collaboration with
 Sekolah Relawan. On 16 March 2023, BFI Finance
 helped provide health services to survivors of the
 earthquake disasters, i.e., 500 beneficiaries in
 Gasol Village, Cianjur, West Java. BFI Finance also
 provided health service assistance to 150 survivors
                                                                                      Program Beneficiaries


                                                                                      125 people
 of the fire disaster in Kampung Pemulung,
 Bintara, Bekasi, West Java, on 21 December 2023.
 The Company also conducted mobile health
 programs in the following regions:

 125 beneficiaries Jatibarang Regional Market,                         Bakti Ibu
                              Indramayu, West Java
                                                                       Medan, December 2023
 210 beneficiaries Sidoarjo Square,                                    In celebration of Mother’s Day, BFI Finance
                              East Java
                                                                       branch in Medan, North Sumatra, held
 310 beneficiaries Other Regions                                       a special health program for mothers, attended
                                                                       by 125 beneficiaries.




                     Blood Donations


                     326 blood bag
                                                                           Based on the number of
                                                                           individual health beneficiaries,
 Donor Darah
                                                                           BFI Finance’s health programs
 The blood donation program was held four times                            in 2023 benefited more than
 in 2023, namely in Makassar (South Sulawesi),



                                                                           2,500 individuals
 Banjarmasin (South Kalimantan), Pontianak (West
 Kalimantan), and Tangerang Selatan (Banten).
 A total of 326 blood bags were collected.




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   AND ANALYSIS                GOVERNANCE                                                    STATEMENTS




          EDUCATION




                           Teacher Training
                           Participant


                           63 teachers
   Creative Teachers                                                                  BFI 4U Program
   January–December 2023                                                              October–December 2023

   The Creative Teachers Program in 2023 was implemented through                      Voluntary activities through
   two major activities. In the first activity, 29 teachers in 8 regions,             the BFI 4U program in the
   namely in Bandar Lampung (Lampung), Bogor (West Java),                             education sector in 2023 are carried
   Cirebon (West Java), Rembang (Central Java), Blitar (East Java),                   out by two groups of BFI Finance
   Banjarmasin (South Kalimantan), Kendari (Southeast Sulawesi),                      employees. The first group carried
   and Maluku Tengah (Maluku), received professional training                         out infrastructure improvements
   in the digital field. The second activity, “Go Digital”, involved                  and training in processing waste
   34 teachers in 7 regions, namely in Palembang (South Sumatra),                     into educational games and
   Lamongan (East Java), Surabaya (East Java), Kupang (East Nusa                      economically valuable handicrafts,
   Tenggara/NTT), Balikpapan (East Kalimantan), Palu (Central                         taking place at PAUD Saluyu,
   Sulawesi), and Gorontalo. They participated in a Microsoft Certified               Cibogo Village, Tangerang Regency,
   Educator training (in collaboration with Orbit Future Academy),                    Banten. The second group carried
   after completing the previous period of the Creative Teachers                      out building renovations and
   program (Batch 1 and 2), which trained them in operating Microsoft                 improvements to learning facilities
   Teams to manage class activities.                                                  at the PGRI Menara Rumpin
                                                                                      Kindergarten in Bogor, West Java.




                                                The 1000 Movement
                                                August 2023

                                                The 1000 Movement Program is an annual BFI Finance program
                                                that aims to improve the quality of education in Indonesia. A total of
           School Uniform                       1,038 students spread across Ambon, Maluku Tengah (both in Maluku),
                                                and Ternate (North Maluku) became the program’s beneficiaries
           Donation
                                                in 2023. These students received a new pair of shoes and socks to

           1,038 students                       ensure they can go to school in proper clothing.




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 ABOUT THIS REPORT                            REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                        HIGHLIGHTS                                                                 SUPPORTING UNITS




                     Number of School
                     Beneficiaries of the Program


                     14 schools
 Creative Schools                                                                            School Renovation
 October–December 2023                                                                       December 2023

 Through the Creative Schools, BFI Finance supports digital                                  BFI Finance helped renovate
 education in Indonesia. In 2023, this program involved                                      the school yard at SDN 02
 1,621 students and 203 teachers in 14 schools, spread across                                Tambun in Bekasi, West Java.
 the islands of Batam, Java, Kalimantan, Sulawesi, and Papua.                                Now, the 110 elementary school
 They received assistance of 66 laptops and computers from                                   students can use their school field
 BFI Finance. Company employees also helped renovate                                         for various activities, from sports
 computer laboratories and equip learning facilities at                                      to arts performances.
 a number of schools.




                                      Teachers’ Scholarships
                                      Starting December 2023

                                      Teachers involvement in BFI Finance education programs in 2023 was boosted
                                      with the provision of scholarships for 10 teachers from 8 schools in Palembang
 Teachers’ Scholarships               (South Sumatra), Lamongan (East Java), Surabaya (East Java), Balikpapan (East
 Beneficiaries                        Kalimantan), Palu (Central Sulawesi), and Kupang (NTT). They had previously
                                      passed the Microsoft Certified Educator program. The Company gave them the

 10 teachers                          opportunity to take a course on harnessing digital systems in online education.
                                      The course will take one year.




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   AND ANALYSIS               GOVERNANCE                                                       STATEMENTS




          COMMUNITY
           WELFARE




                      My Shaf Training                                                     Clean Water
                      Camp Participants                                                    Assistance Beneficiaries


                      20 participants                                                      7,482 residents
   My Shaf Training Camp                                               Clean Water Assistance
   July–August 2023                                                    Lamongan, September 2023

   A digital marketing training was given to agents of                 Responding to the urgent need for clean
   the Sharia Business Unit (SBU) to maximize digital                  water in two villages affected by the long dry
   canals to boost sales. The event was held online                    season, namely Sekarbagus and Bedingin
   in 6 intensive sessions, involving 20 participants                  Villages, in Lamongan, East Java, the Company
   from Jakarta, Jambi, Palembang (South Sumatra),                     collaborated with the Regional Disaster
   Malang (East Java), Makassar (South Sulawesi),                      Management Agency (BPBD) to send clean
   Balikpapan (East Kalimantan), and Gorontalo.                        water supplies that benefited 7,482 residents
                                                                       in both villages.




                      Financial Literacy
                      Participants


                      270 participants
   Financial Literacy                                                  BFI 4U Program
   Belitung, Pontianak, and Ambon,                                     September–December 2023
   16 February, 20 May, and 9 August 2023
                                                                       The BFI 4U program to support community
                                                                       welfare in 2023 was carried out by several groups
   The Company held a financial literacy event                         of BFI Finance employees. The first group provided
   in three cities, namely Belitung (Riau Islands),                    assistance in digital business and marketing
   Pontianak (West Kalimantan), and Ambon                              for Islamic boarding school students who ran
   (Maluku), to boost the knowledge and ability                        a martabak business in Bojongkoneng area,
   of customers and the public in managing their                       Bandung, West Java. The second group assisted
   finances and to introduce its financing products.                   Al-Abqo Amanah Setu Foundation Orphanage in
   The financial literacy events in Belitung and                       Tangerang Selatan (Banten) with computer and
   Pontianak were attended by a total of 195 business                  internet facilities, accompanied by training for the
   owners, while the one in Ambon was attended                         management to use the internet positively.
   by 75 elementary school students.




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                     HIGHLIGHTS                                                               SUPPORTING UNITS




                     Monitoring of Financial                                       Participants
                     Literacy Participants                                         #BFINgangkatUsahaLokal 2023


                     35 participants                                               278 Participants
Monitoring of Financial Literacy                               #BFINgangkatUsahaLokal 2023
Belitung, 17 October 2023
                                                               October–December 2023
BFI Finance held a workshop on the topic of
                                                               #BFINgangkatUsahaLokal is a program consistently
financial management for MSMEs in Belitung,
                                                               aligned with BFI Finance’s vision. The program was
Riau Islands. This event was held offline for
                                                               participated by 278 individuals, involving customers,
one day, involving 35 MSME owners, who after
                                                               MSME community members, and the general public in
participating were expected to have a deeper
                                                               Semarang (Central Java) and Medan (North Sumatra).
understanding of financial management
                                                               The series of events consisted of training and business
techniques in running a business.
                                                               mentoring, with materials ranging from: training on
                                                               digital marketing, basic photography skills, public
                                                               speaking, and creative business ideas. In addition to
                                                               training and mentoring, the event also featured a
                                                               bazaar for local products, Pound Fit sports event, free
                                                               health check-up, and coloring contest for kids.




         SHARING IN
         RELIGIOUS
         FESTIVITIES




                                        Takjil Sharing
                                        23 March–14 April 2023

                       In the holy month of Ramadhan, the Company distributed 1,500 takjil packets
                       in 13 branches, namely Tulungagung (East Java), Bojonegoro (East Java),
Number of Takjil       Kotamobagu (North Sulawesi), Marisa (Gorontalo), Bandung (West Java),
                       Semarang (Central Java), Berau (East Kalimantan), Nabire (Central Papua),

1,500        takjil 			
                       Jember (East Java), Sumbawa (West Nusa Tenggara/NTB), Bandung (West
                       Java), Palembang (South Sumatra), and Tanjung (South Kalimantan).
		packets



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   AND ANALYSIS                GOVERNANCE                                                    STATEMENTS




                                            BFI Berqurban
                                            June 2023

                                            Commemorating Eid al-Adha 1444 H, Company employees distributed
                                            1,121 bags of sacrificial meat to the community around the Head Office and
  Bags of Sacrificial                       Company branches in Tangerang, Tangerang Selatan (both in Banten),
  Meat Distributed                          Pekalongan (Central Java), Jombang (East Java), Pekanbaru (Riau),
                                            Banjarbaru (South Kalimantan), and Makassar (South Sulawesi)

  1,121 bags



           DISASTER
            RELIEF




                           Earthquake Recovery                                        Quick Response and
                           Assistance Beneficiaries                                   Social Service

                           1,262 residents
                                                                                      April dan August 2023

                                                                                      BFI Finance is quick to respond in
                                                                                      helping the community through
   Earthquake Recovery Assistance                                                     post-disaster management
   Cianjur, Maret, dan April 2023                                                     coordinated by employees. In 2023,
                                                                                      the Company distributed basic
   Continuing the assistance that the Company had previously                          food assistance and other goods to
   provided to communities affected by the Cianjur (West Java)                        22 affected parties in three regions,
   earthquake in November 2022, in 2023 Company employees took                        namely Padang (West Sumatra),
   part in building sanitation and clean water facilities in four affected            Makassar (South Sulawesi), and
   locations. The beneficiaries encompassed 381 heads of households                   Manado (North Sulawesi).
   representing 1,262 residents. In addition, the Company provided
   vegetable seeds and agricultural tools to nine farmers to aid
   their livelihoods.




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                         2023 PERFORMANCE                                                           BUSINESS
ABOUT THIS REPORT                                REPORTS TO STAKEHOLDERS       COMPANY PROFILE
                         HIGHLIGHTS                                                                 SUPPORTING UNITS




Graph 25 • Distribution of CSR Programs by Region                          Graph 26 • Distribution of CSR Programs by Island




                    10                                                                      10

                                                                                    10
                                                                                                                  32


                                            54
      36                                                                       16



                                                                                                           18
                                                                                          14




      Western Indonesia                                                       Java
      Central Indonesia                                                       Sumatra
      Eastern Indonesia                                                       Kalimantan
                                                                              Sulawesi
                                                                              Bali and Nusa Tenggara
                                                                              Maluku and Papua




Graph 27 • The Distribution Map of BFI Finance's CSR Programs in 2023




      The regions benefiting from BFI Finance's CSR initiatives in 2023




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   MANAGEMENT DISCUSSION      GOOD CORPORATE                                                    ANNUAL FINANCIAL
                                                      SUSTAINABILITY         SUPPORTING DATA                       APPENDICES
   AND ANALYSIS               GOVERNANCE                                                        STATEMENTS




  RESPONSIBILITY FOR SUSTAINABLE PRODUCT/
  SERVICE DEVELOPMENT

   Supporting Financial Inclusion and                                  Ethical and Responsible
   Sustainable Finance Programs                                        Business Practices
   BFI Finance’s financing products are offered to                     The Company collects loan repayments from its
   various levels of society to meet their needs, both                 customers in an ethical manner and in compliance
   productive and consumptive. Most consumers of                       with applicable regulations, in accordance with
   these products come from the lower middle class,                    POJK No. 35/POJK.05/2018 on Business Operations of
   who often find it difficult to access financial services            Finance Companies.
   from banking institutions. Others live in remote
                                                                       Should a customer experience difficulties in
   areas, where mainstream financial services are
                                                                       repaying their loans, the Company will try to use
   inadequate, or even non-existent.
                                                                       a method that is firm, respectful, and sensitive to
   Through its outlets throughout Indonesia,                           the customer’s condition, thereby minimizing the
   BFI Finance provides fair and equitable financial                   potential for disputes in the process. The Company
   services for all levels of society. This is a form of               ensures that all its customers are treated ethically
   Company support for the financial inclusion                         and responsibly by Company employees.
   program initiated by the Indonesian Government.
                                                                       Every year, the Company conducts a survey to
   With more and more parties joining its financial                    measure customer satisfaction in using its products
   services ecosystem, BFI Finance has the ability                     and services. The survey results in 2023 along with
   to increase their economic capacity through                         the customer service programs at BFI Finance are
   targeted financing products. These products                         presented in the Business Supporting Units chapter,
   empower people to be more involved in various                       Customer Service section, pages 110–113.
   economic activities whose results will elevate their
   standard of living.

   Both the Company’s own products and financial
   services from its subsidiaries support the
   implementation of the Sustainable Finance vision
   for Indonesia. The working capital financing
   products offered by BFI Finance specifically
   help realize the economic independence of the
   Indonesian people, with Rp12 trillion having been
   distributed to MSMEs throughout the country by
   the end of 2023. This value represented 50.7% of the
   Company's total financing portfolio.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                    281
Page 284
Focus on Implementing
Various Improvement Measures
Accurate and up-to-date information serves as a compass for
updating Company policies and strategies, ensuring that each
of our business steps is purposeful and effective.




282                                     PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 285
   08
   SUPPORTING
   DATA




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                        2023 PERFORMANCE                                                          BUSINESS
ABOUT THIS REPORT                             REPORTS TO STAKEHOLDERS        COMPANY PROFILE
                        HIGHLIGHTS                                                                SUPPORTING UNITS




ADDRESSES OF OUTLETS

 Head Office
 BFI Tower
 Sunburst CBD Lot 1.2
 Jl. Kapt. Soebijanto Djojohadikusumo
 BSD City
 Tangerang Selatan 15322
 Tel/Phone: (62-21) 2965 0300, 2965 0500
 Fax: (62-21) 2966 0757, 2966 0758
 Situs web/Website: www.bfi.co.id

 Branches
 Jawa, Bali & Nusa Tenggara

                    BRANCH                                              ADDRESS                                 CITY / REGENCY
 Jakarta Capital Region
 Jakarta – Sunter                          Rukan Puri Mutiara Blok A No. 80                               Jakarta Utara
                                           Jl. Utama Griya, Sunter
 Jakarta Utara                             Rukan Grand Orchard Square                                     Jakarta Utara
                                           Blok C/20
                                           Jl. Terusan Kelapa Hybrida Sukapura
 Jakarta Utara 2                           Rukan Bandengan Indah Blok B-3                                 Jakarta Utara
                                           Jl. Bandengan Utara No. 80
                                           Kel. Penjaringan, Kec. Penjaringan
 Jakarta – Meruya                          Jl. Lapangan Bola No. 1-1A                                     Jakarta Barat
                                           Meruya, Kebon Jeruk
 Jakarta – Cengkareng                      Sedayu Square Blok C-02                                        Jakarta Barat
                                           Jl. Outer Ring Road
                                           Cengkareng Timur
 Jakarta Timur                             Ruko Radin Inten Center No. 8D                                 Jakarta Timur
                                           Jl. Radin Inten, Duren Sawit
 Jakarta Selatan                           Komplek Pertokoan Duta Mas                                     Jakarta Selatan
                                           Blok B2 No. 7
                                           Jl. R.S. Fatmawati
                                           Kel. Cipete, Kec. Kebayoran Baru
 Jakarta Selatan 2                         Jl. Raya Pasar Minggu KM 18.2                                  Jakarta Selatan
                                           RT 12 / RW 01
                                           Kel. Pejaten Timur, Kec. Pasar Minggu
 Jakarta Selatan 3                         Jl. Raya Pasar Minggu 12B                                      Jakarta Selatan
                                           RT 1 / RW 7
                                           Kel. Kalibata, Kec. Pancoran
 Jakarta – Corporate Leasing               Rukan Graha Cempaka Mas Blok A                                 Jakarta Pusat
                                           No. 31
                                           Jl. Let. Jend. Suprapto
                                           Kel. Sumur Batu, Kec. Kemayoran




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                                                     SUSTAINABILITY         SUPPORTING DATA                            APPENDICES
   AND ANALYSIS               GOVERNANCE                                                        STATEMENTS




                     BRANCH                                           ADDRESS                                 CITY / REGENCY
    Banten
    Tangerang                                  Jl. Imam Bonjol No. 279–281                              Tangerang
                                               RT 01 / RW 04
                                               Kel. Bojong Jaya, Kel. Karawaci
    Tangerang 2                                Kompleks Balaraja Ultimate For Business Retail Ruko      Tangerang
                                               C No. 3A
                                               Jl. Raya Serang KM. 24
                                               RT 001 / RW 001
                                               Desa Telagasari, Kec. Balaraja
    Tangerang 3                                Ruko Prabu Kian Santang No. 2                            Tangerang
                                               Jl. Prabu Kian Santang
                                               RT 01 / RW 04
                                               Kel. Sangiang Jaya, Kec. Periuk
    Bintaro                                    Ruko Emerald Avenue I Blok EA – A36 CBD Emerald          Tangerang
                                               Jl. Boulevard Bintaro Jaya Sektor 9 Kel. Parigi Lama,
                                               Kec. Pondok Aren
    Pamulang                                   South City Square                                        Tangerang
                                               Jl. Raya South City Barat No. B1-03 Kel. Pondok Cabe
                                               Udik, Kec. Pamulang
    Cikupa                                     Citra Raya Grand Boulevard                               Tangerang
                                               Blok E1 No. 286–288
                                               RT 03 / RW 03
                                               Desa Ciakar, Kec. Panongan
    Tangerang Selatan                          Ruko Bidex Blok F No. 18                                 Tangerang Selatan
                                               Jl. Pahlawan Seribu
                                               RT 001 / RW 004
                                               Kel. Lengkong Gudang, Kec. Serpong
    West Java
    Bandung                                    Jl. Soekarno Hatta No. 472                               Bandung
                                               Kel. Batu Nunggal, Kec. Bandung Kidul
    Bandung – Lengkong                         Jl. Lengkong Kecil No. 12B                               Bandung
    Bandung 3                                  Komplek Pergudangan Katapang Indah Lestari Ruko          Bandung
                                               No. 3
                                               Jl. Terusan Kopo Katapang No. 611
                                               RT03 / RW 09 KM.13,2
                                               Kec. Katapang
    Bekasi                                     Kompleks Ruko Suncity Square                             Bekasi
                                               Blok A No. 46–47
                                               Jl. Mayor Hasibuan, Margajaya
    Bekasi 2                                   Ruko Mega Boulevard Blok RV 2 No. 3A                     Bekasi
                                               Jl. Harapan Indah Boulevard
                                               RT 10 / RW 08 Kel. Medan Satria, Kec. Medan Satria
    Bekasi 3                                   Ruko Grand Galaxy City Blok RGK Boulevard Raya           Bekasi
                                               Jl. Pulo Sirih Utama No. 628 RT 02 / RW 19
                                               Kel. Jaka Setia, Kec. Bekasi Selatan
    Bekasi 4                                   Jl. Sultan Hasanudin No. 233                             Bekasi
                                               Desa Tambun, Kec. Tambun Selatan




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                          2023 PERFORMANCE                                                          BUSINESS
 ABOUT THIS REPORT                              REPORTS TO STAKEHOLDERS        COMPANY PROFILE
                          HIGHLIGHTS                                                                SUPPORTING UNITS




                     BRANCH                                               ADDRESS                                 CITY / REGENCY
  Bekasi 5                                   Ruko Mall Ciputra Blok R.2 No. 18                              Bekasi
                                             Jl. Alternative Kel. Jati Karya, Kec. Jati Sempurna
  Bogor                                      Jl. Raya Tajur No. 118E–F                                      Bogor
                                             RT 001 / RW 006 Kel. Pakuan, Kec. Bogor Selatan
  Cibinong                                   Cibinong City Centre A-30                                      Bogor
                                             Jl. Tegar Beriman I RT 05 / RW 12
                                             Kel. Pakansari, Kec. Cibinong
  Cikampek                                   Ruko Sudirman Center Blok A No. 6                              Karawang
                                             Jl. Jenderal Sudirman No. 100
                                             Desa Pucung, Kec. Kotabaru
  Cikarang                                   Ruko Golden Boulevard                                          Cikarang
                                             Blok CC.5 No. 3A
                                             Jl. Niaga Raya, Jababeka 2
                                             Kel. Pasir Sari, Kec. Cikarang Selatan
  Cimahi                                     Jl. Jend. Amirmachmud No. 572                                  Cimahi
                                             RT 002 / RW 001
                                             Kel. Padasuka, Kec. Cimahi Tengah
  Cirebon                                    Jl. Tuparev No. 115A                                           Cirebon
                                             Desa Kertawinangun, Kec. Kedawung
  Depok                                      Ruko Margonda Residen No. 12A–14                               Depok
                                             Jl. Margonda Raya Kav. 461
  Indramayu                                  Jl. Raya Sleman No. 3B                                         Indramayu
                                             RT 01 / RW 03
                                             Desa Sleman Lor, Kec. Sliyeg
  Karawang                                   Jl. Jend. Ahmad Yani No. 73 Bypass                             Karawang
                                             RT 04 / RW 12
                                             Karangpawitan Karawang Barat
  Kuningan                                   Jl. RE Martadinata 53A Cijoho                                  Kuningan
  Majalengka                                 Jl. K.H. Abdul Halim No. 104                                   Majalengka
                                             Kel. Majalengka Kulon, Kec. Majalengka
  Purwakarta                                 Jl. Veteran / Terusan Ibrahim Singadilaga Ruko No.             Purwakarta
                                             5–6
                                             Kel. Nagrikaler
  Subang                                     Jl. Kapten Hanafiah Blok B No. 4                               Subang
                                             RT 98 / RW 97
                                             Kel. Karanganyar, Kec. Subang
  Sukabumi                                   Jl. Brawijaya No. 4 RT 02 / RW 12                              Sukabumi
                                             Kel. Sriwidari, Kec. Gunung Puyuh
  Tasikmalaya                                Kompleks Pertokoan Plaza Asia                                  Tasikmalaya
                                             Blok A No. 12A Jl. H.Z. Mustofa
  Central Java
  Semarang                                   Ruko Mataram Plaza Blok D No. 03                               Semarang
                                             Jl. M.T Haryono
  Semarang 3                                 Jl. Raya Kudungmundu RT 01 / RW 25                             Semarang
                                             Kel. Sendangmulyo, Kec.Tembalang
  Banjarnegara                               Jl. S. Parman No. 28 RT 01 / RW 04                             Banjarnegara
                                             Kel. Parakancanggah, Kec. Banjarnegara
  Grobogan                                   Ruko The Grand City Blok E                                     Grobogan
                                             Jl. Letjen R. Suprapto No. 61–63
                                             Purwodadi
  Jepara                                     Jl. Pemuda No. 1A RT 03 / RW 04 Kel. Potroyudan,               Jepara
                                             Kec. Jepara




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                                                     SUSTAINABILITY          SUPPORTING DATA                           APPENDICES
   AND ANALYSIS               GOVERNANCE                                                        STATEMENTS




                     BRANCH                                           ADDRESS                                 CITY / REGENCY
    Kebumen                                    Perum Graha Mahardika 2                                  Kebumen
                                               Jl. Kutoarjo D3
                                               Kel. Selang, Kec. Kebumen
    Klaten                                     Jl. Veteran No. 256A                                     Klaten
                                               Kel. Bareng Lor, Kec. Klaten Utara
    Kudus                                      Ruko Bitingan Indah (Panjunan)                           Kudus
                                               Jl. Ahmad Yani, B07–B08
                                               Kel. Panjunan, Kec. Kota Kudus
    Magelang                                   Ruko Metro Square F6                                     Magelang
                                               Jl. Mayjen Bambang Soegeng
                                               Mertoyudan
    Pekalongan                                 Komplek Ruko Dupan B2 No. 19 dan B2 No. 20               Pekalongan
                                               Jl. Dr. Sutomo
                                               Kel. Kalibaros, Kec. Pekalongan Timur
    Purwokerto – Banyumas                      Jl. Gerliya Timur No. 35                                 Banyumas
                                               Ruko No. 3 Kel. Teluk,
                                               Kec. Purwokerto Selatan
    Rembang                                    Jl. Pemuda No. 3B                                        Rembang
    Salatiga                                   Ruko Wijaya Square Blok A3                               Salatiga
                                               Jl. Diponegoro RT 02 / RW 05, Sidorejo Lor
    Solo                                       Jl. R.M. Said No. 160C RT 2 / RW 3 Kel. Punggawan,       Surakarta
                                               Kec. Banjarsari
    Solo 2                                     Jl. Raya Solo Permai HD 03                               Sukoharjo
                                               Solo Baru
    Sragen                                     Ruko Harlin Sragen Blok B-1                              Sragen
                                               Jl. Raya Sukowati
                                               Kel. Sine, Kec. Sragen
    Tegal                                      Ruko Nirmala Estate No. 3–4                              Tegal
                                               Jl. Yos Sudarso No. 20
                                               Kel. Mintaragen, Kec. Tegal Timur
    Yogyakarta Special Region
    Yogyakarta                                 Ruko Monjali Permai Kav. 2                               Sleman
                                               Jl. Monjali Sinduadi Mlati Sleman
    East Java
    Surabaya                                   Jl. Ngagel Jaya 39                                       Surabaya
    Surabaya 2                                 Jl. Patimura No. 14                                      Surabaya
                                               RT 06 / RW 06, Kel. Sonokwijenan,
                                               Kec. Sukomanunggal
    Surabaya 3                                 Jl. Raya Kapas Krampung No. 139                          Surabaya
                                               RT 001, RW 003
                                               Kel. Rangkah, Kec. Tambaksari
    Banyuwangi                                 Jl. S. Parman No. 98                                     Banyuwangi
                                               Kel. Sumberrejo, Kec. Banyuwangi
    Blitar                                     Jl. Lawu RT 02 / RW 02                                   Blitar
                                               Kel. Kauman, Kec. Kepanjen Kidul
    Bojonegoro                                 Jl. M.H. Thamrin 103                                     Bojonegoro
    Gresik                                     Ruko Green Garden Blok A-2                               Gresik
                                               Jl. Dr. Wahidin No. 3–4
                                               Desa Dahanrejo, Kec. Kebomas
    Jember                                     Jl. Diponegoro No. 32 Ruko 32B                           Jember
                                               Kel. Kepatihan, Kec. Kaliwates




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ABOUT THIS REPORT                              REPORTS TO STAKEHOLDERS        COMPANY PROFILE
                         HIGHLIGHTS                                                                SUPPORTING UNITS




                    BRANCH                                               ADDRESS                                 CITY / REGENCY
 Jombang                                    Jl. K.H. Wahid Hasyim No. 19                                   Jombang
                                            RT 001 / RW 001
                                            Kel. Jombang, Kec. Jombang
 Kediri                                     Kompleks Pertokoan Hayam Wuruk Trade Center                    Kediri
                                            Blok C No. 7–8
                                            Jl. Hayam Wuruk
 Lamongan                                   Jl. Basuki Rahmat No. 203                                      Lamongan
                                            Kel. Sukomulyo, Kec. Lamongan
 Madiun                                     Jl. Serayu Timur No. 144                                       Madiun
                                            RT 043 / RW 015
                                            Kel. Pandean, Kec. Taman
 Malang                                     Jl. R. Tumenggung Suryo No. 42, Kavling B, C, D                Malang
                                            Kel. Bunulrejo, Kec. Blimbing
 Malang 3                                   Jl. Panglima Sudirman No. 148                                  Malang
                                            Kav. E–E1 RT 003 / RW 007
                                            Kel. Pagentan, Kec. Singosari
 Mojokerto                                  Ruko Kranggan Permai Blok A05–06                               Mojokerto
                                            Jl. Pahlawan
 Nganjuk                                    Jl. Gatot Subroto No. 29 RT 03 / RW 04 Kel. Kauman,            Nganjuk
                                            Kec. Nganjuk
 Pandaan                                    Ruko Pandaan Central Business Kav. A3–A5 Jl. Raya              Pasuruan
                                            Bypass Pandaan RT 01 / RW 014
                                            Desa Karangjati, Kec. Pandaan
 Pasuruan                                   Jl. Panglima Sudirman No. 40A                                  Pasuruan
                                            Kel. Purworejo, Kec. Purworejo
 Ponorogo                                   Jl. Jendral Sudirman No. 1                                     Ponorogo
                                            Kel. Mangkujayan, Kec. Ponorogo
 Sidoarjo                                   Kompleks Ruko Gateway No. C1–C2                                Sidoarjo
                                            Jl. Raya Waru (Aloha)
                                            Desa Sawotratap, Kec. Gedangan
 Sidoarjo 2                                 Jl. Mojopahit No. 32B–32C                                      Sidoarjo
                                            Kel. Sidorake, Kec. Sidoarjo
 Tuban                                      Jl. Letda Sucipto No. 5A, Perbon                               Tuban
 Tulungagung                                Jl. W.R. Supratman No. 103                                     Tulungagung
                                            Kel. Kenayan, Kec. Tulungagung
 Bali
 Denpasar                                   Jl. Gatot Subroto Barat 170X                                   Denpasar
                                            Kec. Denpasar Barat
 Denpasar 3                                 Pertokoan Sudirman Agung Blok C7–8                             Denpasar
                                            Jl. Jendral Sudirman
                                            Kel. Panjer, Kec. Denpasar Selatan
 Buleleng                                   Jl. A. Yani No. 85C                                            Buleleng
                                            Kel. Kaliuntu, Kec. Buleleng
 Gianyar                                    Jl. Ciung Wanara No. 17                                        Gianyar
                                            Lingkungan Candi Baru
                                            Kel. Gianyar, Kec. Gianyar
 Tabanan                                    Jl. Ir. Soekarno                                               Tabanan
                                            Kel. Banjar Anyar, Kec. Kediri
 West Nusa Tenggara
 Mataram                                    Jl. Brawijaya No. 22–24                                        Mataram
                                            RT. 02, Lingk. Karang Kelebut
                                            Kel. Cakranegara Selatan
                                            Kec. Cakranegara




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                                                     SUSTAINABILITY         SUPPORTING DATA                               APPENDICES
   AND ANALYSIS               GOVERNANCE                                                           STATEMENTS




                     BRANCH                                           ADDRESS                                    CITY / REGENCY
    Lombok Barat                               Jl. Raya Dr. Sutomo No. 1A                                  Lombok Barat
                                               Desa Bekele, Kec. Gerung
    Manggarai                                  Jl. Wae Ces                                                 Manggarai
                                               RT 004 / RW 02
                                               Kel. Mbaumuku, Kec. Langke Rembong
    Sumbawa                                    Jl. Diponegoro No. 63                                       Sumbawa
                                               RT 002 / RW 010
                                               Kel. Bugis, Kec. Sumbawa
    East Nusa Tenggara
    Kupang                                     Jl. Frans Seda Blok G                                       Kupang
                                               RT 042 / RW 013
                                               Kel. Fatululi, Kec. Oebobo



   Sumatra

                     BRANCH                                           ADDRESS                                    CITY / REGENCY
    North Sumatra
    Medan                                      Jl. Ir. H. Juanda No. 26                                    Medan
                                               Lingkungan IV
                                               Kel. Sukadamai, Kec. Medan Polonia
    Medan 2                                    Jl. Bambu II No. 67 B–C                                     Medan
                                               Kel. Durian, Kec. Medan Timur
    Asahan                                     Jl. Sisingamangaraja No. 73                                 Asahan
                                               Kel. /Desa Kisaran Timur, Kec. Kota Kisaran Timur
    Binjai                                     Kompleks Ruko Surya Permai                                  Binjai
                                               Jl. T. Amir Hamzah No. 1L
    Karo                                       Jl. Veteran No. 57A                                         Karo
                                               Kel. Kampung Dalam, Kec. Kabanjahe
    Rantauprapat                               Kompleks M 88                                               Labuhanbatu
                                               Jl. Sisingamangaraja No. 10A–B
                                               Kel. Bakaran Batu, Kec. Rantau Selatan
    Padangsidimpuan                            Jl. Sudirman No. 8F                                         Padangsidimpuan
                                               Kel. Losung Batu Kec. Padangsidimpuan Utara
    Pematangsiantar                            Kompleks Megaland Blok N No. 10                             Pematangsiantar
                                               Jl. Sangnawaluh Kel. Siopat Hulu, Kec. Siantar Timur
    Riau
    Pekanbaru                                  Jl. Soekarno Hatta No. 88                                   Pekanbaru
                                               Kel. Delima, Kec. Tampan
    Pekanbaru 3                                Jl. Setiabudi No. 89–89A                                    Pekanbaru
    Air Molek – Indragiri Hulu                 Jl. Jend. Sudirman RT 02 / RW 01                            Indragiri Hulu
                                               Kel. Kembang Harum, Kec. Pasir Penyu
    Bagan Batu                                 Jl. Jendral Sudirman                                        Rokan Hilir
                                               Kel. Bagan Batu, Kec. Bagan Sinembah
    Dumai                                      Jl. Sultan Hasanuddin                                       Dumai
                                               RT 14 / RW 00
                                               Kel. Rimba Sekampung, Kec. Dumai Kota
    Pelalawan                                  Jl. Maharaja Indah RT 001 / RW 009                          Pelalawan
                                               Pangkalan Kerinci Kota
                                               Pangkalan Kerinci
    Ujung Batu                                 Jl. Sudirman Desa Ujung Batu Timur, Kec. Ujung              Rokan Hulu
                                               Batu




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ABOUT THIS REPORT                              REPORTS TO STAKEHOLDERS        COMPANY PROFILE
                         HIGHLIGHTS                                                                SUPPORTING UNITS




                    BRANCH                                               ADDRESS                                 CITY / REGENCY
 Kepulauan Riau
 Tanjung Pinang                             Jl. D.I. Panjaitan KM. 08                                      Tanjung Pinang
                                            Kel. Air Raja, Kec. Tanjung Pinang Timur
 Batam                                      Komplek King Business Center                                   Batam
                                            Blok B2 No. 9–10
                                            Jl. Raja Isa Batam Center
                                            Kel. Belian, Kec. Batam Kota
 Batam 2                                    Komp. Bumi Riau Makmur Blok A No. 9                            Batam
                                            Jl. Laksamana Bintan
                                            Kel. Sei Panas, Kec. Batam Kota
 West Sumatra
 Padang                                     Jl. Khatib Sulaiman No. 63D–E                                  Padang
                                            Kel. Lolong Belanti, Kec. Padang Utara
 Bukittinggi                                Jl. Raya Kapas Panji No. 49B                                   Bukittinggi
                                            Jambu Air, Nagari Taluak IV Suku
                                            Kec. Banuhampu, Agam
 Dharmasraya                                Jl. Lintas Sumatera Jorong                                     Dharmasraya
                                            Pasar Koto Baru
 Pasaman Barat                              Jl. Lintas Simpang Empat Manggopo 2 KM, Kompleks Pasaman Barat
                                            Gunung Tulas,
                                            Lintang Selatan, Jorong Simpang Empat Kenagarian
                                            Lingkuang Aua
                                            Kec. Pasaman
 Jambi
 Jambi                                      Jl. Prof. M. Yamin S.H. No. 65–66                              Jambi
                                            RT 29, Kel. Lebak Bandung, Kec. Jelutung
 Muara Bungo                                Jl. Sudirman No. 45–46                                         Muara Bungo
                                            RT 003 / RW 001
                                            Kel. Pasir Putih, Kec. Rimbo Tengah
 Muaro Jambi                                Jl. Lintas Timur, RT 16 / RW 02                                Muaro Jambi
                                            Kel. Sengeti, Kec. Sekernan
 Rimbo Bujang                               Jl. Pahlawan No. 91                                            Tebo
                                            RT 02 / RW 03
                                            Kel. Mandiri Agung, Kec. Rimbo Bujang
 Sarolangun                                 Jl. Lintas Sumatera Pasar Sarolangun No. 17 RT 06              Sarolangun
                                            Kel. Sukasari, Kec. Sarolangun
 South Sumatra
 Palembang                                  Kompleks Ruko Rajawali No. B3–B4                               Palembang
                                            RT 016 / RW 012
                                            Kel. 9 Ilir, Kec. Ilir Timur II
 Palembang 2                                Jl. Sultan Mahmud Badaruddin II No. 5 RT 20 / RW 04            Palembang
                                            Kel. Alang-Alang Lebar, Kec. Alang-Alang Lebar
 Baturaja                                   Jl. Dr. Moh. Hatta, RT 04 / RW 04                              Baturaja
                                            Kel. Sukaraya, Kec. Baturaja Timur
                                            Ogan Komering Ulu (OKU)
 Lahat                                      Jl. Kolonel Burlian No. 95                                     Lahat
                                            RT 09 / RW 03
                                            Kel. Bandar Agung, Kec. Lahat
 Pangkalan Balai                            Jl. Merdeka No. 2E RT 11 / RW 04 Kel. Pangkalan Balai,         Banyuasin
                                            Kec. Banyuasin III
 Prabumulih                                 Jl. Jend. Sudirman No. 10                                      Prabumulih
                                            Kel. Muara Dua, Kec. Prabumulih Timur




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                                                     SUSTAINABILITY         SUPPORTING DATA                            APPENDICES
   AND ANALYSIS               GOVERNANCE                                                        STATEMENTS




                     BRANCH                                           ADDRESS                                 CITY / REGENCY
    Bangka Belitung Islands
    Pangkal Pinang                             Kompleks Bangka Square (Ruko No. 2)                      Bangka Tengah
                                               Jl. Raya Koba KM. 5 No. 17
                                               Kec. Pangkalan Baru
    Belitung                                   Jl. Jend. Sudirman No. 32B                               Belitung
                                               RT 09 / RW 04
                                               Kel. Pangkal Lalang, Kec. Tanjung Pandan
    Lampung
    Bandar Lampung                             Jl. Gajah Mada No. 55                                    Bandar Lampung
                                               Kota Baru, Tanjung Karang Timur
    Bandar Jaya                                Jl. Proklamator Raya No. 28–29                           Lampung Tengah
                                               Kec. Terbanggi Besar, Bandar Jaya
    Metro                                      Jl. Jend. Sudirman No. 282                               Metro
                                               Kel. Imopuro, Kec. Metro Pusat
    Pringsewu                                  Jl. A. Yani, RT 012 / RW 01                              Pringsewu
                                               Kel. Pringsewu Utara, Kec. Pringsewu
    Tulang Bawang                              Jl. Lintas Timur Sumatera                                Tulang Bawang
                                               Kel. Dwi Warga Tunggal Jaya, Kec. Banjar Agung



   Kalimantan

                     BRANCH                                           ADDRESS                                 CITY / REGENCY
    West Kalimantan
    Pontianak                                  Jl. M. Sohor No. 45 Blok E–F                             Pontianak
                                               RT 05 / RW 02
                                               Kel. Akcaya, Kec. Pontianak Selatan
    Ketapang                                   Jl. DI Panjaitan Nomor 37                                Ketapang
                                               RT 002, RW 007
                                               Kel. Sampit, Kec. Delta Pawan
    Sanggau                                    Jl. Jenderal Sudirman No. 23                             Sanggau
                                               RT 22 / RW 08
                                               Kel. Beringin, Kec. Kapuas
    Sintang                                    Komplek Pertokoan Golden Square                          Sintang
                                               Jl. Lintas Melawi No. E6
                                               RT 003 / RW 001
                                               Kel. Ladang, Kec. Sintang
    Central Kalimantan
    Palangkaraya                               Jl. RTA Milono KM. 3,5 No. 6–7                           Palangkaraya
                                               Kel. Menteng, Kec. Pahandut
    Pangkalan Bun                              Jl. Pasanah (Kawitan 1), RT 23                           Pangkalan Bun
                                               Sidorejo
    Sampit                                     Jl. Jendral Sudirman KM. 1,5 No. 19                      Sampit
                                               RT 43 / RW 08
                                               Kel. Mentawa Baru Hulu, Kec. Mentawa Baru
                                               Ketapang
                                               Kotawaringin Timur




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 ABOUT THIS REPORT                               REPORTS TO STAKEHOLDERS        COMPANY PROFILE
                          HIGHLIGHTS                                                                 SUPPORTING UNITS




                     BRANCH                                                ADDRESS                                 CITY / REGENCY
  South Kalimantan
  Banjarmasin                                Jl. A. Yani KM. 7,8 No. 30                                      Banjarmasin
                                             Kertak Hanyar, Kab. Banjar
  Banjarbaru                                 Jl. Ahmad Yani KM. 34,500                                       Banjarbaru
                                             RT 003 / RW 002
                                             Kel. Komet, Kec. Banjarbaru Utara
  Tanah Bumbu                                Jl. Raya Batulicin, RT 3 / RW 1                                 Tanah Bumbu
                                             Desa Sejahtera
                                             Kampung Baru – Simpang Empat
  Tanjung                                    Jl. Ahmad Yani RT II                                            Tanjung
                                             Mabu’un Murung Pudak, Tabalong
  East Kalimantan
  Samarinda                                  Jl. D.I. Panjaitan, Ruko No. 5–6                                Samarinda
  Samarinda 2 Seberang                       Jl. Bung Tomo, RT 09                                            Samarinda
                                             Kel. Sungai Keledang, Kec. Samarinda Seberang
  Balikpapan                                 Jl. Jend. Sudirman No. 14/295,                                  Balikpapan
                                             RT 06 Kel. Damai,
                                             Kec. Balikpapan Selatan
  Berau                                      Jl. Pemuda, RT 09 Kel. Tanjung Redep, Kec. Tanjung              Berau
                                             Redep
  Bontang                                    Ruko Primagama                                                  Bontang
                                             Jl. Bhayangkara KM. 6 No. 16F
  Paser                                      Jl. Modang Rt 007 RW 02                                         Paser
                                             Kel. Tanah Grogot, Kec. Tanah Grogot
  Penajam Paser Utara                        Jl. Propinsi, RT 007, KM.18                                     Penajam Paser Utara
                                             Kel. Petung, Kec. Penajam
  Sengata                                    Jl. A.W. Syahrani, RT 04 / RW 01                                Kutai Timur
                                             Kel. Teluk Lingga, Kec. Sengata Utara
  Tenggarong                                 Jl. Patin No. 99B Tenggarong                                    Kutai Kartanegara
  North Kalimantan
  Bulungan                                   JL. Sengkawit No. 2                                             Bulungan
                                             RT 53 / RW 20
                                             Kel. Tanjung Selor, Kec. Tanjung Selor
  Tarakan                                    Jl. Gajah Mada No. 75                                           Tarakan
                                             Kel. Karang Anyar Pantai



 Sulawesi

                     BRANCH                                                ADDRESS                                 CITY / REGENCY
  North Sulawesi
  Manado                                     Jl. Bethesda No. 18                                             Manado
                                             Kel. Ranotana, Kec. Sario
  Bitung                                     Jl. Wolter Monginsidi No. 45                                    Bitung
                                             Kel. Girian Bawah, Kec. Girian
  Bolaang Mongondow Utara                    Jl. Trans Sulawesi Desa Bolang Itang Induk No. 26               Bolaang Mongondow
                                             Kec. Bolang Itang Barat                                         Utara
  Kotamobagu                                 Jl. Brigjen Katamso,                                            Kotamobagu
                                             Kel. Kotobangun




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                                                     SUSTAINABILITY           SUPPORTING DATA                          APPENDICES
   AND ANALYSIS               GOVERNANCE                                                        STATEMENTS




                     BRANCH                                            ADDRESS                                CITY / REGENCY
    Minahasa Selatan                           Lingkungan IV Kel. Uwuran I                              Minahasa Selatan
                                               Kec. Amurang
    Tahuna – Kepulauan Sangihe                 Jl. Raramenusa                                           Tahuna
                                               Kel. Sawang Bendar, Lingkungan III
    Tomohon                                    Jl. Samratulangi Lingkungan VI                           Tomohon
                                               Kel. Matani 3, Kec. Tomohon Tengah
    Gorontalo
    Gorontalo                                  Jl. Agus Salim No. 290                                   Gorontalo
                                               Kel. Wumialo, Kec. Kota Tengah
    Marisa                                     Graha Arwana, Jl. Trans Sulawesi                         Pohuwato
                                               Kel. Buntulia Selatan, Kec. Duhiada
    West Sulawesi
    Mamuju                                     Jl. Jenderal Sudirman No. 15                             Mamuju
                                               Kel. Simboro, Kec. Simboro
    Mamuju Utara                               Jl. Ir. Soekarno Kel. Pasangkayu,                        Mamuju Utara
                                               Kec. Pasangkayu
    Polewali Mandar                            Ruko Andi Depu No 151                                    Polewali Mandar
                                               Jl. H. Andi Depu
                                               Kel. Takkatidung, Kec. Polewali
    Central Sulawesi
    Tolitoli                                   Jl. Abdul Muis No. 16 Malosong                           Tolitoli
                                               Kel. Baru, Kec. Baolan
    Palu                                       Ruko Moh. Hatta Center                                   Palu
                                               Jl. Dr. Moh. Hatta No. 21D–E
                                               RT 11 / RW 03
                                               Kel. Besusu Tengah, Kec. Palu Timur
    Kotaraya                                   Jl. I Gusti Ngurah Rai                                   Parigi Moutong
                                               Desa Kotaraya, Kec. Mepanga
    Luwuk                                      Jl. Yos Sudarso No. 15                                   Banggai
                                               Kel. Karaton, Kec. Luwuk
    Parigi Moutong                             Jl. Trans Sulawesi                                       Parigi Moutong
                                               Kel. Bantaya, Kec. Parigi
    Poso                                       Jl. Pulau Sumba No. 7                                    Poso
                                               Kel. Gebangrejo, Kec. Poso Kota
    South Sulawesi
    Makassar                                   Jl. Hertasning Baru (Aeropala) No. 98                    Makassar
                                               Kel. Karunrung, Kec. Rappocini
    Makassar 2                                 Jl. Kima Raya 2 No. A20                                  Makassar
                                               Kel. Daya, Kec. Biringkanaya
    Bone                                       Jl. Ahmad Yani                                           Bone
                                               Kel. Jeppee, Kec. Tanete Riattang Barat
    Bulukumba                                  Jl. Samratulangi, Dusun Lajae                            Bulukumba
                                               Desa Polewali, Kec. Gantarang
    Gowa                                       Kompleks Yasmin Square No. YS8                           Gowa
                                               Jl. Tumanurung Raya
                                               Kel. Pandang-Pandang, Kec. Somba Opu
    Luwu Timur                                 Jl. Trans Sulawesi                                       Luwu Timur
                                               Desa Beringin Jaya, Kec. Tomoni
    Luwu Utara                                 Jl. Ahmad Yani No. 76, RT 1 / RW 1                       Luwu Utara
                                               Kel. Kappuna, Kec. Masamba
    Palopo                                     Jl. Kelapa Kel. Dangerakko,                              Palopo
                                               Kec. Wara




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ABOUT THIS REPORT                               REPORTS TO STAKEHOLDERS         COMPANY PROFILE
                         HIGHLIGHTS                                                                  SUPPORTING UNITS




                    BRANCH                                                ADDRESS                                  CITY / REGENCY
 Parepare                                   Jl. Bau Massepe No. 74                                           Parepare
                                            Kel. Ujung Sabbang, Kec. Ujung
 Toraja                                     Jl. Poros Makale – Rantepao No. 474A                             Tana Toraja
                                            Kel. Tambunan, Kec. Makale Utara
 Southeast Sulawesi
 Kendari                                    Jl. Brigjend. Moh. Yunus Bypass                                  Kendari
 Bau-Bau                                    Jl. Bataraguru No. 39                                            Bau-Bau
                                            Kel. Wajo, Kec. Murhum
 Kolaka                                     Jl. Dr. Sutomo No. 51                                            Kolaka
                                            Kel. Lamokato, Kec. Kolaka
 Konawe                                     Jl. Sapati No. 15D                                               Konawe
                                            Kel. Tumpas, Kec. Unaha



 Maluku & Papua

                    BRANCH                                                ADDRESS                                  CITY / REGENCY
 Maluku
 Ambon                                      Perumahan Citraland The Arkade                                   Ambon
                                            Blok 06–07
                                            Jl. Wolter Monginsidi
                                            Kel. Lateri, Kec. Baguala
 Maluku Tengah                              Jl. Abdullah Soulissa No. 20                                     Masohi
                                            RT 02 / RW 03
                                            Kel. Namaelo, Kec. Amahai
 North Maluku
 Ternate                                    Jl. Cempaka I No. 342                                            Ternate
                                            RT 013, RW 03
                                            Kel. Tanah Tinggi, Kec. Ternate Selatan
 Tobelo                                     Jl. Kemakmuran Desa Rawajaya, Kec. Tobelo                        Halmahera Utara


 West Papua
 Manokwari                                  Jl. Trikora Wosi, Ruko No. 3                                     Manokwari
                                            RT 01 / RW 12
                                            Kel. Wosi, Kec. Manokwari Barat
 Southwest Papua
 Sorong                                     Jl. Basuki Rahmat KM. 8                                          Sorong
                                            RT 01 / RW 08
                                            Kel. Klabulu, Kec. Malaimsimsa
 Papua
 Jayapura                                   Komplek Ruko No. 11–12                                           Jayapura
                                            Jl. Amphibi Hamadi Kel. Argapura, Kec. Jayapura
                                            Selatan
 Biak Numfor                                Jl. Selat Sunda No. 07, Fandoi, Biak                             Biak Numfor
 Central Papua
 Nabire                                     Jl. Merdeka No. 69                                               Nabire
                                            Kel. Karang Mulia, Kec. Nabire
 South Papua
 Merauke                                    Ruko Parako No. 03                                               Merauke
                                            Jl. Parakomando, RT 001 / RW 001
                                            Kel. Mandala, Kec. Merauke




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                                                      SUSTAINABILITY         SUPPORTING DATA                          APPENDICES
   AND ANALYSIS               GOVERNANCE                                                       STATEMENTS




   Kiosk
   Java, Bali & Nusa Tenggara

                      KIOSK                                            ADDRESS                               CITY / REGENCY
    Jakarta Special Region
    Matraman                                   Galur Sari Raya No. 26A Blok R                          Jakarta Timur
                                               RT 02 / RW 01
                                               Kel. Utan Kayu Selatan, Kec. Matraman
    Pasar Rebo                                 Jl. Raya PKP No. 69                                     Jakarta Timur
                                               RT 10 / RW 08
                                               Kel. Kelapa Dua Wetan, Kec. Ciracas
    Tebet                                      Gedung Regatama Blok A No. 106                          Jakarta Selatan
                                               Jl. Pariaman Kel. Manggarai,
                                               Kec. Setiabudi
    Kembangan                                  Jl. Kembangan Utara Nomor 10                            Jakarta Barat
                                               RT 002, RW 002
                                               Kel. Kembangan Utara, Kec. Kembangan

    Banten

    Batuceper                                  Jl. Raya Poris Indah RT 02 / RW 03                      Tangerang
                                               Kel. Poris Indah, Kec. Batuceper
    Jatiuwung                                  Jl. Raya Gatot Subroto                                  Tangerang
                                               Kp. Jatake, RT 006 / RW 002
                                               Kel. Jatake, Kec. Jatiuwung
    Larangan                                   Jl. Inpres 14 No. 1 RT 03 / RW 04                       Tangerang
                                               Kel. Gaga, Kec. Larangan
    Ciputat Timur                              Jl. W.R. Supratman No. 3                                Tangerang Selatan
                                               RT 01 / RW 08
                                               Kel. Cempaka Putih, Kec. Ciputat Timur
    Serpong Utara                              Jl. Jelupang Raya No. 14 RT 003, RW 002                 Tangerang Selatan
                                               Kel. Lengkong Karya, Kec. Serpong Utara

    West Java

    Bekasi Timur                               Jl. Pengasinan, RT 002 / RW 001                         Bekasi
                                               Kel. Pengasinan Jaya,
                                               Kec. Rawalumbu
    Karang Bahagia                             Kp. Sukamantri RT 06 / RW 01                            Bekasi
                                               Desa Sukaraya, Kec. Karang Bahagia
    Bogor Utara                                Jl. KS. Tubun RT 1 / RW 3, No. 141                      Bogor
                                               Kel. Cibuluh, Kec. Bogor Utara
    Bojong Gede                                Gelonggong Tengah RT 04 / RW 07                         Bogor
                                               Kel. Kedungwaringin, Kec. Bojonggede
    Parung                                     Jl. Raya Parung RT 001 / RW 006                         Bogor
                                               Kel. Parung, Kec. Parung
    Klari                                      Perumahan Puri Kosambi Blok B No. 4                     Karawang
                                               Desa Duren, Kec. Klari

    East Java

    Tenggilis Mejoyo                           Jl. Raya Rungkut Kidul No. 54                           Surabaya
                                               RT 001 / RW 005
                                               Kel. Rungkut Kidul, Kec. Rungkut
    Kepanjen                                   Ruko C Dusun                                            Malang
                                               Jl. Raya Dawuhan, Ds Dawuhan
                                               Kel. Jatirejoyoso, Kec. Kepanjen
    Driyorejo                                  Jl. Raya Driyorejo No. 127                              Gresik
                                               Kel. Driyorejo




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                     KIOSK                                               ADDRESS                                 CITY / REGENCY
  Menganti                                  Jl. Raya Bringkang, RT 003 / RW 002                            Gresik
                                            Kec. Menganti
  Mojosari                                  Jl. Airlangga Nomor 91B                                        Mojokerto
                                            RT 004 / RW 001
                                            Desa Kauman, Kec. Mojosari
  Porong                                    Jl. Joyo Leksono                                               Sidoarjo
                                            RT 2 / RW 2
                                            Ds. Lajuk Porong, Kec. Porong
  Taman                                     Ruko Graha Matahari Blok C1–3                                  Sidoarjo
                                            Kel. Bebekan Timur, Kec. Taman



 Kalimantan

                     KIOSK                                               ADDRESS                                 CITY / REGENCY
  West Kalimantan
  Pontianak Timur                           Jl. Tanjung Raya 2 No. 99                                      Pontianak
                                            RT 004 / RW 002
                                            Kel. Saigon, Kec. Pontianak Timur
  South Kalimantan
  Alalak                                    Jl. Handil Bakti RT 9                                          Barito Kuala
                                            Kel. Handil Bakti, Kec. Alalak
  Barabai                                   Jl. H Abdul Muis Ridhani No. 42                                Hulu Sungai Tengah
                                            RT XI / RW 004
                                            Kel. Barabai Timur, Kec. Barabai


 Sulawesi

  North Sulawesi
  Tuminting                                 Jl. Pogidon Raya No. 103                                       Manado
                                            Kel. Tumumpa Satu Lingk I
                                            Kec. Tuminting
  Mapanget                                  Jl. A. A. Maramis                                              Manado
                                            Kel. Paniki Bawah Ling. III Kec. Mapanget
  Bolaang / Inobonto                        Jl. AKD Trans Sulawesi Lingkungan VII                          Bolaang Mongondow
                                            Kel. Inobonto I, Kec. Bolaang

  Gorontalo

  Limboto                                   Jl. K. H. Wahid Hasyim, RT 008 / RW 03 Desa                    Gorontalo
                                            Kayubulan, Kec. Limboto


 Maluku & Papua

  Maluku
  Teluk Ambon                               Jl. Ir. Putuhena No. 3                                         Ambon
                                            RT 007 / RW 004
                                            Kel. Wayame, Kec. Teluk Ambon



 Southwest Papua

                     KIOSK                                               ADDRESS                                 CITY / REGENCY
  Sorong Barat                              Jl. Buncis RT 09 / RW 11                                       Sorong
                                            Kel. Walawele, Kec. Aimas




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                                                     SUSTAINABILITY        SUPPORTING DATA                          APPENDICES
   AND ANALYSIS               GOVERNANCE                                                     STATEMENTS




   Sharia Representative Branches

                     BRANCH                                           ADDRESS                              CITY / REGENCY
    Java, Bali & Nusa Tenggara
                                               Jl. Lapangan Bola No. 1–1A
    Jakarta Meruya Syariah                                                                           Jakarta Barat
                                               Kel. Kebon Jeruk, Kec. Kebon Jeruk
                                               Rukan Puri Mutiara Blok A No. 80
    Jakarta Sunter Syariah                                                                           Jakarta Utara
                                               Jl. Utama Griya, Sunter
                                               Rukan Grand Orchard Square Blok C/20
    Jakarta Utara Syariah                      Jl. Terusan Kelapa Hybrida                            Jakarta Utara
                                               Kel. Sukapura, Kec. Cilincing
                                               Jl. Dewi Sartika No. 292F
    Jakarta Timur Syariah                      RT 004 / RW 005                                       Jakarta Timur
                                               Kel. Cawang, Kec. Kramat Jati
                                               Komplek Pertokoan Duta Mas
                                               Blok B2 No. 7
    Jakarta Selatan Syariah                                                                          Jakarta Selatan
                                               Jl. R.S. Fatmawati
                                               Kel. Cipete, Kec. Kebayoran Baru
                                               Jl. Imam Bonjol No. 279–281
    Tangerang Syariah                          RT 01 / RW 04                                         Tangerang
                                               Kel. Bojong Jaya, Kec. Karawaci
                                               Ruko Bidex Blok F No. 18
                                               Jl. Pahlawan Seribu
    Tangerang Selatan Syariah                                                                        Tangerang Selatan
                                               RT 001 / RW 004
                                               Kel. Lengkong Gudang, Kec. Serpong
                                               Kompleks Ruko Suncity Square
    Bekasi Syariah                             Blok A No. 46–47                                      Bekasi
                                               Jl. Mayor Hasibuan, Margajaya
                                               Jl. Raya Tajur No. 118E–F
    Bogor Syariah                              RT 001 / RW 006                                       Bogor
                                               Kel. Pakuan, Kec. Bogor Selatan
                                               Jl. Tuparev No. 115A
    Cirebon Syariah                                                                                  Cirebon
                                               Desa Kertawinangun Kec. Kedawung
                                               Ruko Margonda Residen No. 12A–14
    Depok Syariah                                                                                    Depok
                                               Jl. Margonda Raya Kav. 461
                                               Jl. SoekarNo. Hatta No. 472
    Bandung Syariah                                                                                  Bandung
                                               Kel. Batu Nunggal, Kec. Bandung Kidul
                                               Jl. Brawijaya No. 4 RT 02 / RW 12
    Sukabumi Syariah                                                                                 Sukabumi
                                               Kel. Sriwidari, Kec. Gunung Puyuh
                                               Kompleks Pertokoan Plaza Asia
                                               Blok B No. 12A
    Tasikmalaya Syariah                                                                              Tasikmalaya
                                               Jl. H.Z. Mustofa
                                               Kel. Tugujaya, Kec. Cihideung
                                               Jl. Jendral Ahmad Yani No. 73 Bypass
    Karawang Syariah                           RT 04 / RW 12                                         Karawang
                                               Kel. Karangpawitan, Kec. Karawang Barat
                                               Jl. Gerilya Timur No. 35
    Purwokerto Syariah                         Ruko No. 3                                            Banyumas
                                               Kel. Teluk, Kec. Purwokerto Selatan
                                               Jl. Raya Kedungmundu
    Semarang Syariah                           RT 01 / RW 25                                         Semarang
                                               Kel. Sendangmulyo, Kec. Tembalang
                                               Jl. Ahmad Yani
    Kudus Syariah                              Ruko Bitingan Indah B-07 & B-08                       Kudus
                                               Kel. Panjunan, Kec. Kota Kudus




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 ABOUT THIS REPORT                              REPORTS TO STAKEHOLDERS        COMPANY PROFILE
                          HIGHLIGHTS                                                                SUPPORTING UNITS




                     BRANCH                                               ADDRESS                                 CITY / REGENCY
                                             Jl. R.M. Said No. 160C
  Solo Syariah                               RT 002 / RW 003                                                Surakarta
                                             Kel. Punggawan, Kec. Banjarsari
                                             Ruko Monjali Permai Kav. 2
  Yogyakarta Syariah                         Jl. Monjali RT 011 / RW 034                                    Yogyakarta
                                             Desa Sinduadi, Kec. Mlati
                                             Jl. Ngagel Jaya No. 39
  Surabaya Syariah                                                                                          Surabaya
                                             Kel. Pucung Sewu, Kec. Gubeng
                                             Ruko Green Garden Regency A2-03 & A2-04
  Gresik Syariah                                                                                            Gresik
                                             Desa Dahanrejo, Kec. Kebomas
                                             Kompleks Pertokoan Hayam Wuruk Trade Center
  Kediri Syariah                             Blok C No. 8                                                   Kediri
                                             Jl. Hayam Wuruk
                                             Jl. R. Tumenggung Suryo No. 42, Kavling B, C, D
  Malang Syariah                                                                                            Malang
                                             Kel. Bunulrejo, Kec. Blimbing
                                             Ruko Kranggan Permai Blok A 05–06
  Mojokerto Syariah                          Jl. Pahlawan Kel. Kranggan,                                    Mojokerto
                                             Kec. Prajurit Kulon
                                             Ruko Gateway Blok C-1 & C-2
  Sidoarjo Syariah                           Jl. Raya Waru (Aloha)                                          Sidoarjo
                                             Desa Sawotratap, Kec. Gedangan
                                             Jl. Brawijaya No. 22–24
  Mataram Syariah                            RT 02, Lingk. Karang Kelebut                                   Mataram
                                             Kel. Cakranegara Selatan, Kec. Cakranegara
  Sumatra
                                             Jl. Ir. H. Djuanda No. 26
  Medan Syariah                              Lingkungan IV                                                  Medan
                                             Kel. Sukadamai, Kec. Medan Polonia
                                             Jl. Khatib Sulaiman No. 63D–E
  Padang Syariah                                                                                            Padang
                                             Kel. Belanti Timur, Kec. Padang Utara
                                             Ruko King Business Center
  Batam Syariah                              Blok B2 No. 9–10 Jl. Raja Isa                                  Batam
                                             Kel. Belian, Kec. Batam Kota
                                             Jl. Raya Kapas Panji No. 49B
  Bukittinggi Syariah                                                                                       Agam
                                             Kel. Jambu Air, Kec. Banuhampu
                                             Jl. Setiabudi No. 88–89A
  Pekanbaru Syariah                                                                                         Pekanbaru
                                             Kel. Rintis, Kec. Lima Puluh
                                             Jl. Prof. M. Yamin S.H. No. 65–66
  Jambi Syariah                              RT 29 Kel. Lebak Bandung,                                      Jambi
                                             Kec. Jelutung
                                             Kompleks Ruko Rajawali No. B3–B4
  Palembang Syariah                          RT 016, RW 012 Kel. 9 Ilir,                                    Palembang
                                             Kec. Ilir Timur II
                                             Jl. Gajah Mada No. 55 Kel. Kota Baru, Kec.Tanjung
  Lampung Syariah                                                                                           Bandar Lampung
                                             Karang Timur




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Page 301
   MANAGEMENT DISCUSSION      GOOD CORPORATE                                                    ANNUAL FINANCIAL
                                                      SUSTAINABILITY         SUPPORTING DATA                           APPENDICES
   AND ANALYSIS               GOVERNANCE                                                        STATEMENTS




                     BRANCH                                             ADDRESS                               CITY / REGENCY
    Kalimantan
                                               Jl. M. Sohor No. 45 RT 05 / RW 02
    Pontianak Syariah                                                                                   Pontianak
                                               Kel. Akcaya, Kec. Pontianak Selatan
                                               Jl. RTA Milono KM. 3,5 No. 6–7
    Palangkaraya Syariah                                                                                Palangkaraya
                                               Kel. Menteng, Kec. Jekan Raya
                                               Jl. A. Yani KM. 7,8 No. 30
    Banjarmasin Syariah                        Kel. Manarap Lama,                                       Banjarmasin
                                               Kec. Kertak Hanyar
                                               Jl. D.I. Panjaitan, Ruko No. 5–6
    Samarinda Syariah                          Kel. Sungai Pinang Dalam                                 Samarinda
                                               Kec. Samarinda Utara
                                               Jl. Jenderal Sudirman No. 14/295
    Balikpapan Syariah                         RT 06 Kel. Damai,                                        Balikpapan
                                               Kec. Balikpapan Selatan
    Sulawesi
                                               Jl. Agus Salim No. 290
    Gorontalo Syariah                                                                                   Gorontalo
                                               Kel. Wumialo, Kec. Kota Tengah
                                               Jl. Hertasning Baru (Aeropala)
    Makassar Syariah                                                                                    Makassar
                                               Kel. Karunrung, Kec. Rappocini
                                               Jl. Brigjend. Moh. Yunus
    Kendari Syariah                                                                                     Kendari
                                               Kel. Bende, Kec. Baruga
    Maluku & Papua
                                               Jl. Cempaka I Nomor 342
    Ternate Syariah                                                                                     Ternate
                                               RT 013 / RW 03 Kel. Tanah Tinggi, Kec. Ternate Selatan
                                               Jl. Basuki Rahmat KM. 8
    Sorong Syariah                             RT 01 / RW 08                                            Sorong
                                               Kel. Klabulu, Kec. Malaimsimsa




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                   299
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                        2023 PERFORMANCE                                                          BUSINESS
ABOUT THIS REPORT                               REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                        HIGHLIGHTS                                                                SUPPORTING UNITS




GLOSSARY
 3P                 Profit, People, Planet
 AEI                Asosiasi Emiten Indonesia (Indonesian Public-Listed Companies Association)
 AFTECH             Indonesia Fintech Association
 AGMS               Annual General Meeting of Shareholders
 AISI               Asosiasi Industri Sepeda Motor Indonesia (Association of Indonesia Motorcycle Industry)
 AML-CFT-           Anti-Money Laundering, Combating the Financing of Terrorism, and Countering Proliferation
 CPF                Financing of Weapons of Mass Destruction
 APINDO             Asosiasi Pengusaha Indonesia (Indonesian Employers’ Association)
 APOLO              Aplikasi Pelaporan Online OJK (OJK’s Online Reporting Application)
 APPI               Asosiasi Perusahaan Pembiayaan Indonesia (Indonesian Financial Services Association or IFSA)
 B2B                Business-to-Business
 B2B2C              Business-to-Business-to-Consumer
 B2C                Business-to-Consumer
 BATC               BFI Agile Thought Community
 BFIN               BFI Finance ticker symbol
 BI                 Bank Indonesia, Business Intelligence (Power BI)
 BI7DRR             Bank Indonesia 7-day (Reverse) Repo Rate
 BIK                Bulan Inklusi Keuangan (Financial Inclusion Month)
 BOC                Board of Commissioners
 BOD                Board of Directors
 BPD                Bank Pembangunan Daerah (Regional Development Bank)
 BPJS               Badan Penyelenggara Jaminan Sosial (Social Security Administration Agency)
 BPSK               Badan Penyelesaian Sengketa Konsumen (Consumer Dispute Settlement Agency)
 BSD                Bumi Serpong Damai (a city area in Tangerang Selatan, Banten Province)
 CA                 Credit Analyst, Chartered Accountant
 CBD                Central Business District
 CEO                Chief Executive Officer
 CFO                Chief Financial Officer
 CHCO               Chief Human Capital Officer
 CMO                Chief Marketing Officer
 COO                Chief Operating Officer
 COP                Car Ownership Program
 Covid-19           Coronavirus Disease 2019
 CPA                Certified Public Accountant
 CPO                crude palm oil
 CRO                Chief Risk Officer
 CS                 Customer Service
 CSI                Customer Satisfaction Index
 CSR                Corporate Social Responsibility
 DKI                Daerah Khusus Ibukota (Special Capital Region of Jakarta)
 DSAK IAI           Dewan Standar Akuntansi Keuangan Ikatan Akuntan Indonesia (Financial Accounting Standards
                    Board (FASB) of the Institute of Indonesia Chartered Accountants)




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   MANAGEMENT DISCUSSION       GOOD CORPORATE                                               ANNUAL FINANCIAL
                                                   SUSTAINABILITY        SUPPORTING DATA                        APPENDICES
   AND ANALYSIS                GOVERNANCE                                                   STATEMENTS




    DSN-MUI            Dewan Syariah Nasional-Majelis Ulama Indonesia (National Sharia Board-Indonesian Ulema
                       Council)
    e-GMS              Electronic-General Meeting of Shareholders
    e-KYC              Electronic-Know Your Customer
    EGMS               Extraordinary General Meeting of Shareholders
    ERM                Enterprise Risk Management
    ESG                Environmental, Social, and Governance
    EV                 electric vehicle
    FAR                Financing-to-Asset Ratio
    FGD                Focus Group Discussion
    FIT                PT Finansial Integrasi Teknologi (subsidiary)
    G20                Group of Twenty
    GAIKINDO           Gabungan Industri Kendaraan Bermotor Indonesia (The Association of Indonesia Automotive
                       Industries)
    GCG                Good Corporate Governance
    GDP                Gross Domestic Product
    GMS                General Meeting of Shareholders
    G.R.E.A.T.         Company Core Values
    HAV                Human Asset Value
    HC                 Human Capital
    HR                 Human Resources
    IAI                Ikatan Akuntan Indonesia (Institute of Indonesia Chartered Accountants)
    IAPI               Ikatan Akuntan Publik Indonesia (Indonesian Institute of Certified Public Accountants)
    IDX                Indonesia Stock Exchange (Bursa Efek Indonesia or BEI)
    IHSG               Indeks Harga Saham Gabungan (Composite Share Price Index)
    IFAS               Interpretation of Financial Accounting Standards
    IFRS               International Financial Reporting Standards
    IICD               Indonesian Institute for Corporate Directorship
    IIRC               International Integrated Reporting Council
    IKNB               Industri Keuangan Non-Bank (Non-Bank Financial Institutions)
    IMBT               Ijarah Muntahiyah Bittamlik (Islamic Lease Agreement)
    IMC                Integrated Marketing Communication
    IMF                International Monetary Fund
    IPO                Initial Public Offering
    IR                 Integrated Reporting
    ISO                International Organization for Standardization
    IT                 Information Technology
    ITE                Informasi dan Transaksi Elektronik (Information and Electronic Transactions)
    KBLI               Klasifikasi Baku Lapangan Usaha Indonesia (Indonesian Business Field Standard Classification)
    KNKG               Komite Nasional Kebijakan Governance (National Committee on Governance Policy)
    KPI                Key Performance Indicator




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                        2023 PERFORMANCE                                                       BUSINESS
 ABOUT THIS REPORT                           REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                        HIGHLIGHTS                                                             SUPPORTING UNITS




  KSEI               Kustodian Sentral Efek Indonesia (Indonesian Central Securities Depository)
  KYC                Know Your Customer
  LAPS SJK           Lembaga Alternatif Penyelesaian Sengketa Sektor Jasa Keuangan (Alternative Institution for
                     Settlement of Financial Services Sector Disputes)
  LDP                Leadership Development Program
  LSP                Lembaga Sertikasi Profesi (Professional Certification Body)
  MCB                Mandatory Convertible Bond
  M.Kn.              Magister Kenotariatan (Master of Notary Affairs)
  M.H.               Magister Hukum (Master of Law)
  M-BEAT             Mobile BFI Edustream and Training
  MESOP              Management and Employee Stock Ownership Program
  MIS                Management Information System
  MOP                Motorcycle Ownership Program
  MPV                Multipurpose Vehicle
  MSMEs              Micro, Small, and Medium Enterprises
  MTN                Medium Term Notes
  NDF                Non-Dealer Financing
  NPF                Non-Performing Financing
  NPS                Net Promoter Score
  OHS                Occupational Health and Safety
  OHSMS              Occupational Health and Safety Management System
  OJK                Otoritas Jasa Keuangan (Financial Services Authority)
  P2P                peer-to-peer
  PB-UMKU            Perizinan Berusaha untuk Menunjang Kegiatan Usaha (Business Permit to Support Business
                     Activities)
  PBF                Property-Backed Financing
  PEPs               Politically Exposed Persons
  PG                 Personal Grade
  PMO                Project Management Office
  POJK               Peraturan Otoritas Jasa Keuangan (Financial Services Authority Regulation or OJK Regulation)
  PPATK              Pusat Pelaporan dan Analisis Transaksi Keuangan (Financial Transaction Reporting and Analysis
                     Center)
  PPL                Pendidikan Profesional Berkelanjutan (Continuing Professional Education)
  PPPK               Pusat Pembinaan Profesi Keuangan (Financial Profession Development Center)
  PT                 Perseroan Terbatas (Limited Liability Company)
  QR                 Quick Response (QR code)
  RAKB               Rencana Aksi Keuangan Berkelanjutan (Sustainable Finance Action Plan)
  RAPINDO            PT Rapi Utama Indonesia
  RI                 Republic of Indonesia
  ROAA               Return on Average Assets
  ROAE               Return on Average Equity
  Rp                 rupiah
  S.E.               Sarjana Ekonomi (Bachelor of Economics)
  S.H.               Sarjana Hukum (Bachelor of Law)




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   MANAGEMENT DISCUSSION       GOOD CORPORATE                                                ANNUAL FINANCIAL
                                                   SUSTAINABILITY       SUPPORTING DATA                          APPENDICES
   AND ANALYSIS                GOVERNANCE                                                    STATEMENTS




    SBU                Sharia Business Unit
    SDGs               Sustainable Development Goals
    SEOJK              Surat Edaran Otoritas Jasa Keuangan (Financial Services Authority Circular or OJK Circular)
    SFAS               Statement of Financial Accounting Standards
    SIC                Service Insight Community
    SIPENDAR           Sistem Informasi Terduga Pendanaan Terorisme (Information System for Suspected Terrorism
                       Financing)
    SIPESAT            Sistem Informasi Penggunaan Jasa Terpadu (Integrated Service Usage Information System)
    SK                 Surat Keputusan (Decree)
    SLA                Service Level Agreement
    SMEs               Small and Medium-sized Enterprises
    SMS                Short Message Service
    SOP                Standard Operating Procedure
    SPPI               PT Sertifikasi Profesi Pembiayaan Indonesia
    SR                 Sustainability Report
    SRA                Sectoral Risk Assessment
    SSB                Sharia Supervisory Board
    TC SARL            Trinugraha Capital
    TCC                Trinugraha Capital & Co SCA
    TDPSE              Tanda Daftar Penyelenggara Sistem Elektronik (Electronic System Operator Registration
                       Certificate)
    THR                Tunjangan Hari Raya (Holiday Allowance)
    TICMI              The Indonesia Capital Market Institute
    TOR                Terms of Reference
    UBO                Ultimate Beneficial Owner
    USD                United States dollar
    UU PT              Undang-Undang Perseroan Terbatas (Law on Limited Liability Companies)
    VTO                Voluntary Tender Offer




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                             303
Page 306
09
ANNUAL FINANCIAL
STATEMENTS




304      PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 307
   Leading the Industry
   We firmly believe that robust growth and consistent performance
   provides added value for stakeholders and pave the way for success
   in every transformative step we take.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk            305
Page 308
      PT BFI FINANCE INDONESIA Tbk
           DAN ENTITAS ANAKNYA/AND ITS SUBSIDIARY

             LAPORAN KEUANGAN KONSOLIDASIAN/
            CONSOLIDATED FINANCIAL STATEMENTS

        UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023/
           FOR THE YEAR ENDED 31 DECEMBER 2023
                          DAN/AND
                LAPORAN AUDITOR INDEPENDEN/
               INDEPENDENT AUDITORS’ REPORT




306                                 PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 309
          PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                 PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
                   LAPORAN KEUANGAN KONSOLIDASIAN                               CONSOLIDATED FINANCIAL STATEMENTS
           UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                          FOR THE YEAR ENDED 31 DECEMBER 2023




                               DAFTAR ISI                                                    CONTENTS




      Pernyataan Direksi                                                                                  Directors’ Statement

                                                               Ekshibit/
                                                                Exhibit


      Laporan Posisi Keuangan Konsolidasian                       A                 Consolidated Statement of Financial Position


      Laporan Laba Rugi dan Penghasilan Komprehensif                                Consolidated Statement of Profit or Loss and
         Lain Konsolidasian                                       B                             Other Comprehensive Income


      Laporan Perubahan Ekuitas Konsolidasian                     C                 Consolidated Statement of Changes in Equity


      Laporan Arus Kas Konsolidasian                              D                       Consolidated Statement of Cash Flows


      Catatan atas Laporan Keuangan Konsolidasian                 E               Notes to the Consolidated Financial Statement


      Laporan Auditor Independen                                                                 Independent Auditors’ Report




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                               307
Page 310
                   SURAT PERNYATAAN DIREKSI                                                         DIRECTORS’ STATEMENT
                 TENTANG TANGGUNG JAWAB ATAS                                                   REGARDING THE RESPONSIBILITY OF
                LAPORAN KEUANGAN KONSOLIDASIAN                                            THE CONSOLIDATED FINANCIAL STATEMENTS
        PADA TANGGAL DAN UNTUK TAHUN YANG BERAKHIR                                              AS OF AND FOR THE YEAR ENDED
                        31 DESEMBER 2023                                                               31 DECEMBER 2023
       PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                                PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY

     Kami yang bertanda tangan di bawah ini:                                      We, the undersigned:
1.       Nama                :    Francis Lay Sioe Ho                            1.    Name                    : Francis Lay Sioe Ho
         Alamat Kantor       :    BFI Tower - Sunburst CBD Lot 1.2                     Office Address          : BFI Tower - Sunburst CBD Lot 1.2
                                  Jl. Kapt. Soebijanto Djojohadikusumo                                           Jl. Kapt. Soebijanto Djojohadikusumo,
                                  BSD City, Tangerang Selatan, 15322                                             BSD City, Tangerang Selatan, 15322
         Alamat Rumah        :    Jl. Duta Indah II No 6, RT 001                       Residential             : Jl. Duta Indah II No 6, RT 001
                                  RW 014 Pondok Pinang Kebayoran                       Address                   RW 014, Pondok Pinang Kebayoran
                                  Lama, Jakarta Selatan                                                          Lama, Jakarta Selatan
         Nomor Telepon       :    021 - 2965 0300, 2965 0500                           Telephone               : 021 - 2965 0300, 2965 0500
         Jabatan             :    Presiden Direktur                                    Title                   : President Director
2.       Nama                :    Sudjono                                        2.    Name                    : Sudjono
         Alamat Kantor       :    BFI Tower - Sunburst CBD Lot 1.2                     Office Address          : BFI Tower - Sunburst CBD Lot 1.2
                                  Jl. Kapt. Soebijanto Djojohadikusumo                                           Jl. Kapt. Soebijanto Djojohadikusumo,
                                  BSD City, Tangerang Selatan, 15322                                             BSD City, Tangerang Selatan, 15322
         Alamat Rumah        :    Taman Provence, Blok 3 A9 No. 36                     Residential             : Taman Provence, Blok 3 A9 No. 36
                                  RT 002 RW 025, Kelurahan Lengkong                    Address                   RT 002 RW 025, Kelurahan Lengkong
                                  Wetan, Kecamatan Serpong,                                                      Wetan, Kecamatan Serpong,
                                  Tangerang Selatan                                                              Tangerang Selatan
         Nomor Telepon       :    021 - 2965 0300, 2965 0500                           Telephone               : 021 - 2965 0300, 2965 0500
         Jabatan             :    Direktur                                             Title                   : Director
     menyatakan bahwa:                                                            declare that:

1.       Kami bertanggung jawab atas penyusunan dan penyajian laporan            1.    We are responsible for the preparation and presentation of
         keuangan konsolidasian PT BFI Finance Indonesia Tbk dan Entitas               PT BFI Finance Indonesia Tbk and its Subsidiary’s consolidated
         Anaknya;                                                                      financial statements;

2.       Laporan keuangan konsolidasian PT BFI Finance Indonesia Tbk             2.    PT BFI Finance Indonesia Tbk and its Subsidiary’s consolidated
         dan Entitas Anaknya telah disusun dan disajikan sesuai dengan                 financial statements have been prepared and presented in
         Standar Akuntansi Keuangan di Indonesia;                                      accordance with the Indonesian Financial Accounting Standards;

3.a.     Semua informasi dalam laporan keuangan konsolidasian                   3.a.   All information contained in PT BFI Finance Indonesia Tbk and
         PT BFI Finance Indonesia Tbk dan Entitas Anaknya telah dimuat                 its Subsidiary’s consolidated financial statements have been
         secara lengkap dan benar;                                                     disclosed in a complete and truthful manner;
 b.      Laporan keuangan konsolidasian PT BFI Finance Indonesia Tbk              b.   PT BFI Finance Indonesia Tbk and its Subsidiary’s consolidated
         dan Entitas Anaknya tidak mengandung informasi atau fakta                     financial statements do not contain misleading material
         material yang tidak benar, dan tidak menghilangkan informasi                  information or facts, and do not omit material information and
         atau fakta material;                                                          facts;

4.       Kami bertanggung jawab atas sistem pengendalian internal                4.    We are responsible for PT BFI Finance Indonesia Tbk and its
         dalam PT BFI Finance Indonesia Tbk dan Entitas Anaknya.                       Subsidiary’s internal control system.
     Demikian pernyataan ini dibuat dengan sebenarnya.                            We certify the accuracy of this statement.


                                       Atas nama dan mewakili Direksi / For and on behalf of the Board of Directors
                                         Tangerang Selatan, 23 Februari 2024 / South Tangerang, 23 February 2024




                                          Francis Lay Sioe Ho                                           Sudjono
                                 Presiden Direktur / President Director                            Direktur / Director
Page 311
   MANAGEMENT DISCUSSION        GOOD CORPORATE                                                                 ANNUAL FINANCIAL
                                                        SUSTAINABILITY          SUPPORTING DATA                                            APPENDICES
   AND ANALYSIS                 GOVERNANCE                                                                     STATEMENTS




                                                                                       These Consolidated Financial Statements are Originally Issued
                                                                                                         in Indonesian Language

                                                                Ekshibit A                                                                     Exhibit A

          PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                             PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
               LAPORAN POSISI KEUANGAN KONSOLIDASIAN                                   CONSOLIDATED STATEMENT OF FINANCIAL POSITION
                        PER 31 DESEMBER 2023                                                       AS OF 31 DECEMBER 2023
          (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                (Expressed in millions of Rupiah, unless otherwise stated)


                                                        Catatan/          31 Desember/December
                                                         Notes            2023           2022
      ASET                                                                                                                                        ASSETS

      KAS DAN SETARA KAS                                 2e,f,4            1.739.659          1.073.255                 CASH AND CASH EQUIVALENTS

      PIUTANG PEMBIAYAAN                                                                                                       FINANCING RECEIVABLES
       – setelah dikurangi cadangan kerugian                                                                       – net of allowance for impairment
         penurunan nilai sebesar Rp 764.120                                                                                  losses of Rp 764,120 and
         dan Rp 833.435 pada tanggal                    2e,g,h,i,                                                      Rp 833,435 as of 31 December
         31 Desember 2023 dan 2022                         5              20.706.393         19.554.254                                 2023 and 2022

      PIUTANG IJARAH DAN IMBT                                                                                          IJARAH AND IMBT RECEIVABLES
       – setelah dikurangi cadangan kerugian                                                                       – net of allowance for impairment
         penurunan nilai sebesar Rp 1.047                                                                               losses of Rp 1,047 and Rp 329
         dan Rp 329 pada tanggal                                                                                                   as of 31 December
         31 Desember 2023 dan 2022                      2e,j,n,6              52.769               7.767                                2023 and 2022

      PIUTANG LAIN-LAIN – PIHAK KETIGA                   2e,k,7              250.715             162.635        OTHER RECEIVABLES – THIRD PARTIES

      ASET DERIVATIF                                    2e,l,w,8              56.657             103.056                            DERIVATIVE ASSETS

      BEBAN DIBAYAR DI MUKA DAN                                                                                                PREPAID EXPENSES AND
        UANG MUKA                                         2m,9                34.437              24.767                                ADVANCES

      ASET TETAP                                                                                                                        FIXED ASSETS
       – setelah dikurangi akumulasi penyusutan                                                                - net of accumulated depreciation of
         sebesar Rp 624.202 dan Rp 556.597 pada                                                                     Rp 624,202 and Rp 556,597 as of
         tanggal 31 Desember 2023 dan 2022               2o,10               720.827             659.145                 31 December 2023 and 2022

      ASET HAK-GUNA                                                                                                             RIGHT-OF-USE ASSETS
       - setelah dikurangi akumulasi penyusutan                                                                - net of accumulated depreciation of
         sebesar Rp 76.631 dan Rp 66.900 pada                                                                         Rp 76,631 and Rp 66,900 as of
         tanggal 31 Desember 2023 dan 2022               2p,11                41.025              38.419                 31 December 2023 and 2022

      ASET TAKBERWUJUD                                                                                                            INTANGIBLE ASSETS
       – setelah dikurangi akumulasi amortisasi                                                                - net of accumulated amortization of
         sebesar Rp 174.496 dan Rp 120.637 pada                                                                     Rp 174,496 and Rp 120,637 as of
         tanggal 31 Desember 2023 dan 2022               2q,12               255.166             139.499                 31 December 2023 and 2022

      ASET PAJAK TANGGUHAN                               2r,14c              131.963            164.029                         DEFERRED TAX ASSETS

      ASET LAIN-LAIN                                       2e                  1.824               2.808                                 OTHER ASSETS

      JUMLAH ASET                                                         23.991.435         21.929.634                                  TOTAL ASSETS




           Lihat Catatan atas Laporan Keuangan Konsolidasian pada              See accompanying Notes to Consolidated Financial Statements on
      Ekshibit E terlampir yang merupakan bagian yang tidak terpisahkan                     Exhibit E which are an integral part of
           dari Laporan Keuangan Konsolidasian secara keseluruhan                   the Consolidated Financial Statements taken as a whole




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                           309
Page 312
                           2023 PERFORMANCE                                                                   BUSINESS
 ABOUT THIS REPORT                                 REPORTS TO STAKEHOLDERS           COMPANY PROFILE
                           HIGHLIGHTS                                                                         SUPPORTING UNITS




                                                                             These Consolidated Financial Statements are Originally Issued
                                                                                                  in Indonesian Language

                                                      Ekshibit A/2                                                                 Exhibit A/2

   PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                           PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
        LAPORAN POSISI KEUANGAN KONSOLIDASIAN                                 CONSOLIDATED STATEMENT OF FINANCIAL POSITION
                 PER 31 DESEMBER 2023                                                     AS OF 31 DECEMBER 2023
    (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                (Expressed in millions of Rupiah, unless otherwise stated)


                                                 Catatan/        31 Desember/December
                                                  Notes           2023          2022

LIABILITAS DAN EKUITAS                                                                                               LIABILITIES AND EQUITY

LIABILITAS                                                                                                                        LIABILITIES
Pinjaman yang diterima – Pihak ketiga            2e,s,x,13          8.665.860        10.246.908              Fund borrowings – Third parties
Surat berharga yang diterbitkan                                                                                              Securities issued
 - setelah dikurangi biaya emisi surat                                                                     - net of unamortized securities
   berharga yang belum diamortisasi                                                                              issuance cost of Rp 9,225
   sebesar Rp 9.225 dan Rp 3.510 pada                                                                                   and Rp 3,510 as of
   tanggal 31 Desember 2023 dan 2022              2e,t,15           4.720.775         1.581.490                31 December 2023 and 2022
Beban akrual                                      2e,x,16             324.121           479.299                             Accrued expenses
Utang dividen                                     2ac,18                  788             1.522                            Dividend payables
Utang pajak                                       2r,14a              199.717           263.269                                 Taxes payable
Utang lain-lain – Pihak ketiga                     2e,19              437.423           489.352                 Other payables – Third parties
Liabilitas imbalan pasca-kerja                     2u,17              142.955           111.885           Post-employment benefit liabilities

JUMLAH LIABILITAS                                                 14.491.639         13.173.725                            TOTAL LIABILITIES

EKUITAS                                                                                                                             EQUITY
Ekuitas yang dapat diatribusikan                                                                           Equity attributable to owners
 kepada pemilik entitas induk                                                                                              of the parent
Modal saham - nilai nominal                                                                                     Share capital – par value of
    Rp 25 (nilai penuh) per saham                                                                         Rp 25 (full amount) per share
    Modal dasar -                                                                                                   Authorized capital –
      20.000.000.000 saham                                                                                     20,000,000,000 shares
    Modal ditempatkan dan disetor                                                                         Issued and fully paid capital -
       penuh – 15.967.115.620 saham                 20                399.178           399.178                15,967,115,620 shares
Tambahan modal disetor - neto                       21                609.459           609.459             Additional paid-in capital – net
Saham treasuri                                     2z,20             (232.957)         (232.957)                             Treasury stock
Penghasilan komprehensif lain                                                                                 Other comprehensive income
    Keuntungan (kerugian) kumulatif atas                                                         Cummulative gain (losses) on derivative
       instrumen derivatif untuk lindung nilai                                                             instrument for cash flows
       arus kas – neto                            2l,8,33                666            (10.267)                         hedges – net
    Keuntungan pengukuran kembali                                                                            Gain on remeasurement of
      program aktuarial manfaat pasti            2u,17,33             64.537             73.020    defined benefit actuarial program
Saldo laba                                                                                                               Retained earnings
    Telah ditentukan penggunaannya                                    120.000           115.000                         Appropriated
    Belum ditentukan penggunaannya                                  8.538.215         7.801.690                      Unappropriated

                                                                    9.499.098         8.755.123
Kepentingan nonpengendali                                                 698               786                     Non-controlling interests

JUMLAH EKUITAS                                                      9.499.796         8.755.909                                  TOTAL EQUITY

JUMLAH LIABILITAS DAN EKUITAS                                     23.991.435         21.929.634              TOTAL LIABILITIES AND EQUITY




                                Tangerang Selatan, 23 Februari 2024 / South Tangerang, 23 February 2024




                                                                 Sudjono
                                                            Direktur/ Director




     Lihat Catatan atas Laporan Keuangan Konsolidasian pada             See accompanying Notes to Consolidated Financial Statements on
Ekshibit E terlampir yang merupakan bagian yang tidak terpisahkan                    Exhibit E which are an integral part of
     dari Laporan Keuangan Konsolidasian secara keseluruhan                  the Consolidated Financial Statements taken as a whole




310                                                                              PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 313
   MANAGEMENT DISCUSSION         GOOD CORPORATE                                                            ANNUAL FINANCIAL
                                                        SUSTAINABILITY       SUPPORTING DATA                                           APPENDICES
   AND ANALYSIS                  GOVERNANCE                                                                STATEMENTS




                                                                                These Consolidated Financial Statements are Originally Issued
                                                                                                  in Indonesian Language

                                                           Ekshibit B                                                                  Exhibit B

       PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                         PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
               LAPORAN LABA RUGI DAN PENGHASILAN                                 CONSOLIDATED STATEMENT OF PROFIT OR LOSS
                KOMPREHENSIF LAIN KONSOLIDASIAN                                        AND OTHER COMPREHENSIVE INCOME
                   UNTUK TAHUN YANG BERAKHIR                                                   FOR THE YEAR ENDED
                        31 DESEMBER 2023                                                        31 DECEMBER 2023
      (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)              (Expressed in millions of Rupiah, unless otherwise stated)


                                                          Catatan/       31 Desember/December
                                                           Notes           2023        2022
      PENDAPATAN                                                                                                                           INCOME
      Piutang pembiayaan                                2e,g,h,v,22       5.933.842      5.052.248                            Financing receivables
      Keuangan                                             2e,v              82.564         22.870                                         Finance
      Syariah                                           2e,i,j,v,23         108.662         65.157                                           Sharia
      Lain-lain                                          2e,o,v,24          228.045        242.735                                          Others
      Jumlah Pendapatan                                                   6.353.113      5.383.010                                   Total Income
      BEBAN                                                                                                                             EXPENSES
      Gaji dan tunjangan                                2u,v,25,29       (1.457.103 )   (1.324.648 )                         Salaries and benefits
      Beban bunga dan keuangan                          2e,s,t,v,26        (951.310 )     (624.099 )               Interest and financing charges
      Umum dan administrasi                            2m,o,p,q,r,27       (870.505 )     (771.052 )                  General and administrative
      Cadangan kerugian penurunan nilai                                                                          Provision for impairment losses
         Piutang pembiayaan                                2e,v,5          (785.034 )     (367.235 )                    Financing receivables
         Piutang ijarah dan IMBT                           2e,v,6            (1.015 )          (223 )            Ijarah and IMBT receivables
      Lain-lain                                          2e,v,28,37        (262.894)        (57.072)                                       Others

      Jumlah Beban                                                        (4.327.861)   (3.144.329)                                Total Expenses

      LABA SEBELUM PAJAK                                                  2.025.252      2.238.681                            PROFIT BEFORE TAX

      Beban Pajak Penghasilan                              2r,14b          (381.453)      (432.002)                        Income Tax Expenses


      LABA TAHUN BERJALAN                                                 1.643.799      1.806.679                        PROFIT FOR THE YEAR

      PENGHASILAN KOMPREHENSIF LAIN                                                                           OTHER COMPREHENSIVE INCOME

      Pos-pos yang akan                                                                                                        Items that will be
        direklasifikasi ke laba rugi                                                                             reclassified to profit or loss
        Bagian efektif atas perubahan                                                                       Effective portion of the fair value
           nilai wajar instrumen derivatif - lindung                                                               change of the derivative
           nilai arus kas                                 2l,8,33            13.498            26.409         instrument - cash flow hedge
        Pajak penghasilan terkait                         14c,33             (2.565)           (5.018)                    Related income tax
                                                                             10.933            21.391
      Pos-pos yang tidak akan                                                                                             Items that will not be
        direklasifikasi ke laba rugi                                                                            reclassified to profit or loss
        Kerugian pengukuran kembali                                                                                 Loss on remeasurement of
           program aktuarial manfaat pasti               2u,17,33            (10.468)          (8.979)   defined benefit actuarial program
        Pajak penghasilan terkait                         14c,33               1.986            1.713                     Related income tax
                                                                              (8.482)          (7.266)

      PENGHASILAN KOMPREHENSIF LAIN                                                                           OTHER COMPREHENSIVE INCOME
        TAHUN BERJALAN – Setelah Pajak                                        2.451            14.125           FOR THE YEAR – Net of Tax


      JUMLAH LABA KOMPREHENSIF                                                                                 TOTAL COMPREHENSIVE INCOME
        TAHUN BERJALAN                                                    1.646.250      1.820.804                        FOR THE YEAR




        Lihat Catatan atas Laporan Keuangan Konsolidasian pada            See accompanying Notes to Consolidated Financial Statements on
   Ekshibit E terlampir yang merupakan bagian yang tidak terpisahkan                   Exhibit E which are an integral part of
        dari Laporan Keuangan Konsolidasian secara keseluruhan                 the Consolidated Financial Statements taken as a whole




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                    311
Page 314
                            2023 PERFORMANCE                                                                    BUSINESS
   ABOUT THIS REPORT                                 REPORTS TO STAKEHOLDERS            COMPANY PROFILE
                            HIGHLIGHTS                                                                          SUPPORTING UNITS




                                                                               These Consolidated Financial Statements are Originally Issued
                                                                                                  in Indonesian Language

                                                    Ekshibit B/2                                                                     Exhibit B/2

 PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                            PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
         LAPORAN LABA RUGI DAN PENGHASILAN                                    CONSOLIDATED STATEMENT OF PROFIT OR LOSS
          KOMPREHENSIF LAIN KONSOLIDASIAN                                           AND OTHER COMPREHENSIVE INCOME
             UNTUK TAHUN YANG BERAKHIR                                                      FOR THE YEAR ENDED
                  31 DESEMBER 2023                                                           31 DECEMBER 2023
(Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                 (Expressed in millions of Rupiah, unless otherwise stated)

                                                      Catatan/       31 Desember/December
                                                       Notes           2023         2022

LABA TAHUN BERJALAN YANG DAPAT                                                                                          PROFIT FOR THE YEAR
  DIATRIBUSIKAN KEPADA:                                                                                               ATTRIBUTTABLE TO:

  Pemilik entitas induk                                                1.643.888          1.806.680                   Owners of the parent
  Kepentingan nonpengendali                                                  (89)                (1)               Non-controlling interests

                                                                       1.643.799          1.806.679

JUMLAH LABA KOMPREHENSIF                                                                                              TOTAL COMPREHENSIVE
   TAHUN BERJALAN YANG DAPAT                                                                                       INCOME FOR THE YEAR
   DIATRIBUSIKAN KEPADA:                                                                                             ATTRIBUTTABLE TO:
  Pemilik entitas induk                                                1.646.338          1.820.807                   Owners of the parent
  Kepentingan nonpengendali                                                  (88)                (3)               Non-controlling interests

                                                                       1.646.250          1.820.804

LABA PER SAHAM DASAR                                                                                                BASIC EARNINGS PER SHARE
   (nilai penuh)                                       2ab,32                  109              121                           (full amount)




                                Tangerang Selatan, 23 Februari 2024 / South Tangerang, 23 February 2024




                                                                 Sudjono
                                                            Direktur/ Director




      Lihat Catatan atas Laporan Keuangan Konsolidasian pada             See accompanying Notes to Consolidated Financial Statements on
 Ekshibit E terlampir yang merupakan bagian yang tidak terpisahkan                    Exhibit E which are an integral part of
      dari Laporan Keuangan Konsolidasian secara keseluruhan                  the Consolidated Financial Statements taken as a whole




 312                                                                                 PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 315
                                                                                                                                                                                                          These Consolidated Financial Statements are Originally Issued in Indonesian Language
                                                                                                                                                                                                                                                                                                                       AND ANALYSIS




                                                                                                                                                                        Ekshibit C                                                                                                                      Exhibit C

                                                                                   PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                                                                              PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
                                                                                CATATAN ATAS LAPORAN PERUBAHAN EKUITAS KONSOLIDASIAN                                                                      NOTES TO THE CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
                                                                                                                                                                                                                                                                                                                       MANAGEMENT DISCUSSION




                                                                                     UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                                                                      FOR THE YEAR ENDED 31 DECEMBER 2023
                                                                                       (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                                                              (Expressed in millions of Rupiah, unless otherwise stated)

                                                                                                                                  Ekuitas yang dapat diatribusikan kepada pemilik entitas induk/Equity attributable to owners of the parent
                                                                                                                                                      Keuntungan        Keuntungan
                                                                                                                                                        (kerugian)       (kerugian)
                                                                                                                                                     kumulatif atas     pengukuran
                                                                                                                                                        instrumen          kembali
                                                                                                                                                                                                                                                                                                                       GOVERNANCE




                                                                                                                                                    derivatif untuk       program
                                                                                                                                                      lindung nilai       aktuarial
                                                                                                                                                                                                                                                                                                                       GOOD CORPORATE




                                                                                                                        Tambahan                    arus kas - neto/ manfaat pasti/
                                                                                                                          modal                        Cumulative      Gain (loss) on                                         Jumlah sebelum
                                                                                                                         disetor                          loss on     remeasurement         Saldo laba/Retained earnings        kepentingan
                                                                                                          Modal          - neto/          Saham        derivative        of defined           Telah              Belum        nonpengendali/         Kepentingan          Jumlah
                                                                                                         saham/         Additional      treasuri/      instrument          benefit         ditentukan         ditentukan       Total before         nonpengendali/        ekuitas/
                                                                                              Catatan/    Share          paid-in        Treasury     for cash flows       actuarial     penggunaannya/ penggunaannya/         non-controlling       Non-controlling        Total
                                                                                               Notes     capital       capital - net       stock      hedges - net        program        Appropriated       Unappropriated        interests            interests           equity

                                                               Saldo per 31 Desember 2022                399.178            609.459     (232.957)          (10.267)          73.020            115.000          7.801.690           8.755.123                   786       8.755.909 Balance as of 31 December 2022




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk
                                                               Jumlah penghasilan
                                                                                                                                                                                                                                                                                                                           SUSTAINABILITY




                                                                komprehensif                                                                                                                                                                                                                    Total comprehensive
                                                                 tahun berjalan                                                                                                                                                                                                               income for the year
                                                                  Laba tahun berjalan                              -               -            -                 -                -                  -         1.643.888           1.643.888                   (89)      1.643.799             Profit for the year
                                                                  Penghasilan
                                                                    komprehensif lain,                                                                                                                                                                                                       Other comprehensive
                                                                    setelah pajak:                                                                                                                                                                                                          income, net of tax:
                                                                    Bagian yang
                                                                      efektif dari                                                                                                                                                                                                            Effective portion
                                                                      lindung nilai                                                                                                                                                                                                            of cash flows
                                                                      arus kas                  2l,8               -               -            -           10.933                 -                  -                  -             10.933                     -          10.933                   hedges
                                                                    Kerugian
                                                                                                                                                                                                                                                                                                                           SUPPORTING DATA




                                                                      pengukuran kembali                                                                                                                                                                                                 Loss on remeasurement
                                                                      program aktuarial                                                                                                                                                                                                    of defined benefit
                                                                      manfaat pasti            2u,17               -               -            -                 -           (8.483)                 -                  -              (8.483)                   1           (8.482)       actuarial program
                                                                                                                   -               -            -           10.933            (8.483)                 -         1.643.888           1.646.338                   (88)      1.646.250
                                                               Penyisihan saldo laba                                                                                                                                                                                                              Appropriation for
                                                                 untuk cadangan umum            18                 -               -            -                 -                -             5.000             (5.000)                      -                     -              -           general reserve

                                                               Dividen tunai tahun 2022       2ac,18               -               -            -                 ---              -                  -          (481.260)           (481.260)                        -    (481.260)           Cash dividend of 2022

                                                               Dividen tunai interim                                                                                                                                                                                                           Interim cash dividend
                                                                                                                                                                                                                                                                                                                       STATEMENTS




                                                                  tahun berjalan                                   -               -            -                -                 -                  -          (421.103)           (421.103)                        -    (421.103)                  for the year
                                                                                                                                                                                                                                                                                                                       ANNUAL FINANCIAL




                                                               Saldo per 31 Desember 2023                399.178            609.459     (232.957)              666           64.537            120.000          8.538.215           9.499.098                   698       9.499.796 Balance as of 31 December 2023




                                                                            Lihat Catatan atas Laporan Keuangan Konsolidasian pada Ekshibit E terlampir                                                                 See accompanying Notes to Consolidated Financial Statements
                                                                                         yang merupakan bagian yang tidak terpisahkan dari                                                                                        on Exhibit E which are an integral part of
                                                                                                                                                                                                                                                                                                                           APPENDICES




                                                                                       dari Laporan Keuangan Konsolidasian secara keseluruhan                                                                              the Consolidated Financial Statements taken as a whole




313
Page 316
                                                                                                                                                                                                                        These Consolidated Financial Statements are Originally Issued in Indonesian Language




314
                                                                                                                                                                     Ekshibit C/2                                                                                                               Exhibit C/2

                                                                                   PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                                                                             PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
                                                                                                                                                                                                                                                                                                                     ABOUT THIS REPORT




                                                                                CATATAN ATAS LAPORAN PERUBAHAN EKUITAS KONSOLIDASIAN                                                                     NOTES TO THE CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
                                                                                     UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                                                                     FOR THE YEAR ENDED 31 DECEMBER 2023
                                                                                     (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                                                               (Expressed in millions of Rupiah, unless otherwise stated)
                                                                                                                     Ekuitas yang dapat diatribusikan kepada pemilik entitas induk/Equity attributable to owners of the parent
                                                                                                                                                    Keuntungan      Keuntungan
                                                                                                                                                     (kerugian)      (kerugian)
                                                                                                                                                  kumulatif atas    pengukuran
                                                                                                                                                     instrumen         kembali
                                                                                                                                                                                                                                                                                                                  HIGHLIGHTS




                                                                                                                                                  derivatif untuk     program
                                                                                                                                                   lindung nilai      aktuarial
                                                                                                                       Tambahan                  arus kas - neto/ manfaat pasti/
                                                                                                                                                                                                                                                                                                                  2023 PERFORMANCE




                                                                                                                         modal                      Cumulative     Gain (loss) on                                       Jumlah sebelum
                                                                                                                        disetor                    gain (loss) on remeasurement       Saldo laba/Retained earnings        kepentingan
                                                                                                        Modal           - neto/       Saham          derivative      of defined          Telah             Belum         nonpengendali/     Kepentingan         Jumlah
                                                                                                       saham/          Additional    treasuri/      instrument         benefit        ditentukan        ditentukan        Total before     nonpengendali/       ekuitas/
                                                                                            Catatan/    Share           paid-in      Treasury     for cash flows      actuarial     penggunaannya/ penggunaannya/        noncontrolling    Noncontrolling        Total
                                                                                             Notes     capital        capital - net    Stock       hedges - net       program        Appropriated     Unappropriated        interests         interests          equity

                                                               Saldo per 31 Desember 2021              399.178            553.286    (252.160 )         (31.658)          80.284           110.000         6.570.757         7.429.687                539       7.430.226      Balance as of 31 December 2021

                                                               Jumlah penghasilan
                                                                 komprehensif                                                                                                                                                                                                            Total comprehensive
                                                                 tahun berjalan                                                                                                                                                                                                        income for the year
                                                                 Laba tahun berjalan                             -               -           -                 -                -                 -        1.806.680         1.806.680                  (1) 1.806.679                    Profit for the year
                                                                 Penghasilan
                                                                                                                                                                                                                                                                                                                     REPORTS TO STAKEHOLDERS




                                                                    komprehensif lain,                                                                                                                                                                                                Other comprehensive
                                                                    setelah pajak:                                                                                                                                                                                                   income, net of tax:
                                                                    Bagian yang efektif
                                                                      dari lindung nilai                                                                                                                                                                                        Effective portion of cash
                                                                      arus kas                2l,8               -               -           -           21.391 ))              -                 -                 -            21.391                     -      21.391                flows hedges
                                                                    Kerugian
                                                                     pengukuran kembali                                                                                                                                                                                          Loss on remeasurement
                                                                     program aktuarial                                                                                                                                                                                             of defined benefit
                                                                     manfaat pasti           2u,17               -               -           -                 -           (7.264)                -                 -            (7.264)                (2)        (7.266)          actuarial program
                                                                                                                 -               -           -           21.391            (7.264)                -        1.806.680         1.820.807                  (3) 1.820.804
                                                                                                                                                                                                                                                                                                                     COMPANY PROFILE




                                                               Penerbitan saham entitas                                                                                                                                                                                                Issuance of subsidiary’s
                                                                 anak kepada kepentingan                                                                                                                                                                                                      share to non-
                                                                 nonpengendali                                                                                                                                                                        250             250              controlling interests
                                                               Penyisihan saldo laba           18                                                                                                                                                                                           Appropriation for
                                                                 untuk cadangan umum                             -               -           -                 ---              -            5.000            (5.000)                 -                     -              -               general reserve

                                                               Dividen tunai tahun 2021      2ac,18              -               -           -                 ---              -                 -         (570.747)          (570.747)                    -    (570.747)              Cash dividend of 2021
                                                                                                                                                                                                                                                                                                                  BUSINESS




                                                               Program kepemilikan saham                                                                                                                                                                                            Management and employee
                                                                  oleh manajemen dan                                                                                                                                                                                              stock ownership program
                                                                  karyawan                                       -         56.173      19.203                  ---              -                 -                 -            75.376                     -      75.376
                                                                                                                                                                                                                                                                                                                  SUPPORTING UNITS




                                                               Saldo per 31 Desember 2022              399.178            609.459    (232.957 )         (10.267)          73.020           115.000         7.801.690         8.755.123                786       8.755.909      Balance as of 31 December 2022



                                                                                    Lihat Catatan atas Laporan Keuangan Konsolidasian pada Ekshibit E terlampir                                                     See accompanying Notes to Consolidated Financial Statements
                                                                                                 yang merupakan bagian yang tidak terpisahkan dari                                                                            on Exhibit E which are an integral part of
                                                                                              dari Laporan Keuangan Konsolidasian secara keseluruhan                                                                   the Consolidated Financial Statements taken as a whole




PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 317
   MANAGEMENT DISCUSSION         GOOD CORPORATE                                                                 ANNUAL FINANCIAL
                                                         SUSTAINABILITY           SUPPORTING DATA                                           APPENDICES
   AND ANALYSIS                  GOVERNANCE                                                                     STATEMENTS




                                                                                         These Consolidated Financial Statements are Originally Issued
                                                                                                            in Indonesian Language

                                                                  Ekshibit D                                                                    Exhibit D

          PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                                PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
                   LAPORAN ARUS KAS KONSOLIDASIAN                                            CONSOLIDATED STATEMENT OF CASH FLOWS
                     UNTUK TAHUN YANG BERAKHIR                                                         FOR THE YEAR ENDED
                           31 DESEMBER 2023                                                              31 DECEMBER 2023
            (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                     (Expressed in millions of Rupiah, unless otherwise stated)


                                                         Catatan/          31 Desember/December
                                                           Notes            2023          2022

      ARUS KAS DARI AKTIVITAS OPERASI                                                                       CASH FLOWS FROM OPERATING ACTIVITIES
      Penerimaan kas dari:                                                                                                         Cash received from:
        Transaksi pembiayaan                                              24.472.851        22.232.359                       Financing transactions
        Pembiayaan bersama                                                   646.855           105.581                               Joint financing
        Penghasilan bunga bank dan deposito                                                                             Interest income from banks
           berjangka                                                          80.744            24.211                        and time deposits
        Lain-lain                                                            212.989           243.739                                        Others

      Pengeluaran kas untuk:                                                                                                       Cash disbursement for:
        Transaksi pembiayaan baru                                         (21.292.704)     (23.346.729)                     New financing transactions
        Beban umum dan administrasi                                        (2.223.972)      (1.757.063)                     General and administrative
        Pembiayaan bersama                                  31a              (255.576)         (47.050)                                  Joint financing
        Beban bunga dan keuangan                                             (964.384)        (629.813)                  Interest and financing charges
        Pajak penghasilan                                                    (400.126)        (346.829)                                    Income taxes

      Arus kas bersih dari (untuk) aktivitas operasi                         276.677        (3.521.594) Net cash flows from (for) operating activities

      ARUS KAS DARI AKTIVITAS INVESTASI                                                                      CASH FLOWS FROM INVESTING ACTIVITIES
      Hasil penjualan aset tetap                             10               27.380            31.632               Proceeds from sale of fixed assets
      Perolehan aset tetap                                   10             (192.943)         (164.033)                     Acquisition of fixed assets
      Perolehan aset takberwujud                             12             (169.526)         (105.798)                 Acquisition of intangible assets

      Arus kas bersih untuk aktivitas investasi                             (335.089)         (238.199)          Net cash flows for investing activities

      ARUS KAS DARI AKTIVITAS PENDANAAN                                                                      CASH FLOWS FROM FINANCING ACTIVITIES
      Penerimaan kas dari:                                                                                                         Cash received from:
        Pinjaman yang diterima                             13,34           4.988.647        10.327.231                              Fund borrowings
        Surat berharga yang diterbitkan                                    3.800.000                 -                              Securities issued
        Penerimaan setoran modal dari kepentingan                                                                    Receipts of paid-in capital from
             nonpengendali                                                          -               250                 noncontrolling interests
      Pengeluaran kas untuk:                                                                                                    Cash disbursement for:
        Pinjaman yang diterima                             13,34           (6.506.468)      (4.982.868)                            Fund borrowings
        Pelunasan pokok surat berharga                                                                                     Repayment of securities
            yang diterbitkan                               15,34            (655.000)         (910.000)                          issued principal
        Dividen tunai                                                       (902.363)         (570.747)                              Cash dividend

      Arus kas bersih dari aktivitas pendanaan                               724.816         3.863.866         Net cash flows from financing activities

      KENAIKAN NETO                                                                                                                  NET INCREASE IN
        KAS DAN SETARA KAS                                                                                            CASH AND CASH EQUIVALENTS
        (Saldo dipindahkan)                                                  666.404           104.073                   (Balance brought-forward)




                  Lihat Catatan atas Laporan Keuangan Konsolidasian                      See accompanying Notes to Consolidated Financial Statements
        pada Ekshibit E terlampir yang merupakan bagian yang tidak terpisahkan                     on Exhibit E which are an integral part of
               dari Laporan Keuangan Konsolidasian secara keseluruhan                       the Consolidated Financial Statements taken as a whole




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                         315
Page 318
                            2023 PERFORMANCE                                                                     BUSINESS
  ABOUT THIS REPORT                                    REPORTS TO STAKEHOLDERS          COMPANY PROFILE
                            HIGHLIGHTS                                                                           SUPPORTING UNITS




                                                                                 These Consolidated Financial Statements are Originally Issued
                                                                                                     in Indonesian Language

                                                       Ekshibit D/2                                                                    Exhibit D/2

   PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                              PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
            LAPORAN ARUS KAS KONSOLIDASIAN                                          CONSOLIDATED STATEMENT OF CASH FLOWS
              UNTUK TAHUN YANG BERAKHIR                                                       FOR THE YEAR ENDED
                    31 DESEMBER 2023                                                            31 DECEMBER 2023
       (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                    (Expressed in millions of Rupiah, unless otherwise stated)



                                               Catatan/       31 Desember/December
                                                Notes          2023          2022

KENAIKAN NETO                                                                                                                 NET INCREASE IN
  KAS DAN SETARA KAS                                                                                           CASH AND CASH EQUIVALENTS
 (Saldo pindahan)                                                  666.404          104.073                         (Balance carry-forward)

                                                                                                                  CASH AND CASH EQUIVALENTS
KAS DAN SETARA KAS PADA AWAL TAHUN                             1.073.255            969.182                          AT BEGINNING OF YEAR

KAS DAN SETARA KAS PADA                                                                                           CASH AND CASH EQUIVALENTS
  AKHIR TAHUN                                                  1.739.659          1.073.255                                AT END OF YEAR



KAS DAN SETARA KAS                                                                                                CASH AND CASH EQUIVALENTS
  TERDIRI DARI:                                                                                                                 CONSIST OF:
Kas dan bank                                       4               897.633          803.732                           Cash on hand and in banks
Deposito berjangka                                 4               842.026          269.523                                      Time deposits

                                                               1.739.659          1.073.255




            Lihat Catatan atas Laporan Keuangan Konsolidasian                    See accompanying Notes to Consolidated Financial Statements
  pada Ekshibit E terlampir yang merupakan bagian yang tidak terpisahkan                   on Exhibit E which are an integral part of
         dari Laporan Keuangan Konsolidasian secara keseluruhan                     the Consolidated Financial Statements taken as a whole




 316                                                                                PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 319
   MANAGEMENT DISCUSSION         GOOD CORPORATE                                                         ANNUAL FINANCIAL
                                                        SUSTAINABILITY     SUPPORTING DATA                                          APPENDICES
   AND ANALYSIS                  GOVERNANCE                                                             STATEMENTS




                                                                           These Consolidated Financial Statements are Originally Issued
                                                                                             in Indonesian Language

                                                            Ekshibit E                                                            Exhibit E

        PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                   PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
         CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                      NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
          UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                            FOR THE YEAR ENDED 31 DECEMBER 2023
        (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)         (Expressed in millions of Rupiah, unless otherwise stated)

      1. UMUM                                                            1. GENERAL

          a.   Pendirian dan Informasi Umum Perusahaan                     a. Establishment and General Information of the Company

               PT BFI Finance Indonesia Tbk (“Perusahaan”) didirikan           PT BFI Finance Indonesia Tbk (the “Company”) was
               dengan nama PT Manufacturers Hanover Leasing                    established as PT Manufacturers Hanover Leasing
               Indonesia pada tanggal 7 April 1982 berdasarkan Akta            Indonesia on 7 April 1982 based on Notarial Deed No. 57 of
               No. 57 yang dibuat di hadapan Kartini Muljadi, S.H.,            Kartini Muljadi, S.H., Notary in Jakarta. The deed of
               Notaris di Jakarta. Akta pendirian tersebut telah               establishment was approved by the Minister of Justice of
               memperoleh persetujuan dari Menteri Kehakiman                   the Republic of Indonesia in its decision letter
               Republik    Indonesia     melalui     Surat  Keputusan          No. C2-2091-HT01.01.TH82 dated 28 October 1982 and was
               No. C2-2091-HT01.01.TH82 tanggal 28 Oktober 1982 dan            published in the State Gazette No. 102, dated
               telah diumumkan dalam Lembaran Berita Negara                    21 December 1982, Supplement No. 1390. Based on
               No. 102 tanggal 21 Desember 1982, Tambahan No. 1390.            Notarial Deed No. 54 of Inge Hendarmin, S.H., a substitute
               Berdasarkan Akta No. 54 yang dibuat di hadapan Inge             of Kartini Muljadi, S.H., Notary in Jakarta dated
               Hendarmin, S.H., pengganti dari Kartini Muljadi, S.H.,          17 September 1986, the Company’s name changed from
               Notaris di Jakarta tanggal 17 September 1986, nama              PT Manufacturers Hanover Leasing Indonesia to PT Bunas
               Perusahaan diubah dari PT Manufacturers Hanover                 Intitama Leasing Indonesia, this amendment was approved
               Leasing Indonesia menjadi PT Bunas Intitama Leasing             by the Minister of Justice of the Republic of Indonesia in
               Indonesia, perubahan tersebut telah memperoleh                  its decision letter No.C2-6977.HT.01.04.TH.86 dated
               persetujuan dari Menteri Kehakiman Republik Indonesia           7 October 1986 and was published in the State Gazette No.
               melalui Surat Keputusan No. C2-6977.HT.01.04.TH.86              94 dated 25 November 1986, Supplement No. 1451. Based
               tanggal 7 Oktober 1986 dan telah diumumkan dalam                on Notarial Deed No. 80 dated 22 November 1989, Deed
               Lembaran Berita Negara No. 94 tanggal 25 November               No. 27 dated 1990, both of which were made before
               1986, Tambahan No. 1451. Berdasarkan Akta No. 80                Kartini Muljadi, S.H. the Company’s name changed from
               tanggal 22 November 1989 Akta No. 27 tanggal 8 Maret            PT Bunas Intitama Leasing Indonesia to PT Bunas Finance
               1990 keduanya dibuat di hadapan Kartini Muljadi, S.H.,          Indonesia, this amendment was approved by the Minister
               nama Perusahaan diubah dari PT Bunas Intitama Leasing           of Justice of the Republic of Indonesia in its decision letter
               Indonesia menjadi PT Bunas Finance Indonesia,                   No. C2-1441-HT.01.04.TH.90 dated 13 March 1990 and was
               perubahan tersebut telah memperoleh persetujuan dari            published in the State Gazette No. 34 dated 28 April 1990,
               Menteri Kehakiman Republik Indonesia melalui Surat              Supplement No. 1537. Based on Deed No. 37 which were
               Keputusan No. C2-1441-HT.01.04.TH.90 tanggal 13 Maret           made before Achmad Abid, S.H, a substitute of Sutjipto,
               1990 dan telah diumumkan dalam Lembaran Berita                  S.H., Notary in Jakarta dated 8 August 1996, the name of
               Negara No. 34 tanggal 28 April 1990, Tambahan No. 1537.         the Company was changed from PT Bunas Finance
               Berdasarkan Akta No. 37 yang dibuat di hadapan Achmad           Indonesia to PT Bunas Finance Indonesia Tbk, a change
               Abid, S.H., pengganti dari Sutjipto, S.H., Notaris di           which has been approved by the Minister of Justice of the
               Jakarta tanggal 8 Agustus 1996, nama Perusahaan diubah          Republic of Indonesia through Decision Letter No. C2-9625-
               dari PT Bunas Finance Indonesia menjadi PT Bunas                HT.01.04.TH.96 dated 21 October 1996 and was published
               Finance Indonesia Tbk, perubahan tersebut telah                 in the State Gazette No. 11 dated 7 February 1997,
               memperoleh persetujuan dari Menteri Kehakiman                   Supplement No. 552. The Company’s Articles of
               Republik Indonesia melalui Surat Keputusan No.C2-9625-          Association has been amended several times, which one of
               HT.01.04.TH.96 tanggal 21 Oktober 1996 dan telah                the amendments was based on Notarial Deed No. 116
               diumumkan dalam Lembaran Berita Negara No. 11 tanggal           dated 27 June 2001 of Aulia Taufani, S.H., a substitute of
               7 Februari 1997, Tambahan No. 552. Anggaran Dasar               Sutjipto, S.H., Notary in Jakarta, in connection with the
               Perusahaan telah mengalami beberapa kali perubahan,             change of name of the Company from PT Bunas Finance
               salah satunya berdasarkan Akta No. 116 tanggal 27 Juni          Indonesia Tbk to PT BFI Finance Indonesia Tbk. This
               2001 yang dibuat di hadapan Aulia Taufani, S.H.,                amendment was approved by the Minister of Law and
               pengganti dari Sutjipto, S.H., Notaris di Jakarta,              Human Rights of the Republic of Indonesia in its decision
               sehubungan dengan perubahan nama Perusahaan dari                letter No. C-03668.HT.01.04.TH.2001 dated 24 July 2001
               PT Bunas Finance Indonesia Tbk menjadi PT BFI Finance           and was published in the State Gazette No. 35 dated
               Indonesia Tbk. Perubahan tersebut telah memperoleh              30 April 2002, Supplement No. 4195.
               persetujuan dari Menteri Hukum dan Hak Asasi Manusia
               Republik    Indonesia     melalui     Surat  Keputusan
               No. C-03668.HT.01. 04.TH.2001 tanggal 24 Juli 2001 dan
               telah diumumkan dalam Lembaran Berita Negara No. 35
               tanggal 30 April 2002, Tambahan No. 4195.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                    317
Page 320
                              2023 PERFORMANCE                                                                     BUSINESS
 ABOUT THIS REPORT                                     REPORTS TO STAKEHOLDERS            COMPANY PROFILE
                              HIGHLIGHTS                                                                           SUPPORTING UNITS




                                                                                      These Consolidated Financial Statements are Originally Issued
                                                                                                        in Indonesian Language


                                                           Ekshibit E/2                                                                  Exhibit E/2

           PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                        PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
            CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
             UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                 FOR THE YEAR ENDED 31 DECEMBER 2023
           (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)              (Expressed in millions of Rupiah, unless otherwise stated)

      1.    UMUM (Lanjutan)                                                      1.   GENERAL (Continued)

            a. Pendirian dan Informasi Umum Perusahaan (Lanjutan)                     a. Establishment and General Information               of   the
                                                                                         Company (Continued)

                Perubahan terakhir berdasarkan Akta No. 19 tanggal                        The latest amendment based on Deed No. 19 dated
                29 Juni 2022 yang dibuat di hadapan Shanti Indah Lestari,                 29 June 2022 made before Shanti Indah Lestari, S.H.,
                S.H., M.Kn., Notaris di Kabupaten Tangerang, mengenai                     M.Kn., Notary in Tangerang District, regarding approval
                persetujuan perubahan Pasal 3 dan Pasal 15 Anggaran                       for amendment to Article 3 and Article 15 of the
                Dasar Perusahaan, yang telah diterima dan dicatat dalam                   Company’s articles of association, which has been
                database Sistem Administrasi Badan Hukum Kementerian                      accepted and recorded in Legal Entity Administration
                Hukum dan Hak Asasi Manusia Republik Indonesia melalui                    System Minister of Law and Human Rights of the
                Surat Penerimaan Pemberitahuan Perubahan Anggaran                         Republic of Indonesia through Receipt of Notification of
                Dasar nomor AHU-AH.01.03-0271122 tanggal 27 Juli 2022                     Amendments to Articles of Association Number AHU-
                serta telah mendapat persetujuan dari Menteri Hukum                       AH.01.03-0271122 dated 27 July 2022 and has been
                dan Hak Asasi Manusia Republik Indonesia dengan                           approved by the Ministry of Law and Human Rights of
                keputusan nomor AHU-0052483.AH.01.02.Tahun 2022                           the Republic of Indonesia with Decree Number AHU-
                tanggal 27 Juli 2022 dan telah diumumkan dalam                            0052483.AH.01.02.Tahun 2022 dated 27 July 2022 and
                Lembaran Berita Negara Republik Indonesia No. 74 tanggal                  published in the State Gazette of the Republic of
                16 September 2022, Tambahan No. 31534.                                    Indonesia of Republic No. 74 dated 16 September 2022,
                                                                                          Supplement No. 31534.

                Perusahaan     memperoleh       izin     usaha    dalam                   The Company obtained its license to operate
                bidang usaha lembaga Pembiayaan dari Menteri Keuangan                     as a financing company from the Minister of Finance
                Republik Indonesia berdasarkan Surat Keputusan No. KEP-                   by virtue of his decree No. KEP-038/KM.11/1982
                038/KM.11/1982 tanggal 12 Agustus 1982, yang telah                        dated 12 August 1982 as amended by Decree
                diperbaharui      berdasarkan       Surat      Keputusan                  No. 493/KMK.013/1990 dated 23 April 1990.
                No. 493/KMK.013/1990 tanggal 23 April 1990.

                Pada tanggal 20 Februari 2006, Menteri Keuangan                           On 20 February 2006, the Minister of Finance of the
                Republik Indonesia telah mengamandemen izin usaha                         Republic of Indonesia amended the Company’s license in
                Perusahaan melalui Keputusan Menteri Keuangan Republik                    its decision letter No. KEP-038/KM.5/2006.
                Indonesia No. KEP-038/KM.5/2006.

                Melalui amandemen ini, izin usaha yang sebelumnya                         Through this amendment, the previous license granted
                diberikan kepada PT Bunas Finance Indonesia Tbk                           to PT Bunas Finance Indonesia Tbk was applied for
                berlaku surut sejak adanya persetujuan perubahan nama                     retroactively since the approval of the change in
                Perusahaan dari PT Bunas Finance Indonesia Tbk                            the name of the Company from PT Bunas Finance
                menjadi PT BFI Finance Indonesia Tbk dari instansi                        Indonesia Tbk to PT BFI Finance Indonesia Tbk from the
                yang berwenang melalui Surat Keputusan Menteri                            regulatory authority in its decision letter of Minister
                Hukum dan Hak Asasi Manusia Republik Indonesia                            of Law and Human Rights of the Republic of Indonesia
                No. C-03668. HT.01.04.TH.2001 tanggal 24 Juli 2001.                       No. C-03668.HT.01.04.TH.2001 dated 24 July 2001.

                Berdasarkan Pasal 3 Anggaran Dasar, Perusahaan                            Based on Article 3 of the Company's Articles of
                dapat melaksanakan kegiatan usaha utama sebagai                           Association, the Company may carry out the following
                berikut:                                                                  main business activities:

                I. Usaha Pembiayaan:                                                      I. Financing:
                   a. Pembiayaan investasi                                                   a. Investment financing
                   b. Pembiayaan modal kerja                                                 b. Working capital financing
                   c. Pembiayaan multiguna                                                   c. Multipurpose financing
                   d. Kegiatan usaha pembiayaan lain berdasarkan                             d. Other financing activities under the approval of
                      persetujuan Otoritas Jasa Keuangan                                         the Financial Service Authority

                II. Usaha Pembiayaan Syariah:                                             II. Sharia Financing:
                    a. Pembiayaan jual beli                                                   a. Financing sale and purchase
                    b. Pembiayaan investasi                                                   b. Investment financing
                    c. Pembiayaan jasa                                                        c. Financing services




318                                                                                   PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 321
   MANAGEMENT DISCUSSION        GOOD CORPORATE                                                                   ANNUAL FINANCIAL
                                                        SUSTAINABILITY              SUPPORTING DATA                                          APPENDICES
   AND ANALYSIS                 GOVERNANCE                                                                       STATEMENTS




                                                                                     These Consolidated Financial Statements are Originally Issued
                                                                                                       in Indonesian Language


                                                         Ekshibit E/3                                                                   Exhibit E/3

        PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                        PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
         CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
          UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                 FOR THE YEAR ENDED 31 DECEMBER 2023
        (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)              (Expressed in millions of Rupiah, unless otherwise stated)

      1. UMUM (Lanjutan)                                                       1.     GENERAL (Continued)

          a. Pendirian dan Informasi Umum Perusahaan (Lanjutan)                        a. Establishment and General Information of the
                                                                                          Company (Continued)

              Untuk mencapai maksud dan tujuan tersebut di atas serta                      To achieve the above-mentioned purpose and objective,
              untuk menunjang kegiatan usaha utama Perusahaan                              and to support its main business activities, the Company
              tersebut di atas, Perusahaan dapat melaksanakan                              may conduct supporting business activities as follows:
              kegiatan usaha penunjang sebagai berikut:

              a. Melakukan perencanaan dan pengembangan, antara                            a.   To undertake planning and development, among
                 lain menambah jaringan usaha, membangun                                        others, to increase business network, build
                 infrastruktur dan kegiatan lain yang mendukung                                 infrastructure, and other activities that support
                 usaha dan kinerja Perusahaan.                                                  the business and performance of the Company.
              b. Melakukan kegiatan mencari dan/atau memperoleh                            b.   To conduct activities to seek and/or obtain
                 sumber pendanaan.                                                              funding sources
              c. Melakukan segala perbuatan pemilikan dan sewa                             c.   To carry out all ownership and lease activities with
                 menyewa dengan pihak lain.                                                     other parties.
              d. Menyelenggarakan kegiatan-kegiatan lain yang                              d.   To carry out other activities needed to support
                 diperlukan dalam mendukung dan/atau terkait                                    and/or related to the main business activities.
                 dengan kegiatan usaha utama.
              e. Sewa operasi (operating lease) dan/atau kegiatan                          e.   To provide operating lease and/or fee-based
                 berbasis imbal jasa sepanjang tidak bertentangan                               service as long as it is not against the stipulations
                 dengan ketentuan peraturan perundangan-undangan                                and laws in financial services sector.
                 di sektor jasa keuangan.

              Perusahaan memulai kegiatan komersialnya pada tahun                         The Company started its commercial operations in 1982.
              1982. Kantor pusat Perusahaan terletak di BFI Tower,                        The Company’s registered office is located at BFI Tower,
              Sunburst CBD Lot 1.2, Jalan Kapten Soebijanto                               Sunburst CBD Lot 1.2, Jalan Kapten Soebijanto
              Djojohadikusumo, BSD City, Tangerang Selatan.                               Djojohadikusumo, BSD City, South Tangerang.

              Untuk menjalankan usaha pembiayaan syariah,                                 To undertake a sharia financing business, the Company
              Perusahaan telah menerima Salinan Keputusan Dewan                           has received a copy of the Decree of the Board of
              Komisioner Otoritas Jasa Keuangan Nomor Kep-27/                             Commissioners of the Financial Service Authority
              NB.223/2018 tentang Pemberian Izin Pembukaan Unit                           Number Kep-27/NB.223/2018 concerning the License to
              Usaha    Syariah   Perusahaan Pembiayaan      kepada                        Open Sharia Business Unit to the Company and the
              Perusahaan dan keputusan tersebut mulai berlaku sejak                       Decree effective on 8 February 2018.
              tanggal ditetapkan, yaitu 8 Februari 2018.

              Perusahaan dan entitas anaknya mempunyai kantor                             The Company and its subsidiary have branches, kiosk and
              cabang, gerai dan kantor cabang syariah yang tersebar di                    sharia branch throughout Indonesia as of 31 December
              seluruh wilayah Indonesia pada tanggal 31 Desember 2023                     2023 and 2022 as follow:
              dan 2022 sebagai berikut:

                                                                31 Desember/December
                                                         2023                                   2022
              Kantor cabang                                              195                               203                             Branches
              Gerai                                                       31                                34                                Kiosk
              Cabang Syariah                                              45                                45                      Sharia Branches
              Jumlah                                                     271                               282                                 Total


          b. Penawaran Umum Saham Perusahaan                                         b.   Public Offering of the Company’s Shares

              Pada tahun 1990, Perusahaan melakukan penawaran                             In 1990, the Company conducted an initial public
              umum perdana atas 2.125.000 sahamnya dengan nilai                           offering of its 2,125,000 shares with a par value of
              nominal Rp 1.000 (nilai penuh) per saham melalui bursa                      Rp 1,000 (full amount) per share through the stock
              efek di Indonesia dengan harga penawaran sejumlah                           exchanges in Indonesia at an offering price of Rp 5,750
              Rp 5.750 (nilai penuh) per saham. Pada tahun 1993,                          (full amount) per share. In 1993, the Company offered
              Perusahaan melakukan penawaran tambahan sebanyak                            an additional of 8,500,000 shares at the same par value
              8.500.000 saham dengan nilai nominal per saham yang                         per share through a stock exchange in Indonesia.
              sama melalui bursa efek di Indonesia.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                            319
Page 322
                            2023 PERFORMANCE                                                                    BUSINESS
 ABOUT THIS REPORT                                  REPORTS TO STAKEHOLDERS            COMPANY PROFILE
                            HIGHLIGHTS                                                                          SUPPORTING UNITS




                                                                                   These Consolidated Financial Statements are Originally Issued
                                                                                                     in Indonesian Language


                                                        Ekshibit E/4                                                                  Exhibit E/4

         PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                       PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
          CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                          NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
           UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                FOR THE YEAR ENDED 31 DECEMBER 2023
         (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)             (Expressed in millions of Rupiah, unless otherwise stated)

    1.    UMUM (Lanjutan)                                                     1.   GENERAL (Continued)

          b. Penawaran Umum Saham Perusahaan (Lanjutan)                            b. Public Offering of the Company’s Shares (Continued)

              Pada tanggal 8 April 1993, para pemegang                                 On 8 April 1993, the shareholders of the Company
              saham Perusahaan menyetujui untuk membagikan                             approved to distribute share dividends on the basis of
              dividen saham dengan dasar 1 (satu) saham baru untuk                     1 (one) new share for every 10 (ten) shares held totaling
              10 (sepuluh) saham yang dimiliki, sebanyak 1.062.500                     1,062,500 shares with a par value of Rp 1,000 (full
              saham dengan nilai nominal Rp 1.000 (nilai penuh) per                    amount) per share. On the same date, the shareholders
              saham. Pada tanggal yang sama, para pemegang saham                       of the Company also approved to issue bonus shares on
              Perusahaan juga menyetujui untuk menerbitkan saham                       the basis of 17 (seventeen) new shares for every 20
              bonus dengan dasar 17 (tujuh belas) saham baru untuk                     (twenty) shares held totaling 9,934,668 shares at the
              setiap 20 (dua puluh) saham yang dimiliki, sebanyak                      same par value. On 22 January 1994, the shareholders
              9.934.668 saham dengan nilai nominal yang sama.                          of the Company approved to distribute share dividends
              Pada tanggal 22 Januari 1994, para pemegang saham                        on the basis of 1 (one) new share for every 3 (three)
              Perusahaan menyetujui untuk membagikan dividen saham                     shares held totaling 7,207,390 shares at a par value of
              dengan dasar 1 (satu) saham baru untuk 3 (tiga) saham                    Rp 1,000 (full amount) per share.
              yang dimiliki, sebanyak 7.207.390 saham dengan nilai
              nominal Rp 1.000 (nilai penuh) per saham.

              Pada tanggal 18 April 1994, Perusahaan memperoleh                        On 18 April 1994, the Company received effective
              surat pernyataan efektif dari Badan Pengawas Pasar                       statement from the Capital Market Supervisory
              Modal (kemudian berubah menjadi Badan Pengawas Pasar                     Board (was then changed to Capital Market and
              Modal dan Lembaga Keuangan/BAPEPAM-LK dan terakhir                       Financial Institutions Supervisory Agency/BAPEPAM-LK
              dikenal sebagai Otoritas Jasa Keuangan/OJK) (BAPEPAM)                    and recently known as the Financial Services
              melalui surat No. S-639/PM/1994 dalam rangka                             Authority/OJK) (BAPEPAM) through letter No. S-639/
              penawaran umum terbatas pertama (I) Perusahaan                           PM/1994 to conduct the first rights issue of the
              sebanyak 28.829.558 saham dengan harga penawaran                         Company’s shares on a 1 (one) for 1 (one) basis totaling
              sejumlah Rp 1.500 (nilai penuh) per saham dimana setiap                  28,829,558 shares at an offering price of Rp 1,500 (full
              1 (satu) saham yang dimiliki berhak atas 1 (satu) saham                  amount) per share. Moreover, on 17 January 1997, the
              baru. Selanjutnya, pada tanggal 17 Januari 1997,                         Company      received    effective   statement      from
              Perusahaan memperoleh surat pernyataan efektif dari                      the BAPEPAM-LK through letter No. S-71/PM/1997
              BAPEPAM-LK melalui surat No. S-71/PM/1997 dalam                          to conduct the second rights issue of the Company’s
              rangka penawaran umum terbatas kedua Perusahaan                          shares on the basis of 2 (two) new shares for every
              sebanyak 115.318.232 saham dengan harga penawaran                        1 (one) shares held totaling 115,318,232 shares at an
              Rp 1.000 (nilai penuh) per saham dimana setiap 1 (satu)                  offering price of Rp 1,000 (full amount) per share.
              saham yang dimiliki berhak atas 2 (dua) saham baru.
              Pada tanggal 17 Juni 1997, para pemegang saham                           On 17 June 1997, the shareholders of the Company
              Perusahaan menyetujui pemecahan nilai nominal saham                      approved a stock split, resulting in a change in par value
              dari Rp 1.000 (nilai penuh) per saham menjadi Rp 500                     per share from Rp 1,000 (full amount) to Rp 500 (full
              (nilai penuh) per saham, sehingga mengakibatkan                          amount), thus resulting in the increase in number of the
              peningkatan jumlah saham beredar Perusahaan dari                         Company’s subscribed shares from 172,977,348 shares to
              sebanyak 172.977.348 saham menjadi sebanyak                              345,954,696 shares.
              345.954.696 saham.
              Dalam rangka restrukturisasi utang, para pemegang                        In respect with the debt restructuring, the Company’s
              saham Perusahaan dalam Rapat Umum Pemegang Saham                         shareholders through Extraordinary General Meeting
              Luar Biasa Para Pemegang Saham tanggal 27 Januari 2000                   of Shareholders convened on 27 January 2000 approved
              menyetujui penerbitan Mandatory Convertible Bonds                        to issue the Mandatory Convertible Bonds (MCB)
              atau Obligasi Wajib Konversi (MCB) yang wajib                            which should be converted into 414,384,585 shares of
              dikonversikan menjadi sebanyak 414.384.585 saham                         the Company.
              Perusahaan.

              Pada bulan Mei 2006, seluruh MCB telah dikonversi                        In May 2006, all of the MCB was converted into common
              menjadi sebanyak 414.384.585 saham biasa sehingga                        shares totaling 414,384,585 shares, thus resulting in a
              jumlah saham beredar Perusahaan menjadi sebanyak                         total outstanding number of the Company’s shares of
              760.339.281 saham pada tanggal 31 Desember 2006.                         760,339,281 shares as of 31 December 2006.




320                                                                                PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 323
   MANAGEMENT DISCUSSION          GOOD CORPORATE                                                            ANNUAL FINANCIAL
                                                          SUSTAINABILITY        SUPPORTING DATA                                         APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                                STATEMENTS




                                                                                 These Consolidated Financial Statements are Originally Issued
                                                                                                   in Indonesian Language


                                                           Ekshibit E/5                                                             Exhibit E/5

           PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                  PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
            CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                     NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
             UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                           FOR THE YEAR ENDED 31 DECEMBER 2023
           (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)        (Expressed in millions of Rupiah, unless otherwise stated)

      1.    UMUM (Lanjutan)                                                1.    GENERAL (Continued)

            b. Penawaran Umum Saham Perusahaan (Lanjutan)                        b. Public Offering of the Company’s Shares (Continued)

                Berdasarkan keputusan Rapat Umum Pemegang Saham                      Based on the resolution of the Extraordinary General
                Luar Biasa (RUPSLB) Perusahaan yang diaktakan dengan                 Meeting of Shareholders (EGM) of the Company
                Akta notaris No. 65 tanggal 21 Juni 2012 yang dibuat di              as covered by Notarial Deed No. 65 dated 21 June 2012
                hadapan Fathiah Helmi, S.H., Notaris di Jakarta, para                of Fathiah Helmi, S.H., Notary in Jakarta,
                pemegang saham menyetujui perubahan Pasal 4 ayat                     the shareholders approved the amendment to Paragraphs
                1 dan 2 Anggaran Dasar Perusahaan mengenai perubahan                 1 and 2 of Article 4 of the Articles of Association
                nilai nominal saham Perusahaan (pemecahan saham) dari                concerning the changes in par value of the Company’s
                sebesar Rp 500 (nilai penuh) per saham menjadi sebesar               share (stock split) from Rp 500 (full amount) to Rp 250
                Rp 250 (nilai penuh) per saham, sehingga mengakibatkan               (full amount) per share, thus, resulting in the increase in
                peningkatan jumlah saham beredar Perusahaan dari                     number of the Company’s shares outstanding from
                semula sebanyak 760.339.281 saham menjadi sebanyak                   760,339,281 shares to 1,520,678,562 shares, and
                1.520.678.562 saham, dan menyetujui untuk mengubah                   Paragraph 3b of Article 15, concerning the Duties and
                Pasal 15 ayat 3b mengenai Tugas dan Wewenang Direksi.                Authorities of the Directors.

                Pemecahan saham tersebut telah memperoleh                            The stock split was approved by the BEI through letter
                persetujuan dari BEI melalui surat No. S-05439/BEI.PPJ/              No. S-05439/BEI.PPJ/07-2012 dated 31 July 2012.
                07-2012 tertanggal 31 Juli 2012.

                RUPSLB tersebut juga telah menyetujui penerbitan                     The EGM had also approved the issuance of shares for the
                saham untuk pelaksanaan program Management &                         implementation of the Phase 1 of the Management &
                Employee Stock Option Program (MESOP) untuk Tahap I                  Employee Stock Option Program (MESOP) on the Indonesia
                di BEI sebanyak 60.826.400 saham dengan nilai nominal                Stock Exchange, totaling 60,826,400 shares with par
                sebesar Rp 250 (nilai penuh) per saham untuk periode                 value of Rp 250 (full amount) per shares, up 20 June
                sampai dengan tanggal 20 Juni 2014. BEI melalui suratnya             2014. BEI through its letter No. S-04847/ BEI.PPJ/07-2012
                No. S-04847/BEI.PPJ/07-2012 tertanggal 6 Juli 2012 telah             dated 6 July 2012 had approved the Company’s pre-listing
                menyetujui pencatatan saham Perusahaan hasil                         of its MESOP on the Indonesia Stock Exchange for the
                pelaksanaan Program MESOP untuk tahap I tersebut                     implementation of phase I.
                secara pra-pencatatan di BEI.

                Pada tanggal 31 Mei 2013, 30 Mei 2014, 29 Mei 2015, dan              On 31 May 2013, 30 May 2014, 29 May 2015, and 31 May
                31 Mei 2016, Perusahaan telah menerbitkan saham baru                 2016, the Company has issued the additional 5,936,000,
                masing-masing     sebanyak    5.936.000,    23.320.000,              23,320,000, 16,025,000 and 30,752,000 shares,
                16.025.000 dan 30.752.000 saham sebagai pelaksanaan                  respectively, for the implementation of the MESOP for
                Management & Employee Stock Option Program (MESOP)                   Phase I – Grant Date 1 and 2, and Phase II – Grant Date
                untuk Tahap I – Grant Date 1 dan 2, dan Tahap II – Grant             1 and 2, for options that has been exercised, thus
                Date 1 dan 2, yang telah dieksekusi sehingga jumlah                  resulting in a total outstanding number of
                saham beredar Perusahaan menjadi 1.596.711.562                       the Company’s shares of 1,596,711,562 shares as of
                saham pada tanggal 31 Desember 2016.                                 31 December 2016.

                Berdasarkan keputusan Rapat Umum Pemegang Saham                       Based on the resolution of the Extraordinary General
                Luar Biasa (RUPSLB) Perusahaan, yang telah diaktakan                  Meeting of Shareholders (EGM) of the Company as
                dengan Akta Notaris No. 18 pada tanggal 6 Mei 2014 yang               covered by Notarial Deed No. 18 dated 6 May 2014 of
                dibuat di hadapan Aryanti Artisari, S.H., Notaris di                  Aryanti Artisari, S.H., Notary in Jakarta, had approved
                Jakarta, telah disetujui penerbitan saham hasil                       the issuance of new shares the results of the
                pelaksanaan MESOP untuk tahap II untuk periode sampai                 implementations of the MESOP program phase II up to
                dengan tanggal 30 Juni 2016 dengan harga pelaksanaan                  30 June 2016 with exercised price which referred
                yang mengacu kepada sebagaimana diatur dalam butir                    to point V.I Listing Regulation No. I-A as included in the
                V.1 Peraturan Pencatatan No. I-A Lampiran II                          Appendix of the Decision Decree of virtue
                Keputusan    Direksi   PT    Bursa    Efek    Indonesia               of the Directors of PT Bursa Efek Indonesia
                No. Kep-00001/BEI/01-2014 tanggal 20 Januari 2014.                    No. Kep-00001/BEI/01-2014 dated on 20 January 2014.
                BEI melalui suratnya No. S-02280/BEI.PGI/06-2014                      BEI through its letter No. S-02280/BEI.PGI/06-2014
                tertanggal 6 Juni 2014 telah menyetujui pencatatan                    dated 6 June 2014 approved the registration of the
                saham Perusahaan hasil pelaksanaan Program MESOP                      Company’s pre-listing of its MESOP on the Stock
                untuk tahap II secara pra-pencatatan di BEI sebanyak-                 Exchange for the implementation of phase II maximum
                banyaknya 46.777.000 saham dengan harga pelaksanaan                   46,777,000 shares with exercised price Rp 2,205 (full
                sebesar Rp 2.205 (nilai penuh) per saham.                             amount) per share.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                       321
Page 324
                           2023 PERFORMANCE                                                                      BUSINESS
 ABOUT THIS REPORT                                     REPORTS TO STAKEHOLDERS          COMPANY PROFILE
                           HIGHLIGHTS                                                                            SUPPORTING UNITS




                                                                                    These Consolidated Financial Statements are Originally Issued
                                                                                                      in Indonesian Language


                                                           Ekshibit E/6                                                                Exhibit E/6

       PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                           PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
        CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                              NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
         UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                    FOR THE YEAR ENDED 31 DECEMBER 2023
        (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                (Expressed in millions of Rupiah, unless otherwise stated)

      1. UMUM (Lanjutan)                                                         1. GENERAL (Continued)

         b.   Penawaran Umum Saham Perusahaan (Lanjutan)                             b. Public Offering of the Company’s Shares (Continued)

              Berdasarkan keputusan Rapat Umum Pemegang Saham                           Based on the resolution of the Extraordinary General
              Luar Biasa (RUPSLB) Perusahaan yang diaktakan dengan                      Meeting of Shareholders (EGM) of the Company as
              Akta No. 25 tanggal 18 April 2017 yang dibuat di hadapan                  covered by Notarial Deed No. 25 dated 18 April 2017
              Aryanti Artisari, S.H., M.Kn., Notaris di Jakarta, para                   of Aryanti Artisari, S.H., M.Kn., Notary in Jakarta,
              pemegang saham menyetujui pemecahan nilai nominal                         the Company’s shareholders approved the par value split
              saham Perusahaan (stock split) dari sebesar Rp 250 (nilai                 of the Company’s share from Rp 250 (full amount)
              penuh) per saham menjadi Rp 25 (nilai penuh) per saham.                   per share to Rp 25 (full amount) per share (stock split).
              Pemecahan nilai saham ini telah mendapat persetujuan                      The stock split was approved by the BEI through
              dari BEI melalui surat No.S-02820/BEI.PP1/05-2017                         its letter No.S-02820/BEI.PP1/05-2017 dated 23 May
              tertanggal 23 Mei 2017. Dengan demikian, sejak                            2017. Therefore, since 31 December 2017 total issued
              31 Desember 2017 jumlah saham ditempatkan dan disetor                     and fully paid capital was 15,967,115,620 shares.
              penuh menjadi 15.967.115.620 saham.

         c.   Entitas Anak Yang Dikonsolidasikan                                    c. Consolidated Subsidiary

                                                                             Tahun                                       Jumlah aset sebelum
                                                                           beroperasi                                          eliminasi/
                                                                          komersial/      Persentase kepemilikan/         Total assets before
                                                                            Year of      Percentage of ownership              elimination
                         Entitas anak/                   Domisili/        commercial     31 Desember/December           31 Desember/December
                          Subsidiary                     Domicile         operations        2023         2022            2023             2022
              Kepemilikan langsung/ Direct ownership    Kabupaten
              PT Finansial Integrasi Teknologi          Tangerang            2018                 99,00%                    54.015           63.574

              Perusahaan mendirikan entitas anak dengan nama                            The Company established a subsidiary under the name
              PT Finansial Integrasi Teknologi (FIT), berdasarkan                       of PT Finansial Integrasi Teknologi (FIT), based on
              akta notaris Herna Gunawan, S.H., M.Kn. No. 4 tanggal                     Notarial Deed No. 4 of Herna Gunawan, S.H., M.Kn on
              15 September 2017, yang telah disetujui oleh Menteri                      15 September 2017. The deed of establishment
              Hukum dan Hak Asasi Manusia Republik Indonesia                            was approved the Ministry of Law and Human Rights
              berdasarkan surat No. AHU-0043022.AH.01.01.Tahun                          of the Republic of Indonesia in its decision letter
              2017 tanggal 29 September 2017. FIT bergerak dalam                        No. AHU-0043022.AH.01.01 Tahun 2017 dated
              bidang layanan pinjam meminjam uang berbasis                              29 September 2017. FIT is engaged in lending and
              teknologi informasi (P2P).                                                borrowing services based on information technology
                                                                                        (P2P).
              OJK telah menyetujui permohonan FIT atas platform                         OJK has granted approval for FIT on the platform
              http://www.pinjammodal.id sebagai penyelenggara                           http://www.pinjammodal.id as the operator of
              Layanan Pinjam Meminjam Uang Berbasis Teknologi                           Information Technology-Based Lending and Borrowing
              Informasi untuk terdaftar dan diawasi oleh OJK, melalui                   Services to be registered and supervised by the
              surat No.S-588/NB.213/2018 tertanggal 31 Juli 2018.                       authority based on Decision Letter No.S-588/NB.213/
              Selanjutnya, sesuai dengan ketentuan yang berlaku, FIT                    2018 dated 31 July 2018. Furthermore, in accordance
              telah mengajukan permohonan izin usaha sebagai                            with applicable regulations, FIT has applied for
              penyelenggara Layanan Pinjam Meminjam Uang Berbasis                       a business license as an Information Technology-Based
              Teknologi Informasi, dan melalui surat No. Kep-                           Money-Borrowing Service provider, and through letter
              20/D.05/2020 tanggal 19 Mei 2020, OJK telah                               No. Kep-20/D.05/2020 dated 19 May 2020, OJK has
              memberikan izin usaha Perusahaan Penyelenggara                            granted a business license for Information Technology-
              Layanan Pinjam Meminjam Uang Berbasis Teknologi                           Based Money-Borrowing Service Provider to FIT
              Informasi kepada FIT dengan Sistem Elektronik Pinjam                      with the Capital Loan Electronic System, the
              Modal, laman situs pinjammodal.id, nama dan merek                         pinjammodal.id webpage, the name and brand of the
              Aplikasi Pinjam Modal pada sistem operasi Android,                        Capital Loan Application on the Android, iOS and
              iOS dan Website, dan model bisnis konvensional.                           Website operating systems, and conventional business
                                                                                        models.




322                                                                                 PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 325
   MANAGEMENT DISCUSSION           GOOD CORPORATE                                                            ANNUAL FINANCIAL
                                                           SUSTAINABILITY     SUPPORTING DATA                                            APPENDICES
   AND ANALYSIS                    GOVERNANCE                                                                STATEMENTS




                                                                                  These Consolidated Financial Statements are Originally Issued
                                                                                                    in Indonesian Language


                                                             Ekshibit E/7                                                            Exhibit E/7

           PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                   PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
            CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                      NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
             UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                            FOR THE YEAR ENDED 31 DECEMBER 2023
           (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)         (Expressed in millions of Rupiah, unless otherwise stated)

      1.    UMUM (Lanjutan)                                                  1.   GENERAL (Continued)
            c.   Entitas Anak (Lanjutan)                                          c.   Subsidiary (Continued)

                 Berdasarkan Akta Pernyataan Keputusan Rapat No. 6                     Based on Deed of Meeting Decision Letter No. 6 dated
                 tanggal 5 Agustus 2021 yang dibuat di hadapan Veronika                5 August 2021 made before Veronika Farida Riswanti,
                 Farida Riswanti, S.H., M.Kn, Notaris di Kabupaten                     S.H., M.Kn, Notary in Tangerang District, which has been
                 Tangerang, yang telah diterima dan dicatat pada                       accepted and recorded by the Ministry of Law and
                 Kementerian Hukum dan Hak Asasi Manusia Republik                      Human Rights of the Republic of Indonesia in its Decision
                 Indonesia dalam Surat No. AHU-AH.01.03-0439070                        Letter No. AHU-AH.01.03-0439070 dated 20 August
                 tanggal 20 Agustus 2021, mengenai Perubahan                           2021, regarding Changes in the Increase in Issued and
                 Peningkatan Modal Ditempatkan dan Disetor sebesar                     Paid-Up Capital of 25,000 shares or with a total nominal
                 25.000 lembar saham atau dengan nilai nominal                         value of Rp 25,000,000,000 (full amount). Thus, after
                 seluruhnya Rp 25.000.000.000 (nilai penuh). Dengan                    the increase in the issued and paid-up capital of the FIT
                 demikian setelah peningkatan modal ditempatkan dan                    to 50,000 shares with a total nominal value of
                 disetor FIT menjadi 50.000 lembar saham dengan nilai                  Rp 50,000,000,000 (full amount).
                 nominal seluruhnya sebesar Rp 50.000.000.000 (nilai
                 penuh).

                 Peningkatan modal disetor FIT berdasarkan Akta Notaris                The increase in the paid-us capital of FIT based on
                 No. 6 tanggal 5 Agustus 2021 tersebut, telah dilaporkan               Notarial Deed No. 6 dated 5 August 2021, has been
                 kepada OJK dan telah dicatat dalam administrasi                       reported to the OJK and has been recorded in the
                 Direktorat Perizinan Industri Keuangan Non Bank                       administration of the Directorate of Licensing for the
                 dan    Inovasi   Keuangan     Digital    dalam    surat               Non-Bank Financial Industry and Digital Financial
                 No. S-1141/NB.223/2021 tanggal 29 Desember 2021.                      Innovation in letter No. S-1141/NB.223/2021 dated
                                                                                       29 December 2021.

                 Berdasarkan Akta Pernyataan Keputusan Rapat No. 1                     Based on Deed of Meeting Decision Letter No. 1 dated
                 tanggal 5 Agustus 2022 yang dibuat di hadapan Geraldine               5 August 2022 made before Geraldine H.S.S.U. Sianturi
                 H.S.S.U. Sianturi, S.H., M.Kn, Notaris di Kota Tangerang              S.H., M.Kn, Notary in South Tangerang District, which
                 Selatan, yang telah disetujui oleh Kementerian Hukum                  has been approved by the Ministry of Law and Human
                 dan Hak Asasi Manusia Republik Indonesia dalam                        Rights of the Republic of Indonesia in its Decision Letter
                 Surat No. AHU-0055755.AH.01.02.TAHUN 2022 tanggal                     No. AHU-0055755.AH.01.02.TAHUN 2022 dated 8 August
                 8 Agustus 2022 dan telah diterima dan dicatat dalam                   2022 and has been received and recorded by the Ministry
                 database Sistem Administrasi Badan Hukum Kementerian                  of Law and Human Rights of the Republic of Indonesia in
                 Hukum dan Hak Asasi Manusia Republik Indonesia melalui                Letter No. AHU.AH.01.09-0041558 dated 8 August 2022,
                 Surat Penerimaan Pemberitahuan Perubahan Data                         regarding changes to purpose, objectives and business
                 Perseroan No. AHU.AH.01.09-0041558 tanggal 8 Agustus                  activites and business activities adjusted to the 2020
                 2022, mengenai perubahan maksud dan tujuan serta                      KBLI, the composition of the Board of Directors and
                 kegiatan usaha disesuaikan dengan KBLI 2020, susunan                  Board of Commissioners and the address of the
                 Direksi dan Dewan Komisaris dan alamat lengkap                        Company.
                 Perseroan.

                 Berdasarkan Akta Pernyataan Keputusan Para Pemegang                   Based on the Deed of Statement of Resolutions of
                 Saham di Luar Rapat No. 10 tanggal 28 Desember 2022                   Shareholders Outside the Meeting No. 10 dated
                 yang dibuat di hadapan Geraldine H.S.S.U. Sianturi, S.H.,             28 December 2022 made before Geraldine H.S.S.U.
                 M.Kn, Notaris di Kota Tangerang Selatan, yang telah                   Sianturi, S.H., M.Kn, Notary in South Tangerang City,
                 diterima dan dicatat pada Kementerian Hukum dan Hak                   which has been received and recorded at the Ministry of
                 Asasi Manusia Republik Indonesia dalam Surat No. AHU-                 Law and Human Rights of the Republic of Indonesia in
                 AH.01.03-0497389 tanggal 29 Desember 2022 mengenai                    Letter No. AHU-AH.01.03-0497389 dated 29 December
                 Perubahan Peningkatan Modal Ditempatkan dan Disetor                   2022 regarding Changes in the Increase in Issued and
                 penuh sebesar 25.000 saham atau dengan nilai nominal                  Fully Paid-Up Capital of 25,000 shares or with a total
                 seluruh Rp 25.000.000.000 (nilai penuh). Dengan                       nominal value of Rp 25,000,000,000 (full amount). Thus,
                 demikian setelah peningkatan modal ditempatkan dan                    after the increase in the issued and paid-up capital of
                 disetor FIT menjadi 75.000 lembar saham dengan nilai                  the FIT to 75,000 shares with a total nominal value of
                 nominal seluruhnya sebesar Rp 75.000.000.000 (nilai                   Rp 75,000,000,000 (full amount).
                 penuh).

                 Peningkatan modal disetor FIT berdasarkan Akta                        The increase in the paid-us capital of FIT based on the
                 Pernyataan Keputusan Para Pemegang Saham Di Luar                      Deed of Statement of Resolutions of the Shareholders
                 Rapat (Sirkuler) No. 10 tanggal 28 Desember 2022                      Outside the Meeting (Circular) No. 10 dated
                 tersebut, telah dilaporkan kepada OJK dan telah dicatat               28 December 2022, has been reported to the OJK and has
                 dalam administrasi Direktorat Perizinan Industri                      been recorded in the administration of the Directorate
                 Keuangan Non Bank dan Inovasi Keuangan Digital dalam                  of Licensing for the Non-Bank Financial Industry
                 surat No. S-2193/NB.021/2023 tanggal 14 Juni 2023.                    and    Financial   Innovation     Digital   in    letter
                                                                                       No. S-2193/NB.021/2023 dated 14 June 2023.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                        323
Page 326
                             2023 PERFORMANCE                                                                      BUSINESS
 ABOUT THIS REPORT                                    REPORTS TO STAKEHOLDERS              COMPANY PROFILE
                             HIGHLIGHTS                                                                            SUPPORTING UNITS




                                                                                      These Consolidated Financial Statements are Originally Issued
                                                                                                        in Indonesian Language


                                                           Ekshibit E/8                                                                  Exhibit E/8

         PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                         PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
          CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                            NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
           UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                  FOR THE YEAR ENDED 31 DECEMBER 2023
         (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)               (Expressed in millions of Rupiah, unless otherwise stated)

    1.    UMUM (Lanjutan)                                                       1.    GENERAL (Continued)

          c. Entitas Anak (Lanjutan)                                                  c. Subsidiary (Continued)

              Berdasarkan Akta Pernyataan Keputusan Para Pemegang                         Based on the Deed of Statement of Meeting Resolutions
              Saham di Luar Rapat No.6 tanggal 8 Mei 2023 yang dibuat                     Shareholders Outside the Meeting No. 6 dated 8 May
              di hadapan Geraldine H.S.S.U. Sianturi, S.H., M.Kn,                         2023 made before Geraldine H.S.S.U. Sianturi, S.H.,
              Notaris di Kota Tangerang Selatan, yang telah diterima                      M.Kn, Notary in South Tangerang City, which has been
              dan dicatat pada Kementerian Hukum dan Hak Asasi                            received and recorded at the Ministry of Law and Human
              Manusia Republik Indonesia dalam Surat No. AHU-                             Rights of the Republic of Indonesia in Letter No. AHU-
              AH.01.09-0115544     tanggal 10 Mei 2023 mengenai                           AH.01.09-0115544 dated 10 May 2023 regarding changes
              perubahan susunan Dewan Komisaris dan Direksi                               in the composition of the Company's Board of
              Perusahaan. Sehingga pada tanggal 31 Desember 2023                          Commissioners and Board of Directors. Therefore, as of
              dan 2022, susunan Dewan Komisaris dan Direksi                               31 December 2023 and 2022, the composition of the
              Perusahaan adalah sebagai berikut:                                          Company's Board of Commissioners and Board of
                                                                                          Directors are as follows:

                                                              31 Desember/December
                                                       2023                                 2022
              Dewan Komisaris                                                                                              Board of Commissioners
              Presiden Komisaris                 Francis Lay Sioe Ho                  Francis Lay Sioe Ho                   President Commissioner
              Komisaris                               Sudjono                              Sudjono                                    Commissioner

              Direksi                                                                                                            Board of Directors
              Presiden Direktur                 Tjiu Herman Handoko                  Tjiu Herman Handoko                          President Director
              Direktur                             Ichwan Peryana                       Ichwan Peryana                                      Director
              Direktur                                    -                               Agus Ghozali                                      Director

          d. Entitas Induk                                                             d. Parent Entity
              Perusahaan tidak memiliki entitas induk dan tidak                           The Company does not have a parent entity and it is not
              tergabung dalam kelompok usaha tertentu (ultimate                           affiliated with a particular business group (ultimate
              parent of the group).                                                       parent of the group).

          e. Pembelian Kembali (BuyBack) Saham Perusahaan                              e. Treasury Shares
              Pada tanggal 15 April 2015, Rapat Umum Pemegang                             On 15 April 2015, the Extraordinary General Meeting of
              Saham Luar Biasa (RUPSLB) menyetujui pembelian                              Shareholders (EGM) approved the buyback of
              kembali saham yang beredar Perusahaan sampai jumlah                         outstanding shares of the Company up to a maximum of
              maksimum sebanyak 10% dari seluruh jumlah saham yang                        10% of the total shares issued and fully paid-up capital
              ditempatkan dan disetor penuh Perusahaan atau                               of the Company or amounted of 154,993,456 shares
              sebanyak-banyaknya     sebesar    154.993.456    saham                      (before stock split). The funds reserved to repurchase
              (sebelum pemecahan saham). Dana yang dicadangkan                            shares for a maximum period of 18 (eighteen) months
              untuk pembelian kembali saham untuk periode paling                          from the EGMS should not more than Rp 341,000.
              lama 18 (delapan belas) bulan sejak RUPSLB adalah tidak
              lebih dari Rp 341.000.

              Perusahaan telah melakukan pembelian kembali saham                          The Company has bought back its shares publicly traded
              yang diperdagangkan di Bursa Efek Indonesia,                                on the Indonesia Stock Exchange, as allowed by OJK
              yang    diperkenankan     sesuai    Peraturan  OJK                          Regulation No.2/POJK.04/2013 dated 23 August 2013.
              No.2/POJK.04/2013 tanggal 23 Agustus 2013.

              Per tanggal 15 Oktober 2016, program pembelian kembali                      As of 15 October 2016, the shares buy back program was
              saham ini dinyatakan berakhir dan jumlah saham yang                         officially ended and total shares bought back by the
              telah dibeli kembali oleh Perusahaan adalah sebanyak                        Company was totaling 1,002,732,000 shares (after stock
              1.002.732.000 saham (setelah pemecahan saham) dengan                        split) for a total purchase price of Rp 252,160.
              nilai pembelian sebesar Rp 252.160.

              Pelaksanaan pembelian kembali saham merupakan                               This repurchase transaction was intended to increase
              salah     satu    bentuk   usaha    Perusahaan     untuk                    the Company's capital management where the
              meningkatkan manajemen permodalan Perusahaan                                implementation expected to increase the value of
              dimana pelaksanaannya diharapkan akan meningkatkan                          Earnings per Share (EPS).
              nilai laba bersih per saham Earnings per Share (EPS).




324                                                                                    PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 327
   MANAGEMENT DISCUSSION              GOOD CORPORATE                                                             ANNUAL FINANCIAL
                                                             SUSTAINABILITY         SUPPORTING DATA                                          APPENDICES
   AND ANALYSIS                       GOVERNANCE                                                                 STATEMENTS




                                                                                    These Consolidated Financial Statements are Originally Issued
                                                                                                      in Indonesian Language


                                                             Ekshibit E/9                                                              Exhibit E/9

       PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                          PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
        CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                             NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
         UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                   FOR THE YEAR ENDED 31 DECEMBER 2023
       (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                (Expressed in millions of Rupiah, unless otherwise stated)

      1. UMUM (Lanjutan)                                                        1. GENERAL (Continued)

         f.   Surat Berharga yang Diterbitkan                                       f.    Securities Issued

              Surat berharga yang diterbitkan selama 5 (lima) tahun                       Securities issued for the last 5 (five) years are as
              terakhir adalah sebagai berikut:                                            follows:
                                                 Tanggal                                             Jumlah
                                             pencatatan di           Tanggal           Total        per seri                          Status
                                               Bursa Efek            efektif/          emisi/       obligasi/      Tanggal         pembayaran/
                   Surat berharga/             Indonesia/           Effective         Amount       Amount per   jatuh tempo/         Payment
                      Securities              Listing date            date            issued          serial      Due date            status


              Obligasi Berkelanjutan IV                              7 Juni/
                  BFI Finance Indonesia                            June 2018
                                                              (No.S-67/D.04/2018)
                   Total limit :
                   (Rp 8.000.000)

                   Tahap I Tahun 2018           27 Juni/                                 740.000
                      Seri/Serial A:           June 2018                                              188.000      6 Juli/
                                                                                                                 July 2019          Lunas/Paid
                      Seri/Serial B:                                                                  552.000     26 Juni/
                                                                                                                 June 2021          Lunas/Paid
                   Tahap II Tahun 2019        25 Februari/                           1.000.000
                     Seri/Serial A:          February 2019                                            500.000   2 Maret/
                                                                                                               March 2020           Lunas/Paid
                     Seri/Serial B:                                                                   500.000 22 Februari/
                                                                                                              February 2022         Lunas/Paid

                   Tahap III Tahun 2020       8 September                                832.000
                     Seri/Serial A:               2020                                                437.000 18 September
                                                                                                                  2021              Lunas/Paid
                     Seri/Serial B:                                                                   395.000 8 September
                                                                                                                  2023              Lunas/Paid

              Obligasi Berkelanjutan V                             21 Mei/
                 BFI Finance Indonesia                            May 2021
                                                              (No.S-66/D.04/2021)
                 Total limit :
                 (Rp 6.000.000)

                 Tahap I Tahun 2021           31 Mei/                                    600.000
                    Seri/Serial A:            May 2021                                                200.000     8 Juni/
                                                                                                                 June 2022          Lunas/Paid
                    Seri/Serial B:                                                                    400.000     28 Mei/      Belum jatuh tempo/
                                                                                                                 May 2024          Not yet due

                 Tahap II Tahun 2021          9 Agustus/                             1.000.000
                   Seri/Serial A:            August 2021                                              210.000   16 Agustus/
                                                                                                                August 2022        Lunas/Paid
                    Seri/Serial B:                                                                    260.000    6 Agustus/
                                                                                                                August 2023       Lunas/Paid
                    Seri/Serial C:                                                                    530.000    6 Agustus/    Belum jatuh tempo/
                                                                                                                August 2024        Not yet due

                 Tahap III Tahun 2023          30 Januari/                           1.100.000
                   Seri/Serial A:             January 2023                                            617.000    7 Februari/  Belum jatuh tempo/
                                                                                                                February 2024     Not yet due
                    Seri/Serial B:                                                                    227.000    27 Januari/ Belum jatuh tempo/
                                                                                                                January 2025      Not yet due
                    Seri/Serial C:                                                                    256.000    27 Januari/ Belum jatuh tempo/
                                                                                                                January 2026      Not yet due

                 Tahap IV Tahun 2023           17 April                              1.600.000
                   Seri/Serial A:               2023                                                  590.000     24 April     Belum jatuh tempo/
                                                                                                                   2024            Not yet due
                    Seri/Serial B:                                                                    385.000     14 April     Belum jatuh tempo/
                                                                                                                   2025            Not yet due
                    Seri/Serial C:                                                                    625.000     14 April     Belum jatuh tempo/
                                                                                                                   2026            Not yet due




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                         325
Page 328
                              2023 PERFORMANCE                                                                            BUSINESS
 ABOUT THIS REPORT                                             REPORTS TO STAKEHOLDERS           COMPANY PROFILE
                              HIGHLIGHTS                                                                                  SUPPORTING UNITS




                                                                                           These Consolidated Financial Statements are Originally Issued
                                                                                                             in Indonesian Language


                                                                  Ekshibit E/10                                                                    Exhibit E/10

       PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                                   PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
        CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                                      NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
         UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                            FOR THE YEAR ENDED 31 DECEMBER 2023
       (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                         (Expressed in millions of Rupiah, unless otherwise stated)

      1. UMUM (Lanjutan)                                                              1.   GENERAL (Continued)

         f.   Surat Berharga yang Diterbitkan (Lanjutan)                                   f. Securities Issued (Continued)

              Surat berharga yang diterbitkan selama 5 (lima) tahun                             Securities issued for the last 5 (five) years are as follows:
              terakhir adalah sebagai berikut: (Lanjutan)                                       (Continued)
                                                   Tanggal                                                 Jumlah
                                               pencatatan di               Tanggal            Total       per seri                                Status
                                                 Bursa Efek                efektif/           emisi/      obligasi/        Tanggal             pembayaran/
                     Surat berharga/             Indonesia/               Effective          Amount      Amount per     jatuh tempo/             Payment
                        Securities              Listing date                date             issued         serial        Due date                status


                     Tahap V Tahun 2023           16 Juni/                                   1.100.000
                        Seri/Serial A:           June 2023                                                    250.000     25 Juni/        Belum jatuh tempo/
                                                                                                                         June 2024            Not yet due
                        Seri/Serial B:                                                                        850.000     15 Juni/        Belum jatuh tempo/
                                                                                                                         June 2026            Not yet due


         g. Dewan Komisaris, Direksi, Dewan Pengawas Syariah,                              g. Board of Commissioners, Board of Directors, Sharia
            Komite Audit, Internal Audit, Sekretaris Perusahaan                               Supervisory Board, Audit Committee, Internal Audit,
            dan Karyawan                                                                      Corporate Secretary and Employees

              Berdasarkan Akta Pernyataan Keputusan Rapat No. 8                                 Based on Deed of Meeting Decision Letter No. 8 dated
              tanggal 16 Mei 2023 yang dibuat di hadapan Shanti Indah                           16 May 2023 made before Shanti Indah Lestari, S.H.,
              Lestari, S.H., M.Kn, Notaris di Kabupaten Tangerang,                              M.Kn, Notary in Tangerang District, which has been
              yang telah diterima dan dicatat pada Kementerian Hukum                            accepted and recorded by the Ministry of Law and Human
              dan Hak Asasi Manusia Republik Indonesia dalam Surat No.                          Rights of the Republic of Indonesia in its Decision Letter
              AHU-AH.01.09-0123964 tanggal 6 Juni 2023, sebagaimana                             No. AHU-AH.01.09-0123964 dated 6 June 2023, as stated
              ditegaskan kembali dalam Akta Pernyataan Keputusan                                in the Deed of Meeting Decision Letter No. 6 dated
              Rapat No. 6 tanggal 18 Januari 2024 yang dibuat di                                18 January 2024 made before Shanti Indah Lestari, S.H.,
              hadapan Shanti Indah Lestari, S.H., M.Kn, Notaris di                              M.Kn, Notary in Tangerang District, which has been
              Kabupaten Tangerang, yang telah diterima dan dicatat                              accepted and recorded by the Ministry of Law and Human
              pada Kementerian Hukum dan Hak Asasi Manusia Republik                             Rights of the Republic of Indonesia in its Decision Letter
              Indonesia dalam Surat No. AHU-AH.01.09-0032388 tanggal                            No. AHU-AH.01.09-0032388 dated 24 January 2024, the
              24 Januari 2024, susunan Dewan Komisaris, Direksi dan                             composition of the Company’s Board of Commisioners,
              Dewan Pengawas Syariah Perusahaan pada tanggal                                    Board of Directors and Sharia Supervisory Board of as of
              31 Desember 2023 adalah sebagai berikut:                                          31 December 2023 are as follows:

              Dewan Komisaris                                                                                                   Board of Commissioners
              Presiden Komisaris                           :            Kusmayanto Kadiman                   :                   President Commissioner
              Komisaris (Independen)                       :              Johanes Sutrisno                   :                Commissioner (Independent)
              Komisaris (Independen)                       :             Alfonso Napitupulu                  :                Commissioner (Independent)
              Komisaris                                    :           Sunata Tjiterosampurno                :                             Commissioner
              Komisaris                                    :          Saurabh Narayan Agarwal*               :                             Commissioner

              *) Mendapatkan Surat Persetujuan Hasil                                                                       *) Receive a Letter of Approval of Fit and
              Penilaian Kemampuan dan Kepatutan dari OJK                                                                  Proper Test from OJK on 8 December 2023
              pada tanggal 8 Desember 2023

              Direksi                                                                                                                Board of Directors
              Presiden Direktur                            :              Francis Lay Sioe Ho                :                         President Director
              Direktur Keuangan                            :                   Sudjono                       :                           Finance Director
              Direktur Bisnis                              :                    Sutadi                       :                          Business Director
              Direktur Operasional dan Sumber                                                                              Operations and Human Capital
                 Daya Manusia                              :              Andrew Adiwijanto                  :                                Director

              Dewan Pengawas Syariah                                                                                            Sharia Supervisory Board
              Ketua                                        :                 Asrori S. Karni                  :                                 Chairman
              Anggota                                      :                Helda Rahmi Sina                  :                                  Member




326                                                                                         PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 329
   MANAGEMENT DISCUSSION        GOOD CORPORATE                                                               ANNUAL FINANCIAL
                                                       SUSTAINABILITY          SUPPORTING DATA                                          APPENDICES
   AND ANALYSIS                 GOVERNANCE                                                                   STATEMENTS




                                                                                These Consolidated Financial Statements are Originally Issued
                                                                                                  in Indonesian Language


                                                       Ekshibit E/11                                                              Exhibit E/11

        PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                    PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
         CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                       NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
          UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                             FOR THE YEAR ENDED 31 DECEMBER 2023
        (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)           (Expressed in millions of Rupiah, unless otherwise stated)

      1. UMUM (Lanjutan)                                                  1.    GENERAL (Continued)

          g. Dewan Komisaris, Direksi, Dewan Pengawas Syariah,                  g. Board of Commissioners, Board of Directors, Sharia
             Komite Audit, Internal Audit, Sekretaris Perusahaan                   Supervisory Board, Audit Committee, Internal Audit,
             dan Karyawan (Lanjutan)                                               Corporate Secretary and Employees (Continued)

             Berdasarkan Akta Pernyataan Keputusan Rapat No. 18                      Based on Deed of Meeting Decision Letter No. 18 dated
             tanggal 29 Juni 2022 yang dibuat di hadapan Shanti Indah                29 June 2022 made before Shanti Indah Lestari, S.H.,
             Lestari, S.H., M.Kn, Notaris di Kabupaten Tangerang,                    M.Kn, Notary in Tangerang District, which has been
             yang telah diterima dan dicatat pada Kementerian Hukum                  accepted and recorded by the Ministry of Law and Human
             dan Hak Asasi Manusia Republik Indonesia dalam Surat                    Rights of the Republic of Indonesia in its Decision Letter
             No. AHU-AH.01.09-0036397 tanggal 25 Juli 2022 dan surat                 No. AHU-AH.01.09-0036397 dated 25 July 2022 and
             nomor AHU-AH.01.09.0037327 tanggal 27 Juli 2022,                        Decision Letter No. AHU-AH.01.09.0037327 dated 27 July
             susunan Dewan Komisaris, Direksi dan Dewan Pengawas                     2022, the composition of the Company’s Board of
             Syariah Perusahaan pada tanggal 31 Desember 2022                        Commisioners, Directors and Sharia Supervisory Board of
             adalah sebagai berikut:                                                 as of 31 December 2022 are as follows:
              Dewan Komisaris                                                                                      Board of Commissioners
              Presiden Komisaris                 :           Kusmayanto Kadiman                   :                 President Commissioner
              Komisaris (Independen)             :             Johanes Sutrisno                   :              Commissioner (Independent)
              Komisaris (Independen)             :            Alfonso Napitupulu                  :              Commissioner (Independent)
              Komisaris                          :           Dominic John Picone                  :                           Commissioner
              Komisaris                          :          Sunata Tjiterosampurno                :                           Commissioner

              Direksi                                                                                                    Board of Directors
              Presiden Direktur                  :             Francis Lay Sioe Ho                :                        President Director
              Direktur Keuangan                  :                  Sudjono                       :                          Finance Director
              Direktur Bisnis                    :                   Sutadi                       :                         Business Director
              Direktur Operasional dan Sumber                                                                  Operations and Human Capital
                 Daya Manusia                    :             Andrew Adiwijanto                  :                               Director
              Direktur Risiko Perusahaan         :           Sigit Hendra Gunawan                 :                  Enterprise Risk Director

              Dewan Pengawas Syariah                                                                                Sharia Supervisory Board
              Ketua                              :               Asrori S. Karni                   :                                Chairman
              Anggota                            :              Helda Rahmi Sina                   :                                 Member

              Susunan Komite Audit Perusahaan dan entitas anaknya                    The composition of the Audit Committee of the Company
              pada tanggal 31 Desember 2023 dan 2022 adalah sebagai                  and its subsidiary as of 31 December 2023 and
              berikut:                                                               2022, are as follows:

              Komite Audit                                                                                                   Audit Committee
              Ketua                              :               Johanes Sutrisno                  :                                Chairman
              Anggota                            :                   Edy Sugito                    :                                 Member
              Anggota                            :                Friso Palilingan                 :                                 Member

             Internal Audit                                                          Internal Audit

             Berdasarkan Surat Keputusan Direksi Perusahaan                          Based on the Virtue of the Board of Directors of
             No. SK/BOD/VII/14-009 tanggal 16 Juli 2014, Kepala                      the Company No. SK/BOD/VII/14-009 dated 16 July 2014,
             Unit Internal Audit Perusahaan pada tanggal                             Head of Internal Audit Unit of the Company as of
             31 Desember 2023 dan 2022 adalah Fledy Rizmara.                         31 December 2023 and 2022 is Fledy Rizmara.

             Sekretaris Perusahaan                                                   Corporate Secretary

             Berdasarkan Surat Keputusan Direksi Perusahaan                          Based on the Virtue of the Board of Directors of the
             No. BOD-BOC/VI/2014-0011 tanggal 24 Juni 2014,                          Company No. BOD-BOC/VI/2014-0011 dated 24 June
             Sekretaris Perusahaan pada tanggal 31 Desember 2023                     2014, Corporate Secretary as of 31 December 2023 and
             dan 2022 adalah Sudjono.                                                2022 is Sudjono.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                      327
Page 330
                           2023 PERFORMANCE                                                                      BUSINESS
 ABOUT THIS REPORT                                  REPORTS TO STAKEHOLDERS             COMPANY PROFILE
                           HIGHLIGHTS                                                                            SUPPORTING UNITS




                                                                                   These Consolidated Financial Statements are Originally Issued
                                                                                                     in Indonesian Language


                                                        Ekshibit E/12                                                                Exhibit E/12

       PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                         PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
        CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                            NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
         UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                  FOR THE YEAR ENDED 31 DECEMBER 2023
       (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)               (Expressed in millions of Rupiah, unless otherwise stated)

      1. UMUM (Lanjutan)                                                    1.     GENERAL (Continued)

         g. Dewan Komisaris, Direksi, Dewan Pengawas Syariah,                      g. Board of Commissioners, Board of Directors, Sharia
            Komite Audit, Internal Audit, Sekretaris Perusahaan                       Supervisory Board, Audit Committee, Internal Audit,
            dan Karyawan (Lanjutan)                                                   Corporate Secretary and Employees (Continued)
             Karyawan                                                                   Employees

             Jumlah karyawan Perusahaan dan entitas anaknya pada                        The total number of the Company and its subsidiary’s
             tanggal 31 Desember 2023 dan 2022 adalah sebagai                           employees as of 31 December 2023 and 2022 are as
             berikut:                                                                   follows:

                                                                  31 Desember/December
                                                           2023                      2022
             Karyawan tetap                                         6.326                               6.100              Permanent employees
             Karyawan tidak tetap                                   4.881                               4.011          Non-permanent employees
             Jumlah                                                11.207                             10.111                                 Total

             Personil manajemen kunci Perusahaan mencakup anggota                        Key management personnel of the Company consist of
             Dewan Komisaris dan Direksi.                                                members of Board of Commissioners and Board of
                                                                                         Directors.

    2. INFORMASI KEBIJAKAN AKUNTANSI MATERIAL                                 2.   MATERIAL ACCOUNTING POLICY INFORMATION

        Kebijakan-kebijakan akuntansi di bawah ini telah diterapkan                 The significant accounting policies set out below have been
        secara konsisten pada seluruh periode yang disajikan dalam                  applied consistently to all periods presented in these
        laporan keuangan konsolidasian ini.                                         consolidated financial statements.

        Laporan keuangan konsolidasian Perusahaan dan entitas                       The consolidated financial statements of the Company and
        anaknya disetujui untuk diterbitkan oleh Direksi pada tanggal               its subsidiary were authorized for issuance by Board of
        23 Februari 2024.                                                           Directors on 23 February 2024.

        a.   Pernyataan Kepatuhan                                                   a. Statement of Compliance
             Laporan keuangan konsolidasian telah disusun dan                           The consolidated financial statements have been
             disajikan sesuai dengan Standar Akuntansi Keuangan di                      prepared and presented in accordance with Indonesian
             Indonesia (“PSAK”), termasuk Interpretasi Standar                          Financial Accounting Standards (“IFAS”), which includes
             Akuntansi Keuangan, yang diterbitkan oleh Ikatan                           the Interpretations of Financial Accounting Standards,
             Akuntan Indonesia (IAI) dan Peraturan Badan Pengawas                       issued by the Indonesian Institute of Accountants
             Pasar Modal dan Lembaga Keuangan (“Bapepam-LK”, yang                       and the Capital Market and Financial Institution
             fungsinya dialihkan kepada Otoritas Jasa Keuangan                          Supervisory Agency (“Bapepam-LK”, which the function
             (“OJK”) sejak tanggal 1 Januari 2013) No. VIII.G.7 tentang                 has been transferred to Financial Service Authority
             “Penyajian dan Pengungkapan Laporan Keuangan Emiten                        (“OJK”) since 1 January 2013) Regulation No. VIII.G.7
             atau Perusahaan Publik” yang terdapat dalam Lampiran                       regarding “Emiten or Public Compony’s Financial
             Keputusan Ketua Bapepam-LK No. KEP-347/BL/2012                             Statements Presentation and Disclosure Guidelines” as
             tanggal 25 Juni 2012.                                                      included in the Appendix of the Decision Decree of the
                                                                                        Chairman of Bapepam-LK No. KEP-347/BL/2012 dated
                                                                                        25 June 2012.

         b. Dasar Penyusunan Laporan Keuangan Konsolidasian                        b.   Basis of Preparation of the Consolidated Financial
                                                                                        Statements

             Laporan keuangan konsolidasian, kecuali laporan arus kas                   The consolidated financial statements, except the
             konsolidasian, disusun atas dasar akrual dan berdasarkan                   consolidated statement of cash flows, were prepared on
             konsep nilai historis, kecuali untuk instrumen keuangan                    the accrual basis and under the historical cost concepts,
             derivatif yang diukur pada nilai wajar dan utang atas                      excepts for derivative financial instruments which are
             kewajiban imbalan pasca-kerja yang diakui sebesar nilai                    measured at fair value and the liability for post-
             kini kewajiban imbalan pasti dikurangi dengan nilai wajar                  employment benefit obligations which is recognized at
             aset program.                                                              the present value of defined benefit obligations less the
                                                                                        fair value of plan asset.

             Laporan arus kas konsolidasian disusun dengan                              The consolidated statement of cash flows are prepared
             menggunakan metode langsung dengan mengelompokkan                          based on the direct method by classifying cash flows on
             arus kas ke dalam aktivitas operasi, investasi dan                         the basis of operating, investing and financing activities.
             pendanaan.




328                                                                                PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 331
   MANAGEMENT DISCUSSION         GOOD CORPORATE                                                        ANNUAL FINANCIAL
                                                        SUSTAINABILITY    SUPPORTING DATA                                          APPENDICES
   AND ANALYSIS                  GOVERNANCE                                                            STATEMENTS




                                                                            These Consolidated Financial Statements are Originally Issued
                                                                                              in Indonesian Language


                                                        Ekshibit E/13                                                         Exhibit E/13

        PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                  PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
         CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                     NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
          UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                           FOR THE YEAR ENDED 31 DECEMBER 2023
        (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)        (Expressed in millions of Rupiah, unless otherwise stated)

      2. INFORMASI KEBIJAKAN AKUNTANSI MATERIAL (Lanjutan)               2. MATERIAL ACCOUNTING POLICY INFORMATION (Continued)

         b.    Dasar Penyusunan Laporan Keuangan Konsolidasian              b. Basis of Preparation of the Consolidated Financial
               (Lanjutan)                                                      Statements (Continued)

               Seluruh angka dalam laporan keuangan konsolidasian ini          Figures in the consolidated financial statements are
               dibulatkan menjadi dan disajikan dalam jutaan Rupiah            rounded to and expressed in millions of Rupiah, unless
               yang terdekat, kecuali dinyatakan lain.                         otherwise stated.

               Transaksi-transaksi yang termasuk dalam laporan                 Items included in the consolidated financial statements
               keuangan konsolidasian pada tiap entitas diukur dengan          of each entities are measured using the currency of
               mata uang lingkungan ekonomi utama di mana entitas              primary economic environment in which the entity
               beroperasi (mata uang fungsional). Laporan keuangan             operates (the functional currency). The consolidated
               konsolidasian disajikan dalam Rupiah, yang merupakan            financial statements are presented in Rupiah, which is
               mata uang fungsional dan penyajian Perusahaan dan               the Company and its subsidiary’ functional and
               entitas anaknya.                                                presentation currency.

               Kebijakan-kebijakan akuntansi di bawah ini telah                The significant accounting policies set out below have
               ditetapkan secara konsisten pada seluruh periode yang           been applied consistenly to all periods presented in these
               disajikan dalam laporan keuangan ini.                           financial statements.

          c.   Perubahan Kebijakan Akuntansi                                c. Change in Accounting Policies

               Perubahan atas Pernyataan Standar Akuntansi                     Changes to Statement of Financial Accounting
               Keuangan (“PSAK”) dan Interpretasi Standar Akuntansi            Standards (" SFAS ") and Interpretations of Financial
               Keuangan (“ISAK”) yang berlaku efektif pada periode             Accounting Standards (" IFAS ") effective in the current
               berjalan                                                        period
               Perusahaan dan entitas anaknya menerapkan pertama               The Company and its subsidiary made first time adoption
               kali seluruh standar baru dan/atau yang direvisi yang           of all the new and/or revised standards effective for the
               berlaku efektif untuk periode yang dimulai pada atau            periods beginning on or after 1 January 2023, including
               setelah 1 Januari 2023, termasuk standar yang direvisi          the following revised standards that have affected the
               berikut ini yang mempengaruhi laporan keuangan                  consolidated financial statements of the Company and its
               konsolidasian Perusahaan dan entitas anaknya.                   subsidiary.
               Penerapan standar dan interpretasi yang baru dan                The adoption of the following new and revised standard
               direvisi berikut ini tidak menghasilkan perubahan besar         and interpretation did not result in substantial changes
               terhadap kebijakan akuntansi Perusahaan dan entitas             to the Company and its subsidiary’s accounting policies
               anaknya dan tidak memiliki dampak material pada                 and had no material effect on the amounts reported for
               jumlah yang dilaporkan untuk tahun keuangan saat ini            the current or prior financial years:
               atau sebelumnya:
               -    Amandemen PSAK 1: “Penyajian Laporan Keuangan:              -   Amendment        to    SFAS     1:     "Presentation
                    Pengungkapan Kebijakan Akuntansi”;                              of Financial Statements: Disclosure of Accounting
                                                                                    Policies”;
               -    Amandemen PSAK 16: “Aset Tetap”;                            -   Amendment to SFAS 16: "Fixed Assets”;
               -    Amandemen PSAK 25: “Kebijakan Akuntansi,                    -   Amendment to SFAS 25: "Accounting Policies,
                    Perubahan Estimasi Akuntansi, dan Kesalahan:                    Changes in Accounting Estimates, and Errors:
                    Definisi Estimasi Akuntansi”;                                   Definition of Accounting Estimates";
               -    Amandemen PSAK 46: “Pajak Penghasilan”;                     -   Amendment to SFAS 46: "Income Tax ";
               -    Revisi PSAK 107: “Akuntansi Ijarah”.                        -   Revision of SFAS 107: “Ijarah Accounting”

               Amandemen standar berikut berlaku efektif untuk                  Amendments of the following standards effective for
               periode yang dimulai pada atau setelah 1 Januari 2024            the year beginning on or after 1 January 2024 are as
               yaitu:                                                           follows:
               -    Amandemen PSAK 1 “Penyajian Laporan Keuangan”               -   Amendment to SFAS 1 “Presentation of Financial
                                                                                    Statements”
               -    Amandemen PSAK 73 “Sewa”                                    -   Amendment to SFAS 73 “Leases”
               Manajemen berpendapat penerapan dari amandemen                   Management believes the adoption of amendment and
               dan revisi diatas tidak menimbulkan perubahan material           revision has no impact on the material accounting
               atas kebijakan akuntansi Perusahaan dan entitas anaknya          policies of the Company and Its subsidiary and has
               dan tidak berdampak signifikan pada Laporan Keuangan             significant on the Consolidated Financial Statements.
               Konsolidasian.
               Mulai tanggal 1 Januari 2024, DSAK IAI mengumumkan               From 1 January 2024, DSAK IAI has announced the
               perubahan penomoran referensi PSAK dan ISAK.                     changes of reference numbering of PSAK and ISAK.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                 329
Page 332
                           2023 PERFORMANCE                                                                     BUSINESS
 ABOUT THIS REPORT                                   REPORTS TO STAKEHOLDERS           COMPANY PROFILE
                           HIGHLIGHTS                                                                           SUPPORTING UNITS




                                                                                  These Consolidated Financial Statements are Originally Issued
                                                                                                    in Indonesian Language


                                                        Ekshibit E/14                                                               Exhibit E/14

       PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                         PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
        CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                            NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
         UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                  FOR THE YEAR ENDED 31 DECEMBER 2023
       (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)               (Expressed in millions of Rupiah, unless otherwise stated)

      2. INFORMASI KEBIJAKAN AKUNTANSI MATERIAL (Lanjutan)                     2. MATERIAL ACCOUNTING POLICY INFORMATION (Continued)

        d. Prinsip Konsolidasian                                                  d.   Principles of Consolidation

            Laporan keuangan konsolidasian meliputi laporan                            The consolidated financial statement consists of the
            keuangan Perusahaan dan Entitas Anak. Transaksi antar                      Company and its Subsidiary financial statements.
            entitas dan saldo antara Perusahaan dan Entitas anak                       Intercompany transactions and balance between Group
            dieliminasi secara penuh.                                                  Companies are therefore eliminated in full.
            Entitas Anak merupakan investee yang dikendalikan oleh                     A subsidiary is when an entity has control over an
            Perusahaan. Perusahaan mengendalikan investee jika tiga                    investee. The entity controls an investee if all three of
            elemen berikut terpenuhi: pengendalian atas investee,                      the following elements are present: power over the
            eksposur atas hak imbal hasil variable dari keterlibatannya                investee, exposure to variable returns from the
            dengan investee, dan kemampuan untuk menggunakan                           investee, and the ability of the investor to use its power
            pengendaliannya atas investee untuk mempengaruhi                           to affect those variable returns. Control is reassessed
            jumlah imbal hasil variabel dari investor. Pengendalian                    whenever facts and circumstances indicate that there
            dapat dikaji kembali ketika fakta dan kondisi                              may be a change in any of these elements of control.
            mengindikasikan terdapat kemungkinan perubahan pada
            elemen pengendalian tersebut.

            Kepentingan nonpengendali merupakan proporsi atas hasil                    Non-controlling interests represent the proportion of
            usaha dan aset neto Entitas Anak yang tidak diatribusikan                  the results and net assets of Subsidiary not attributable
            pada Perusahaan.                                                           to the Company.

            Perusahaan     mengakui    kepentingan    nonpengendali                    The Company recognizes any non-controlling interest in
            pada pihak yang diakuisisi baik sebesar nilai wajar atau                   the acquiree on an acquisitions-by-acquisition basis,
            sebesar bagian proporsional kepentingan nonpengendali                      either at fair value or at the non-controlling interest
            atas aset neto pihak yang diakuisisi. Kepentingan                          proportionate share of the acquiree’s net assets. Non-
            nonpengendali disajikan di ekuitas dalam laporan posisi                    controlling interests is reported as equity in the
            keuangan konsolidasian, terpisah dari ekuitas pemilik                      consolidated statement of financial position, separate
            Entitas Induk.                                                             from the owner of the Parent’s equity.

         e. Aset dan Liabilitas Keuangan                                          e. Financial Assets and Liabilities

            Aset keuangan diklasifikasikan ke dalam kategori                           Financial assets are classified in categories of
            (i) diukur pada nilai wajar melalui laporan laba rugi,                     (i) fair value through profit or loss, (ii) amortised cost,
            (ii) biaya perolehan diamortisasi, dan (iii) aset keuangan                 and (iii) fair value through        other comprehensive
            yang diukur pada nilai wajar pendapatan komprehensif                       income. At initial measurement, financial assets
            lain. Pada pengakuan awal, aset keuangan diukur pada                       determined based on fair value, added with transactions
            nilai wajar, ditambah biaya transaksi yang dapat                           cost attributable direct to financial assets. Management
            diatribusikan langsung untuk aset keuangan yang yang                       determines the classification of its financial assets prior
            diukur pada biaya perolehan diamortisasi dan pendapatan                    initial recognition based on assessment of businesss
            komprehensif lain. Manajemen menentukan klasifikasi aset                   model for managing the financial assets or contractual
            keuangan tersebut setelah pengakuan awal aset keuangan                     cashflows give rise to solely payments of principal and
            berdasarkan model bisnis entitas dalam mengelola aset                      interest.
            keuangan atau karakteristik arus kas kontraktual hanya
            dari pembayaran pokok dan bunga saja.

            e.1. Klasifikasi                                                           e.1. Classification

                 Perusahaan dan entitas anaknya mengklasifikasi aset                       The Company and its subsidiary classify its financial
                 keuangannya dalam kategori:                                               assets into the following category:

                 (i) Aset keuangan yang diukur pada nilai wajar                            (i) Financial assets at fair value through profit or
                     melalui laporan laba rugi                                                 loss

                     Aset keuangan yang diukur pada nilai wajar                               Financial assets at fair value through profit
                     melalui laporan laba rugi adalah aset keuangan                           or loss are financial assets classified as held for
                     yang diperdagangkan. Entitas dapat menetapkan                            trading. Entity may determine at initial
                     pilihan yang tidak dapat dibatalkan pada saat                            classification of an uncancellable chosen category
                     pengakuan awal atas investasi pada intrumen                              of an financial asset on a certain equity
                     ekuitas tertentu yang pada umumnya diukur pada                           instrument which commonly measured the fair
                     nilai wajar melalui laba rugi sehingga perubahan                         value through profit and loss rise change in the
                     nilai wajarnya disajikan dalam penghasilan                               fair value presented under fair value through
                     komprehensif lain.                                                       other comprehensive income.




330                                                                               PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 333
   MANAGEMENT DISCUSSION            GOOD CORPORATE                                                               ANNUAL FINANCIAL
                                                          SUSTAINABILITY         SUPPORTING DATA                                              APPENDICES
   AND ANALYSIS                     GOVERNANCE                                                                   STATEMENTS




                                                                                  These Consolidated Financial Statements are Originally Issued
                                                                                                    in Indonesian Language


                                                          Ekshibit E/15                                                                 Exhibit E/15

           PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                   PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
            CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                      NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
             UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                            FOR THE YEAR ENDED 31 DECEMBER 2023
           (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)         (Expressed in millions of Rupiah, unless otherwise stated)

      2.     INFORMASI KEBIJAKAN AKUNTANSI MATERIAL (Lanjutan)              2.     MATERIAL ACCOUNTING POLICY INFORMATION (Continued)

             e. Aset dan Liabilitas Keuangan (Lanjutan)                            e. Financial Assets and Liabilities (Continued)

                e.1. Klasifikasi (Lanjutan)                                           e.1. Classification (Continued)

                    Perusahaan dan entitas anaknya mengklasifikasi aset                    The Company and its subsidiary classify its financial
                    keuangannya dalam kategori: (Lanjutan)                                 assets into the following category: (Continued)

                    (ii) Biaya perolehan diamortisasi                                      (ii) Amortised cost

                        Aset keuangan diukur pada biaya perolehan                                  Financial assets determined under amortised
                        diamortisasi jika memenuhi kriteria sebagai                                cost if met criteria as autlined below:
                        berikut:

                        a. aset keuangan dikelola dalam bisnis yang                                a. financial assets held within a business
                           bertujuan untuk memiliki arus kas keuangan                                 whose objective is to hold financial assets
                           dalam    rangka   mendapatkan    arus  kas                                 in order to collect contractual cashflows;
                           kontraktual; dan                                                           and
                        b. persyaratan kontraktual aset keuangan yang                              b. determining contractual financial assets
                           menimbulkan arus kas yang hanya dari                                       give rise to solely payments of principal and
                           pembayaran pokok dan bunga.                                                interest.

                        Pada saat pengakuan awal, aset keuangan diakui                              Financial assets are initially recognised at fair
                        pada nilai wajarnya ditambah nilai transaksi dan                            value plus transaction costs and subsequently
                        selanjutnya diukur pada biaya perolehan                                     measured at amortised cost using the
                        diamortisasi dengan menggunakan metode suku                                 effective interest rate method, less provision
                        bunga efektif, dikurangi cadangan penurunan                                 for impairment.
                        nilai.

                    (iii) Aset keuangan yang diukur pada nilai wajar                        (iii) A Fair value through other comprehensive
                          penghasilan komprehensif lain                                           income

                        Aset keuangan yang diukur pada nilai wajar                                  Fair value through other comprehensive
                        pendapatan komprehensif lain adalah aset                                    income are non-derivative financial assets
                        keuangan non-derivatif dengan pembayaran tetap                              with fixed or determined payments and fixed
                        atau telah ditentukan dan jatuh temponya telah                              maturities that the management has positive
                        ditetapkan, serta manajemen mempunyai intensi                               intention and ability to hold to maturity,
                        positif dan kemampuan untuk memiliki aset                                   other than:
                        keuangan tersebut hingga jatuh tempo, kecuali:

                        a. Aset keuangan dikelola dalam model bisnis                                 a. Financial assets managed under business
                           yang tujuannya akan terpenuhi dengan                                         model which its objective is to both
                           mendapatkan arus kas kontraktual dan                                         collect the contractual cash flows and
                           menjual aset keuangan; dan                                                   sell the financial assets; and
                        b. Persyaratan kontraktual dari aset keuangan                                b. Contractual cash flows characteristics
                           tersebut memberikan hak pada tanggal                                         test resulting rights on certain basic term
                           tertentu atas arus kas yang hanya dari                                       of cashflows meets the solely payments
                           pembayaran pokok dan bunga dari jumlah                                       of principal and interest.
                           pokok terutang.

                   Perusahaan dan entitas anaknya mengklasifikasi                          The Company and its subsidiary classify its financial
                   liabilitas keuangannya dalam kategori:                                  liabilities into the following category:

                     (i) Liabilitas keuangan yang diukur pada nilai wajar                  (i)     Financial liabilities at fair value through
                         melalui laporan laba rugi                                                 profit or loss

                         Liabilitas keuangan yang diukur pada nilai wajar                          Financial liabilities at fair value through profit
                         melalui laporan laba rugi adalah liabilitas                               or loss are financial liabilities classified as held
                         keuangan yang diperdagangkan.                                             for trading.

                        Liabilitas keuangan diklasifikasikan sebagai                               A financial liability is classified as held for
                        liabilitas keuangan yang diperdagangkan jika                               trading if it is acquired principally for the
                        perolehannya ditujukan untuk dijual atau dibeli                            purpose of selling or repurchasing it in the
                        kembali dalam waktu dekat dan terdapat adanya                              short-term and there is evidence of a recent
                        kecenderungan ambil untung.                                                actual pattern of profit taking.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                              331
Page 334
                           2023 PERFORMANCE                                                                      BUSINESS
 ABOUT THIS REPORT                                     REPORTS TO STAKEHOLDERS          COMPANY PROFILE
                           HIGHLIGHTS                                                                            SUPPORTING UNITS




                                                                                   These Consolidated Financial Statements are Originally Issued
                                                                                                     in Indonesian Language


                                                         Ekshibit E/16                                                               Exhibit E/16

        PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                          PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
         CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                             NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
          UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                   FOR THE YEAR ENDED 31 DECEMBER 2023
        (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                (Expressed in millions of Rupiah, unless otherwise stated)

   2.     INFORMASI KEBIJAKAN AKUNTANSI MATERIAL (Lanjutan)                 2.     MATERIAL ACCOUNTING POLICY INFORMATION (Continued)
          e. Aset dan Liabilitas Keuangan (Lanjutan)                               e. Financial Assets and Liabilities (Continued)

            e.1. Klasifikasi (Lanjutan)                                                e.1. Classification (Continued)
                  Perusahaan dan entitas anaknya mengklasifikasi                            The Company and its subsidiary classifies its
                  liabilitas keuangannya dalam kategori: (Lanjutan)                         financial liabilities into the following category:
                                                                                            (Continued)
                 (ii) Liabilitas keuangan yang diukur dengan biaya                          (ii) Financial liabilities measured at amortized
                      perolehan diamortisasi                                                     cost

                     Liabilitas keuangan yang tidak diklasifikasikan                            Financial liabilities that are not classified as at
                     sebagai liabilitas keuangan yang diukur pada nilai                         fair value through profit and loss fall into this
                     wajar melalui laporan laba rugi diklasifikasikan                           category and are measured at amortized cost.
                     dalam kategori ini dan diukur pada biaya
                     perolehan diamortisasi.

                 Perusahaan dan entitas anaknya mengelompokkan                               The Company and its subsidiary classify all of its
                 seluruh liabilitas keuangannya sebagai liabilitas                           financial liabilities as other financial liabilities
                 keuangan lainnya yang diukur pada biaya perolehan                           measured at amortized cost, except for derivative
                 diamortisasi, kecuali untuk liabilitas derivatif yang                       liabilities which are classified as financial
                 diklasifikasikan sebagai instrumen keuangan yang                            instruments measured at fair value through profit
                 diukur pada nilai wajar melalui laba rugi.                                  or loss (“FVTPL”).

            e.2. Pengakuan                                                             e.2. Recognition

                 Perusahaan dan entitas anaknya pada awalnya                                The Company and its subsidiary initially recognize
                 mengakui aset dan liabilitas keuangan pada tanggal                         financial assets and liabilities on the date of their
                 perolehan aset dan liabilitas keuangan tersebut.                           origination.

                 Pada saat pengakuan awal, aset atau liabilitas                             At intial recognition, the Company and its
                 keuangan Perusahaan dan entitas anaknya diukur                             subsidiary’s financial assets or liabilities are
                 pada nilai wajar ditambah/dikurangi (untuk instrumen                       measured at fair value plus/minus (for financial
                 keuangan yang tidak diukur pada nilai wajar melalui                        instruments not subsequently measured at fair
                 laba rugi setelah pengakuan awal) biaya transaksi                          value through profit or loss) transaction costs that
                 yang dapat diatribusikan secara langsung atas                              are directly attributable to the acquisition of
                 perolehan aset keuangan atau penerbitan liabilitas                         financial assets or issue of financial liabilities.
                 keuangan. Pengukuran aset dan liabilitas keuangan                          The subsequent measurement of financial assets
                 setelah pengakuan awal tergantung pada klarifikasi                         and liabilities depends on their classifications.
                 aset dan liabilitas keuangan tersebut.

                 Biaya transaksi hanya meliputi biaya-biaya yang dapat                      Transaction costs include only those costs that are
                 diatribusikan secara langsung untuk perolehan suatu                        directly attributable to the acquisition of a
                 aset keuangan atau penerbitan suatu liabilitas                             financial asset or issuance of a financial liability and
                 keuangan dan merupakan biaya tambahan yang tidak                           they are incremental costs that would not have been
                 akan terjadi apabila instrumen keuangan tersebut                           incurred if the instrument had not been acquired or
                 tidak diperoleh atau diterbitkan. Untuk aset                               issued. In the case of financial assets, transaction
                 keuangan, biaya transaksi ditambahkan pada jumlah                          costs are added to the amount recognized initially,
                 yang diakui pada awal pengakuan aset, sedangkan                            while for financial liabilities, transaction costs are
                 untuk liabilitas keuangan, biaya transaksi dikurangkan                     deducted from the amount of debt recognized
                 dari jumlah utang yang diakui pada awal pengakuan                          initially. Such transaction costs are amortized over
                 liabilitas. Biaya transaksi tersebut diamortisasikan                       the terms of the instruments based on the effective
                 selama umur instrumen berdasarkan metode suku                              interest method and are recorded as part of
                 bunga efektif dan dicatat sebagai bagian dari                              financing income for transaction costs related to
                 pendapatan pembiayaan untuk biaya transaksi                                financial assets and as part of interest and financing
                 sehubungan dengan aset keuangan dan sebagai bagian                         charges for transaction costs related to financial
                 dari beban bunga dan keuangan untuk biaya transaksi                        liabilities.
                 sehubungan dengan liabilitas keuangan.

                 Setelah pengakuan awal, pinjaman yang diberikan dan                        Subsequent to initial recognition, loans and
                 piutang dicatat pada biaya perolehan diamortisasi                          receivables are measured at amortized cost using
                 dengan menggunakan metode suku bunga efektif.                              the effective interest method.




332                                                                                 PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 335
   MANAGEMENT DISCUSSION          GOOD CORPORATE                                                            ANNUAL FINANCIAL
                                                          SUSTAINABILITY        SUPPORTING DATA                                         APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                                STATEMENTS




                                                                                 These Consolidated Financial Statements are Originally Issued
                                                                                                   in Indonesian Language


                                                         Ekshibit E/17                                                             Exhibit E/17

           PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                  PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
            CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                     NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
             UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                           FOR THE YEAR ENDED 31 DECEMBER 2023
           (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)        (Expressed in millions of Rupiah, unless otherwise stated)

      2.    INFORMASI KEBIJAKAN AKUNTANSI MATERIAL (Lanjutan)              2.    MATERIAL ACCOUNTING POLICY INFORMATION (Continued)
            e. Aset dan Liabilitas Keuangan (Lanjutan)                           e. Financial Assets and Liabilities (Continued)

               e.2. Pengakuan (Lanjutan)                                             e.2. Recognition (Continued)
                    Setelah pengakuan awal, Perusahaan mengukur                          Subsequent to initial recognition, the Company
                    seluruh liabilitas keuangan dicatat pada biaya                       measures all financial liabilities at amortized cost
                    perolehan diamortisasi dengan menggunakan metode                     using the effective interest method.
                    suku bunga efektif.

                e.3. Penghentian pengakuan                                          e.3. Derecognition

                    Perusahaan dan entitas anaknya menghentikan                          The Company and its subsidiary derecognize a
                    pengakuan aset keuangan pada saat hak kontraktual                    financial asset when the contractual rights to the
                    atas arus kas yang berasal dari aset keuangan                        cash flows from the asset expire, or when the
                    tersebut kadaluarsa, atau pada saat Perusahaan dan                   Company and its subsidiary transfer the rights to
                    entitas anaknya mentransfer seluruh hak untuk                        receive the contractual cash flows on the financial
                    menerima arus kas kontraktual dari aset keuangan                     asset in a transaction in which substantially all the
                    dalam transaksi di mana Perusahaan secara                            risks and rewards of ownership of the financial asset
                    substansial telah mentransfer seluruh risiko dan                     are transferred. Any interest in transferred financial
                    manfaat atas kepemilikan aset keuangan yang                          assets that is created or retained by the Company is
                    ditransfer. Setiap hak atau kewajiban atas aset                      recognized as a separate asset or liability.
                    keuangan yang ditransfer yang timbul atau yang
                    masih dimiliki oleh Perusahaan diakui sebagai aset
                    atau liabilitas secara terpisah.

                    Perusahaan dan entitas anaknya menghentikan                          The Company and its subsidiary derecognize
                    pengakuan     piutang   pembiayaan      pada    saat                 financing receivables at the time when the vehicle
                    dilakukannya penarikan jaminan kendaraan. Selain                     collateral has been taken out. In addition, the
                    itu, Perusahaan menghentikan pengakuan liabilitas                    Company derecognizes a financial liability when its
                    keuangan pada saat liabilitas yang ditetapkan dalam                  contractual obligations are discharged or cancelled
                    kontrak dilepaskan atau dibatalkan atau kadaluarsa.                  or expired.

                    Dalam transaksi di mana Perusahaan dan entitas                       In transaction where the Company and its subsidiary
                    anaknya secara subtansial tidak memiliki atau tidak                  neither retain nor transfer substantially all the risks
                    mentransfer seluruh risiko dan manfaat atas                          and rewards of a financial asset, the Company and its
                    kepemilikan aset keuangan, Perusahaan dan entitas                    subsidiary derecognize the asset if it does not retain
                    anaknya menghentikan pengakuan aset tersebut jika                    control over the asset. The right and obligation
                    Perusahaan tidak lagi memiliki pengendalian atas                     retained in the transfer are recognized separately as
                    aset tersebut. Hak dan kewajiban yang timbul atau                    assets and liabilities as appropriate. In transfers
                    yang masih dimiliki dalam transfer tersebut diakui                   where control over the asset is retained, the
                    secara terpisah sebagai aset atau liabilitas. Dalam                  Company and its subsidiary continue to recognize the
                    transfer di mana pengendalian atas aset masih                        asset to the extent of its continuing involvement
                    dimiliki, Perusahaan dan entitas anaknya tetap                       determined by the extent to which it is exposed to
                    mengakui aset yang ditransfer tersebut sebesar                       changes in the value of the transferred asset.
                    keterlibatan berkelanjutan yang ditentukan oleh
                    besarnya perubahan nilai aset yang ditransfer.

                    Perusahaan dan entitas anaknya menghapus bukukan                     The Company and its subsidiary write off a financing
                    saldo piutang pembiayaan, pada saat Perusahaan dan                   receivables, when the Company and its subsidiary
                    entitas anaknya menentukan bahwa aset tersebut                       determine that the asset is uncollectible. This
                    tidak dapat ditagih lagi. Keputusan ini diambil                      decision was taken after consideration of
                    setelah mempertimbangkan informasi seperti telah                     information such as the occurrence of significant
                    terjadinya perubahan signifikan pada kemampuan                       changes to the financial ability of consumers so that
                    keuangan konsumen sehingga konsumen tidak lagi                       consumers can no longer pay the loan, or consumer
                    dapat melunasi liabilitasnya, atau konsumen atau                     or units being financed cannot be found or is
                    unit yang dibiayai tidak dapat ditemukan atau                        controlled by third party or the net realizable value
                    dikuasai oleh pihak ketiga atau nilai realisasi neto                 of collateral is not expected to be sufficient to pay
                    atas jaminan yang dikuasai kembali diperkirakan                      the entire exposure for the financing receivables.
                    tidak akan cukup untuk melunasi seluruh ekposur
                    piutang pembiayaan.
                    Penerimaan atau pemulihan kembali aset keuangan                      Collection or recovery of financial assets which had
                    yang telah dihapusbukukan dicatat sebagai                            been written-off is recorded as other income.
                    pendapatan lain-lain.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                       333
Page 336
                              2023 PERFORMANCE                                                                        BUSINESS
 ABOUT THIS REPORT                                       REPORTS TO STAKEHOLDERS            COMPANY PROFILE
                              HIGHLIGHTS                                                                              SUPPORTING UNITS




                                                                                        These Consolidated Financial Statements are Originally Issued
                                                                                                          in Indonesian Language


                                                            Ekshibit E/18                                                                 Exhibit E/18

      PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                              PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
       CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                                 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
        UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                       FOR THE YEAR ENDED 31 DECEMBER 2023
      (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                     (Expressed in millions of Rupiah, unless otherwise stated)

    2. INFORMASI KEBIJAKAN AKUNTANSI MATERIAL (Lanjutan)                           2.   MATERIAL ACCOUNTING POLICY INFORMATION (Continued)

       e. Aset dan Liabilitas Keuangan (Lanjutan)                                       e. Financial Assets and Liabilities (Continued)

            e.4. Saling hapus                                                              e.4. Offsetting

                     Aset dan liabilitas keuangan dapat saling hapus dan                         Financial assets and liabilities are offset and the net
                     nilai netonya disajikan dalam laporan posisi                                amount is presented in the statement of financial
                     keuangan jika, dan hanya jika, Perusahaan dan                               position when and only when, the Company and its
                     entitas anaknya memiliki hak yang berkekuatan                               subsidiary have legally enforceable rights to offset
                     hukum untuk melakukan saling hapus atas                                     the recognized amounts and intends either to settle
                     jumlah yang telah diakui tersebut dan berniat untuk                         on a net basis or to realize the asset and settle the
                     menyelesaikan       secara   neto    atau     untuk                         liability simultaneously.
                     merealisasikan aset dan menyelesaikan liabilitasnya
                     secara bersamaan.

                     Pendapatan dan beban disajikan dalam jumlah neto                           Income and expenses are presented on a net basis
                     hanya jika diperkenankan oleh standar akuntansi.                           only when permitted by accounting standards.

            e.5. Pengukuran biaya perolehan diamortisasi                                    e.5. Amortized cost measurement

                     Biaya perolehan diamortisasi dari aset atau liabilitas                      The amortized cost of a financial asset or liability is
                     keuangan adalah jumlah aset atau liabilitas                                 the amount at which the financial asset or liability
                     keuangan yang diukur pada saat pengakuan awal,                              is measured at initial recognition, minus principal
                     dikurangi pembayaran pokok, ditambah atau                                   repayments, plus or minus the cumulative
                     dikurangi dengan amortisasi kumulatif dengan                                amortization using the effective interest method of
                     menggunakan metode suku bunga efektif yang                                  any difference between the initial amount
                     dihitung dari selisih antara nilai awal dan nilai jatuh                     recognized and the maturity amount, minus any
                     temponya, dikurangi penyisihan kerugian penurunan                           reduction for impairment.
                     nilai.

            e.6. Identifikasi dan pengukuran penurunan nilai aset                           e.6. Identification and measurement of impairment
                 keuangan                                                                        for financial assets

                     Penurunan    nilai diukur berdasarkan PSAK 71                               Impairment of financial assets measured by SFAS 71
                     mensyaratkan pengakuan segera atas dampak                                   required immediate recognition of expected credit
                     perubahan kerugian kredit ekspektasian setelah                              losses at the initial recognition of financial assets
                     pengakuan awal aset keuangan yang tidak diukur                              that are not carried at fair value measured by
                     pada nilai wajar berdasarkan kerugian kredit                                expected credit loss. At the initial recognition, the
                     ekspektasian. Pada saat pengakuan awal,                                     Company and its subsidiary measured allowance of
                     Perusahaan dan entitas anaknya mengukur                                     impairment of financial assets using 12-months
                     penyisihan kerugian untuk aset keuangan tersebut                            expected credit losses (Stage 1).
                     sejumlah kerugian kredit ekspektasian 12 bulan
                     (Tahap 1).

                     Pada setiap tanggal pelaporan, Perusahaan dan                               The Company and its subsidiary at each reporting
                     entitas anaknya mengukur penyisihan kerugian aset                           date, measured allowance of impairment losses of
                     keuangan sejumlah kerugian kredit ekspektasian                              financial assets using lifetime expected credit
                     sepanjang umurnya, jika risiko kredit atas aset                             losses if there’s significant increase in credit risk
                     keuangan tersebut telah meningkat secara signifikan                         (Stage 2) or become credit impaired (Stage 3).
                     sejak pengakuan awal (Tahap 2) atau menjadi                                 Otherwise, the Company and its subsidiary continue
                     memburuk (Tahap 3). Jika tidak, Perusahaan dan                              to measure allowance of impairment losses of
                     entitas anaknya tetap mengukur penyisihan kerugian                          financial assets using 12-months expected credit
                     untuk aset keuangan tersebut sejumlah kerugian                              losses (Stage 1).
                     kredit ekspektasian 12 bulan (Tahap 1).




334                                                                                     PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 337
   MANAGEMENT DISCUSSION           GOOD CORPORATE                                                                ANNUAL FINANCIAL
                                                           SUSTAINABILITY         SUPPORTING DATA                                           APPENDICES
   AND ANALYSIS                    GOVERNANCE                                                                    STATEMENTS




                                                                                   These Consolidated Financial Statements are Originally Issued
                                                                                                     in Indonesian Language


                                                           Ekshibit E/19                                                              Exhibit E/19

           PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                   PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
            CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                      NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
             UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                            FOR THE YEAR ENDED 31 DECEMBER 2023
           (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)          (Expressed in millions of Rupiah, unless otherwise stated)

      2.     INFORMASI KEBIJAKAN AKUNTANSI MATERIAL (Lanjutan)               2.     MATERIAL ACCOUNTING POLICY INFORMATION (Continued)

             e. Aset dan Liabilitas Keuangan (Lanjutan)                              e. Financial Assets and Liabilities (Continued)

                e.6. Identifikasi dan pengukuran penurunan nilai aset                   e.6. Identification and measurement of impairment
                     keuangan (Lanjutan)                                                     for financial assets (Continued)

                     Peningkatan risiko kredit yang signifikan dievaluasi                   Significant increase in credit risk is assessed by
                     dengan membandingkan risiko wanprestasi suatu                          comparing the risk of default of financial assets at
                     aset keuangan pada saat tanggal pelaporan terhadap                     the reporting date to the origination date. Whether
                     tanggal pengakuan awal. Penentuan adanya                               a change in the risk of default is significant or not
                     peningkatan risiko kredit yang signifikan atau tidak                   is assessed using several criteria, primarily based on
                     dievaluasi   menggunakan      beberapa      kriteria,                  30 days past due. Financial assets determined as
                     utamanya jika telah mengalami keterlambatan                            credit impaired primarily after 90 days past due
                     pembayaran 30 hari. Aset keuangan dianggap                             criteria.
                     menjadi memburuk, utamanya jika telah mengalami
                     keterlambatan pembayaran 90 hari.

                     Kerugian kredit ekspektasian diukur dalam suatu                        Expected credit losses measured in a way that
                     cara yang mencerminkan:                                                reflects:
                         Jumlah yang tidak biasa dan rata-rata                                 An unbiased and probability-weighted amount
                          probabilitas tertimbang yang ditentukan                                that is determined by evaluating a range of
                          dengan       mengevaluasi        serangkaian                           possible outcomes;
                          kemungkinan yang dapat terjadi;
                         Nilai waktu uang; dan                                                    The time value of money; and
                         Informasi yang wajar dan terdukung yang                                  Reasonable and supportable information that
                          tersedia tanpa biaya atau upaya berlebihan                                is available without undue cost or effort at the
                          pada tanggal pelaporan mengenai peristiwa                                 reporting date about past events, current
                          masa lalu, kondisi kini dan perkiraan kondisi                             conditions and forecasts of future economic
                          ekonomi masa depan.                                                       conditions.

                     Penilaian secara individual dilakukan atas aset                        Individual assessment is performed on the significant
                     keuangan yang nilainya signifikan. Aset keuangan                       financial assets. The financial assets that are not
                     yang tidak signifikan dan memiliki karakteristik                       individually significant and have similar credit
                     risiko kredit yang sejenis dinilai secara kolektif.                    characteristic are assessed collectively.

                     Dalam mengevaluasi penurunan nilai secara                              In assessing collective impairment, the Company
                     kolektif, Perusahaan dan entitas anaknya                               and its subsidiary use statistical modeling of
                     menggunakan model statistik dari tren historis atas                    historical trends of the probability of default,
                     probabilitas wanprestasi, waktu pemulihan kembali                      timing of recoveries and the amount of loss incurred
                     dan jumlah kerugian yang terjadi serta perkiraan                       as well as forecasts of future economic conditions
                     kondisi ekonomi masa depan yang disesuaikan                            adjusted for management’s judgement as to
                     dengan pertimbangan manajemen mengenai apakah                          whether current economic and credit conditions are
                     kondisi ekonomi dan kredit terkini sedemikian rupa                     such that the actual losses are likely to be greater
                     sehingga dapat mengakibatkan kerugian aktual yang                      or less than suggested by historical modeling.
                     jumlahnya akan lebih besar atau lebih kecil                            Default rates, loss rates and the expected timing of
                     daripada jumlah yang ditentukan oleh model                             future recoveries are reqularly benchmarked
                     historis. Tingkat wanprestasi, tingkat kerugian dan                    against actual outcomes to ensure that they remain
                     waktu yang diharapkan untuk pemulihan di masa                          appropriate.
                     datang akan diperbandingkan secara berkala
                     terhadap hasil aktual untuk memastikan estimasi
                     tersebut masih tepat.

                     Ketika peristiwa yang terjadi setelah penurunan                         When a subsequent event causes the amount of
                     nilai menyebabkan jumlah kerugian penurunan nilai                       impairment loss to decrease, the previously
                     berkurang, kerugian penurunan nilai yang                                recognized impairment loss is reversed by adjusting
                     sebelumnya diakui harus dipulihkan, dengan                              the allowance for impairment losses. The amount
                     menyesuaikan akun cadangan. Jumlah pemulihan                            of the reversal is recognized in the current year
                     aset keuangan diakui pada laba rugi tahun berjalan.                     profit or loss.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                           335
Page 338
                             2023 PERFORMANCE                                                                    BUSINESS
 ABOUT THIS REPORT                                     REPORTS TO STAKEHOLDERS          COMPANY PROFILE
                             HIGHLIGHTS                                                                          SUPPORTING UNITS




                                                                                   These Consolidated Financial Statements are Originally Issued
                                                                                                     in Indonesian Language


                                                          Ekshibit E/20                                                              Exhibit E/20

      PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                            PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
       CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                               NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
        UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                     FOR THE YEAR ENDED 31 DECEMBER 2023
      (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                  (Expressed in millions of Rupiah, unless otherwise stated)

    2. INFORMASI KEBIJAKAN AKUNTANSI MATERIAL (Lanjutan)                     2.     MATERIAL ACCOUNTING POLICY INFORMATION (Continued)

        e.   Aset dan Liabilitas Keuangan (Lanjutan)                                e. Financial Assets and Liabilities (Continued)

             e.7. Pengukuran nilai wajar                                               e.7. Fair value measurement

                     Nilai wajar adalah harga yang akan diterima untuk                     Fair value is the price that would be received to sell
                     menjual suatu aset atau harga yang akan dibayar                       an asset or paid to transfer a liability in an orderly
                     untuk mengalihkan suatu liabilitas dalam transaksi                    transaction between market participants at the
                     teratur (orderly transaction) antara pelaku pasar                     measurement date in the principal market or, in its
                     (market participants) pada tanggal pengukuran di                      absence, the most advantageous market to which
                     pasar utama atau, jika tidak terdapat pasar utama,                    the Company and its subsidiary have access at that
                     di pasar yang paling menguntungkan dimana                             date. The fair value of a liability reflects its non-
                     Perusahaan dan entitas anaknya memiliki akses                         performance risk.
                     pada tanggal tersebut. Nilai wajar liabilitas
                     mencerminkan risiko wanprestasinya.

                     Jika tersedia, Perusahaan dan entitas anaknya                          When available, the Company and its subsidiary
                     mengukur nilai wajar instrumen keuangan dengan                         measure the fair value of an instrument using
                     menggunakan harga kuotasi di pasar aktif untuk                         quoted prices in an active market for that
                     instrumen tersebut. Suatu pasar dianggap aktif jika                    instrument. A market is regarded as active if quoted
                     harga kuotasi sewaktu-waktu dan secara berkala                         prices are readily and regularly occurring market
                     tersedia dan mencerminkan transaksi pasar yang                         transactions on an arm’s length basis.
                     aktual dan rutin dalam suatu transaksi yang wajar.

                     Jika pasar untuk suatu instrumen keuangan tidak                        If a market for a financial instrument is not active,
                     aktif, Perusahaan dan entitas anaknya menentukan                       the Company and its subsidiary establish fair value
                     nilai wajar dengan menggunakan teknik penilaian.                       using a valuation technique. Valuation techniques
                     Teknik penilaian mencakup penggunaan transaksi                         include using recent arm’s length transactions
                     pasar terkini yang dilakukan secara wajar oleh                         between knowledgeable and willing parties, and if
                     pihak-pihak yang memahami, berkeinginan, dan jika                      available, reference to the current fair value of
                     tersedia, referensi atas nilai wajar terkini dari                      other instruments that are substantially the same,
                     instrumen lain yang secara substansial sama,                           discounted cash flows analysis and option pricing
                     penggunaan analisa arus kas yang didiskonto dan                        models.
                     penggunaan model penetapan harga opsi (option
                     pricing model).

                     Teknik penilaian yang dipilih memaksimalkan                            The chosen valuation technique makes maximum
                     penggunaan input pasar, dan meminimalkan                               use of market inputs, relies as little as possible on
                     penggunaan taksiran yang bersifat spesifik dari                        estimates specific to the Company and its
                     Perusahaan dan entitas anaknya, memasukkan                             subsidiary, incorporate all factors that market
                     semua faktor yang akan dipertimbangkan oleh para                       participants would consider in setting a price,
                     pelaku pasar dalam menetapkan suatu harga dan                          and is consistent with accepted economic
                     konsisten dengan metodologi ekonomi yang diterima                      methodologies for pricing financial instruments.
                     dalam penetapan harga instrumen keuangan. Input                        Inputs to valuation techniques reasonably represent
                     yang digunakan dalam teknik penilaian secara                           market expectations and measures of the risk-
                     memadai mencerminkan ekspektasi pasar dan                              return factors inherent in the financial instrument.
                     ukuran atas faktor risiko dan pengembalian (risk-                      The Company and its subsidiary calibrate valuation
                     return) yang melekat pada instrumen keuangan.                          techniques and tests them for validity using prices
                     Perusahaan dan entitas anaknya mengkalibrasi                           from observable current market transactions in the
                     teknik penilaian dan menguji validitasnya dengan                       same instrument or based on other available
                     menggunakan harga-harga dari transaksi pasar                           observable market data.
                     terkini yang dapat diobservasi untuk instrumen yang
                     sama atau atas dasar data pasar lainnya yang
                     tersedia yang dapat diobservasi.




336                                                                                 PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 339
   MANAGEMENT DISCUSSION         GOOD CORPORATE                                                             ANNUAL FINANCIAL
                                                         SUSTAINABILITY        SUPPORTING DATA                                          APPENDICES
   AND ANALYSIS                  GOVERNANCE                                                                 STATEMENTS




                                                                                 These Consolidated Financial Statements are Originally Issued
                                                                                                   in Indonesian Language


                                                         Ekshibit E/21                                                             Exhibit E/21

        PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                   PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
         CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                      NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
          UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                            FOR THE YEAR ENDED 31 DECEMBER 2023
         (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)         (Expressed in millions of Rupiah, unless otherwise stated)

      2. INFORMASI KEBIJAKAN AKUNTANSI MATERIAL (Lanjutan)                2.     MATERIAL ACCOUNTING POLICY INFORMATION (Continued)

          e.   Aset dan Liabilitas Keuangan (Lanjutan)                            e. Financial Assets and Liabilities (Continued)

               e.7. Pengukuran nilai wajar (Lanjutan)                               e.7. Fair value measurement (Continued)

                    Bukti terbaik atas nilai wajar instrumen keuangan                    The best evidence of the fair value of a financial
                    pada saat pengakuan awal adalah harga transaksi,                     instrument at initial recognition is the transaction
                    yaitu nilai wajar dari pembayaran yang diberikan                     price, i.e., the fair value of the consideration
                    atau diterima, kecuali jika nilai wajar dari                         given or received, unless the fair value of that
                    instrumen keuangan tersebut ditentukan dengan                        instrument is evidenced by comparison with the
                    perbandingan dengan transaksi pasar terkini yang                     other observable current market transactions in
                    dapat diobservasi dari suatu instrumen yang sama                     the same instrument (i.e., without modification
                    (yaitu tanpa modifikasi atau pengemasan ulang),                      or repackaging), or based on a valuation technique
                    atau berdasarkan suatu teknik penilaian yang                         whose variables include only data from observable
                    variabelnya hanya menggunakan data dari pasar                        markets. When transaction price provides the best
                    yang dapat diobservasi. Jika harga transaksi                         evidence of fair value at initial recognition, the
                    memberikan bukti terbaik atas nilai wajar pada saat                  financial instrument is initially measured at the
                    pengakuan awal, maka instrumen keuangan pada                         transaction price and any difference between this
                    awalnya diukur pada harga transaksi dan selisih                      price and the value initially obtained from a
                    antara harga transaksi dan nilai yang sebelumnya                     valuation model is subsequently recognized in
                    diperoleh dari model penilaian diakui dalam laporan                  the statement of profit or loss depending on the
                    laba rugi setelah pengakuan awal tergantung pada                     individual facts and circumstances of the
                    masing-masing fakta dan keadaan dari transaksi                       transaction but not later than when the valuation is
                    tersebut namun tidak lebih lambat dari saat                          supported wholly by observable market data or the
                    penilaian tersebut didukung sepenuhnya oleh data                     transaction is closed out.
                    pasar yang dapat diobservasi atau saat transaksi
                    ditutup.

                    Nilai wajar mencerminkan risiko kredit atas                          Fair values reflect the credit risk of the financial
                    instrumen keuangan dan termasuk penyesuaian yang                     instruments and include adjustments to take into
                    dilakukan untuk memasukkan risiko kredit                             account the credit risk of the Company and
                    Perusahaan dan pihak lawan, mana yang lebih                          counterparty where appropriate. Fair value
                    sesuai. Taksiran nilai wajar yang diperoleh dari                     estimates obtained from models are adjusted for
                    model     penilaian   akan   disesuaikan   untuk                     any other factors, such as liquidity risk or valuation
                    mempertimbangkan faktor-faktor lainnya, seperti                      model uncertainties, to the extent that the
                    risiko likuiditas atau ketidakpastian model                          Company      believes    a     third-party     market
                    penilaian, sepanjang Perusahaan yakin bahwa                          participation would take them into account in
                    keterlibatan suatu pasar pihak ketiga akan                           pricing a transaction.
                    mempertimbangkan faktor-faktor tersebut dalam
                    penetapan harga suatu transaksi.

          f.   Kas dan Setara Kas                                                 f. Cash and Cash Equivalents

               Kas dan setara kas terdiri dari kas, kas di bank dan                 Cash and cash equivalents consist of cash on hand, cash
               deposito berjangka yang akan jatuh tempo dalam waktu                 in banks and time deposits with a maturity period of
               tiga bulan atau kurang sejak tanggal penempatan,                     three months or less since the date of placement, as long
               sepanjang deposito berjangka tersebut tidak digunakan                as these time deposits are not pledged as collaterals for
               sebagai jaminan atas pinjaman yang diterima, serta tidak             borrowings nor restricted. Cash and cash equivalents are
               dibatasi penggunaannya. Kas dan setara kas                           classified as amortized costs (Note 2e).
               diklasifikasikan sebagai biaya perolehan diamortisasi
               (Catatan 2e).




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                      337
Page 340
                           2023 PERFORMANCE                                                                      BUSINESS
 ABOUT THIS REPORT                                   REPORTS TO STAKEHOLDERS            COMPANY PROFILE
                           HIGHLIGHTS                                                                            SUPPORTING UNITS




                                                                                    These Consolidated Financial Statements are Originally Issued
                                                                                                      in Indonesian Language


                                                        Ekshibit E/22                                                                 Exhibit E/22

      PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                          PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
       CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                             NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
        UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                   FOR THE YEAR ENDED 31 DECEMBER 2023
       (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                (Expressed in millions of Rupiah, unless otherwise stated)

    2. INFORMASI KEBIJAKAN AKUNTANSI MATERIAL (Lanjutan)                       2.   MATERIAL ACCOUNTING POLICY INFORMATION (Continued)

       g.   Piutang Pembiayaan                                                      g. Financing Receivables

            Perusahaan dan entitas anaknya mengakui aset berupa                        The Company and its subsidiary recognizes assets as
            piutang pembiayaan sebesar jumlah yang sama dengan                         financing receivables and present them at an amount
            piutang neto. Penerimaan piutang diperlakukan sebagai                      equal to the net financing receivables. Receivables
            pembayaran pokok dan pendapatan pembiayaan.                                payment is treated as repayment of principal and
            Pengakuan pendapatan pembiayaan didasarkan pada                            financing income. The recognition of financing income is
            suatu pola yang mencerminkan suatu tingkat                                 based on a pattern reflecting a constant periodic rate of
            pengembalian periodik yang konstan atas investasi                          return on the Company’s financing receivables.
            Perusahaan.

            Penyelesaian kontrak sebelum masa pembiayaan berakhir                      Early termination of a contract is treated as a
            diperlakukan sebagai pembatalan kontrak pembiayaan dan                     cancellation of an existing contract and the resulting
            pendapatan yang timbul terkait penyelesaian kontrak ini                    income related to this early termination of a contract is
            diakui dalam laba rugi tahun berjalan.                                     recognized in the current year profit or loss.

            Restrukturisasi pembiayaan konsumen berupa modifikasi                      Restructuring of customer financing is a modification of
            persyaratan kredit. Pembiayaan yang direstrukturiasi                       the terms of the loans. Restructured financing are stated
            disajikan sebesar nilai kini atas arus kas kontraktual                     at present value of discounted contractual cash flows
            setelah restrukturisasi yang didiskontokan menggunakan                     after restructuring using initial effective interest rate.
            suku bunga efektif awal. Selisih antara jumlah tercatat                    Differences arising from the gross carrying value of the
            bruto piutang pembiayaan konsumen pada tanggal                             consumer financing receivables at the time of
            restrukturisasi dengan nilai kini arus kas kontraktual                     restructuring with present value of contractual cash
            setelah restrukturisasi diakui dalam laba rugi.                            flows after restructuring are recognized to profit or loss.

            Setelah restrukturisasi, seluruh arus kas kontraktual dalam                Thereafter, all the contractual cash flows under the new
            persyaratan baru dicatat sebagai pengembalian pokok                        terms shall be accounted for as the repayment of
            pembiayaan yang diberikan dan pendapatan bunga sesuai                      principal and interest income, in accordance with the
            dengan syarat-syarat restrukturisasi.                                      restructuring scheme.

            Piutang pembiayaan akan dihapusbukukan setelah                             Financing receivables will be written-off when they are
            menunggak lebih dari 180 hari (untuk piutang pembiayaan                    overdue for more than 180 days (for motorcycles
            sepeda motor), lebih dari 210 hari (untuk piutang                          financing), more than 210 days (for cars financing) and
            pembiayaan mobil) dan lebih dari 270 hari (untuk                           more than 270 days (for heavy equipment and property
            pembiayaan alat berat dan properti). Penerimaan dari                       financing). Recoveries from written-off receivables are
            piutang yang telah dihapusbukukan diakui sebagai                           recognized as other income upon receipt.
            pendapatan lain-lain pada saat diterima.

            g.1. Sewa Pembiayaan                                                       g.1. Finance Lease

                 Pada tanggal permulaan kontrak, Perusahaan menilai                         At the inception of a contract, the Company assesses
                 apakah kontrak merupakan, atau mengandung, sewa.                           whether the contract is, or contains, a lease. A
                 Suatu kontrak merupakan atau mengandung sewa                               contract is or contains a lease if the contract
                 jika kontrak tersebut memberikan hak untuk                                 conveys the right to control the use of an identified
                 mengendalikan penggunaan aset identifikasian                               asset for a period of time in exchange for
                 selama suatu jangka waktu untuk dipertukarkan                              consideration.
                 dengan imbalan.

            g.2. Pembiayaan Konsumen                                                    g.2. Consumer Financing

                 Piutang pembiayaan konsumen merupakan jumlah                                Consumer financing receivables are receivables plus
                 piutang setelah ditambah (dikurangi) biaya                                  (minus) unamortized transaction cost (fee) and
                 (pendapatan) transaksi yang belum di amortisasi dan                         minus unearned consumer financing income and
                 dikurangi dengan pendapatan pembiayaan konsumen                             allowance for impairment losses of consumer
                 yang belum diakui dan cadangan kerugian penurunan                           financing receivables.
                 nilai piutang pembiayaan konsumen.




338                                                                                 PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 341
   MANAGEMENT DISCUSSION         GOOD CORPORATE                                                              ANNUAL FINANCIAL
                                                         SUSTAINABILITY         SUPPORTING DATA                                          APPENDICES
   AND ANALYSIS                  GOVERNANCE                                                                  STATEMENTS




                                                                                  These Consolidated Financial Statements are Originally Issued
                                                                                                    in Indonesian Language


                                                          Ekshibit E/23                                                             Exhibit E/23

           PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                 PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
            CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                    NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
             UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                          FOR THE YEAR ENDED 31 DECEMBER 2023
           (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)        (Expressed in millions of Rupiah, unless otherwise stated)

      2.    INFORMASI KEBIJAKAN AKUNTANSI MATERIAL (Lanjutan)              2.     MATERIAL ACCOUNTING POLICY INFORMATION (Continued)

            g. Piutang Pembiayaan (Lanjutan)                                      g. Financing Receivables (Continued)

               g.2. Pembiayaan Konsumen (Lanjutan)                                     g.2. Consumer Financing (Continued)

                    Pendapatan pembiayaan konsumen yang belum                               Unearned consumer financing income, which
                    diakui, yang merupakan selisih antara jumlah                            represents the difference between total
                    keseluruhan pembayaran angsuran yang akan                               installments to be received from the consumer and
                    diterima dari konsumen dan jumlah pokok                                 the principal amount financed, plus or deducted
                    pembiayaan,       ditambah     (dikurangi)     biaya                    with the unamortized transaction cost (income),
                    (pendapatan) transaksi yang belum diamortisasi, akan                    will be recognized as income over the term of the
                    diakui sebagai pendapatan selama jangka waktu                           contract using effective interest method of the
                    kontrak dengan menggunakan metode suku bunga                            related consumer financing receivable. Consumer
                    efektif dari piutang pembiayaan konsumen. Piutang                       financing receivables are classified as amortized
                    pembiayaan konsumen diklasifikasikan sebagai biaya                      costs (Note 2e).
                    perolehan diamortisasi (Catatan 2e).

                    Biaya    (pendapatan)   transaksi    yang    belum                      Unamortized transaction cost (income) are
                    diamortisasi adalah pendapatan administrasi proses                      financing administration income and transaction
                    pembiayaan dan biaya transaksi yang timbul pertama                      costs which are incurred at the first time the
                    kali yang terkait langsung dengan pembiayaan                            financing agreement is signed and directly
                    konsumen tersebut.                                                      attributable to consumer financing.

            h. Pembiayaan Bersama                                                 h. Joint Financing

               Seluruh kontrak pembiayaan bersama yang dilakukan oleh                  All joint financing agreements entered by the Company
               Perusahaan merupakan pembiayaan bersama konsumen                        are joint financing without recourse in which only the
               tanpa tanggung renteng (without recourse) dimana hanya                  Company’s financing portion of the total installments
               porsi jumlah angsuran piutang yang dibiayai Perusahaan                  are recorded as financing receivables in the statement
               yang dicatat sebagai piutang pembiayaan di laporan posisi               of financial position (net approach). Financing income is
               keuangan (pendekatan neto). Pendapatan pembiayaan                       presented in the statement of profit or loss and other
               disajikan pada laporan laba rugi dan penghasilan                        comprehensive income after deducting the portions
               komprehensif lain setelah dikurangi dengan bagian yang                  belong to other parties participated to these joint
               merupakan hak pihak-pihak lain yang berpartisipasi pada                 financing transactions.
               transaksi pembiayaan bersama tersebut.

               Dalam pembiayaan bersama without recourse, antara                       In joint financing without recourse, arrangements
               Perusahaan dan penyedia fasilitas pembiayaan bersama,                   between the Company and the joint financing facility
               Perusahaan berhak menentukan tingkat bunga yang lebih                   provider, the Company has the right to set higher
               tinggi kepada konsumen dibandingkan tingkat bunga yang                  interest rates to consumer than the interest rates stated
               ditetapkan dalam perjanjian pembiayaan bersama dengan                   in the joint financing agreement with the joint financing
               penyedia fasilitas pembiayaan bersama. Selisihnya                       facility provider. The difference is recognized as
               merupakan pendapatan dan disajikan sebagai bagian dari                  revenue and disclosed as “Financing Income”.
               “Pendapatan Pembiayaan”.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                       339
Page 342
                           2023 PERFORMANCE                                                                      BUSINESS
ABOUT THIS REPORT                                    REPORTS TO STAKEHOLDERS             COMPANY PROFILE
                           HIGHLIGHTS                                                                            SUPPORTING UNITS




                                                                                    These Consolidated Financial Statements are Originally Issued
                                                                                                      in Indonesian Language


                                                        Ekshibit E/24                                                                 Exhibit E/24

        PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                         PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
         CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                            NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
          UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                  FOR THE YEAR ENDED 31 DECEMBER 2023
        (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)               (Expressed in millions of Rupiah, unless otherwise stated)

   2.    INFORMASI KEBIJAKAN AKUNTANSI MATERIAL (Lanjutan)                     2.   MATERIAL ACCOUNTING POLICY INFORMATION (Continued)

         i. Piutang Pembiayaan Murabahah                                            i.   Murabahah Financing Receivables

            Murabahah merupakan akad jual-beli barang dengan harga                       Murabahah is goods sell-buy contract with a sold price
            jual sebesar biaya perolehan ditambah keuntungan yang                        amounting to acquisition cost plus agreed margin and
            disepakati dan Perusahaan harus mengungkapkan biaya                          the Company must to disclose the acquisition cost to
            perolehan barang tersebut kepada konsumen. Pada saat                         customer. When murabahah contract is signed,
            akad murabahah, piutang pembiayaan murabahah diakui                          murabahah financing receivables are recognized at
            dengan metode pendapatan efektif. Keuntungan                                 effective income method. Murabahah margin are
            murabahah diakui selama periode akad berdasarkan                             recognized over the period of the contract based on
            pengakuan marjin dari piutang pembiayaan murabahah.                          margin of the murabahah financing receivables.
            Akad murabahah secara substansi merupakan suatu                              Substantially, murabahah contract is a financing, so that
            pembiayaan, sehingga pengakuan marjin dilakukan                              margin recognition is based on standards which regulate
            berdasarkan standar yang mengatur pembiayaan, seperti                        financing, as mentioned in consumer financing policy.
            yang disebutkan di kebijakan pembiayaan konsumen.

            Pada setiap akhir periode laporan keuangan, piutang                          At the end of each period of financial statement,
            pembiayaan murabahah disajikan sebesar nilai neto yang                       murabahah financing receivables are state at net
            dapat direalisasi, yaitu saldo piutang murabahah dikurangi                   realizable value, consist of outstanding murabahah
            marjin yang ditangguhkan dan cadangan             kerugian                   receivables less unearned margin and allowance for
            penurunan nilai.                                                             impairment loss.

         j. Piutang Ijarah dan IMBT                                                 j.   Ijarah and IMBT Receivables

            Piutang ijarah (porsi pokok sewa) merupakan akrual                           Ijarah receivables (principal portion) are based on
            piutang sewa atas porsi pokok yang belum direalisasikan                      unrealized accrual rent income from principal portion
            oleh nasabah dan piutang pendapatan ijarah merupakan                         and ijarah receivable represents portion of accrual rent
            akrual piutang sewa atas bagian keuntungan (ujroh)                           income from the following month’s installment of ijarah
            transaksi ijarah muntahiyah bittamlik (IMBT) dari angsuran                   muntahiyah bittamlik (IMBT) which is recognized
            nasabah pada bulan berikutnya yang diakui secara                             proportionally.
            proporsional.

            Akad ijarah adalah akad penyediaan dana dalam rangka                         Akad ijarah is a contract for the provision of funds in
            memindahkan hak guna atau manfaat dari suatu barang                          the context of transferring the use rights or benefits of
            atau jasa berdasarkan transaksi sewa, tanpa diikuti                          a good or service based on a lease transaction, without
            dengan pemindahan kepemilikan barang tersebut kepada                         being followed by the transfer of ownership of such
            penyewa. Aset ijarah muntahiyah bittamik merupakan                           goods to the lessee. Asset ijarah muntahiyah bittamlik
            akad transaksi sewa dengan opsi perpindahan hak milik                        (IMBT) is a contract based on a lease transaction with
            objek sewa melalui jual beli atau pemberian (hibah) pada                     option of transfer of ownership of lease object through
            saat tertentu sesuai akad sewa.                                              sale purchase or granted at specific time based on
                                                                                         contract.

            Piutang pendapatan ijarah diakui pada saat jatuh tempo                       Ijarah revenue receivables are recognized at maturity
            sebesar sewa porsi ujroh dan piutang ijarah sebesar sewa                     amounting to the rent of ujroh and ijarah receivables
            porsi pokok yang belum diterima dan disajikan sebesar                        amounting to the portion of the principal outstanding
            nilai neto yang dapat direalisasikan, yaitu sebesar saldo                    which has not been received and presented at net
            piutang dikurangi penurunan nilai, jika ada pada akhir                       realizable value, which is the outstanding amount of the
            periode pelaporan.                                                           receivables less impairment loss, if any, at the end of
                                                                                         reporting period.

         k. Piutang dalam Proses Penyelesaian                                       k.   Receivables in the Settlement Process
             Piutang dalam proses penyelesaian merupakan piutang                         Receivables in the settlement process represent
             atas jaminan yang dikuasai kembali dan dinyatakan                           receivables from collateral recovered and stated at net
             berdasarkan nilai realisasi neto yaitu nilai tercatat atau                  realizable value which is carrying amount or principal
             pokok piutang pembiayaan terkait dikurangi penyisihan                       amount of related financing receivables, less allowance
             penurunan nilai pasar atas jaminan yang dikuasai kembali.                   for decline in market value of the collateral retained.
             Piutang pembiayaan direklasifikasikan menjadi piutang                       Financing receivables are reclassified to receivables in
             dalam proses penyelesaian ketika jaminan ditarik karena                     the settlement process when the collateral is withdrawn
             konsumen tidak dapat memenuhi kewajibannya setelah                          because the consumer is not able to meet its obligations
             melalui proses tahapan yang ditetapkan dalam perjanjian                     after going through the stages stipulated in the
             pembiayaan dengan konsumen.                                                 financing agreement with the consumer.




340                                                                                 PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 343
   MANAGEMENT DISCUSSION          GOOD CORPORATE                                                           ANNUAL FINANCIAL
                                                           SUSTAINABILITY     SUPPORTING DATA                                          APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                               STATEMENTS




                                                                                These Consolidated Financial Statements are Originally Issued
                                                                                                  in Indonesian Language


                                                           Ekshibit E/25                                                          Exhibit E/25

        PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                      PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
         CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                         NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
          UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                               FOR THE YEAR ENDED 31 DECEMBER 2023
         (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)            (Expressed in millions of Rupiah, unless otherwise stated)

      2. INFORMASI KEBIJAKAN AKUNTANSI MATERIAL (Lanjutan)                   2. MATERIAL ACCOUNTING POLICY INFORMATION (Continued)
          k.   Piutang dalam Proses Penyelesaian (Lanjutan)                     k.   Receivables in the Settlement Process (Continued)

               Pelanggan memberi kuasa kepada Perusahaan untuk                       Customer authorizes the Company to sell the pledged
               menjual objek yang dijaminkan atau melakukan tindakan                 object or performing other actions in solving the debts
               lainnya dalam upaya penyelesaian piutang bila terjadi                 in the event of default of the financing agreement.
               wanprestasi terhadap perjanjian pembiayaan. Kelebihan                 Excess result of a settlement with the total obligations
               hasil penyelesaian dengan jumlah seluruh kewajiban                    of the consumer is the right of the customer, while the
               konsumen merupakan hak dari konsumen, sedangkan                       shortage of the settlement proceeds will be charged to
               kekurangan hasil penyelesaian akan dibebankan sebagai                 written-off other receivables in the statement of profit
               penghapusan piutang lain-lain pada laporan laba rugi dan              or loss and other comprehensive income.
               penghasilan komprehensif lain.

               Piutang dalam proses penyelesaian diklasifikasikan                    Receivables in the settlement process are classified as
               sebagai aset keuangan dalam kelompok biaya perolehan                  financial assets classified as amortized costs.
               diamortisasi.

           l. Instrumen Derivatif untuk Tujuan Manajemen Risiko                 l.   Derivative Instrument for Risk Management Purposes

               Seluruh instrumen derivatif yang dimiliki Perusahaan                  All derivative instruments held by the Company are for
               digunakan untuk tujuan manajemen risiko. Instrumen                    risk   management      purposes.     These    derivative
               derivatif ini digunakan untuk lindung nilai eksposur risiko           instruments are used to hedge the Company’s exposures
               suku bunga dan risiko mata uang Perusahaan. Instrumen                 to interest rate risk and currency risk. Derivative
               derivatif untuk tujuan manajemen risiko diukur pada                   instruments held for risk management are measured at
               nilai wajar dalam laporan posisi keuangan. Untuk                      fair value in the statement of financial position. To
               memenuhi persyaratan akuntansi lindung nilai, beberapa                qualify for hedge accounting, certain criteria are to be
               kriteria tertentu harus dipenuhi, termasuk adanya                     met, including formal documentation to be in place at
               dokumentasi formal pada awal lindung nilai.                           the inception of the hedge.
               Pada penetapan awal lindung nilai, Perusahaan                         On initial designation of the hedge, the Company
               mendokumentasikan secara formal hubungan antara                       formally documents the relationship between the
               instrumen lindung nilai dan unsur yang dilindung nilai,               hedging instruments and hedge items, including the risk
               termasuk tujuan manajemen risiko dan strategi                         management objective and strategy in undertaking the
               dalam melaksanakan transaksi lindung nilai, bersamaan                 hedge transaction, together with the method that will
               dengan metode yang akan digunakan untuk menilai                       be used to assess the effectiveness of the hedging
               efektivitas hubungan lindung nilai. Perusahaan menilai,               relationship. The Company makes an assessment, both
               pada awal hubungan lindung nilai dan juga secara                      at the inception of the hedge relationship as well as on
               berkesinambungan, apakah instrumen lindung nilai                      an ongoing basis, whether the hedging instruments are
               diharapkan akan “sangat efektif” dalam rangka saling                  expected to be “highly effective” in offsetting the
               hapus atas perubahan nilai wajar atau perubahan arus kas              changes in the fair value or cash flows of the respective
               dari unsur yang dilindung nilai sepanjang periode dimana              hedged item during the period for which the hedge is
               lindung nilai tersebut ditetapkan.                                    designated.

               Perubahan nilai wajar instrumen derivatif yang tidak                  Changes in fair value of derivative instruments that do
               memenuhi kriteria lindung nilai dicatat dalam laporan                 not qualify for hedge accounting are recognized in the
               laba rugi tahun yang bersangkutan. Jika instrumen                     current year statement of profit or loss. If derivative
               derivatif dirancang dan memenuhi syarat akuntansi                     instruments are designated and qualify for hedge
               lindung nilai, perubahan nilai wajar yang berkaitan                   accounting, changes in fair value of derivative
               dengan lindung nilai diakui sebagai penyesuaian terhadap              instruments are recorded as adjustments to the items
               unsur yang dilindungi nilainya dalam penghasilan                      being hedged in the current year other comprehensive
               komprehensif lainnya tahun berjalan atau disajikan                    income or in the equity, depending on the type of hedge
               dalam ekuitas, tergantung pada jenis transaksi dan                    transaction represented and the effectiveness of the
               efektivitas dari lindung nilai tersebut.                              hedge.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                     341
Page 344
                           2023 PERFORMANCE                                                                    BUSINESS
 ABOUT THIS REPORT                                   REPORTS TO STAKEHOLDERS           COMPANY PROFILE
                           HIGHLIGHTS                                                                          SUPPORTING UNITS




                                                                                  These Consolidated Financial Statements are Originally Issued
                                                                                                    in Indonesian Language


                                                         Ekshibit E/26                                                              Exhibit E/26

      PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                          PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
       CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                             NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
        UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                   FOR THE YEAR ENDED 31 DECEMBER 2023
       (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                (Expressed in millions of Rupiah, unless otherwise stated)

    2. INFORMASI KEBIJAKAN AKUNTANSI MATERIAL (Lanjutan)                       2. MATERIAL ACCOUNTING POLICY INFORMATION (Continued)

        l.   Instrumen Derivatif untuk Tujuan Manajemen Risiko                    l.   Derivative Instrument for Risk Management Purposes
             (Lanjutan)                                                                (Continued)

             Perusahaan dan entitas anaknya menetapkan derivatif                       The Company and its subsidiary designate derivatives as
             sebagai instrumen lindung nilai atas arus kas apabila                     the hedging instruments of cash flows hedges where the
             instrumen tersebut melindungi nilai variabilitas arus kas                 instrument hedges the variability in cash flows
             yang dapat diatribusikan pada risiko tertentu yang terkait                attributable to a particular risk associated with a
             dengan aset atau liabilitas yang telah diakui atau                        recognized asset or liability, or a highly probable
             prakiraan transaksi yang kemungkinan besar terjadi.                       forecast transaction that could affect profit or loss. The
             Bagian efektif dari perubahan nilai wajar derivatif yang                  effective portion of changes in the fair value of
             ditetapkan sebagai instrumen lindung nilai atas arus kas                  derivatives designated as hedging instruments of cash
             dalam hubungan lindung nilai yang memenuhi kualifikasi                    flows hedges in qualifying hedging relationships is
             ditangguhkan pada keuntungan/(kerugian) kumulatif atas                    deferred to the cumulative gains/(losses) on derivative
             instrumen derivatif untuk lindung nilai arus kas, yang                    instruments for cash flows hedges, which forms part
             merupakan bagian dari ekuitas. Bagian yang tidak efektif                  of equity. Any ineffective portion is recognized
             diakui secara langsung pada laporan laba rugi. Jumlah                     immediately in the statement of profit or loss. Amounts
             yang ditangguhkan dalam ekuitas direklasifikasi ke dalam                  deferred in equity are reclassified to the statement of
             laporan laba rugi dalam tahun yang sama dimana arus kas                   income as a reclassification adjustment in the same
             yang dilindung nilai mempengaruhi laba atau rugi, dan                     year as the hedged cash flows affect profit or loss, and
             pada unsur yang sama dalam laporan laba rugi.                             in the same line item in the statement of profit or loss.

             Ketika instrumen lindung nilai kadaluarsa atau dijual,                    When the hedging instrument expires or sold,
             dihentikan, dilaksanakan, atau tidak lagi memenuhi                        terminated, exercised, or no longer qualifies for hedge
             kriteria akuntansi lindung nilai, keuntungan atau                         accounting, the cumulative amount deferred in equity
             kerugian kumulatif yang ditangguhkan di ekuitas tetap                     remains in the cumulative gains/(losses) on derivative
             diakui pada keuntungan/(kerugian) kumulatif atas                          instruments for cash flows hedges, and is subsequently
             instrumen derivatif untuk lindung nilai arus kas dan                      transferred to the statement of profit or loss when the
             direklasifikasi ke laporan laba rugi ketika unsur yang                    hedged item is recognized in the statement of profit or
             dilindung nilai diakui dalam laporan laba rugi.                           loss.

             Ketika suatu prakiraan transaksi akan dilindung nilai tidak               When a forecast hedged transaction is no longer
             lagi diharapkan akan terjadi, jumlah yang ditangguhkan                    expected to occur, the amount deferred in equity is
             dalam ekuitas diakui segera dalam laporan laba rugi.                      recognized immediately in the statement of profit or
                                                                                       loss.

        m. Beban Dibayar di Muka                                                   m. Prepaid Expenses

             Beban dibayar di muka diamortisasi dan dibebankan                         Prepaid expenses are amortized and charged as an
             selama masa manfaat masing-masing beban dengan                            expense over the periods of benefit using the straight-
             menggunakan metode garis lurus.                                           line method.

        n.   Aset Ijarah dan IMBT                                                  n. Ijarah and IMBT Asset

             Aset yang diperoleh untuk ijarah merupakan aset yang                      Assets acquired for ijarah represent object of leased
             menjadi objek transaksi sewa (ijarah) dan dicatat di                      assets (ijarah) and are recorded in the statements of
             laporan posisi keuangan sebesar harga perolehan                           financial positions at the acquisition cost, net of
             dikurangi akumulasi penyusutan. Aset dalam transaksi                      accumulated depreciation. Assets in ijarah transaction
             ijarah disusutkan sesuai dengan jangka waktu sewa.                        are depreciated over the lease period.

             Perpindahan kepemilikan suatu aset dalam akad IMBT,                       The transfer of ownership of an asset in an IMBT
             dilakukan jika akad ijarah telah berakhir atau diakhiri                   contract is carried out if the ijarah contract has expired
             dan aset ijarah telah diserahkan kepada penyewa dengan                    or has been terminated and the ijarah assets have been
             membuat akad terpisah.                                                    transfer to the lessee by separate contract.

             Pendapatan ijarah diakui selama masa                  akad                Income from ijarah is recognised over the period of the
             menggunakan metode flat (proporsional).                                   contract with flat (proportional) method.

        o.   Aset Tetap                                                            o. Fixed Assets

             Aset tetap pada awalnya dinyatakan sebesar harga                          Fixed assets are initially recognized at acquisition cost.
             perolehan. Setelah pengukuran awal, aset tetap diukur                     After initial measurement, fixed assets are measured
             dengan model biaya, dicatat pada harga perolehan                          using the cost model, carried at cost less
             dikurangi akumulasi penyusutan dan akumulasi                              any accumulated depreciation and accumulated
             penurunan nilai, jika ada.                                                impairment losses, if any.




342                                                                                PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 345
   MANAGEMENT DISCUSSION          GOOD CORPORATE                                                           ANNUAL FINANCIAL
                                                          SUSTAINABILITY    SUPPORTING DATA                                            APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                               STATEMENTS




                                                                                These Consolidated Financial Statements are Originally Issued
                                                                                                  in Indonesian Language


                                                         Ekshibit E/27                                                            Exhibit E/27

           PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                 PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
            CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                    NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
             UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                          FOR THE YEAR ENDED 31 DECEMBER 2023
           (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)       (Expressed in millions of Rupiah, unless otherwise stated)

      2.     INFORMASI KEBIJAKAN AKUNTANSI MATERIAL (Lanjutan)             2.   MATERIAL ACCOUNTING POLICY INFORMATION (Continued)

             o. Aset Tetap (Lanjutan)                                            o. Fixed Assets (Continued)

                Harga perolehan mencakup harga pembelian dan semua                  Acquisition cost includes purchase price and any costs
                beban yang terkait secara langsung untuk membawa aset               directly attributable to bring the assets to the location
                tersebut ke lokasi dan kondisi yang diperlukan untuk                and condition necessary for it to be capable of operating
                memungkinkan aset tersebut beroperasi sebagaimana                   in the manner intended by management.
                ditentukan oleh manajemen.

                Tanah dinyatakan sebesar harga perolehan dan tidak                  Land is stated at cost and not depreciated.
                disusutkan.

                Penyusutan aset tetap selain tanah dihitung dengan                  Depreciation of fixed assets other than land are
                menggunakan metode garis lurus untuk mengalokasikan                 calculated on the straight-line method to allocate their
                harga perolehan hingga mencapai nilai sisa sepanjang                cost to their residual values over their estimated useful
                estimasi masa manfaatnya sebagai berikut:                           life as follows:

                                                      Masa manfaat/
                                                        Useful life              Tarif/
                                                      (Tahun/ Year)              Rates
                Bangunan dan prasarana                       20                      5%                            Building and improvements
                Peralatan kantor                              5                     20 %                                     Office equipment
                Kendaraan                                     5                     20 %                                              Vehicles
                Perabot dan perlengkapan kantor               5                     20 %                                Furniture and fixtures

                Beban perbaikan dan pemeliharaan dibebankan ke dalam                Repairs and maintenance costs, are charged to the the
                laporan laba rugi periode dimana beban-beban tersebut               statement of profit or loss during the period in which
                terjadi. Pengeluaran yang memperpanjang masa manfaat                they are incurred. Expenditures that extend the future
                aset atau yang memberikan tambahan manfaat ekonomis                 life of assets or provide further economic benefits are
                dikapitalisasi dan disusutkan.                                      capitalized and depreciated.

                Jumlah tercatat aset tetap dihentikan pengakuannya                  The carrying amount of fixed assets are derecognized
                pada saat pelepasan atau ketika tidak terdapat lagi                 upon disposal or when there is no longer a future
                manfaat ekonomi masa depan yang diekspektasikan dari                economic benefit expected from its use or disposal.
                penggunaan atau pelepasannya.

                Apabila aset tetap dihentikan pengakuannya (tidak                   When fixed assets are derecognized (retired or disposed
                digunakan lagi atau dijual), maka nilai tercatat dan                of), their carrying values and the related accumulated
                akumulasi penyusutannya dikeluarkan dari laporan posisi             depreciation are removed from the statement of
                keuangan, dan keuntungan atau kerugian yang terjadi                 financial position, and the resulting gains or losses are
                diakui dalam laporan laba rugi.                                     recognized in the statement of profit or loss.

                Aset dalam penyelesaian untuk pengembangan                          Asset in progress under development are stated
                dinyatakan sebesar biaya perolehan dan disajikan sebagai            at cost and presented as part of the fixed assets.
                bagian dari aset tetap. Akumulasi biaya perolehan akan              The accumulated cost will be reclassified to the
                dipindahkan ke masing-masing akun aset tetap yang                   appropriate fixed assets account when the installation
                bersangkutan pada saat aset tersebut selesai dikerjakan             is substantially completed and the asset is ready for its
                dan siap digunakan.                                                 intended use.

                Apabila nilai tercatat aset tetap lebih besar dari nilai            When the carrying amount of fixed assets is greater than
                yang dapat dipulihkan, nilai tercatat aset tersebut                 its estimated recoverable amount, it is written down to
                diturunkan menjadi sebesar nilai yang dapat dipulihkan              its recoverable amount which is determined at the
                kembali, yang ditentukan sebagai nilai tertinggi antara             higher of net selling price or value in use.
                harga jual neto dan nilai pakai.

                Pada setiap akhir tahun, nilai residu, umur dan metode              At the end of each year, residual values, useful life and
                penyusutan dikaji ulang dan disesuaikan secara                      method of depreciation are reviewed and adjusted
                prospektif jika diperlukan.                                         prospectively, if necessary.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                     343
Page 346
                          2023 PERFORMANCE                                                                      BUSINESS
ABOUT THIS REPORT                                   REPORTS TO STAKEHOLDERS            COMPANY PROFILE
                          HIGHLIGHTS                                                                            SUPPORTING UNITS




                                                                                   These Consolidated Financial Statements are Originally Issued
                                                                                                     in Indonesian Language


                                                       Ekshibit E/28                                                                 Exhibit E/28

        PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                       PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
         CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                          NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
          UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                FOR THE YEAR ENDED 31 DECEMBER 2023
        (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)              (Expressed in millions of Rupiah, unless otherwise stated)

   2.    INFORMASI KEBIJAKAN AKUNTANSI MATERIAL (Lanjutan)                    2.   MATERIAL ACCOUNTING POLICY INFORMATION (Continued)

          p. Sewa                                                                  p. Leases

             Pada tanggal permulaan suatu kontrak, Perusahaan dan                      At inception of a contract, the Company and its
             entitas anaknya menilai apakah suatu kontrak merupakan,                   subsidiary asseses whether a contract is, or contains,
             atau mengandung, sewa. Suatu kontrak merupakan, atau                      a lease. A contract is, or contains, a lease if the
             mengandung, sewa jika kontrak tersebut memberikan hak                     contract conveys the right to control the use of an
             untuk     mengendalikan    penggunaan     suatu   asset                   identified asset for a period of time in exchange for
             identifikasian selama suatu jangka waktu untuk                            consideration.
             dipertukarkan dengan imbalan.

             Untuk menilai apakah suatu kontrak memberikan hak                         To assess whether a contract conveys the right to control
             untuk   mengendalikan    suatu aset  identifikasian,                      the use of an identified asset, the Company asseses
             Perusahaan menilai apakah:                                                whether:

             -   Perusahaan memiliki hak untuk memperoleh secara                       - The Company has the right to obtain substantially all
                 substansial seluruh manfaat ekonomik dari penggunaan                    of the economic benefits from use of the asset
                 aset selama periode penggunaan; dan                                     throughout the period of use;and
             -   Perusahaan memiliki hak untuk mengarahkan                             - The Company has the right to direct the use of the
                 penggunaan aset identifikasian. Perusahaan memiliki                     identified assets. The Company has this right when it
                 hak ini ketika hak pengambilan keputusan yang paling                    has the decision-making rights that are most relevant
                 relevan untuk mengubah bagaimana dan untuk tujuan                       to changing how and for what purpose the asset is
                 apa aset tersebut digunakan. Dalam kondisi tertentu                     used. In certain circumstances where all the decisions
                 dimana semua keputusan tentang bagaimana dan untuk                      about how and for what purpose the asset is used are
                 tujuan apa aset digunakan telah ditentukan                              predetermined, the Company has the right to direct
                 sebelumnya, Perusahaan memiliki hak untuk                               the use of the asset if either:
                 mengarahkan penggunaan aset tersebut jika:
                 - Perusahaan memiliki hak untuk mengoperasikan                           -   The Company has the right to operate the asset;or
                    aset;atau
                 - Perusahaan      mendesain    aset dengan      cara                     -   The Company designed the asset in a way that
                    menetapkan sebelumnya bagaimana dan untuk                                 predetermines how and for what purpose the asset
                    tujuan apa aset akan digunakan selama periode                             will be used.
                    penggunaan.

             Pada tanggal insepsi atau pada saat penilaian kembali                     At inception date or on reassessment of a contract that
             suatu kontrak yang mengandung suatu komponen sewa,                        contains a lease component, the Company allocates
             Perusahaan mengalokasikan imbalan dalam kontrak ke                        consideration in the contract to each lease component
             masing-masing komponen sewa berdasarkan harga                             on the basis of their relative stand-alone prices and the
             tersendiri relatif dari komponen sewa dan harga tersendiri                aggregate stand-alone price of the nonlease
             agregat dari komponen nonsewa. Namun, untuk sewa                          components. However, for the leases of improvements
             penunjang dimana Perusahaan bertindak sebagai                             in which the Company is a lessee, the Company has
             penyewa, Perusahaan memutuskan untuk tidak                                elected not to separate nonlease components and
             memisahkan komponen nonsewa dan mencatat komponen                         account for the lease and non-lease components as
             sewa dan nonsewa tersebut sebagai satu komponen sewa.                     a single lease component.

             Perusahaan dan entitas anaknya mengakui aset hak-guna                     The Company and its subsidiary recognize a right-of-use
             dan liabilitas sewa pada tanggal dimulainya sewa. Aset                    asset and a lease liability at the lease commencement
             hak-guna awalnya diukur pada biaya perolehan, yang                        date. The right-of-use asset is initially measured at
             terdiri dari jumlah pengukuran awal dari liabilitas sewa                  cost, which comprises the initial amount of the lease
             disesuaikan dengan pembayaran sewa yang dilakukan                         liability adjusted for any lease payments made at or
             pada atau sebelum tanggal permulaan, ditambah dengan                      before the commencement date, plus any initial direct
             biaya langsung awal yang dikeluarkan, dan estimasi biaya                  costs incurred and an estimate of costs to dismantle and
             untuk membongkar dan memindahkan aset pendasar atau                       remove the underlying asset or to restore the
             untuk merestorasi aset pendasar atau tempat dimana aset                   underlying asset or the site on which it is located, less
             berada, dikurangi insentif sewa yang diterima.                            any lease incentives received.




344                                                                                PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 347
   MANAGEMENT DISCUSSION         GOOD CORPORATE                                                             ANNUAL FINANCIAL
                                                        SUSTAINABILITY         SUPPORTING DATA                                          APPENDICES
   AND ANALYSIS                  GOVERNANCE                                                                 STATEMENTS




                                                                                 These Consolidated Financial Statements are Originally Issued
                                                                                                   in Indonesian Language


                                                        Ekshibit E/29                                                              Exhibit E/29

        PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                   PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
         CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                      NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
          UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                            FOR THE YEAR ENDED 31 DECEMBER 2023
         (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)         (Expressed in millions of Rupiah, unless otherwise stated)

      2. INFORMASI KEBIJAKAN AKUNTANSI MATERIAL (Lanjutan)                2.     MATERIAL ACCOUNTING POLICY INFORMATION (Continued)

          p.   Sewa (Lanjutan)                                                   p.   Leases (Continued)

               Perusahaan dan entitas anaknya menyajikan aset hak-                    The Company and its subsidiary present right-of-use
               guna sebagai bagian dari “Aset hak-guna” di dalam                      assets as part of “Right-of-use assets” in the
               laporan posisi keuangan konsolidasian.                                 consolidated statement of financial position.

               Perusahaan dan entias anaknya tidak mengakui aset hak-                 The Company and its subsidiary not recognize right-of-
               guna dan liabilitas sewa untuk sewa jangka pendek yang                 use assets and lease liabilities for short-term leases that
               memiliki masa sewa 12 bulan atau kurang, pembayaran                    have a lease term of 12 months or less, the lease
               atas sewa tersebut diakui sebagai beban dengan dasar                   payment recognize as expenses on a straight-line basis
               garis lurus selama masa sewa.                                          over the lease term.

               Jika sewa mengalihkan kepemilikan aset pendasar kepada                 If the lease transfers the ownership of the underlying
               Perusahaan pada akhir masa sewa atau jika biaya                        asset to the Company by the end of the lease term or if
               perolehan aset hak-guna merefleksikan Perusahaan akan                  the cost of the right-of-use asset reflects that the
               mengeksekusi opsi beli, maka Perusahaan menyusutkan                    Company will exercise a purchase option, the Company
               aset hak-guna dari tanggal permulaan hingga akhir umur                 depreciates the right-of-use asset from the
               manfaat aset pendasar. Jika tidak, maka Perusahaan                     commencement date to the end of the useful life of the
               menyusutkan aset hak-guna dari tanggal permulaan hingga                underlying asset. Otherwise, the Company depreciates
               tanggal yang lebih awal antara akhir umur manfaat aset                 the right-of-use asset from the commencement date to
               hak-guna atau akhir masa sewa.                                         the earlier of the end of the useful life of the right-of-
                                                                                      use asset or the end of the lease term.

               Sewa Tanah dan Bangunan                                                Land and Building Leases
               Opsi Perpanjangan                                                      Extention Options
               Beberapa sewa gedung kantor mengandung opsi                            Some leases of office buildings contain extension
               perpanjangan yang dapat dieksekusi Perusahaan sebelum                  options exercisable by the Company before the end of
               periode kontrak yang tidak dapat dibatalkan tersebut                   the non-cancellable contract period. Where practicable,
               berakhir. Jika memungkinkan, Perusahaan berupaya                       the Company seeks to include extension options in new
               untuk memasukkan opsi perpanjangan dalam sewa baru                     leases to provide operational flexibility. The Company
               untuk memberikan fleksibilitas operasional. Perusahaan                 assesses at lease commencement whether it is
               menilai pada saat permulaan sewa apakah Perusahaan                     reasonably certain to exercise the extension options.
               cukup pasti untuk mengeksekusi opsi perpanjangan.                      The Company reassesses whether it is reasonably
               Perusahaan menilai kembali apakah cukup pasti untuk                    certain to exercise the options if there is a significant
               mengeksekusi opsi tersebut jika ada peristiwa signifikan               event or significant change in circumstances within its
               atau perubahan signifikan dalam kondisi yang berada                    control.
               dalam pengendalian Perusahaan.

               Sewa Jangka-Pendek dan Sewa Aset Bernilai-Rendah                       Short-Term Leases and Leases of Low-Value Assets
               Perusahaan memilih untuk tidak mengakui aset hak-guna                  The Company has elected not to recognize right-of-use
               dan liabilitas sewa untuk sewa jangka-pendek yang                      assets and lease liabilities for short-term leases that
               memiliki masa sewa 12 bulan atau kurang dan sewa atas                  have a lease term of 12 months or less and leases of low-
               aset bernilai rendah. Perusahaan mengakui pembayaran                   value assets. The Company recognizes the lease
               sewa terkait dengan sewa ini sebagai beban dengan dasar                payments associated with these leases as an expense on
               garis-lurus selama masa sewa.                                          a straight-line basis over the lease term.

          q.   Aset Takberwujud                                                 q.    Intangible Assets

               Perangkat lunak                                                        Software

               Perangkat lunak pada awalnya dinyatakan sebesar biaya                  Software is initially recognized at acquisition cost.
               perolehan. Biaya perolehan awal perangkat lunak meliputi               The acquisition cost of software consists of its purchase
               harga pembelian, termasuk biaya-biaya yang dapat                       price, including any directly attributable costs in
               diatribusikan secara langsung untuk membawa perangkat                  bringing the software to its intended use. After initial
               lunak siap dipakai. Setelah pengakuan awal, perangkat                  recognition, software is measured using cost model,
               lunak diukur menggunakan model biaya, dicatat sebesar                  stated at cost less accumulated amortization and
               biaya perolehannya dikurangi akumulasi amortisasi dan                  accumulated impairment losses.
               akumulasi kerugian penurunan nilai.
               Pengeluaran selanjutnya untuk perangkat lunak akan                     Subsequent expenditure on software assets is
               dikapitalisasi hanya jika pengeluaran tersebut menambah                capitalized only when it increases the future economic
               manfaat ekonomi di masa mendatang untuk asset yang                     benefits embodied in the specific asset to which it
               bersangkutan. Semua pengeluaran lainnya dibebankan                     relates. All other expenditures are expensed as
               pada saat terjadinya.                                                  incurred.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                        345
Page 348
                         2023 PERFORMANCE                                                                       BUSINESS
ABOUT THIS REPORT                                  REPORTS TO STAKEHOLDERS            COMPANY PROFILE
                         HIGHLIGHTS                                                                             SUPPORTING UNITS




                                                                                  These Consolidated Financial Statements are Originally Issued
                                                                                                    in Indonesian Language


                                                      Ekshibit E/30                                                                 Exhibit E/30

      PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                        PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
       CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
        UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                 FOR THE YEAR ENDED 31 DECEMBER 2023
      (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)               (Expressed in millions of Rupiah, unless otherwise stated)

   2. INFORMASI KEBIJAKAN AKUNTANSI MATERIAL (Lanjutan)                      2.   MATERIAL ACCOUNTING POLICY INFORMATION (Continued)

       q.   Aset Takberwujud (Lanjutan)                                           q. Intangible Assets (Continued)

            Amortisasi diakui dalam laporan laba rugi dan penghasilan                 Amortization is recognized in the statement of profit or
            komprehensif lain dengan menggunakan metode garis                         loss and other comprehensive income on a straight-line
            lurus sepanjang estimasi masa manfaatnya, dimulai dari                    method over the estimated useful life of software, from
            tanggal perangkat lunak tersebut tersedia untuk dipakai.                  the    date    that   it    is   available    for    use.
            Estimasi masa manfaat perangkat lunak adalah lima tahun.                  The estimated useful life of software is five years.

            Metode amortisasi, estimasi masa manfaat dan nilai                        Amortization methods, useful life and residual values
            residual ditelaah pada setiap akhir tahun pelaporan dan                   are reviewed at each financial year-end and adjusted if
            disesuaikan jika dianggap tepat.                                          appropriate.

            Keuntungan atau kerugian pelepasan aset takberwujud                       Gains or losses on disposal of intangible assets are
            ditentukan dengan membandingkan penerimaan dengan                         determined by comparing proceeds with the carrying
            nilai tercatat dan diakui di dalam laporan laba rugi.                     amount and are recognized in profit or loss.

       r.   Pajak Penghasilan                                                     r. Income Tax

            Beban pajak terdiri dari beban pajak kini dan beban pajak                 Income tax expense comprises current and deferred tax.
            tangguhan. Beban pajak diakui pada laporan laba rugi                      Income tax expense is recognized in the statement of
            kecuali untuk bagian yang langsung diakui di komponen                     profit or loss except to the extent it relates to items
            ekuitas lainnya, dimana beban pajak yang terkait dengan                   recognized directly in other equity components, in which
            bagian tersebut diakui di penghasilan komprehensif lain.                  case it is recognized in other comprehensive income.

            Beban pajak kini adalah utang pajak yang ditentukan                       Current tax is the expected tax payable on the taxable
            berdasarkan laba kena pajak untuk tahun yang                              income for the current year, using tax rates enacted or
            bersangkutan yang dihitung berdasarkan tarif pajak yang                   substantively enacted at reporting date.
            berlaku atau yang secara substansial telah berlaku pada
            tanggal pelaporan.

            Beban pajak tangguhan diakui sehubungan dengan adanya                     Deferred tax is recognized in respect of temporary
            perbedaan temporer antara nilai tercatat aset dan                         differences between the carrying amounts of assets and
            liabilitas untuk tujuan pelaporan keuangan, dan nilai aset                liabilities for financial reporting purposes and the
            dan liabilitas yang digunakan untuk tujuan perpajakan.                    amounts used for taxation purposes. Deferred tax is
            Pajak tangguhan diukur dengan menggunakan tarif pajak                     measured at the tax rates that are expected to be
            yang diharapkan untuk diterapkan atas perbedaan                           applied to temporary differences when they reverse,
            temporer pada saat pembalikan, berdasarkan peraturan                      based on the laws that have been enacted or
            yang telah berlaku atau secara substantif berlaku pada                    substantively enacted at the reporting date.
            tanggal pelaporan.

            Metode ini juga mengharuskan pengakuan manfaat pajak                      This method also requires the recognition of future tax
            di masa depan, seperti kompensasi rugi fiskal, apabila                    benefits, such as tax loss carryforwards, to the extent
            besar kemungkinan manfaat pajak tersebut dapat                            that realization of such benefits is probable.
            direalisasi.

            Aset dan liabilitas pajak tangguhan diakui untuk perbedaan                Deferred tax assets and liabilities are recognized for
            temporer antara basis komersial dan basis fiskal atas aset                temporary differences between the financial and the
            dan liabilitas pada setiap tanggal pelaporan.                             tax bases of assets and liabilities at each reporting date.

            Aset pajak tangguhan dikaji ulang setiap tanggal pelaporan                Deferred tax assets are reviewed at each reporting date
            dan dikurangi apabila besar kemungkinan manfaat pajak                     and are reduced to the extent that it is no longer
            terkait tidak lagi mungkin direalisasi. Pengurangan                       probable that the related tax benefit will be realized;
            tersebut akan berlaku terbalik saat kemungkinan laba                      such reductions are reversed when the probability of
            fiskal di masa depan membaik. Aset pajak tangguhan yang                   future taxable profits improves. Unrecognized deferred
            belum diakui dikaji ulang pada setiap tanggal pelaporan                   tax assets are reassessed at each reporting date and
            dan diakui apabila besar kemungkinan bahwa jumlah laba                    recognized to the extent that it has become probable
            fiskal pada masa mendatang akan tersedia untuk                            that future taxable profits will be available against
            merealisasikan manfaat pajak tersebut.                                    which they can be used.




346                                                                               PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 349
   MANAGEMENT DISCUSSION          GOOD CORPORATE                                                              ANNUAL FINANCIAL
                                                          SUSTAINABILITY         SUPPORTING DATA                                          APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                                  STATEMENTS




                                                                                   These Consolidated Financial Statements are Originally Issued
                                                                                                     in Indonesian Language


                                                          Ekshibit E/31                                                              Exhibit E/31

        PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                     PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
         CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                        NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
          UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                              FOR THE YEAR ENDED 31 DECEMBER 2023
         (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)           (Expressed in millions of Rupiah, unless otherwise stated)

      2. INFORMASI KEBIJAKAN AKUNTANSI MATERIAL (Lanjutan)                  2.     MATERIAL ACCOUNTING POLICY INFORMATION (Continued)

          r.   Pajak Penghasilan (Lanjutan)                                        r. Income Tax (Continued)

               Aset pajak kini dan liabilitas pajak kini saling hapus dan              Current tax assets and current tax liabilities shall be
               nilai netonya disajikan dalam laporan posisi keuangan                   offset and the net amount is presented in the statement
               jika, dan hanya jika, Perusahaan memiliki hak yang                      of financial position when and only when, the Company
               berkekuatan hukum untuk melakukan saling hapus atas                     has a legal enforceable right to set off the amounts and
               jumlah yang telah diakui tersebut dan berniat untuk                     intends either to settle on a net basis or to realise the
               menyelesaikan secara neto atau untuk merealisasikan                     asset and settle the liability simultaneously.
               aset dan menyelesaikan liabilitasnya secara simultan.

               Perpajakan lainnya                                                      Other taxation matters

               Penyesuaian atas liabilitas pajak dicatat pada saat Surat               Amendments to tax obligations are recorded when an
               Ketetapan Pajak diterima atau jika mengajukan                           tax assessment letter is received and/or, if objected to
               keberatan dan banding, pada saat keputusan atas                         and/or appealed against by Company, when the result
               keberatan dan banding tersebut diterima.                                of the objection and/or appeal is determined.
               Jumlah tambahan pokok dan denda pajak yang                              The extra amount of tax principal and penalties
               ditetapkan dengan Surat Ketetapan Pajak (SKP)                           stipulated by the Tax Assessment Letter (SKP) is
               diakui sebagai pendapatan atau beban dalam operasi                      recognized as income or expense in the current
               periode berjalan, kecuali jika diajukan upaya                           operations, unless further proposed settlement efforts.
               penyelesaian selanjutnya. Jumlah tambahan pokok                         The extra amount of tax principal and penalties
               dan denda pajak yang ditetapkan dengan SKP                              stipulated by SKP are deferred as long as it meets the
               ditangguhkan pembebanannya sepanjang memenuhi                           criteria for asset recognition.
               kriteria pengakuan aset.

          s.   Pinjaman yang Diterima                                             s.   Fund Borrowings

               Pinjaman yang diterima merupakan dana yang diterima                     Borrowings represent funds received from various banks
               dari berbagai bank dan institusi keuangan, termasuk                     and financial institutions, including with recourse joint
               fasilitas pembiayaan bersama (joint financing) with                     financing facilities. With recourse joint financing
               recourse. Fasilitas pembiayaan bersama (joint financing)                facilities are presented gross, i.e loans granted to
               with recourse disajikan secara gross, yaitu sebanyak                    customers and borrowings received from banks are
               pinjaman yang diberikan kepada konsumen dan pinjaman                    recorded at their full amount with repayment
               yang diterima dari bank dicatat dalam nilai penuh dengan                obligations in accordance with the terms of the
               kewajiban pembayaran kembali sesuai dengan                              agreement.
               persyaratan perjanjian pinjaman.

               Pinjaman yang diterima diklasifikasikan sebagai liabilitas              Borrowings are classified as financial liabilities
               keuangan yang diukur dengan biaya perolehan                             measured at amortized cost. Additional costs that are
               diamortisasi. Biaya tambahan yang dapat diatribusikan                   directly attributable to the acquisition of loans are
               secara langsung dengan perolehan pinjaman dikurangkan                   deducted from total borrowings. See Note 2e for the
               dari jumlah pinjaman yang diterima. Lihat Catatan 2e                    accounting policy on financial liabilities measured at
               untuk kebijakan akuntansi atas liabilitas keuangan yang                 amortized cost.
               diukur pada biaya perolehan diamortisasi.

           t. Surat Berharga yang Diterbitkan                                      t. Securities Issued

               Surat berharga yang diterbitkan meliputi utang Obligasi.                Securities issued consist of Bonds payable.

               Surat berharga yang diterbitkan diklasifikasikan sebagai                Securities issued are classified as financial liabilities at
               liabilitas keuangan yang diukur dengan biaya perolehan                  amortized cost.
               diamortisasi.

               Biaya tambahan yang dapat diatribusikan secara langsung                 Additional cost directly attributable to the issuance of
               dengan penerbitan surat berharga diakui sebagai diskonto                securities are recognized as a discount and offset
               dan dikurangkan langsung dari hasil emisi dan                           directly from the proceeds derived from such offerings
               diamortisasi selama jangka waktu surat berharga yang                    and amortized over the period of the securities issued
               diterbitkan tersebut dengan menggunakan metode suku                     using effective interest rate method.
               bunga efektif.

               Lihat Catatan 2e untuk kebijakan akuntansi atas liabilitas              Refer to Note 2e for accounting policy of financial
               keuangan yang diukur dengan biaya perolehan                             liabilities at amortized cost.
               diamortisasi.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                          347
Page 350
                         2023 PERFORMANCE                                                                     BUSINESS
ABOUT THIS REPORT                                 REPORTS TO STAKEHOLDERS            COMPANY PROFILE
                         HIGHLIGHTS                                                                           SUPPORTING UNITS




                                                                                 These Consolidated Financial Statements are Originally Issued
                                                                                                   in Indonesian Language


                                                     Ekshibit E/32                                                                 Exhibit E/32

      PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                        PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
       CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
        UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                 FOR THE YEAR ENDED 31 DECEMBER 2023
      (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)              (Expressed in millions of Rupiah, unless otherwise stated)

   2. INFORMASI KEBIJAKAN AKUNTANSI MATERIAL (Lanjutan)                     2.   MATERIAL ACCOUNTING POLICY INFORMATION (Continued)

        u. Imbalan Kerja                                                         u. Employees’ Benefits

            Imbalan kerja jangka pendek                                              Short-term employees’ benefits

            Imbalan kerja jangka pendek diakui pada saat terutang                    Short-term employees’ benefits are recognized when
            kepada karyawan berdasarkan metode akrual.                               they are owed to the employees based on an accrual
                                                                                     method.

            Imbalan kerja jangka panjang dan imbalan pasca-kerja                     Long-term and post-employment benefits

            Perusahaan dan entitas anaknya mencadangkan jumlah                       The Company and its subsidiary are provide a minimum
            minimum imbalan panjang sesuai dengan Undang-Undang                      amount of pension benefit in accordance with Labor Law
            Ketenagakerjaan (UUCK) atau Kontrak Kerja Bersama                        or collective Labour Agreement (CLA), whichever is
            (KKB), mana yang lebih tinggi, karena UUCK atau KKB                      higher, since the labour law or the CLA represent
            adalah program imbalan pasti yang menentukan rumus                       defined benefit plans which sets the formula for
            tertentu untuk menghitung jumlah minimal imbalan                         determining the minimum amount of benefit.
            pensiun.

            Kewajiban imbalan pasca-kerja yang diakui di laporan                     The obligation for post-employment benefits recognized
            posisi keuangan dihitung berdasarkan nilai kini dari                     in the statement of financial position is calculated at
            estimasi kewajiban imbalan pasca-kerja dimasa depan                      present value of estimated future benefits that the
            yang timbul dari jasa yang telah diberikan oleh karyawan                 employees have earned in return for their services in
            pada masa kini dan masa lalu, dikurangi dengan nilai                     the current and prior years, deducted by any plan
            wajar aset neto dana pensiun. Perhitungan dilakukan                      assets. The calculation is performed by an independent
            oleh aktuaria independen dengan metode projected-                        actuary using the projected-unit-credit method.
            unit-credit.

            Beban jasa kini, beban bunga, beban jasa lalu yang telah                 Current service costs, interest costs, vested past service
            menjadi hak karyawan, dan dampak kurtailmen atau                         costs, and effect of curtailment or settlement (if any)
            penyelesaian (jika ada) diakui segera sebagai beban                      are recognized immediately in the statement of profit
            dalam laporan laba rugi dan penghasilan komprehensif                     or loss and other comprehensive income.
            lain.

            Keuntungan atau kerugian aktuarial yang timbul dari                      Actuarial gains or losses arising from experience
            penyesuaian dan perubahan dalam asumsi-asumsi                            adjustments and changes in actuarial assumptions are
            aktuarial langsung diakui seluruhnya melalui penghasilan                 directly fully recognized to other comprehensive income
            atau beban komprehensif lainnya pada tahun dimana                        or expense in the year when such actuarial gain/(losses)
            keuntungan/(kerugian) aktuarial terjadi. Akumulasi                       occur. Accumulated actuarial gains and losses are
            keuntungan dan kerugian aktuarial dicatat di saldo laba.                 recorded in retained earnings.

            Perusahaan dan entitas anaknya telah memiliki program                    The Company and its subsidiary have a defined
            pensiun iuran pasti yang mana Perusahaan membayar                        contribution pension program where the Company pays
            iuran ke dana pensiun lembaga keuangan yang dihitung                     contributions to a financial institution pension plan
            berdasarkan persentase tertentu dari penghasilan tetap                   which is calculated at a certain percentage of fixed
            yang diterima karyawan yang sudah memenuhi kriteria                      income of the employees who meet the Company’s
            yang ditetapkan Perusahaan. Iuran dibebankan ke dalam                    criteria. The contributions are charged to the statement
            laporan laba rugi dan penghasilan komprehensif lain pada                 of profit or loss and other comprehensive income as they
            saat terutang.                                                           become payable.

        v. Pengakuan Pendapatan dan Beban                                        v. Revenue and Expenses Recognition

            Pendapatan dari piutang pembiayaan (Catatan 2g                           Income from financing receivables (Notes 2g and 2h),
            dan 2h), pendapatan bunga dan beban bunga diakui                         interest income and interest expense are recognized
            sesuai dengan jangka waktu kontrak berdasarkan metode                    over the term of the contract based on the effective
            suku bunga efektif.                                                      interest method.




348                                                                              PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 351
   MANAGEMENT DISCUSSION         GOOD CORPORATE                                                             ANNUAL FINANCIAL
                                                        SUSTAINABILITY         SUPPORTING DATA                                          APPENDICES
   AND ANALYSIS                  GOVERNANCE                                                                 STATEMENTS




                                                                                 These Consolidated Financial Statements are Originally Issued
                                                                                                   in Indonesian Language


                                                        Ekshibit E/33                                                              Exhibit E/33

        PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                    PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
         CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                       NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
          UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                             FOR THE YEAR ENDED 31 DECEMBER 2023
         (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)         (Expressed in millions of Rupiah, unless otherwise stated)

      2. INFORMASI KEBIJAKAN AKUNTANSI MATERIAL (Lanjutan)                2.     MATERIAL ACCOUNTING POLICY INFORMATION (Continued)

          v.   Pengakuan Pendapatan dan Beban (Lanjutan)                          v. Revenue and Expenses Recognition (Continued)

               Pada saat menghitung suku bunga efektif, Perusahaan                    When calculating the effective interest rate, the
               dan entitas anaknya mengestimasi arus kas di masa                      Company and its subsidiary estimate future cash flow
               datang dengan mempertimbangkan seluruh persyaratan                     considering all contractual term of the financial
               kontraktual dalam instrumen keuangan tersebut (seperti                 instrument (for example, prepayment options, call
               pelunasan dipercepat, opsi beli (call option) dan opsi                 option and other similar options) but does not consider
               serupa lainnya), tetapi tidak mempertimbangkan                         future credit losses.
               kerugian kredit di masa datang.

               Perhitungan suku bunga efektif mencakup seluruh biaya                  The calculation includes all fees, commissions and
               yang dibayarkan atau diterima oleh para pihak dalam                    other fees paid or received between parties to the
               kontrak yang merupakan bagian tak terpisahkan dari suku                contract that are an integral part of the effective
               bunga efektif, biaya transaksi dan seluruh premi atau                  interest rate, transaction costs and all other premiums
               diskon lainnya.                                                        discounts.

               Biaya transaksi merupakan biaya tambahan yang                          Transaction costs are additional charges that are
               dapat diatribusikan secara langsung untuk perolehan,                   directly attributable to the acquisition, issuance or
               penerbitan atau pelepasan aset keuangan atau liabilitas                disposal of financial assets or financial liabilities.
               keuangan.
               Biaya tambahan merupakan biaya yang tidak akan terjadi                 Additional costs are costs that would not occur if the
               apabila Perusahaan dan entitas anaknya tidak                           Company and its subsidiary do not obtain, publish or
               memperoleh, menerbitkan atau melepaskan instrumen                      otherwise dispose of financial instruments.
               keuangan.

               Jika aset keuangan atau kelompok aset keuangan serupa                  Once a financial asset or a group of similar financial
               telah diturunkan nilainya sebagai akibat kerugian                      assets has been written down as a result of an
               penurunan nilai, maka pendapatan bunga yang diperoleh                  impairment loss, interest income is recognised using
               setelahnya diakui berdasarkan suku bunga yang                          the rate of interest used to discount the future cash
               digunakan untuk mendiskonto arus kas masa datang                       flows for the purpose of measuring the impairment
               dalam menghitung kerugian penurunan nilai.                             loss.
               Pendapatan pembiayaan Perusahaan disajikan neto                        The Company’s financing income is presented net
               setelah dikurangi dengan bagian pendapatan milik bank                  of with financing income belongs to the bank in
               atau pihak lain sehubungan dengan transaksi-transaksi                  relation with channeling transactions, joint financing
               penerusan pinjaman, pembiayaan bersama, anjak                          cooperations, factoring, and the appointment as
               piutang dan penunjukan selaku pengelola piutang.                       manager of accounts receivable.

               Pendapatan selisih premi asuransi dan selisih atas beban               Income from excess of insurance premiums and excess
               komisi dan subsidi dealer, pendapatan administrasi,                    of commission expenses and subsidy to dealer,
               denda keterlambatan dan pendapatan terminasi diakui                    administration income, late charges and termination
               sebagai penyesuaian atas suku bunga efektif atas                       income are recognised as an adjustment to the
               pinjaman yang diberikan dan piutang (Catatan 2e).                      effective interest rate of the loan and receivables
                                                                                      (Note 2e).
               Pendapatan syariah terdiri dari pendapatan dan transaksi               Sharia income consist of ijarah income and ijarah
               piutang ijarah yang diakui dengan metode akrual selama                 receivables on accrual basis over the period of ijarah
               masa akad ijarah dan IMBT.                                             and IMBT contract.

               Beban diakui pada saat terjadinya dengan menggunakan                   Expenses are recognized as incurred on an accrual
               dasar akrual.                                                          basis.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                      349
Page 352
                            2023 PERFORMANCE                                                                         BUSINESS
 ABOUT THIS REPORT                                     REPORTS TO STAKEHOLDERS                COMPANY PROFILE
                            HIGHLIGHTS                                                                               SUPPORTING UNITS




                                                                                       These Consolidated Financial Statements are Originally Issued
                                                                                                         in Indonesian Language


                                                          Ekshibit E/34                                                                  Exhibit E/34

      PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                             PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
       CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                                NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
        UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                      FOR THE YEAR ENDED 31 DECEMBER 2023
       (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                  (Expressed in millions of Rupiah, unless otherwise stated)

    2. INFORMASI KEBIJAKAN AKUNTANSI MATERIAL (Lanjutan)                         2.     MATERIAL ACCOUNTING POLICY INFORMATION (Continued)

         w.   Penurunan Nilai Aset Non-Keuangan                                          w.    Impairment of non-financial assets

              Pengujian penurunan nilai suatu aset non-keuangan                                Impairment test on non-financial assets with indefinite
              menggunakan masa manfaat ekonomi tidak terbatas                                  useful economic life are undertaken annually at the
              dilakukan setiap tahun pada akhir periode pelaporan                              financial year end. Other non-financial assets are
              keuangan. Aset non-keuangan lain duji penurunan nilai                            subject to impairment test whenever events or changes
              ketika telah terjadi atau ada perubahan dalam keadaan                            in circumstances indicate that their carrying amount
              yang mengindikasikan bahwa nilai tercatat tidak                                  may not be recoverable. Where the carrying value of
              terpulihkan. Apabila nilai tercatat aset melebihi jumlah                         an asset exceedsits recoverable amount (i.e. the higher
              terpulihkan (yaitu mana yang lebih tinggi antara nilai                           of value in use and fair value less costs to sell), the
              pakai dan nilai wajar dikurangi untuk menjual), maka                             asset is written down accordingly.
              aset tersebut diturunkan nilainya.

        x.    Transaksi dan Saldo dalam Mata Uang Asing                                  x.    Balances in Foreign Currency Transactions

              Transaksi-transaksi dalam mata uang asing dijabarkan ke                          Transactions denominated in foreign currencies are
              dalam Rupiah dengan menggunakan kurs yang berlaku                                translated into Rupiah at the exchange rates prevailing
              pada tanggal transaksi. Pada tanggal pelaporan, aset dan                         at the date of the transaction. At the reporting date,
              liabilitas moneter dalam mata uang asing dijabarkan ke                           monetary assets and liabilities denominated in foreign
              dalam Rupiah dengan menggunakan kurs yang berlaku                                currencies are translated into Rupiah using the
              pada tanggal laporan posisi keuangan.                                            exchange rates prevailing at the statement of financial
                                                                                               position date.

              Keuntungan dan kerugian selisih kurs yang timbul dari                            Exchange gains and losses arising from transactions in
              transaksi dalam mata uang asing dan dari penjabaran aset                         foreign currencies and from the translation of foreign
              dan liabilitas moneter dalam mata uang asing, diakui                             currency monetary assets and liabilities are recognized
              pada laporan laba rugi dan penghasilan komprehensif lain                         in the current year statement of profit or loss and
              tahun berjalan.                                                                  other comprehensive income.

              Kurs yang digunakan untuk penjabaran mata uang asing                             The exchange rates applied for translating the foreign
              pada tanggal 31 Desember 2023 dan 2022, berdasarkan kurs                         currency as of 31 December 2023 and 2022 are based
              tengah yang diterbitkan Bank Indonesia, yaitu sebagai                            of the mid exchange rate published by Bank Indonesia,
              berikut:                                                                         are as follows:

                                                            31 Desember/               31 Desember/
                                                           December 2023              December 2022
                                                            (nilai penuh)/             (nilai penuh)/
                                                            (full amount)              (full amount)

              1 Dollar Amerika Serikat (USD)                           15.416                     15.731                1 United States Dollars (USD)

              Penjabaran mata uang asing dicatat sesuai dengan PSAK 10                         Foreign currency translation is recorded in accordance
              (revisi 2010) – Pengaruh Perubahan Nilai Tukar Valuta Asing.                     with SFAS 10 (revised 2010) – The Effects of Changes in
                                                                                               Foreign Exchange Rates.

        y.    Segmen Operasi                                                            y.     Operating Segment

              Segmen operasi adalah suatu komponen dari entitas:                               An operating segment is a component of entity which:
              (1) yang terlibat dalam aktivitas bisnis yang mana                               (1) involves with business activities to generate
                  memperoleh pendapatan dan menimbulkan beban                                      income and expenses (include income and
                  (termasuk pendapatan dan beban terkait dengan                                    expenses relating to the transactions with other
                  transaksi dengan komponen lain dari entitas yang                                 components with the same entity);
                  sama);
              (2) hasil operasinya dikaji ulang secara regular oleh                            (2) operations result is observed regularly by chief
                  pengambil keputusan operasional untuk membuat                                    decision maker to make decisions regarding the
                  keputusan tentang sumber daya yang dialokasikan                                  allocation of resources and to evaluate the works;
                  pada segmen tersebut dan menilai kinerjanya; dan                                 and
              (3) tersedia informasi keuangan yang dapat dipisahkan.                           (3) separate financial information is available.

              Hasil segmen yang dilaporkan kepada pengambil                                    Segment results that are reported to the chief
              keputusan operasional termasuk bagian yang dapat                                 operating decision maker include items directly
              diatribusikan secara langsung kepada segmen dan juga                             attributable to a segment as well as those that can be
              yang dapat dialokasikan dengan basis yang wajar.                                 allocated on a reasonable basis.




350                                                                                     PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 353
   MANAGEMENT DISCUSSION          GOOD CORPORATE                                                             ANNUAL FINANCIAL
                                                          SUSTAINABILITY         SUPPORTING DATA                                         APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                                 STATEMENTS




                                                                                  These Consolidated Financial Statements are Originally Issued
                                                                                                    in Indonesian Language


                                                          Ekshibit E/35                                                             Exhibit E/35

        PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                     PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
         CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                        NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
          UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                              FOR THE YEAR ENDED 31 DECEMBER 2023
        (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)            (Expressed in millions of Rupiah, unless otherwise stated)

      2. INFORMASI KEBIJAKAN AKUNTANSI MATERIAL (Lanjutan)                  2.     MATERIAL ACCOUNTING POLICY INFORMATION (Continued)

          y.   Segmen Operasi (Lanjutan)                                            y. Operating Segment (Continued)

               Perusahaan dan entitas anaknya mengelola kegiatan                       The Company and its subsidiary manage its business
               usahanya dan mengidentifikasi segmen yang dilaporkan                    activities and identifies its segments reported based on
               berdasarkan jenis produk dan wilayah geografis.                         product categories and geographic area.

               Perusahaan dan entitas anaknya menentukan dan                           The Company and its subsidiary determine and present
               menyajikan segmen operasi berdasarkan informasi yang                    operating segments based on the information that is
               secara internal diberikan kepada pengambil keputusan                    internally provided to the chief operating decision
               operasional.                                                            maker.

         z.    Saham Treasuri                                                       z. Treasury Stock

               Jika entitas memperoleh kembali instrumen ekuitasnya,                   If the entity regain its equity instruments, then those
               maka instrumen tersebut (saham treasuri) dikurangkan                    instruments (treasury shares) are deducted from equity.
               dari ekuitas. Keuntungan atau kerugian yang timbul dari                 Gains or losses arising from the purchase, sale, issuance,
               pembelian, penjualan, penerbitan, atau pembatalan                       or cancellation of the entity's equity instruments are not
               instrumen ekuitas entitas tersebut tidak diakui dalam laba              recognized in profit or loss. Compensation paid or
               rugi. Imbalan yang dibayarkan atau diterima diakui secara               received is recognized directly in equity.
               langsung di ekuitas.

         aa. Program Kompensasi          Manajemen      dan    Karyawan            aa. Management and Employees Stock Option Program
             Berbasis Saham

               Karyawan (termasuk eksekutif senior) Perusahaan                         Employees (including senior executives) of the Company
               menerima remunerasi dalam bentuk pembayaran                             receive remuneration in the form of share-based
               berbasis saham, dimana karyawan memberikan jasa                         payment transactions, whereby employees render
               sebagai pertimbangan untuk instrumen ekuitas (‘equity-                  services as consideration for equity instruments
               settled transactions’). Saat opsi di eksekusi, Perusahaan               (‘equity-settled transactions’). When the options are
               menerbitkan saham baru. Hasil neto dari eksekusi berupa                 exercised, the Company issues new shares.
               biaya yang dapat diatribusikan secara langsung                          The proceeds received net of any directly attributable
               dikreditkan ke modal saham (nilai nominal) dan premi                    transaction costs are credited to share capital (nominal
               saham.                                                                  value) and share premium.

               Dalam situasi di mana instrumen ekuitas yang diterbitkan                In situations where equity instruments are issued and
               dan beberapa atau seluruh barang atau jasa yang                         some or all of the goods or services received by the
               diterima oleh entitas sebagai pertimbangan tidak dapat                  entity as consideration cannot be specifically
               diidentifikasi secara khusus, barang atau jasa yang                     identified, the unidentified goods or services received
               diterima (atau yang akan diterima) yang tidak dapat                     (or to be received) are measured as the difference
               diidentifikasi diukur sebagai selisih antara nilai wajar                between the fair value of the share-based payment
               pembayaran berbasis saham dan nilai wajar dari barang                   transaction and the fair value of any identifiable goods
               atau jasa yang diterima yang teridentifikasi pada tanggal               or services received at the grant date. This is then
               pemberian hak. Hal ini kemudian dikapitalisasi atau                     capitalised or expensed as appropriate.
               dibebankan secara tepat.

               Beban program opsi karyawan berbasis saham dan beban                    Employee stock option program and management option
               program opsi manajemen diukur pada tanggal pemberian                    program costs are measured at grant date based on the
               kompensasi (grant date) berdasarkan nilai wajar dari                    fair value of the stock option using a black-scholes
               seluruh opsi yang diberikan yang dihitung dengan                        model.
               menggunakan metode black-scholes.

          ab. Laba per Saham                                                      ab. Earnings per Share

               Sesuai dengan PSAK 56 “Laba per saham”, laba per saham                  In accordance with SFAS 56 “Earning per share”,
               dasar dihitung dengan cara membagi laba bersih yang                     earnings per share is calculated by dividing net profit
               tersedia bagi pemegang saham dengan jumlah rata-rata                    available to shareholders by the weighted average
               tertimbang saham biasa yang beredar pada tahun yang                     number of common shares outstanding during current
               berjalan.                                                               year.

               Laba per saham dilusian dihitung dengan cara membagi                    Dilluted earning per share is calculated by dividing net
               laba bersih yang tersedia bagi pemegang saham dengan                    profit available to shareholders by the weighted
               jumlah rata-rata tertimbang saham biasa yang telah                      average number of shares outstanding as adjusted for
               disesuaikan dengan dampak dari semua efek berpotensi                    the effect of all dilutive potential ordinary shares.
               saham biasa yang dilutif.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                        351
Page 354
                          2023 PERFORMANCE                                                                      BUSINESS
 ABOUT THIS REPORT                                  REPORTS TO STAKEHOLDERS            COMPANY PROFILE
                          HIGHLIGHTS                                                                            SUPPORTING UNITS




                                                                                   These Consolidated Financial Statements are Originally Issued
                                                                                                     in Indonesian Language


                                                       Ekshibit E/36                                                                 Exhibit E/36

      PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                         PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
       CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                            NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
        UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                  FOR THE YEAR ENDED 31 DECEMBER 2023
       (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)               (Expressed in millions of Rupiah, unless otherwise stated)

    2. INFORMASI KEBIJAKAN AKUNTANSI MATERIAL (Lanjutan)                      2.   MATERIAL ACCOUNTING POLICY INFORMATION (Continued)

        ab. Laba per Saham (Lanjutan)                                              ab. Earnings per Share (Continued)

             Jika jumlah saham yang beredar meningkat akibat dari                      If the outstanding number of shares increase as result of
             pemisahan saham (stock split), maka perhitungan laba                      stock split, the computation of basic earnings per share
             per saham dasar untuk seluruh periode penyajian harus                     for all presentation periods is adjusted retrospectively.
             disesuaikan secara retrospektif.

             Perusahaan dan entitas anaknya tidak mempunyai efek                       The Company and its subsidiary have no outstanding
             berpotensi saham biasa yang bersifat dilutif pada tanggal                 dilutive potential dilutive ordinary shares as of
             31 Desember 2023 dan 2022, oleh karena itu laba per                       31 December 2023 and 2022, accordingly no diluted
             saham dilusian tidak dihitung dan disajikan pada laporan                  earnings per share is calculated and presented in the
             laba rugi dan penghasilan komprehensif lain                               consolidated statements of profit or loss other
             konsolidasian.                                                            comprehensive income.

        ac. Dividen                                                                ac. Dividends

             Pembagian dividen kepada para pemegang saham                              Dividend distributions to the Company’s shareholders is
             Perusahaan diakui sebagai sebuah liabilitas dalam laporan                 recognised as a liability in the financial statement in the
             keuangan pada periode ketika dividen tersebut disetujui                   period which the dividends are approved by the
             oleh para pemegang saham Perusahaan. Pembagian                            Company’s shareholders. Interim dividend distributions
             dividen interim diakui sebagai liabilitas ketika dividen                  are recognised as a liability when the dividends are
             disetujui berdasarkan keputusan rapat Direksi sesuai                      approved based on a Board of Directors resolution in
             dengan Anggaran Dasar Perusahaan.                                         accordance with the Company’s Articles of Association.

        ad. Provisi                                                                ad. Provisions

             Provisi diakui ketika Perusahaan dan entitas anaknya                      Provisions are recognized when the Company and its
             memiliki kewajiban legal maupun konstruktif sebagai                       subsidiary have a legal or constructive obligation as a
             hasil peristiwa lalu, yaitu kemungkinan besar arus keluar                 result of past events, it is more likely than not that an
             sumber daya ekonomi diperlukan untuk menyelesaikan                        outflow of resources will be required to settle the
             kewajiban dan suatu estimasi terhadap jumlah dapat                        obligation and a reliable estimate of the amount can be
             dilakukan.                                                                made.

             Provisi ditelaah pada akhir tiap periode pelaporan dan                    Provisions are reviewed at the end of each reporting
             disesuaikan untuk mencerminkan estimasi terbaik.                          period and adjusted to reflect the current best
             Apabila tidak ada lagi kemungkinan arus keluar sumber                     estimate. If it is no longer probable that an outflow of
             daya ekonomi diperlukan untuk menyelesaikan                               economic resources will be required to settle the
             kewajiban, maka provisi tersebut dipulihkan.                              obligation, the provision is reversed.
             Apabila dampak nilai waktu uang adalah material, maka                     If the effect of the time value of money is material,
             provisi didiskontokan dengan menggunakan tarif sebelum                    provisions are discounted using a current pre - tax rate
             pajak, jika lebih tepat, untuk mencerminkan risiko                        that reflects, where appropriate, the risk specific to the
             spesifik liabilitas. Ketika pendiskontoan digunakan,                      liability. When discounting is used, the increase in the
             kenaikan provisi terkait dengan berlalunya waktu diakui                   provision due to the passage of time is recognized as a
             sebagai beban keuangan.                                                   finance cost.

        ae. Kontinjensi                                                            ae. Contingencies

             Liabilitas kontinjen tidak diakui di dalam laporan                        Contingent liabilities are not recognized in the financial
             keuangan. Liabilitas kontinjensi diungkapkan di dalam                     statements. They are disclosed in the notes to the
             catatan atas laporan keuangan kecuali kemungkinan arus                    financial statements unless the possibility of an outflow
             keluar sumber daya ekonomi adalah kecil.                                  of resources embodying economic benefits is remote.
             Aset kontinjen tidak diakui di dalam laporan keuangan,                    Contingent assets are not recognized in the financial
             namun diungkapkan di dalam catatan atas laporan                           statements but are disclosed in the notes to the
             keuangan jika terdapat kemungkinan suatu arus masuk                       financial statements when an inflow of economic
             manfaat ekonomis.                                                         benefits is probable.




352                                                                                PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 355
   MANAGEMENT DISCUSSION            GOOD CORPORATE                                                              ANNUAL FINANCIAL
                                                            SUSTAINABILITY        SUPPORTING DATA                                          APPENDICES
   AND ANALYSIS                     GOVERNANCE                                                                  STATEMENTS




                                                                                    These Consolidated Financial Statements are Originally Issued
                                                                                                      in Indonesian Language


                                                            Ekshibit E/37                                                             Exhibit E/37

           PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                   PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
            CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                      NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
             UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                            FOR THE YEAR ENDED 31 DECEMBER 2023
           (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)          (Expressed in millions of Rupiah, unless otherwise stated)

      2.     INFORMASI KEBIJAKAN AKUNTANSI MATERIAL (Lanjutan)               2.     MATERIAL ACCOUNTING POLICY INFORMATION (Continued)

             af. Peristiwa Setelah Periode Pelaporan                                 af. Events After the Reporting Period

                 Peristiwa setelah periode pelaporan yang menyajikan                     Events after the reporting period that provide evidence
                 bukti dari kondisi yang terjadi pada akhir periode                      of conditions that existed at the end of the reporting
                 pelaporan (peristiwa penyesuaian) yang dicerminkan di                   period (adjusting events) are reflected in the financial
                 dalam laporan keuangan. Peristiwa setelah periode                       statements. Events after the reporting period that are
                 pelaporan yang bukan merupakan peristiwa penyesuaian,                   not adjusting events are disclosed in the notes to the
                 diungkapkan di dalam catatan laporan keuangan bila                      financial statements when material.
                 material.

      3.    PENGGUNAAN ESTIMASI DAN PERTIMBANGAN                             3.     USE OF ESTIMATES AND JUDGEMENTS
            Pertimbangan Akuntansi yang Penting, Estimasi dan Asumsi                Significant Accounting        Judgements,      Estimates    and
                                                                                    Assumptions

            Penyusunan laporan keuangan sesuai dengan Standar                       The preparation of the Company’s financial statements, in
            Akuntansi Keuangan di Indonesia, mengharuskan manajemen                 conformity with Indonesian Financial Accounting Standards
            membuat pertimbangan, estimasi dan asumsi yang                          requires management to make judgements, estimates and
            mempengaruhi aset, liabilitas, komitmen dan kontinjensi                 assumptions that affect the reported amounts of assets,
            yang dilaporkan. Karena adanya unsur ketidakpastian                     liabilities, commitments and contingent liabilities which
            melekat dalam melakukan estimasi sehingga dapat                         are reported. Due to inherent uncertainty in the estimates
            menyebabkan jumlah sesungguhnya yang dilaporkan pada                    thus can lead to actual results reported in future periods
            periode yang akan datang berbeda dengan jumlah yang                     differ from those estimates.
            diestimasikan.
            I.   Penggunaan Pertimbangan                                            I.   Use of Judgements

                 Pertimbangan berikut ini dibuat oleh manajemen dalam                    The following judgements are made by management in
                 rangka penerapan kebijakan akuntansi Perusahaan yang                    the process of applying the Company’s accounting
                 memiliki pengaruh paling signifikan atas jumlah yang                    policies that have the most significant effects on the
                 diakui dalam laporan keuangan:                                          amounts recognized in the financial statements:
                 (i)   Klasifikasi aset dan liabilitas keuangan                          (i)   Classification of financial assets and financial
                                                                                               liabilities
                       Perusahaan dan entitas anaknya menetapkan                               The Company and its subsidiary determine the
                       kategori atas aset dan liabilitas tertentu sebagai                      category of certain assets and liabilities as
                       aset keuangan dan liabilitas keuangan dengan                            financial assets and financial liabilities by judging
                       mempertimbangkan definisi yang ditetapkan                               if they meet the definition set forth in SFAS 71.
                       PSAK 71 dipenuhi. Dengan demikian, aset keuangan                        Accordingly, the financial assets and financial
                       dan liabilitas keuangan diakui sesuai dengan                            liabilities are accounted for in accordance with
                       kebijakan     akuntansi    Perusahaan       seperti                     the Company’s accounting policies as disclosed in
                       diungkapkan pada Catatan 2e.                                            Note 2e.

                 (ii) Cadangan atas kerugian penurunan nilai aset                        (ii) Allowance for impairment of financial assets
                      keuangan

                       Perusahaan dan entitas anaknya mengevaluasi                             The Company and its subsidiary evaluate specific
                       akun tertentu yang diketahui bahwa para                                 accounts where it has information that certain
                       pelanggannya tidak dapat memenuhi liabilitas                            customers are unable to meet their financial
                       keuangannya. Dalam hal tersebut, Perusahaan                             obligations. In these cases, the Company uses
                       mempertimbangkan, berdasarkan fakta dan situasi                         judgement, based on available facts and
                       yang tersedia, termasuk namun tidak terbatas pada                       circumstances, including but not limited to, the
                       jangka waktu, hubungan dengan pelanggan dan                             length of its relationship with the customer and the
                       status piutang dari pelanggan berdasarkan catatan                       customer’s current receivables status based on any
                       piutang pihak ketiga yang tersedia dan faktor pasar                     available third party receivables reports and known
                       yang telah diketahui, untuk mencatat cadangan                           market factors, to record specific allowance for
                       spesifik atas pelanggan terhadap jumlah terutang                        customers against amounts due to reduce its
                       guna mengurangi jumlah piutang yang diharapkan                          receivable amounts that the Company and its
                       dapat diterima oleh Perusahaan dan entitas                              subsidiary expected to collect.
                       anaknya.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                           353
Page 356
                              2023 PERFORMANCE                                                                       BUSINESS
 ABOUT THIS REPORT                                      REPORTS TO STAKEHOLDERS              COMPANY PROFILE
                              HIGHLIGHTS                                                                             SUPPORTING UNITS




                                                                                       These Consolidated Financial Statements are Originally Issued
                                                                                                         in Indonesian Language


                                                           Ekshibit E/38                                                                   Exhibit E/38

         PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                          PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
          CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                             NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
           UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                   FOR THE YEAR ENDED 31 DECEMBER 2023
         (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                 (Expressed in millions of Rupiah, unless otherwise stated)

    3.     PENGGUNAAN ESTIMASI DAN PERTIMBANGAN (Lanjutan)                        3.    USE OF ESTIMATES AND JUDGEMENTS (Continued)

           Pertimbangan Akuntansi yang Penting, Estimasi dan                            Significant Accounting Judgements,              Estimates   and
           Asumsi (Lanjutan)                                                            Assumptions (Continued)

           I. Penggunaan Pertimbangan (Lanjutan)                                        I.   Use of Judgements (Continued)

                Pertimbangan berikut ini dibuat oleh manajemen dalam                          The following judgements are made by management in
                rangka penerapan kebijakan akuntansi Perusahaan yang                          the process of applying the Company’s accounting
                memiliki pengaruh paling signifikan atas jumlah yang                          policies that have the most significant effects on the
                diakui dalam laporan keuangan: (Lanjutan)                                     amounts recognized in the financial statements:
                                                                                              (Continued)

                 (ii) Cadangan atas kerugian penurunan nilai aset                            (ii) Allowance for impairment of financial assets
                      keuangan (Lanjutan)                                                         (Continued)

                      Cadangan spesifik ini dievaluasi kembali dan                                 These specific allowances are re-evaluated and
                      disesuaikan jika tambahan informasi yang diterima                            adjusted as additional information received
                      mempengaruhi       jumlah    cadangan    kerugian                            affects the amounts of allowance for impairment
                      penurunan nilai piutang pembiayaan. Nilai tercatat                           of financing receivables. The carrying amount
                      dari piutang pembiayaan sebelum cadangan                                     of    the   Company’s      financing  receivables
                      kerugian     penurunan    nilai   pada     tanggal                           before allowance for impairment losses as of
                      31 Desember 2023 dan 2022 masing-masing sebesar                              31 December 2023 and 2022 were amounted to
                      Rp 21.470.513 dan Rp 20.387.689. Penjelasan lebih                            Rp 21,470,513 and Rp 20,387,689, respectively.
                      rinci diungkapkan dalam Catatan 5.                                           Further details are shown in Note 5.

          II.   Estimasi dan Asumsi                                                    II.   Estimates and Assumptions

                Asumsi utama masa depan dan sumber utama estimasi                            The key assumptions concerning the future and
                ketidakpastian lain pada akhir periode pelaporan yang                        other key sources of estimation uncertainty at
                memiliki risiko signifikan bagi penyesuaian yang material                    the reporting date that have a significant risk of
                terhadap nilai tercatat aset dan liabilitas untuk                            causing a material adjustment to the carrying amounts
                tahun/periode berikutnya, diungkapkan dibawah ini.                           of assets and liabilities within the next financial
                Perusahaan mendasarkan asumsi dan estimasi pada                              year/period are disclosed below. The Company based
                parameter yang tersedia pada saat laporan keuangan                           its assumptions and estimates on parameters
                disusun. Asumsi dan situasi mengenai perkembangan                            available when the financial statements were prepared.
                masa depan, mungkin berubah akibat perubahan pasar                           Existing assumptions and circumstances about future
                atau situasi diluar kendali Perusahaan dan entitas                           developments may change due to market changes or
                anaknya. Perubahan tersebut dicerminkan dalam asumsi                         circumstances arising beyond the control of the
                terkait pada saat terjadinya.                                                Company and its subsidiary. Such changes reflected in
                                                                                             the assumptions as they occur.

                (i)   Nilai wajar atas instrumen keuangan                                    (i)   Fair value of financial instruments

                      Nilai wajar instrumen keuangan yang secara aktif                             The fair value of financial instruments that
                      diperdagangkan di pasar keuangan ditentukan                                  are actively traded in organized financial
                      dengan mengacu pada kuotasi harga pasar yang                                 markets is determined by reference to quoted
                      berlaku pada penutupan pasar pada akhir tahun                                market bid prices at the close of business at the
                      pelaporan. Untuk instrumen keuangan yang tidak                               end of the reporting year. For financial
                      diperdagangkan di pasar aktif, nilai wajar                                   instruments where there is no active market, fair
                      ditentukan dengan menggunakan teknik penilaian.                              value is determined using valuation techniques.
                      Teknik penilaian tersebut meliputi penggunaan                                Such techniques may include using recent arm’s
                      transaksi pasar terkini yang dilakukan secara wajar                          length market transaction, reference to the
                      (arm’s length market transactions), referensi atas                           current fair value of another instrument that is
                      nilai wajar terkini dari instrumen lain yang secara                          substantially the same, discounted cash flow
                      substantial sama, analisis arus kas yang didiskonto,                         analysis, or other valuation models. Further
                      atau model penilaian lainnya. Penjelasan lebih rinci                         details are shown in Note 36.
                      diungkapkan dalam Catatan 36.




354                                                                                    PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 357
   MANAGEMENT DISCUSSION         GOOD CORPORATE                                                              ANNUAL FINANCIAL
                                                          SUSTAINABILITY         SUPPORTING DATA                                         APPENDICES
   AND ANALYSIS                  GOVERNANCE                                                                  STATEMENTS




                                                                                  These Consolidated Financial Statements are Originally Issued
                                                                                                    in Indonesian Language


                                                          Ekshibit E/39                                                             Exhibit E/39

        PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                     PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
         CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                        NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
          UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                              FOR THE YEAR ENDED 31 DECEMBER 2023
        (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)            (Expressed in millions of Rupiah, unless otherwise stated)

      3. PENGGUNAAN ESTIMASI DAN PERTIMBANGAN (Lanjutan)                    3.     USE OF ESTIMATES AND JUDGEMENTS (Continued)

          Pertimbangan Akuntansi yang Penting, Estimasi dan Asumsi                 Significant Accounting Judgements,           Estimates     and
          (Lanjutan)                                                               Assumptions (Continued)
          II. Estimasi dan Asumsi (Lanjutan)                                        II. Estimates and Assumptions (Continued)
              (ii) Cadangan kerugian penurunan nilai aset keuangan                     (ii) Allowance for impairment losses of financial
                                                                                            assets
                   Perusahaan dan entitas anaknya telah menelaah                            The Company and its subsidiary have reviewed
                   pinjaman yang diberikan dan piutang pada setiap                          loans and receivables at each statements of
                   tanggal laporan posisi keuangan untuk menilai                            financial positions date to assess whether
                   apakah penurunan nilai harus diakui dalam laporan                        impairment should be recognized in the profit or
                   laba rugi. Secara khusus, justifikasi oleh manajemen                     loss or not. In particular, justification by
                   diperlukan dalam estimasi jumlah dan waktu arus                          management is required to estimate the amount
                   kas di masa mendatang ketika menentukan                                  and timing of future cash flows when determining
                   penurunan nilai. Dalam estimasi arus kas ini,                            impairment. In the estimation of cash flows, the
                   Perusahaan membuat justifikasi tentang situasi                           Company makes the justification of the financial
                   keuangan debitur dan nilai realisasi neto agunan.                        condition of debtors and net realizable value of
                   Estimasi-estimasi ini didasarkan pada asumsi-asumsi                      collateral. These estimates are based on
                   tentang sejumlah faktor dan hasil aktual mungkin                         assumptions about a number of factors and actual
                   berbeda, yang tercermin dalam perubahan cadangan                         results may differ, as reflected in changes in
                   perubahan kerugian penurunan nilai tersebut di                           reserves of changes in these impairment losses in
                   masa mendatang.                                                          the future.
                   Evaluasi cadangan kerugian penurunan nilai secara                        Allowance for impairment losses that collectively
                   kolektif mencakup kerugian kredit yang melekat                           assessed includes inherent credit losses in financing
                   pada portofolio piutang pembiayaan dengan                                receivables portfolios with similar credit risk
                   karakteristik risiko kredit yang sejenis ketika                          characteristics     when     objective      evidence
                   terdapat bukti objektif bahwa telah terjadi                              of impairment exist for those portfolios. In
                   penurunan nilai piutang dalam portofolio tersebut.                       assessing the need for collective allowances for
                   Dalam menentukan perlunya untuk membentuk                                impairment losses, management considers factors
                   cadangan kerugian penurunan nilai secara kolektif,                       such as credit quality, portfolio size, credit
                   manajemen      mempertimbangkan         faktor-faktor                    concentrations and economic factors. In order to
                   seperti kualitas kredit, besarnya portofolio,                            estimate the required allowance, assumptions are
                   konsentrasi kredit dan faktor-faktor ekonomi. Dalam                      made to define the way inherent losses are
                   mengestimasi cadangan yang dibutuhkan, asumsi-                           modeled and to determine the required input
                   asumsi dibuat untuk menentukan model kerugian                            parameters, based on historical experience and
                   bawaan dan untuk menentukan parameter input                              current economic conditions. The accuracy of the
                   yang diperlukan, berdasarkan pengalaman historis                         allowances depends on the model assumptions and
                   dan keadaan ekonomi saat ini. Ketepatan dari                             parameters used in determining collective
                   cadangan ini bergantung pada asumsi model dan                            allowances. Further details are shown in Note 5.
                   parameter yang digunakan dalam penentuan
                   cadangan     kolektif.   Penjelasan     lebih    rinci
                   diungkapkan dalam Catatan 5.
              (iii) Estimasi umur manfaat aset tetap dan aset                          (iii) Useful life estimate for fixed assets and
                    takberwujud                                                              intangible assets
                   Perusahaan dan entitas anaknya melakukan                                 The Company and its subsidiary review periodically
                   penelahaan berkala atas masa manfaat ekonomis                            the estimated useful life of fixed assets based on
                   aset tetap berdasarkan faktor-faktor seperti kondisi                     factors such as technical specification and future
                   teknis dan perkembangan teknologi di masa depan.                         technological developments. Future results of
                   Hasil operasi di masa depan akan dipengaruhi secara                      operations could be materially affected by changes
                   material atas perubahan estimasi ini yang                                in these estimates brought about by changes in the
                   diakibatkan oleh perubahan faktor yang telah                             factors mentioned. See Note 10 for the carrying
                   disebutkan di atas. Lihat Catatan 10 untuk jumlah                        amount of fixed assets.
                   tercatat aset tetap.
              (iv) Imbalan pasca-kerja                                                (iv) Post-employment benefits

                   Nilai kini liabilitas imbalan pasca-kerja tergantung                     The present value of the post-employment benefits
                   pada beberapa faktor yang ditentukan dengan dasar                        obligations depends on a number of factors that are
                   aktuarial berdasarkan beberapa asumsi. Asumsi yang                       determined on an actuarial basis using a number of
                   digunakan untuk menentukan biaya (penghasilan)                           assumptions. The assumptions used in determining
                   pensiun neto mencakup tingkat diskonto. Perubahan                        the net cost (income) for pensions include the
                   asumsi ini akan mempengaruhi jumlah tercatat                             discount rate. Any changes in these assumptions
                   liabilitas imbalan pasca-kerja.                                          will impact the carrying amount of post-
                                                                                            employment benefits obligations.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                        355
Page 358
                              2023 PERFORMANCE                                                                      BUSINESS
 ABOUT THIS REPORT                                      REPORTS TO STAKEHOLDERS            COMPANY PROFILE
                              HIGHLIGHTS                                                                            SUPPORTING UNITS




                                                                                       These Consolidated Financial Statements are Originally Issued
                                                                                                         in Indonesian Language


                                                           Ekshibit E/40                                                                  Exhibit E/40

           PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                        PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
            CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
             UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                 FOR THE YEAR ENDED 31 DECEMBER 2023
           (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)               (Expressed in millions of Rupiah, unless otherwise stated)

      3.    PENGGUNAAN ESTIMASI DAN PERTIMBANGAN (Lanjutan)                       3.   USE OF ESTIMATES AND JUDGEMENTS (Continued)

            Pertimbangan Akuntansi yang Penting, Estimasi dan Asumsi                   Significant Accounting Judgements,              Estimates   and
            (Lanjutan)                                                                 Assumptions (Continued)
            II. Estimasi dan Asumsi (Lanjutan)                                          II. Estimates and Assumptions (Continued)
                (iv) Imbalan pasca-kerja (Lanjutan)                                        (iv) Post-employment benefits (Continued)
                      Perusahaan dan entitas anaknya menentukan tingkat                          The Company and its subsidiary determine the
                      diskonto yang sesuai pada akhir periode pelaporan,                         appropriate discount rate at the end of each
                      yakni tingkat suku bunga yang harus digunakan untuk                        reporting period. This is the interest rate that
                      menentukan nilai kini arus kas keluar masa depan                           should be used to determine the present value of
                      estimasian yang diharapkan untuk menyelesaikan                             estimated future cash outflows expected to be
                      kewajiban.                                                                 required to settle the obligations.
                      Dalam menentukan tingkat suku bunga yang sesuai,                           In determining the appropriate discount rate, the
                      Perusahaan mempertimbangkan tingkat suku bunga                             Company considers the interest rates of
                      obligasi pemerintah yang didenominasikan dalam                             government bonds that are denominated in the
                      mata uang imbalan akan dibayar dan memiliki                                currency in which the benefits will be paid and that
                      jangka waktu yang serupa dengan jangka waktu                               have terms to maturity approximating the terms of
                      liabilitas yang terkait.                                                   the related post-employment benefit obligation.
                      Asumsi kunci liabilitas imbalan pasca-kerja lainnya                        Other key assumptions for post-employment
                      sebagian ditentukan berdasarkan kondisi pasar saat                         benefit obligations are based in part on current
                      ini. Penjelasan lebih rinci diungkapkan dalam                              market conditions. Further details are shown in
                      Catatan 17.                                                                Note 17.
                (v)   Program kompensasi manajemen dan karyawan                            (v)   Management      and    employees       stock   option
                      berbasis saham                                                             program
                      Perusahaan dan entitas anaknya mengukur biaya                              The Company and its subsidiary measure the cost
                      equity-settled transactions karyawan dengan                                of equity-settled transactions with employees by
                      mengacu pada nilai wajar instrumen ekuitas pada                            reference to the fair value of the equity
                      tanggal diberikan. Estimasi nilai wajar untuk                              instruments at the date at which they are granted.
                      pembayaran berbasis saham untuk menentukan                                 Estimating fair value for share-based payment
                      model penilaian yang paling sesuai, tergantung pada                        transactions requires determining the most
                      persyaratan dan kondisi pemberian. Estimasi ini juga                       appropriate valuation model, which is dependent
                      mengharuskan menentukan input yang paling tepat                            on the terms and conditions of the grant. This
                      untuk valuasi model termasuk masa manfaat yang                             estimate also requires determining the most
                      diharapkan dari opsi saham, volatilitas dan dividend                       appropriate inputs to the valuation model
                      yield dan membuat asumsi yang digunakan.                                   including the expected life of the share option,
                                                                                                 volatility and dividend yield and making
                                                                                                 assumptions about them.
                (vi) Pajak penghasilan                                                     (vi) Income tax
                      Pertimbangan     signifikan    dilakukan    dalam                          Significant judgement is involved in determining
                      menentukan provisi atas pajak penghasilan                                  provision for corporate income tax. There are
                      badan. Terdapat transaksi dan perhitungan tertentu                         certain transaction and computation for which the
                      yang penentuan pajak akhirnya adalah tidak pasti                           ultimate tax determination is uncertain during the
                      sepanjang kegiatan usaha normal. Perusahaan dan                            ordinary course of business. The Company and its
                      entitas anaknya mengakui liabilitas atas pajak                             subsidiary recognize liabilities for expected
                      penghasilan badan berdasarkan estimasi apakah                              corporate income tax issues based on estimates of
                      terdapat tambahan pajak penghasilan badan.                                 whether additional corporate income tax will be
                      Penjelasan lebih rinci diungkapkan dalam Catatan                           due. Further details are shown in Note 14b.
                      14b.
                (vii) Aset pajak tangguhan                                                 (vii) Deferred tax assets
                      Aset pajak tangguhan diakui atas seluruh perbedaan                         Deferred tax assets are recognized for all
                      temporer yang dapat dikurangkan, sepanjang besar                           deductible temporary differences, to the extent
                      kemungkinannya bahwa penghasilan kena pajak                                that it is probable that taxable profit will be
                      akan tersedia sehingga perbedaan temporer                                  available against which the deductible temporary
                      tersebut dapat digunakan. Estimasi signifikan oleh                         differences. Significant management estimates
                      manajemen disyaratkan dalam menentukan jumlah                              are required to determine the amount of deferred
                      aset pajak tangguhan yang dapat diakui,                                    tax assets that can be recognized, based upon the
                      berdasarkan saat penggunaan dan tingkat                                    likely timing and the level of the future taxable
                      penghasilan kena pajak serta strategi perencanaan                          profits together with future tax planning
                      pajak masa depan. Penjelasan lebih rinci                                   strategies. Further details are shown in Note 14c.
                      diungkapkan dalam Catatan 14c.




356                                                                                    PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 359
   MANAGEMENT DISCUSSION           GOOD CORPORATE                                                           ANNUAL FINANCIAL
                                                      SUSTAINABILITY           SUPPORTING DATA                                          APPENDICES
   AND ANALYSIS                    GOVERNANCE                                                               STATEMENTS




                                                                                 These Consolidated Financial Statements are Originally Issued
                                                                                                   in Indonesian Language


                                                       Ekshibit E/41                                                               Exhibit E/41

        PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                   PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
         CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                      NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
          UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                            FOR THE YEAR ENDED 31 DECEMBER 2023
         (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)         (Expressed in millions of Rupiah, unless otherwise stated)

      4. KAS DAN SETARA KAS                                               4.      CASH AND CASH EQUIVALENTS

          Kas dan setara kas terdiri dari:                                        Cash and cash equivalents consist of the followings:
                                                            31 Desember/December
                                                            2023            2022

         Kas – Rupiah                                            11.889                11.495                           Cash on hand - Rupiah
         Bank – Rupiah                                                                                                Cash in banks - Rupiah
           PT Bank Victoria International Tbk                   264.593               149.565           PT Bank Victoria International Tbk
           PT Bank Tabungan Negara (UU Syariah)                 150.000                60.115       PT Bank Tabungan Negara (UU Syariah)
           PT Bank Mandiri (Persero) Tbk                        131.780               259.182               PT Bank Mandiri (Persero) Tbk
           PT Bank Pembangunan Daerah Jawa Barat                                                 PT Bank Pembangunan Daerah Jawa Barat
               dan Banten Tbk                                   100.576                    51                          dan Banten Tbk
           PT Bank Rakyat Indonesia (Persero) Tbk                72.663               128.083      PT Bank Rakyat Indonesia (Persero) Tbk
           PT Bank Central Asia Tbk                              56.870                37.836                    PT Bank Central Asia Tbk
           PT Bank CIMB Niaga Tbk                                36.801                 4.928                     PT Bank CIMB Niaga Tbk
           PT Bank Tabungan Negara (Persero) Tbk                 30.452                31.248      PT Bank Tabungan Negara (Persero) Tbk
           PT Bank Negara Indonesia (Persero) Tbk                15.752                 4.658      PT Bank Negara Indonesia (Persero) Tbk
           PT Bank Syariah Indonesia Tbk                         10.692                 4.437               PT Bank Syariah Indonesia Tbk
           Standard Chartered Bank, Cabang Jakarta               10.256                 7.280    Standard Chartered Bank, Jakarta Branch
           PT Bank Jabar Banten Syariah                           3.050               102.930               PT Bank Jabar Banten Syariah
           PT Bank Permata Tbk                                    1.810                 1.687                        PT Bank Permata Tbk
           Lain-lain (saldo di bawah Rp 1.000)                      449                   237             Others (balance below Rp 1,000)
           Jumlah bank                                          885.744               792.237                           Total cash in banks
         Jumlah kas dan bank                                    897.633               803.732                Total cash on hand and in banks
         Deposito berjangka - Rupiah                                                                                 Time deposits - Rupiah
           PT Bank KB Bukopin Syariah                           302.624               150.000                  PT Bank KB Bukopin Syariah
           PT Bank Mega Tbk                                     170.000                     -                            PT Bank Mega Tbk
           PT Bank Mandiri Taspen                               102.078                 4.182                      PT Bank Mandiri Taspen
           PT Bank Sahabat Sampoerna                            100.000                50.000                 PT Bank Sahabat Sampoerna
           PT Allo Bank Indonesia Tbk                           100.000                     -                   PT Allo Bank Indonesia Tbk
           PT Bank Panin Syariah Tbk                             50.000                     -                   PT Bank Panin Syariah Tbk
           PT Bank BTPN Syariah Tbk                               5.658                 7.500                    PT Bank BTPN Syariah Tbk
           PT Bank Mandiri (Persero) Tbk                          5.132                     -               PT Bank Mandiri (Persero) Tbk
           PT Bank Jago Tbk                                       4.171                 7.500                             PT Bank Jago Tbk
           PT Bank Ina Perdana Tbk                                2.015                     -                     PT Bank Ina Perdana Tbk
           PT Bank Rakyat Indonesia (Persero) Tbk                   348                   341       PT Bank Rakyat Indonesia (Persero) Tbk
           PT Bank Jabar Banten Syariah                               -                50.000                PT Bank Jabar Banten Syariah

            Jumlah deposito berjangka                           842.026               269.523                           Total time deposits

         Jumlah kas dan setara kas                            1.739.659             1.073.255                Total cash and cash equivalents


          Kisaran tingkat suku bunga deposito berjangka diatas adalah            The range of the interest rates from the above time deposits
          sebagai berikut:                                                       are as follows:

                                                            31 Desember/December
                                                            2023            2022
          Tingkat bunga deposito                                                                                    Time deposit interest rate
             berjangka per tahun                                                                                                 per annum
          Rupiah                                        5,00% - 7,00%      5,00% - 7,00%                                               Rupiah

          Tidak terdapat saldo kas dan setara kas yang dibatasi                  There is no restricted cash and cash equivalents as of
          penggunaannya pada tanggal 31 Desember 2023 dan 2022.                  31 December 2023 and 2022.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                      357
Page 360
                         2023 PERFORMANCE                                                                       BUSINESS
 ABOUT THIS REPORT                                 REPORTS TO STAKEHOLDERS             COMPANY PROFILE
                         HIGHLIGHTS                                                                             SUPPORTING UNITS




                                                                                  These Consolidated Financial Statements are Originally Issued
                                                                                                    in Indonesian Language


                                                        Ekshibit E/42                                                               Exhibit E/42

      PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                           PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
       CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                              NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
        UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                    FOR THE YEAR ENDED 31 DECEMBER 2023
      (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                 (Expressed in millions of Rupiah, unless otherwise stated)

    5. PIUTANG PEMBIAYAAN                                                  5.     FINANCING RECEIVABLES

                                                            31 Desember/December
                                                            2023           2022

       Piutang pembiayaan konvensional                      26.934.603            25.432.460                Conventional financing receivables
       Piutang pembiayaan murabahah                            728.736               510.314                 Murabahah financing receivables

       Jumlah piutang pembiayaan - bruto                    27.663.339            25.942.774               Total financing receivables - gross

       Rincian piutang pembiayaan adalah sebagai berikut:                         The details of financing receivables are as follows:

                                                            31 Desember/December
                                                            2023           2022

       Piutang pembiayaan – bruto                           27.663.339            25.942.774                       Financing receivables – gross
       Pendapatan pembiayaan yang
          belum diakui                                       (5.684.065)           (5.389.631)                     Unearned financing income
       Biaya transaksi yang belum diamortisasi                  (20.933)              (63.335)                   Unamortized transaction costs
                                                            21.958.341            20.489.808
       Pembiayaan bersama dan penerusan                                                                                      Joint financing and
         pinjaman – neto                                       (487.828)            (102.119)                                 channeling – net
                                                            21.470.513            20.387.689
       Dikurangi : cadangan kerugian                                                                                         Less : allowance for
         penurunan nilai                                       (764.120)            (833.435)                               impairment losses

       Jumlah piutang pembiayaan - neto                     20.706.393            19.554.254                 Total financing receivables - net


       Angsuran piutang pembiayaan – bruto, yang akan diterima                    The installments of financing receivables - gross, which will
       dari konsumen sesuai dengan tanggal jatuh temponya adalah                  be collected from consumers in accordance with the due
       sebagai berikut:                                                           dates are as follows:

                                                            31 Desember/December
                                                            2023           2022

       <= 1 tahun                                           14.319.041            13.616.597                                            <= 1 year
       1 – 2 tahun                                           8.155.369             7.594.289                                           1 – 2 years
       > 2 tahun                                             5.188.929             4.731.888                                            > 2 years

        Jumlah                                              27.663.339            25.942.774                                               Total


       Pengelompokan piutang pembiayaan - bruto menurut jumlah                     The classification of financing receivables - gross based on
       hari tunggakan adalah sebagai berikut:                                      days overdue are as follows:

                                                                                    31 Desember/December
                                         31 Desember/December                       2023            2022
                                          2023           2022                        %                %

       Belum jatuh tempo                 22.467.058          22.083.727                   81,22                 85,13                     Current
       Lewat jatuh tempo:                                                                                                               Past due:
         1-30 hari                          4.294.764         3.240.739                   15,52                 12,49                 1-30 days
         31-90 hari                           601.608           413.108                    2,17                  1,59                31-90 days
         91-120 hari                           88.177            67.146                    0,32                  0,26               91-120 days
         121-180 hari                         151.538            86.287                    0,55                  0,33              121-180 days
         > 180 hari                            60.194            51.767                    0,22                  0,20                > 180 days

       Jumlah                            27.663.339          25.942.774                  100,00                100,00                       Total




358                                                                                PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 361
   MANAGEMENT DISCUSSION         GOOD CORPORATE                                                                      ANNUAL FINANCIAL
                                                          SUSTAINABILITY           SUPPORTING DATA                                              APPENDICES
   AND ANALYSIS                  GOVERNANCE                                                                          STATEMENTS




                                                                                       These Consolidated Financial Statements are Originally Issued
                                                                                                         in Indonesian Language


                                                         Ekshibit E/43                                                                     Exhibit E/43

        PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                           PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
         CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                              NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
          UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                    FOR THE YEAR ENDED 31 DECEMBER 2023
        (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                 (Expressed in millions of Rupiah, unless otherwise stated)

      5. PIUTANG PEMBIAYAAN (Lanjutan)                                            5.    FINANCING RECEIVABLES (Continued)
          Tabel berikut menunjukkan perubahan nilai tercatat piutang                    The following tables show movement of carrying amount of
          pembiayaan selama periode berjalan:                                           receivables during the period:
                                                                  31 Desember/December 2023
                                                   Tahap 1/         Tahap 2/     Tahap 3/               Jumlah/
                                                   Stage 1           Stage 2      Stage 3                Total

           Saldo awal                              19.937.885         346.723             205.200      20.489.808                    Beginning balance

          Pergerakan antar tahap :                                                                                           Interstage movement:
             - Pindah ke tahap 1                       33.847         (32.477)             (1.370)                   -      Transfer to stage 1 -
             - Pindah ke tahap 2                     (377.326)        378.062                (736)                   -      Transfer to stage 2 -
             - Pindah ke tahap 3                     (213.565)        (10.421)            223.986                    -      Transfer to stage 3 -
          Aset keuangan yang telah                                                                                      Financial assets that have
             dilunasi, perubahan pada                                                                                   been repaid, changes in
             biaya transaksi dan piutang                                                                                    transaction cost and
             bunga pembiayaan                     (12.494.602)        (429.584)           583.404     (12.340.782) financing interest receivable
          Aset keuangan yang baru                                                                                              New financial assets
            diperoleh                              14.270.070         249.819             143.775      14.663.664                  originated
          Penghapusan                                       -               -            (854.349)       (854.349)                      Written-off

           Saldo akhir                             21.156.309         502.122             299.910      21.958.341                       Ending balance

                                                                  31 Desember/December 2022
                                                   Tahap 1/         Tahap 2/     Tahap 3/               Jumlah/
                                                   Stage 1           Stage 2      Stage 3                Total

          Saldo awal                               14.034.387         346.818             181.806      14.563.011                     Beginning balance

          Pergerakan antar tahap :                                                                                            Interstage movement:
              - Pindah ke tahap 1                      38.616         (35.899)             (2.717)              -            Transfer to stage 1 -
              - Pindah ke tahap 2                    (241.647)        244.462              (2.815)              -            Transfer to stage 2 -
              - Pindah ke tahap 3                    (139.920)        (27.280)            167.200               -            Transfer to stage 3 -
          Aset keuangan yang telah                                                                                       Financial assets that have
             dilunasi, perubahan pada                                                                                   been repaid, changes in
             biaya transaksi dan piutang                                                                                    transaction cost and
             bunga pembiayaan                      (9.548.799)        (370.517)           137.209      (9.782.107) financing interest receivable
           Aset keuangan yang baru                                                                                              New financial assets
             diperoleh                             15.795.248         189.139             100.348      16.084.735                     originated
           Penghapusan                                      -               -            (375.831)       (375.831)                       Written-off

           Saldo akhir                             19.937.885         346.723             205.200      20.489.808                        Ending balance

           Tabel berikut menunjukkan perubahan cadangan kerugian                         The following tables show movement of the allowance for
           penurunan nilai piutang pembiayaan selama periode berjalan:                   impairment losses of financing receivables during the
                                                                                         period:

                                                                 31 Desember/December 2023
                                                  Tahap 1/         Tahap 2/      Tahap 3/              Jumlah/
                                                  Stage 1           Stage 2      Stage 3                Total

           Saldo awal                               623.311           82.102            128.022          833.435                     Beginning balance

           Pergerakan antar tahap :                                                                                                 Interstage movement:
               - Pindah ke tahap 1                    7.485           (6.625)               (860)                -                 Transfer to stage 1 -
               - Pindah ke tahap 2                  (15.250)          15.680                (430)                -                 Transfer to stage 2 -
               - Pindah ke tahap 3                   (8.872)          (3.798)             12.670                 -                 Transfer to stage 3 -
           Aset keuangan yang telah dilunasi                                                                             Financial assets that have been
             dan pengukuran kembali                                                                                         repaid and remeasurement
             penurunan nilai – neto                (468.794)          (36.165)          853.722          348.763               of loss impairment - net
           Aset keuangan yang baru                                                                                                    New financial assets
             diperoleh                              254.390           53.604             128.277         436.271                             originated
           Penghapusan                                    -                -            (854.349)       (854.349)                              Written-off

           Saldo akhir                              392.270          104.798            267.052          764.120                         Ending balance




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                              359
Page 362
                        2023 PERFORMANCE                                                                       BUSINESS
ABOUT THIS REPORT                               REPORTS TO STAKEHOLDERS            COMPANY PROFILE
                        HIGHLIGHTS                                                                             SUPPORTING UNITS




                                                                               These Consolidated Financial Statements are Originally Issued
                                                                                                 in Indonesian Language


                                                   Ekshibit E/44                                                                    Exhibit E/44

      PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                     PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
       CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                        NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
        UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                              FOR THE YEAR ENDED 31 DECEMBER 2023
      (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)            (Expressed in millions of Rupiah, unless otherwise stated)

   5. PIUTANG PEMBIAYAAN (Lanjutan)                                       5.   FINANCING RECEIVABLES (Continued)

       Tabel berikut menunjukkan perubahan cadangan kerugian                    The following tables show movement of the allowance for
       penurunan nilai piutang pembiayaan selama periode berjalan:              impairment losses of financing receivables during the
       (Lanjutan)                                                               period: (Continued)

                                                         31 Desember/December 2022
                                            Tahap 1/       Tahap 2/     Tahap 3/                Jumlah/
                                            Stage 1         Stage 2      Stage 3                 Total

        Saldo awal                            569.178          124.934          147.919          842.031                    Beginning balance

        Pergerakan antar tahap :                                                                                          Interstage movement:
          - Pindah ke tahap 1                  15.848          (13.619)           (2.229)                 -              Transfer to stage 1 -
          - Pindah ke tahap 2                 (24.611)          26.780            (2.169)                 -              Transfer to stage 2 -
          - Pindah ke tahap 3                 (12.456)         (11.445)           23.901                  -              Transfer to stage 3 -
        Aset keuangan yang telah dilunasi                                                                      Financial assets that have been
           dan pengukuran kembali                                                                                 repaid and remeasurement
           penurunan nilai – neto            (341.147)         (73.716)         279.520          (135.343)           of loss impairment - net
        Aset keuangan yang baru                                                                                             New financial assets
            diperoleh                         416.499           29.168           56.911           502.578                          originated
        Penghapusan                                 -                -         (375.831)         (375.831)                           Written-off

        Saldo akhir                           623.311           82.102          128.022          833.435                          Ending balance


        Mutasi cadangan kerugian penurunan nilai piutang                       The movements in the allowance for impairment losses of
        pembiayaan berdasarkan penilaian secara individual dan                 financing receivables based on individual and collective
        kolektif adalah sebagai berikut:                                       assessments are as follows:

                                                     31 Desember/December 2023
                                                Individual/   Kolektif/   Jumlah/
                                                Individual   Collective    Total

        Saldo awal                                 159.028         674.407           833.435                                 Beginning balance
        Penambahan (pemulihan) cadangan                                                                       Additions (recovery) to allowance
          selama tahun berjalan – neto             (159.028)        944.062          785.034                            during the year – net
        Penghapusan                                       -        (854.349)        (854.349)                                       Written-off

        Saldo akhir                                        -       764.120           764.120                                      Ending balance


                                                     31 Desember/December 2022
                                                Individual/   Kolektif/   Jumlah/
                                                Individual   Collective    Total

        Saldo awal                                 423.649         418.382           842.031                                 Beginning balance
        Penambahan (pemulihan) cadangan                                                                       Additions (recovery) to allowance
          selama tahun berjalan – neto             (162.401)        529.636          367.235                            during the year – net
        Penghapusan                                (102.220)       (273.611)        (375.831)                                       Written-off

        Saldo akhir                                159.028         674.407           833.435                                      Ending balance




360                                                                            PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 363
   MANAGEMENT DISCUSSION        GOOD CORPORATE                                                                      ANNUAL FINANCIAL
                                                         SUSTAINABILITY            SUPPORTING DATA                                            APPENDICES
   AND ANALYSIS                 GOVERNANCE                                                                          STATEMENTS




                                                                                       These Consolidated Financial Statements are Originally Issued
                                                                                                         in Indonesian Language


                                                         Ekshibit E/45                                                                   Exhibit E/45

        PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                           PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
         CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                              NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
          UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                    FOR THE YEAR ENDED 31 DECEMBER 2023
        (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                 (Expressed in millions of Rupiah, unless otherwise stated)

      5. PIUTANG PEMBIAYAAN (Lanjutan)                                            5.    FINANCING RECEIVABLES (Continued)

          a. Piutang pembiayaan berdasarkan tujuan pembiayaan                           a. Financing receivables based on purpose of financing

                                                             31 Desember/December 2023
                                                                                                    Syariah/
                                                 Konvensional/Conventional                           Sharia
                                                     Modal
                                                    Kerja/     Multiguna/     Sub-
                                      Investasi/   Working       Multi-     jumlah/                                Jumlah/
                                     Investment     Capital     purpose    Sub-total               Murabahah        Total

              Piutang pembiayaan                                                                                                 Financing receivables
                - bruto                5.371.843    16.380.716     5.182.044       26.934.603         728.736      27.663.339               - gross
              Pendapatan
                 pembiayaan                                                                                                       Unearned financing
                yang belum diakui       (919.333)   (3.411.412)    (1.157.816)     (5.488.561)       (195.504)     (5.684.065)              income
              Biaya transaksi yang                                                                                                      Unamortized
                belum diamortisasi       (21.179)      (39.947)       21.615            (39.511)       18.578         (20.933)     transaction cost
                                       4.431.331    12.929.357     4.045.843       21.406.531         551.810      21.958.341
              Pembiayaan bersama                                                                                                      Joint financing
               dan penerusan                                                                                                       and channeling -
               pinjaman - neto            (4.095)     (445.933)       (37.800)         (487.828)               -     (487.828)                 net
                                       4.427.236    12.483.424     4.008.043       20.918.703         551.810      21.470.513
              Cadangan kerugian                                                                                                        Allowance for
               penurunan nilai          (115.243)     (429.080)     (203.028)          (747.351)      (16.769)       (764.120)   impairment losses
              Jumlah piutang
                pembiayaan -                                                                                                         Total financing
                neto                   4.311.993    12.054.344     3.805.015       20.171.352         535.041      20.706.393    receivables - net


                                                             31 Desember/December 2022
                                                                                                    Syariah/
                                                 Konvensional/Conventional                           Sharia
                                                     Modal
                                                    Kerja/     Multiguna/     Sub-
                                      Investasi/   Working       Multi-     jumlah/                                Jumlah/
                                     Investment     Capital     purpose    Sub-total               Murabahah        Total

              Piutang pembiayaan                                                                                                 Financing receivables
                - bruto                4.140.081    15.729.183     5.563.196       25.432.460         510.314      25.942.774               - gross
              Pendapatan
                 pembiayaan                                                                                                       Unearned financing
                yang belum diakui       (672.153)   (3.360.801)    (1.219.275)     (5.252.229)       (137.402)     (5.389.631)              income
              Biaya transaksi yang                                                                                                      Unamortized
                belum diamortisasi       (22.876)      (57.579)           7.006         (73.449)       10.114         (63.335)     transaction cost
                                       3.445.052    12.310.803     4.350.927       20.106.782         383.026      20.489.808
              Pembiayaan bersama                                                                                                      Joint financing
               dan penerusan                                                                                                       and channeling -
               pinjaman - neto              (109)      (79.711 )      (22.299)         (102.119)               -     (102.119)                 net
                                       3.444.943    12.231.092     4.328.628       20.004.663         383.026      20.387.689
              Cadangan kerugian                                                                                                        Allowance for
               penurunan nilai          (147.441)     (472.990)     (204.505)          (824.936)       (8.499)       (833.435)   impairment losses

              Jumlah piutang
                pembiayaan -                                                                                                         Total financing
                neto                   3.297.502    11.758.102     4.124.123       19.179.727         374.527      19.554.254    receivables - net




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                             361
Page 364
                          2023 PERFORMANCE                                                                         BUSINESS
 ABOUT THIS REPORT                                 REPORTS TO STAKEHOLDERS            COMPANY PROFILE
                          HIGHLIGHTS                                                                               SUPPORTING UNITS




                                                                                These Consolidated Financial Statements are Originally Issued
                                                                                                  in Indonesian Language


                                                      Ekshibit E/46                                                                   Exhibit E/46

      PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                        PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
       CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
        UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                 FOR THE YEAR ENDED 31 DECEMBER 2023
      (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)              (Expressed in millions of Rupiah, unless otherwise stated)

   5. PIUTANG PEMBIAYAAN (Lanjutan)                                        5.   FINANCING RECEIVABLES (Continued)

       a.   Piutang pembiayaan berdasarkan tujuan pembiayaan                    a.     Financing receivables based on purpose of financing
            (Lanjutan)                                                                 (Continued)

             Pembiayaan investasi diberikan untuk pembiayaan barang                    Investment financing were extended to finance capital
             modal beserta jasa yang diperlukan untuk aktivitas                        goods and services needed for business/investment
             usaha/investasi.                                                          activities.

             Pembiayaan modal kerja diberikan untuk memenuhi                           Working capital financing were extended for working
             kebutuhan pengeluaran yang habis dalam satu siklus                        capital needs which fully utilized within one cycle of
             aktivitas usaha.                                                          business activities.

             Kegiatan pembiayaan investasi dan modal kerja ditujukan                   Investment and working capital financing activities
             untuk debitur yang :                                                      were intended to borrowers which :
             a. memiliki usaha produktif; dan/atau                                     a. have productive businesses; and/or
             b. memiliki ide untuk pengembangan usaha produktif.                       b. have ideas to develop the productive businesses.

             Pembiayaan multiguna diberikan untuk pembiayaan                           Multipurpose financing were extended for financing of
             barang dan/atau jasa untuk pemakaian/konsumsi dan                         goods/services for consumption and non-business
             bukan untuk keperluan usaha atau aktivitas produktif.                     related or productive activities.

       b.    Piutang pembiayaan berdasarkan jenis pengikatan                    b.     Financing receivables based on type of contract

                                                           31 Desember/December 2023
                                                           Pembiayaan     Pembiayaan
                                            Sewa            konsumen/     Murabahah/
                                        pembiayaan/         Consumer      Murabahah              Jumlah/
                                        Finance lease        financing     financing              Total
            Piutang pembiayaan -                                                                                            Financing receivables -
               bruto                         18.730.616        8.203.987             728.736      27.663.339                               gross
            Pendapatan pembiayaan                                                                                              Unearned financing
               yang belum diakui             (3.661.404)      (1.827.157)            (195.504)    (5.684.065)                            income
            Biaya transaksi yang                                                                                                      Unamortized
               belum diamortisasi               (63.342)          23.831              18.578            (20.933)                transaction cost
                                                                                                               /

                                             15.005.870        6.400.661             551.810      21.958.341
            Pembiayaan bersama
              dan penerusan                                                                                                        Joint financing
              pinjaman – neto                  (442.680)         (45.148)                   -       (487.828)               and channeling - net
                                             14.563.190        6.355.513             551.810      21.470.513
            Cadangan kerugian                                                                                                       Allowance for
              penurunan nilai                  (467.932)        (279.419)             (16.769)      (764.120)                 impairment losses
            Jumlah piutang                                                                                                         Total financing
              pembiayaan – neto              14.095.258        6.076.094             535.041      20.706.393                   receivables – net




362                                                                             PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 365
   MANAGEMENT DISCUSSION         GOOD CORPORATE                                                                     ANNUAL FINANCIAL
                                                         SUSTAINABILITY             SUPPORTING DATA                                            APPENDICES
   AND ANALYSIS                  GOVERNANCE                                                                         STATEMENTS




                                                                                        These Consolidated Financial Statements are Originally Issued
                                                                                                          in Indonesian Language


                                                         Ekshibit E/47                                                                    Exhibit E/47

        PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                            PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
         CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                               NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
          UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                     FOR THE YEAR ENDED 31 DECEMBER 2023
        (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                  (Expressed in millions of Rupiah, unless otherwise stated)

      5. PIUTANG PEMBIAYAAN (Lanjutan)                                             5.     FINANCING RECEIVABLES (Continued)
          b. Piutang pembiayaan berdasarkan jenis pengikatan                             b.     Financing receivables based on type of contract
             (Lanjutan)                                                                         (Continued)

                                                              31 Desember/December 2022
                                                              Pembiayaan     Pembiayaan
                                              Sewa             konsumen/     Murabahah/
                                          pembiayaan/          Consumer      Murabahah                    Jumlah/
                                          Finance lease         financing     financing                    Total
              Piutang pembiayaan -                                                                                             Financing receivables -
                 bruto                        17.445.172           7.987.288                  510.314     25.942.774                          gross
              Pendapatan pembiayaan                                                                                               Unearned financing
                 yang belum diakui            (3.540.554)         (1.711.675)                 (137.402)   (5.389.631)                       income
              Biaya transaksi yang                                                                                                       Unamortized
                 belum diamortisasi                (80.460)               7.011                10.114        (63.335)              transaction cost
                                              13.824.158           6.282.624                  383.026     20.489.808
              Pembiayaan bersama
                dan penerusan                                                                                                         Joint financing
                pinjaman – neto                    (77.612)             (24.507)                     -      (102.119)          and channeling - net
                                              13.746.546           6.258.117                  383.026     20.387.689
              Cadangan kerugian                                                                                                         Allowance for
                penurunan nilai                   (548.780)         (276.156)                   (8.499)     (833.435)             impairment losses
              Jumlah piutang                                                                                                          Total financing
                pembiayaan – neto             13.197.766           5.981.961                  374.527     19.554.254              receivables – net

          Informasi pokok lainnya sehubungan dengan piutang                              Other significant information relating to financing
          pembiayaan adalah sebagai berikut:                                             receivables is as follows:

          Persentase cadangan kerugian penurunan nilai terhadap                          Percentage of the allowance for impairment losses
          jumlah piutang pembiayaan sebesar 3,56% dan 4,09% masing-                      to financing receivables was 3.56% and 4.09% as of
          masing pada tanggal 31 Desember 2023 dan 2022.                                 31 December 2023 and 2022, respectively.

          Manajemen berkeyakinan bahwa cadangan kerugian                                 The management believes that the allowance for
          penurunan nilai yang dibentuk memadai untuk menutup                            impairment losses was sufficient to cover possible losses
          kerugian yang mungkin timbul akibat tidak tertagihnya piutang                  arising from uncollectible financing receivables.
          pembiayaan tersebut.

          Seluruh transaksi pembiayaan dilakukan dengan pihak ketiga.                    All of the Company’s financing transactions are entered
                                                                                         with third parties.

          Jangka waktu kontrak pembiayaan yang disalurkan oleh                           The period of financing installment contract for vehicle and
          Perusahaan atas kendaraan bermotor dan alat-alat berat                         heavy equipment cranged from 6–60 months, and for
          berkisar antara 6–60 bulan, serta perumahan (KPR) berkisar                     housing ranges between 12-84 months.
          12-84 bulan.

          Rincian bunga kontraktual per tahun           untuk    piutang                 The detail of contractual interest rates per annum on
          pembiayaan adalah sebagai berikut:                                             financing receivables are as follows:
                                                              31 Desember/December
                                                              2023             2022
                                                               %                %
          Mobil                                               15 - 20                   16 - 21                                               Cars
          Sepeda motor                                        35 - 40                   36 - 40                                        Motorcycles
          Properti                                            17 - 20                   18 - 20                                           Property
          Alat berat dan mesin                                 9 - 16                   14 - 16                      Heavy equipment and machinery
          Channeling                                          16 - 28                   18 - 30                                         Channeling
          Syariah                                             17 - 25                   19 - 26                                             Sharia

          Sebagai jaminan atas piutang pembiayaan yang diberikan,                       As the collateral to the financing receivables, the Company
          Perusahaan menerima jaminan dari konsumen berupa Buku                         receives the Book of Vehicle Ownership (BPKB), Proprietary
          Pemilik Kendaraan Bermotor (BPKB), Sertifikat Hak Milik                       Certificate (SHM) and Property Use Right Certificate (SHGB)
          (SHM) dan Sertifikat Hak Guna Bangunan (SHGB) atas                            of the vehicles and property (building) financed by the
          kendaraan bermotor dan properti (bangunan) yang dibiayai                      Company and purchase invoices of the motor vehicles/heavy
          Perusahaan dan faktur atas kendaraan bermotor/alat                            equipment/collateral asset financed by the Company.
          berat/obyek jaminan yang dibiayai oleh Perusahaan.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                             363
Page 366
                           2023 PERFORMANCE                                                                      BUSINESS
ABOUT THIS REPORT                                   REPORTS TO STAKEHOLDERS             COMPANY PROFILE
                           HIGHLIGHTS                                                                            SUPPORTING UNITS




                                                                                   These Consolidated Financial Statements are Originally Issued
                                                                                                     in Indonesian Language


                                                      Ekshibit E/48                                                                  Exhibit E/48

      PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                         PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
       CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                            NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
        UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                  FOR THE YEAR ENDED 31 DECEMBER 2023
      (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)               (Expressed in millions of Rupiah, unless otherwise stated)

  5. PIUTANG PEMBIAYAAN (Lanjutan)                                         5.      FINANCING RECEIVABLES (Continued)
       Piutang pembiayaan pada tanggal 31 Desember 2023 dan                        Financing receivable as of 31 December 2023 and 2022
       2022 masing-masing sebesar Rp 6.932.406 dan Rp 8.902.225                    amounting to Rp 6,932,406 and Rp 8,902,225 were used as
       digunakan sebagai jaminan atas pinjaman yang diterima                       collateral to borrowings (Note 13) and amounting to
       (Catatan 13) dan sebesar Rp 2.365.225 dan Rp 832.102                        Rp 2,365,225 and Rp 832,102 were used as collateral to
       digunakan sebagai jaminan surat berharga yang diterbitkan                   securities issued, respectively (Note 15).
       (Catatan 15).

       Channeling adalah platform layanan teknologi peer-to-peer                   Channeling is a peer-to-peer lending platform              with
       milik FIT, entitas anak.                                                    technology services owns by FIT, a subsidiary.

       Pada tanggal 31 Desember 2023 dan 2022, piutang                             As of 31 December 2023 and 2022, financing receivable has
       pembiayaan yang telah direstrukturisasi terkait dengan                      been restructured as impact of the Covid-19 pandemic
       pandemi Covid-19 adalah masing-masing sebesar Rp 47.805                     amounted to Rp 47,805 and Rp 336,971, respectively.
       dan Rp 336.971.

      Perusahaan bekerjasama dengan beberapa perusahaan                            The Company engages several insurance companies to provide
      asuransi untuk memberikan perlindungan risiko terhadap aset                  risk protection for assets and financing provided by the
      dan pembiayaan yang diberikan Perusahaan, terutama                           Company, mainly PT Asuransi Bina Dana Arta Tbk, PT Asuransi
      PT Asuransi Bina Dana Arta Tbk, PT Asuransi Sinar Mas,                       Sinar Mas, PT Asuransi Wahana Tata, PT Asuransi Astra Buana,
      PT Asuransi Wahana Tata, PT Asuransi Astra Buana,                            PT Asuransi Raksa Pratikara, PT Asuransi FPG Indonesia,
      PT Asuransi Raksa Pratikara, PT Asuransi FPG Indonesia,                      PT Asuransi Etiqa Internasional Indonesia, PT Pan Pasific
      PT Asuransi Etiqa Internasional Indonesia, PT Pan Pasific                    Insurance, PT AIA Financial, PT FWD Insurance Indonesia
      Insurance, PT AIA Financial, PT FWD Insurance Indonesia                      and PT Chubb Life Insurance Indonesia. All insurance
      dan PT Chubb Life Insurance Indonesia. Seluruh perusahaan                    companies that the engaged by the Company are third
      asuransi yang bekerjasama dengan Perusahaan adalah pihak                     parties.
      ketiga.

  6. PIUTANG IJARAH DAN IMBT                                                  6.    IJARAH AND IMBT RECEIVABLES

                                                          31 Desember/December
                                                          2023            2022
       Piutang ijarah                                               68                     307                              Ijarah receivables
       Piutang Ijarah Muntahiyah Bittamlik (IMBT)                3.592                     216 Ijarah Muntahiyah Bittamlik (IMBT) receivables
       Jumlah                                                    3.660                      523                                          Total
       Cadangan kerugian penurunan nilai                           (92)                    (114)                Allowance for impairment losses
       Neto                                                      3.568                     409                                               Net
       Aset ijarah                                               2.273                    8.436                                    Ijarah assets
       Akumulasi penyusutan                                     (1.456)                  (6.007)                      Accumulated depreciation
       Cadangan kerugian penurunan nilai                           (13)                    (170)                Allowance for impairment losses
       Sub – Jumlah                                                804                   2.259                                         Sub - Total
       Aset IMBT                                                59.606                   5.313                                      IMBT assets
       Akumulasi penyusutan                                    (10.267)                   (169)                       Accumulated depreciation
       Cadangan kerugian penurunan nilai                          (942)                    (45)                 Allowance for impairment losses
       Sub – Jumlah                                             48.397                   5.099                                         Sub - Total
       Jumlah piutang ijarah dan IMBT - neto                    52.769                   7.767         Total ijarah and IMBT receivables - net
       Mutasi cadangan kerugian penurunan nilai sebagai berikut:                   Mutation of allowance for impairment losses are as follows:
                                                          31 Desember/December
                                                          2023            2022
       Saldo awal tahun                                            (329)                 (1.128)                                Beginning balance
       Mutasi tahun berjalan:                                                                                           Mutation during the year:
       - Piutang ijarah dan IMBT                                     22                     99                      Ijarah and IMBT receivables -
       - Aset ijarah                                                157                    745                                      Ijarah assets -
       - Aset IMBT                                                 (897)                   (45)                                       IMBT assets -
       Saldo akhir tahun                                        (1.047)                    (329)                                    Ending balance
       Aset ijarah terdiri dari pembiayaan umroh, pendidikan,                      Ijarah assets consist of financing for umrah, education,
       kebutuhan multijasa dan wisata halal.                                       multiservices needs and halal tourism.
       Penyusutan dan kerugian penurunan nilai dibebankan pada                     Depreciation and impairment losses was charged to the
       laporan laba rugi dan penghasilan komprehensif lain                         consolidated statements of profit or loss and other
       konsolidasian.                                                              comprehensive income.




364                                                                                 PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 367
   MANAGEMENT DISCUSSION          GOOD CORPORATE                                                             ANNUAL FINANCIAL
                                                        SUSTAINABILITY        SUPPORTING DATA                                            APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                                 STATEMENTS




                                                                                  These Consolidated Financial Statements are Originally Issued
                                                                                                    in Indonesian Language


                                                         Ekshibit E/49                                                              Exhibit E/49

           PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                   PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
            CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                      NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
             UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                            FOR THE YEAR ENDED 31 DECEMBER 2023
           (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)         (Expressed in millions of Rupiah, unless otherwise stated)

      7.    PIUTANG LAIN-LAIN – PIHAK KETIGA                                 7.    OTHER RECEIVABLES – THIRD PARTIES

                                                               31 Desember/December
                                                              2023             2022
             Piutang dalam proses penyelesaian – neto            147.294                 72.045     Receivables in the settlement process - net
             Piutang penerimaan angsuran konsumen                 50.312                 33.086       Customer installment receipt receivables
             Piutang karyawan                                     48.463                 52.921                           Employee receivables
             Premi asuransi                                          995                  2.240                              Insurance premium
             Lain-lain                                             3.651                  2.343                                          Others
             Jumlah                                              250.715                162.635                                             Total

            Piutang dalam proses penyelesaian – pihak ketiga dinyatakan            Receivables in the settlement process – third parties are
            dalam nilai neto setelah dikurangi dengan cadangan kerugian            recorded at net amount, after deducting the allowance for
            penurunan nilai pada tanggal 31 Desember 2023 dan 2022                 impairment losses as of 31 December 2023 and 2022
            masing-masing sebesar Rp 44.230 dan Rp 10.205. Manajemen               amounting to Rp 44,230 and Rp 10,205, respectively.
            berpendapat bahwa jumlah cadangan kerugian penurunan nilai             Management believes that the allowance for impairment
            tersebut, cukup untuk menutupi kerugian yang mungkin timbul            losses are adequate to cover possible losses from
            akibat tidak tertagihnya piutang dalam proses penyelesaian -           uncollectible receivables from receivables in the
            pihak ketiga.                                                          settlement process – third parties.

            Piutang penerimaan angsuran konsumen merupakan                         Customer installment receipt receivables are customer
            pembayaran angsuran konsumen yang diantaranya dilakukan                installment such paid through online customer’s payment
            secara online melalui fasilitas layanan pembayaran pelanggan           channel (payment point) such as ATM networks of Prima,
            (payment point) seperti jaringan ATM Prima, ATM Bersama,               ATM Bersama and outlets of Indomaret and Alfamart retail
            jaringan toko ritel Indomaret dan Alfamart (termasuk di                stores (including the store chains of Alfa Midi, Dandan, and
            dalamnya jaringan Alfa Midi, Dandan, dan Lawson) serta                 Lawson) and marketplace such as Tokopedia, Shopee, Blibli
            marketplace seperti Tokopedia, Shopee, Blibli dan Gojek.               and Gojek. These channels will transfer the installment
            Fasilitas payment point ini akan meneruskan angsuran yang              paid to the Company’s bank account in several bank within
            dibayarkan konsumen tersebut ke rekening Perusahaan di                 1 (one) day up to 2 (two) days from the date that the
            beberapa bank dalam jangka waktu 1 (satu) hari sampai dengan           customer installment is received.
            2 (dua) hari dari tanggal angsuran konsumen diterima.

      8. ASET (LIABILITAS) DERIVATIF                                         8.    DERIVATIVE ASSETS (LIABILITIES)

            Perusahaan memiliki beberapa kontrak cross currency dan                The Company has several cross currency and interest rate
            interest rate swap dengan beberapa bank. Perincian dari                swap contracts with several banks. The details of these
            kontrak-kontrak tersebut adalah sebagai berikut:                       contracts are as follows:
                                                        31 Desember/December 2023
                                                         Jumlah nosional      Tanggal                                 Nilai wajar/Fair value
                                                          (nilai penuh)/     perjanjian/               Tanggal       Aset (liabilitas) derivatif/
                            Pihak lawan/                 Notional amount     Agreement              jatuh tempo/        Derivative assets
                           Counterparty                   (full amount)         date                  Due date               (liabilities)
           Cross Currency and Interest
             Rate Swap

           PT Bank Permata Tbk                          USD      1.666.667        13-Apr-2021        15-Apr-2024                             927
           PT Bank Permata Tbk                          USD      2.216.667        20-Apr-2021        22-Apr-2024                             906
           PT Bank Permata Tbk                          USD      1.950.000        20-Apr-2021        22-Apr-2024                             797
           Standard Chartered Bank, Jakarta Branch      USD      4.500.000        16-Sep-2021        17-Sep-2024                           5.658
           Standard Chartered Bank, Jakarta Branch      USD      6.000.000        13-Oct-2021        15-Oct-2024                           7.655
           PT Bank CIMB Niaga Tbk                       USD      4.000.000        23-Nov-2021        23-Nov-2024                           4.846
           PT Bank Permata Tbk                          USD      5.000.000        18-Jan-2022        20-Jan-2025                           6.262
           PT Bank Permata Tbk                          USD      7.500.000        14-Feb-2022        14-Feb-2025                           8.462
           PT Bank Permata Tbk                          USD      7.500.000        14-Mar-2022        14-Mar-2025                           8.563
           PT Bank CTBC Indonesia                       USD     13.000.000        22-Feb-2023        20-Feb-2026                           1.865
           PT Bank CIMB Niaga Tbk                       USD     10.000.000        22-May-2023        22-May-2026                           6.038
           PT Bank Rakyat Indonesia (Persero) Tbk       USD     10.000.000        26-Jun-2023        26-Jun-2026                          (1.211)
           PT Bank CIMB Niaga Tbk                       USD     10.000.000         27-Jul-2023        27-Jul-2026                          3.445
           PT Bank Rakyat Indonesia (Persero) Tbk       USD     20.000.000        28-Aug-2023        28-Aug-2026                          (1.934)
           PT Bank Permata Tbk                          USD     15.000.000        27-Nov-2023        27-Nov-2026                            (957)
           PT Bank Rakyat Indonesia (Persero) Tbk       USD     25.000.000        18-Dec-2023        18-Dec-2026                           5.335

                                                                                                                                          56.657




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                        365
Page 368
                           2023 PERFORMANCE                                                                       BUSINESS
 ABOUT THIS REPORT                                   REPORTS TO STAKEHOLDERS             COMPANY PROFILE
                           HIGHLIGHTS                                                                             SUPPORTING UNITS




                                                                                    These Consolidated Financial Statements are Originally Issued
                                                                                                      in Indonesian Language


                                                       Ekshibit E/50                                                                  Exhibit E/50

        PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                        PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
         CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
          UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                 FOR THE YEAR ENDED 31 DECEMBER 2023
        (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)              (Expressed in millions of Rupiah, unless otherwise stated)

   8. ASET (LIABILITAS) DERIVATIF (Lanjutan)                                   8.    DERIVATIVE ASSETS (LIABILITIES) (Continued)

         Perusahaan memiliki beberapa kontrak cross currency dan                     The Company has several cross currency and interest rate
         interest rate swap dengan beberapa bank. Perincian dari                     swap contracts with several banks. The details of these
         kontrak-kontrak tersebut adalah sebagai berikut: (Lanjutan)                 contracts are as follows: (Continued)

                                                       31 Desember/December 2022
                                                                              Tanggal
                                                        Jumlah nosional      perjanjian/                  Tanggal         Nilai wajar/Fair value
                        Pihak lawan/                      (nilai penuh)/     Agreement                 jatuh tempo/           Aset derivatif/
                       Counterparty                     Notional amount         date                     Due date           Derivative assets
                                                          (full amount)

         Cross Currency and Interest
           Rate Swap

         Standard Chartered Bank, Jakarta Branch       USD        2.500.000          19-Mar-2020        23-Mar-2023                             515
         PT Bank Permata Tbk                           USD        5.000.000           7-Apr-2021        15-Apr-2024                           2.368
         PT Bank Permata Tbk                           USD        6.650.000          13-Apr-2021        22-Apr-2024                           2.158
         PT Bank Permata Tbk                           USD        5.850.000          13-Apr-2021        22-Apr-2024                           1.898
         Standard Chartered Bank, Jakarta Branch       USD       10.500.000          16-Sep-2021        17-Sep-2024                          15.785
         Standard Chartered Bank, Jakarta Branch       USD       12.000.000          13-Oct-2021        15-Oct-2024                          17.430
         PT Bank CIMB Niaga Tbk                        USD        8.000.000          23-Nov-2021        25-Nov-2024                          11.438
         PT Bank Permata Tbk                           USD        9.000.000          18-Jan-2022        20-Jan-2025                          13.478
         PT Bank Permata Tbk                           USD       13.500.000          14-Feb-2022        14-Feb-2025                          18.744
         PT Bank Permata Tbk                           USD       13.500.000          14-Mar-2022        14-Mar-2025                          19.242

                                                                                                                                           103.056

         Perusahaan melakukan kontrak cross currency swap dan                       The Company entered into cross currency swap and interest
         interest rate swap dengan tujuan lindung nilai atas risiko                 rate swap contracts to hedge the risk of fluctuations in cash
         fluktuasi arus kas yang ditimbulkan oleh kurs mata uang dan                flows arising from exchange rates and interest rates on
         tingkat suku bunga atas pinjaman yang diterima.                            borrowing.

         Perubahan atas nilai wajar dari kontrak cross currency swap                Changes in the fair value of cross currency swap and interest
         dan interest rate swap yang ditetapkan sebagai instrumen                   rate swap contract designated hedging instruments that
         lindung nilai, yang secara efektif menghapus variabilitas arus             effectively offset the variability of cash flows associated
         kas dari pinjaman terkait, dicatat di ekuitas. Nilai ini                   with the borrowings are recorded in equity. The amounts
         kemudian diakui dalam laporan laba rugi sebagai penyesuaian                subsequently are recognized to the profit or loss as
         atas laba atau rugi selisih kurs dan beban bunga pinjaman                  adjustments of the exchange rate differences and interest
         terkait yang dilindungi nilai pada periode yang sama dimana                payments related to the hedged borrowings in the same
         selisih kurs dan beban bunga tersebut diakui pada perkiraan                period in which the related exchange rate differences and
         laba rugi.                                                                 interest affects profit or loss.

         Keuntungan dan kerugian kumulatif yang timbul dari                         The cumulative gain and loss arising from the changes in fair
         perubahan nilai wajar instrumen derivatif pada tanggal                     values of the derivative instruments as of 31 December 2023
         31 Desember 2023 dan 2022 masing-masing sebesar Rp 666 dan                 and 2022 amounting to Rp 666 and Rp 10,267, respectively,
         Rp 10.267 disajikan sebagai “Keuntungan (kerugian) kumulatif               were presented as “Cumulative gain (losses) on derivative
         atas instrumen derivatif untuk lindung nilai arus kas–neto”                instrument for cash flow hedges – net” under the “Equity”
         sebagai bagian “Ekuitas” pada laporan posisi keuangan                      section in the consolidated statement of financial position
         konsolidasian dan akan diakui dalam laporan laba rugi pada                 and will be recognized in the statement of profit or loss
         saat realisasinya.                                                         upon its realization.

   9.    BEBAN DIBAYAR DI MUKA DAN UANG MUKA                               9.       PREPAID EXPENSES AND ADVANCES
                                                                31 Desember/December
                                                                 2023           2022
         Akses biro kredit                                             12.872              13.147                             Loan access bureou
         Bunga                                                         11.493               2.485                                        Interest
         Implementasi proyek IT                                         8.131               6.671                      IT implementation project
         Uang muka                                                        836               1.181                              Advance payment
         Sewa                                                             458                 496                                           Rent
         Asuransi                                                         300                 333                                      Insurance
         Lain-lain                                                        347                 454                                         Others
         Jumlah                                                        34.437              24.767                                            Total




366                                                                                 PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 369
   MANAGEMENT DISCUSSION              GOOD CORPORATE                                                                         ANNUAL FINANCIAL
                                                                SUSTAINABILITY               SUPPORTING DATA                                             APPENDICES
   AND ANALYSIS                       GOVERNANCE                                                                             STATEMENTS




                                                                                               These Consolidated Financial Statements are Originally Issued
                                                                                                                 in Indonesian Language


                                                                Ekshibit E/51                                                                       Exhibit E/51

          PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                               PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
           CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                                  NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
            UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                        FOR THE YEAR ENDED 31 DECEMBER 2023
           (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                     (Expressed in millions of Rupiah, unless otherwise stated)

         10. ASET TETAP                                                                 10. FIXED ASSETS

                                                                 31 Desember/December 2023
                                          Saldo awal/                                                               Saldo akhir/
                                           Beginning    Penambahan/      Pengurangan/            Reklasifikasi/        Ending
                                            balance       Additions       Deductions           Reclassifications      balance

            Harga perolehan                                                                                                                        Acquisition cost
            Pemilikan langsung                                                                                                                   Direct ownership
             Tanah                            207.193                -                 -                      -          207.193                            Land
             Bangunan dan prasarana           432.605            3.741                 -                 10.451          446.797     Building and improvements
             Peralatan kantor                 273.812           57.523            (5.571)                   760          326.524               Office equipment
             Kendaraan                        277.440          119.118           (57.848 )                    -          338.710                        Vehicles
             Perabot dan
               perlengkapan kantor             22.790              646              (237 )                1.504           24.703          Furniture and fixtures

                                            1.213.840          181.028           (63.656 )                12.715       1.343.927
            Aset dalam penyelesaian             1.902           11.915                 -                 (12.715)          1.102                  Asset in progress

            Jumlah Harga Perolehan          1.215.742          192.943           (63.656)                      -       1.345.029           Total Acquisition Cost
           Akumulasi penyusutan                                                                                                        Accumulated depreciation
            Bangunan dan prasarana            221.982           23.605                 -                       -         245.587     Building and improvements
            Peralatan kantor                  199.482           36.479            (5.445)                      -         230.516               Office equipment
            Kendaraan                         114.147           56.392           (44.108)                      -         126.431                        Vehicles
            Perabot dan
              perlengkapan kantor              20.986             908               (226 )                     -          21.668         Furniture and fixtures

           Jumlah Akumulasi                                                                                                                     Total Accumulated
              Penyusutan                      556.597          117.384           (49.779)                      -         624.202                   Depreciation
           Nilai Tercatat                     659.145                                                                   720.827                   Carrying Amount


                                                                 31 Desember/December 2022
                                          Saldo awal/                                                               Saldo akhir/
                                           Beginning    Penambahan/      Pengurangan/            Reklasifikasi/        Ending
                                            balance       Additions       Deductions           Reclassifications      balance

            Harga perolehan                                                                                                                        Acquisition cost
            Pemilikan langsung                                                                                                                   Direct ownership
             Tanah                            207.193                -                 -                      -          207.193                            Land
             Bangunan dan prasarana           425.524            1.900              (123)                 5.304          432.605     Building and improvements
             Peralatan kantor                 253.157           19.820            (4.968)                 5.803          273.812               Office equipment
             Kendaraan                        216.083          132.555           (71.198)                     -          277.440                        Vehicles
             Perabot dan
               perlengkapan kantor             22.149              832               (538)                  347           22.790          Furniture and fixtures

                                            1.124.106          155.107           (76.827)                 11.454       1.213.840
            Aset dalam penyelesaian             4.430            8.926                 -                 (11.454)          1.902                  Asset in progress

            Jumlah Harga Perolehan          1.128.536       164.033              (76.827 )                     -       1.215.742           Total Acquisition Cost

           Akumulasi penyusutan                                                                                                       Accumulated depreciation
            Bangunan dan prasarana           197.626           24.461               (105)                      -        221.982     Building and improvements
            Peralatan kantor                 172.566           31.789             (4.873)                      -        199.482               Office equipment
            Kendaraan                        131.010           43.048            (59.911)                      -        114.147                        Vehicles
            Perabot dan
              perlengkapan kantor             20.693              808               (515 )                     -         20.986          Furniture and fixtures

            Jumlah Akumulasi                                                                                                                    Total Accumulated
               Penyusutan                    521.895        100.106              (65.404)                      -        556.597                    Depreciation

           Nilai Tercatat                    606.641                                                                    659.145                  Carrying Amount
     3




           Pada tanggal 31 Desember 2023 dan 2022, rincian aset dalam                          As of 31 December 2023 and 2022, the details of asset in
           penyelesaian dengan persentase penyelesaian masing-masing                           progress with percentage of completion of are 66% and 43%,
           sebesar 66% dan 43% sebagai berikut:                                                respectively, are as follows:
                                          Perkiraan tahun penyelesaian/                31 Desember/December
           Proyek                           Estimation of completion                   2023            2022                                              Project
           Bangunan dan prasarana                       2024                                    1.056                  1.610        Building and improvement
           Peralatan kantor                             2024                                       28                      -                 Office equipment
           Perabot dan
              perlengkapan kantor                       2024                                        18                   292            Furniture and fixtures
                                                                                                1.102                  1.902




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                                          367
Page 370
                          2023 PERFORMANCE                                                                    BUSINESS
 ABOUT THIS REPORT                                  REPORTS TO STAKEHOLDERS           COMPANY PROFILE
                          HIGHLIGHTS                                                                          SUPPORTING UNITS




                                                                                 These Consolidated Financial Statements are Originally Issued
                                                                                                   in Indonesian Language


                                                       Ekshibit E/52                                                               Exhibit E/52

      PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                         PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
       CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                            NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
        UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                  FOR THE YEAR ENDED 31 DECEMBER 2023
       (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)               (Expressed in millions of Rupiah, unless otherwise stated)

   10. ASET TETAP (Lanjutan)                                              10. FIXED ASSETS (Continued)

        Jumlah penyusutan yang dibebankan pada operasi adalah                    Depreciation charged to operations was amounted to
        sejumlah Rp 117.384 dan Rp 100.106 masing-masing untuk                   Rp 117,384 and Rp 100,106 for the year ended
        tahun yang berakhir pada tanggal 31 Desember 2023 dan 2022               31 December 2023 and 2022, respectively (Note 27).
        (Catatan 27).
        Perusahaan memiliki beberapa bidang tanah dengan status                  The Company owns several plots of land with “Property Use
        Hak Guna Bangunan (“HGB”) yang memiliki masa manfaat                     Rights” titles (“HGB”) with remaining useful lifes that will
        yang akan berakhir antara tahun 2025 sampai tahun 2051.                  expire in the various years between 2025 to 2051. The
        Manajemen Perusahaan berkeyakinan bahwa tidak akan                       management of the Company believes that there will be no
        terdapat kesulitan dalam memperpanjang hak atas tanah                    difficulty in extending the land rights as the land were
        karena tanah tersebut diperoleh secara sah dan dilengkapi                acquired legally and supported by sufficient evidences of
        dengan bukti kepemilikan yang sah.                                       ownership.
        Pengurangan aset tetap untuk tahun yang berakhir pada                    Deductions of fixed assets for the year ended 31 December
        tanggal 31 Desember 2023 dan 2022 terdiri dari                           2023 and 2022 consisted of writen off office equipment and
        penghapusbukuan peralatan kantor dan rehabilitasi gedung                 leasehold improvement, and sales of fixed assets - vehicles
        kantor, serta penjualan aset tetap kendaraan dan peralatan               and office equipment with details of gain on sale are as
        kantor dengan rincian keuntungan yang diperoleh adalah                   follows:
        sebagai berikut:
                                                               31 Desember/December
                                                               2023            2022
        Hasil penjualan                                              27.380                31.632                                     Proceeds
        Nilai tercatat                                              (13.878)              (11.423)                             Carrying amount
        Keuntungan penjualan aset tetap                             13.502                20.209                  Gain on sale of fixed assets
        Keuntungan atas penjualan aset tetap diakui sebagai bagian                Gain on sale of fixed assets is recognized as part of “Other
        dari “Pendapatan Lain-lain” pada laporan laba rugi dan                    Income” in the consolidated statement of profit or loss and
        penghasilan komprehensif lain konsolidasian (Catatan 24).                 other comprehensive income (Note 24).
        Pada tanggal 31 Desember 2023 dan 2022, jumlah harga                      As of 31 December 2023 and 2022, the cost of fixed asset
        perolehan aset tetap yang telah disusutkan penuh tetapi                   which have been fully depreciated but still in use in the
        masih digunakan dalam kegiatan operasional adalah masing-                 operational activities amounted to Rp 294,166 and
        masing sebesar Rp 294.166 dan Rp 251.363.                                 Rp 251,363, respectively.
        Seluruh aset tetap, kecuali tanah, telah diasuransikan                    All fixed assets, except for land, are covered against losses
        terhadap risiko kerugian kebakaran, banjir dan risiko kerugian            from fire, flood and other risks (all risks) with a total
        lainnya (all risks) dengan jumlah nilai pertanggungan masing-             sum insured amounting to Rp 453,806 and 448,977 as of
        masing sebesar Rp 453.806 dan 448.977 pada tanggal                        31 December 2023 and 2022, respectively. The management
        31 Desember 2023 dan 2022. Manajemen berkeyakinan bahwa                   believes that the sum insured is sufficient to cover the
        nilai pertanggungan tersebut telah memadai untuk menutup                  possible losses that may arise fro the said insured risks.
        kemungkinan kerugian atas aset tetap terhadap risiko-risiko
        yang dipertanggungkan.

        Tidak ada aset tetap yang dijadikan jaminan pada tanggal                  There were no fixed assets pledged as collateral as of
        31 Desember 2023 dan 2022.                                                31 December 2023 and 2022.

        Manajemen Perusahaan dan entitas anaknya berkeyakinan                     The management of the Company and its subsidiary believes
        bahwa tidak terdapat kondisi atau peristiwa yang                          that there were no conditions or event that indicate
        menimbulkan indikasi penurunan nilai atas jumlah tercatat                 impairment in the carrying amount of its fixed assets, and
        aset tetap, sehingga tidak diperlukan cadangan kerugian                   therefore an allowance for impairment losses of fixed assets
        penurunan nilai untuk aset tetap.                                         was not considered necessary.
        Manajemen Perusahaan dan entitas anaknya berkeyakinan                     The management of the Company and its subsidiary
        bahwa tidak ada perbedaan secara signifikan antara nilai                  believes that there is no significant difference between the
        wajar aset tetap dengan jumlah tercatat.                                  fair value and the carrying amount of fixed assets.

        Seluruh aset tetap yang ada pada tanggal pelaporan                        All of fixed assets as at the reporting date are fully used to
        digunakan untuk menunjang aktivitas operasi Perusahaan.                   support the Company’s operation activities.




368                                                                               PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 371
   MANAGEMENT DISCUSSION            GOOD CORPORATE                                                                   ANNUAL FINANCIAL
                                                            SUSTAINABILITY        SUPPORTING DATA                                                  APPENDICES
   AND ANALYSIS                     GOVERNANCE                                                                       STATEMENTS




                                                                                       These Consolidated Financial Statements are Originally Issued
                                                                                                         in Indonesian Language


                                                            Ekshibit E/53                                                                    Exhibit E/53

         PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                         PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
          CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                            NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
           UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                  FOR THE YEAR ENDED 31 DECEMBER 2023
         (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                (Expressed in millions of Rupiah, unless otherwise stated)

      11. ASET HAK-GUNA                                                          11. RIGHT-OF-USE ASSETS

          Klasifikasi kelompok utama aset hak-guna adalah sebagai                      The major classification of right-of-use assets are as
          berikut:                                                                     follows:

                                                              31 Desember/December 2023
                                     Saldo awal/            Penambahan/           Pengurangan/                Saldo akhir/
                                  Beginning balance           Additions            Deductions                Ending balance
          Harga perolehan                                                                                                                Acquisition cost
            Sewa bangunan                     105.319                   25.218              (12.881)                     117.656        Buildings leases
          Akumulasi                                                                                                                          Accumulated
            penyusutan                                                                                                                    depreciation
            Sewa bangunan                      66.900                   22.612              (12.881)                         76.631     Buildings leases
          Nilai Tercatat                       38.419                                                                        41.025     Carrying Amount


                                                              31 Desember/December 2022
                                     Saldo awal/            Penambahan/           Pengurangan/                Saldo akhir/
                                  Beginning balance           Additions            Deductions                Ending balance
          Harga perolehan                                                                                                                Acquisition cost
            Sewa bangunan                      81.391                   23.928                      -                    105.319        Buildings leases
          Akumulasi                                                                                                                          Accumulated
            penyusutan                                                                                                                    depreciation
            Sewa bangunan                      45.356                   21.544                      -                        66.900     Buildings leases
          Nilai Tercatat                       36.035                                                                        38.419      Carrying Amount

          Jumlah penyusutan yang dibebankan pada operasi adalah                        Depreciation charged to operations was amounted to
          sejumlah Rp 22.612 dan Rp 21.544 untuk tahun yang berakhir                   Rp 22,612 and Rp 21,544 for the year ended 31 December
          pada tanggal 31 Desember 2023 dan 2022 (Catatan 27).                         2023 and 2022, respectively (Note 27).

          Beberapa transaksi sewa gudang dan kantor mengandung opsi                    Some leases of warehouses and offices contain extension
          perpanjangan yang dapat diambil oleh Perusahaan sebelum                      options exercisable by the Company before the end of the
          masa berakhirnya kontrak yang tidak dapat dibatalkan. Opsi                   non-cancellable contract period. The extension options held
          perpanjangan yang dimiliki hanya dapat diambil oleh                          are exercisable only by the Company. The Company assesses
          Perusahaan. Perusahaan mengevaluasi pada awal dimulainya                     at lease commencement whether it is reasonably certain to
          masa sewa apakah besar kemungkinan akan diambilnya opsi                      exercise the extension options. The Company reassesses this
          perpanjangan. Perusahaan mengevaluasi kembali penentuan                      assessment if there is a significant event or significant
          ini apabila ada peristiwa signifikan atau ada perubahan                      change in circumstances within its control.
          keadaan signifikan di dalam kendali Perusahaan.


      12. ASET TAKBERWUJUD                                                       12. INTANGIBLE ASSETS

                                                              31 Desember/December 2023
                                        Saldo awal/                                                           Saldo akhir/
                                         Beginning      Penambahan/    Pengurangan/       Reklasifikasi/         Ending
                                          balance         Additions     Deductions      Reclassifications       balance

          Harga perolehan                                                                                                                   Acquisition cost
            Piranti lunak                    191.059         144.413               -              91.826           427.298                       Software

            Piranti lunak dalam
             penyelesaian                     69.077          25.113               -              (91.826)           2.364             Software in progress

          Jumlah Harga Perolehan             260.136         169.526               -                    -          429.662            Total Acquisition Cost

          Akumulasi amortisasi                                                                                                   Accumulated amortization
            Piranti lunak                    120.637          53.859               -                    -          174.496                     Software

          Nilai Tercatat                     139.499                                                               255.166                 Carrying Amount




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                                  369
Page 372
                            2023 PERFORMANCE                                                                          BUSINESS
 ABOUT THIS REPORT                                     REPORTS TO STAKEHOLDERS             COMPANY PROFILE
                            HIGHLIGHTS                                                                                SUPPORTING UNITS




                                                                                       These Consolidated Financial Statements are Originally Issued
                                                                                                         in Indonesian Language


                                                          Ekshibit E/54                                                                    Exhibit E/54

      PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                             PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
       CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                                NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
        UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                      FOR THE YEAR ENDED 31 DECEMBER 2023
       (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                  (Expressed in millions of Rupiah, unless otherwise stated)

    12. ASET TAKBERWUJUD (Lanjutan)                                               12. INTANGIBLE ASSETS (Continued)

                                                            31 Desember/December 2022
                                     Saldo awal/                                                             Saldo akhir/
                                      Beginning     Penambahan/       Pengurangan/        Reklasifikasi/        Ending
                                       balance        Additions        Deductions       Reclassifications      balance

        Harga perolehan                                                                                                                  Acquisition cost
          Piranti lunak                   146.720          32.228                  -              12.111          191.059                     Software

          Piranti lunak dalam
           penyelesaian                     7.618          73.570                  -              (12.111)         69.077          Software in progress

        Jumlah Harga Perolehan            154.338         105.798                  -                     -        260.136         Total Acquisition Cost

        Akumulasi amortisasi                                                                                                  Accumulated amortization
          Piranti lunak                    98.145          22.492                  -                     -        120.637                   Software

        Nilai Tercatat                     56.193                                                                 139.499                Carrying Amount



        Jumlah amortisasi yang dibebankan pada operasi adalah                          Amortization charged to operations was amounted
        sejumlah Rp 53.859 dan Rp 22.492 masing-masing untuk tahun                     to Rp 53,859 and Rp 22,492 for the year ended
        yang berakhir pada tanggal 31 Desember 2023 dan 2022                           31 December 2023 and 2022, respectively (Note 27).
        (Catatan 27).


    13. PINJAMAN YANG DITERIMA - PIHAK KETIGA                                    13.    FUND BORROWINGS – THIRD PARTIES

        Pinjaman yang diterima terdiri dari:                                           Borrowings consist of the followings:
                                                                    31 Desember/December
                                                                    2023            2022

        Pinjaman (Dolar AS)                                                                                                  Borrowings (US Dollar)
          Pinjaman Sindikasi                                        1.919.292              1.085.439                              Syndicated Loan
          PT Bank CTBC Indonesia                                      200.408                      -                       PT Bank CTBC Indonesia
          responsAbility SICAV (Lux) - konsolidasian                   89.927                275.292     responsAbility SICAV (Lux) - consolidated
          Sub-jumlah pinjaman (Dolar AS)                            2.209.627              1.360.731              Sub-total borrowings (US Dollar)
        Pinjaman (Rupiah)                                                                                                      Borrowings (Rupiah)
          PT Bank Mandiri (Persero) Tbk                             1.221.847               1.963.402              PT Bank Mandiri (Persero) Tbk
          Pinjaman Sindikasi                                                                                                      Syndicated Loan
             (Agen : PT Bank DKI)                                   1.076.474                 931.386                    (Agent : PT Bank DKI)
          PT Bank Pan Indonesia Tbk                                 1.052.320               1.667.859                 PT Bank Pan Indonesia Tbk
          PT Bank Central Asia Tbk                                    980.555               1.654.167                    PT Bank Central Asia Tbk
          PT United Tractors Tbk                                      432.257                 407.100                      PT United Tractors Tbk
          PT Bank KEB Hana Indonesia                                  330.278                 237.778                PT Bank KEB Hana Indonesia
          PT Bank Jago Tbk                                            296.893                 300.000                            PT Bank Jago Tbk
          PT Bank CIMB Niaga Tbk                                      276.891                 230.756                     PT Bank CIMB Niaga Tbk
          PT Bank DKI                                                 261.214                 422.774                                 PT Bank DKI
          PT Bank Pembangunan Daerah Jawa Barat                                                          PT Bank Pembangunan Daerah Jawa Barat
             dan Banten Tbk                                           150.000                        -                          dan Banten Tbk
          PT Bank China Construction                                                                                 PT Bank China Construction
             Bank Indonesia Tbk                                       132.177                 212.787                       Bank Indonesia Tbk
          PT Bank UOB Indonesia                                       100.000                 400.000                      PT Bank UOB Indonesia
          PT Bank Shinhan Indonesia                                   100.000                 166.667                  PT Bank Shinhan Indonesia
          PT Bank Permata Tbk                                          35.417                 135.417                        PT Bank Permata Tbk
          PT Gaya Makmur Tractors                                      35.141                  52.618                   PT Gaya Makmur Tractors
          PT Bank Permata Syariah Tbk                                  10.417                  35.417               PT Bank Permata Syariah Tbk
          PT Bank Victoria International Tbk                                -                 100.000          PT Bank Victoria International Tbk

          Sub-jumlah pinjaman (Rupiah)                              6.491.881               8.918.128                Sub-total borrowings (Rupiah)

          Jumlah pinjaman                                           8.701.508             10.278.859                               Total borrowings

          Dikurangi:                                                                                                                          Less:
            Biaya transaksi yang belum diamortisasi                   (35.648)                (31.951)               Unamortized transaction costs

          Pinjaman – neto                                           8.665.860             10.246.908                                Borrowings – net




370                                                                                    PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 373
   MANAGEMENT DISCUSSION          GOOD CORPORATE                                                                 ANNUAL FINANCIAL
                                                           SUSTAINABILITY          SUPPORTING DATA                                          APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                                     STATEMENTS




                                                                                    These Consolidated Financial Statements are Originally Issued
                                                                                                      in Indonesian Language


                                                           Ekshibit E/55                                                                Exhibit E/55

          PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                         PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
           CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                            NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
            UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                  FOR THE YEAR ENDED 31 DECEMBER 2023
          (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)               (Expressed in millions of Rupiah, unless otherwise stated)

      13. PINJAMAN YANG DITERIMA - PIHAK KETIGA (Lanjutan)                        13.   FUND BORROWINGS – THIRD PARTIES (Continued)

            Kisaran suku bunga kontraktual setahun untuk pinjaman dari                  The range of contractual interest rates per annum on the
            bank di atas adalah sebagai berikut:                                        above bank loans are as follows:

                                                                   31 Desember/December
                                                                   2023            2022

            Rupiah                                                  5,00 – 7,50          5,00 – 8,50                                         Rupiah
            Dolar AS                                                2,25 - 7,36          2,25 - 6,45                                       US Dollar

            Rincian dari fasilitas pinjaman yang diterima adalah sebagai                The detail of loan facilities are as follows:
            berikut:


                                                             Perjanjian      Jatuh tempo                                    Saldo pinjaman/
                                                              terakhir/        fasilitas/                                  Outstanding loan
                           Nama Bank/                          Latest          Facility           Batas fasilitas/      31 Desember/December
      `
                           Bank's Name                       agreement        due date**          Facility limit         2023           2022

             Dolar AS/US Dollar

              Pinjaman Sindikasi
               (Agen : Standard Chartered Bank
                  (Hong Kong) Ltd.)                          17-Mar-2020     23-Mar-2023         USD 100.000.000*                   -         39.327
               (Agen : Standard Chartered Bank
                  (Hong Kong) Ltd.)                          30-Aug-2021     14-Mar-2025         USD    80.000.000*         531.852        1.046.112
               (Agen : Standard Chartered Bank
                  (Hong Kong) Ltd.)                           2-May-2023     18-Dec-2026         USD 150.000.000*         1.387.440                 -
                                                                                                 USD 330.000.000*         1.919.292        1.085.439

              PT Bank CTBC Indonesia                         20-Feb-2023     20-Feb-2026         USD    18.000.000*         200.408                 -

              responsAbility SICAV (Lux) - konsolidasian      5-Apr-2021      22-Apr-2024        USD    35.000.000*          89.927          275.292
              Jumlah Dolar AS/Total US Dollar                                                    USD 383.000.000*         2.209.627        1.360.731

             Rupiah

              PT Bank Mandiri (Persero) Tbk                  29-Dec-2020     23-Feb-2024                   250.000          20.833           104.167
                                                             31-Mar-2021      14-Jul-2025                  200.000          82.443           132.232
                                                              8-Dec-2021      8-Mar-2026                   250.000         147.631           207.169
                                                             29-Mar-2022     26-Apr-2026                   750.000         362.792           614.697
                                                              26-Jul-2022    22-Aug-2024                   500.000         165.114           412.925
                                                             20-Sep-2022      9-Dec-2024                   500.000         250.519           492.212
                                                             28-Feb-2023     27-Mar-2025                   750.000         192.515                 -

                                                                                                         3.200.000       1.221.847         1.963.402
              Pinjaman Sindikasi
                 (Agen : PT Bank DKI)                        23-Sep-2022     29-Mar-2026                 1.600.000       1.076.474           931.386

              PT Bank Pan Indonesia Tbk                       6-Dec-2019     27-Feb-2023                   500.000               -            16.667
                                                             29-Aug-2023     31-Aug-2024                   100.000               -           100.000
                                                             30-Apr-2021     24-Jan-2025                 1.000.000         210.653           609.526
                                                             24-Aug-2022     12-Dec-2025                 1.000.000         541.667           941.666
                                                             13-Mar-2023     18-Dec-2026                 1.000.000         300.000                 -

                                                                                                         3.600.000       1.052.320         1.667.859

              PT Bank Central Asia Tbk                       24-Oct-2019     19-Feb-2023                   500.000               -            11.111
                                                             24-Oct-2022     24-Jan-2024                   800.000               -                 -
                                                             14-Dec-2020     18-Feb-2025                 1.000.000         283.333           595.834
                                                             26-Jan-2022     22-Dec-2025                 1.200.000         530.555         1.047.222
                                                             29-Dec-2022     24-Jan-2026                 2.000.000         166.667                 -

                                                                                                        5.500.000          980.555         1.654.167
              Saldo dipindahkan/ Balance brought foward                                                13.900.000        4.331.196         6.216.814




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                            371
Page 374
                            2023 PERFORMANCE                                                                              BUSINESS
 ABOUT THIS REPORT                                       REPORTS TO STAKEHOLDERS              COMPANY PROFILE
                            HIGHLIGHTS                                                                                    SUPPORTING UNITS




                                                                                         These Consolidated Financial Statements are Originally Issued
                                                                                                           in Indonesian Language


                                                            Ekshibit E/56                                                                     Exhibit E/56

       PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                             PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
        CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                                NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
         UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                      FOR THE YEAR ENDED 31 DECEMBER 2023
       (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                    (Expressed in millions of Rupiah, unless otherwise stated)

  13. PINJAMAN YANG DITERIMA - PIHAK KETIGA (Lanjutan)                             13.     FUND BORROWINGS – THIRD PARTIES (Continued)

        Rincian dari fasilitas pinjaman yang diterima adalah sebagai                       The detail of loan facilities are as follows: (Continued)
        berikut: (Lanjutan)

                                                              Perjanjian     Jatuh tempo                                          Saldo pinjaman/
                                                               terakhir/       fasilitas/                                        Outstanding loan
                         Nama Bank/                             Latest         Facility              Batas fasilitas/         31 Desember/December
                         Bank's Name                          agreement       due date**             Facility limit            2023           2022
        Rupiah
   `




         Saldo pindahan/Balance carry foward                                                                13.900.000          4.331.196         6.216.814

          PT United Tractors Tbk                               26-Jun-2023    19-Dec-2026                    1.250.000            432.257           407.100

          PT Bank KEB Hana Indonesia                           11-Feb-2020     3-Mar-2023                       400.000                 -            23.611
                                                               11-Feb-2023     3-Jan-2024                       100.000           100.000           100.000
                                                               23-Sep-2021    21-Oct-2024                       200.000            19.167           114.167
                                                               13-Dec-2022     3-Feb-2026                       300.000           211.111                 -

                                                                                                             1.000.000            330.278           237.778

          PT Bank Jago Tbk                                     22-Sep-2022    27-Dec-2026                       300.000           296.893            300.000

          PT Bank CIMB Niaga Tbk                              17-Mar-2022     14-Mar-2025                       300.000           126.891            230.756
                                                              25-May-2023     28-Dec-2025                       500.000           150.000                  -

                                                                                                                800.000           276.891            230.756

          PT Bank DKI                                          16-Jun-2022    29-Jun-2025                       500.000           261.214            422.774

          PT Bank Pembangunan Daerah Jawa Barat
            dan Banten Tbk                                     20-Dec-2023    22-Dec-2026                       390.000           150.000                    -

          PT Bank China Construction Bank
            Indonesia Tbk                                       9-Jun-2022         7-Jul-2025                   250.000           132.177            212.787

          PT Bank UOB Indonesia                                28-Sep-2023     3-Jan-2024                       400.000           100.000            400.000

          PT Bank Shinhan Indonesia                            28-Apr-2022    19-May-2025                       200.000           100.000            166.667

          PT Bank Permata Tbk                                 28-May-2021     24-May-2024                       200.000            35.417            135.417
                                                              18-Apr-2023     18-Apr-2024                       400.000                 -                  -

                                                                                                                600.000            35.417            135.417

          PT Gaya Makmur Tractors                               6-Jan-2022    25-Jan-2026                        67.106            35.141             52.618

          PT Bank Permata Syariah Tbk                         28-May-2021     24-May-2024                        50.000            10.417             35.417
                                                              18-Apr-2023     18-Apr-2024                       100.000                 -                  -

                                                                                                                150.000            10.417             35.417

          PT Bank Victoria International Tbk                    1-Sep-2023     9-Jun-2024                       250.000                   -          100.000

          PT Bank Mizuho Indonesia                             25-Nov-2023    25-Nov-2024                       150.000                   -                  -

          PT Bank Maspion Indonesia Tbk                         7-Jun-2023     7-Jun-2024                       300.000                   -                  -

          Jumlah Rupiah/Total Rupiah                                                                        20.507.106          6.491.881         8.918.128

          Jumlah pinjaman/Total borrowings                                                                                      8.701.508        10.278.859
        *) Nilai penuh                                                                                                                 *) Full amount
        **) Tanggal angsuran terakhir dari pinjaman yang diterima                                    **) The date of the last installment of the loan received
         Pada tanggal 31 Maret 2021, Perusahaan menandatangani                           On 31 March 2021, the Company entered into a Working
         Perjanjian Kredit Modal Kerja dengan PT Bank Mandiri                            Capital Credit Agreement with PT Bank Mandiri (Persero)
         (Persero) Tbk sebesar Rp 200.000.                                               Tbk amounting to Rp 200,000.




372                                                                                      PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 375
   MANAGEMENT DISCUSSION         GOOD CORPORATE                                                         ANNUAL FINANCIAL
                                                        SUSTAINABILITY      SUPPORTING DATA                                         APPENDICES
   AND ANALYSIS                  GOVERNANCE                                                             STATEMENTS




                                                                             These Consolidated Financial Statements are Originally Issued
                                                                                               in Indonesian Language


                                                        Ekshibit E/57                                                          Exhibit E/57

        PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                   PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
         CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                      NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
          UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                            FOR THE YEAR ENDED 31 DECEMBER 2023
        (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)          (Expressed in millions of Rupiah, unless otherwise stated)

      13. PINJAMAN YANG DITERIMA - PIHAK KETIGA (Lanjutan)                13. FUND BORROWINGS – THIRD PARTIES (Continued)

           Pada tanggal 5 April 2021, Perusahaan menandatangani               On 5 April 2021, the Company entered into Loan Agreements
           Perjanjian Pinjaman dengan 2 sub fund dari responsAbility          with 2 sub funds of responsAbility SICAV (LUX), i.e.:
           SICAV (Lux) yaitu: responsAbility SICAV (Lux) Micro and SME        responsAbility SICAV (Lux) Micro and SME Finance Debt
           Finance Debt Fund; dan responsAbility SICAV (Lux) Financial        Fund; and responsAbility SICAV (Lux) Financial Inclusion
           Inclusion Fund serta MultiConcept Fund Management S.A.             Fund,      concurrently with a Loan Agreement with
           dengan total keseluruhan fasilitas sebesar USD 35.000.000          MultiConcept Fund Management S.A. with overall facilities
           (nilai penuh).                                                     amounting to USD 35,000,000 (full amount).
           Pada tanggal 30 April 2021, Perusahaan menandatangani              On 30 April 2021, the Company entered into a Credit
           Perjanjian Kredit Pinjaman Tetap V dengan PT Bank Pan              Agreement Fixed Loan V with PT Bank Pan Indonesia
           Indonesia Tbk sebesar Rp 1.000.000.                                amounting to Rp 1,000,000.
           Pada tanggal 28 Mei 2021, Perusahaan menandatangani                On 28 May 2021, the Company entered into a Credit
           Perjanjian Kredit Fasilitas Term Loan 2 sebesar Rp 200.000         Agreement Term Loan 2 facility amounting to Rp 200,000
           dan Fasilitas Term Loan 3 Musyarakah Mutanaqisoh sebesar           and Term Loan 3 Facility Musyarakah Mutanaqisoh
           Rp 50.000 dengan PT Bank Permata Tbk.                              amounting to Rp 50,000 with PT Bank Permata Tbk.
           Pada tanggal 24 Juni 2021, Perusahaan menandatangani               On 24 June 2021, the Company entered into a Term Loan
           Perjanjian Kredit Angsuran Berjangka sebesar Rp 600.000            Credit Agreement amounting to Rp 600,000 with PT Bank
           dengan PT Bank Jago Tbk.                                           Jago Tbk.

           Pada tanggal 30 Agustus 2021, Perusahaan menandatangani            On 30 August 2021, the Company entered into a Secured
           perjanjian Fasilitas Sindikasi Pinjaman Berjangka dengan           Syndicated Term Loan Facility Agreement amounting to
           Jaminan (Term Loan) sebesar USD 80.000.000 (nilai penuh),          USD 80,000,000 (full amount), whereas Standard Chartered
           dimana Standard Chartered Bank (Hong Kong) Limited                 Bank (Hong Kong) Limited acting as the Facility Agent, and
           bertindak sebagai Agen Fasilitas (the “Facility Agent”), dan       PT Bank Central Asia Tbk. acting as the Security Agent.
           PT Bank Central Asia Tbk sebagai Agen Jaminan (the
           “Security Agent”).
           Pada    tanggal   23    September    2021,    Perusahaan           On 23 September 2021, the Company entered into Working
           menandatangani Perjanjian Working Capital Installment              Capital Installment Agreement amounting to Rp 200,000
           sebesar Rp 200.000 dengan PT Bank KEB Hana Indonesia.              with PT Bank KEB Hana Indonesia.
           Pada tanggal 8 Desember 2021, Perusahaan menandatangani            On 8 December 2021, the Company entered into a Working
           Perjanjian Kredit Modal Kerja sebesar Rp 250.000 dengan            Capital Credit Agreement amounting to Rp 250,000 with
           PT Bank Mandiri (Persero) Tbk.                                     PT Bank Mandiri (Persero) Tbk.
           Pada tanggal 6 Januari 2022, Perusahaan menandatangani             On 6 January 2022, the Company entered into a Credit
           Perjanjian Kredit sebesar Rp 50.000 dengan PT Gaya Makmur          Agreement amounting to Rp 50,000 with PT Gaya Makmur
           Tractors.                                                          Tractors.
           Pada tanggal 26 Januari 2022, Perusahaan menandatangani            On 26 January 2022, the Company entered into a Working
           Perjanjian Kredit Modal Kerja sebesar Rp 1.000.000 dengan          Capital Credit Agreement amounting to Rp 1,000,000 with
           PT Bank Central Asia Tbk.                                          PT Bank Central Asia Tbk.
           Pada tanggal 17 Maret 2022, Perusahaan menandatangani              On 17 March 2022, the Company entered into a Working
           Perjanjian Kredit Modal Kerja sebesar Rp 300.000 dengan            Capital Credit Agreement amounting to Rp 300,000 with
           PT Bank CIMB Niaga Tbk.                                            PT Bank CIMB Niaga Tbk.
           Pada tanggal 25 Maret 2022, Perusahaan menandatangani              On 25 March 2022, the Company entered into a second
           Perubahan Kedua Perjanjian Kredit Angsuran Berjangka               addendum Term Loan Credit Agreement amounting to
           sebesar Rp 300.000 dengan PT Bank Jago Tbk.                        Rp 300,000 with PT Bank Bank Jago Tbk.
           Pada tanggal 29 Maret 2022, Perusahaan menandatangani              On 29 March 2022, the Company entered into a Working
           Perjanjian Kredit Modal Kerja sebesar Rp 750.000 dengan            Capital Credit Agreement amounting to Rp 750,000 with
           PT Bank Mandiri (Persero) Tbk.                                     PT Bank Mandiri (Persero) Tbk.
           Pada tanggal 28 April 2022, Perusahaan menandatangani              On 28 April 2022, the Company entered into a Working
           Perjanjian Kredit Modal Kerja sebesar Rp 200.000 dengan            Capital Credit Agreement amounting to Rp 200,000 with
           PT Bank Shinhan Indonesia.                                         PT Bank Shinhan Indonesia.
           Pada tanggal 9 Juni 2022, Perusahaan menandatangani                On 9 June 2022, the Company entered into a Working Capital
           Perjanjian Kredit Modal Kerja sebesar Rp 250.000 dengan            Credit Agreement amounting to Rp 250,000 with PT Bank
           PT Bank China Construction Bank Indonesia Tbk dan                  China Construction Bank Indonesia Tbk and Rp 250,000 with
           Rp 250.000 dengan PT Bank Victoria International Tbk.              PT Bank Victoria International Tbk.
           Pada tanggal 16 Juni 2022, Perusahaan menandatangani               On 16 June 2022, the Company entered into a Working
           Perjanjian Kredit Modal Kerja sebesar Rp 500.000 dengan            Capital Credit Agreement amounting to Rp 500,000 with
           PT Bank DKI.                                                       PT Bank DKI.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                  373
Page 376
                          2023 PERFORMANCE                                                                    BUSINESS
 ABOUT THIS REPORT                                 REPORTS TO STAKEHOLDERS          COMPANY PROFILE
                          HIGHLIGHTS                                                                          SUPPORTING UNITS




                                                                                These Consolidated Financial Statements are Originally Issued
                                                                                                  in Indonesian Language


                                                      Ekshibit E/58                                                               Exhibit E/58

      PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                        PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
       CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
        UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                 FOR THE YEAR ENDED 31 DECEMBER 2023
      (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)              (Expressed in millions of Rupiah, unless otherwise stated)

    13. PINJAMAN YANG DITERIMA - PIHAK KETIGA (Lanjutan)                     13. FUND BORROWINGS – THIRD PARTIES (Continued)

         Pada tanggal 26 Juli 2022, Perusahaan menandatangani                   On 26 July 2022, the Company entered into a Working
         Perjanjian Kredit Modal Kerja sebesar Rp 500.000 dengan                Capital Credit Agreement amounting to Rp 500,000 with
         PT Bank Mandiri (Persero) Tbk.                                         PT Bank Mandiri (Persero) Tbk.
         Pada tanggal 24 Agustus 2022, Perusahaan menandatangani                On 24 August 2022, the Company entered into a Credit
         Perjanjian Kredit Pinjaman Tetap VI dengan PT Bank Pan                 Agreement Fixed Loan VI with PT Bank Pan Indonesia
         Indonesia Tbk sebesar Rp 1.000.000.                                    amounting to Rp 1,000,000.
         Pada    tanggal   20    September     2022,    Perusahaan              On 20 September 2022, the Company entered into a Working
         menandatangani Perjanjian Kredit Modal Kerja sebesar                   Capital Credit Agreement amounting to Rp 500,000 with
         Rp 500.000 dengan PT Bank Mandiri (Persero) Tbk.                       PT Bank Mandiri (Persero) Tbk.
         Pada    tanggal    23   September    2022,    Perusahaan               On 23 September 2022, the Company entered into a
         menandatangani Perjanjian Kredit Sindikasi dengan 4 BPD                Syndication Credit Agreement with 4 BPD amounting to
         sebesar Rp 1.600.000 dimana PT Bank DKI bertindak sebagai              Rp 1,600,000 whereas PT Bank DKI acting as the Agent.
         Agen.
         Pada    tanggal   28    September    2022, Perusahaan                  On 28 September 2022, the Company entered into a Working
         menandatangani Perjanjian Kredit Modal Kerja sebesar                   Capital Credit Agreement amounting to Rp 400,000 with
         Rp 400.000 dengan PT Bank UOB Indonesia.                               PT Bank UOB Indonesia.
         Pada tanggal 14 Oktober 2022, plafon fasilitas kredit dari             On 14 October 2022, the credit facility limit from PT Gaya
         PT Gaya Makmur Tractors dinaikkan menjadi Rp 67.106.                   Makmur Tractors increased to Rp 67,106.
         Pada tanggal 25 November 2022, Perusahaan menandatangani               On 25 November 2022, the Company entered into a Working
         Perjanjian Kredit Modal Kerja sebesar Rp 150.000 dengan                Capital Credit Agreement amounting to Rp 150,000 with
         PT Bank Mizuho Indonesia.                                              PT Bank Mizuho Indonesia.
         Pada tanggal 13 Desember 2022, Perusahaan menandatangani               On 13 December 2022, the Company entered into a Working
         Perjanjian Kredit Modal Kerja sebesar Rp 300.000 dengan                Capital Credit Agreement amounting to Rp 300,000 with
         PT Bank KEB Hana Indonesia.                                            PT Bank KEB Hana Indonesia.
         Pada tanggal 29 Desember 2022, Perusahaan menandatangani               On 29 December 2022, the Company entered into a Credit
         Perjanjian Kredit (Installment Loan-6) sebesar Rp 2.000.000,           Facility (Installment Loan-6) Agreement amounting to
         penambahan limit fasilitas Kredit Multi Fasilitas sebesar              Rp 2,000,000, additional Multi Credit Facility limits
         Rp 300.000, dan mengalihkan jumlah fasilitas Kredit Multi              amounting Rp 300,000, and transferred the amount of Multi
         sebesar Rp 200.000 menjadi fasilitas Installment Loan 5                Credit Facility limits amounting Rp 200,000 to Credit
         dengan PT Bank Central Asia Tbk                                        Facility (Installment Loan 5) with PT Bank Central Asia Tbk.
         Pada tanggal 20 Februari 2023 Perusahaan menandatangani                On 20 February 2023, the Company entered into a Working
         Perjanjian Kredit Modal Kerja sebesar USD 18.000.000 (nilai            Capital Credit Agreement amounting to USD 18,000,000 (full
         penuh) dengan PT Bank CTBC Indonesia.                                  amount) with PT Bank CTBC Indonesia.

         Pada tanggal 28 Februari 2023, Perusahaan menandatangani               On 28 February 2023, the Company entered into a Working
         Perjanjian Kredit Modal Kerja sebesar Rp 750.000 dengan                Capital Credit Agreement amounting to Rp 750,000 with
         PT Bank Mandiri (Persero) Tbk.                                         PT Bank Mandiri (Persero) Tbk.

         Pada tanggal 13 Maret 2023, Perusahaan menandatangani                  On 13 March 2023, the Company entered into a Credit
         Perjanjian Kredit Pinjaman Tetap VII dengan PT Bank Pan                Agreement Fixed Loan VII with PT Bank Pan Indonesia
         Indonesia Tbk sebesar Rp 1.000.000.                                    amounting to Rp 1,000,000.

         Pada tanggal 18 April 2023, Perusahaan menandatangani                  On 18 April 2023, the Company entered into a Credit
         Perjanjian Fasilitas Kredit Term Loan 4 sebesar Rp 400.000             Facility Agreement relating to Term Loan 4 with amount up
         dan Fasilitas Term Financing Musyarakah Mutanaqisoh 2                  to Rp 400,000 and Term Financing Musyarakah Mutanaqisoh
         sebesar Rp 100.000 dengan PT Bank Permata Tbk.                         2 Agreement amounting to Rp 100,000 with PT Bank Permata
                                                                                Tbk.
         Pada tanggal 2 Mei 2023, Perusahaan menandatangani                     On 2 May 2023, the Company entered into a Secured
         perjanjian Fasilitas Sindikasi Pinjaman Berjangka dengan               Syndicated Term Loan Facility Agreement amounting to
         Jaminan (Term Loan) sebesar USD 150.000.000 (nilai penuh),             USD 150,000,000 (full amount), whereas Standard Chartered
         dimana Standard Chartered Bank (Hong Kong) Limited                     Bank (Hong Kong) Limited acting as the Facility Agent, and
         bertindak sebagai Agen Fasilitas (the “Facility Agent”), dan           PT Bank Central Asia Tbk. acting as the Security Agent.
         PT Bank Central Asia Tbk sebagai Agen Jaminan (the “Security
         Agent”).
         Pada tanggal 25 Mei 2023, Perusahaan menandatangani                    On 25 May 2023, the Company entered into a Facility
         Perjanjian Fasilitas Pinjaman Transaksi Khusus 2 sebesar               Agreement relating to Pinjaman Transaksi Khusus 2
         Rp 500.000 dengan PT Bank CIMB Niaga Tbk.                              amounting to Rp 500,000 with PT Bank CIMB Niaga Tbk.




374                                                                             PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 377
   MANAGEMENT DISCUSSION         GOOD CORPORATE                                                                  ANNUAL FINANCIAL
                                                         SUSTAINABILITY             SUPPORTING DATA                                          APPENDICES
   AND ANALYSIS                  GOVERNANCE                                                                      STATEMENTS




                                                                                      These Consolidated Financial Statements are Originally Issued
                                                                                                        in Indonesian Language


                                                         Ekshibit E/59                                                                  Exhibit E/59

        PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                            PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
         CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                               NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
          UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                     FOR THE YEAR ENDED 31 DECEMBER 2023
         (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                  (Expressed in millions of Rupiah, unless otherwise stated)

      13. PINJAMAN YANG DITERIMA - PIHAK KETIGA (Lanjutan)                         13. FUND BORROWINGS – THIRD PARTIES (Continued)

           Pada tanggal 7 Juni 2023, Perusahaan menandatangani                         On 7 June 2023, the Company entered into a Working Capital
           Perjanjian Kredit Modal Kerja sebesar Rp 300.000 dengan                     Credit Agreement amounting to Rp 300,000 with PT Bank
           PT Bank Maspion IndonesiaTbk.                                               Maspion Indonesia Tbk.
           Pada tanggal 20 Desember 2023, Perusahaan menandatangani                    On 20 December 2023, the Company entered into a Working
           Perjanjian Kredit Modal Kerja sebesar Rp 390.000 dengan                     Capital Credit Agreement amounting to Rp 390,000 with
           PT Bank Pembangunan Daerah Jawa Barat dan Banten Tbk.                       PT Bank Pembangunan Daerah Jawa Barat dan Banten Tbk.
           Seluruh perjanjian di atas mencakup adanya pembatasan-                      All loan agreements include certain covenants which are
           pembatasan tertentu yang umumnya diharuskan untuk                           normally required for such credit facilities, such as
           fasilitas-fasilitas kredit tersebut, antara lain, pembatasan                limitations to initiate merger or consolidation with other
           untuk melakukan penggabungan usaha atau konsolidasi                         parties, obtain loans from other parties except loans
           dengan pihak lain, mengadakan perjanjian pinjaman                           obtained in the normal course of business, or changes in its
           dengan pihak lain selain yang timbul dalam kegiatan                         capital structure and/or articles of association without
           usaha yang normal atau melakukan perubahan atas struktur                    notification to/prior written approval from creditors and
           modal      dan/atau      anggaran    dasar    tanpa   adanya                maintenance of certain agreed financial ratios.
           pemberitahuan/persetujuan tertulis dari kreditur dan
           mempertahankan rasio-rasio keuangan tertentu.
           Pembayaran bunga dan pokok pinjaman telah dibayarkan                        Interest and principal loan payments have been paid by
           oleh Perusahaan sesuai dengan jadwal. Pembayaran pokok                      the Company on schedule. Payment of principal borrowings
           pinjaman untuk tahun yang berakhir 31 Desember 2023 dan                     for the year ended 31 December 2023 and 2022 amounting
           2022 adalah masing-masing sebesar Rp 6.506.468 dan                          to Rp 6,506,468 and Rp 4,982,868, respectively.
           Rp 4.982.868.
           Pada tanggal 31 Desember 2023 dan 2022, Perusahaan dan                      As of 31 December 2023 and 2022, the Company and its
           entitas anaknya telah memenuhi seluruh persyaratan yang                     subsidiary have complied with all the requirements
           disebutkan dalam perjanjian fasilitas-fasilitas pinjaman ini.               mentioned in the loan facility agreements.

      14. PERPAJAKAN                                                            14. TAXATION

           a. Utang pajak                                                              a. Taxes payable
                                                                  31 Desember/December
                                                                  2023            2022
               Pajak Penghasilan:                                                                                                     Income Taxes:
                  Pasal 21                                                33.430               38.902                                  Article 21
                  Pasal 23                                                   950                1.391                                  Article 23
                  Pasal 25                                                23.542               37.161                                  Article 25
                  Pasal 26                                                61.258               60.125                                  Article 26
                  Pasal 4(2) – Final                                          42                  341                         Article 4(2) – Final
               Pajak Pertambahan Nilai (PPN)                               3.815                2.426                        Value Added Tax (VAT)
               Taksiran utang pajak kini                                                                              Estimated Current Income Tax
                  (Pasal 29) (Catatan 14b)                                76.680              122.923                     (Article 29) (Note 14b)
              Jumlah                                                  199.717                 263.269                                           Total


           b. Beban pajak penghasilan                                                  b. Income tax expenses
                                                                 31 Desember/December
                                                                  2023           2022
               Pajak kini                                                                                                                    Current
                  Perusahaan                                          342.193                 429.256                               The Company
                  Entitas anak                                              -                       -                                  Subsidiary
               Tangguhan                                                                                                                  Deferred
                  Perusahaan                                              34.025               (1.400)                            The Company
                  Entitas anak                                            (2.538)                 147                                Subsidiary
               Penyesuaian tahun lalu - Perusahaan                         7.773                3.999        Prior years adjustment – The Company
               Jumlah                                                381.453                  432.002                                           Total




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                            375
Page 378
                          2023 PERFORMANCE                                                                         BUSINESS
 ABOUT THIS REPORT                                    REPORTS TO STAKEHOLDERS             COMPANY PROFILE
                          HIGHLIGHTS                                                                               SUPPORTING UNITS




                                                                                     These Consolidated Financial Statements are Originally Issued
                                                                                                       in Indonesian Language


                                                        Ekshibit E/60                                                                  Exhibit E/60

      PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                           PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
       CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                              NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
        UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                    FOR THE YEAR ENDED 31 DECEMBER 2023
      (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                 (Expressed in millions of Rupiah, unless otherwise stated)

   14. PERPAJAKAN (Lanjutan)                                                    14. TAXATION (Continued)
        b. Beban pajak penghasilan (Lanjutan)                                         b. Income tax expenses (Continued)
            Rekonsiliasi antara laba sebelum pajak, sebagaimana yang                      A reconciliation between profit before tax, as
            disajikan dalam laporan laba rugi dan penghasilan                             presented in the consolidated statement of profit or
            komprehensif lain konsolidasian, dengan taksiran laba kena                    loss and other comprehensive income, and estimated
            pajak untuk tahun yang berakhir pada tanggal 31 Desember                      taxable profit for the year ended 31 December 2023 and
            2023 dan 2022 adalah sebagai berikut:                                         2022 are as follows:
                                                                    31 Desember/December
                                                                    2023            2022
            Laba sebelum pajak menurut                                                                                        Profit before tax per
               laporan laba rugi dan                                                                                 consolidated statements of
               penghasilan komprehensif                                                                                 profit or loss and other
               lain konsolidasian                                    2.025.252               2.238.681                   comprehensive income
            Rugi (laba) entitas anak sebelum
               pajak penghasilan                                         11.409                     (26)      Loss (profit) before tax of subsidiary
            Laba sebelum pajak Perusahaan                            2.036.661               2.238.655           Profit before tax of the Company
            Beda tetap:                                                                                                   Permanent differences:
            Beban sewa                                                           -                  952                             Rent expenses
            Pendapatan keuangan yang                                                                                     Finance income subjected
               pajaknya bersifat final                                   (83.120)               (22.870)                           to final tax
            Beban asuransi                                                     -                 13.869                        Insurance expenses
            Beban depresiasi                                                   -                  2.289                     Depreciation expenses
            Beban lain-lain                                               26.554                 18.982                            Other expenses
            Jumlah beda tetap                                            (56.566)                13.222               Total permanent differences
            Beda temporer:                                                                                                 Temporary differences:
            Gaji dan imbalan pasca-kerja                                 (39.698)                60.940     Salaries and post-employment benefits
            Cadangan kerugian penurunan                                                                            Allowance for impairment losses
                nilai piutang pembiayaan                                                                            of financing receivables and
                dan piutang lain-lain                                1.048.943                  424.530                        other receivables
            Penghapusan piutang                                     (1.083.515)                (431.456)                    Receivables written-off
            Penyusutan aset tetap                                      (44.133)                  12.112                 Depreciation of fixed assets
            Keuntungan neto atas
                penjualan aset tetap                                      (7.208)               (10.202)           Net gain on sale of fixed assets
            Amortisasi biaya emisi surat                                                                                Amortization of securities
                berharga yang diterbitkan                                 (5.715)                 4.007                          issuance cost
            Biaya transaksi yang belum diamortisasi                                                                 Unamortized transaction cost
                atas pinjaman yang diterima                               (3.697)               (10.732)                   on fund borrowings
            Biaya transaksi yang belum diamortisasi                                                                 Unamortized transaction cost
                atas piutang pembiayaan                                  (44.053)               (41.835)              on financing receivables
             Jumlah beda temporer                                       (179.076)                 7.364             Total temporary differences
             Taksiran laba kena pajak                                1.801.019               2.259.241                 Estimated taxable profit
             Tarif pajak                                                   19%                     19%                                 Tax rate
             Taksiran beban pajak kini                                 342.193                 429.256            Estimated current tax expense
             Dikurang: pajak dibayar di muka                          (265.513)               (306.333)                     Less : prepaid taxes
                                                                                                                 Estimated current tax payable –
             Taksiran utang pajak kini - Perusahaan                      76.680                 122.923                            The Company

             Perhitungan pajak penghasilan badan untuk tahun yang                          The corporate income tax calculation for the year
             berakhir pada tanggal 31 Desember 2023 dan 2022 adalah                        ended 31 December 2023 and 2022 was a preliminary
             suatu perhitungan sementara yang dibuat untuk tujuan                          estimate made for accounting purposes and is subject
             akuntansi dan dapat berubah pada saat Perusahaan                              to revision when the Company filed its Annual
             menyampaikan Surat Pemberitahuan (SPT) Tahunan PPh                            Corporate Income Tax Return (“CIT”).
             Badan.

             Perhitungan pajak penghasilan badan untuk tahun yang                          The corporate income tax calculation for the year
             berakhir pada tanggal 31 Desember 2022 telah sesuai                           ended 31 December 2022 has comform with its Annual
             dengan Surat Pemberitahuan (SPT) Tahunan PPh Badan                            Corporate Income Tax Return (“CIT”) filed by the
             Perusahaan.                                                                   Company.




376                                                                                  PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 379
   MANAGEMENT DISCUSSION           GOOD CORPORATE                                                                    ANNUAL FINANCIAL
                                                             SUSTAINABILITY           SUPPORTING DATA                                             APPENDICES
   AND ANALYSIS                    GOVERNANCE                                                                        STATEMENTS




                                                                                       These Consolidated Financial Statements are Originally Issued
                                                                                                         in Indonesian Language


                                                            Ekshibit E/61                                                                   Exhibit E/61

        PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                             PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
         CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                                NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
          UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                      FOR THE YEAR ENDED 31 DECEMBER 2023
        (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                    (Expressed in millions of Rupiah, unless otherwise stated)

      14. PERPAJAKAN (Lanjutan)                                                     14. TAXATION (Continued)

         c.   Pajak tangguhan                                                           c. Deferred tax

              Rekonsiliasi antara beban pajak penghasilan dihitung                          A reconciliation between the income tax expense
              dengan menggunakan tarif pajak yang berlaku atas laba                         calculated by applying the applicable tax rates to profit
              sebelum pajak penghasilan, dengan beban pajak                                 before income tax, and the income tax expenses
              penghasilan sebagaimana disajikan dalam laporan laba                          as presented in the statement of profit or loss and other
              rugi dan penghasilan komprehensif lain untuk tahun yang                       comprehensive income for the year ended 31 December
              berakhir pada tanggal 31 Desember 2023 dan 2022 adalah                        2023 and 2022 are as follows:
              sebagai berikut:

                                                                      31 Desember/December
                                                                       2023          2022

              Laba sebelum pajak menurut                                                                                            Profit before tax per
                 laporan laba rugi dan                                                                                       consolidated statements
                 penghasilan komprehensif                                                                                  of profit or loss and other
                 lain konsolidasian                                    2.025.252          2.238.681                            comprehensive income
              Rugi (laba) entitas anak sebelum pajak                      11.409                (26)               Loss (profit) before tax of subsidiary
              Laba sebelum pajak Perusahaan                            2.036.661          2.238.655                   Profit before tax of the Company

              Beban pajak dengan tarif pajak                                                                              Tax expense at the applicable
                 tunggal yang berlaku                                     386.966           425.344                                    single tax rate
              Pengaruh pajak penghasilan atas:                                                                                           Tax effects on:
                 Beda tetap pada tarif pajak                                                                            Permanent differences at the
                    tunggal yang berlaku                                  (10.748)             2.512                     applicable single tax rate
                 Penyesuaian tahun lalu                                     7.773              3.999                          Prior years adjustment
              Jumlah                                                      383.991           431.855                                                 Total

              Pengaruh pajak tangguhan atas beda temporer yang                              The deferred tax effects of the significant temporary
              signifikan antara laporan komersial dan fiskal terdiri dari:                  differences between commercial and fiscal reporting are
                                                                                            as follows:
                                                                                  Dikreditkan
                                                                                 (dibebankan)
                                                                                ke ekuitas dari
                                                                                  penghasilan
                                                                  Dikreditkan   komprehensif
                                                                 (dibebankan)         lain/
                                                                  ke laporan       Credited
                                                                   laba rugi /   (charged) to
                                                                    Credited      equity from
                                                    31 Desember/ (charged) to        other      31 Desember/
                                                      December   statement of comprehensive       December
                                                        2022     profit or loss     income          2023

              Aset pajak tangguhan                                                                                                     Deferred tax assets
              Cadangan kerugian                                                                                                               Allowance for
                 penurunan nilai piutang                  94.742         (6.569)                -        88.173         impairment losses on receivables
              Imbalan pasca-kerja                         21.206          3.916             1.986        27.108                  Post-employment benefits
              Beban akrual                                48.845        (11.445)                -        37.400                           Accrued expenses
              Penyusutan aset tetap                                                                                        Depreciation of fixed assets and
                dan amortisasi aset takberwujud            (9.446)        (9.755)               -       (19.201)        amortization of intangible assets
              Biaya transaksi yang belum
                 diamortisasi atas                                                                                            Unamortized transaction cost
                 piutang pembiayaan                       12.034          (8.370)               -         3.664                 on financing receivables
              Biaya emisi surat berharga
                 yang diterbitkan yang                                                                                              Unamortized securities
                 belum diamortisasi                          (667)        (1.086)               -        (1.753)                           issued cost
              Biaya transaksi yang belum
                 diamortisasi atas                                                                                            Unamortized transaction cost
                 pinjaman yang diterima                   (6.070)          (702)                -        (6.772)                   on fund borrowings
              Penghasilan komprehensif lain                2.407              -            (2.565)         (158)              Other comprehensive income
              Rugi fiskal                                    978          2.524                 -          3.502                               Fiscal loss
              Aset pajak tangguhan – neto                164.029        (31.487)            (579)       131.963                 Deferred tax assets – net




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                                  377
Page 380
                            2023 PERFORMANCE                                                                       BUSINESS
 ABOUT THIS REPORT                                   REPORTS TO STAKEHOLDERS             COMPANY PROFILE
                            HIGHLIGHTS                                                                             SUPPORTING UNITS




                                                                                     These Consolidated Financial Statements are Originally Issued
                                                                                                       in Indonesian Language


                                                        Ekshibit E/62                                                                  Exhibit E/62

      PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                          PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
       CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                             NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
        UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                   FOR THE YEAR ENDED 31 DECEMBER 2023
      (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                (Expressed in millions of Rupiah, unless otherwise stated)

    14. PERPAJAKAN (Lanjutan)                                                  14.     TAXATION (Continued)

        c. Pajak tangguhan (Lanjutan)                                                  c. Deferred tax (Continued)

            Pengaruh pajak tangguhan atas beda temporer yang                               The deferred tax effects of the significant temporary
            signifikan antara laporan komersial dan laporan fiskal                         differences between commercial and fiscal reporting
            terdiri dari: (Lanjutan)                                                       are as follows: (Continued)
                                                                              Dikreditkan
                                                                             (dibebankan)
                                                                            ke ekuitas dari
                                                                              penghasilan
                                                              Dikreditkan   komprehensif
                                                             (dibebankan)         lain/
                                                              ke laporan       Credited
                                                               laba rugi /   (charged) to
                                                                Credited      equity from
                                                31 Desember/ (charged) to        other      31 Desember/
                                                  December   statement of comprehensive       December
                                                    2021     profit or loss     income          2022

            Aset (liabilitas) pajak tangguhan                                                                        Deferred tax assets (liabilities)
            Cadangan kerugian                                                                                                            Allowance for
               penurunan nilai piutang                96.058        (1.316)                  -         94.742      impairment losses on receivables
            Imbalan pasca-kerja                       21.858        (2.365)              1.713         21.206               Post-employment benefits
            Beban akrual                              34.758        14.087                   -         48.845                        Accrued expenses
            Penyusutan aset tetap                                                                                     Depreciation of fixed assets and
              dan amortisasi aset takberwujud          (9.816)          370                  -        (9.446)      amortization of intangible assets
            Biaya transaksi yang belum
               diamortisasi atas                                                                                         Unamortized transaction cost
               piutang pembiayaan                     19.982        (7.948)                  -         12.034              on financing receivables
            Biaya emisi surat berharga
               yang diterbitkan yang                                                                                           Unamortized securities
               belum diamortisasi                      (1.428)          761                  -          (667)                         issued cost
            Biaya transaksi yang belum
               diamortisasi atas                                                                                         Unamortized transaction cost
               pinjaman yang diterima                 (4.031)       (2.039)                  -         (6.070)                on fund borrowings
            Penghasilan komprehensif lain              7.425             -              (5.018)          2.407           Other comprehensive income
            Rugi fiskal                                1.275          (297)                  -             978                             Fiscal loss
            Aset pajak tangguhan – neto              166.081         1.253              (3.305)       164.029              Deferred tax assets – net

            Manajemen berkeyakinan bahwa laba fiskal pada masa                             The management believes that future taxable profit
            datang akan memadai untuk mengkompensasikan                                    will be sufficient to be compensated against the
            perbedaan temporer yang dapat dikurangkan.                                     deductible of temporary differences.

         d. Administrasi                                                               d. Administration

            Berdasarkan Undang-Undang Perpajakan yang berlaku di                           Based on the Taxation Laws in Indonesia, the Company
            Indonesia, Perusahaan menghitung, menetapkan dan                               submits tax returns on the basis of self assessment.
            membayar sendiri besarnya jumlah pajak yang terutang.                          The Director General of Tax (DGT) may assess or
            Direktur Jenderal Pajak ("DJP") dapat menetapkan atau                          amend taxes within 5 (five) years of the time the tax
            mengubah kewajiban pajak dalam batas waktu 5 (lima)                            becomes due. Amendments to tax obligations of the
            tahun sejak saat terutangnya pajak. Koreksi terhadap                           Company are recorded when an assessment is received
            kewajiban pajak Perusahaan diakui pada saat Surat                              or, if appealed against, when the result of the appeal
            Ketetapan Pajak diterima atau jika Perusahaan                                  is determined.
            mengajukan keberatan, pada saat keputusan atas
            keberatan Perusahaan tersebut telah ditetapkan.




378                                                                                  PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 381
   MANAGEMENT DISCUSSION         GOOD CORPORATE                                                          ANNUAL FINANCIAL
                                                         SUSTAINABILITY     SUPPORTING DATA                                          APPENDICES
   AND ANALYSIS                  GOVERNANCE                                                              STATEMENTS




                                                                              These Consolidated Financial Statements are Originally Issued
                                                                                                in Indonesian Language


                                                         Ekshibit E/63                                                          Exhibit E/63

        PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                    PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
         CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                       NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
          UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                             FOR THE YEAR ENDED 31 DECEMBER 2023
         (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)         (Expressed in millions of Rupiah, unless otherwise stated)

      14. PERPAJAKAN (Lanjutan)                                            14. TAXATION (Continued)

           d. Administrasi (lanjutan)                                          d.   Administration (Continued)

              Pada tanggal 31 Maret 2020, Presiden Republik Indonesia               On 31 March 2020, the President of the Republic
              menetapkan Peraturan Pemerintah Pengganti Undang-                     Indonesia established Government Regulation in Lieu of
              Undang (Perpu) Republik Indonesia No. 1 Tahun 2020                    Law (Perpu) of the Republic of Indonesia No. 1 of Year
              (“PP No. 1/2020”) tentang “Kebijakan Keuangan Negara                  2020 (“PP No. 1/2020”) concerning “State Financial
              Dan Stabilitas Sistem Keuangan Untuk Penanganan                       Policy and Financial System Stability for Handling the
              Pandemi Corona Virus Disease 2019 (“Covid-19”)                        2019 Corona Virus Disease (“Covid-19”) Pandemic
              dan/atau Dalam Rangka Menghadapi Ancaman Yang                         and/or In Order to Face Threats that Harm National
              Membahayakan Perekonomian Nasional dan/atau                           Economy and/or Financial System Stability” which has
              Stabilitas Sistem Keuangan” yang telah menjadi Undang-                become Law (UU) No.2 Year 2020, as well as stipulated
              Undang (UU) No.2 Tahun 2020, serta menetapkan                         Government Regulation (PP) No. 30 Year 2020
              Peraturan Pemerintah (PP) No. 30 Tahun 2020 tentang                   concerning Tariff Reduction for Domestic Public
              Penurunan Tarif Pajak Penghasilan Bagi Wajib Pajak                    Companies Taxpayers and effective since 19 June 2020.
              Badan Dalam Negeri yang Berbentuk Perseroan Terbuka                   The regulation has stipulated the reduction in the
              dan berlaku sejak tanggal 19 Juni 2020. Aturan tersebut               income tax rates for domestic corporate taxpayers and
              menetapkan penurunan tarif pajak penghasilan Wajib                    business establishment from 25% to 22% for fiscal year
              Pajak Badan Dalam Negeri dan bentuk usaha tetap dari                  2020 and 2021 and 20% for the Fiscal Year 2022
              semula 25% menjadi 22% untuk tahun pajak 2020 dan                     onwards.
              2021 dan 20% mulai Tahun Pajak 2022 dan seterusnya.

              Pada tanggal 18 Juni 2020, PP No. 56/2015 tentang                     On 18 June 2020, PP No. 56/2015 concerning the
              Perubahan atas Peraturan Pemerintah No. 77 Tahun 2013,                Amendment of Government Regulation No. 77 Year
              dicabut dan dinyatakan tidak berlaku, digantikan dengan               2013, revoked and declared invalid, replaced by
              Peraturan Pemerintah No. 30 Tahun 2020 (“PP No.                       Government Regulation No. 30 Year 2020 ("PP No.
              30/2020”) tentang “Penurunan Tarif Pajak Penghasilan                  30/2020") on “Income Tax Rate Reduction Corporate
              Bagi Wajib Pajak Badan Dalam Negeri yang Berbentuk                    Taxpayers in the Form of Publicly-listed Companies".
              Perseroan Terbuka”.
              PP No. 30/2020 ini mengatur perseroan terbuka dalam                   PP No. 30/2020 regulates publicly-listed companies in
              negeri di Indonesia dapat memperoleh penurunan tarif                  Indonesia can obtain the reduced income tax rate of
              pajak penghasilan sebesar 3% lebih rendah dari tarif pajak            3% lower than the income tax rate corporate taxpayer
              penghasilan Wajib Pajak badan dalam negeri, dengan                    in the country, provided they meet the prescribed
              memenuhi kriteria yang ditentukan, yaitu paling sedikit               criteria, ie at least 40% of the total paid-up shares
              40% dari jumlah keseluruhan saham yang disetor dicatat                recorded to be traded on the stock exchanges in
              untuk diperdagangkan di bursa efek di Indonesia; saham                Indonesia; the shares must be held by at least 300
              tersebut    harus    dimiliki   oleh    paling     sedikit            Parties; each Party may only have a share of less than
              300 Pihak; masing-masing Pihak hanya boleh memiliki                   5% of the total shares issued and fully paid; and must
              saham kurang dari 5% dari keseluruhan saham yang                      be met in a short time at least 183 calendar days
              ditempatkan dan disetor penuh; dan harus dipenuhi                     within a fiscal year.
              dalam waktu paling singkat 183 hari kalender dalam
              jangka waktu satu tahun pajak.
              Pada tanggal 29 Oktober 2021, Pemerintah menerbitkan                  On 29 October 2021, the Government issue Law of the
              Undang-Undang Republik Indonesia No. 7 Tahun 2021                     Republic of Indonesia No. 7 Year 2021 concerning
              tentang Harmonisasi Peraturan Perpajakan (“UU HPP”).                  Harmonisation of Taz Regulations (“UU HPP”). The
              Aturan tersebut menetapkan tarif pajak penghasilan                    regulation has stipulated the income tax rate for
              wajib pajak dalam negeri dan bentuk usaha tetap sebesar               domestic taxpayer and business establishment of 22%
              22% yang mulai berlaku pada Tahun Pajak 2022 dan                      which will be effective from the Fiscal Year 2022
              seterusnya. Dengan demikian, penetapan tarif pajak                    onwards. Hence, the previously tax rate determination
              sebelumnya sebesar 20% menjadi tidak berlaku setelah                  of 20% will be invalid after the ratification of this Law.
              Undang-Undang ini disahkan.
              Pada tanggal 31 Desember 2023 dan 2022, Perusahaan                    As of 31 December 2023 and 2022, the Company has
              telah memenuhi persyaratan di atas (sesuai “UU HPP” dan               met requirements (“UU HPP” and “PP No. 30/2020”) to
              “PP No.30/2020”) untuk mendapatkan penurunan tarif                    obtain the reduced income tax rate of 3%, so that the
              sebesar 3%, sehingga menggunakan tarif 19% untuk                      rate using of 19% for corporate income tax calculation.
              perhitungan PPh Badan.
              Sesuai dengan peraturan perpajakan di Indonesia,                      Under the taxation laws of Indonesia, the Company
              Perusahaan melaporkan/menyetorkan pajak berdasarkan                   submits tax returns on the basis of self-assesment.
              sistem self-assesment. Fiskus dapat menetapkan atau                   The tax authorities may assess or amend taxes within
              mengubah pajak-pajak tersebut dalam jangka waktu                      the statute of limitations, under prevailing
              tertentu sesuai dengan peraturan yang berlaku.                        regulations.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                     379
Page 382
                          2023 PERFORMANCE                                                                      BUSINESS
ABOUT THIS REPORT                                    REPORTS TO STAKEHOLDERS           COMPANY PROFILE
                          HIGHLIGHTS                                                                            SUPPORTING UNITS




                                                                                  These Consolidated Financial Statements are Originally Issued
                                                                                                    in Indonesian Language


                                                       Ekshibit E/64                                                                Exhibit E/64

      PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                          PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
       CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                             NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
        UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                   FOR THE YEAR ENDED 31 DECEMBER 2023
      (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                (Expressed in millions of Rupiah, unless otherwise stated)

  15. SURAT BERHARGA YANG DITERBITKAN                                          15. SECURITIES ISSUED

                                                              31 Desember/December
                                                              2023            2022

        Nilai nominal:                                                                                                          Nominal value:
        Obligasi Berkelanjutan IV BFI Finance                                                             Obligasi Berkelanjutan IV BFI Finance
            Indonesia Tahap III Tahun 2020                              -             395.000               Indonesia Tahap III Tahun 2020
        Obligasi Berkelanjutan V BFI Finance                                                              Obligasi Berkelanjutan V BFI Finance
            Indonesia Tahap I Tahun 2021                         400.000              400.000                 Indonesia Tahap I Tahun 2021
        Obligasi Berkelanjutan V BFI Finance                                                              Obligasi Berkelanjutan V BFI Finance
            Indonesia Tahap II Tahun 2021                        530.000              790.000                Indonesia Tahap II Tahun 2021
        Obligasi Berkelanjutan V BFI Finance                                                              Obligasi Berkelanjutan V BFI Finance
            Indonesia Tahap III Tahun 2023                     1.100.000                       -            Indonesia Tahap III Tahun 2023
        Obligasi Berkelanjutan V BFI Finance                                                              Obligasi Berkelanjutan V BFI Finance
            Indonesia Tahap IV Tahun 2023                      1.600.000                       -            Indonesia Tahap IV Tahun 2023
        Obligasi Berkelanjutan V BFI Finance                                                              Obligasi Berkelanjutan V BFI Finance
            Indonesia Tahap V Tahun 2023                       1.100.000                       -             Indonesia Tahap V Tahun 2023
        Jumlah nilai nominal                                   4.730.000            1.585.000                                Total nominal value
        Dikurangi:                                                                                                                         Less:
         Biaya emisi Obligasi yang
            belum diamortisasi                                     (9.225)              (3.510)              Unamortized Bonds issuance cost

        Jumlah – neto                                          4.720.775            1.581.490                                          Total - net

                                                              31 Desember/December
                                                              2023            2022

        Utang Obligasi sesuai jatuh temponya:                                                                Bonds payable by maturity profile:
            < 1 tahun                                         2.387.000               655.000                                   < 1 year 
            1-2 tahun                                           612.000               930.000                                  1-2 years 
            2-3 tahun                                         1.731.000                     -                                  2-3 years 
                                                               4.730.000            1.585.000

        Amortisasi biaya emisi Obligasi yang                                                              Amortization of Bonds issuance costs
           dibebankan ke laporan                                                                              charged to the consolidated
           laba rugi dan penghasilan                                                                            statement of profit or loss
           komprehensif lain                                                                                      and other comprehensive
           konsolidasian (Catatan 26)                              7.924                 4.026                            income (Note 26)

        Obligasi Berkelanjutan IV BFI Finance Indonesia Tahap III                  Obligasi Berkelanjutan IV BFI Finance Indonesia Tahap III
        Tahun 2020                                                                 Tahun 2020

            Obligasi/      Nilai nominal/      Tingkat bunga tetap/          Jatuh tempo/                Status pembayaran/           Peringkat/
             Bonds         Nominal value        Fixed interest rate            Due date                    Payment status               Rating

          Seri/Serial A      Rp 437.000               8,00%             18 September 2021                     Lunas/Paid                A+(idn)
          Seri/Serial B      Rp 395.000               9,50%              8 September 2023                     Lunas/Paid                AA-(idn)

        Obligasi Berkelanjutan V BFI Finance Indonesia Tahap I                     Obligasi Berkelanjutan V BFI Finance Indonesia Tahap I
        Tahun 2021                                                                 Tahun 2021

            Obligasi/      Nilai nominal/      Tingkat bunga tetap/          Jatuh tempo/                Status pembayaran/           Peringkat/
             Bonds         Nominal value        Fixed interest rate            Due date                    Payment status               Rating

          Seri/Serial A      Rp 200.000               6,00%                 8 Juni/June 2022                  Lunas/Paid                A+(idn)
          Seri/Serial B      Rp 400.000               7,75%                 28 Mei/May 2024        Belum jatuh tempo/Not yet due        AA-(idn)




380                                                                                PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 383
   MANAGEMENT DISCUSSION         GOOD CORPORATE                                                                ANNUAL FINANCIAL
                                                          SUSTAINABILITY          SUPPORTING DATA                                          APPENDICES
   AND ANALYSIS                  GOVERNANCE                                                                    STATEMENTS




                                                                                    These Consolidated Financial Statements are Originally Issued
                                                                                                      in Indonesian Language


                                                          Ekshibit E/65                                                               Exhibit E/65

        PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                         PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
         CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                            NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
          UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                  FOR THE YEAR ENDED 31 DECEMBER 2023
         (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)               (Expressed in millions of Rupiah, unless otherwise stated)

      15. SURAT BERHARGA YANG DITERBITKAN (Lanjutan)                            15. SECURITIES ISSUED (Continued)

           Obligasi Berkelanjutan V BFI Finance Indonesia Tahap II                   Obligasi Berkelanjutan V BFI Finance Indonesia Tahap II
           Tahun 2021                                                                Tahun 2021
               Obligasi/      Nilai nominal/      Tingkat bunga tetap/         Jatuh tempo/                Status pembayaran/           Peringkat/
                Bonds         Nominal value        Fixed interest rate           Due date                    Payment status               Rating

             Seri/Serial A       210.000                 5,25%             16 Agustus/August 2022               Lunas/Paid                A+(idn)
             Seri/Serial B       260.000                 6,25%             6 Agustus/August 2023                Lunas/Paid                AA-(idn)
             Seri/Serial C       530.000                 7,25%             6 Agustus/August 2024     Belum jatuh tempo/Not yet due        AA-(idn)


           Obligasi Berkelanjutan V BFI Finance Indonesia Tahap III                  Obligasi Berkelanjutan V BFI Finance Indonesia Tahap III
           Tahun 2023                                                                Tahun 2023

               Obligasi/      Nilai nominal/      Tingkat bunga tetap/         Jatuh tempo/                Status pembayaran/           Peringkat/
                Bonds         Nominal value        Fixed interest rate           Due date                    Payment status               Rating

              Seri/Serial A       617.000                6,25%                  7 Februari/          Belum jatuh tempo/Not yet due       AA-(idn)
                                                                               February 2024
              Seri/Serial B       227.000                7,00%             27 Januari/January 2025 Belum jatuh tempo/Not yet due          AA-(idn)
              Seri/Serial C       256.000               7,375%             27 Januari/January 2026 Belum jatuh tempo/Not yet due          AA-(idn)


           Obligasi Berkelanjutan V BFI Finance Indonesia Tahap IV                   Obligasi Berkelanjutan V BFI Finance Indonesia Tahap IV
           Tahun 2023                                                                Tahun 2023

                Obligasi/     Nilai nominal/      Tingkat bunga tetap/          Jatuh tempo/               Status pembayaran/           Peringkat/
                 Bonds        Nominal value        Fixed interest rate            Due date                   Payment status               Rating

              Seri/Serial A       590.000                6,10%                  24 April 2024        Belum jatuh tempo/Not yet due        AA-(idn)
              Seri/Serial B       385.000                7,00%                  14 April 2025        Belum jatuh tempo/Not yet due        AA-(idn)
              Seri/Serial C       625.000                7,15%                  14 April 2026        Belum jatuh tempo/Not yet due        AA-(idn)


           Obligasi Berkelanjutan V BFI Finance Indonesia Tahap V                    Obligasi Berkelanjutan V BFI Finance Indonesia Tahap V
           Tahun 2023                                                                Tahun 2023

                Obligasi/     Nilai nominal/      Tingkat bunga tetap/         Jatuh tempo/                Status pembayaran/           Peringkat/
                 Bonds        Nominal value        Fixed interest rate           Due date                    Payment status               Rating

              Seri/Serial A       250.000                6,00%                25 Juni/June 2024      Belum jatuh tempo/Not yet due        AA-(idn)
              Seri/Serial B       850.000                7,00%                15 Juni/June 2026      Belum jatuh tempo/Not yet due        AA-(idn)

           Sesuai dengan Perjanjian Perwaliamanatan Obligasi,                       According to the Bonds Trustee agreement, the Company
           Perusahaan memberikan jaminan fidusia berupa piutang                     provides collateral with fiduciary transfer of financing
           pembiayaan dengan kategori lancar sebesar 60% untuk                      receivables amounting to 60% for Obligasi Berkelanjutan IV
           Obligasi Berkelanjutan IV BFI Finance Indonesia dan 50% untuk            BFI Finance Indonesia and 50% for Obligasi Berkelanjutan V
           Obligasi Berkelanjutan V BFI Finance Indonesia, dari nilai               BFI Finance Indonesia, of the outstanding principal amount
           pokok Obligasi yang terutang (Catatan 5).                                of the Bonds (Note 5).

           Selain itu, selama pokok Obligasi belum dilunasi, Perusahaan              Moreover, during the time that the Bonds principals are still
           tidak diperkenankan antara lain, membagi dividen dalam hal                outstanding, the Company is not allowed to, among others,
           Perusahaan lalai dalam membayar jumlah terutang obligasi,                 declare dividends in the event that the Company defaults in
           melakukan penggabungan usaha kecuali dilakukan pada                       bond obligations, merge unless performed on the same
           bidang usaha yang sama, dan menjual atau mengalihkan lebih                business, and sells or hand over more than 50% of the
           dari 50% aset Perusahaan, kecuali dalam rangka kegiatan                   Company’s assets, except for daily operation activity. The
           usaha sehari-hari. Perusahaan telah memenuhi batasan-                     Company has complied with the covenants on the trustee
           batasan yang diwajibkan dalam perjanjian tersebut.                        agreements.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                         381
Page 384
                          2023 PERFORMANCE                                                                    BUSINESS
 ABOUT THIS REPORT                                 REPORTS TO STAKEHOLDERS           COMPANY PROFILE
                          HIGHLIGHTS                                                                          SUPPORTING UNITS




                                                                                These Consolidated Financial Statements are Originally Issued
                                                                                                  in Indonesian Language


                                                     Ekshibit E/66                                                                Exhibit E/66

       PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                       PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
        CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                          NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
         UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                FOR THE YEAR ENDED 31 DECEMBER 2023
       (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)             (Expressed in millions of Rupiah, unless otherwise stated)

    15. SURAT BERHARGA YANG DITERBITKAN (Lanjutan)                           15. SECURITIES ISSUED (Continued)

         Semua pembayaran pokok Obligasi dilakukan secara penuh                  All Bonds principal is paid in full as they fall due. All Bonds
         pada saat jatuh tempo. Pembayaran bunga Obligasi dilakukan              interest is paid on quarterly basis.
         secara triwulan.

         Pada tanggal 2 Maret 2023, Perusahaan telah menerima surat              On 2 March 2023, the Company has received a letter
         dari     PT     Fitch    Ratings     Indonesia    (“Fitch”)             from     PT      Fitch   Ratings      Indonesia     (“Fitch”)
         No. 039/DIR/RATLTR/III/2023 yang menerangkan bahwa Fitch                No. 039/DIR/RATLTR/III/2023 confirming the upgrade
         telah menaikkan peringkat kredit Perusahaan menjadi                     of the credit rating of the Company to “AA-(idn)” with
         “AA-(idn)” dengan outlook stabil. Peringkat Nasional 'AA'               stable outlook. ‘AA’ National Ratings denote expectations
         menunjukkan ekspektasi tingkat risiko gagal bayar yang                  of a very low level of default risk relative to other issuers
         sangat rendah dibandingkan dengan emiten atau obligasi lain             or obligations in the same country or monetary union.
         di negara atau serikat moneter yang sama.


   16. BEBAN AKRUAL                                                          16. ACCRUED EXPENSES

                                                           31 Desember/December
                                                           2023             2022

          Bonus dan tunjangan lainnya                          198.843               259.129                      Bonus and other allowances
          Bunga                                                 75.090                48.133                                         Interest
          Jasa tenaga ahli                                       8.449               129.387                                Professional fees
          Lain-lain                                             41.739                42.650                                          Others
         Jumlah                                                324.121               479.299                                             Total



      17. LIABILITAS IMBALAN PASCA-KERJA                                     17. POST-EMPLOYMENT BENEFIT LIABILITIES

          Perusahaan memberikan imbalan pasca-kerja kepada                       The Company is required to provide post-employment
          karyawannya pada saat pemutusan hubungan kerja atau                    benefits to its employees when their employment is
          pada saat karyawan menyelesaikan masa kerjanya. Imbalan                terminated or when they retire. These benefits are
          pasca-kerja ini diberikan terutama berdasarkan masa kerja              primarily based on years of service and the employees’
          dan kompensasi karyawan pada saat pemutusan hubungan                   compensation at termination or retirement.
          kerja atau selesainya masa kerja.
          Perusahaan dan entitas anaknya menyelenggarakan                        The Company and its subsidiary have defined contribution
          program pensiun untuk karyawan tetap yang sudah                        pension program covering its qualified permanent
          memenuhi kriteria yang ditetapkan Perusahaan, dimana                   employees who meets the Company’s criteria, where the
          program pensiun ini dikelola dan diadministrasikan oleh                contribution pension program is defined and administered
          PT Asuransi Jiwa Manulife Indonesia.                                   by PT Asuransi Jiwa Manulife Indonesia.

          Imbalan pasca-kerja meliputi pensiun, uang pisah, uang                 Post-employment benefits include pensions, severance
          penghargaan dan imbalan lainnya (Imbalan pasca-kerja                   pay, service pay and other benefits (Post-employment
          (“IPK”) sesuai dengan Undang-Undang Cipta Kerja                        benefits (“PEB”) as stipulated under the Job Creation
          No.11/2020, Peraturan Pemerintah No.35/202 (“PP                        Law No.11/2020, Government Regulation No.35/2021
          35/2021”) dan Program Pensiun Iuran Pasti (PPIP)) dihitung             (“GR 35/2021”) and Defined Contribution (DC) Plan)
          oleh Steven & Mourits, aktuaris independen, dalam                      is calculated by Steven & Mourits, an independent actuary,
          laporannya bertanggal 17 Januari 2024 dan 25 Januari 2023              in its report dated 17 January 2024 and 25 January 2023 for
          masing-masing untuk tahun yang berakhir pada tanggal                   the year ended 31 December 2023 and 2022, respectively, by
          31 Desember 2023 dan 2022, dengan menggunakan metode                   using the Projected Unit Credit method. Number of
          Projected Unit Credit. Jumlah karyawan yang berhak                     employees entitled for the employee benefits for the year
          memperoleh imbalan kerja tersebut untuk tahun yang                     ended 31 December 2023 and 2022 was 6,293 and 6,040
          berakhir pada tanggal 31 Desember 2023 dan 2022 masing-                employees, respectively.
          masing adalah 6.293 dan 6.040 karyawan.




382                                                                              PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 385
   MANAGEMENT DISCUSSION           GOOD CORPORATE                                                                  ANNUAL FINANCIAL
                                                        SUSTAINABILITY               SUPPORTING DATA                                          APPENDICES
   AND ANALYSIS                    GOVERNANCE                                                                      STATEMENTS




                                                                                      These Consolidated Financial Statements are Originally Issued
                                                                                                        in Indonesian Language


                                                        Ekshibit E/67                                                                   Exhibit E/67

        PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                            PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
         CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                               NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
          UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                     FOR THE YEAR ENDED 31 DECEMBER 2023
        (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                   (Expressed in millions of Rupiah, unless otherwise stated)

      17. LIABILITAS IMBALAN PASCA-KERJA (Lanjutan)                           17. POST-EMPLOYMENT BENEFITS LIABILITIES (Continued)
          Rincian liabilitas atas imbalan pasca-kerja yang diakui di                  The details of the liabilities for post-employment benefits
          laporan posisi keuangan konsolidasian adalah sebagai                        recognized in the consolidated statements of financial
          berikut:                                                                    position are as follows:
                                                                 31 Desember/December
                                                                 2023           2022
           Nilai kini liabilitas imbalan pasti                     217.639                   180.474 Present value of defined benefit obligation
           Nilai wajar aset program                                (74.684)                  (68.589)                    Fair value of plan asset
           Imbalan pasca-kerja                                     142.955                   111.885                     Post-employment benefits
           Mutasi nilai kini liabilitas imbalan pasti yang diakui pada                Movements in the present value of defined benefit obligation
           laporan posisi keuangan konsolidasian sebagai berikut:                     recognised in the consolidated statement of financial position
                                                                                      are as follows:

                                                                 31 Desember/December
                                                                  2023           2022
           Nilai kini kewajiban imbalan pasti                                                             Present value of defined benefit obligation
              pada awal tahun                                        180.474                 181.820                          at beginning of year
           Biaya jasa kini                                            23.451                  20.368                               Current service cost
           Biaya jasa lalu atas kurtailmen                              (473 )                     -             Past service cost due to curtailment
           Biaya bunga                                                12.470                  10.768                                      Interest cost
           Pembayaran imbalan kerja                                                                                   Benefit payment from Company
              (sesuai provisi yang dihitung)                             (4.451 )              (4.821 )            (based on computed provision)
           Pembayaran imbalan aset program                               (2.685 )              (2.770 )             Benefit payment from plan assets
           Penyesuaian liabilitas akibat                                                                      Liability assumed due to recognition of
              pengakuan masa kerja lalu                                     733                   768                                 past services
           Pengukuran kembali atas nilai kini                                                                    Remeasurement of present value of
              liabilitas imbalan pasti:                                                                                defined benefit obligation:
              Kerugian (keuntungan) atas perubahan                                                           Loss (gain) from changes in financial
                  asumsi ekonomis                                         6.021                (5.406 )                              assumption
              Kerugian atas penyesuaian                                                                                      Loss from experience
                  pengalaman                                              2.099                 6.588                               adjustments
           Dampak penyesuaian atas siaran pers                                                                      Impact of DSAK IAI press release's
              DSAK IAI (Catatan 2c)                                            -              (26.841)                      adjustments (Note 2c)
           Nilai kini kewajiban imbalan pasti                                                                       Present value of defined benefit
              pada akhir tahun                                       217.639                 180.474                    obligation at end of year

                                                                  31 Desember/December
                                                                  2023           2022
          Nilai wajar aset program pada                                                                                   Fair value of plan assets at
             awal tahun                                                  68.589               66.363                            beginning of year
          Pendapatan bunga atas aset program                              5.128                4.962                  Interest income on plan assets
          Iuran Perusahaan                                                6.000                6.000                           Company contribution
          Pembayaran imbalan dari aset program                           (2.685 )             (2.770 )             Benefit payment from plan assets
          Imbal hasil aset program (tidak termasuk                                                                  Return on plan assets (excluding
             pendapatan bunga)                                           (2.348)               (5.966 )                          interest income)
           Nilai wajar aset program pada akhir tahun                     74.684               68.589         Fair value of plan assets at end of year

                                                                  31 Desember/December
                                                                  2023           2022

          Saldo awal                                                111.885                  115.457                              Beginning balance
          Iuran Perusahaan yang dibayarkan                           (6.000 )                 (6.000 )            Contribution plan of the Company
          Pembayaran imbalan kerja                                  (14.320 )                (14.663)                 Benefits paid by the Company
          Beban yang diakui pada laba rugi                           40.922                   36.784               Expense recognized in profit loss
          Beban yang diakui pada                                                                                        Expense recognized in other
             penghasilan komprehensif lain                               10.468                7.148                      comprehensive income
          Dampak penyesuaian atas siaran pers                                                                     Impact of DSAK IAI press release's
             DSAK IAI (Catatan 2c)                                             -             (26.841 )                    adjustments (Note 2c)
          Liabilitas yang diakui di laporan                                                                     Liability recognized in statement of
             posisi keuangan                                        142.955                  111.885                           financial position




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                              383
Page 386
                         2023 PERFORMANCE                                                                           BUSINESS
ABOUT THIS REPORT                                      REPORTS TO STAKEHOLDERS           COMPANY PROFILE
                         HIGHLIGHTS                                                                                 SUPPORTING UNITS




                                                                                     These Consolidated Financial Statements are Originally Issued
                                                                                                       in Indonesian Language


                                                          Ekshibit E/68                                                                 Exhibit E/68

      PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                             PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
       CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                                NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
        UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                      FOR THE YEAR ENDED 31 DECEMBER 2023
      (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                   (Expressed in millions of Rupiah, unless otherwise stated)

  17. LIABILITAS IMBALAN PASCA-KERJA (Lanjutan)                                   17. POST-EMPLOYMENT BENEFITS LIABILITIES (Continued)

        Jumlah yang diakui pada laporan laba rugi dan penghasilan                      The amounts recognised in the consolidated statement of
        komprehensif lain konsolidasian adalah sebagai berikut:                        profit or loss and other comprehensive income are as
                                                                                       follows:

                                                                   31 Desember/December
                                                                   2023           2022

        Biaya jasa kini                                                 23.451                20.368                              Current service cost
        Biaya jasa lalu atas kurtailmen                                   (473)                    -            Past service cost due to curtailment
        Biaya bunga                                                     12.470                10.768                                     Interest cost
        Pendapatan bunga atas aset program                              (5.128)               (4.962 )                 Interest income on plan assets
        Pengakuan liabilitas atas pengakuan                                                                Liabilities assumed due to recognition of
           masa kerja lalu                                                  733                  768                                 past services
        Biaya terminasi oleh Perusahaan                                   9.869                9.842                Termination benefit by Company
        Dampak penyesuaian atas siaran pers                                                                        Impact of DSAK IAI press release's
           DSAK IAI                                                           -              (26.841 )                                adjustments
       Jumlah beban (Catatan 25)                                        40.922                 9.943                      Total expenses (Note 25)

        Riwayat penyesuaian pengalaman adalah sebagai berikut:                       The history of experience adjustment are as follows:

                                                               31 Desember/December
                                           2023             2022       2021        2020                    2019

        Nilai kini kewajiban                                                                                               Present value of defined
           imbalan pasti                   (217.639)        (180.474)      (181.820)       (215.418)        (313.810)         benefit obligation
        Nilai wajar aset program             74.684           68.589         66.363          61.207           55.473       Fair value of plan assets

        Defisit                            (142.955)        (111.885)      (115.457)       (154.211)        (258.337)                         Deficit

        Penyesuaian pengalaman                                                                                            Experience adjustment on
          liabilitas program                 (2.099)          (6.588)       13.185            20.906          20.180             plan liabilities

        Penyesuaian pengalaman                                                                                            Experience adjustment on
          aset program                      (2.348)           (5.966)        (2.842)            (525)          1.490                 plan assets

        Kategori utama aset program per 31 Desember 2023 dan 2022                    The main categories of plan assets as of 31 December 2023
        sebagai persentase dari total aset program adalah pasar uang                 and 2022 as percentage of total plan assets was money
        50%, pendapatan tetap 30% dan saham 20%.                                     market 50%, fixed income 30% and shares 20%.

        Tabel berikut menunjukkan sensitivitas atas kemungkinan                      The following table demonstrates the sensitivity to a
        perubahan tingkat diskonto dan tingkat kenaikan gaji sebesar                 reasonably possible change in discount rates and salary
        1% dengan variabel lain dianggap tetap, terhadap nilai kini                  increment rate of 1%, with all other variables held constant,
        liabilitas imbalan pasca-kerja:                                              of the present value of post-employment benefits
                                                                                     liabilities:

                                                         31 Desember/December 2023
                                                 Tingkat diskonto/       Tingkat kenaikan gaji/
                                                   Discount rate         Salary increment rate
                                             Kenaikan/     Penurunan/ Kenaikan/      Penurunan/
                                              Increase      Decrease    Increase      Decrease
        Dampak pada nilai kini                                                                                     Impact on present value of post-
          liabilitas imbalan pasca-kerja          202.196         235.157          235.180          201.827       employment benefits liabilities


                                                         31 Desember/December 2022
                                                 Tingkat diskonto/       Tingkat kenaikan gaji/
                                                   Discount rate         Salary increment rate
                                             Kenaikan/     Penurunan/ Kenaikan/      Penurunan/
                                              Increase      Decrease    Increase      Decrease
        Dampak pada nilai kini                                                                                     Impact on present value of post-
          liabilitas imbalan pasca-kerja          168.164         194.385          194.554          167.748       employment benefits liabilities




384                                                                                  PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 387
   MANAGEMENT DISCUSSION          GOOD CORPORATE                                                             ANNUAL FINANCIAL
                                                         SUSTAINABILITY        SUPPORTING DATA                                          APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                                 STATEMENTS




                                                                                 These Consolidated Financial Statements are Originally Issued
                                                                                                   in Indonesian Language


                                                         Ekshibit E/69                                                             Exhibit E/69

        PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                       PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
         CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                          NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
          UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                FOR THE YEAR ENDED 31 DECEMBER 2023
         (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)            (Expressed in millions of Rupiah, unless otherwise stated)

      17. LIABILITAS IMBALAN PASCA-KERJA (Lanjutan)                          17. POST-EMPLOYMENT BENEFITS LIABILITIES (Continued)

           Analisa sensitivitas didasarkan pada perubahan atas satu               The sensitivity analysis are based on a change in an
           asumsi aktuarial dimana asumsi lainnya dianggap konstan.               assumption while holding all other assumptions constant. In
           Dalam prakteknya, hal ini jarang terjadi dan perubahan                 practice, this is unlikely to accur an changes in some of the
           beberapa asumsi mungkin saling berkorelasi. Dalam                      assumptions may be correlated. When calculating the
           perhitungan sensitivitas kewajiban imbalan pasti atas asumsi           sensitivity of the defined benefit obligation to significant
           aktuarial utama, metode yang sama (perhitungan nilai kini              actuarial assumptions, the same method (present value of
           kewajiban imbalan pasti dengan menggunakan metode                      the defined benefit obligation calculated with the
           Projected Unit Credit di akhir periode) telah diterapkan               Projected Unit Credit method at the end of the reporting
           seperti dalam perhitungan kewajiban pensiun yang diakui                period) has been applied as when calculating the pension
           dalam laporan posisi keuangan.                                         liability recognized within the statements of financial
                                                                                  position.

           Asumsi-asumsi utama yang digunakan dalam perhitungan di                 Key assumptions used in the above calculation:
           atas:


                                                                31 Desember/December
                                                                2023            2022
           Asumsi ekonomi:                                                                                             Economic assumptions:
             - Tingkat diskonto per tahun                        6,75%         7,30% - 7,40%                          Annual discount rate -
             - Kenaikan gaji per tahun                            10%              10%                               Annual salary increase -

           Asumsi demografi:                                                                                       Demographic assumptions:
             - Tingkat kematian                     Tabel Mortalisasi Indonesia – 2019/ Mortality table of                 Mortality rate -
                                                                       Indonesia – 2019
              - Tingkat pengunduran diri       20% per tahun sebelum usia 25 dan terus menurun menjadi 0%                     Turnover rate -
                                                                      pada usia 55 /
                                                20% per annum before the age of 25 and linearly decreasing
                                                               to 0% per annum at age of 55
              - Tingkat kecacatan per tahun            5% dari Tingkat Kematian/5% of Mortality Rates            Disability rate per annum -
              - Tingkat pension                                100% di usia 56/100% at age 56                              Retirement rate -

      18. DIVIDEN KAS DAN SALDO LABA YANG TELAH DITENTUKAN                   18. CASH DIVIDENDS AND APPROPRIATION OF RETAINED
          PENGGUNAANNYA                                                          EARNINGS

           Berdasarkan Berita Acara Rapat Direksi Perusahaan pada                 Based on the Minutes of Meeting of the Board of Directors
           tanggal 1 Desember 2023, Perusahaan menyetujui pembagian               on 1 December 2023, the Company approved interim cash
           dividen tunai interim untuk tahun 2023 sebesar Rp 28 (nilai            dividend for the financial year 2023 amounted to Rp 28 (full
           penuh) per lembar saham atau setara dengan Rp 421.103 yang             amount) per share amounting to Rp 421,103 to the
           telah dibayarkan pada pemegang saham pada tanggal                      shareholders of the Company which has been distributed on
           21 Desember 2023.                                                      21 December 2023.

           Berdasarkan Berita Acara Rapat Umum Pemegang Saham                     Based on the decision of Shareholders’ Annual General
           Tahunan PT BFI Finance Indonesia Tbk pada tanggal 16 Mei               Meeting on 16 May 2023, the Company announced a cash
           2023, Perusahaan menetapkan pembagian dividen tunai dari               dividend from net profit in 2022 amounting to Rp 60 (full
           laba bersih tahun 2022 sebesar Rp 60 (nilai penuh) per lembar          amount) per share. After taking into account the interim
           saham. Setelah memperhitungkan dividen tunai interim                   cash dividend amounting to Rp 28 (full amount) per share
           sebesar Rp 28 (nilai penuh) per lembar saham atau setara               or equivalent to Rp 421,103 to the shareholders of the
           dengan Rp 421.103 yang telah dibayarkan kepada pemegang                Company, which has been distributed on 22 December 2022
           saham pada tanggal 22 Desember 2022 berdasarkan Berita                 based on the Minutes of Meeting of the Board of
           Acara Rapat Direksi Perusahaan pada tanggal 2 Desember                 Directors on 2 December 2022, the remaining balance
           2022, sisanya sebesar Rp 32 (nilai penuh) per lembar saham             amounting to Rp 32 (full amount) per share or equivalent
           atau setara dengan Rp 481.260 telah dibayarkan pada tanggal            to Rp 481,260 has been distributed on 15 June 2023. The
           15 Juni 2023. Perusahaan juga menyetujui untuk menyisihkan             Company agreed to set aside Rp 5,000 for the reserve.
           sebesar Rp 5.000 sebagai cadangan.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                      385
Page 388
                          2023 PERFORMANCE                                                                   BUSINESS
 ABOUT THIS REPORT                                 REPORTS TO STAKEHOLDERS          COMPANY PROFILE
                          HIGHLIGHTS                                                                         SUPPORTING UNITS




                                                                                These Consolidated Financial Statements are Originally Issued
                                                                                                  in Indonesian Language


                                                       Ekshibit E/70                                                               Exhibit E/70

       PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                       PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
        CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                          NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
         UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                FOR THE YEAR ENDED 31 DECEMBER 2023
       (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)             (Expressed in millions of Rupiah, unless otherwise stated)

    18. DIVIDEN KAS DAN SALDO LABA YANG TELAH DITENTUKAN                     18. CASH DIVIDENDS AND APPROPRIATION OF RETAINED
        PENGGUNAANNYA (Lanjutan)                                                 EARNINGS (Continued)

         Berdasarkan Berita Acara Rapat Umum Pemegang Saham                     Based on the decision of Shareholders’ Annual General
         Tahunan PT BFI Finance Indonesia Tbk pada tanggal 29 Juni              Meeting on 29 June 2022, the Company announced a cash
         2022, Perusahaan menetapkan pembagian dividen tunai dari               dividend from net profit in 2021 amounting to Rp 17 (full
         laba bersih tahun 2021 sebesar Rp 17 (nilai penuh) per lembar          amount) per share. After taking into account the interim
         saham. Setelah memperhitungkan dividen tunai interim                   cash dividend amounting to Rp 7 (full amount) per share or
         sebesar Rp 7 (nilai penuh) per lembar saham atau setara                equivalent to Rp 104,751 to the shareholders of the
         dengan Rp 104.751 yang telah dibayarkan kepada pemegang                Company, which has been distributed on 23 December 2021
         saham pada tanggal 23 Desember 2021 berdasarkan Berita                 based on the Minutes of Meeting of the Board of
         Acara Rapat Direksi Perusahaan pada tanggal 6 Desember                 Directors on 6 December 2021, the remaining balance
         2021, sisanya sebesar Rp 10 (nilai penuh) per lembar saham             amounting to Rp 10 (full amount) per share or equivalent to
         atau setara dengan Rp 149.644 telah dibayarkan pada tanggal            Rp 149,644 has been distributed on 28 July 2022. The
         28 Juli 2022. Perusahaan juga menyetujui untuk menyisihkan             Company agreed to set aside Rp 5,000 for the reserve.
         sebesar Rp 5.000 sebagai cadangan.

         Hal ini telah sesuai dengan Undang-Undang No. 40/2007                  This is in accordance with the Indonesian Limited Company
         mengenai Perseroan Terbatas, yang mengharuskan                         Law No. 40/2007, which requires companies to set up a
         perusahaan-perusahaan untuk membuat penyisihan cadangan                statutory reserve until the reserve reach at least 20% of the
         wajib sampai cadangan mencapai sekurang-kurangnya 20%                  issued and paid up share capital. There is no set period of
         dari jumlah modal yang ditempatkan dan disetor penuh.                  time over which this amount should be provided.
         Undang-Undang tersebut tidak mengatur jangka waktu untuk
         penyisihan tersebut.


    19. UTANG LAIN-LAIN – PIHAK KETIGA                                       19. OTHER PAYABLES – THIRD PARTIES

                                                             31 Desember/December
                                                             2023           2022
         Titipan konsumen                                       258.891                278.938                             Customer deposits
         Utang kepada supplier                                   81.109                 84.116                           Payable to suppliers
         Premi asuransi                                          45.288                 58.736                            Insurance premium
         Utang pengurusan fidusia                                 1.268                  1.230                    Fiducia processing payables
         Lain-lain                                               50.867                 66.332                                         Others
         Jumlah                                                 437.423                489.352                                            Total


    20. MODAL SAHAM                                                          20. SHARE CAPITAL

         Susunan pemegang saham Perusahaan pada tanggal                         The composition of the shareholder of the Company based
         31 Desember 2023 dan 2022 berdasarkan laporan daftar                   on the share register of PT Raya Saham Registra (RSR), the
         pemegang saham dari PT Raya Saham Registra (RSR), Biro                 share registrar, as of 31 December 2023 and 2022, are as
         Administrasi Efek, adalah sebagai berikut:                             follows:

                                                         31 Desember/ December 2023
                                                       Jumlah
                                                       saham/          Nilai
                                                      Number of      nominal/
         Pemegang saham                                Shares         Amount       %*                                            Shareholders
         Trinugraha Capital & Co SCA                  7.688.125.938          192.203       51,12                Trinugraha Capital & Co SCA
         DB SPORE SES CLT A/C FOR                                                                                DB SPORE SES CLT A/C FOR
           NTAsian Discovery MSTR                                                                                 NTAsian Discovery MSTR
           FD-864134218                                 832.804.900           20.820        5,54                            FD-864134218
         Lainnya (masing-masing di bawah 5%)          6.518.452.782          162.962       43,34                     Others (each below 5%)
                                                    15.039.383.620           375.985      100,00
         Saham treasuri                                 927.732.000           23.193             -                              Treasury stock
         Jumlah                                     15.967.115.620           399.178      100,00                                        Total




386                                                                             PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 389
   MANAGEMENT DISCUSSION         GOOD CORPORATE                                                               ANNUAL FINANCIAL
                                                       SUSTAINABILITY          SUPPORTING DATA                                           APPENDICES
   AND ANALYSIS                  GOVERNANCE                                                                   STATEMENTS




                                                                                 These Consolidated Financial Statements are Originally Issued
                                                                                                   in Indonesian Language


                                                       Ekshibit E/71                                                                Exhibit E/71

        PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                      PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
         CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                         NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
          UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                               FOR THE YEAR ENDED 31 DECEMBER 2023
        (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)             (Expressed in millions of Rupiah, unless otherwise stated)

      20. MODAL SAHAM (Lanjutan)                                              20. SHARE CAPITAL (Continued)

          Susunan pemegang saham Perusahaan pada tanggal                              The composition of the shareholder of the Company based
          31 Desember 2023 dan 2022 berdasarkan laporan daftar                        on the share register of PT Raya Saham Registra (RSR), the
          pemegang saham dari PT Raya Saham Registra (RSR), Biro                      share registrar, as of 31 December 2023 and 2022, are as
          Administrasi Efek, adalah sebagai berikut: (Lanjutan)                       follows: (Continued)

                                                         31 Desember/ December 2022
                                                       Jumlah
                                                       saham/          Nilai
                                                      Number of      nominal/
          Pemegang saham                               Shares         Amount       %*                                             Shareholders
          Trinugraha Capital & Co SCA                 7.688.125.938          192.203          51,12               Trinugraha Capital & Co SCA
          Lainnya (masing-masing di bawah 5%)         7.351.257.682          183.782          48,88                    Others (each below 5%)
                                                     15.039.383.620          375.985         100,00
          Saham treasuri                                927.732.000            23.193             -                              Treasury stock
          Jumlah                                     15.967.115.620          399.178         100,00                                      Total

           *) % kepemilikan saham disajikan secara neto, diluar saham             *) % share ownership is presented on a net basis, excluded
              treasuri.                                                              treasury stock.
          Jumlah saham yang dimiliki anggota Dewan komisaris dan                      The number of shares held by the member of the board
          Direksi Perusahaan berdasarkan laporan daftar pemegang                      of commissioners and board of directors of the Company
          saham dari PT Raya Saham Registra (RSR), biro administrasi                  based on the share register of PT Raya Saham Registra
          efek, adalah sebanyak 398.175.980 saham dan 450.839.280                     (RSR), the share registrar, was 398,175,980 shares and
          saham, yang merupakan kepemilikan sebesar 2,49% dan 2,81%                   450,839,280 shares representing 2.49% and 2.81%, of the
          dari jumlah saham Perusahaan yang beredar masing-masing                     total outstanding shares of the Company as of 31
          pada tanggal 31 Desember 2023 dan 2022 dengan rincian                       December 2023 and 2022, respectively with detail as
          sebagai berikut:                                                            follows:
                                                                      Jumlah Saham / Total Shares                          %
          Nama Anggota/                                                 31 Desember/December                      31 Desember/December
          Name of Members                Jabatan/Positions             2023              2022                     2023           2022

          Francis Lay Sioe Ho          Presiden Direktur/               344.108.180            386.771.480               2,16                2,42
                                         President Director
          Sudjono                      Direktur/Director                 26.310.800             26.310.800               0,16                0,16
          Sutadi                       Direktur/Director                 17.517.000             17.517.000               0,11                0,11
          Andrew Adiwijanto            Direktur/Director                 10.240.000             10.240.000               0,06                0,06
          Sigit Hendra Gunawan         Direktur/Director                          -             10.000.000                  -                0,06

          Jumlah/ Total                                                 398.175.980            450.839.280               2,49                2,81

           Saham Treasuri                                                             Treasury stock

          Pada tanggal 29 Juni 2022, RUPSLB menyetujui pengalihan                     On 29 June 2022, the Extraordinary General Meetings of
          sebagian saham melalui Program Kepemilikan Saham oleh                       Shareholders (EGMS) has approved to form and implement
          Manajemen dan Karyawan Management and Employee Stock                        Management and Employee Stock Ownership Program
          Ownership Program atau disebut juga sebagai (program                        (MESOP Program) by transferring a maximum of 75,000,000
          MESOP), yang berasal dari saham treasuri milik Perusahaan                   of the Company’s treasury shares.
          sebanyak-banyaknya 75.000.000 lembar saham.

          RUPSLB juga telah menyetujui pengalihan sisa saham treasuri                 The EGMS has also approved the transfer of the remaining
          sebanyak-banyaknya 927.732.000 lembar saham dengan cara                     927,732,000 treasury shares by selling either on or outside
          dijual baik di Bursa Efek maupun di luar Bursa Efek kepada                  the Stock Exchange to other parties, including to the main
          pihak lain, baik kepada pemegang saham utama Perusahaan                     shareholders of the Company (Trinugraha Capital & Co.
          (Trinugraha Capital & Co. SCA) maupun kepada pihak ketiga                   SCA) or other third parties.
          lainnya.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                        387
Page 390
                          2023 PERFORMANCE                                                                   BUSINESS
ABOUT THIS REPORT                                  REPORTS TO STAKEHOLDERS          COMPANY PROFILE
                          HIGHLIGHTS                                                                         SUPPORTING UNITS




                                                                               These Consolidated Financial Statements are Originally Issued
                                                                                                 in Indonesian Language


                                                      Ekshibit E/72                                                              Exhibit E/72

       PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                       PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
        CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                          NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
         UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                FOR THE YEAR ENDED 31 DECEMBER 2023
       (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)             (Expressed in millions of Rupiah, unless otherwise stated)

   20. MODAL SAHAM (Lanjutan)                                                20. SHARE CAPITAL (Continued)

         Saham Treasuri (Lanjutan)                                               Treasury stock (Continued)

         Pada tanggal 11 Oktober 2022, Perusahaan melakukan                      On 11 October 2022, the Company entered into a
         transaksi pengalihan sebagian saham treasuri melalui                    transaction to transfer part of its treasury shares through
         program MESOP sejumlah 75.000.000 lembar saham pada                     the MESOP program in the amount of 75,000,000 shares at
         harga Rp 500 (nilai penuh) per lembar saham. Pengalihan                 a price of Rp 500 (full amount) per share. The transfer is
         tersebut berlaku efektif pada tanggal 13 Oktober 2022 di                effective on 13 October 2022 where the shares have
         mana saham-saham telah berpindah tangan dan diblock                     changed hands and are blocked (non-tradeable) with
         (tidak dapat diperdagangkan) dengan periode vesting                     vesting period for the MESOP program for 3 years from the
         program MESOP selama 3 tahun sejak tanggal dialihkan,                   date of transfer, with market price of Rp 1,005 (full
         dengan harga pasar Rp 1.005 (nilai penuh) per lembar saham.             amount) per share.

         Pelaksanaan program MESOP ini tidak menimbulkan dampak                  The implementation of the MESOP program does not have
         dilusi kepada pemegang saham atas kepemilikan saham                     a dilutive impact on shareholders on share ownership in
         dalam Perusahaan, dikarenakan saham-saham yang                          the Company, causes the shares included in the MESOP
         dimasukkan ke dalam program MESOP merupakan saham                       program are treasury shares and are not new shares issued
         treasuri dan bukan merupakan saham baru yang dikeluarkan                from the Company's portfolio. The proceeds from the
         dari portepel Perusahaan. Hasil pengalihan saham MESOP                  transfer of MESOP shares will be additional working capital
         akan menjadi tambahan modal kerja bagi Perusahaan.                      for the Company.
         Pada tanggal 31 Desember 2023 dan 2022, jumlah saham                    As of 31 December 2023 and 2022, total treasury stock
         treasuri masing-masing adalah sebanyak 927.732.000 saham.               were 927,732,000 shares, respectively.

         Sesuai peraturan yang berlaku, sisa saham treasuri sebanyak             In accordance with applicable regulations, the remaining
         927.732.000 saham wajib dialihkan dan batas waktu                       treasury shares of 927,732,000 must be transferred and
         pemenuhan kewajiban pengalihan sisa saham treasuri                      with deadline for fulfilling the obligation to transfer the
         tersebut adalah 5 November 2025.                                        remaining treasury shares is 5 November 2025.


      21. TAMBAHAN MODAL DISETOR - NETO                                      21. ADDITIONAL PAID-IN CAPITAL - NET
         Pada tanggal 31 Desember 2023 dan 2022, akun ini                        On 31 December 2023 and 2022, this account represents
         merupakan selisih lebih antara hasil yang diterima dengan               the difference between amount received and par value
         nilai nominal dari setoran modal, penawaran umum perdana                from paid-in capital, initial public offering and conversion
         dan konversi dari obligasi konversi termasuk penyesuaian                of convertible bonds including adjustments balance of
         saldo karena kuasi reorganisasi.                                        quasi reorganization.


   22. PENDAPATAN PIUTANG PEMBIAYAAN                                         22. FINANCING RECEIVABLES INCOME
                                                              31 Desember/December
                                                               2023          2022

         Pendapatan piutang pembiayaan                                                                         Financing receivables income
            Pihak ketiga                                       4.465.384         3.672.506                                  Third parties
         Pendapatan administrasi                                 839.352           763.781                           Administration income
         Denda keterlambatan                                     352.929           328.755                                     Late charges
         Pendapatan terminasi                                    299.461           289.397                              Termination income

                                                               5.957.126         5.054.439
         Jumlah                                                                                                                        Total
         Dikurangi:                                                                                                                     Less:
         Bagian pendapatan yang dibiayai                                                                       Portion of funds financed by
            bank sehubungan dengan kerjasama                                                               banks in relation to channeling
            penerusan pinjaman dan pembiayaan                                                                          and joint financing
            bersama (Catatan 31)                                 (23.284)            (2.191)                        cooperation (Note 31)
        Pendapatan piutang pembiayaan - neto                   5.933.842         5.052.248              Financing receivables income - net

        Pada tahun yang berakhir pada tanggal 31 Desember 2023 dan              For the year ended 31 December 2023 and 2022, the
        2022, amortisasi biaya transaksi yang diakui sebagai                    amortization of transaction costs recognized as a reduction
        pengurang dari pendapatan piutang pembiayaan masing-                    to financing receivables income was amounted to Rp 190,645
        masing sebesar Rp 190.645 dan Rp 100.222.                               and Rp 100,222, respectively.




388                                                                             PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 391
   MANAGEMENT DISCUSSION         GOOD CORPORATE                                                                   ANNUAL FINANCIAL
                                                          SUSTAINABILITY            SUPPORTING DATA                                            APPENDICES
   AND ANALYSIS                  GOVERNANCE                                                                       STATEMENTS




                                                                                      These Consolidated Financial Statements are Originally Issued
                                                                                                        in Indonesian Language


                                                           Ekshibit E/73                                                                  Exhibit E/73

         PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                           PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
          CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                              NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
           UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                    FOR THE YEAR ENDED 31 DECEMBER 2023
         (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                 (Expressed in millions of Rupiah, unless otherwise stated)

       23. PENDAPATAN SYARIAH                                                      23. SHARIA INCOME

                                                                  31 Desember/December
                                                                   2023          2022
           Marjin murabahah                                           101.068              63.679                                   Murabahah margin
           Pendapatan ijarah                                              703               1.267                                       Ijarah income
           Pendapatan IMBT                                              6.891                 211                                         IMBT income
           Jumlah                                                     108.662              65.157                                                 Total


      24. PENDAPATAN LAIN-LAIN                                                     24. OTHER INCOME

                                                                  31 Desember/December
                                                                   2023          2022
           Pemulihan dari piutang                                                                                             Recovery on written-off
              yang dihapusbukukan                                     196.243            208.407                                       receivables
           Keuntungan neto penjualan                                                                                             Gain on sale of fixed
              aset tetap (Catatan 10)                                   13.502             20.209                           assets - net (Note 10)
           Lain-lain                                                    18.300             14.119                                               Others
           Jumlah                                                     228.045            242.735                                                  Total



      25. BEBAN GAJI DAN TUNJANGAN                                                 25. SALARIES AND BENEFITS EXPENSES
                                                                  31 Desember/December
                                                                   2023          2022
           Pihak ketiga                                                                                                               Third parties
              Gaji dan imbalan kerja                                1.353.921          1.220.271                       Salaries and allowances
             Imbalan pasca-kerja (Catatan 17)*                         37.555              8.527           Post-employment benefits (Note 17)*
             Lain-lain (Catatan 20)                                         -             37.875                              Others (Note 20)
                                                                    1.391.476          1.266.673
           Pihak berelasi (Catatan 29)                                                                                  Related parties (Note 29)
             Gaji dan imbalan kerja                                    62.260             56.559                      Salaries and allowances
             Imbalan pasca-kerja (Catatan 17, 29)*                      3.367              1.416        Post-employment benefits (Note 17, 29)*
                                                                       65.627             57.975
           Jumlah                                                   1.457.103          1.324.648                                                  Total
           *)Terdapat penyesuaian biaya imbalan pasca-kerja atas penerapan             *)There is an adjustment to post-employment benefits due to the
             Undang-undang Cipta Kerja No.11/2020 dan peraturan turunannya               implementation of the Job Creation Law No.11/2020 and its
             yaitu Peraturan Pemerintah No.35/2021.                                      derivative regulation, that is Government Regulation No.35/2021.



      26. BEBAN BUNGA DAN KEUANGAN                                                 26. INTEREST AND FINANCING CHARGES

                                                                 31 Desember/December
                                                                   2023          2022
           Bunga atas pinjaman yang diterima                          653.103            476.916                               Interest on borrowings
           Bunga atas surat berharga yang                                                                                        Interest on securities
             diterbitkan (Catatan 15)                                 290.283            143.157                                    issued (Note 15)
           Amortisasi biaya emisi atas surat berharga                                                                      Amortization of securities
             yang diterbitkan (Catatan 15)                                 7.924            4.026                           issuance cost (Note 15)

           Jumlah                                                     951.310            624.099                                                  Total




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                              389
Page 392
                         2023 PERFORMANCE                                                                       BUSINESS
ABOUT THIS REPORT                                  REPORTS TO STAKEHOLDERS             COMPANY PROFILE
                         HIGHLIGHTS                                                                             SUPPORTING UNITS




                                                                                   These Consolidated Financial Statements are Originally Issued
                                                                                                     in Indonesian Language


                                                      Ekshibit E/74                                                                  Exhibit E/74

      PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                        PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
       CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
        UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                 FOR THE YEAR ENDED 31 DECEMBER 2023
      (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)              (Expressed in millions of Rupiah, unless otherwise stated)

   27. BEBAN UMUM DAN ADMINISTRASI                                           27.     GENERAL AND ADMINISTRATIVE EXPENSES

                                                             31 Desember/December
                                                              2023          2022
        Beban penerimaan angsuran                                150.272               80.592                    Installment collection expense
        Perbaikan dan pemeliharaan                               124.206               89.072                          Repairs and maintenance
        Penyusutan aset tetap (Catatan 10)                       117.384              100.106            Depreciation of fixed assets (Note 10)
        Pemasaran                                                 99.358               79.073                                          Marketing
        Amortisasi aset takberwujud (Catatan 12)                  53.859               22.492       Amortization of intangible assets (Note 12)
        Perjalanan dinas dan transportasi                         51.038               33.772                         Travel and transportation
        Honorarium tenaga ahli                                    42.868              148.269                                  Professional fees
        Pendidikan dan pelatihan                                  26.866               23.170                            Training and education
        Komunikasi                                                26.191               25.328                                   Communications
        Penyusutan aset hak-guna (Catatan 11)                     22.612               21.544      Depreciation of right-of-use assets (Note 11)
        Asuransi                                                  21.856               16.560                                           Insurance
        Pengiriman, perangko dan materai                          21.533               18.043                 Courier, postage and stamp duty
        Beban alih daya                                           17.092               16.034                      Outsourced service expenses
        Listrik dan air                                           16.579               15.702                              Electricity and water
        Beban kantor                                              16.348               17.303                                    Office expense
        Keanggotaan dan langganan                                 13.885                8.388                      Membership and subscription
        Beban administrasi bank                                    2.483                2.667                      Bank administration charges
        Sewa                                                       1.883                2.480                                              Rental
        Program CSR                                                1.494                3.423                                       CSR program
        Legalisir dokumen dan fotokopi                             1.316                1.933               Legalized document and photocopy
        Lain-lain                                                 41.382               45.101                                              Others
        Jumlah                                                   870.505              771.052                                               Total


   28. BEBAN LAIN-LAIN                                                   28. OTHER EXPENSES

        Rincian beban lain-lain adalah sebagai berikut:                            The details of other expenses are as follows:

                                                             31 Desember/December
                                                              2023          2022
        Penghapusan piutang dalam                                                                                 Written-off receivables in the
           proses penyelesaian                                   228.870               64.505                              settlement process
        Penyisihan (pemulihan) kerugian penurunan nilai                                            Provision (recovery) for impairment losses of
          atas piutang dalam proses penyelesaian                  34.024               (7.433)          receivables in the settlement process

        Jumlah                                                   262.894               57.072                                               Total


   29. TRANSAKSI DENGAN PIHAK-PIHAK BERELASI                             29. RELATED PARTY TRANSACTIONS

        Dalam menjalankan kegiatan usahanya, Perusahaan dan                    In carrying out its business activities, the Company and its
        entitas anaknya melakukan transaksi-transaksi dengan pihak-            subsidiary enter into transactions with certain related
        pihak berelasi tertentu sebagai berikut:                               parties as the followings:

                                                      Sifat hubungan/
        Pihak berelasi/Related party               Nature of relationship                             Transaksi/Transactions

        Karyawan/Employee                        Personil manajemen kunci/                         Imbalan kerja jangka-pendek/
                                                 Key management personnel                         Short-term employees’ benefits
                                                                                          Imbalan pasca-kerja/ Post-employment benefits
                                                                                           Program kompensasi manajemen dan karyawan
                                                                                             berbasis saham/Management and employee
                                                                                                        stock options program




390                                                                                PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 393
   MANAGEMENT DISCUSSION          GOOD CORPORATE                                                                        ANNUAL FINANCIAL
                                                           SUSTAINABILITY               SUPPORTING DATA                                             APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                                            STATEMENTS




                                                                                          These Consolidated Financial Statements are Originally Issued
                                                                                                            in Indonesian Language


                                                           Ekshibit E/75                                                                      Exhibit E/75

        PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                             PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
         CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                                NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
          UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                      FOR THE YEAR ENDED 31 DECEMBER 2023
         (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                     (Expressed in millions of Rupiah, unless otherwise stated)

      29. TRANSAKSI DENGAN PIHAK-PIHAK BERELASI (Lanjutan)                         29. RELATED PARTY TRANSACTIONS (Continued)

           Saldo dan transaksi–transaksi kepada/dari pihak yang                           Balances and transactions to or from a related party are as
           berelasi adalah sebagai berikut:                                               follows:

           Beban gaji dan tunjangan karyawan                                                                             Salaries and employee benefits
                                                                31 Desember/December
                                                                 2023          2022
           Personil manajemen kunci:                                                                                        Key management personnel:
           Imbalan kerja jangka-pendek                               62.260                 56.559                        Short-term employees’ benefits
           Imbalan pasca-kerja*                                       3.367                  1.416                            Post-employment benefits*
                                                                     65.627                 57.975
           Persentase terhadap jumlah beban                           1,52%                  1,84%                           Percentage of total expenses
           *)Terdapat penyesuaian biaya imbalan pasca-kerja atas penerapan                *)There is an adjustment to post-employment benefits due to the
             Undang-undang Cipta Kerja No.11/2020 dan peraturan turunannya                  implementation of the Job Creation Law No.11/2020 and its
             yaitu Peraturan Pemerintah No.35/2021.                                         derivative regulation, that is Government Regulation No.35/2021.

           Transaksi dengan pihak berelasi, kecuali beban gaji dan                        Transaction with related parties, except salary expense and
           imbalan kerja kepada personil manajemen kunci, dilakukan                       employee benefits to key management personnel, conducted
           dengan menggunakan persyaratan usaha normal.                                   by normal operations requirements.

      30. SEGMEN OPERASI                                                          30. OPERATING SEGMENT

           Perusahaan dan entitas anaknya mengelola kegiatan                             The Company and its subsidiary manage its business activities
           usahanya dan mengidentifikasi segmen yang dilaporkan                          and identifies its reported segments based on product
           berdasarkan jenis produk dan wilayah geografis. Laba atau                     categories and geographic area. Profit or loss from each
           rugi dari masing-masing segmen digunakan untuk menilai                        segment is used to measure performance of each segment’s
           kinerja masing-masing segmen. Informasi yang berkaitan                        information concerning the main segments are set out as
           dengan segmen usaha utama disajikan sebagai berikut:                          follows:
                                                                                 2023
                                                                      Sepeda
                                                      Mobil/          motor/             Lain-lain/       Jumlah/
                                                       Cars         Motorcycles           Others           Total

           Laporan laba rugi                                                                                                   Statement of profit or loss
           Pendapatan                                                                                                                                Income
           Pendapatan pembiayaan                       4.068.950       1.186.692             786.862       6.042.504                       Financing income
           Lain-lain                                     138.229          32.856             139.524         310.609                                  Others
           Jumlah pendapatan                           4.207.179       1.219.548            926.386        6.353.113                          Total income
           Beban                                                                                                                                   Expenses
           Beban operasional                           2.337.207            633.858          570.747       3.541.812                    Operating expenses
           Cadangan kerugian penurunan nilai             442.351            318.281           25.417         786.049        Provision for impairment losses
           Jumlah beban                                2.779.558            952.139          596.164       4.327.861                        Total expenses

           Laba sebelum pajak                          1.427.621            267.409          330.222       2.025.252                       Profit before tax
           Beban pajak penghasilan                      (268.890)           (50.366 )       (62.197 )       (381.453)                  Income tax expense
           Laba tahun berjalan                         1.158.731            217.043          268.025       1.643.799                    Profit for the year

           Laporan posisi keuangan                                                                                        Statement of financial position
           Aset                                                                                                                                      Assets
           Piutang pembiayaan - neto                  14.478.748       1.559.625           4.668.020      20.706.393             Financing receivables - net
           Piutang ijarah dan IMBT - neto                      -               -              52.769          52.769       Ijarah and IMBT receivables - net
           Lain-lain                                     129.938          10.847           3.091.488       3.232.273                                 Others
           Jumlah aset                                14.608.686       1.570.472           7.812.277      23.991.435                           Total assets

           Liabilitas                                                                                                                            Liabilities
           Pinjaman yang diterima                               -                  -       8.665.860       8.665.860                        Fund borrowings
           Surat berharga yang diterbitkan -
              neto                                             -                  -        4.720.775       4.720.775                 Securities issued - net
           Lain-lain                                      82.918             16.469        1.005.617       1.105.004                                 Others

           Jumlah liabilitas                              82.918             16.469      14.392.252       14.491.639                        Total liabilities




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                                    391
Page 394
                             2023 PERFORMANCE                                                                            BUSINESS
 ABOUT THIS REPORT                                     REPORTS TO STAKEHOLDERS               COMPANY PROFILE
                             HIGHLIGHTS                                                                                  SUPPORTING UNITS




                                                                                         These Consolidated Financial Statements are Originally Issued
                                                                                                           in Indonesian Language


                                                          Ekshibit E/76                                                                        Exhibit E/76

       PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                                PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
        CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                                   NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
         UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                         FOR THE YEAR ENDED 31 DECEMBER 2023
        (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                     (Expressed in millions of Rupiah, unless otherwise stated)

      30. SEGMEN OPERASI (Lanjutan)                                           30. OPERATING SEGMENT (Continued)

          Perusahaan dan entitas anaknya mengelola kegiatan                             The Company and its subsidiary manage its business activities
          usahanya dan mengidentifikasi segmen yang dilaporkan                          and identifies its reported segments based on product
          berdasarkan jenis produk dan wilayah geografis. Laba atau                     categories and geographic area. Profit or loss from each
          rugi dari masing-masing segmen digunakan untuk menilai                        segment is used to measure performance of each segment’s
          kinerja masing-masing segmen. Informasi yang berkaitan                        information concerning the main segments are set out as
          dengan segmen usaha utama disajikan sebagai berikut:                          follows: (Continued)
          (Lanjutan)
                                                                              2022
                                                                      Sepeda
                                                      Mobil/          motor/            Lain-lain/       Jumlah/
                                                       Cars         Motorcycles          Others           Total
         Laporan laba rugi                                                                                                     Statement of profit or loss
         Pendapatan                                                                                                                                   Income
         Pendapatan pembiayaan                         3.462.187       1.104.184           551.034         5.117.405                        Financing income
         Lain-lain                                       143.905          28.568            93.132           265.605                                   Others
         Jumlah pendapatan                             3.606.092       1.132.752           644.166         5.383.010                           Total income

         Beban                                                                                                                                     Expenses

         Beban operasional                             1.843.495        542.003            391.373         2.776.871                   Operating expenses
         Cadangan kerugian penurunan nilai               192.226        118.326             56.906           367.458       Provision for impairment losses
         Jumlah beban                                  2.035.721        660.329            448.279         3.144.329                         Total expenses

         Laba sebelum pajak                            1.570.371        472.423            195.887         2.238.681                      Profit before tax
         Beban pajak penghasilan                        (303.037)        (91.164)          (37.801 )       (432.002 )                  Income tax expense
          Laba tahun berjalan                          1.267.334        381.259            158.086         1.806.679                    Profit for the year

         Laporan posisi keuangan                                                                                          Statement of financial position
         Aset                                                                                                                                       Assets
         Piutang pembiayaan - neto                    13.494.914       2.319.601         3.739.739        19.554.254            Financing receivables - net
         Piutang ijarah dan IMBT - neto                        -               -             7.767             7.767      Ijarah and IMBT receivables - net
         Lain-lain                                        53.736          16.023         2.297.854         2.367.613                                Others
         Jumlah aset                                  13.548.650       2.335.624         6.045.360        21.929.634                            Total assets

         Liabilitas                                                                                                                              Liabilities
         Pinjaman yang diterima                                -                  -     10.246.908        10.246.908                        Fund borrowings
         Surat berharga yang diterbitkan -
            neto                                              -                -         1.581.490         1.581.490                  Securities issued - net
         Lain-lain                                      112.715           19.574         1.213.038         1.345.327                                  Others
         Jumlah liabilitas                              112.715           19.574        13.041.436        13.173.725                        Total liabilities

          Berikut ini adalah informasi yang berkaitan dengan segmen                      The following tables present information concerning the
          usaha utama berdasarkan wilayah geografis:                                     main segments based on geographic area:

          Segmen Geografis                                                               Geographical Segments

                                                                            2023
                                                                                             Sulawesi dan
                                                                                           Indonesia Timur/
                                 Jawa dan Bali/       Kalimantan/       Sumatera/            Sulawesi and               Jumlah/
                                 Java and Bali        Kalimantan        Sumatera            East Indonesia               Total

         Jumlah Pendapatan                3.439.479        792.550        1.127.038                     994.046           6.353.113            Total Income

         Jumlah Aset                  14.363.474         3.642.205        4.003.551                    1.982.205         23.991.435             Total Assets




392                                                                                      PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 395
   MANAGEMENT DISCUSSION         GOOD CORPORATE                                                                  ANNUAL FINANCIAL
                                                         SUSTAINABILITY          SUPPORTING DATA                                             APPENDICES
   AND ANALYSIS                  GOVERNANCE                                                                      STATEMENTS




                                                                                      These Consolidated Financial Statements are Originally Issued
                                                                                                        in Indonesian Language


                                                         Ekshibit E/77                                                                  Exhibit E/77

         PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                        PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
          CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
           UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                 FOR THE YEAR ENDED 31 DECEMBER 2023
         (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)              (Expressed in millions of Rupiah, unless otherwise stated)

      30. SEGMEN OPERASI (Lanjutan)                                            30. OPERATING SEGMENT (Continued)

           Berikut ini adalah informasi yang berkaitan dengan segmen                  The following tables present information concerning the
           usaha utama berdasarkan wilayah geografis: (Lanjutan)                      main segments based on geographic area: (Continued)

                                                                            2022
                                                                                          Sulawesi dan
                                                                                        Indonesia Timur/
                                 Jawa dan Bali/      Kalimantan/      Sumatera/           Sulawesi and            Jumlah/
                                 Java and Bali       Kalimantan       Sumatera           East Indonesia            Total

           Jumlah Pendapatan            2.960.283         650.417            947.292               825.018           5.383.010          Total Income

           Jumlah Aset                13.347.967        3.313.769          3.701.852             1.566.046          21.929.634           Total Assets


      31. PERJANJIAN KERJASAMA YANG PENTING                                     31. SIGNIFICANT COOPERATION AGREEMENTS

           a. Pembiayaan Bersama                                                       a. Joint Financing

               Dalam kaitan untuk mendukung kebutuhan pendanaan                            For the purpose to support funding requirement on
               untuk pengembangan usaha, Perusahaan juga melakukan                         business expansion, the Company has also engaged a
               berbagai kerjasama dengan perbankan, antara lain                            partnership with banking institutions in the form of
               dalam bentuk perjanjian pembiayaan bersama (joint                           joint financing which are classified as “off balance
               financing) yang dibukukan secara off balance sheet.                         sheet” transactions.
                                                                    31 Desember/December
                                                                     2023           2022
               PT Bank Jago Tbk                                            494.892            102.899                             PT Bank Jago Tbk
               PT Bank Rakyat Indonesia (Persero) Tbk                            -                714        PT Bank Rakyat Indonesia (Persero) Tbk
               Dikurangi:                                                                                                                    Less:
                Biaya transaksi belum diamortisasi                          (1.068)               (282)            Unamortized transaction costs
               Jumlah - neto                                               493.824            103.331                                     Total – net

               Dalam perjanjian kerjasama dengan skema pembiayaan                         Pursuant to the agreement with joint financing scheme
               bersama (joint financing) antara Perusahaan dan PT Bank                    between the Company and PT Bank Rakyat Indonesia Tbk
               Rakyat Indonesia (Persero) Tbk porsi fasilitas pembiayaan                  (Persero), the amount of funds to be financed by each
               yang akan diberikan untuk konsumen dari masing-masing                      party range from 5% from the Company, and 95% from
               pihak adalah berkisar 5% dari Perusahaan, dan 95% dari                     joint financing providers (banks). As for The tenor of
               pemberi pembiayaan bersama (bank). Sedangkan untuk                         joint financing scheme is available up to 48 (forty eight)
               jangka waktu pembiayaan bersama sampai dengan 48                           months.
               (empat puluh delapan) bulan kepada konsumen.
               Pada    tanggal   5   Agustus      2021,   Perusahaan                       On 5 August 2021, the Company entered into joint
               menandatangani perjanjian kerjasama dengan skema                            financing agreement amounting to Rp 150,000 with
               pembiayaan bersama (joint financing) sebesar                                PT Bank Jago Tbk. On 25 March 2022, the amount of this
               Rp 150.000 dengan PT Bank Jago Tbk. Pada tanggal                            facility has been increased to Rp 300,000. The amount
               25 Maret 2022, jumlah fasilitas ini meningkat menjadi                       of funds to be financed by each party range from 10%
               Rp 300.000. Porsi fasilitas pembiayaan yang akan                            from the Company, and 90% from joint financing
               diberikan untuk konsumen dari masing-masing pihak                           providers (banks).
               adalah berkisar 10% dari Perusahaan, dan 90% dari
               pemberi pembiayaan bersama (bank).
               Pada tanggal 24 Mei 2023, Perusahaan menandatangani                         On 24 May 2023, the Company entered into an
               Perubahan dan Pernyataan Kembali Perjanjian                                 Amendment and Restatement of Joint Financing Facility
               Kerjasama Fasilitas Pembiayaan Bersama dengan PT Bank                       Agreement with PT Bank Jago Tbk. whereas the facility
               Jago Tbk. dimana jumlah fasilitas ini berubah menjadi                       amount increase to Rp 2,000,000 and shall be effective
               sebesar Rp 2.000.000 dan berlaku efektif sampai dengan                      until 5 August 2024.
               tanggal 5 Agustus 2024.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                            393
Page 396
                          2023 PERFORMANCE                                                                     BUSINESS
ABOUT THIS REPORT                                   REPORTS TO STAKEHOLDERS           COMPANY PROFILE
                          HIGHLIGHTS                                                                           SUPPORTING UNITS




                                                                                 These Consolidated Financial Statements are Originally Issued
                                                                                                   in Indonesian Language


                                                      Ekshibit E/78                                                                 Exhibit E/78

      PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                         PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
       CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                            NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
        UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                  FOR THE YEAR ENDED 31 DECEMBER 2023
      (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)               (Expressed in millions of Rupiah, unless otherwise stated)

  31. PERJANJIAN KERJASAMA YANG PENTING (Lanjutan)                            31. SIGNIFICANT COOPERATION AGREEMENTS (Continued)
       a. Pembiayaan Bersama (Lanjutan)                                           a. Joint Financing (Continued)
            Rincian dari pembiayaan bersama adalah sebagai                           The detail of joint financing are as follows:
            berikut:
                                                                Fasilitas maksimum                                                Jangka waktu/
                                                                   pembiayaan/                                                       Period
            Pemberi pembiayan bersama/                          Maximum financing                Perjanjian terakhir/                (bulan/
            Joint financing provider                                   facility                   Latest agreement                   months)

            PT Bank Rakyat Indonesia (Persero) Tbk                        1.000.000           26 Agustus/August 2020                   24
            PT Bank Jago Tbk                                              2.000.000              24 Mei/May 2023                       36

            Fasilitas tersebut di atas berlaku sampai dengan                         The above facility will be expired at the time customers
            dibayarkannya angsuran terakhir piutang pembiayaan                       pay the latest installment of joint financing receivables.
            bersama oleh konsumen.

            Perusahaan bersama dengan pemberi pembiayaan                             The Company, together with the joint financing
            bersama di atas bertindak sebagai penyedia dana dalam                    providers mentioned above, extend credit to consumers
            pemberian pembiayaan kepada konsumen yang                                in accordance with certain criteria laid down in
            memenuhi kriteria tertentu. Perusahaan bertanggung                       agreements. The Company is responsible to maintain the
            jawab untuk mengelola dokumentasi dan administrasi                       customer’s documentation and administration.
            setiap konsumen.

            Kerjasama pembiayaan bersama yang dilakukan ini                          The joint financing facilities were arranged without
            bersifat without recourse, dimana Perusahaan tidak                       recourse, whereby the Company is not obliged to pay
            memiliki kewajiban untuk membayar atau menyetor                          installments including interest to joint financing
            angsuran pokok termasuk bunganya kepada pemberi                          providers in the event that the customers fail to meet
            pembiayaan bersama jika konsumen gagal melakukan                         their installment obligation to the Company.
            pembayaran angsurannya kepada Perusahaan.

        b. Penyalur kendaraan                                                    b. Dealers of Motor Vechicles

            Perusahaan mengadakan perjanjian kerjasama dengan                        The Company has entered into cooperation agreements
            beberapa penyalur kendaraan. Pembiayaan yang telah                       with dealers of motor vehicles. Approved financing that
            disetujui namun belum dibayarkan kepada penyalur                         has not yet been paid to dealers are recorded as payable
            kendaraan dicatat sebagai utang kepada penyalur                          to dealers.
            kendaraan.

        c. Asuransi                                                              c. Insurance

            Perusahaan mengadakan kerjasama dengan beberapa                          The Company has entered into cooperation agreements
            perusahaan asuransi seperti PT Asuransi Bina Dana Arta                   with insurance companies which are PT Asuransi Bina
            Tbk, PT Asuransi Sinar Mas, PT Asuransi Wahana Tata,                     Dana Arta Tbk, PT Asuransi Sinar Mas, PT Asuransi
            PT Asuransi Astra Buana, PT Asuransi Raksa Pratikara,                    Wahana Tata, PT Asuransi Astra Buana, PT Asuransi
            PT Asuransi FPG Indonesia, PT Asuransi Etiqa                             Raksa Pratikara, PT Asuransi FPG Indonesia, PT Asuransi
            Internasional Indonesia, PT Pan Pasific Insurance, PT AIA                Etiqa Internasional Indonesia, PT Pan Pasific Insurance,
            Financial, PT FWD Insurance Indonesia dan PT Chubb Life                  PT AIA Financial, PT FWD Insurance Indonesia
            Insurance Indonesia dalam rangka penyediaan asuransi                     and PT Chubb Life Insurance Indonesia to provide credit
            perlindungan kredit dan penutupan asuransi kendaraan                     shield and insurance coverage of financed vehicles.
            bermotor yang dibiayai.

            Perusahaan melakukan penutupan asuransi atas                             The Company insures vehicles for the interest of the
            kendaraan bermotor demi kepentingan Perusahaan                           Company in its capacity as financing provider. Insurance
            dalam kapasitasnya sebagai penyedia pembiayaan.                          premium payments received from customers that have
            Pembayaran premi asuransi yang telah diterima dari                       not yet been paid to insurance companies are recorded
            konsumen namun belum dibayarkan kepada perusahaan                        as insurance premium payable.
            asuransi dicatat sebagai utang premi asuransi.




394                                                                              PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 397
   MANAGEMENT DISCUSSION         GOOD CORPORATE                                                                      ANNUAL FINANCIAL
                                                         SUSTAINABILITY               SUPPORTING DATA                                                APPENDICES
   AND ANALYSIS                  GOVERNANCE                                                                          STATEMENTS




                                                                                         These Consolidated Financial Statements are Originally Issued
                                                                                                           in Indonesian Language


                                                             Ekshibit E/79                                                                      Exhibit E/79

         PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                             PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
          CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                                NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
           UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                      FOR THE YEAR ENDED 31 DECEMBER 2023
         (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                    (Expressed in millions of Rupiah, unless otherwise stated)

      32. LABA PER SAHAM                                                            32. EARNINGS PER SHARE

           Laba per saham dasar dihitung dengan cara membagi laba                        Earnings per share is calculated by dividing profit for the
           tahun berjalan yang tersedia bagi pemegang saham dengan                       year available to shareholders by the weighted average
           rata-rata tertimbang saham biasa yang beredar pada tahun                      common shares outstanding during the year.
           berjalan.
                                                                  31 Desember/December
                                                                   2023          2022
           Laba tahun berjalan untuk perhitungan                                                        Profit for the year for the computation of basic
              laba per saham dasar                                 1.643.888             1.806.679                                  earning per shares
           Jumlah rata-rata tertimbang                                                                                            The weighted average of
              saham yang beredar                              15.039.383.620        14.975.068.552                                   shares outstanding

           Laba per saham                                                                                                                  Basic earnings per
              dasar (nilai penuh)                                           109                  121                                   share (full amount)

           Perusahaan tidak memiliki instrumen yang memberikan efek                      The Company does not have instrument that give impact of
           dilusi pada laba per saham dasar.                                             dilution effect on basic earning per share.


      33. PENGHASILAN KOMPREHENSIF LAIN                                             33. OTHER COMPREHENSIVE INCOME

           Perubahan komponen penghasilan komprehensif lain yang                         The movement of other comprehensive income component
           tidak mempengaruhi laba rugi adalah sebagai berikut:                          that have not yet affected the profit and loss were as
                                                                                         follows:
                                                                  31 Desember/December
                                                                   2023          2022
           Saldo awal tahun – setelah                                                                                            Beginning balance of the
               pajak tangguhan                                        62.751                  48.626                          year - after deferred tax
           Kerugian pengukuran kembali                                                                                       Loss on remeasurement of
              program aktuarial manfaat pasti                        (10.468)                 (8.979)             defined benefit actuarial program
                                                                                                              Effective portion of the fair value change
           Bagian efektif atas perubahan nilai wajar                                                                  of the derivative instrument -
              instrumen derivatif - lindung nilai arus kas            13.498                  26.409                                cash flow hedge
                                                                      65.781                  66.056
           Aset pajak tangguhan (Catatan 14c)                              (579)              (3.305)                        Deferred tax assets (Note 14c)
           Saldo akhir tahun – setelah                                                                                         Balance at the end of year -
               pajak tangguhan                                        65.202                  62.751                                after deferred tax


      34. PERUBAHAN PADA LIABILITAS DARI AKTIVITAS PENDANAAN                         34. CHANGES IN          LIABILITIES      ARISED     FROM     FINANCING
                                                                                         ACTIVITIES

           Perubahan pada liabilitas yang timbul dari aktivitas                          Changes in liabilities arised from financing activities are as
           pendanaan adalah sebagai berikut:                                             follows:

                                                                31 Desember/December 2023
                                                                               Pergerakan non-kas/
                                                                                Non-cash changes
                                                                                           Pergerakan
                                                                            Pergerakan        beban
                                                                           valuta asing/   transaksi/
                                         Saldo awal/                       Movement in     Changes in         Saldo akhir/
                                          Beginning      Arus kas/            foreign      transaction           Ending
                                           balance       Cashflows           exchange          cost             balance

           Pinjaman yang diterima          10.246.908        (1.517.821)           (59.530)        (3.697)       8.665.860                  Funds borrowings
           Surat berharga yang
              diterbitkan - neto             1.581.490       3.145.000                   -         (5.715)       4.720.775              Securities issued - net

           Jumlah liabilitas dari                                                                                                      Total liabilities from
             aktivitas pendanaan           11.828.398        1.627.179             (59.530)        (9.412)      13.386.635          financing activities




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                                      395
Page 398
                          2023 PERFORMANCE                                                                     BUSINESS
 ABOUT THIS REPORT                                   REPORTS TO STAKEHOLDERS          COMPANY PROFILE
                          HIGHLIGHTS                                                                           SUPPORTING UNITS




                                                                                 These Consolidated Financial Statements are Originally Issued
                                                                                                   in Indonesian Language


                                                        Ekshibit E/80                                                               Exhibit E/80

      PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                          PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
       CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                             NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
        UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                   FOR THE YEAR ENDED 31 DECEMBER 2023
      (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                (Expressed in millions of Rupiah, unless otherwise stated)

    34. PERUBAHAN PADA LIABILITAS DARI AKTIVITAS PENDANAAN                 34. CHANGES IN LIABILITIES              ARISED   FROM      FINANCING
        (Lanjutan)                                                             ACTIVITIES (Continued)

         Perubahan pada liabilitas yang timbul dari aktivitas                    Changes in liabilities arised from financing activities are as
         pendanaan adalah sebagai berikut: (Lanjutan)                            follows: (Continued)

                                                           31 Desember/December 2022
                                                                         Pergerakan non-kas/
                                                                          Non-cash changes
                                                                                     Pergerakan
                                                                      Pergerakan        beban
                                                                     valuta asing/   transaksi/
                                      Saldo awal/                    Movement in     Changes in     Saldo akhir/
                                       Beginning       Arus kas/        foreign      transaction       Ending
                                        balance        Cashflows       exchange          cost         balance

         Pinjaman yang diterima          4.789.422      5.344.363         123.855        (10.732)       10.246.908                Funds borrowings
         Surat berharga yang
            diterbitkan - neto           2.487.483       (910.000)                -        4.007         1.581.490          Securities issued - net

         Jumlah liabilitas dari                                                                                            Total liabilities from
           aktivitas pendanaan           7.276.905      4.434.363         123.855         (6.725)       11.828.398       financing activities

         Perusahaan dan entitas anaknya telah melakukan kebijakan                The Company and its subsidiary have conducted hedge policy
         lindung nilai untuk pinjaman yang diterima dalam mata uang              to borrowings denominated in foreign currencies.
         asing.


    35. MANAJEMEN RISIKO                                                    35. RISK MANAGEMENT

         Pendahuluan dan gambaran umum                                            Introduction and general description

         Perkembangan dunia multifinance yang disertai dengan                    The development in multifinance industry followed with the
         meningkatnya kompleksitas aktivitas pembiayaan semakin                  improvement in complexity of financing activity has
         mempertegas pentingnya tata kelola perusahaan yang sehat                emphasized more on the importance of good corporate
         (good corporate governance) dan manajemen risiko yang                   governance and a reliable risk management. Such both
         dapat diandalkan. Kedua hal tersebut merupakan faktor                   matters are important factors, which bring the investors’
         penting yang menjadi perhatian para investor dalam                      attention in assessing their investment targeting. Basically,
         penilaian   pilihan  target   investasinya.   Penerapan                 the implementation of risk management within the Company
         manajemen risiko di Perusahaan dan entitas anaknya pada                 and its subsidiary had been carried out since the
         dasarnya sudah dilakukan sejak perusahaan berdiri,                      establishment of the Company, eventhough the Company
         meskipun dengan cara yang masih konvensional dan                        was still using a conventional manner and keep improving in
         berkembang sesuai dengan perkembangan kondisi internal                  accordance with the recent development of internal and
         dan eksternal.                                                          external circumstances.

          Perusahaan dan entitas anaknya menyadari bahwa risiko                  The Company and its subsidiary realize that risk is an
          merupakan bagian yang tidak terpisahkan dari operasional               integral part of its operational activity and can be managed
          dan dapat dikelola secara praktis dan efektif setiap hari,             practically and effectively day by day, with the following
          dengan empat tipe risiko utama:                                        four particular risks:
          1. Risiko kredit                                                       1. Credit risk
          2. Risiko pasar                                                        2. Market risk
          3. Risiko pendanaan dan likuiditas                                     3. Funding and liquidity risk
          4. Risiko operasional                                                  4. Operational risk
          5. Risiko permodalan                                                   5. Capital risk

          Pengelolaan risiko di Perusahaan mencakup keseluruhan                   Risk management within the Company includes overall scope
          lingkup aktivitas usaha di Perusahaan, yang didasarkan pada             of business activity within the Company, which based on the
          kebutuhan akan keseimbangan antara fungsi operasional                   necessity of balance between business operational function
          bisnis dengan pengelolaan risikonya. Dengan kebijakan dan               and its risk management thereof. By means of proper risk
          manajemen risiko yang berfungsi baik, maka manajemen                    management and policy, thus the risk management will
          risiko akan menjadi strategic partner bagi bisnis dalam                 become a strategic partner to the business in obtaining
          mendapatkan hasil optimal dari operasi Perusahaan.                      optimal outcome from the Company’s course of operation.




396                                                                               PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 399
   MANAGEMENT DISCUSSION         GOOD CORPORATE                                                             ANNUAL FINANCIAL
                                                         SUSTAINABILITY      SUPPORTING DATA                                            APPENDICES
   AND ANALYSIS                  GOVERNANCE                                                                 STATEMENTS




                                                                                 These Consolidated Financial Statements are Originally Issued
                                                                                                   in Indonesian Language


                                                         Ekshibit E/81                                                             Exhibit E/81

        PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                     PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
         CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                        NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
          UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                              FOR THE YEAR ENDED 31 DECEMBER 2023
         (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)           (Expressed in millions of Rupiah, unless otherwise stated)

      35.   MANAJEMEN RISIKO (Lanjutan)                                    35.   RISK MANAGEMENT (Continued)

            Pendahuluan dan gambaran umum (Lanjutan)                             Introduction and general description (Continued)

            Dalam rangka pengembangan manajemen risiko yang sesuai,              In the event of development of proper risk management, the
            Perusahaan dan entitas anaknya terus mengembangkan dan               Company and its subsidiary keep developing and improving
            meningkatkan kerangka sistem pengelolaan risiko dan                  the integrated and comprehensive framework of risk
            struktur pengendalian internal yang terpadu dan                      management system and internal control structure, in order
            komprehensif, sehingga dapat memberikan informasi                    that they are able to provide information as an early
            adanya potensi risiko secara lebih dini dan selanjutnya              warning of any potential risk and accordingly, take
            mengambil langkah-langkah yang memadai untuk                         appropriate actions to mitigate the risk.
            meminimalkan dampak risiko.

            Kerangka manajemen risiko dituangkan dalam kebijakan,                The framework of risk management is implemented under
            prosedur, batasan transaksi, kewenangan dan ketentuan                the form of policy, procedures, transactional limits,
            lain serta berbagai perangkat manajemen risiko, yang                 authorizations, and other rules as well as various risk
            berlaku    di seluruh aktivitas lingkup usaha. Untuk                 management instruments applicable to entire business
            memastikan bahwa kebijakan dan prosedur tersebut sesuai              activity. In order to ensure that the policy and procedures
            dengan perkembangan bisnis yang ada, maka evaluasi selalu            is in line with the current business development, evaluation
            dilakukan berkala sesuai dengan perubahan parameter                  is frequently carried out in accordance with the change in
            risikonya.                                                           its risk parameter.

            Kerangka manajemen risiko                                            Framework of risk management

            Dalam penerapan manajemen risiko, Perusahaan menyadari               In the implementation of risk management, the Company
            pentingnya memiliki sebuah mekanisme yang memadai                    realizes the importance of having an adequate mechanism
            dalam mengakomodasi risiko-risiko yang dihadapi                      to accommodate the risks faced by the Company. The
            Perusahaan. Perusahaan bertumpu pada 4 (empat) pilar                 Company has a mechanism that is based upon 4 (four) risk
            manajemen risiko sebagai berikut:                                    management pillars, in which could be described as follows:
            1. Pengawasan aktif Dewan Komisaris dan Direksi, yang                1. Active supervision by the Board of Commissioners and
               mencakup:                                                            Board of Directors, which includes:

                - Menyetujui dan melakukan evaluasi kebijakan                        - Approving and evaluating risk management policies
                  manajemen risiko secara berkala;                                     on a regular basis;
                - Menetapkan kebijakan dan strategi Manajemen Risiko                 - Establishing risk management policies and strategies,
                  termasuk penetapan otoritas dalam pemberian                          which include determining the authorization in limits
                  batasan serta tinjauan atas kualitas portfolio secara                and reviewing the quality of portfolio on a regular
                  berkala;                                                             basis;
                - Terdapatnya Komite Audit dan Manajemen Risiko                      - Presence of Audit Committee and Risk Management
                  dalam melakukan fungsi pengawasan.                                   Committee in carrying out their supervisory
                                                                                       functions.
            2. Kebijakan dan penerapan batasan                                   2. Policy and implementation limits
                Perusahaan menyusun kebijakan-kebijakan manajemen                    The Company develops policies related to risk
                risiko yang diperiksa secara berkala dan selalu                      management, which are assessed periodically and
                disesuaikan dengan kondisi usaha terkini. Kebijakan                  aligned constantly to fit the most recent business
                tersebut diterjemahkan ke dalam Prosedur Operasi                     situation. The policy is translated into Standard
                Standar, Ketentuan Umum dan Surat Keputusan Direksi,                 Operating Procedures and Internal Memo, which are
                dan disosialisasikan kepada seluruh karyawan terkait.                being socialized to all employees. The Company also has
                Perusahaan juga menerapkan batasan persetujuan atau                  policies concerning the level of authority on approval or
                otorisasi untuk transaksi kredit maupun yang bukan                   authorization for both credit and non-credit
                transaksi kredit.                                                    transactions.
            3. Identifikasi, pengukuran, pengawasan dan sistem                   3. Identification, measurement,            monitoring,      and
               informasi manajemen                                                  management information system
                Perusahaan memiliki perangkat untuk mengidentifikasi,                The Company has a set of tools to identify, measure, and
                mengukur dan mengawasi risiko, terutama risiko kredit                monitor risks, particularly the credit risk and
                dan operasional melalui mekanisme pelaporan dan                      operational risk through the existing reporting and
                sistem informasi manajemen. Untuk menjamin                           management information system mechanism. In order to
                ketersediaan data risiko yang terkini dan komprehensif,              ensure the availability of updated and comprehensive
                Perusahaan telah melakukan mengkonversi sistem                       risk data, the Company had converted the existing
                operasi Perusahaan yang ada menjadi centralized                      operating system into a centralized system, which known
                system yang dikenal dengan CONFINS. Selain itu,                      as CONFINS. Moreover, the Company has also
                Perusahaan juga melakukan implementasi sistem                        implemented business intelligence information system
                informasi business intelligence agar data atau informasi             in order that data or risk information could be provided
                risiko dapat disediakan secara cepat dan akurat kepada               to the management or other third parties on a prompt
                pihak manajemen atau pihak ketiga lainnya.                           and accurate manner.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                       397
Page 400
                            2023 PERFORMANCE                                                                       BUSINESS
 ABOUT THIS REPORT                                   REPORTS TO STAKEHOLDERS              COMPANY PROFILE
                            HIGHLIGHTS                                                                             SUPPORTING UNITS




                                                                                     These Consolidated Financial Statements are Originally Issued
                                                                                                       in Indonesian Language


                                                        Ekshibit E/82                                                                  Exhibit E/82

      PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                          PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
       CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                             NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
        UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                   FOR THE YEAR ENDED 31 DECEMBER 2023
      (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                (Expressed in millions of Rupiah, unless otherwise stated)

   35. MANAJEMEN RISIKO (Lanjutan)                                             35.    RISK MANAGEMENT(Continued)
          Kerangka manajemen risiko (Lanjutan)                                        Framework of risk management (Continued)
          Dalam penerapan manajemen risiko, Perusahaan menyadari                      In the implementation of risk management, the Company
          pentingnya memiliki sebuah mekanisme yang memadai                           realizes the importance of having an adequate mechanism
          dalam mengakomodasi risiko-risiko yang dihadapi                             to accommodate the risks faced by the Company. The
          Perusahaan. Perusahaan bertumpu pada 4 (empat) pilar                        Company has a mechanism that is based upon 4 (four) risk
          manajemen risiko sebagai berikut: (Lanjutan)                                management pillars, in which could be described as
                                                                                      follows: (Continued)
          4. Pengendalian internal                                                    4. Internal control

              Perusahaan memiliki Departemen Audit Internal yang                         The Company has the Internal Audit Division in place,
              secara independen melaporkan hasil pemeriksaannya                          which independently reports on process and results of
              kepada Dewan Komisaris dan Direksi. Tanggung jawab                         assessment to the Board of Commissioners and Board of
                                                                                         Directors. The responsibility of the Internal Audit
              dari Departemen Audit Internal mencakup:
                                                                                         Division includes:
             - Menyediakan penilaian atas kecukupan dan                                   - Providing assessment on the adequacy and
               efektifitas dari proses bisnis yang ada di dalam                             effectiveness of the entire existing business process
               Perusahaan;                                                                  within the Company;
             - Melakukan pemeriksaan atas kepatuhan terhadap                              - Conducting examination on compliance to the
               kebijakan-kebijakan risiko Perusahaan;                                       Company’s risk policies;
             - Melaporkan masalah-masalah penting yang terkait                            - Reporting on significant issues related to the control
               dengan proses pengendalian di dalam Perusahaan                               activities within the Company, including potential
               termasuk rekomendasi perbaikan yang potensial                                improvements to these processes; and
               terhadap proses tersebut; dan
             - Melakukan koordinasi strategis dengan fungsi                               - Coordinating with other controlling and supervisory
               pengendali dan pengawasan lainnya (manajemen                                 functions (risk management, compliance, legal,
               risiko, hukum, sistem dan prosedur, dan audit                                system and procedures, and external auditor).
               eksternal).

         Proses dan penilaian risiko                                                  Process and risk assessments
         Pada dasarnya proses manajemen risiko dilakukan oleh                         Basically, risk management processes are carried out by
         masing-masing unit mengingat risiko yang dihadapi                            each unit considering that the risk faced represents
         merupakan risiko individual yang melekat pada produk,                        individual risks which are embedded into the products,
         transaksi maupun proses pada unit yang bersangkutan.                         transactions, as well as process in the related unit. The
         Tugas utama dari Departemen Manajemen Risiko adalah                          primary task of Risk Management Division is to determine
         menetapkan kebijakan dan prosedur manajemen risiko serta                     policies and procedures as well as doing a series of
         melakukan serangkaian proses untuk mengumpulkan,                             processes of collecting, measuring, and reporting to the
         melakukan pengukuran dan pelaporan kepada Dewan                              Board of Commissioners and Board of Directors. The
         Komisaris dan Direksi. Penetapan kebijakan manajemen                         determination of risk management policies is carried out
         risiko dilakukan melalui proses persetujuan Direksi.                         through approval process by the Board of Directors.
         1. Risiko Kredit                                                             1. Credit Risk
             Risiko kredit adalah risiko utama Perusahaan, yaitu risiko                   Credit risk is the main risk of the Company, that is the
             yang timbul apabila konsumen tidak dapat memenuhi                            risk arising when the customer are unable to meet its
             kewajibannya sesuai dengan perjanjian yang telah                             obligation in accordance with the agreement as agreed
             disepakati antara konsumen dengan Perusahaan.                                upon between the customer and the Company.
             Manajemen risiko yang telah diterapkan Perusahaan                            Risk management that has been applied by the
             adalah sebagai berikut:                                                      Company are as follows:
              Diversifikasi portofolio menurut wilayah, sektor                            Diversify the portfolio by region, economic sector
               ekonomi dan industri, merk dan tipe barang.                                   and industry, brand and type of goods.
              Risk Adjusted Pricing Method, yaitu penetapan                               Risk Adjusted Pricing Method, namely setting the
               tingkat bunga pembiayaan berdasarkan risiko yang                              interest rate of financing based on the risks faced
               dihadapi, antara lain dinilai dari tingkat uang muka                          by, among others, assessed based on the level of
               yang dibayar konsumen, usia kendaraan yang                                    advances paid by consumers, age of vehicles
               dibiayai, jenis penutupan asuransi yang dipilih dan                           financed, type of insurance coverage selected and so
               lain sebagainya.                                                              forth.
              Adanya Key Performance Indicators (KPI) sebagai
               “early warning system” atas suatu masing-masing                             The Key Performance Indicators (KPI) as an “early
               produk pembiayaan maupun kantor cabang.                                      warning system” of an individual loan products as
              Penanganan kontrak bermasalah yang dilakukan                                 well as branch offices.
               secara disiplin dan proaktif.                                               Handling of problematic contracts in a discipline and
                                                                                            proactive manner.
              Analisa atas kualitas portofolio secara periodik dan                        Analysis of portfolio quality through periodic and
               tindakan preventif dan sanksi bagi cabang-cabang                             preventive actions and sanctions for branches whose
               yang kualitas portofolionya tidak sesuai target.                             quality of its portfolio is not on target.




398                                                                                  PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 401
   MANAGEMENT DISCUSSION         GOOD CORPORATE                                                                  ANNUAL FINANCIAL
                                                          SUSTAINABILITY          SUPPORTING DATA                                          APPENDICES
   AND ANALYSIS                  GOVERNANCE                                                                      STATEMENTS




                                                                                   These Consolidated Financial Statements are Originally Issued
                                                                                                     in Indonesian Language


                                                          Ekshibit E/83                                                              Exhibit E/83

        PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                       PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
         CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                          NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
          UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                FOR THE YEAR ENDED 31 DECEMBER 2023
        (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)             (Expressed in millions of Rupiah, unless otherwise stated)

      35.   MANAJEMEN RISIKO (Lanjutan)                                     35.     RISK MANAGEMENT(Continued)

            Proses dan penilaian risiko (Lanjutan)                                  Process and risk assessments (Continued)

            1. Risiko Kredit (Lanjutan)                                              1. Credit Risk (Continued)
               Tabel berikut menjelaskan eksposur maksimum sesuai                       The following table illustrates the Company’s maximum
               dengan konsentrasi risiko kredit:                                        exposure based on credit risk concentration:

                                                              31 Desember/December 2023
                                                                                     Eksposur
                                                                                    maksimum/
                                                      Korporasi/       Ritel/        Maximum
                                                      Corporate        Retail        exposure
                Kas dan setara kas                       1.739.659                  -            1.739.659               Cash and cash equivalents
                Piutang pembiayaan                       3.332.910         18.137.603           21.470.513                   Financing receivables
                Piutang ijarah dan IMBT                          -             53.816               53.816             Ijarah and IMBT receivables
                Aset derivatif                              56.657                  -               56.657                        Derivative assets
                Piutang karyawan                                 -             48.463               48.463                   Employee receivables

                                                         5.129.226         18.239.882           23.369.108


                                                               31 Desember/December 2022
                                                                                      Eksposur
                                                                                     maksimum/
                                                      Korporasi/        Ritel/        Maximum
                                                      Corporate         Retail        exposure
                Kas dan setara kas                       1.073.255                  -            1.073.255               Cash and cash equivalents
                Piutang pembiayaan                       2.774.668         17.613.021           20.387.689                   Financing receivables
                Piutang ijarah dan IMBT                          -              8.096                8.096             Ijarah and IMBT receivables
                Aset derivatif                             103.056                  -              103.056                        Derivative assets
                Piutang karyawan                                 -             52.921               52.921                   Employee receivables

                                                         3.950.979         17.674.038           21.625.017


                Tabel berikut menjelaskan rincian aset keuangan                          The following table illustrates the detail of financial
                Perusahaan yang dibedakan antara yang mengalami                          assets distinguished between those which impaired and
                penurunan nilai dan yang tidak:                                          not impaired:

                                                         31 Desember/December 2023
                                                  Tidak
                                               mengalami         Mengalami
                                               penurunan         penurunan
                                                  nilai/            nilai/         Jumlah/
                                              Not impaired        Impaired          Total

               Kas dan setara kas                     1.739.659                   -             1.739.659                Cash and cash equivalents
               Piutang pembiayaan                    21.170.839             299.674            21.470.513                    Financing receivables
               Piutang ijarah dan IMBT                   53.679                 137                53.816              Ijarah and IMBT receivables
               Aset derivatif                            56.657                   -                56.657                         Derivative assets
               Piutang karyawan                          48.463                   -                48.463                    Employee receivables

                                                     23.069.297             299.811            23.369.108
               Dikurangi:                                                                                                                    Less:
               Cadangan kerugian
                 penurunan nilai                                                                    (765.167 )    Allowance for impairment losses

                                                                                                22.603.941




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                          399
Page 402
                         2023 PERFORMANCE                                                                    BUSINESS
ABOUT THIS REPORT                                 REPORTS TO STAKEHOLDERS             COMPANY PROFILE
                         HIGHLIGHTS                                                                          SUPPORTING UNITS




                                                                               These Consolidated Financial Statements are Originally Issued
                                                                                                 in Indonesian Language


                                                    Ekshibit E/84                                                                Exhibit E/84

      PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                       PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
       CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                          NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
        UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                FOR THE YEAR ENDED 31 DECEMBER 2023
      (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)             (Expressed in millions of Rupiah, unless otherwise stated)

  35. MANAJEMEN RISIKO (Lanjutan)                                           35. RISK MANAGEMENT(Continued)

        Proses dan penilaian risiko (Lanjutan)                                  Process and risk assessments (Continued)

         1. Risiko Kredit (Lanjutan)                                            1.    Credit Risk (Continued)

             Tabel berikut menjelaskan rincian aset keuangan                          The following table illustrates the detail of financial
             Perusahaan yang dibedakan antara yang mengalami                          assets distinguished between those which impaired and
             penurunan nilai dan yang tidak: (Lanjutan)                               not impaired: (Continued)

                                                       31 Desember/December 2022
                                                Tidak
                                             mengalami         Mengalami
                                             penurunan         penurunan
                                                nilai/            nilai/         Jumlah/
                                            Not impaired        Impaired          Total

             Kas dan setara kas                   1.073.255                       -            1.073.255           Cash and cash equivalents
             Piutang pembiayaan                  20.182.489                 205.200           20.387.689               Financing receivables
             Piutang ijarah dan IMBT                  7.948                     148                8.096         Ijarah and IMBT receivables
             Aset derivatif                         103.056                       -              103.056                    Derivative assets
             Piutang karyawan                        52.921                       -               52.921               Employee receivables

                                                 21.419.669                 205.348           21.625.017
             Dikurangi:                                                                                                                  Less:
             Cadangan kerugian
               penurunan nilai                                                                  (833.764 )   Allowance for impairment losses

                                                                                              20.791.253

             Tabel berikut menjelaskan rincian aset keuangan                          The following table illustrates the detail of financial
             Perusahaan yang dibedakan antara individual dan                          assets distinguished between individual and collective.
             kolektif.
                                                        31 Desember/December 2023
                                             Individual/         Kolektif/        Jumlah/
                                             Individual         Collective         Total

             Kas dan setara kas                   1.739.659                   -                1.739.659           Cash and cash equivalents
             Piutang pembiayaan                      48.428          21.422.085               21.470.513               Financing receivables
             Piutang ijarah dan IMBT                      3              53.813                   53.816         Ijarah and IMBT receivables
             Aset derivatif                          56.657                   -                   56.657                    Derivative assets
             Piutang karyawan                        48.463                   -                   48.463               Employee receivables

                                                  1.893.210          21.475.898               23.369.108
             Dikurangi:                                                                                                                  Less:
             Cadangan kerugian
               penurunan nilai                                                                  (765.167 )   Allowance for impairment losses
                                                                                              22.603.941


                                                        31 Desember/December 2022
                                             Individual/         Kolektif/        Jumlah/
                                             Individual         Collective         Total

             Kas dan setara kas                   1.073.255                   -                1.073.255           Cash and cash equivalents
             Piutang pembiayaan                     341.111          20.046.578               20.387.689               Financing receivables
             Piutang ijarah dan IMBT                    819               7.277                    8.096         Ijarah and IMBT receivables
             Aset derivatif                         103.056                   -                  103.056                    Derivative assets
             Piutang karyawan                        52.921                   -                   52.921               Employee receivables

                                                  1.571.162          20.053.855               21.625.017
             Dikurangi:                                                                                                                  Less:
             Cadangan kerugian
                penurunan nilai                                                                 (833.764 )   Allowance for impairment losses
                                                                                              20.791.253




400                                                                             PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 403
   MANAGEMENT DISCUSSION           GOOD CORPORATE                                                             ANNUAL FINANCIAL
                                                       SUSTAINABILITY             SUPPORTING DATA                                         APPENDICES
   AND ANALYSIS                    GOVERNANCE                                                                 STATEMENTS




                                                                                  These Consolidated Financial Statements are Originally Issued
                                                                                                    in Indonesian Language


                                                      Ekshibit E/85                                                                 Exhibit E/85

       PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                      PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
        CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                         NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
         UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                               FOR THE YEAR ENDED 31 DECEMBER 2023
        (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)            (Expressed in millions of Rupiah, unless otherwise stated)

      35. MANAJEMEN RISIKO (Lanjutan)                                       35.      RISK MANAGEMENT(Continued)

           Proses dan penilaian risiko (Lanjutan)                                    Process and risk assessments (Continued)

           2. Risiko Pasar                                                           2. Market Risk

              Risiko pasar merupakan risiko yang terutama berkaitan                     Market risk is the risk which is primarily caused by the
              dengan perubahan tingkat suku bunga dan nilai tukar                       changes in interest rates and exchange rate of Rupiah
              mata uang Rupiah yang akan menyebabkan                                    currency which could resulting in decrease in revenue,
              berkurangnya pendapatan, atau bertambahnya biaya                          or increase in cost of capital of the Company. With the
              modal Perusahaan. Dengan pola aktivitas usaha yang                        pattern of business activity currently operated by the
              dijalankan Perusahaan saat ini, risiko pasar Perusahaan                   Company, the market risk of the Company is mitigated
              adalah minimal. Perusahaan tidak mempunyai kegiatan                       to the minimum level. The Company does not have
              usaha pembiayaan dalam mata uang asing, sementara                         financing transaction in foreign currency, while all off-
              seluruh pinjaman luar negeri Perusahaan dalam mata                        shore loans of the Company in foreign currency have
              uang asing telah diproteksi dengan swap dalam jumlah                      been protected by entering into swap transactions at
              dan tanggal jatuh tempo yang sama dengan utangnya.                        amount and settlement date that similar to the
              Dalam hal suku bunga, seluruh bunga yang dibebankan                       borrowings thereof. In terms of interest rate, all
              ke konsumen adalah suku bunga tetap (fixed interest                       interest rate charged to the customer is fixed interest
              rate), sementara utang yang diperoleh sebagian besar                      rate, while most of the borrowings received bear fixed
              juga dalam suku bunga tetap dan hanya sebagian kecil                      interest rate, and only a small portion the borrowings
              utang dalam bentuk bunga mengambang (floating                             bear floating interest rate.
              interest rate).

              Manajemen risiko yang telah diterapkan oleh Perusahaan                    Risk management that has been applied by the
              adalah sebagai berikut:                                                   Company are as follows:
               Mengelola risiko perubahan nilai tukar mata uang                         Managing risks of foreign exchange rates.
                 asing.
               Melakukan penelaahan atas tingkat bunga                                    Performing review over the interest rate on
                 pembiayaan yang dikaitkan dengan tingkat suku                              financing associated with interest rate on
                 bunga pinjaman.                                                            borrowings.
               Membatasi eksposur dalam investasi yang memiliki                           Limiting exposure in the investment that has
                 harga pasar yang fluktuatif.                                               fluctuating market prices.

              Tabel berikut menjelaskan eksposur Perusahaan atas                        The following table illustrates the Company’s exposure
              risiko nilai tukar mata uang asing pada tanggal                           to foreign currency exchange rate risk as of
              31 Desember 2023. Termasuk didalamnya adalah                              31 December 2023. Included in the table are financial
              instrumen keuangan Perusahaan pada nilai tercatat,                        instruments of the Company at carrying amounts,
              dikategorikan berdasarkan jenis mata uang.                                categorised by currency.

                                                        31 Desember/December 2023
                                                            USD
                                                       (Nilai penuh)/   Nilai (Rp)/
                                                       (Full amount)  Equivalent (Rp)

               Liabilitas                                                                                                            Liabilities
               Pinjaman yang diterima                      143.333.334              2.209.627                                   Fund borrowings
               Beban akrual                                    939.970                 14.491                                  Accrued expenses

               Jumlah liabilitas                           144.273.304              2.224.118                                   Total liabilities

               Liabilitas neto                                                                                                  Net liabilities
               Kontrak valuta berjangka                                                                     Foreign currency swap transactions
                   pertukaran mata uang asing             (144.273.304)            (2.224.118)                                   contract

               Eksposur neto dalam mata uang
                  asing                                                 -                    -               Net exposure in foreign currency

              Manajemen risiko tingkat suku bunga terhadap limit                        The management of interest rate risk against interest
              perubahan tingkat suku bunga dilengkapi dengan                            rate gap limits is supplemented by monitoring the
              pemantauan atas sensitivitas aset dan liabilitas                          sensitivity of the Company’s financial assets and
              keuangan Perusahaan terhadap beberapa skenario suku                       liabilities to various standard and non-standard
              bunga baku maupun non-baku.                                               interest rate scenarios.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                        401
Page 404
                            2023 PERFORMANCE                                                                            BUSINESS
ABOUT THIS REPORT                                     REPORTS TO STAKEHOLDERS               COMPANY PROFILE
                            HIGHLIGHTS                                                                                  SUPPORTING UNITS




                                                                                       These Consolidated Financial Statements are Originally Issued
                                                                                                         in Indonesian Language


                                                         Ekshibit E/86                                                                        Exhibit E/86

      PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                            PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
       CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                               NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
        UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                     FOR THE YEAR ENDED 31 DECEMBER 2023
      (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                   (Expressed in millions of Rupiah, unless otherwise stated)

   35.   MANAJEMEN RISIKO (Lanjutan)                                             35.     RISK MANAGEMENT(Continued)
         Proses dan penilaian risiko (Lanjutan)                                         Process and risk assessments (Continued)

         2. Risiko Pasar (Lanjutan)                                                     2. Market Risk (Continued)

             Tabel berikut menjelaskan sensitivitas atas kemungkinan                         The following table illustrates the sensitivity to a
             perubahan tingkat suku bunga pasar, dengan variabel                             reasonably possible change in market interest rates,
             lain dianggap tetap, terhadap pendapatan pembiayaan:                            with all other variables held constant, of the financing
                                                                                             income:
                                                                    31 Desember/December
                                                                    2023            2022
             Pendapatan pembiayaan:                                                                                                    Financing income:
             Kenaikan suku bunga 1%                                                                                      Increase in interest rate by 1%
                (100 basis poin)                                      190.599                  149.972                             (100 basis point)
             Penurunan suku bunga 1%                                                                                     Decrease in interest rate by 1%
                (100 basis poin)                                     (190.599)                (149.972)                            (100 basis point)

             Tabel berikut menjelaskan rincian aset dan liabilitas                            The following table illustrates the Company’s
             keuangan Perusahaan yang dikelompokkan menurut mana                              financial assets and liabilities at carrying amounts,
             yang lebih awal antara tanggal repricing atau tanggal jatuh                      categorized by the earlier of contractual repricing of
             tempo kontraktual untuk melihat dampak perubahan                                 maturity dates to analyze the impact of changes in
             tingkat suku bunga:                                                              interest rate:

                                                                 31 Desember/December 2023
                                            Tingkat bunga
                                            mengambang/                         Tingkat bunga tetap/ Fixed rate
                                            Floating rate
                                       < 3 bulan/ 3-36 bulan/    < 3 bulan/   3-12 bulan/ 1-2 tahun/ > 2 tahun/          Jumlah/
                                        months        months      months        months      years      years              Total
            Aset keuangan                                                                                                                 Financial assets
                                                                                                                                            Cash and cash
              Kas dan setara kas        1.739.659           -             -             -             -           -      1.739.659         equivalents
              Piutang pembiayaan                -           -     3.781.082     6.929.697     6.349.324   4.410.410     21.470.513    Financing receivables
              Piutang ijarah                                                                                                               Ijarah and IMBT
                 dan IMBT                       -           -        13.702       14.536        14.365         11.213       53.816         receivables
            Jumlah aset keuangan        1.739.659           -     3.794.784     6.944.233     6.363.689   4.421.623     23.263.988 Total financial assets

            Liabilitas keuangan                                                                                                        Financial liabilities
              Pinjaman yang diterima       20.787           -     1.484.229     3.724.801     2.669.140       766.903     8.665.860      Fund borrowings
              Surat berharga yang
                 diterbitkan                    -           -       614.669     1.766.466      609.510    1.730.130       4.720.775        Securities issued

            Jumlah liabilitas                                                                                                                Total financial
              keuangan                     20.787           -     2.098.898     5.491.267     3.278.650   2.497.033     13.386.635              liabilities

            Neto                        1.718.872           -     1.695.886     1.452.966     3.085.039   1.924.590       9.877.353                      Net


                                                                 31 Desember/December 2022
                                            Tingkat bunga
                                            mengambang/                         Tingkat bunga tetap/ Fixed rate
                                            Floating rate
                                       < 3 bulan/ 3-36 bulan/    < 3 bulan/   3-12 bulan/ 1-2 tahun/ > 2 tahun/          Jumlah/
                                        months        months      months        months      years      years              Total
            Aset keuangan                                                                                                                 Financial assets
                                                                                                                                            Cash and cash
              Kas dan setara kas        1.073.255           -             -             -             -           -      1.073.255         equivalents
              Piutang pembiayaan                -           -     3.481.977     6.795.767     6.035.931   4.074.014     20.387.689    Financing receivables
              Piutang ijarah                                                                                                               Ijarah and IMBT
                 dan IMBT                       -           -         1.631        2.934         2.083          1.448        8.096         receivables
            Jumlah aset keuangan        1.073.255           -     3.483.608     6.798.701     6.038.014   4.075.462     21.469.040 Total financial assets

            Liabilitas keuangan                                                                                                        Financial liabilities
              Pinjaman yang diterima       20.763      83.077     1.453.896     3.744.385     3.653.518   1.291.269     10.246.908       Fund borrowings
              Surat berharga yang
                 diterbitkan                    -           -             -       652.504      928.986              -     1.581.490        Securities issued

            Jumlah liabilitas                                                                                                                Total financial
              keuangan                     20.763      83.077     1.453.896     4.396.889     4.582.504   1.291.269     11.828.398              liabilities

            Neto                        1.052.492     (83.077)    2.029.712     2.401.812     1.455.510   2.784.193       9.640.642                      Net




402                                                                                    PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 405
   MANAGEMENT DISCUSSION                GOOD CORPORATE                                                                                     ANNUAL FINANCIAL
                                                                   SUSTAINABILITY                   SUPPORTING DATA                                                           APPENDICES
   AND ANALYSIS                         GOVERNANCE                                                                                         STATEMENTS




                                                                                                       These Consolidated Financial Statements are Originally Issued
                                                                                                                         in Indonesian Language


                                                                   Ekshibit E/87                                                                                       Exhibit E/87

        PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                                           PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
         CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                                              NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
          UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                                    FOR THE YEAR ENDED 31 DECEMBER 2023
        (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                                 (Expressed in millions of Rupiah, unless otherwise stated)

      35.   MANAJEMEN RISIKO (Lanjutan)                                                          35.      RISK MANAGEMENT(Continued)
            Proses dan penilaian risiko (Lanjutan)                                                        Process and risk assessments (Continued)
            3. Risiko Likuiditas                                                                         3. Liquidity Risk

               Risiko likuiditas merupakan risiko terkait dengan                                                Liquidity risk is the risk associated with the ability of
               kemampuan sumber dana Perusahaan untuk memenuhi                                                  the Company to meet its obligations when they fall
               liabilitasnya pada jatuh tempo.                                                                  due.

               Manajemen risiko yang diterapkan oleh Perusahaan                                                 Risk management that has been applied by the
               adalah sebagai berikut:                                                                          Company are as follows:
                Mendapatkan pinjaman dengan skedul pembayaran                                                   Obtaining borrowings with principal and interest
                  kembali pokok dan bunga yang sesuai dengan                                                        repayment schedule that aligns with the original
                  periode jatuh tempo piutang, sehingga tidak terjadi                                               maturities of receivables, in order to prevent mis-
                  mis-match.                                                                                        match.
                Menjaga agar posisi kas dan Perusahaan selalu dalam                                             Maintaining the cash and bank position of the
                  posisi likuid untuk mendukung aktivitas pembiayaan                                                Company to remain in a liquid position in
                  selama minimal 7 hari.                                                                            supporting the financing activities for at least
                                                                                                                    7 days.
                   Memonitor posisi kas dan bank Perusahaan secara                                              Monitoring the cash and bank position of the
                    periodik, baik tahunan, bulanan, mingguan maupun                                                Company in a regular basis, whether annualy,
                    harian, guna memastikan agar selalu terdapat                                                    monthly, weekly or daily, to ensure that there is
                    surplus kas yang memadai.                                                                       always sufficient cash surplus.
                   Menjaga agar jumlah piutang yang jatuh tempo pada                                            Maintaining the number of receivables due in a
                    periode tertentu lebih besar dibanding dengan utang                                             certain period higher than the debts maturing in
                    yang jatuh tempo pada periode yang sama.                                                        the same period.

               Tabel berikut ini menyajikan profil perbedaan jatuh                                              The following table presents the maturity gap profile
               tempo atas aset dan liabilitas keuangan Perusahaan pada                                          of the Company’s financial assets and liabilities as of
               tanggal 31 Desember 2023 dan 2022:                                                               31 December 2023 and 2022:

                                                                               31 Desember/December 2023
                                                 Tidak
                                               memiliki
                                                 jatuh
                                                tempo/
                                                 Don’t
                                                 have         < 1 bulan/       1-3 bulan/       >3-12 bulan/      1-3 tahun/       >3 tahun/       Jumlah/
                                               maturity         month           months            months            years            years          Total

                Aset keuangan                                                                                                                                           Financial assets
                                                                                                                                                                         Cash and cash
                   Kas dan setara kas           1.739.659               -                -                 -                -               -       1.739.659          equivalents
                   Piutang pembiayaan                   -       1.880.960        1.900.122         6.929.697        9.502.491       1.257.243      21.470.513    Financing receivables
                                                                                                                                                                       Ijarah and IMBT
                   Piutang ijarah dan IMBT                -         9.924            3.778             14.536          22.826           2.752          53.816         receivables
                   Aset derivatif                         -         3.512            7.726             39.800           5.619               -          56.657        Derivative assets
                   Piutang karyawan                       -         2.961            2.182              6.635          36.068             617          48.463   Employees receivables

                Jumlah aset keuangan            1.739.659       1.897.357        1.913.808         6.990.668        9.567.004       1.260.612      23.369.108     Total financial assets

                Liabilitas keuangan                                                                                                                                 Financial liabilities
                   Pinjaman yang diterima                 -       623.370         887.286          3.739.225        3.451.627                  -    8.701.508        Fund borrowings
                   Surat berharga
                      yang diterbitkan                    -                -      617.000          1.770.000        2.343.000                  -    4.730.000         Securities issued
                   Beban bunga yang masih                                                                                                                             Accrued interest
                      harus dibayar                       -        75.090                   -               -                  -               -       75.090            expenses
                   Utang kepada supplier                  -        81.109                   -               -                  -               -       81.109     Payable to suppliers
                                                                                                                                                                   Insurance premium
                   Utang premi asuransi                   -                -        45.288                  -                  -               -       45.288            payables

                Jumlah liabilitas keuangan                -       779.569        1.549.574         5.509.225        5.794.627                  -   13.632.995 Total financial liabilities

                Perbedaan jatuh tempo           1.739.659       1.117.788         364.234          1.481.443        3.772.377       1.260.612       9.736.113    Difference in maturity




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                                                                403
Page 406
                              2023 PERFORMANCE                                                                                                    BUSINESS
ABOUT THIS REPORT                                          REPORTS TO STAKEHOLDERS                         COMPANY PROFILE
                              HIGHLIGHTS                                                                                                          SUPPORTING UNITS




                                                                                                    These Consolidated Financial Statements are Originally Issued
                                                                                                                      in Indonesian Language


                                                               Ekshibit E/88                                                                                             Exhibit E/88

      PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                                         PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
       CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                                            NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
        UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                                  FOR THE YEAR ENDED 31 DECEMBER 2023
      (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                               (Expressed in millions of Rupiah, unless otherwise stated)

   35. MANAJEMEN RISIKO (Lanjutan)                                                            35.      RISK MANAGEMENT(Continued)
         Proses dan penilaian risiko (Lanjutan)                                                        Process and risk assessments (Continued)

         3. Risiko Likuiditas (Lanjutan)                                                               3. Liquidity Risk (Continued)
             Tabel berikut ini menyajikan profil perbedaan jatuh                                             The following table presents the maturity gap profile
             tempo atas aset dan liabilitas keuangan Perusahaan pada                                         of the Company’s financial assets and liabilities as of
             tanggal 31 Desember 2023 dan 2022: (Lanjutan)                                                   31 December 2023 and 2022: (Continued)

                                                                           31 Desember/December 2022
                                             Tidak
                                           memiliki
                                             jatuh
                                            tempo/
                                             Don’t
                                             have         < 1 bulan/       1-3 bulan/       >3-12 bulan/         1-3 tahun/       >3 tahun/          Jumlah/
                                           maturity         month           months            months               years            years             Total

             Aset keuangan                                                                                                                                                Financial assets
                                                                                                                                                                           Cash and cash
                 Kas dan setara kas         1.073.255               -                -                 -                   -               -          1.073.255          equivalents
                 Piutang pembiayaan                 -       1.682.792        1.799.185         6.795.766           9.076.297       1.033.649         20.387.689    Financing receivables
                                                                                                                                                                         Ijarah and IMBT
                 Piutang ijarah dan IMBT              -           830              801               2.934             3.019             512              8.096         receivables
                 Aset derivatif                                 2.979            9.531              42.493            48.053               -            103.056        Derivative assets
                 Piutang karyawan                     -         4.079            3.235               6.963            37.139           1.505             52.921   Employees receivables

             Jumlah aset keuangan           1.073.255       1.690.680        1.812.752         6.848.156           9.164.508       1.035.666         21.625.017     Total financial assets

             Liabilitas keuangan                                                                                                                                      Financial liabilities
                Pinjaman yang diterima                -       678.804         800.173          3.818.252           4.948.485          33.145         10.278.859        Fund borrowings
                Surat berharga
                   yang diterbitkan                   -                -                -        655.000            930.000                   -       1.585.000         Securities issued
                Beban bunga yang masih                                                                                                                                  Accrued interest
                   harus dibayar                      -        48.133                   -                -                    -               -          48.133            expenses
                Utang kepada supplier                 -        84.116                   -                -                    -               -          84.116     Payable to suppliers
                                                                                                                                                                     Insurance premium
                 Utang premi asuransi                 -                -        58.736                   -                    -               -          58.736            payables

             Jumlah liabilitas keuangan               -       811.053         858.909          4.473.252           5.878.485          33.145         12.054.844 Total financial liabilities

             Perbedaan jatuh tempo          1.073.255         879.627         953.843          2.374.904           3.286.023       1.002.521          9.570.173    Difference in maturity


         4. Risiko Operasional                                                                         4. Operational Risk
             Risiko operasional adalah risiko yang berpotensi                                                Operational risk is the risk that could potentially cause
             menyebabkan kerugian operasional karena kesalahan                                               an operating loss due to employee error whether
             karyawan baik yang disengaja maupun tidak; kegagalan                                            intentional or not; system failures and operational
             sistem dan proses operasional serta tidak berfungsinya                                          processes as well as the malfunction of the internal
             sistem pengendalian internal dalam operasional                                                  control system in the day-to-day operations.
             Perusahaan sehari-hari.
             Manajemen risiko yang diterapkan oleh Perusahaan                                                Risk management that has been applied by the
             adalah sebagai berikut:                                                                         Company are as follows:
              Menerapkan sistem yang tersentralisasi sehingga                                                Implementing a centralized system in order that
                proses bisnis dapat terkontrol secara sistem dan                                                 business processes can be controlled by the system
                dimonitor dari waktu ke waktu.                                                                   and monitored from time to time.
              Menyiapkan backup dan Disaster Recovery Plan yang                                              Preparing backup and Disaster Recovery Plan that
                memadai bila terjadi hal-hal yang tidak diinginkan                                               is sufficient whenever unexpected event or
                atas sistem aplikasi utama Perusahaan, baik dari sisi                                            condition occur towards the Company’s major
                hardware dan software.                                                                           application systems, both in terms of hardware and
                                                                                                                 software.
                   Menerapkan     sistem    audit kepatuhan      yang                                        Implementing a sustainable compliance audit
                    berkelanjutan, baik di kantor cabang maupun kantor                                           system, both in branch offices or headquarters.
                    pusat.
                   Menerapkan aturan kerja yang jelas (SOP) dan sanksi                                           Implementing a clear code of conduct (SOP) and
                    yang tegas atas penyimpangan yang terjadi, sesuai                                              strict sanctions for irregularities that occurred,
                    dengan tingkat kesalahan yang ditemukan.                                                       according to level of error identified.
                   Adanya penanaman nilai-nilai dasar Perusahaan                                                 Promoting the Company's core values to employees
                    sejak dini kepada karyawan, sehingga dapat                                                     since the early stage, in order to avoid/reduce the
                    menghindarkan/mengurangi potensi penyimpangan.                                                 potential for irregularities.
                   Adanya penilaian kinerja yang fair dan transparan                                             Fair and transparent performance appraisal and
                    serta adanya kesempatan untuk pengembangan                                                     opportunities for career development.
                    karir.




404                                                                                                 PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 407
   MANAGEMENT DISCUSSION         GOOD CORPORATE                                                          ANNUAL FINANCIAL
                                                         SUSTAINABILITY     SUPPORTING DATA                                          APPENDICES
   AND ANALYSIS                  GOVERNANCE                                                              STATEMENTS




                                                                              These Consolidated Financial Statements are Originally Issued
                                                                                                in Indonesian Language


                                                         Ekshibit E/89                                                          Exhibit E/89

        PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                    PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
         CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                       NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
          UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                             FOR THE YEAR ENDED 31 DECEMBER 2023
         (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)         (Expressed in millions of Rupiah, unless otherwise stated)

      35.   MANAJEMEN RISIKO (Lanjutan)                                    35. RISK MANAGEMENT(Continued)
            Proses dan penilaian risiko (Lanjutan)                              Process and risk assessments (Continued)

            4. Risiko Operasional (Lanjutan)                                    4. Operational Risk (Continued)

              Dalam rangka meningkatkan keamanan pusat data dan                     In order to improve data center and network security
              jaringan serta dengan semakin kompleksnya sistem                      as well as the increasingly complex information and
              informasi dan digitalisasi yang digunakan, Perusahaan                 digitalization systems used, the Company has carried
              telah melakukan berbagai identifikasi dan mitigasi risiko             out various identification and risk mitigation related
              terkait dengan Teknologi Informasi dan Digitalisasi,                  to Information Technology and Digitalization,
              antara lain sebagai berikut:                                          including the following:
                   Dibentuknya komite pengarah Teknologi Informasi                  Establishment of an Information Technology
                    (IT Steering Committee).                                            steering committee (IT Steering Committee).
                   Penetapan rencana strategis TI yang termasuk                     Determination of an IT strategic plan that includes
                    peningkatan keamanan cyber yang searah dengan                       cyber security improvement in line with the
                    rencana strategis kegiatan usaha Perusahaan.                        strategic plan of the Company's business
                                                                                        activities.
                   Standardisasi penerapan dan pengelolaan                          Standardization        of   implementation       and
                    perangkat jaringan komunikasi dan sistem data                       management of communication network devices
                    dan aplikasi; termasuk pengelolaan kewenangan                       and data systems and applications; including
                    akses sistem, dan peremajaan secara berkala.                        management of system access authority, and
                                                                                        regular renewal.
                   Penerapan pengembangan sistem aplikasi dengan                    Implementation          of    application     system
                    model Secured Software Development Life Cycle                       development using the Secured Software
                    (S-SDLC).                                                           Development Life Cycle (S-SDLC) model.
                   Pelaksanaan Penetration Test dan Vulnerability                   Implementation of Penetration Tests and
                    Assessment (VA) untuk menguji keamanan dan                          Vulnerability Assessments (VA) to test the security
                    kehandalan sistem aplikasi dan jaringan informasi                   and reliability of application systems and
                    dari potensi serangan cyber.                                        information networks from potential cyber
                                                                                        attacks.

            5. Risiko Permodalan                                                5. Capital Risk

                Tujuan Perusahaan dan entitas anaknya dalam                        The Company and its subsidiary’s objective in managing
                mengelola      permodalannya      adalah     menjaga               its capital is to keep the Company’s capability in
                kelangsungan    usaha     Perusahaan   untuk   dapat               maintaining its going concern, so the Company could
                memberikan hasil kepada pemegang saham dan manfaat                 distribute the return to shareholders, and maintain the
                kepada pemangku kepentingan lainnya, dan memelihara                optimization of capital structure to reduce the cost of
                optimalisasi struktur permodalan untuk mengurangi                  capital.
                biaya modal (cost of capital).

                Dalam rangka memelihara atau menyesuaikan struktur                 In order to maintain or adjust the capital structure, the
                permodalan, Perusahaan dapat menyesuaikan jumlah                   Company may adjust the amount of dividends paid to
                dividen yang dibayarkan kepada pemegang saham,                     shareholders, return for the results of capital to
                imbalan hasil modal kepada pemegang saham atau                     shareholders or issue new shares to reduce lending.
                menerbitkan saham baru untuk mengurangi pinjaman.

                Konsisten dengan pelaku industri lainnya, Perusahaan               Consistent with other players in the industry, the
                dan     entitas  anaknya    memonitor       permodalan             Company and its subsidiary monitor capital on the basis
                berdasarkan gearing ratio. Rasio ini dihitung dari nilai           of the gearing ratio. This ratio is calculated as net debt
                neto pinjaman (termasuk obligasi dan medium-term                   (including bonds payable and medium-terms notes)
                notes) dibagi dengan jumlah modal. Jumlah modal                    divided by total capital. Total capital is calculated as
                diambil dari ekuitas yang tercantum dalam laporan                  equity as shown in the statements of financial position.
                posisi keuangan.




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                  405
Page 408
                          2023 PERFORMANCE                                                                       BUSINESS
ABOUT THIS REPORT                                   REPORTS TO STAKEHOLDERS             COMPANY PROFILE
                          HIGHLIGHTS                                                                             SUPPORTING UNITS




                                                                                    These Consolidated Financial Statements are Originally Issued
                                                                                                      in Indonesian Language


                                                       Ekshibit E/90                                                                  Exhibit E/90

      PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                         PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
       CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                            NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
        UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                  FOR THE YEAR ENDED 31 DECEMBER 2023
      (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                (Expressed in millions of Rupiah, unless otherwise stated)

   35.   MANAJEMEN RISIKO (Lanjutan)                                           35. RISK MANAGEMENT(Continued)
         Proses dan penilaian risiko (Lanjutan)                                       Process and risk assessments (Continued)

          5. Risiko Permodalan (Lanjutan)                                             5. Capital Risk (Continued)

             Berdasarkan Peraturan Menteri Keuangan Republik                             Based on Minister of Finance of the Republic of
             Indonesia No. 84/PMK.012/2006 tanggal 26 September                          Indonesia Regulation No. 84/PMK.012/2006 dated
             2006 tentang Perusahaan Pembiayaan, juncto POJK                             26 September 2006 regarding Multifinance Company,
             35/POJK.5/2018, jumlah maksimum gearing ratio                               in     conjunction      with   OJK      Regulation
             adalah sebesar 10 kali dari total modal.                                    No.35/POJK.5/2018, the maximum gearing ratio is
                                                                                         10 times from total capital.

                                                                          Struktur Modal Perusahaan/
                                                                         Company’s Capital Structure
                                                                             31 Desember/December
             Keterangan                 PMK84/PMK.012/2006                    2023           2022                                     Description
             Modal Disetor             Minimal Rp 100 miliar/                                                                     Paid- up Capital
              (dalam miliar Rupiah)    Minimum Rp 100 billion                 399                399                          (in billion Rupiah)
             Rasio Utang Terhadap          Maksimum 10x/
              Ekuitas                       Maximum 10x                       1,4                1,4                         Debt to Equity Ratio
            Pada tanggal 31 Desember 2023 dan 2022, tingkat rasio                        As of 31 December 2023 and 2022, debt-to-equity ratio
            utang terhadap ekuitas Perusahaan masing- masing                             level of the Company was healthy at 1,4 times,
            berada pada kondisi sehat, yaitu 1.4 kali.                                   respectively.


   36. ASET DAN LIABILITAS KEUANGAN                                          36.      FINANCIAL ASSETS AND LIABILITIES

         Nilai wajar aset keuangan dan liabilitas keuangan                           Fair value of financial assets and financial liabilities
         Pada tabel berikut ini, instrumen keuangan telah                            In the following table, financial instrument have been
         dialokasikan berdasarkan klasifikasinya. Kebijakan akuntansi                allocated based on their respective. Significant accounting
         penting pada Catatan 2d menjelaskan bagaimana setiap                        policies in Note 2d describes how each category of financial
         kategori aset keuangan dan liabilitas keuangan diukur dan                   assets and financial liabilities are measured and how
         bagaimana pendapatan dan beban, termasuk keuntungan                         revenue and expenses, including gains and losses (changes
         dan kerugian (perubahan nilai wajar instrumen keuangan)                     in fair value of financial instruments) in the fair value is
         atas nilai wajar diakui.                                                    recognized.
         Pengelompokan aset keuangan telah diklasifikasikan menjadi                  The classification of financial assets has been classified as
         aset keuangan yang diukur pada nilai wajar melalui laporan                  financial assets measured at fair value through profit and
         laba rugi, dan pinjaman yang diberikan dan piutang.                         loss, and loans and receivables. So with the financial
         Demikian halnya dengan liabilitas keuangan telah                            liabilities has been classified as financial liabilities
         diklasifikasikan sebagai liabilitas keuangan yang diukur pada               measured at amortized cost.
         biaya perolehan diamortisasi.




406                                                                                 PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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   MANAGEMENT DISCUSSION               GOOD CORPORATE                                                                                           ANNUAL FINANCIAL
                                                                        SUSTAINABILITY               SUPPORTING DATA                                                               APPENDICES
   AND ANALYSIS                        GOVERNANCE                                                                                               STATEMENTS




                                                                                                            These Consolidated Financial Statements are Originally Issued
                                                                                                                              in Indonesian Language


                                                                         Ekshibit E/91                                                                                      Exhibit E/91

        PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                                            PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
         CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                                               NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
          UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                                     FOR THE YEAR ENDED 31 DECEMBER 2023
         (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)                                  (Expressed in millions of Rupiah, unless otherwise stated)

      36.    ASET DAN LIABILITAS KEUANGAN (Lanjutan)                                              36.           FINANCIAL ASSETS AND LIABILITIES (Continued)

             Nilai wajar aset keuangan dan liabilitas keuangan                                                  Fair value of financial assets and financial liabilities
             (Lanjutan)                                                                                         (Continued)

             Tabel berikut menyajikan nilai tercatat dan nilai wajar dari                                       The following table sets out the carrying value and fair
             aset keuangan dan liabilitas keuangan Perusahaan pada                                              value of financial assets and financial liabilities as of
             tanggal 31 Desember 2023 dan 2022:                                                                 31 December 2023 and 2022:
                                                                      Aset/ Assets                                    Liabilitas/ Liabilities
                                                                      Diukur pada
                                                                       nilai wajar
                                             Diukur pada                 melalui                                  Diukur pada
                                              nilai wajar             penghasilan                                  nilai wajar
                                                melalui              komprehensif                                    melalui
                                             laporan laba               lain/ Fair                                laporan laba
                                               rugi/ Fair            value through                                  rugi/ Fair
                                            value through                 other          Biaya perolehan         value through       Biaya perolehan
                                              profit and            comprehensive         diamortisasi/            profit and          diamortisasi/
            31 Desember 2023                      loss                   income          Amortized cost                loss          Amortized cost                      31 December 2023
            Aset keuangan                                                                                                                                                  Financial assets
            Kas dan setara kas                           -                           -         1.739.659                         -                      -         Cash and cash equivalents
            Piutang pembiayaan - neto                    -                           -        20.706.393                         -                      -        Financing receivables - net
            Piutang ijarah dan IMBT– neto                -                           -            52.769                         -                      - Ijarah and IMBT receivables - net
            Aset derivatif                          56.657                           -                 -                         -                      -                  Derivative assets
            Piutang lain - lain                          -                           -            48.463                         -                      -                 Other receivables
            Jumlah                                  56.657                           -        22.547.284                         -                      -                              Total
            Liabilitas keuangan                                                                                                                                         Financial liabilities
            Pinjaman yang diterima                          -                        -                      -                    -          8.665.860                       Fund borrowings
            Surat berharga
             yang diterbitkan                               -                        -                      -                    -          4.720.775                      Securities issued
            Beban akrual                                    -                        -                      -                    -            324.121                     Accrued expenses
            Utang lain-lain                                 -                        -                      -                    -            437.423                        Other payables
            Jumlah                                          -                        -                      -                    -         14.148.179                                  Total

                                                                      Aset/ Assets                                    Liabilitas/ Liabilities
                                                                      Diukur pada
                                                                       nilai wajar
                                             Diukur pada                 melalui                                  Diukur pada
                                              nilai wajar             penghasilan                                  nilai wajar
                                                melalui              komprehensif                                    melalui
                                             laporan laba               lain/ Fair                                laporan laba
                                               rugi/ Fair            value through                                  rugi/ Fair
                                            value through                 other    Biaya perolehan               value through       Biaya perolehan
                                              profit and            comprehensive    diamortisasi/                 profit and         diamortisasi/
            31 Desember 2022                      loss                   income    Amortized cost                      loss          Amortized cost                       31 December 2022
            Aset keuangan                                                                                                                                                    Financial assets
            Kas dan setara kas                            -                          -        1.073.255                          -                  -               Cash and cash equivalents
            Piutang pembiayaan - neto                     -                          -       19.554.254                          -                  -              Financing receivables - net
            Piutang ijarah dan IMBT– neto                 -                          -            7.767                          -                  -       Ijarah and IMBT receivables - net
            Aset derivatif                          103.056                          -                -                          -                  -                        Derivative assets
            Piutang lain - lain                           -                          -           52.921                          -                  -                       Other receivables
            Jumlah                                  103.056                          -       20.688.197                          -                  -                                   Total
            Liabilitas keuangan                                                                                                                                         Financial liabilities
            Pinjaman yang diterima                              -                    -                  -                        -        10.246.908                        Fund borrowings
            Surat berharga
             yang diterbitkan                                   -                    -                  -                        -         1.581.490                        Securities issued
            Beban Akrual                                        -                    -                  -                        -           479.299                       Accrued expenses
            Utang lain-lain                                     -                    -                  -                        -           489.352                         Other payables
            Jumlah                                              -                    -                  -                        -        12.797.049                                    Total




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                                                                 407
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                           2023 PERFORMANCE                                                                        BUSINESS
ABOUT THIS REPORT                                    REPORTS TO STAKEHOLDERS               COMPANY PROFILE
                           HIGHLIGHTS                                                                              SUPPORTING UNITS




                                                                                     These Consolidated Financial Statements are Originally Issued
                                                                                                       in Indonesian Language


                                                        Ekshibit E/92                                                                  Exhibit E/92

      PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                          PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
       CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                             NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
        UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                                   FOR THE YEAR ENDED 31 DECEMBER 2023
        (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)               (Expressed in millions of Rupiah, unless otherwise stated)

  36.     ASET DAN LIABILITAS KEUANGAN (Lanjutan)                              36.    FINANCIAL ASSETS AND LIABILITIES (Continued)

          Nilai wajar aset keuangan dan liabilitas keuangan                            Fair value of financial assets and financial liabilities
          (Lanjutan)                                                                   (Continued)

           Metode dan asumsi yang digunakan untuk estimasi nilai                       The following methods and assumptions are used to
           wajar adalah sebagai berikut:                                               estimate the fair value:
            Nilai wajar kas dan setara kas, deposito berjangka,                           The fair values of cash and cash equivalents, time
             beban akrual dan utang lain-lain mendekati nilai                               deposit, accrued expenses and other payables
             tercatat karena jangka waktu jatuh tempo yang singkat                          approximate their carrying amounts largerly due to
             atas instrumen keuangan tersebut.                                              short-term maturities of these instruments.
            Estimasi nilai wajar terhadap pinjaman yang diterima                          The estimated fair value of fund borrowings not
             yang tidak memiliki kuotasi di pasar aktif ditetapkan                          quoted in an active market is based on discounted cash
             berdasarkan diskonto arus kas dengan menggunakan suku                          flows using interest rates for new debts with similar
             bunga utang baru dengan sisa jatuh tempo yang serupa.                          remaining maturity. The fair value of floating rate
             Nilai wajar pinjaman yang diterima dengan tingkat suku                         fund borrowings approximate their carrying amounts
             bunga mengambang mendekati nilai tercatatnya karena                            because the interest rate is repriced frequently.
             tingkat suku bunganya sering ditinjau ulang.
            Piutang pembiayaan dan aset lain-lain dinyatakan                              Financing receivables and other assets are recorded at
             berdasarkan jumlah nilai tercatat setelah dikurangi oleh                       carrying amount net of charges for impairment. The
             beban penurunan nilai. Estimasi nilai wajar                                    estimated fair value represents the discounted amount
             mencerminkan jumlah diskonto dari estimasi kini dari                           of estimated future cash flows expected to be
             arus kas masa depan yang diharapkan akan diterima.                             received. Expected cash flows are discounted at
             Arus kas yang diharapkan didiskontokan pada tingkat                            current market rates to determine fair value.
             suku bunga pasar terkini untuk menentukan nilai wajar.
            Nilai wajar untuk aset keuangan derivatif ditetapkan                          The fair value for derivative financial assets is based
             menggunakan harga pasar.                                                       on market rates.
            Nilai wajar agregat untuk surat berharga yang                              The aggregate fair values securities issued is
             diterbitkan dihitung berdasarkan harga pasar kuotasi.                       calculated based on quoted market prices. For those
             Jika informasi ini tidak tersedia, model diskonto arus kas                  notes where quoted market prices are not available, a
             digunakan berdasarkan kurva yield terkini yang sesuai                       discounted cash flow model is used based on a current
             dengan sisa periode jatuh temponya.                                         yield curve appropriate for the remaining term of
                                                                                         maturity.
          PSAK 68, “Pengukuran Nilai Wajar” mensyaratkan                              SFAS No. 68, “Fair Value Measurement” requires disclosure
          pengungkapan atas pengukuran nilai wajar dengan tingkat                     of fair value measurements by level of the following fair
          hirarki nilai wajar sebagai berikut:                                        value measurement hierarchy:
          (a) harga kuotasian (tidak disesuaikan) dalam pasar aktif                   (a) quoted prices (unadjusted) in active markets for
              untuk aset atau liabilitas yang identik (tingkat 1);                        identical assets or liabilities (level 1);
          (b) input selain harga kuotasian yang termasuk dalam                        (b) inputs other than quoted prices included within level 1
              tingkat 1 yang dapat diobservasi untuk aset atau                            that are observable for the asset or liability, either
              liabilitas, baik secara langsung (misalnya harga) atau                      directly (as prices) or indirectly (derived from prices)
              secara tidak langsung (misalnya derivasi dari harga)                        (level 2); and
              (tingkat 2); dan
          (c) input untuk aset atau liabilitas yang bukan berdasarkan                 (c) inputs for the asset or liability that are not based on
              data pasar yang dapat diobservasi (input yang tidak                         observable market data (unobservable inputs)
              dapat diobservasi) (tingkat 3).                                             (level 3).

          Aset keuangan Perusahaan yang diukur dan diakui pada nilai                  The Company’s financial assets that are measured and
          wajar (tingkat 2) adalah aset keuangan derivatif.                           recognised at fair value (level 2) are derivative financial
                                                                                      assets.




408                                                                                  PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 411
   MANAGEMENT DISCUSSION          GOOD CORPORATE                                                                  ANNUAL FINANCIAL
                                                           SUSTAINABILITY         SUPPORTING DATA                                              APPENDICES
   AND ANALYSIS                   GOVERNANCE                                                                      STATEMENTS




                                                                                   These Consolidated Financial Statements are Originally Issued
                                                                                                     in Indonesian Language


                                                           Ekshibit E/93                                                                 Exhibit E/93

        PT BFI FINANCE INDONESIA Tbk DAN ENTITAS ANAKNYA                      PT BFI FINANCE INDONESIA Tbk AND ITS SUBSIDIARY
         CATATAN ATAS LAPORAN KEUANGAN KONSOLIDASIAN                         NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
          UNTUK TAHUN YANG BERAKHIR 31 DESEMBER 2023                               FOR THE YEAR ENDED 31 DECEMBER 2023
        (Dinyatakan dalam jutaan Rupiah, kecuali dinyatakan lain)             (Expressed in millions of Rupiah, unless otherwise stated)

      37. RASIO KEUANGAN YANG RELEVAN                                       37.      RELEVANT FINANCIAL RATIOS

           Berdasarkan     POJK     No.   35/POJK.05/2018     tanggal                Based on POJK No.35/POJK.05/2018 dated 31 December
           31 Desember 2018 tentang Penyelenggaraan Usaha                            2018 regarding the Organisation of Financing Company
           Perusahaan Pembiayaan, Perusahaan diharuskan untuk                        Business, the Company is required to comply with several
           mematuhi sejumlah rasio keuangan tertentu. Rasio-rasio ini                financial ratios. These ratios have been prepared by the
           dibuat oleh Perusahaan berdasarkan formula sebagaimana                    Company based on the formula as prescribed in the said
           ditentukan dalam peraturan OJK untuk tujuan kepatuhan                     OJK regulation for regulatory compliance purposes, where
           terhadap peraturan, dimana rasio tersebut dapat berbeda                   such ratios may differ had the ratios been computed based
           jika rasio tersebut dihitung berdasarkan Standar Akuntansi                on Indonesian Financial Accounting Standards.
           Keuangan Indonesia
           Tabel berikut menyajikan rasio–rasio keuangan Perusahaan                  The following table sets out the Company financial ratios
           berdasarkan peraturan OJK pada tanggal 31 Desember 2023                   based on OJK Regulation as of 31 December 2023 and 2022:
           dan 2022:

                                                            Ketentuan
                                                            OJK/POJK        31 Desember /December
            No.   Rasio                                    Requirement       2023          2022                                                Ratio
             1    Rasio Saldo Piutang Pembiayaan                                                                            Financing-to-Assets Ratio
                  Neto terhadap Total Aset                       >= 40%      86,53%             89,20%                                          (FAR)
             2    Rasio Saldo Piutang Pembiayaan
                  Neto terhadap Total Pinjaman                   >= 50%*    155,07%             165,38%                       Financing to Debt Ratio
             3    Rasio Saldo Piutang Pembiayaan
                  Investasi dan Pembiayaan Modal                                                                            Investment and Working
                  Kerja terhadap Total Saldo Piutang                                                                       Capital Financing to Total
                  Pembiayaan                                     >= 10%      78,57%             76,86%                                Financing Ratio
             4    Rasio Piutang Pembiayaan
                  Bermasalah (Non-Performing                                                                               Non-Performing Financing
                  Financing)- bruto                              <= 5%       1,36%                  1,00%                              Ratio - gross
             5    Rasio Piutang Pembiayaan
                  Bermasalah (Non-Performing                                                                               Non-Performing Financing
                  Financing) - neto                              <= 5%       0,15%               0,38%                                    Ratio - net
             6    Rasio Permodalan                               >= 10%      65,03%             62,63%                                 Capital Ratio
             7    Gearing Ratio                                  <= 10 x     1,41 x             1,35 x                                 Gearing Ratio
             8    Rasio Modal Sendiri terhadap                                                                             Equity-to-Paid-up-Capital
                  Modal Disetor (MSMD)                           >= 50%     2379,84%           2193,49%                                        Ratio
           * Target yang ditetapkan manajemen sesuai ketentuan                                      The target set by management is in accordance with *
             POJK No.35/POJK.05/2018                                                                                        POJK No.35/POJK.05/2018




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                      2023 PERFORMANCE                                                              BUSINESS
 ABOUT THIS REPORT                           REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                      HIGHLIGHTS                                                                    SUPPORTING UNITS




 SUMMARY REPORT OF THE SUSTAINABLE
 FINANCIAL ACTION PLAN (RAKB)
 PT BFI FINANCE INDONESIA Tbk

 Background                              Sustainable Finance                                •   Finance Director concurrently
                                                                                                serving as Corporate
 •    Presidential Regulation            Mission                                                Secretary as the person in
      No. 59/2017 on
                                         Capable of carrying out business                       charge and daily supervisor
      Implementation of the
                                         activities in a sustainable manner,                    in the implementation
      Achievement of Sustainable
                                         supporting the development                             of Sustainable Finance in
      Development Goals;
                                         of entrepreneurs in the low- to                        the Company;
 •    POJK No. 51/POJK.03/2017           middle-income groups to boost                      •   Corporate Compliance
      on Implementation of               the local economy and social                           Unit tasked with providing
      Sustainable Finance for            welfare by being always mindful                        assistance and direction to
      Financial Services Institutions,   of environmental impacts                               the President Director and
      Issuers, and Public Companies;
                                                                                                Finance Director concurrently
      and                                Sustainable Finance                                    serving as the Corporate
 •    Company strategy and policies      Goals                                                  Secretary in their duties and
      regarding Sustainability.                                                                 responsibilities to carry out the
                                         The Company strives to provide
                                                                                                primary and daily supervision
 Sustainable Finance                     various financing products
                                                                                                of the implementation of
                                         that are able to support the
 Vision                                                                                         Sustainable Finance in the
                                         enhancement of community
                                                                                                Company, based on GCG
 To become a multifinance                business activities and carry out
                                                                                                principles; and
 company that is always at               business processes that always
 the forefront of the non-bank           take sustainable development                       •   Three work units under the
 financial industry by upholding         into account and support                               supervision of the Finance
 its commitment to becoming a            environmental sustainability for                       Director concurrently
 trusted partner in the public’s         the period 2021–2025.                                  serving as Corporate
 financial solutions, paying                                                                    Secretary who assists the
 attention to the balance of             Governance Structure                                   duties and responsibilities
 achieving economic, social, and                                                                of the Director(s) concerned
                                         •     President Director as
 environmental sustainability,                                                                  in implementing the
                                               the main person in
 to support sustainable                                                                         work programs related to
                                               charge and supervisor in
 development of the nation and                                                                  Sustainable Finance in the
                                               the implementation of
 improve the living standards of                                                                Company, namely:
                                               Sustainable Finance in
 the community wherever the                    the Company;                                     o   Corporate Regulatory
 Company operates                                                                                   Compliance;
                                                                                                o   CSR; and
                                                                                                o   Corporate Communication.




416                                                                    PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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   MANAGEMENT DISCUSSION      GOOD CORPORATE                                                         ANNUAL FINANCIAL
                                                      SUSTAINABILITY          SUPPORTING DATA                                  APPENDICES
   AND ANALYSIS               GOVERNANCE                                                             STATEMENTS




   Programs and Goals




                                               BFI Sustainable Development (BUILD)



                 2021                   2022                           2023                     2024                    2025




                Eco-friendly Office                  Growth and Development                                Entepreneurial
                   and Culture                           of SMEs Quality                                     Financing



                                                      Financing Digitalization




   2024 Activity Targets                         •   Continuous development                      •     Development of employee
                                                     of business activation and                        capability and competence
   The Rencana Aksi Keuangan                         marketing activities for                          to be accustomed to the new
   Berkelanjutan (RAKB), or the                      various financing products                        ways of working based on
   Sustainable Finance Action                        and services geared for the                       BFI New Mindset and agile
   Plan, was submitted to OJK in                     public, to deliver customer                       approach;
   December 2023. It consisted of                    satisfaction;                               •     Judicious and efficient use
   short-term (1-year) and long-
                                                 •   Development of digitally-                         of natural resources, and
   term (5-year) action plans for
                                                     empowered operational and                         nurturing of a clean and
   implementing Sustainable
                                                     risk management systems;                          healthy working environment;
   Finance within the period
   2021–2025.                                    •   Corporate communications                    •     Community engagement
                                                     related to sustainable finance,                   focused on supporting the
   Broadly, the activity targets                     including the publication of                      capacity development of
   included in the short-term action                 2023 Sustainable Finance                          MSMEs while highlighting
   plan in 2024 include:                             evaluation and performance                        their business characteristics;
   •   Continuation of the digital                   report;                                     •     CSR programs focusing on
       transformation process to
       augment the business scale;




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                            417
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                      2023 PERFORMANCE                                                             BUSINESS
 ABOUT THIS REPORT                           REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                      HIGHLIGHTS                                                                   SUPPORTING UNITS




      environmental sustainability       •     Enhancement of Telesales                     •   Comprehensive digitalization
      and guided by the 2030 SDGs              performance to reduce cost                       of HC management processes;
      commitment as agreed upon                and improve productivity;                    •   Automation of processes to
      by the management and the          •     Balancing of growth between                      optimize SLA and productivity
      BOD, namely, development                 NDF and non-NDF products;                        using new systems;
      of the education sector
                                         •     Attainment of all financial                  •   Streamlining of front office
      (scholarships and financial
                                               targets for 2024, especially                     through digitalization to boost
      literacy programs for MSMEs),
                                               cost-to-income ratio below                       customer experience;
      health sector, access to clean
                                               50%;                                         •   Availability of policies
      water and sanitation, and
      partnership with various           •     Establishment of a robust                        and standard operating
      parties outside of the                   funding capabilities at                          procedures relevant to
      Company to achieve the goals;            competitive cost;                                the Company’s latest
      and                                •     Enhancement of financing                         developments and in keeping
                                               application approval process                     with the regulatory updates
•     Accountable and timely
                                               and quality of financing                         from authorities in the
      evaluation of the Company’s
                                               customers;                                       multifinance industry; and
      Sustainable Finance
      implementation performance         •     Strengthening of internal                    •   Enhancement of GCG best
      and its reporting to the                 control process and                              practices (including ESG)
      stakeholders.                            accountability; and                              to maintain BFI Finance’s
                                                                                                positive image and reputation
With respect to the business, the        •     Comprehensive improvement
                                                                                                in the eyes of stakeholders.
targets to be achieved in 2024                 of the collection system.
include:                                 On the business supporting side,
•     Enhancement of partnerships        the targets for 2024 cover:
      as a new business acquisition
      channel;
•     Optimization of the agency
      platform to boost agents’
      selling capacity and
      productivity;




418                                                                    PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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   MANAGEMENT DISCUSSION      GOOD CORPORATE                                                ANNUAL FINANCIAL
                                                    SUSTAINABILITY      SUPPORTING DATA                           APPENDICES
   AND ANALYSIS               GOVERNANCE                                                    STATEMENTS




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   Stakeholder Group: (please tick the relevant box

         Shareholder/Investor                                           Government Agency
         Customer                                                       Media
         Employee                                                       Public
         Business Partner                                               Others (please specify): _____________________

   Questionnaire
    No.                                        Statement                                             Yes           No
     1     The contents of this report are easy to comprehend.
     2     The contents of this report are useful to you in obtaining information and
           making decisions.
     3     The contents of this report have described the Company’s sustainable
           performance in a good, accurate, and balanced fashion.
     4     This report contains information related to various aspects of
           sustainability that you deem important to obtain.
     5     This report has been presented in a well-designed, highly legible, and
           carefully organized layout.
     6     Were there any sustainability aspects that you wish to know more from the Company that were not
           covered in this report? If yes, please specify these aspects.




     7     Aspects that you wish to be discussed in greater depth in the subsequent reports are:




   Thank you for your time in filling out this                       PT BFI Finance Indonesia Tbk
   Feedback Form.                                                    BFI Tower, Sunburst CBD Lot 1.2
                                                                     Jl. Kapt. Soebijanto Djojohadikusumo
   Please send this Feedback Form either physically
                                                                     BSD City – Tangerang Selatan 15322
   or electronically to::
                                                                     Indonesia
                                                                     Email: corporate.communication@bfi.co.id



                                 This form is also accessible at: https://forms.gle/CKcLRWobHX7TiX5M6




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ABOUT THIS REPORT                                 REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                       HIGHLIGHTS                                                                      SUPPORTING UNITS




CROSS REFERENCE
SEOJK NO. 16/SEOJK.04/2021
 Form and Content of Annual Reports of Issuers or Public Companies



                                                         Description                                                        Page

 1                  The Annual Report shall at least contain:

      a             key financial highlights

      b             stock information (if any)

      c             report of the Board of Directors

      d             report of the Board of Commissioners

      e             profile of the Issuer or Public Company

      f             management discussion and analysis                                                                       √

      g             corporate governance of the Issuer or Public Company

      h             social and environmental responsibility of the Issuer or Public Company

      i             audited financial statements for the year

      j             statement of members of the Board of Directors and members of the Board of Commissioners
                    regarding their responsibility for the Annual Report



 2                  Details of the Annual Report Content

      a             Key Financial Highlights
                    Summary of important financial data including financial information presented in the form of
                    a comparison for 3 (three) financial years or since starting the business if the Issuer or Public
                    Company has carried out its business activities for less than 3 (three) years, at least containing:"

            1       revenue/sales

            2       gross profit

            3       profit (loss)

            4       profit (loss) attributable to owners of the parent and non-controlling interests

            5       total comprehensive profit (loss)

            6       total comprehensive profit (loss) attributable to owners of the parent and non-controlling
                    interests

            7       profit (loss) per share
                                                                                                                           16-17
            8       total assets

            9       total liabilities

            10      total equity

            11      return on assets

            12      return on equity

            13      net profit margin

            14      current ratio

            15      liabilities to equity ratio

            16      liabilities to assets ratio

            17      other information and financial ratios relevant to the Issuer or Public Company and the type of
                    industry




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                                                           SUSTAINABILITY        SUPPORTING DATA                                   APPENDICES
   AND ANALYSIS                    GOVERNANCE                                                              STATEMENTS




                                                               Description                                                            Page

         b                 Stock Information                                                                                         18-19

                           Information on the stock of the Public Company shall at least contain:

              1            shares that have been issued for each quarterly period presented in the form of a comparison for
                           the last 2 (two) financial years, containing at least:

                   a       number of shares outstanding
                                                                                                                                     18-19
                   b       market capitalization based on the price on the stock exchange where the shares are listed

                   c       highest, lowest, and closing prices based on the stock exchange where the shares are listed

                   d       volume of trading on the stock exchange where the shares are listed

                           Information in points b), c), and d) is only disclosed if the shares are listed on the stock exchange

              2            in the event of a corporate action that causes changes in shares, such as stock splits, reverse
                           stock, stock dividends, bonus shares, changes in the par value of shares, issuance of convertible
                           securities, as well as capital additions and deductions, the share information as referred to in
                           number 1) shall at least include an explanation regarding:

                   a       date of implementation of corporate action

                   b       stock split ratio, reverse stock, stock dividends, bonus shares, number of convertible securities           19
                           issued, and changes in the par value of the shares

                   c       number of shares outstanding prior to and after the corporate action

                   d       number of convertible securities executed (if any)

                   e       share price before and after corporate action

              3            in the event of a temporary suspension of trading and/or delisting of shares in the financial year,
                                                                                                                                    NA (19)
                           the reasons for such suspension and/or delisting shall be provided

              4            in the event that the temporary suspension of trading as referred to in number 3) and/or the
                           process of delisting of the shares is ongoing until the end of the Annual Report period, the
                                                                                                                                    NA (19)
                           actions taken to resolve the temporary suspension of trading and/or delisting of the shares must
                           be detailed



         c                 Report of the Board of Directors                                                                          38-41

              1            The Board of Directors' report shall at least contain a brief description of:

                   a       the Issuer or Public Company's strategic strategies and policies                                           39

                   b       roles of the Board of Directors in formulating strategies and strategic policies of the Issuer or
                                                                                                                                      39
                           Public Company

                   c       processes carried out by the Board of Directors to ensure the implementation of the Issuer or
                                                                                                                                     39-40
                           Public Company's strategy

                   d       comparison between the results achieved with those targeted by the Issuer or Public Company               40-41

                   e       constraints faced by the Issuer or Public Company                                                          39

              2            overview of the business prospects of the Issuer or Public Company                                         41

              3            implementation of governance in the Issuer or Public Company                                              40-41



         d                 Report of the Board of Commissioners                                                                      32-35

                           The Board of Commissioners' report shall at least contain a brief description of:

              1            assessment of the performance of the Board of Directors regarding the management of the
                           Issuer or Public Company, including the supervision of the Board of Commissioners in the
                                                                                                                                     33-34
                           formulation and implementation of the strategy of the Issuer or Public Company carried out by
                           the Board of Directors

              2            views on the business prospects of the Issuer or Public Company prepared by the Board of
                                                                                                                                      35
                           Directors

              3            views on the implementation of governance in the Issuer or Public Company                                 34-35




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 ABOUT THIS REPORT                                   REPORTS TO STAKEHOLDERS          COMPANY PROFILE
                            HIGHLIGHTS                                                                       SUPPORTING UNITS




                                                             Description                                                              Page

       e                 Issuer or Public Company's Profile                                                                         46-101

                         The profile of the Issuer or Public Company shall contain at least the following information:

             1           name of the Issuer or Public Company, including whether there has been a change of name, the
                                                                                                                                      48
                         reason for the change, and the effective date of the name change in the financial year

             2           access to the Issuer or Public Company including branch offices or representative offices that
                         allow the public to obtain information about the Issuer or Public Company, including:

                     a   address
                                                                                                                                      49
                     b   phone number

                     c   e-mail address

                     d   website

             3           brief history of the Issuer or Public Company                                                               52–55

             4           vision and mission of the Issuer or Public Company as well as the corporate culture or values               50–51

             5           business activities according to the latest articles of association, business activities carried out in
                                                                                                                                     59–61
                         the financial year, and types of goods and/or services produced

             6           the operational area of ​​the Issuer or Public Company                                                      62–63

             7           the organizational structure of the Issuer or Public Company in the form of a chart, at least up to
                         a structure of 1 (one) level below the Board of Directors including committees under the Board
                                                                                                                                     64–65
                         of Directors (if any) and committees under the Board of Commissioners, alongside the names
                         and positions

             8           list of memberships in industry associations both on a national and international scale related to
                                                                                                                                      48
                         the implementation of sustainable finance

             9           profile of the Board of Directors, at least containing:

                     a   name and position in accordance with the duties and responsibilities

                     b   latest photo

                     c   age

                     d   citizenship

                     e   education history and/or certification

                     f   work experience, including information on:

                         (1) the legal basis for appointment as a member of the Board of Directors of the Issuer or Public         73–76, 194
                         Company
                         (2) concurrent positions, either as a member of the Board of Directors, a member of the Board
                         of Commissioners, and/or a member of committees and other positions both inside and outside
                         the Issuer or Public Company
                         In the event that a member of the Board of Directors does not have concurrent positions, then
                         this shall be disclosed
                         (3) work experience and period of time both inside and outside the Issuer or Public Company"

                     g   affiliation with other members of the Board of Directors, members of the Board of
                         Commissioners, majority shareholders, and controlling shareholders, either directly or indirectly,
                         to individual owners, including names of the affiliated parties
                         In the event that a member of the Board of Directors does not have an affiliated relationship, the
                         Issuer or Public Company shall disclose this matter

                     h   changes in the composition of the members of the Board of Directors and reasons for such
                         changes
                                                                                                                                      73
                         In the event of no change in the composition of the members of the Board of Directors, this
                         shall be disclosed"

             10          profile of the Board of Commissioners, at least containing:

                     a   name and position

                     b   latest photo
                                                                                                                                   68–72, 184
                     c   age

                     d   citizenship

                     e   education history and/or certification




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                                                           SUSTAINABILITY       SUPPORTING DATA                                  APPENDICES
   AND ANALYSIS                    GOVERNANCE                                                          STATEMENTS




                                                               Description                                                          Page

                   f       work experience, including information on:
                           (1) the legal basis for appointment as a member of the Board of Commissioners of the Issuer or
                           Public Company
                           (2) the legal basis for initial appointment as an independent member of the Board of
                           Commissioners of the Issuer or Public Company
                           (3) concurrent positions, either as a member of the Board of Commissioners, a member of the
                           Board of Directors, and/or a member of committees and other positions both inside and outside
                           the Issuer or Public Company
                           In the event that a member of the Board of Commissioners does not have concurrent positions,          68–72, 184
                           then this shall be disclosed
                           (4) work experience and period of time both inside and outside the Issuer or Public Company

                   g       "affiliation with other members of the Board of Commissioners, members of the Board of
                           Directors, majority shareholders, and controlling shareholders, either directly or indirectly, to
                           individual owners, including names of the affiliated parties
                           In the event that a member of the Board of Commissioners does not have an affiliated
                           relationship, the Issuer or Public Company shall disclose this matter
                           "

                   h       statement of independence of the independent commissioner(s) should the independent
                                                                                                                                  185–186
                           commissioner(s) have served more than 2 (two) terms

                   i       "changes in the composition of the members of the Board of Commissioners and reasons for
                           such changes
                                                                                                                                    68
                           In the event of no change in the composition of the members of the Board of Commissioners,
                           this shall be disclosed"

              11           in the event that there is a change in the composition of the members of the Board of Directors
                           and/or members of the Board of Commissioners that occurs after the financial year ends, up
                           to the deadline for submitting the Annual Report, the compositions presented in the Annual               NA
                           Report are the current and previous compositions of the members of the Board of Directors
                           and/or members of the Board of Commissioners

              12           "number of employees by gender, position, age, education level, and employment status
                           (permanent/contract) in the financial year                                                              66–67
                           This information can be presented in tabulated format"

              13           names of shareholders and percentages of ownership at the beginning and end of the financial
                                                                                                                                   92–93
                           year, consisting of the following information regarding:

                   a       shareholders who own 5% (five percent) or more shares of the Issuer or Public Company                   92–93

                   b       "members of the Board of Directors and members of the Board of Commissioners who own
                           shares in the Issuer or Public Company
                                                                                                                                    92
                           In the event that all members of the Board of Directors and/or all members of the Board of
                           Commissioners do not own shares, this shall be disclosed"

                   c       "public shareholders, namely shareholders who each own less than 5% (five percent) of the
                           shares of the Issuer or Public Company                                                                   93
                           This information can be presented in tabulated format"

              14           "percentage of indirect ownership of the shares of the Issuer or Public Company by members
                           of the Board of Directors and members of the Board of Commissioners at the beginning and
                           end of the financial year, including the shareholders registered in the shareholder register for
                           indirect ownership of interests by members of the Board of Directors and members of the Board
                                                                                                                                  NA (92)
                           of Commissioners
                           In the event that all members of the Board of Directors and/or all members of the Board of
                           Commissioners do not have indirect ownership of the shares of the Issuer or Public Company,
                           this shall be disclosed"

              15           number of shareholders and the percentage of ownership at the end of the financial year,
                           classified by:

                   a       local institutional ownership
                                                                                                                                    93
                   b       foreign institutional ownership

                   c       local individual ownership

                   d       foreign individual ownership

              16           information regarding the majority and controlling shareholders of the Issuer or Public
                           Company, either directly or indirectly, down to the individual owners, presented in the form of a        94
                           scheme or chart

              17           "names of subsidiaries, associated entities, joint ventures in which the Issuer or Public Company
                           has joint control of the entities (if any), along with the percentages of share ownership, lines
                           of business, total assets, and operating status of the subsidiaries, associated entities, and joint     87–91
                           ventures
                           For subsidiaries, their addresses must be provided"




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ABOUT THIS REPORT                                     REPORTS TO STAKEHOLDERS           COMPANY PROFILE
                           HIGHLIGHTS                                                                       SUPPORTING UNITS




                                                              Description                                                           Page

            18          chronology of share listing, number of shares, par value, and offering price from the beginning
                        of listing to the end of the financial year as well as the name of the stock exchange where the
                        shares of the Issuer or Public Company are listed, including events of stock splits, reverse stock,        95–96
                        stock dividends , bonus shares, and changes in the par value of shares, issuance of convertible
                        securities, capital additions and subtractions (if any)

            19          information on the listing of securities other than those referred to in number 18), which have
                        not matured in the financial year, at least containing the names of the securities, issuance year,         98–99
                        interest rate/yield, maturity date, offering value, and ratings (if any)

            20          information on the procurement of services from public accountants and public accounting
                        firms along with their networks/associations/alliances, including:

                    a   names and addresses

                    b   assignment periods

                    c   information on audit and/or non-audit services rendered
                                                                                                                                    100
                    d   audit and/or non-audit fee for each assignment performed during the financial year

                    e   "In the event that the appointed public accountants and public accounting firms and their
                        networks/associations/alliances did not provide non-audit services, this shall be disclosed
                        Disclosure of information on the procurement of services from public accountants and public
                        accounting firms along with their networks/associations/alliances can be presented in tabulated
                        format"

            21          names and addresses of capital market supporting institutions and/or professions other than
                                                                                                                                    101
                        the public accountants and public accounting firms



      f                 Management Analysis and Discussion                                                                        114–165

                        Management's analysis and discussion contains analysis and discussion of financial statements
                        and other important information with an emphasis on material changes that occurred in the
                        financial year, which at least contains:

            1           review of operations for each business segment, according to the type of industry of the Issuer
                        or Public Company, at least regarding:

                    a   production, which includes the process, capacity, and developments thereof                                120–127,
                                                                                                                                  135–155
                    b   revenue/sales

                    c   profitability

            2           comprehensive financial performance, which includes a comparison of financial performance
                        in the last 2 (two) financial years, an explanation of the causes of the changes and the impact of        135–155
                        these changes, at least regarding:

                    a   current assets, non-current assets, and total assets                                                      132–142

                    b   current liabilities, non-current liabilities, and total liabilities                                       142–145

                    c   equity                                                                                                    145–146

                    d   revenue/sales, expenses, profit (loss), other comprehensive income, and total comprehensive
                                                                                                                                  148–154
                        profit (loss)

                    e   cash flows                                                                                                  154

            3           ability to pay debts or obligations, by presenting the calculations for the relevant ratios               155–156

            4           collectibility of the Issuer or Public Company's receivables, by presenting the calculations for the
                                                                                                                                    156
                        relevant ratios

            5           capital structure and management policy on the capital structure along with the basis for
                                                                                                                                    159
                        determining such policy

            6           discussion of material commitments for capital goods investments, with the explanation
                        containing at least:

                    a   purposes of commitments

                    b   expected sources of funding to fulfill such commitments                                                   159–160

                    c   currencies in which such commitments are denominated

                    d   measures planned by the Issuer or Public Company to take to protect against the risk arising
                        from the related foreign currency positions




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                                                            SUSTAINABILITY       SUPPORTING DATA                                APPENDICES
   AND ANALYSIS                     GOVERNANCE                                                          STATEMENTS




                                                                 Description                                                       Page

              7            discussion of capital goods investments realized in the last financial year, containing at least:

                   a       types of capital goods investments
                                                                                                                                 159–160
                   b       purposes of capital goods investments

                   c       amounts disbursed in capital goods investments

              8            material information and facts occurring after the date of the accountant's report (if any)          NA (160)

              9            business prospects of the Issuer or Public Company related to the conditions in the relevant
                           industry, the general economy, and the international market, accompanied by supporting                  165
                           quantitative data from reliable sources

              10           comparison between the target/projection at the beginning of the financial year with the results
                           achieved, regarding:

                   a       revenue/sales
                                                                                                                                   158
                   b       profit (loss)

                   c       capital structure or

                   d       other matters deemed important to the Issuer or Public Company

              11           targets/projections to be achieved by the Issuer or Public Company for the next 1 (one) year,
                           regarding:

                   a       revenue/sales

                   b       profit (loss)                                                                                           165
                   c       capital structure

                   d       dividend policy or

                   e       other matters deemed important to the Issuer or Public Company

              12           marketing aspects of the goods and/or services of the Issuer or Public Company, at least              110–113,
                           regarding marketing strategy and market share                                                         128–131

              13           description of dividends for the last 2 (two) financial years, at least containing:

                   a       dividend policy, which includes information on the ratio of dividends to net income

                   b       cash dividend payment date and/or non-cash dividend distribution date

                   c       amount of dividend per share (cash and/or non-cash)                                                     160
                   d       amount of dividends disbursed per year

                           "This information can be presented in tabulated format
                           In the event that the Issuer or Public Company did not distribute dividends in the last 2 (two)
                           years, this shall be disclosed"

              14           realization of the use of public offering proceeds, by taking into consideration the following:

                   a       in the event that during the financial year the Issuer has an obligation to submit a report on
                           the realization of the use of proceeds, then the realization of the cumulative use of the public
                           offering proceeds shall be disclosed up to the end of the financial year                                161

                   b       in the event of a change in the use of proceeds, as stipulated in the Regulation of the Financial
                           Services Authority regarding the report on the realization of the use of public offering proceeds,
                           the Issuer shall explain such change

              15           material information (if any), among others regarding investments, expansions, divestments,
                           business mergers/consolidations, acquisitions, debt/capital restructurings, material transactions,
                           affiliated transactions, and transactions with conflict of interest which occurred during the
                           financial year, containing at least:

                   a       dates, values, and objects of the transactions
                                                                                                                                   161
                   b       names of parties conducting the transactions

                   c       nature of the affiliations (if any)

                   d       explanation of the fairness of the transactions

                   e       compliance with related provisions




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                           HIGHLIGHTS                                                                       SUPPORTING UNITS




                                                            Description                                                           Page

                    f   in the event that there is an affiliation relationship, in addition to disclosing the information as
                        referred to in letters a) to e) above, the Issuer or Public Company also shall disclose the following:

                        (1) a statement from the Board of Directors that the affiliated transactions have undergone
                        adequate procedures to ensure that affiliated transactions have been carried out in accordance
                        with generally accepted business practices, among others, by complying with the arms-length
                        principle

                        (2) the roles of the Board of Commissioners and the audit committee in undertaking the
                        adequate procedures to ensure that the affiliated transactions have been carried out in
                        accordance with generally accepted business practices, among others, by complying with the
                        arms-length principle

                    g   for affiliated transactions or material transactions that are business activities carried out in order
                        to generate business revenue and are carried out regularly, repeatedly, and/or continuously, an
                        explanation shall be added that the affiliated transactions or material transactions are related           161
                        to business activities carried out in order to generate business revenue and are carried out
                        regularly, repeatedly, and/or continuously

                        In the event that the affiliated transactions or material transactions have been disclosed in the
                        annual financial statements, an information regarding the reference to such disclosure in the
                        annual financial statements shall be provided

                    h   for disclosure of affiliated transactions and/or conflict of interest transactions resulting from the
                        implementation of affiliated transactions and/or conflict of interest transactions that have been
                        approved by independent shareholders, additional information regarding the date of the GMS
                        which approved the affiliated transactions and/or transactions with conflict of interest shall be
                        provided

                    i   in the event of no affiliated transaction and/or transaction with conflict of interest, this shall be
                        disclosed

            16          changes in the laws and regulations that bear a significant effect on the Issuer or Public
                                                                                                                                   162
                        Company and their impact on the financial statements (if any)

            17          changes in accounting policies, the reasons for such changes, and their impact on the financial
                                                                                                                                   163
                        statements (if any)



      g                 Governance of the Issuer or Public Company                                                               166–257

                        Details on the governance of the Issuer or Public Company must contain at least a brief
                        explanation on:

            1           GMS, at least regarding:                                                                                 176–180

                    a   Resolutions of the GMS in the financial year and 1 (one) year prior to the financial year, including:

                        (1) resolutions of the GMS in the financial year and 1 (one) year before the financial year that were
                        implemented in the financial year

                        (2) resolutions of the GMS in the financial year and 1 (one) year before the financial year that         178–180
                        were not implemented along with the reasons for not implementing them

                    b   in the event that the Issuer or Public Company uses an independent party at the GMS to
                        calculate the votes, then this matter shall be disclosed

            2           Board of Directors, at least regarding:                                                                  190–206

                    a   "Duties and responsibilities of each member of the Board of Directors
                                                                                                                                 192–193
                        This information shall be described and may be presented in tabulated format"

                    b   statement that the Board of Directors has guidelines or charter of the Board of Directors                  192

                    c   "policy and implementation of the frequency of meetings of the Board of Directors, meetings
                        of the Board of Directors with the Board of Commissioners, and the level of attendance of
                        members of the Board of Directors in these meetings including attendance at the GMS
                                                                                                                                 203–206
                        Level of attendance of members of the Board of Directors in meetings of the Board of Directors,
                        meetings of the Board of Directors with the Board of Commissioners, or the GMS, can be
                        presented in tabulated format"

                    d   training and/or competence development for members of the Board of Directors:

                        (1) policy on training and/or competence development for members of the Board of Directors,
                        including an orientation program for newly appointed members of the Board of Directors (if
                                                                                                                                   196
                        any) and

                        (2) training and/or competence development programs attended by members of the Board of
                        Directors in the financial year (if any)




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                                                          SUSTAINABILITY       SUPPORTING DATA                                    APPENDICES
   AND ANALYSIS                    GOVERNANCE                                                         STATEMENTS




                                                              Description                                                             Page

                   e       The Board of Directors' assessment of the performance of the committees that support the
                           implementation of the duties of the Board of Directors in the financial year shall at least contain:

                           1) performance appraisal procedure

                           2) criteria used, such as performance achievements during the financial year, competence and             197–201
                           attendance at meetings

                   f       in the event that the Issuer or Public Company does not have a committee that supports the
                           implementation of the duties of the Board of Directors, then this shall be disclosed

              3            The Board of Commissioners, at least regarding:                                                          181–189

                   a       duties and responsibilities of the Board of Commissioners                                                  181

                   b       statement that the Board of Commissioners has guidelines or charter of the Board of
                                                                                                                                      183
                           Commissioners

                   c       "policy and implementation of the frequency of meetings of the Board of Commissioners,
                           meetings of the Board of Commissioners with the Board of Directors, and the level of
                           attendance of members of the Board of Commissioners in these meetings, including
                           attendance at the GMS                                                                                   203–204
                           Level of attendance of members of the Board of Commissioners at the meeting of the Board of
                           Commissioners, the meeting of the Board of Commissioners with the Board of Directors, or the
                           GMS can be presented in tabulated format"

                   d       training and/or competence development for members of the Board of Commissioners:

                           (1) policy on training and/or competence development for members of the Board of
                           Commissioners, including an orientation program for newly appointed members of the Board of
                                                                                                                                      188
                           Commissioners (if any)

                           (2) training and/or competence development programs attended by members of the Board of
                           Commissioners in the financial year (if any)

                   e       performance appraisal of the Board of Directors and the Board of Commissioners as well as each
                           member of the Board of Directors and the Board of Commissioners, at least containing:

                           (1) performance appraisal procedures
                                                                                                                                      202
                           (2) criteria used, such as performance achievements during the financial year, competence, and
                           attendance at meetings

                           (3) the party conducting the assessment

                   f       The Board of Commissioners’ assessment of the performance of the Committees that support
                           the implementation of the duties of the Board of Commissioners in the financial year, including:

                           (1) performance appraisal procedures                                                                       189

                           (2) criteria used, such as performance achievements during the financial year, competence, and
                           attendance at meetings

              4            The nomination and remuneration of the Board of Directors and the Board of Commissioners
                           shall at least contain:

                   a       nomination procedure, including a brief description of the policy and process of nomination of
                           members of the Board of Directors and/or members of the Board of Commissioners

                   b       procedures and implementation of remuneration for the Board of Directors and the Board of
                           Commissioners, among others:
                                                                                                                                  181–182, 187,
                           (1) procedures for determining remuneration for the Board of Directors and the Board of                  190–191,
                           Commissioners                                                                                            195–196

                           (2) the remuneration structure of the Board of Directors and the Board of Commissioners, such
                           as salary, allowances, tantiem/bonus and others

                           (3) the amount of remuneration for each member of the Board of Directors and member of the
                           Board of Commissioners

                           Disclosure of information can be presented in tabulated format

              5            The sharia supervisory board, should the Issuer or Public Company carry out business activities
                                                                                                                                   207–209
                           based on sharia principles as stated in the articles of association, at least regarding:

                   a       names
                                                                                                                                  77–78, 207
                   b       legal basis for appointment

                   c       term of office                                                                                             207

                   d       duties and responsibilities                                                                                207

                   e       frequency and method of providing advice and suggestions as well as supervision of
                                                                                                                                      208
                           compliance with sharia principles in the capital market for the Issuer or Public Company




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                  427
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ABOUT THIS REPORT                                    REPORTS TO STAKEHOLDERS        COMPANY PROFILE
                           HIGHLIGHTS                                                                   SUPPORTING UNITS




                                                            Description                                                         Page

            6           The audit committee, at least contains:                                                               210–214

                    a   name and position in the committee membership

                    b   age

                    c   citizenship

                    d   educational background

                    e   work experience, including information on:                                                             79–80

                        (1) legal basis for appointment as committee member

                        (2) concurrent positions, either as a member of the Board of Commissioners, a member of the
                        Board of Directors, and/or a member of a committee as well as other positions (if any)

                        (3) work experience and time period both inside and outside the Issuer or Public Company

                    f   period and term of office of audit committee members                                                    212

                    g   audit committee independence statement                                                                  212

                    h   training and/or competence development programs attended in the financial year (if any)               223-224

                    i   policies and implementation of the frequency of audit committee meetings and level of
                                                                                                                                213
                        attendance of audit committee members in these meetings

                    j   implementation of audit committee activities in the financial year in accordance with those
                                                                                                                                214
                        stated in the audit committee guidelines or charter

            7           Committee or function of nomination and remuneration of the Issuer or Public Company, at
                                                                                                                              218–221
                        least regarding:

                    a   name and position in the committee membership

                    b   age

                    c   citizenship

                    d   educational background

                    e   work experience, including information on:                                                              82

                        (1) legal basis for appointment as committee member

                        (2) concurrent positions, either as a member of the Board of Commissioners, a member of the
                        Board of Directors, and/or a member of a committee as well as other positions (if any)

                        (3) work experience and time period both inside and outside the Issuer or Public Company

                    f   term and term of office of committee members                                                            219

                    g   committee independence statement                                                                        219

                    h   training and/or competence development attended in the financial year (if any)                          221

                    i   description of duties and responsibilities                                                              218

                    j   a statement that the committee has a guideline or charter                                               218

                    k   policy and implementation of the frequency of meetings and the level of attendance of
                                                                                                                                220
                        members in the meetings

                    l   brief description of the activities carried out in the financial year                                   221

                    m   in the event that no nomination and remuneration committee is formed, the Issuer or Public
                        Company shall disclose the information as referred to in letter i) to letter l) and disclose:
                                                                                                                                NA
                        (1) reasons for not forming the committee

                        (2) the party carrying out the nomination and remuneration function

            8           other committees in the Issuer or Public Company that support the functions and duties of the
                        Board of Directors (if any) and/or committees that support the functions and duties of the Board      215–217
                        of Commissioners, at least regarding:

                    a   name and position in the committee membership

                    b   age
                                                                                                                               80–81
                    c   citizenship

                    d   educational background




428                                                                             PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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                                                           SUSTAINABILITY        SUPPORTING DATA                               APPENDICES
   AND ANALYSIS                    GOVERNANCE                                                          STATEMENTS




                                                               Description                                                        Page

                   e       work experience, including information on:

                           (1) legal basis for appointment as committee member

                           (2) concurrent positions, either as a member of the Board of Commissioners, a member of the           80–81
                           Board of Directors, and/or a member of a committee as well as other positions (if any)

                           (3) work experience and time period both inside and outside the Issuer or Public Company

                   f       term and term of office of committee members                                                           216

                   g       committee independence statement                                                                       216

                   h       training and/or competence development attended in the financial year (if any)                          217

                   i       description of duties and responsibilities                                                              215

                   j       statement that the committee has a committee guideline or charter                                       215

                   k       policy and implementation of the frequency of committee meetings and the level of attendance
                                                                                                                                216–217
                           of committee members in the meetings

                   l       brief description of the activities carried out in the financial year                                   217

              9            Corporate Secretary, at least regarding:

                   a       name

                   b       domicile

                   c       work experience, including:
                                                                                                                               74, 222–223
                           (1) legal basis for appointment as company secretary

                           (2) work experience and time period both inside and outside the Issuer or Public Company

                   d       educational background

                   e       training and/or competence development attended in the financial year

                   f       brief description of the implementation of the duties of the company secretary in the financial
                                                                                                                                222-223
                           year

              10           Internal audit unit, at least regarding:                                                             224-228

                   a       name of head of internal audit unit

                   b       work experience, including:

                           (1) legal basis for appointment as head of internal audit unit                                         228

                           (2) work experience and time period both inside and outside the Issuer or Public Company

                   c       qualification or certification in the internal audit profession (if any)

                   d       training and/or competence development attended in the financial year                                  228

                   e       structure and position of the internal audit unit                                                    224–225

                   f       description of duties and responsibilities                                                             226

                   g       statement that there is a guideline or charter of the internal audit unit                              224

                   h       brief description of the implementation of the duties of the internal audit unit in the financial
                           year including the policy and implementation of the frequency of meetings with the Board of            228
                           Directors, Board of Commissioners, and/or audit committee

              11           description of the internal control system implemented by the Issuer or Public Company, at least
                                                                                                                                229–230
                           regarding:

                   a       financial and operational control, as well as compliance with other laws and regulations               229

                   b       review of the effectiveness of the internal control system                                             230

                   c       statement of the Board of Directors and/or Board of Commissioners on the adequacy of the
                                                                                                                                  230
                           internal control system

              12           risk management system implemented by the Issuer or Public Company, at least regarding:              231–236

                   a       overview of the risk management system in the Issuer or Public Company                               231–233

                   b       types of risks and ways to manage them                                                               234–235

                   c       review of the effectiveness of the risk management system                                              236

                   d       statement from the Board of Directors and/or the Board of Commissioners or the audit
                                                                                                                                  236
                           committee on the adequacy of the risk management system




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                              429
Page 432
                           2023 PERFORMANCE                                                             BUSINESS
ABOUT THIS REPORT                                   REPORTS TO STAKEHOLDERS        COMPANY PROFILE
                           HIGHLIGHTS                                                                   SUPPORTING UNITS




                                                           Description                                                         Page

            13          legal cases with a material impact involving the Issuer or Public Company, its subsidiaries, the
                        members of the Board of Directors and members of the Board of Commissioners (if any), at least
                        regarding:

                    a   legal case/lawsuit matter                                                                              237

                    b   status of settlement

                    c   effect on the condition of the Issuer or Public Company

            14          information on administrative sanctions imposed on the Issuer or Public Company, members of
                        the Board of Commissioners and members of the Board of Directors, by the Financial Services            237
                        Authority and other authorities in the financial year (if any)

            15          information on the code of ethics prevailing in the Issuer or Public Company, including:             246–248

                    a   code of ethics                                                                                       246–248

                    b   dissemination of the code of ethics and enforcement mechanisms                                         248

                    c   statement that the code of ethics applies to members of the Board of Directors, members of the
                                                                                                                               248
                        Board of Commissioners, and employees of the Issuer or Public Company

            16          brief description of the policy of providing long-term performance-based compensation
                        to management and/or employees of the Issuer or Public Company (if any), including the
                        management stock ownership program (MSOP) and/or employee stock ownership program
                        (ESOP)

                        In the event that the compensation is provided in the form of MSOP and/or ESOP, the
                        information disclosed must at least contain:
                                                                                                                               249
                    a   number of shares and/or options

                    b   implementation period

                    c   requirements for the eligibility of employees and/or management

                    d   exercise price or determination thereof

            17          brief description of the information disclosure policy, regarding:

                    a   share ownership of members of the Board of Directors and members of the Board of
                        Commissioners no later than 3 (three) working days after the occurrence of ownership or any            249
                        change in ownership of shares of a Public Company

                    b   implementation of said policy

            18          description of the whistleblowing system prevailing in the Issuer or Public Company, at least
                        regarding:

                    a   mechanism for reporting submission

                    b   protection for whistleblowers

                    c   handling of complaints/reports

                    d   party managing the reports                                                                           250–251

                    e   results of the handling of complaints/reports, at least:

                        (1) the number of reports received and processed in the financial year

                        (2) follow-up to the reports.

                        In the event that the Issuer or Public Company does not have a whistleblowing system, then this
                        shall be disclosed

            19          description of the anti-corruption policy of the Issuer or Public Company, at least regarding:

                    a   programs and procedures carried out to address practices of corruption, kickbacks, fraud,
                        bribery and/or gratuities in the Issuer or Public Company
                                                                                                                               251
                    b   anti-corruption training/dissemination thereof to employees of the Issuer or Public Company

                        In the event that the Issuer or Public Company does not have an anti-corruption policy, the
                        reasons for not having said policy shall be provided

            20          implementation of the guidelines for the governance of issuers and public companies,
                        including:

                    a   a statement regarding the recommendations that have been implemented and/or
                                                                                                                             256–257
                    b   b) an explanation of the recommendations that have not been implemented, along with
                        reasons and alternative implementations (if any)

                        This information can be presented in tabulated format




430                                                                            PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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                                                          SUSTAINABILITY       SUPPORTING DATA                                   APPENDICES
   AND ANALYSIS                    GOVERNANCE                                                         STATEMENTS




                                                                Description                                                         Page

         h                 Issuer or Public Company's Corporate Social and Environmental Responsibility                             6–11,
                                                                                                                                  258–281

              1            Information disclosed in the corporate social and environmental responsibility chapter shall be
                           the Sustainability Report as referred to in the Financial Services Authority Regulation
                                                                                                                                  258–281
                           No. 51/POJK.03/2017 on the Implementation of Sustainable Finance for Financial Services
                           Institutions, Issuers, and Public Companies, and the report shall contain at least:

                   a       explanation of sustainability strategy                                                                260–262

                   b       overview of sustainability aspects (economic, social, and environmental)                                10-11

                   c       brief profile of the Issuer or Public Company                                                           49–65

                   d       explanation by the Board of Directors                                                                   39–41

                   e       sustainability governance                                                                              174–175,
                                                                                                                                  416–418

                   f       sustainability performance                                                                             262–281

                   g       written verification from an independent party, if any                                                   NA

                   h       feedback sheet for readers, if any                                                                       419

                   i       Issuer or Public Company's response to the previous year's report feedback                               NA

              2            Sustainability Report as referred to in number 1) shall be prepared in accordance with the
                           Technical Guidelines for the Preparation of Sustainability Reports for Issuers and Public                 √
                           Companies, as contained in Appendix II of this Circular of the Financial Services Authority

              3            information on the Sustainability Report in number 1) may:                                                √

                   a       disclosed in other relevant sections outside of the social and environmental responsibility
                           section, such as the Directors' explanation regarding the Sustainability Report disclosed in the          √
                           section related to the Directors' Report and/or

                   b       refer to other sections outside the social and environmental responsibility section while still
                           referring to the Technical Guidelines for the Preparation of Sustainability Reports for Issuers
                                                                                                                                     √
                           and Public Companies as listed in Appendix II which is an integral part of this Financial Services
                           Authority Circular Letter, such as profiles Issuer or Public Company

              4            The Sustainability Report as referred to in number 1) is an inseparable part of the Annual Report,
                                                                                                                                     √
                           however it may be presented separately from the Annual Report

              5            In the event that the Sustainability Report is presented separately from the Annual Report, the
                           information disclosed in the Sustainability Report shall:

                   a       contain all the information as referred to in number 1)
                                                                                                                                    NA
                   b       be prepared in accordance with the Technical Guidelines for the Preparation of Sustainability
                           Reports for Issuers and Public Companies as listed in Appendix II of this Circular of the Financial
                           Services Authority

              6            In the event that the Sustainability Report is presented separately from the Annual Report, then
                           the social and environmental responsibility section shall state that the information regarding
                                                                                                                                    NA
                           social and environmental responsibility is disclosed in the Sustainability Report presented
                           separately from the Annual Report

              7            Submission of the Sustainability Report which is presented separately from the Annual Report
                                                                                                                                    NA
                           must be done together with the submission of the Annual Report



         i                 Audited Financial Statements for the Year
                           The financial statements contained in the Annual Report shall be prepared in accordance with
                           the financial accounting standards prevailing in Indonesia and have been audited by a public
                           accountant registered with the Financial Services Authority. Said annual financial statements
                                                                                                                                  304–415
                           shall contain a statement regarding the accountability for the financial statements as regulated
                           in the Financial Services Authority Regulation on the responsibility of the Board of Directors for
                           financial reporting, or the laws and regulations in the capital market which regulate the periodic
                           reporting of securities companies, in the event that the Issuer is a securities company



         j                 Statement Letter of Members of the Board of Directors and Members of the Board of
                           Commissioners regarding Responsibility for the Annual Report
                           The statement letter from members of the Board of Directors and members of the Board
                                                                                                                                  44–45
                           of Commissioners regarding the responsibility for the Annual Report shall be prepared in
                           accordance with the prescribed format provided in Appendix I of this Circular of the Financial
                           Services Authority




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                                 431
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                             2023 PERFORMANCE                                                            BUSINESS
 ABOUT THIS REPORT                                     REPORTS TO STAKEHOLDERS      COMPANY PROFILE
                             HIGHLIGHTS                                                                  SUPPORTING UNITS




 CROSS REFERENCE
 POJK NO. 51/POJK.03/2017
 Implementation of Sustainable Finance for Financial Services Institutions,
 Issuers, and Public Companies



                                                                Description                                                      Page

  1          Explanation on sustainability strategy                                                                            260-262



  2          Summary of sustainability aspects                                                                                  10-11

       a     Economic aspect, including:

             1       Quantity of products/services sold

             2       Income/sales
                                                                                                                                10-11
             3       Net profit/loss

             4       Environmentally friendly products

             5       Local parties involvement related to the Sustainable Finance business process                                11

       b     Environmental aspect, including:                                                                                  270-272

             1       Energy usage (among others, water and electricity)                                                        270-271

             2       Emission reduction (for companies whose business processes are directly related to the environment)       271-272

             3       Reduction of waste and effluents into the surrounding environment (for companies whose business
                                                                                                                                 270
                     processes are directly related to the environment)

             4       Conservation of biodiversity (for companies whose business processes are directly related
                                                                                                                             NA (271-272)
                     to the environment)

       c     Social aspect                                                                                                     273-280



  3          Brief profile of the company

       a     Vision, mission, sustainability value                                                                              50-51

       b     Name, address, telephone number, facsimile number, e-mail address, and website, and also branch offices
                                                                                                                                48-49
             and/or representative offices

       c     Business scale, covering:

             1       Total assets/asset capitalization and total liabilities

             2       Total employees based on gender, position, age, education, and status of employment                         49

             3       Percentage of share ownership

             4       Operational areas

       d     Brief explanation of products, services, and business activities                                                   59-61

       e     Membership in associations                                                                                          48

       f     Significant changes, among others those related to the closure or opening of branches and ownership
                                                                                                                               NA (49)
             structure




432                                                                              PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
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   MANAGEMENT DISCUSSION        GOOD CORPORATE                                                  ANNUAL FINANCIAL
                                                       SUSTAINABILITY        SUPPORTING DATA                              APPENDICES
   AND ANALYSIS                 GOVERNANCE                                                      STATEMENTS




                                                            Description                                                       Page

    4         Directors' exposition                                                                                       39-41, 262

         a    Policy to respond to challenges in the fulfillment of sustainability strategy

              1    Implementation of Sustainable Finance

              2    Explanation of the Company's response to issue related to the implementation
                   of Sustainable Finance

              3    Explanation of the Company's leadership's commitment towards the implementation
                   of Sustainable Finance

              4    Performance achievement regarding the implementation of Sustainable Finance

              5    Challenges related to the implementation and performance of Sustainable Finance
                                                                                                                           39-41, 262
         b    Implementation of Sustainable Finance, including:

              1    Target vs. achievements

              2    Achievements and challenges during the reporting period

         c    Strategy to achieve the targets, including:

              1    Risk management related to the implementation of Sustainable Finance

              2    Utilization of business opportunities and prospects

              3    Explanation of the external economic, social and environmental milieu that may affect
                   the Company's sustainability



    5         Sustainability governance                                                                                     174-175

         a    Roles and responsibilities of the Board of Directors and the Board of Commissioners, employees, officers
                                                                                                                          181-182, 192
              and/or work units responsible for implementing Sustainable Finance

         b    Competence development for members of the Board of Directors, members of
              the Board of Commissioners, employees, officers and/or work units responsible for implementing                  196
              Sustainable Finance

         c    Identification, measurement, monitoring and control of risks related to the implementation of Sustainable
                                                                                                                          192, 231–236
              Finance

         d    Description of the stakeholders, including:

              1    Stakeholder involvement based on management's assessment, AGMS, decree, or others
                                                                                                                              6–11
              2    Approach employed by the Company in involving stakeholders in the implementation
                   of Sustainable Finance

         e    Problems, developments, and effects on the implementation of Sustainable Finance                                 11



    6         Sustainability performance

         a    Internal activities to foster the sustainability culture in the Company                                         262

         b    Description of economic performance in the last 3 years, including:

              1    Comparison of production targets vs. achievements, portfolio, financing/investment targets,
                                                                                                                            12, 16–17
                   income and profit and loss

              2    Comparison of portfolio targets and performance, financing/investment targets in financial
                                                                                                                            12, 16–17
                   instruments or projects in line with the implementation of Sustainable Finance

         c    Social performance in the last 3 years, including:

              1    The Company's commitment to providing equitable products/services to customers                             281

              2    Employment, including:

                   a. Statement of equality of employment opportunities and the presence/absence
                                                                                                                              264
                      of forced labor and child labor

                   b. Percentage of permanent employee remuneration at the lowest level compared
                                                                                                                              268
                      to the regional minimum wage

                   c. A decent and safe work environment                                                                      269

                   d. Employee training and competence development                                                         264–267




2023 Integrated Annual Report • PT BFI Finance Indonesia Tbk                                                                            433
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                            2023 PERFORMANCE                                                               BUSINESS
ABOUT THIS REPORT                                   REPORTS TO STAKEHOLDERS       COMPANY PROFILE
                            HIGHLIGHTS                                                                     SUPPORTING UNITS




                                                            Description                                                           Page

            3       Society, including:

                    a. Operational activities or areas that have positive and negative impacts on
                                                                                                                               273–280
                       the surrounding community, including financial inclusion and literacy initiatives

                    b. Mechanisms for the public to air grievances and                                                        112–113, 248,
                       the number of grievances received and followed up                                                        250–251

                    c. CSR related to the fulfillment of sustainable development goals, including the types
                                                                                                                               270–280
                       and achievements of community empowerment programs

      d     Environmental performance, including:

            1       Environmental costs incurred                                                                                  271

            2       Use of environmentally friendly materials (for example, recyclable or recycled products)                      270

            3       Energy usage, including:

                    a. Amount and intensity of energy used                                                                        270

                    b. Energy efficiency initiatives and achievements, including utilization of renewable energy                270–271

      e     Environmental performance for companies whose business processes are directly related
                                                                                                                                  NA
            to the environment

      f     Responsibility for developing Sustainable Finance products and/or services, including:

            1       Innovation and development of Sustainable Finance products and/or services                                    281

            2       The number and percentage of products/services that have been evaluated for its safety                        NA

            3       Positive and negative impacts caused by products and/or services, distribution processes,
                                                                                                                                110–113
                    and the mitigation thereof

            4       Number of products withdrawn and their reasons                                                                NA

            5       Customer satisfaction surveys for Sustainable Finance products and/or services                              112–113



 7          Written verification from an independent party, if present                                                            NA




434                                                                           PT BFI Finance Indonesia Tbk • 2023 Integrated Annual Report
Page 437

          
Page 438
PT BFI Finance Indonesia Tbk

BFI Tower
Sunburst CBD Lot 1.2
Jl. Kapt. Soebijanto Djojohadikusumo
BSD City, Tangerang Selatan 15322
Indonesia
  1500018
  corsec@bfi.co.id

www.bfi.co.id

File

File Open PDF
Source IDX
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Published26 Apr 2024
Pages438
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Names mentioned 211 people and organisations named in the text · linked when the evidence is strong

linked org BFI Finance Indonesia Tbk p.1 ×553
linked org Trinugraha Capital p.22 ×24
linked — Standard Chartered p.26
linked org United Overseas Bank Ltd. p.26
linked org Bank Jago p.26 ×3
linked person Kusmayanto Kadiman p.34 ×8
linked person Saurabh Narayan Agarwal p.36 ×8
linked person Alfonso Napitupulu p.36 ×10
linked person Sunata Tjiterosampurno p.39 ×8
linked person Francis Lay Sioe Ho · Presiden Komisaris p.40 ×21
linked person Andrew Adiwijanto · Direktur p.42 ×10
linked person Tan Rudy Eddywidjaja p.66
linked person Friso Palilingan p.67 ×3
linked person Budi Darwan Munthe p.67
linked org Sarana Menara Nusantara Tbk p.70 ×2
linked org Global Digital Niaga Tbk p.70 ×2
linked org PT Tamaris Hidro p.70
linked org Adaro Energy Tbk p.70 ×2
linked — AJB Bumiputera p.72
linked org Trimegah Sekuritas Indonesia Tbk p.73 ×25
linked org Delta Dunia Makmur Tbk p.73 ×2
linked org Asuransi Bina Dana Arta Tbk p.74 ×2
linked org Oona Insurance p.74 ×2
linked person Sigit Hendra Gunawan · Direktur p.75 ×5
linked org PP London Sumatra Indonesia Tbk p.81 ×2
linked org Wismilak Inti Makmur Tbk. p.81 ×2
linked org Intiland Development Tbk p.82 ×2
linked org Asahimas Flat Glass Tbk p.82 ×2
linked org PT Cisarua Mountain Dairy p.82
linked org Provident Investasi Bersama Tbk. p.82 ×2
linked org BNI Sekuritas. p.82 ×4
linked org Medikaloka Hermina Tbk p.82 ×2
linked org Duta Intidaya Tbk p.82 ×2
linked org Bank CIMB Niaga p.84
linked org Bank OCBC NISP p.84
linked org Bank Danamon p.84
linked org PT Mandiri Sekuritas p.101 ×11
linked org PT BCA Sekuritas p.101 ×6
linked org Bank Tabungan Negara (Persero) Tbk p.103 ×2
linked org Grand Indonesia p.103
linked org DB SPORE SES CLT A/C p.388 ×2
possible person Jerry Ng p.56 ×7
possible person Edy Sugito p.67 ×3
possible org PT Bursa Efek Indonesia p.81 ×6
possible — Garibaldi Thohir p.95 ×2
possible — DBS Vickers p.101 ×3
possible org DBS Bank p.103
possible person Prof. Dr. Satrio p.103
possible person Sudjono · Komisaris p.326 ×2
possible org Otoritas Jasa Keuangan p.330
possible person Sutadi · Direktur p.389
unresolved org PT BFI Finance p.4 ×6
unresolved org Indonesia Tbk p.4 ×10
unresolved — History p.4
unresolved org PT Finansial Integrasi p.9 ×2
unresolved — NTAsian p.15
unresolved org Above Indonesia Tbk p.15
unresolved org PT Tren Media Berjejaring p.31
unresolved person Dominic John Picone p.36
unresolved person Johanes Sutrisno p.36
unresolved org Bank Indonesia p.41
unresolved org Bank Indonesia’s p.41
unresolved org Domicile · Company Name p.50 ×4
unresolved org Minister of Justice p.50 ×3
unresolved org Ministry of Justice p.50
unresolved org PT Rapi Utama Financial Services p.50
unresolved person Inge Hendarmin p.54
unresolved org PT Manufacturers Hanover p.54 ×2
unresolved org Hanover Leasing Corporation p.54
unresolved org Minister of Finance p.54 ×3
unresolved person Development Kartini Muljadi · Notaris p.54 ×2
unresolved org Essompark Ltd. p.54
unresolved org Leasing Corporation p.54
unresolved org PT Bunas Intitama Leasing p.54
unresolved org PT Bunas Finance p.55
unresolved org Ministry of Law p.55 ×2
unresolved person Aulia Taufani p.55
unresolved person Sutjipto p.55
unresolved org Minister of Law and Human p.55 ×2
unresolved org PT Bunas Finance Indonesia p.55 ×2
unresolved person Infobank Research Shanti Indah Lestari · Notaris p.55 ×5
unresolved org PT Bunas p.56
unresolved org Finance Indonesia Tbk p.56 ×2
unresolved org PT Finansial Integrasi Teknologi p.56 ×2
unresolved org Moody’s Indonesia Tbk p.57
unresolved org PT Sertifikasi Profesi Pembiayaan Indonesia p.70 ×2
unresolved org PT Adaro Power p.70 ×2
unresolved org PT Setiabudi Investment Management p.70
unresolved org Komatsu Ltd p.70
unresolved org Minister of Research and Technology p.70
unresolved org PT Gaudi Dwi Laras p.71
unresolved org Mutual International Finance Corporation p.71
unresolved org Alfonso Napitupulu & Partners p.72
unresolved org PT BRI Asuransi Indonesia p.72
unresolved org PT Kredit Biro Indonesia Jaya p.72
unresolved org PT Nana Mandiri Dwikarya p.72
unresolved org Gani Djemat & Partners p.72
unresolved org Northstar Advisors Pte. Ltd. p.73 ×3
unresolved org Bundamedik Healthcare System Tbk p.73 ×2
unresolved org Bank Tabungan Pensiunan Nasional Tbk p.73 ×2
unresolved org PT Danareksa Sekuritas p.73 ×2
unresolved org PT Lippo Securities p.73
unresolved org Warburg Pincus LLC p.74
unresolved org Oona Holding Pte. Ltd. p.74
unresolved org AAG Energy Holdings Ltd. p.74
unresolved org CleanMax Enviro Energy Solutions Pvt. Ltd. p.74
unresolved org Solar Mosaic LLC p.74
unresolved org Mosaic Inc. p.74
unresolved org Canbriam Energy Inc. p.74
unresolved org Delonex Energy Ltd. p.74
unresolved org Velvet Energy Ltd. p.74
unresolved org Venari Resources LLC p.74
unresolved org Liberty Wireless Pte. Ltd. p.74
unresolved org M-Service GmbH p.74
unresolved — DKI Jakarta Appointed · Director p.75
unresolved org PT FIT p.75 ×14
unresolved org PT FIT. Prior p.75
unresolved org Ministry of Finance p.75
unresolved org PT Indovest p.75
unresolved org PT FIT. Previously p.76
unresolved org PT Tjiwi Kimia Pulp p.77
unresolved org PT Sinar Mitra Sepadan p.79
unresolved org Yayasan Pendidikan Fatahillah p.80
unresolved org PT Gayatri Kapital Indonesia p.81
unresolved org PT Kliring Penjaminan Efek Indonesia p.81
unresolved org PT Kustodian Sentral Efek Indonesia p.81 ×3
unresolved org Palilingan & Rekan p.82
unresolved org PT Kiat Ananda Cold Storage p.82
unresolved org PT Ananda Solusindo p.82
unresolved org PT Manggala Kiat Ananda p.82
unresolved org PT Mitra Ananda Megadistrindo p.82
unresolved org PT BNI Sekuritas. Previously p.82
unresolved org PT Bank Commonwealth p.83
unresolved org PT FWD Insurance Indonesia p.83
unresolved org PT Nusantara Finance Cakrawala p.83
unresolved org PT Commonwealth Life p.83
unresolved org PT Mudita Finansial Teknologi p.83
unresolved org PT Kiran Resources Indonesia p.83
unresolved org PT Bank BNP Paribas Indonesia p.83
unresolved org PT Bank Barclays Indonesia p.83
unresolved org PT BII Finance Centre p.83
unresolved org Bank Restructuring Agency p.83
unresolved org PT Tanjung Johor Wood Industry p.83
unresolved org Sertifikasi Manajemen Risiko p.83
unresolved — Citizenship p.86 ×4
unresolved — Age p.86 ×4
unresolved org Joined BFI Finance in p.86 ×4
unresolved org PT BFI Finance Indonesia Office p.91
unresolved — Letter No. S-588/NB.213/2018 p.91
unresolved person Association Gunawan p.91
unresolved — Fintech Association p.91
unresolved — DKI Jakarta Citizen Appointed · President Director p.92
unresolved person Veronika Farida Riswanti p.92 ×3
unresolved org Minister of Law and Human Rights p.92 ×2
unresolved person Herna Gunawan p.92
unresolved org Ministry of Law and Human Rights p.93
unresolved org PT Raya Saham Registra p.94 ×7
unresolved org PT BFI Finance Indonesia Tbk’s p.94
unresolved org Holdings Ltd. p.95
unresolved org Bravo Investments Ltd. p.95
unresolved org PT Finansial Integrasi Teknologi Ultimate Beneficial Owners p.95
unresolved org Minister of Law p.96
unresolved org PT BFI p.96
unresolved person Muljadi p.97
unresolved org PT BNI Sekuritas Tanubrata p.101
unresolved person Ir. Nanette Sutanto p.101 ×2
unresolved org PT Fitch Tabungan p.101 ×6
unresolved org PT DBS Vickers Sekuritas Indonesia p.101 ×3
unresolved person Warsito p.101 ×6
unresolved org S.H. & Rekan p.101 ×2
unresolved org PT BNI Sekuritas Paid p.101
unresolved org PT BRI Danareksa Sekuritas p.101 ×5
unresolved org PT BCA Sekuritas Paid p.101
unresolved org Ir. Nanette PT DBS Vickers Sekuritas p.101
unresolved person Ir. Nanette Not p.101 ×3
unresolved org VAT. Bambang & Rekan p.102
unresolved person Bong p.102
unresolved person Susanto Bong p.102 ×3
unresolved org Unmodified Opinion Bambang & Rekan p.102 ×5
unresolved person Dr. Herry Sunarto p.102
unresolved person M.B.A. p.102
unresolved org PT Fitch Ratings Indonesia p.103
unresolved org PT Raya Saham Registra DBS Bank Tower p.103
unresolved org Indonesia Stock Exchange p.103 ×3
unresolved org Settlement Institution Jusuf Indradewa & Partners p.103
unresolved person H. Thamrin p.103
unresolved person Title · Presiden Direktur p.310 ×3
unresolved person Fathiah Helmi · Notaris p.323 ×2
unresolved person Aryanti Artisari · Notaris p.323 ×2
unresolved org Kementerian Hukum dan Hak Asasi Manusia Republik p.325 ×2
unresolved person Geraldine H.S.S.U. Sianturi H.S.S.U. Sianturi · Notaris p.325 ×10
unresolved org Kementerian p.325 ×4
unresolved org Ministry of Law and Human dan Hak Asasi Manusia Republik Indonesia p.325 ×3
unresolved person H.S.S.U. M. p.325
unresolved person Sianturi p.325
unresolved org Kementerian Hukum dan Hak p.325
unresolved org Ministry of Asasi Manusia Republik Indonesia p.325
unresolved org Kementerian Hukum dan Hak Asasi p.326
unresolved org Ministry of Law and Human Manusia Republik Indonesia p.326
unresolved person Tjiu Herman Handoko · Presiden Direktur p.326 ×2
unresolved person Ichwan Peryana · Direktur p.326
unresolved person Lestari p.328 ×2
unresolved org Ministry of Law and Human p.328
unresolved org Pengawas p.330
unresolved org Bapepam-LK p.330 ×8
unresolved org Trinugraha Capital & Co SCA p.388 ×2
unresolved — (masing-masing di bawah 5%) p.388 ×2

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