PT Bank BNI Syariah: Annual Report 2017

Transcription

1. Human Capital Annual Report Good Corporate Governance Corporate Social Responsibility Attachment 2017 Hasanah Banking Partner I DX : B B S Y Hasanah Banking Partner 1 Annual Report 2017 PT Bank BNI Syariah
2. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis Hasanah Banking Partner The positive performance that we achieved in recent years , indicating that BNI Syariah is valued in the heart of Indonesian people and national business society. Our good performance has also become a strong foundation for BNI Syariah as Hasanah Banking Partner for Indonesian society. In 2017, that positioning was getting even stronger as BNI Syariah prioritizing the values of maqoshid syariah; that is preserving religious faith, soul, mind, descendants, and wealth. Those values affect the entire products and services provided by BNI Syariah and are also reflected in the Bank's operational activities. Hasanah Banking Partner 2 Annual Report 2017
3. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment 2016 Commitment to Implement the Hasanah Lifestyle Principle BNI Syariah is determined to strengthen its positioning as a bank that truly implement Hasanah (good behavior) Lifestyle Banking in the coming year of 2017. For that purpose, throughout 2016, BNI Syariah was continuously committed to embark on efforts to socialize and to make preconditioning steps in order to show our positioning as a bank that embraces and implements ‘hasanah’ as our lifestyle, both internally and externally. With full commitment, the hasanah lifestyle is implemented as the main excellence of BNI Syariah, in which no other banks possess. This has made BNI Syariah as the bank of choice for customers who prioritize the hasanah values in life; a life that is not only worldly-oriented, but also a means to prepare for the afterlife by doing goods (the Hasanah Way). 2015 Fostering Hasanah Empowering Trust This theme highlighted that the year 2015 was a challenging year. It is hard for the Indonesian economy in general and also impacted the Islamic banking industry in particular. However, micro-enterprises remain as one of the backbone of the Indonesian economy. Therefore, the annual Report 2015 theme tried to highlight the power and struggle of micro enterprises, which were later adopted by BNI Syariah as our theme to keep fighting as the sharia banking of choice by the community that brings the essence of goodness (hasanah). Hasanah Banking Partner 3 Annual Report 2017
4. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis Table of Contents Theme Explanation 2 Subsidiary and Associated Entities 84 Performance Highlight 6 Company Group Structure 85 Supporting Institutions and Professionals 86 Information in Company Website 87 Key Management Competency Development Program 88 Company Operational Area 92 Performance Review Financial Highlights 10 Stock Price Information 12 Bond Information 13 Awards 14 BNI Syariah Significant Events 2017 17 Business Supporting Function Management Report Sharia Supervisory Board Report 24 Board of Commissioners Report 26 Report of the Board of Directors 32 Information Technology 96 Operational Development 102 Strategic Planning 109 Networks and Services 113 Goods and Services Procurement 118 Management Discussion and Analysis Company Profile Corporate Identity 44 BNI Syariah at a Glance 46 Milestones 48 Business Activities 50 Vision , Mission and Corporate Values 56 Organization Structure 58 Profile of Sharia Supervisory Board 60 Board of Commissioners Profile 62 HC Management Policy 198 Board of Directors Profile 66 Human Capital Development Roadmap 199 Senior Officer 70 Human Capital 200 Employee Profile and Competence Development 78 Shareholders Composition 81 Share Listing Chronology 83 Sukuk Listing Chronology 83 Hasanah Banking Partner Macro and Sharia Banking Industry Analysis 128 Review of Operations Per Segment 137 Finacial Review 157 Human Capital 4 Annual Report 2017
5. Human Capital Good Corporate Governance Corporate Social Responsibility Good Corporate Governance Attachment Internal Audit 346 External Public / Audit Accountants 354 Risk Management 356 Internal Control System 368 Compliance Function 371 381 Commitment of GCG Implementation 220 2017 GCG Achievement 222 Basis of GCG Implementation 224 GCG Principles 225 Implementation of Anti Money Laundering Program and Counter-Terrorist Financing (AML and CTF) Under the RBA Roadmap of Company Governance 231 Transparency of Financial and Non-Financial Condition 384 The Advantages of GCG Implementation for BNI Syariah 234 Code of Conduct 385 Integrity Pack 387 2017 Focuses of GCG 235 Violation Reporting System 388 Dissemination of GCG 236 Buy Back Shares and Buy Back Obligation Policy 394 Assessment of GCG Implementation 237 Access to company’s information and data 395 Structure and Mechanisme of GCG 248 Legal Dispute and Administrative Sanction 402 Main Shareholders and Controlling Shareholders 254 Implementation Plan of GCG 2018 413 General Meeting of Shareholders 255 Material Events of 2018 413 Realization of GMS Resolutions of the Previous Year 259 Sharia Supervisory Board 261 Board of Commissioners 270 Corporate Social Responsibility Independent Commissioner 281 Implementation Basis of CSR Program 416 Board of Directors 282 Hasanah Titik Foundation 417 Performance Assessment of Board of Commissioners 299 CSR Source of Fund, Budget, and Realization 423 Directors’ Performance Assessment 301 Responsibility Towards Environmental Preservation 427 Remuneration Policy of Board of Commissioners and Directors 303 Responsibility Towards Labor Force and Occupational Health and Safety 430 Affiliation Relationship Between Members of Board of Commissioners, Board of Directors, And Major and/or Controlling Shareholders 305 Social Responsibility Towards Social Community 439 Responsibility Towards Customers 446 Diversity of Composition of Board of Commissioners and Board of Directors 306 Committees Under Board of Commissioners 307 Committees Under the Board of Directors 323 Human Resources Committee (KSDM) 327 Capital, Investment and Technology Committee (KMIT) 330 Assets, Liabilities, Management Committee (KALMA) 333 Corporate Secretary 336 Hasanah Banking Partner Finance Report Cross Reference of Bapepam-LK Regulation No X.K.6 5 Annual Report 2017
6. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis Performance Highlights Total Assets Net Income in IDR million in IDR million 34 .822 307 28.314 277 23.018 2015 229 2016 2017 2015 Third Party Fund 2016 Total Financing in IDR million in IDR million 29.379 23.597 24.233 20.494 19.323 2015 2017 17.765 2016 2015 2017 Hasanah Banking Partner 6 Annual Report 2017 2016 2017
7. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Growth Net Income 10 ,6% Assets 23,0% Third Party Fund 21,2% Financing Hasanah Banking Partner 7 15,1% Annual Report 2017
8. Performance 2017 Management Report 01 " Company Profile Business Supporting Function Management Discussion and Analysis PERFORMANCE HIGLIGHT Throughout the year 2017, BNI Syariah has once again achieved satisfactory performance, as seen from the growth of total assets by 23.0% and net income of the Company by 10.6% Hasanah Banking Partner 8 Annual Report 2017 "
9. Human Capital Good Corporate Governance Hasanah Banking Partner Corporate Social Responsibility 9 Annual Report 2017 Attachment
10. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis FINANCIAL HIGHLIGHTS BALANCE SHEET (in IDR billion, unless stated otherwise) Description 2013 2014 2015 2016 2017 Total Assets 14.709 19.492 23.018 28.314 34.822 Total Earning Assets 13.648 17.389 20.287 25.060 29.391 Financing 11.242 15.044 17.765 20.494 23.597 1.996 1.884 2.302 3.924 5.170 - - - - - 11.423 16.246 19.323 24.233 29.379 Owned Securities Investments Third Party Funds Giro 1.500 1.416 1.507 2.118 2.771 Savings 5.006 5.957 7.411 9.423 12.387 Deposits 4.917 8.873 10.405 12.691 14.221 Total Liabilities 3.839 3.085 3.311 4.685 6.613 Total equity 1.305 1.950 2.216 2.487 3.807 Capital Stock 1.001 1.502 1.502 1.502 2.502 Description 2013 2014 2015 2016 2017 Income from fund management by the bank as mudharib 1.333 2.026 2.429 2.802 3.189 Third parties’ share on returns of temporary syirkah funds (418) (691) (846) (905) (968) 915 1.335 1.583 1.897 2.221 PROFIT AND LOSS (in IDR billion, unless stated otherwise) Bank’s Share in Profit Sharing 147 100 119 102 117 Operating Income Other Operating Income 1.062 1.435 1.702 1.998 2.338 Operating Expenses (878) (1.119) (1.193) (1.283) (1.293) 8 (93) (221) (324) (622) Non-Operating Income/(Expense) - Net (12) (2) 20 (18) (14) Provision/Reversal of Allowance for Possible Losses on Earning Assets Income before Tax 180 220 308 373 409 Earning After Tax 117 163 229 277 307 Total Comprehensive Income 117 163 266 271 321 Basic and Diluted Earnings per Share 117 140 152 185 194 Hasanah Banking Partner 10 Annual Report 2017
11. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment CASH FLOWS (in IDR billion, unless stated otherwise) Description 2013 2014 2015 2016 2017 Cash Flows from Operating Activities 503 601 375 2.333 2.519 Cash Flows from Investing Activities (907) 71 (443) (1.700) (1.241) Cash Flows from Financing Activities - 501 497 - 1.000 Total Net Increase (Decrease) in Cash and Cash Equivalents (404) 1.173 429 633 2.277 Cash and Cash Equivalents at Beginning of the Year 1.593 1.187 2.363 2.820 3.446 Cash and Cash Equivalents at End of the Year 1.187 2.363 2.820 3.446 5.727 2013 2014 2015 2016 2017 16,23% 16,26% 15,48% 14,92% 20,14% 1,53% 1,61% 2,35% 2,43% 2,32% IMPORTANT FINANCIAL RATIO Description Capital Adequacy Ratio Non-Performing Earning Assets and Non -Performing Non-Earning Assets to Total Earning Assets and Total Non-Earning Assets Non-Performing Earning Assets to Total Earning Assets 1,53% 1,62% 2,23% 2,44% 2,33% Allowance for impairment Losses for Financial Assets to Earning Assets 1,42% 1,50% 1,90% 2,28% 2,03% Non-Performing Financing (NPF) Gross 1.86% 1.86% 2.53% 2.94% 2,89% Non-Performing Financing (NPF) Net 1,13% 1.04% 1.46% 1,64% 1,50% 91,27% 90,73% 84,51% 92,57% 85,73% Coverage Ratio Return on Assets (ROA) 1,37% 1,27% 1,43% 1,44% 1,31% Return on Equity (ROE) 9,65% 10,83% 11,39% 11,94% 11,42% 7,30% 8,15% 8,25% 8,32% 8,10% Net Operating Margin (NOM) Net Interest Margin -0,80% 0,47% 0,67% 1,01% 0,76% Operating Expense to Operating Income 88.33% 89.80% 89.63% 86.88% 87,62% Cost to Income Ratio (CIR) 83,15% 77,88% 71,06% 64,44% 55,74% Profit Sharing Financing to Total Financing 16,33% 16,43% 19,41% 20,55% 23,23% Financing Ratio on Third Party Funding (FDR = Fixed Deposit Receipt?) 97,86% 92,60% 91,94% 84,57% 80,21% Current Account Saving Account (CASA) 56,95% 45,38% 46,15% 47,63% 51,60% Hasanah Banking Partner 11 Annual Report 2017
12. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis STOCK PRICE INFORMATION Currently , BNI Syariah is not a publicly listed company and is not listed on the Indonesia Stock Exchange asa publicly listed company. Accordingly, the Bank does not provide information on the followings: 1. Total outstanding shares; 2. Information in tables include: a. Market Capitalization based on price of stock where the share is engaged; b. Highest, lowest, and closing price of stock where the share is engaged; and c. Share trade volume n price of stock where the share is engaged. 3. Information in charts include at least: a. Closing price of stock where the share is engaged; and b. Share trade volume n price of stock where the share is engaged. Hasanah Banking Partner 12 Annual Report 2017
13. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment INFORMATION ON BONDS MUDHARABAH SUKUK BANK BNI SYARIAH YEAR 2015 Emission Rp500 .000.000.000 Date of Issuance 26 Mei 2015 Due Date 26 Mei 2018 Average Rate of Profit Sharing Setara 9,25% Ratio of Sukuk Holders 15.35% Tahun 2017: idAA+(sy) oleh PEFINDO Ranking Tahun 2016: idAA+(sy) oleh PEFINDO The use of funds obtained from the Sukuk Mudharabah offerings is used to develop Sharia financing activities. Hasanah Banking Partner 13 Annual Report 2017
14. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis AWARDS February 2017 Sharia Bank Category Top Brand Award 2017 Marketing Magazine March 2017 March 2017 2nd Rank of Digital Brand for General Sharia Bank Deposit Category 1st Rank of Digital Brand for General Sharia Bank KPR Category Infobank 6th Digital Brand Awards 2017 Infobank Magazine Infobank 6th Digital Brand Awards 2017 Infobank Magazine March 2017 March 2017 March 2017 3rd Rank of Digital Brand for General Sharia Bank Debit Card Category 2nd Rank Indonesia Employee Engagement Silver Category Infobank 6th Digital Brand Awards 2017 Infobank Magazine 2016 Indonesia Employee Engagement Award Financial Services Industry LPPI- Stabilitas Magazine Media Relations Category Non-Tbk National Private Company Subcategory May 2017 Best of the Best Islamic Bank the Magnificent Seven Karim Award 2017 Karim Consulting PR Indonesia Awards 2017 PR Indonesia Magazine May 2017 May 2017 The Most Expanding Financing (Buku II) The Most Expanding Funding (Buku II) Hasanah Banking Partner Karim Award 2017 Karim Consulting Annual Report 2017 14 Karim Award 2017 Karim Consulting
15. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment June 2017 June 2017 1st Rank of Sharia Commercial Bank Physical Category 1st Rank of Sharia Commercial Bank ATM Category 5th Rank Sharia Commercial Bank Overall Category 2017 Banking Service Excellence Infobank Magazine 2017 Banking Service Excellence Infobank Magazine 2017 Banking Service Excellence Infobank Magazine June 2017 June 2017 August 2017 August 2017 Sharia Saving Category Most Innovative Bank Syariah Mortgage Products 1st Rank of Best Indonesian Sharia Bank - 2017 Syariah Buku II Category Digital Popular Brand Award 2017 Transco Research Real Estate Creative Awards 2017 Indonesia Housing Magazine Indonesia Banking Award (Anugerah Perbankan Indonesia) -VI- 2017 
Economic Review August 2017 Member of League 4th National Championship League 2017 National Championship League August 2017 August 2017 Best Sharia Bank 2017 Category: Sharia Bank with Assets > Rp10T Title Very Good Financial Performance 2016 Best Syariah 2017 Investor Magazine Hasanah Banking Partner Annual Report 2017 15 22th Infobank Awards Infobank Magazine
16. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis November 2017 November 2017 Sharia Savings Sharia Banking Category Great Performing Brand in Social Media Sharia Savings Category Top 20 Best GCG Companies in Indonesia 2017 Digital Marketing Award Marketing Magazine Social Media Award 2016 Marketing Magazine Indonesia Good Corporate Governance Award 2017 Economic Review October 2017 November 2017 December 2017 1st Rank of Non-Tbk Sharia Banking Company Best Innovation Sharia Bank Category Sharia Bank Buku 2-3 with Asset Rp 10T – Rp 30T Indonesia Good Corporate Governance Award 2017 Economic Review Anugerah Syariah Republika 2017 Republika December 2017 December 2017 Best Innovation Sharia Bank Category Sharia Bank Buku 2-3 with Asset Rp 10T – Rp 30T Best Performance Sharia Bank Category Sharia Bank Buku 2-3 with Asset Rp 10T – Rp 30T Anugerah Syariah Republika 2017 Republika Anugerah Syariah Republika 2017 Republika Hasanah Banking Partner 16 Annual Report 2017
17. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment BNI Syariah Significant Events 2017 February 08 , 2017 The official opening of three BNI Syariah regional offices BNI Syariah officially opened three new regional offices to offer greater customer convenience. By getting closer to the community BNI Syariah aim to realize the Hasanah Banking Partner for the whole society. April 11, 2017 The launch of BNI Griya Swakarya iB Hasanah President Director of BNI Syariah, Abdullah Firman Wibowo together with Bogor Mayor, Dr. Bima Arya launched the BNI Griya Swakarya iB Hasanah project in Terra Maharani Housing. This product is the only one in Indonesia and the only first innovation of Sharia Bank. May 4, 2017 Relocation Branch Office BNI Syariah Pontianak To make BNI Syariah a Hasanah Banking Partner for the Pontianak community, BNI Syariah relocated to the new Branch Office. May 9, 2017 MoU BNI Syariah with GO-JEK Indonesia BNI Syariah initiate partnership with GO-JEK Indonesia in providing Umroh opportunities for 250,000 GO-JEK partners throughout Indonesia through Umroh Hasanah program with mortgage financing facilities of 15 thousand / day for 2 years. Hasanah Banking Partner 17 Annual Report 2017
18. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis June 16 , 2017 The seventh anniversary of BNI Syariah. “7 Magnificent of Hasanah” Celebrating the 7th Anniversary, BNI Syariah held the main event of “Muhasabah Hasanah”. In addition, the milad series filled with various activities, namely Hasanah Movie Festival, Hasanah Meme Contest, Hasanah For Society. This event also held the Wakaf Hasanah auction in partnership with Al-Azhar Foundation for the procurement of 1 unit of the university bus. July 12, 2017 Launching of Makassar Embarkation Plane Mock Up BNI Syariah support the Ministry of Religious Affairs of Indonesia for Hajj service for prospective Indonesian pilgrims by building a mock up plane in Makassar Embarkation, among others. July 18, 2017 BNI Syariah Partnership with Transjakarta In order to realize BNI Syariah as Hasanah Banking Partner, BNI Syariah partner with Transjakarta in the financing distribution of the purchasing of Transjakarta partner buses, intended to provide more good-quality transportation in DKI Jakarta. This event was attended by Plt. The Governor of DKI Jakarta, Djarot Saiful Hidayat; Main Director of BNI Syariah, Abdullah Firman Wibowo; Operational Director of BNI Syariah, Junaidi Hisom; Plt. Business Director of BNI Syariah, Dhias Widhiyati; and President Director of Transjakarta, Budi Kaliwono. September 4, 2017 Qurban Hasanah Nusantara As a form of gratitude in Eid al-Adha, BNI Syariah organizes the Qurban Hasanah Nusantara event by giving 3 buffaloes, 126 cows, and 451 goats to throughout Indonesia. Hasanah Banking Partner 18 Annual Report 2017
19. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment September 18 , 2017 Relocation of Branch Office BNI Syariah Palu BNI Syariah relocated Palu Branch Office and handed over 25 computers to SMP 17 Pantoloan Central Sulawesi. September 22, 2017 The launch of iB Hasanah Card Lombok Edition Card at Garuda Travel Fair event BNI Syariah support the Government for halal tourism development in Indonesia. One of them is Lombok, which has been established by UNESCO as a halal tourism in Indonesia. IB Hasanah Card Lombok Edition card help the customers with various facilities to enjoying the tour more. 10 - 12 October 2017 Islamic Tourism Expo 2017 Launching of Hasanah Personal Application, which is android / ios based application that can access online information about umroh / hajj and also financing. It is expected to provide convenience for customers to access the information anywhere and anytime through the gadget. October 28-29 2017 BNI Syariah Attending “Indonesia Outlook 2018” Panel Discussion The panel discussion invited speakers, who are also Alste (Alumni SMA 3 Semarang), namely the Minister of Finance of the Republic of Indonesia, Sri Mulyani and the Minister of Foreign Affairs of Republic of Indonesia, Retno Marsudi as the main speakers. As for the other speakers are Entrepreneur, Bernadus Arwin and President Director of Pertamina Hulu Energi, Gunung Sardjono. Hasanah Banking Partner 19 Annual Report 2017
20. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis November 13 , 2017 BNI Syariah Collaboration with IPB on Students Tuition Fee Signing of Collaboration Agreement (PKS) between BNI Syariah and Institut Pertanian Bogor (IPB) regarding tuition fee payment facility through Host to Host system services was attended by Plt. President Director of BNI Syariah, Abdullah Firman Wibowo; Plt. Business Director of BNI Syariah, Dhias Widhiyati; Head of Fund and Transaction Division, Rima Dwi Permatasari; Rector of IPB, Prof. Dr. Ir. Herry Suhardiyanto M.Sc; and Secretary of Institut Pertanian Bogor, Dr. Ir. Ibn al-Qayim. December 18, 2017 BNI Syariah Synergy Strengthen with Pertamina Group This synergy is a continuation of BNI Syariah partnership with Pertamina Group following partnership with PT Pertamina (Persero), PT Pertamina Patra Niaga and PT Pertamina EP. The partnership signing was represented by the Operational and Network Director of BNI Syariah, Junaidi Hisom; Finance & Business Support Director PT Pertamina Gas, Tenny R.A. Rusdy; witnessed by SPV Finance & Business Support of PT Pertamina (Persero), Narendra Widjajanto; and President Director of PT Pertamina Gas, Suko Hartono. December 21, 2017 BNI Syariah Cooperation with Pamulang University In line with the mission of realizing BNI Syariah as Hasanah Banking Partner, BNI Syariah signed a Memorandum of Understanding (MoU) with Pamulang University regarding the Utilization of Sharia Banking Products and Services in the university. Hasanah Banking Partner 20 Annual Report 2017
21. Human Capital Good Corporate Governance Corporate Social Responsibility December 27 , 2017 BNI Syariah and ITB Positive Synergies Establishment BNI Syariah signed Memorandum of Understanding (MoU) on Utilization of Sharia Banking Products and Services with Institut Teknologi Bandung in order to realize BNI Syariah as Hasanah Banking Partner for all circles. Hasanah Banking Partner 21 Annual Report 2017 Attachment
22. Performance 2017 Management Report 02 " Company Profile Business Supporting Function Management Discussion and Analysis MANAGEMENT REPORT The synergy built by the Board of Commissioners, the Board of Directors and Sharia Supervisory Board shall deliver BNI Syariah to achieve the performance which continues to increase and is in accordance with good corporate governance principles and Sharia values. The consistent increasing performance brings BNI Syariah closer to become Hasanah Banking Partner for the entire community. Hasanah Banking Partner 22 Annual Report 2017 "
23. Human Capital Good Corporate Governance Hasanah Banking Partner Corporate Social Responsibility 23 Annual Report 2017 Attachment
24. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis SHARIA SUPERVISORY BOARD REPORT KH Ma ’ruf Amin Chairman of SHARIA SUPERVISORY BOARD Assalamualaikum Warahmatullahi Wabarakatuh Bismillaahirrahmaanirrahiim All praise to Allah Almighty, the Most Gracious and Most Merciful. May prayers and peace be always abundant upon His Prophet, Muhammad PBUH. May ease and guidance of Allah Almighty be always blessed us all. Alhamdulillah, we have passed 2017 successfully with encouraging achievements. PT Bank BNI Syariah managed to record a net profit of Rp307 billion, an increase of 10.6% over the previous year’s net profit of Rp277 billion. With this performance achievement, BNI Syariah successfully continued the positive growth trend which already has been achieved by the Bank in the recent years. For that, we as the Sharia Supervisory Board (DPS) feel proud and congratulate the management and all employees of BNI Syariah. The excellent performance of BNI Syariah in 2017 increasingly strengthens its position in the national sharia banking industry. This is a very positive matter for BNI Syariah in order to realize the Company’s vision and mission. During 2017, DPS has carried out its duties and responsibilities to ensure that all products and operational processes of BNI Syariah have complied with the sharia values and principles of Good Corporate Governance. DPS has conducted internal meetings and joint meetings with the Board of Commissioners, Board of Directors and the level under the Board of Directors. Hasanah Banking Partner 24 Annual Report 2017
25. Human Capital Good Corporate Governance Corporate Social Responsibility DPS would also constantly remind that BNI Syariah continue to make improvement efforts in several operational elements which non- conformity with the Sharia principles are still found , especially in terms of contract and product development. These improvement efforts become very important because they are related to the validity of income recorded by BNI Syariah. In addition, DPS has also conducted a review of products, SOPs and policies in BNI Syariah. DPS has also carried out sample test of fund distribution transactions and services as assessment material and consideration in providing recommendations and sharia opinions. Briefly, the activities of DPS in 2017 were as follows: 1. Holding 19 internal meetings. 2. Reviewing internal regulation plan of new products, namely iB Hasanah Dollar Savings, Sharia Securities Repo and Sharia Hedging. 3. Reviewing change plan/development of product features/product development proposed plan/ features. 4. Providing Sharia Consultation services to meet the needs of BNI Syariah in carrying out its operations in order to remain consistent and in accordance with Sharia principles. 5. DPS or DPS Staff were involved in training activities as training instructor of Sharia Banking Basic Principles (PDPS) for the employees of BNI Syariah. a. Training for the Officer Development Program (ODP). b. Training for SME Account Officers (AO SME). c. Training for SME Financing Head (SFH). d. Sharing session in Bandung Branch Office. e. Sharing session in Tanjung Karang Branch Office. 6. Visiting branch offices and at the same time conducting Sharia Knowledge sharing sessions for branch employees. 7. Issuing 36 sharia opinions concerning products and SOPs. Sharia banking industry is developing very well in Indonesia. The government also strongly supports the development of Sharia financial sector. This is an excellent potential for BNI Syariah to achieve a sustainable growth. DPS supports the exertion undertaken by the management in the business development efforts in BNI Syariah. However, DPS also would remind the management to put forward the implementation of the sharia values and the good corporate governance principles that BNI Syariah business development is in accordance with the applicable regulations and do not violate the Sharia principles. In conclusion, DPS would like to address its gratitude for the support and trust of the Board of Commissioners, Board of Directors, shareholders, and all other Stakeholders. We also would like to express profuse appreciation to all BNI Syariah Individuals who have committed and have high dedication in order to achieve a sustainable growth performance. We also would like to thank our loyal customers who have been using the services of BNI Syariah. May Allah subhanahu wa ta’ala will always give His ease, guidance and help to us all to achieve success in the future and continue to bless us all. Aamiin. All DPS activities in 2017 have been documented and communicated to the management of BNI Syariah as part of continuous improvement effort undertaken by BNI Syariah. Based on the monitoring and review conducted by DPS, in general the implementation of the sharia values in BNI Syariah has been in accordance with the Fatwa of National Sharia Board - Indonesian Ulema Council (DSN-MUI). Wassalamualaikum Warahmatullahi Wabarakatuh KH Ma’ruf Amin Chairman Hasanah Banking Partner Attachment 25 Annual Report 2017
26. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis BOARD OF COMMISSIONERS REPORT Hasanah Banking Partner 26 Annual Report 2017
27. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Fero Poerbonegoro President commissioner Assalamualaikum Warahmatullahi Wabarakatuh , Assalamualaikum Warahmatullahi Wabarakatuh, Dear respected shareholders, please allow us offer our praise and gratitude to Allah Almighty who has bestowed His grace, blessing and gift to us all. And with His permission also PT Bank BNI Syariah has successfully passed the challenging 2017 with encouraging achievement of performance. Furthermore, please allow us as the Board of Commissioners of PT Bank BNI Syariah to convey the main points of the Supervisory Report of the Company’s operations in 2017 fiscal year. As we all know, the economic conditions in 2017 have been quite well. In general, the national economy experienced positive growth over the previous year. It can be seen from the economic indicators in 2017 which were slightly better than 2016. However, the national economic growth in 2017 was triggered more by government spending which intensely undertook infrastructure development in various regions and executed other programs. While the private sector participation in the economic growth remained relatively stagnant. This was due to the business players considered the development of the national political situation, in which the period of 2017 to 2019, the national political temperature is higher because there is a political agenda in the form of simultaneous Regional Head elections and the Legislative Member elections and the Presidential election in 2019. The unoptimal role of the private sector in supporting the economic growth can be seen from the banking credit growth which was relatively lower than the previous year. However, the growth of the sharia banking was still better than the conventional banking. This indicated that the sharia banking was increasingly accepted by the society and the business world in Indonesia. Hasanah Banking Partner 27 Annual Report 2017
28. Performance 2017 Management Report Company Profile Business Supporting Function Assessment of the Board of Directors ’ Performance resources in the financing field which is very important for the banking industry, as it relates to the quality of the Company’s assets. Amid the slowdown of the banking industry’s growth, BNI Syariah still recorded an encouraging performance. In general, the growth of the financial performance of BNI Syariah was above the average of the sharia banking, both in terms of financing and fund raising. In 2017, BNI Syariah also further strengthened its positioning as Hasanah Banking Partner. This was evidenced by the products and services offered by BNI Syariah which were tailored to the needs of the society and business world. Total financing recorded by BNI Syariah in 2017 reached Rp23.597 billion, an increase of 15.1% over the previous year’s financing. The increase in the financing was accompanied by an increase in the quality of financing that was characterized by decreasing level of Non Performing Financing from 2.94% in 2016 to 2.89% in 2017. This achievement was in line with the direction of the Board of Commissioners which continued to remind the Board of Directors to pay more attention to the risk aspect in distribution of financing. The achievement of BNI Syariah financing distribution in 2017 was also in the determined target range. The Board of Commissioners appreciates the financial and operational performance recorded by BNI Syariah in 2017. The Board of Commissioners also appraises that the Board of Directors and its management have performed their duties and responsibilities well in managing BNI Syariah. Strategy Implementation and Counseling Oversight At the beginning of the financial year, the Board of Commissioners and Board of Directors have agreed on the targets and strategies that will be implemented by BNI Syariah throughout 2017 financial year as stipulated in the 2017 Business Strategy. The Business Strategy Formulation is also adapted to the medium and long term plans of BNI Syariah and the direction from the Shareholders. In terms of fund raising, in 2017 BNI Syariah also recorded an excellent growth, which reached 21.2%. The growth was above the growth of other banking industry players. The achievement of profit in 2017 grew 10.6% over the previous year to Rp307 billion. In addition, BNI Syariah also received several awards for its services to customers which were awarded by independent parties. It proved that there was an increased quality of services provided to the customers of BNI Syariah. The Board of Commissioners took an active role in overseeing the Board of Directors in implementing the strategies to achieve the targets determined. In the forum of joint meetings of the Board of Commissioners and Board of Directors, the Board of Commissioners always seeks for explanation from the Board of Directors of the strategy pursued and the goals to be achieved. In the forum, the Board of Commissioners expresses their views and advices to the Board of Directors related to the achievement of performance and strategy implemented by the Board of Directors. The achievement of satisfactory performance was a result from the strategy and the strategic initiatives taken by the Board of Directors throughout 2017. The Board of Commissioners assessed a number of strategic initiatives taken by the Board of Directors in 2017 was able to bring BNI Syariah to achieve a better performance than the previous year. Throughout 2017, the Board of Commissioners has conducted 13 joint meetings with the Board of Directors to discuss the Company’s performance and strategies applied. In addition, every week the Board of Commissioners invited each of the Directors alternately to discuss the performance and achievement of the Board of Directors related to the field under his responsibility. The Board of Directors continues to boost the quality of Human Resources (HR) by running a number of educational and training programs. The Board of Commissioners provides great support to the efforts carried out by the Board of Directors in developing the quality of the human resources, especially the human Hasanah Banking Partner Management Discussion and Analysis 28 Annual Report 2017
29. Human Capital Good Corporate Governance Corporate Social Responsibility 6 . Increasing business synergies of BNI Group BNI Syariah is part of BNI Group. The Board of Commissioners encourages the Board of Directors to increase the synergy with Bank BNI as the parent company and other BNI subsidiary companies. Development of synergies with the BNI Group in a larger scale will mutually reinforce one another. 7. Increasing financing for the ummah The Board of Commissioners encourages the Board of Directors to increase financing for the ummah. It is in line with the sharia values promoted by BNI Syariah. The main points of view and advice given by the Board of Commissioners to the Board of Directors throughout 2017 including: 1. Improving prudential banking The Board of Commissioners continues to remind the Board of Directors to improve the prudential banking aspect. The relatively high level of risk in the banking industry demands the implementation of good prudential banking principles. To that end, the Board of Commissioners requests the Board of Directors to further enhance the risk awareness culture in all lines of the company’s operations, particularly in the financing distribution. 2. Improving the quality of human resources The human resource aspect is a distinctive challenge for sharia banking business operators, due to the required qualifications and competencies are more complex than the conventional banking. To that end, the Board of Commissioners encourages the Board of Directors to continue to make efforts to improve the quality and competency of the human resources. 3. Improving quality of services BNI Syariah has received a number of awards related to services. However, the Board of Commissioners continues to encourage the the Board of Directors to improve the services to customers. The Board of Commissioners views, in the banking industry, the competition to provide the best services is not just limited to fellow sharia banks, but also involves conventional banks which already have excellent level of service. 4. Increasing the IT capacity The banking industry is closely associated with Information Technology. The Board of Commissioners assesses BNI Syariah needs to increase the IT capacity to be able to provide better service with better security level as well. In addition, IT can also make the organization run more efficiently. 5. Improving efficiency The Company’s operating costs are still relatively high. To that end, the Board of Commissioners requests the Board of Directors to increase the efficiency in order to provide optimal benefits to the shareholders. Hasanah Banking Partner Attachment View over Corporate Implementation Governance Implementation of Good Corporate Governance principles in BNI Syariah continues to show a very good development. The structure and mechanism of BNI Syariah Corporate Governance continues to be equipped and refined. The improvement of the quality of the corporate governance principle implementation is also reflected in the self assessment results carried out by BNI Syariah. In 2017, BNI Syariah regained a composite score of “2” or the category of “Good”. It reflects that BNI Syariah has implemented the Corporate Governance principles well. Nevertheless, the Board of Commissioners encourages the Board of Directors to continue to improve the quality of the Corporate Governance principle implementation. The Board of Commissioners through the Audit Committee and the Risk Monitoring Committee continually requests the Board of Directors to build the risk awareness and compliance culture in the Company. One focus of attention of the Board of Commissioners in the implementation of the Corporate Governance principles is related to the implementation of Whistleblowing System (WBS) in BNI Syariah. The Board of Commissioners through the Audit Committee continues to monitor the implementation of the WBS in BNI Syariah. The Board of Commissioners views that the WBS is a very effective mechanism to prevent fraud. To that end, the Board of Commissioners encourages the Board of Directors to continue to disseminate information related to the WBS existence so that the system can function properly. 29 Annual Report 2017
30. Performance 2017 Management Report Company Profile Business Supporting Function Performance Assessment of the Committees under the Board of Commissioners Risk Management Committee 1 . Conduct discussions on Corporation Financing Facility. 2. Conduct discussions on the Implementation of 2017 Risk Management Program and Risk Policy Committee. 3. Conduct discussions on the achievement of 2017 monthly Financial Performance. 4. Conduct discussions on Conditions and Performance of 2017 Financing. 5. Conduct discussions on risk profile and 2016 integrated risk management. 6. Conduct discussions on developments of NPF recoveries and legal cases. 7. Conduct discussions on 2018 Business Strategy 8. The Board of Commissioners gives high appreciation of the performance of the Committees under the Board of Commissioners. Various inputs provided by the Committees assist the Board greatly in exercising the company oversight function. In carrying out the oversight function, the Board of Commissioners has been assisted by the Audit Committee, Nomination and Remuneration Committee and Risk Management Committee, each committee is chaired by an Independent Commissioner. During 2017 the Committees have carried out their duties and responsibilities well, among others: Audit Committee 1. Evaluate the work plan and implementation of the work plan of the Internal Audit Unit (SPI) and follow up on the SPI reports, Financial Services Authority, Public Accounting Firm Management Letter and Sharia Supervisory Board. 2. Provide recommendations on the appointment of Public Accounting Firm to the Board of Commissioners. 3. Coordinate with Public Accounting Firm for effectiveness of external audit implementation. 4. Make visits to the Company’s Divisions/Units and Branches. View over Business Prospects The Indonesian economy in 2018 is predicted to experience better growth compared to 2017. However, the rising political temperature in the country will be a factor considered by businesses to expand. Apart from these conditions, BNI Syariah regards 2018 with high optimism. The Board of Commissioners has developed 2018 achievement targets together with the Board of Directors. The targets set are reasonable targets based on the assumptions of various aspects. Nomination and Remuneration Committee 1. Review the remuneration policy for the Board of Directors, Board of Commissioners, employees in general. 2. Ensure that the remuneration system used is in accordance with the interests of the Company and fulfills the rights of the employees and on a par with the market. 3. Ensure that the employee nomination system has complied with the fairness principles and supports the availability of qualified personnel to ensure the achievement of superior performance. 4. Review the system of performance appraisal parameters of the Board of Directors that provides objective and transparent performance assessment of the Board of Directors. 5. Provide recommendations for members of the Board of Commissioners Committees. Hasanah Banking Partner Management Discussion and Analysis The Board of Commissioners views that BNI Syariah still has a huge potential to continue to grow. To that end, the Board of Commissioners requests the Board of Directors to implement a sustainable strategy with those of the previous years by implementing a number of strategic initiatives. The Board of Commissioners asks the Board of Directors to focus on the segments with risk level that can be well controlled and continuously improve the quality of human resources in order to achieve the Company’s goals implemented properly. 30 Annual Report 2017
31. Human Capital Good Corporate Governance Corporate Social Responsibility On behalf of the Board of Commissioners , we also would like to express profuse gratitude to all customers, debtors and business partners of BNI Syariah. Hopefully the cooperation that has been established well can be improved in the future. Changes in the composition of the Board of Commissioners Based on the decision of the Extraordinary General Meeting of Shareholders held circularly on December 29, 2017 which approved and appointed Max R. Niode with change of status from the Commissioner to be Independent Commissioner. Thus, the composition of the Board of Commissioners of BNI Syariah as of December 31, 2017 is as follows : Fero Poerbonegoro : President Commissioner Rizqullah : Independent Commissioner Max Niode : Independent Commissioner Muhammad Syakir* : Independent Commissioner Finally, by conveying our gratitude to Allah Almighty, the Board of Commissioners invites the whole teams of BNI Syariah to continue to provide their best capability, given the challenges of the future business will be heavier. Wabillahi taufik wal hidayah Warahmatullahi Wabarakatuh * Still undergoing the FSA fit and proper test process Appreciation BNI Syariah has achieved relatively encouraging performance amid the increasingly keen competition. The Board of Commissioners gives appreciation to the Board of Directors and BNI Syariah management team and all employees for their dedication and hard work commited to BNI Syariah. Fero Poerbonegoro President Commissioner The Board of Commissioners also would like to express the gratitude to the Shareholders and stakeholders for their trust and support given so that the Board of Commissioners could carry out their duties and responsibilities well. Hasanah Banking Partner Attachment 31 Annual Report 2017 Wassalamualaikum
32. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis Report of the Board of Directors Hasanah Banking Partner 32 Annual Report 2017
33. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Abdullah Firman Wibowo President Director Assalamualaikum Warahmatullahi Wabarakatuh , Dear respected Shareholders and Stakeholders, First of all, praise to Allah Almighty for all His blessings. May prayers and peace be always abundant upon His Prophet, Muhammad PBUH and his family, companions and followers until the end of time. On this occassion, please allow us to convey the accountability report on the management of PT Bank BNI Syariah for the fiscal year ended December 31, 2017, and Alhamdulillah with relatively satisfactory performance. The Economic Condition and National Banking Industry in 2017 The global economy in 2017 Started to show an improvement. After continuous pressures in the last few years, the global economy in 2017 experienced positive growth. This was partly due to the improved economic growth in developed countries. The Chinese economy over the past seven years experienced slow growth, 2017 regained positive growth, with economic growth at 6.9% (yoy), or higher than the previous year’s economic growth of 6.7%. Similarly, in the United States. Amid concerns over the Trump Effect, the US economy grew more than the previous year of 1.6% (yoy) in 2016 to 2.3% (yoy) in 2017. The improvement in commodity prices was a factor that drove the global economic growth. The coal and crude oil prices gradually rose, although not back to the highest level yet. Hasanah Banking Partner 33 Annual Report 2017
34. Performance 2017 Management Report Company Profile Business Supporting Function In 2017 , the focus of strategy undertaken by BNI Syariah was to strengthen the positioning of Hasanah Banking Partner. BNI Syariah seeks to become a sharia bank that can meet the needs of banking services for the community and the business world. Those efforts have consistently carried out in every aspect of the Bank’s operations. The World Bank estimates that the world economy rises by 2.9% in 2018 from 2.7% in 2017, which is influenced by the positive economic development in the developed countries and grow as the main motor of the world economy, Along with the improved global economy, Indonesia’s economic growth grew gradually in 2017. Compared to the countries in the ASEAN region, Indonesia’s economic growth in 2017 was realized by 5.07% (yoy), higher than the previous year’s economic growth of 5.02% (yoy). In the area of financing, in order to maintain optimal growth and sustainable business, the Board of Directors seeks to encourage the growth of the productive financing in accordance with the direction of the regulator which is supported with a good quality. In this case, the implementation of risk management is also a major concern so that the quality of BNI Syariah financing can be properly maintained. In the area of funding, the Board of Directors instructed to achieve the funding growth through the optimization of inexpensive funds to achieve BNI Syariah CASA ratio above the industry. By the end of 2016, BNI Syariah CASA ratio stood at 47.63%, in 2017 the CASA ratio of BNI Syariah reached 51.60%, higher compared to 2016. The inflation rate in 2017 was also maintained at a quite low level, namely 3.61% (yoy). Although the inflation rate in 2017 was slightly higher than the inflation rate of the previous year of 3.02% (yoy), but the achievement was very good, because it was on the target range of the 2017 Revised State Budget (APBN-P) determined at 4% (± 1%). The sufficiently low inflation rate pushed the Central Bank of Indonesia to adjust the benchmark interest rate of BI 7-Day Repo rate to 4.25%. While in the field of capital, to support sustainable business growth the Board of Directors seeks to strengthen the capital management by maintaining the Capital Adequacy Ratio in accordance with the regulator’s requirement, and through unorganic growth strategy in the form of equity injection from the parent. However, the positive economic growth and the decline in the benchmark interest rate did not necessarily encourage the growth of the banking industry. The bank lending through December 2017 still experienced limited growth of 8.4%, although higher than the credit growth of the previous year of 7.9% (yoy). The asset growth in 2017 was realized at 9.8%, lower than the previous year’s growth of 10.4% (yoy). Likewise, the Third Party Fund which grew 9.4% in 2017, slightly lower than the previous year’s growth of 9.6% (yoy). The other strategic initiative carried out was to optimize the outlet function through the reclassification of Sub-Branch Office (KCP) to consider the regional potential and internal capabilities as well as enhancement of Functional Office (KF) to Branch Office (KC) or Sub-Branch Office (KCP) in order to capture wider business opportunities. The sharia banking recorded a better performance compared to the commercial banking. The sharia financing recorded a growth of 15.2%, 19.0% growth in assets and 19.8% growth in deposits. This shows that the sharia banking has gained a place in the Indonesian society. In 2017, BNI Syariah also undertook enhancement on the IT capabilities that could support the company’s business needs both the means and the infrastructure that was in accordance with the 2017 IT Strategic Plan. BNI Syariah also continues to optimize the synergy relationship both with the parent company and the other parent subsidiaries in carrying out business marketing as well as the cooperation of operational sustainability. Strategic initiatives Faced with various challenges throughout 2017, the Board of Directors remains focused on developing BNI Syariah longterm businesses optimally. With numerous challenges and opportunities, the Board of Directors has taken strategic initiatives to support the company’s vision and mission as well as the targets in 2017. Hasanah Banking Partner Management Discussion and Analysis 34 Annual Report 2017
35. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Challenges 2017 BNI Syariah Performance 2017 was a year full of challenges for BNI Syariah . Lack of improvement in the commodity prices throughout 2017 causing some major producing commodity regions experienced an economic slowdown. This led BNI Syariah business in some sectors experienced a decline. Based on the achievement of December 2017, BNI Syariah was able to grow better than the previous year and was successful in achieving the target determined. In 2017 BNI Syariah successfully recorded an asset growth of 23.0% to Rp34.827 billion, from the previous year of Rp28.314 billion. Total assets of BNI Syariah in 2017 was above the target determined, namely Rp32.605 billion or 106.8%. The quality of financing remains an issue that must be managed by Sharia banking, including BNI Syariah. Not only affecting the profitability, the quality of financing has also become a significant factor in corporate action to be taken by the company in the future. BNI Syariah continues to strive to maintain the quality of financing through the distribution of financing with more selective and cautious manner. Throughout 2017, the financing distributed by BNI Syariah reached Rp23.597 billion, an increase of 15.1% compared to the previous year financing of Rp20.494 billion, or reached 99.2% of the target of Rp23.778 billion. In order to maintain the quality of financing, BNI Syariah is more selective and cautious in extending the financing, so that the financing in December 2017 has not reached 100% of the target established. It can be seen from BNI Syariah financing quality improvement in 2017, where the ratio of Non Performing Financing (NPF) in 2017 decreased to 2.89% from the previous year at 2.94%. The capital adequacy is also a challenge for BNI Syariah. It is associated with the Bank’s business development plan forward. In order to achieve the goal to be a modern, globalized and digital Hasanah Banking Partner, then BNI Syariah needs to increase the capital to BOOK 3 Bank. Therefore, the strategy to increase the capability of capital must be prepared carefully to obtain optimal results for our stakeholders. To strengthen the capital ratio and to support the company’s business purposes, per December 2017 BNI Syariah received an injection of capital of Rp1 trillion from PT Bank Negara Indonesia (Persero) Tbk. as the controlling shareholder. Third Party Fund (DPK) which has been collected by BNI Syariah in 2017 realized at Rp29.379 billion, an increase of 21.2% over the previous year of Rp24.233 billion. The achievement in the DPK in 2017 arrived at 105.1% of the target of Rp27.955 billion. The availability of a reliable workforce is also a challenge in achieving the objectives of BNI Syariah business in 2017. The high rate of turnover that occurred in 2017 led to In terms of the bottom line, net profit recorded by BNI Syariah in 2017 gained Rp307 billion, an increase of 10.6% compared to the profit in 2016 of Rp277 billion. The achievement of profit in 2017 reached 94.3% of the target set at Rp325 billion. several key positions not filled in that affected the performance of the unit. For that, BNI Syariah continues to improve employee development program by conducting a number of training to improve the competency and quality of its human resources. Hasanah Banking Partner 35 Annual Report 2017
36. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis Human Resource Development Information Technology Human Resources (SDI) is an aspect which is a major concern of BNI Syariah. BNI Syariah believes that HR will be the main factor that determines the success of the company. To that end, in 2017 BNI Syariah started to seek to encourage employee capability development by implementing Talent Management program. The program aims to identify talented employees in BNI Syariah and improves the quality of BNI Syariah human resources so as to compete in the banking industry in general. The talents will be specifically noted by BNI Syariah management. During 2017, there were 114 employees included in the pool of talent of BNI Syariah. Policy for Utilization and Management of Information Technology of BNI Syariah is aligned with the direction of the stakeholders especially the Financial Services Authority as the regulator. In accordance with the directives of the Shareholders, BNI Syariah still carries out IT Sharing with Bank BNI in the framework of BNI Incorporated synergies. In addition, BNI Syariah information technology policy responds to changes in the banking industry with the development of applications required by customers. Progress and achievements in 2017 were generally divided into three areas, namely projects related to compliance with the regulation, transactional banking development projects and operational support projects. BNI Syariah also implements Hasanah Development program. This program is part of a job training conducted by BNI Syariah in order to provide job training and employment assistance to inexperienced job seekers. The program is organized in an integrated manner between theory-based training and direct practice under the guidance of employees of BNI Syariah. Currently there are teller participants in Jabodetabek. Compliance related projects, namely the implementation of chip debit cards in stages according to NSICCS standard; cooperation with domestic ATM switching company for NPG (National Payment Gateway) and SLIK (Financial Information Service System) Transactional banking development projects including digital banking initiatives namely hasanah waqaf payments via e-channels; hasanah personalized mobile application for Umrah directory, housing and Hasanah Card; hasanah remittance for incoming and outgoing remittances; payment transaction system financed by SBSN (State Sharia Securities) activities; development of student payment center for cooperating universities in 2017; implementation of bank code 427 use for incoming transfer transactions through ATMs of other banks in the ATM Bersama network, to BNI Syariah account and development of system for payment with billers. In addition, in order to improve the risk awareness culture, BNI Syariah continues to improve the training and certification of risk management, starting from the junior level up to the executive manager manager. In 2017, there were 475 employees who have been granted risk management certification in accordance with the Central Bank of Indonesia’s requirements. For new employees, BNI Syariah runs the academy program through the Assistant Development Program (ADP) and the Officer Development Program (ODP). The in class training for the hard-soft skill development and the sharing sessions for employees who are not trained in class. While online learning will be initiated in 2018. Operational support projects namely hardware infrastructure and network projects for opening new Sub-Branch Offices and office relocations; office support application (APK) for the provision of data for internal and external parties of the bank; online dashboard for branch managers in monitoring the respective branch office business; and reconciliation application with parties cooperating with the BNI Syariah among others PLN. MoF, billers and numerous agencies related to payments. Human resource development fund allocated by BNI Syariah reached Rp35.59 billion, grew 10% compared to 2016 of Rp27.73 billion. Hasanah Banking Partner 36 Annual Report 2017
37. Human Capital Good Corporate Governance Implementation of Governance Principles Corporate Social Responsibility Corporate Performance Committees Directors The implementation of Good Corporate Governance (GCG) principles in BNI Syariah is not a requirement. More than that, the principle of good corporate governance is a necessity for BNI Syariah, because it is in line with the sharia values developed in BNI Syariah. The complexity and the high level of banking industry risk makes the implementation of GCG principles is mandatory that can not be negotiable. Assessment of the Under the Board of In carrying out the task of management of the Company the Board of Directors is assisted by the Committees under the Board of Directors, namely: Policy and Risk Committee (KKR), Human Resources Committee (KSDM), Capital, Investment and Technology Committee (KMIT) and Assets, Liabilities, Management Committee (KALMA). The existence of the Committees under the Board of Directors is in accordance with the provisions of PBI on GCG and aims to enhance the implementation of corporate governance principles in the operational activities of BNI Syariah. Based on this awareness, BNI Syariah continually strives to improve and enhance the structure, mechanism and infrastructure of its GCG. BNI Syariah renews the standard operation procedure (SOP) and certifications held to ensure the systems and procedures are implemented in accordance with the best practice. Throughout 2017, the committees have performed their roles properly and worked in accordance with the duties and responsibilities of each, among others: 1. Risk Policy Committee Has reviewed SME financing policies and the authorities that should be decided by the Financing Decision Officer on the basis of input from the business units and product owners. • Authority to decide on financing during transition period • Authority to decide on procurement of goods and services • Provision of FTV and down payment of motorized vehicle • Improvement of the authority to decide on disbursement at Operations Division • Establishment of budget loss limit and review of market risk limit and liquidity 2. Human Resources Committee • Decide administrative sanctions for employees involved in the cases in several branches, and Divisions/Units. • Decide rotations/transfers of several positions in the area and branch. • Decide appointment/confirmation of the heads in several branches of the Capital, Investment and Technology Committee • Establish Directors General Policy (KUD). • Information Technology and Strategic Planning (ITSP) Policy. • Determine Business Target and 2018 Budget. • Formulate business unit targets in 2018. BNI Syariah carries out know your employee program. This is based on the awareness that the potential for fraud is more due to the internal factors. In line with the program, BNI Syariah also runs a program to reward those employees who report through the whistleblowing system, if the reports proven to contain elements of fraud. BNI Syariah also performs integration supervision under the Internal Audit Division. The supervision previously was carried out separately for each business segment, is integrated in a single control. It is intended to obtain a full picture of the potential violations in NI Sharia. At the end of the implementation of GCG and improvements undertaken in 2017, it has resulted in a good outcome, namely GCG self assessment score of 2 or Good, and BNI Syariah was awarded Trusted Company predicate in the CGPI (Corporate Governance Perception Index) event held by the Indonesian Institute for Corporate Governance. Hasanah Banking Partner Attachment 37 Annual Report 2017
38. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis In 2018 the strategic policy of BNI Syariah will be focused on the business growth in the right segment based on four (4) main points as the basis for strategic policy which includes halal ecosystem (creating Islamic institutions such as Islamic education, Islamic hospitals, halal food and halal tourism as potential markets for sharia banking), inclusivity (expansion of sharia product coverage through branchless banking and Sharia Channeling Outlet), new generation (meeting the needs of customers who demand speed, convenience and security via digital banking), and risk-return appetite (selection of low-risk financing segments). • CAPEX and OPEX budget allocation in 2018 and addition of HR in 2018. 3. Asset Liability Management Committee • Determination of Financing Pricing Model; • Review of Financing Rates; • Review of Funding Rates; • Establishment of Fund Transfer Pricing; • Review of Fund Transfer Pricing; • Improvement of Fund Transfer Pricing Formula determination; • Improvement of revenue-sharing poll; • Establishment of cash foreign currency ceiling; • Create formulas and proposals related to • liquidity management, forex, investment earnings interest rate risk. BNI Syariah remains optimistic with business development projection in 2018. BNI Syariah establishes business growth target set in the range of 11%, with support from financing growth by 15% and 13% in DPK. The Board of Directors appreciates the performance of the Committees which have provided valuable inputs to the Board of Directors in accordance with the duties and responsibilities of each, both tactical and long term. Changes in the Composition of the Board of Directors Business prospects In 2017, the composition of the Board of Directors of BNI Syariah changed in accordance with the decision of the Extraordinary General Meeting of Shareholders held on March 23, 2017 that honorably discharged Imam Teguh Saptono from his position as the President Director and Kukuh Rahardjo from his position as Director of Consumer Business, as well as appointed Abdullah Firman Wibowo as the President Director and Dhias Widhiyati as Director. Based on the internal analysis and the current economic condition which is still influenced by global conditions and political issues, the economy in 2018 is projected to be better than in 2017. The government’s positive signals that the economic growth in 2018 shall be improved through infrastructure improvements leading to the projected growth of the Gross Domestic Product (GDP) in the subsequent year in the range of 5.1% -5.5%. Business development which is based on the prudential principle remains the main strategy of BNI Syariah. Therefore, BNI Syariah will focus on the segments that have great potential with controlled risk level. Hasanah Banking Partner 38 Annual Report 2017
39. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Based on the decision , composition of the Board of Directors of BNI Syariah as of December 31, 2017, is as follows : In addition, by decision of the Extraordinary General Meeting of Shareholders held on December 29, 2017, approved and appointed Tribuana Tunggadewi as Director of Compliance and Risk. President Director Abdullah Firman Wibowo* Operations Director Junaidi Hisom Business Director Dhias Widhiyati Compliance and Risk Director Tribuana Tunggadewi * Not effective until the end of 2017, but has been effective on March 13, 2018 Appreciation the Bank from time to time, as well as to the Central Bank of Indonesia and the Financial Services Authority (FSA) as the policy maker who directly interacts with the banking sector on their consistency in an attempt to realize the healthy economy and banking. BNI Syariah continues to move, grow, and evolve in line with the change of times, in order to serve the needs of customers well, in accordance with the vision of becoming the sharia bank of the people’s choice that excels in services and performance. Representing the Board of Directors, we express our gratitude and highest appreciation to all employees of BNI Syariah who have worked with passion and pride. We also would like to address our gratitude to the Board of Commissioners and the Sharia Supervisory Board who have provided guidance on the corporate governance. Wabillahi taufik wal hidayah Wassalamualaikum Warahmatullahi Wabarakatuh On behalf of the company, we also convey sincere recognition to our customers who contribute to the business development of BNI Syariah, Shareholders who consistently provide full support to the development of Hasanah Banking Partner Abdullah Firman Wibowo President Director 39 Annual Report 2017
40. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis Responsibility Statement on the Annual Report 2017 We , the undersigned, state that all information contained in the 2017 Annual Report of PT Bank BNI Syariah is presented in its entirety, and we take full responsibility for the correctness of the contents in this Annual Report. This statement is hereby made in all truthfulness. Jakarta, 2018 Board of Commissioners Fero Poerbonegoro President Commissioners Rizqullah Independent Commissioner Muhammad Syakir* Independent Commissioner Max Niode Independent Commissioner *currently in process for OJK fit and proper test Hasanah Banking Partner 40 Annual Report 2017
41. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Responsibility Statement on the Annual Report 2017 We , the undersigned, state that all information contained in the 2017 Annual Report of PT Bank BNI Syariah is presented in its entirety, and we take full responsibility for the correctness of the contents in this Annual Report. This statement is hereby made in all truthfulness. Jakarta, 2018 Board of Directors Abdullah Firman Wibowo President Director Junaidi Hisom Operational Director Dhias Widhiyati Business Director Tribuana Tunggadewi Risk & Compliance Director Hasanah Banking Partner 41 Annual Report 2017
42. Performance 2017 Management Report 03 " Company Profile Business Supporting Function Management Discussion and Analysis Company Profile BNI Syariah established its position as the Hasanah Banking Partner that integrate modern feature and banking services with sharia values. Hasanah Banking Partner 42 Annual Report 2017 "
43. Human Capital Good Corporate Governance Hasanah Banking Partner Corporate Social Responsibility 43 Annual Report 2017 Attachment
44. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis COMPANY IDENTITY Hasanah Banking Partner 44 Annual Report 2017
45. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Company Name PT Bank BNI Syariah Company Business Sharia banking business in accordance with the Articles of Association of BNI • • • • Company Segment Commercial Business Consumer & Retail Business Micro Business Treasury & International Business Effective Date of Operations June 19, 2010 Legal Basis of Establishment Decree of Minister of Law and Human Rights No.: AHU15574,AH.01.01.Year of 2010, dated March 25, 2010 Authorized Capital Rp4.004.000.000.000 Issued and Fully Placed Capital Rp2.501.500.000.000 Ownership PT Bank Negara Indonesia (Persero) Tbk. : 99,94% PT BNI Life Insurance: 0,06% Total Employees 4.737 Persons Office Network 349 Outlets across Indonesia Head Office Address Gedung Tempo Pavilion 1 Jl. HR. Rasuna Said Kav. 10-11, Lt.3-8 Jakarta 12950, Indonesia Telepon: +62 21 2970-1946 Faksimili: +62 21 2966-7947 E-mail: info@bnisyariah.co.id Website www.bnisyariah.co.id Social Media Facebook : PT. Bank BNI Syariah Twitter : @bnisyariah Instagram : @bni.syariah Hasanah Banking Partner 45 Annual Report 2017
46. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis BNI SYARIAH AT A GLANCE The establishment of BNI Syariah was also contributed by external factors such as conducive regulatory with the issuance of Law No . 21 year 2008 concerning Sharia (Islamic) Banking. In addition, the Government’s commitment to the development of sharia banking was growing stronger as well as the increasing awareness of sharia banking product advantages. PT Bank BNI Syariah (hereinafter referred to as BNI Syariah) established on 19 June 2010. BNI Syariah is the spin off result of Sharia Business Unit PT Bank Negara Indonesia (Persero) Tbk. (Hereinafter referred to as BNI Parent Company) operating since 29 April 2000. Originated from five branches in Yogyakarta, Malang, Pekalongan, Jepara and Banjarmasin, Sharia Business Unit of BNI was further developed into 28 Branch Offices and 31 Sub-Branch Offices. With commitment to provide the best for its customers, BNI Syariah continues to experience a very good business growth. Every year, BNI Syariah business growth is above the average growth of Sharia banking industry in Indonesia. By the end of 2017, total assets of BNI Syariah has reached IDR28,3 trillion and become one of the largest among players in the Sharia banking industry. Corporate Plan of BNI Sharia Business Unit year 2000 stated that the status of Sharia Business Unit was only temporary and therefore a spinoff was planned to be held in 2009. The spinoff plan was executed on 19 June 2010 with the establishment of PT Bank BNI Syariah as Sharia Commercial Bank based on the Decree ofthe Governor of Bank Indonesia No. 12/41/KEP. GBI/2010. Dated 21 May 2010. Hasanah Banking Partner 46 Annual Report 2017
47. Human Capital Good Corporate Governance Corporate Social Responsibility adherence to sharia aspects to ensure that all products of BNI Syariah has passed the testing of the Sharia Supervisory Board and met the prevailing sharia rules . To support business expansion and maintain its liquidity, in May 2015 BNI Syariah was issuingSukuk Mudhrabah Bank BNI Syariah I amounted to IDR500 billion with a tenor of three years. The offered profit sharing was 15.35% with the equivalent rate of 9.25% per year. This sukuk (Islamic bonds) was rated idAA+(sy) by Pefindo. In addition, the operational aspect of BNI Syariah is also supported by competent human capital to support the achievement of good performance in every aspect. Currently, BNI Syariah has 4.737 employees in which the competence evelopment process is continuously held to develop the best employee in its area. In terms of information technology, BNI Syariah as a subsidiary of PT Bank Negara Indonesia (Persero) Tbk is supported by the joint utilization of leading-edge information technology system that has been certified ISO 9001:2008. To date, the business network of BNI Syariah has expanded to 3 (three) Regional Offices, 68 Branch Offices, 180 Sub-branches, 17 Cash Offices, 9 Functional Offices, 49 Payment Points and 23 23 Mobile Services Unit. BNI Syariah continuously improves services in each network. As one of the manifestation of continuous service improvement, BNI Syariah also observes the Hasanah Banking Partner Attachment 47 Annual Report 2017
48. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis BNI Syariah ’s Milestones 2000 PT Bank Negara Indonesia (Persero) Tbk established a Sharia Business Unit (SBU) with five branch offices in Yogyakarta, Malang, Pekalongan, Jepara, and Banjarmasin. 2000 2002-2004 Sharia Business Unit BNI consecutively awarded The Most Profitable Bank among the two Sharia Banks and eight SBUs. SBU of BNI generated its first profit of IDR875 million, achieved positive profit with the support of seven branch offices. 2014 2015 BNI Syariah launched the Corporate Campaign “HASANAH point” located at Tempo Pavilion 1 Kav.11, Kuningan, Jakarta. Achieved 1st position on Annual Report Awards held by OJK (Financial Services Authority/ FSA), in “Financial Private NonListed” category. Issuance of Sukuk Mudharabah Bank BNI Syariah I Year 2015 amounted to IDR500 billion with a three-year tenor. 2015 BNI Syariah launched Wakaf Hasanah to support BNI Syariah’s identity to become Hasanah Lifestyle Bank. 1st winner 1, Sustainable Finance Awards 2016 conducted by OJK, with categories of Book 1 and 2. Hasanah Banking Partner 48 Annual Report 2017
49. Human Capital Good Corporate Governance 2009 Corporate Social Responsibility Attachment 2010 Establishment of Sharia Commercial Bank Implementation Team that will transform Sharia Business Unit of BNI into PT Bank BNI Syariah . BNI Syariah officially operated as Sharia Commercial Bank on 19 June 2010, with 27 branch offices and 31 subbranch offices. At the end of December 2010, the Bank successfully recorded IDR6.4 trillion in assets, a 21% increase compared to June 2010. 2011 BNI Syariah membukukan laba Rp66 miliar dengan dukungan 38 cabang, 54 kantor cabang pembantu, 4 kantor kas, serta lebih dari 1.000 Syariah Channelling Outlet BNI (SCO BNI) dengan total aset Rp8,5 triliun pada akhir Desember 2011. 2012 2013 Micro outlet started to operate with the additional of 10 regular outlet branches. In addition, BNI Syariah successfully booked a total asset of IDR10 trillion on 10 November 2012 and obtained 16 awards during the year. One of the most significant awards received by BNI Syariah was the Best CASA 2012 among all sharia banks. Inauguration of new BNI Syariah head office located in Tempo Pavillion 1 Building as an integrated Head Office. Achieved 1st position on Annual Report Awards held by OJK (Financial Services Authority /FSA), in “Financial Private Non-Listed” category. 2017 BNI Syariah established Hasanah Banking Partner as the strategic positioning of BNI Syariah Hasanah Banking Partner 49 Annual Report 2017
50. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis BUSINESS ACTIVITIES In accordance with the Articles of Association , with latest changes on 7 January 2016, as stipulated in the Deed No. 4 dated 7 January 2016, made before Fathia Helmi, SH., Notary in Jakarta. In Article 3 states that the objective and purpose of BNI Syariah is conducting banking business based on sharia principles in accordance with the provisions of the legislation in force. To achieve this objective and purpose, BNI Syariah may carry out the following activities: 1. Collecting funds in the form of saving account, namely current account, savings, or other equivalent forms based on wadi’ah contract or other contract which is not contrary to the sharia principles; 2. Collecting funds in the form of investment, namely current account, savings, or other equivalent form based on mudharabah contract or other contract which is not contrary to the sharia principles; 3. Distributing financing based on mudharabah, musyarakah contract, or other contracts which is not contrary to the sharia principles; 4. Conducting financing based on mudharabah, salam, istishna’ contract, or other contract which is not contrary to the sharia principles; 5. Distributing financing based on qardh contract or other contract which is not contrary to the sharia principles; Hasanah Banking Partner 50 Annual Report 2017
51. Human Capital Good Corporate Governance Corporate Social Responsibility 5 . Conducting activities in the capital market as long as it is not contrary to the sharia principles and regulations of capital market; 6. Organizing bank activities or products based on sharia principles by utilizing electronic means; 7. Issuing, offering, and trading short-term bonds based on sharia principles, either directly or indirectly through money market; 8. Issuing, offering, and trading long-term bonds based on sharia principles, either directly or indirectly through capital market; and 9. Providing products or conducting financial services, commercial banking, and other investment banking based on sharia principles. 6. Distributing financing in form of vehicles or goods leasing to the customers based on ijarah contract and/or hire purchase in form of ijarah muntahiya bittamlik contract or other contract which is not contrary to the sharia principles; 7. Conducting debt takeover based on hawalah contract of other contract which is not contrary to the sharia principles 8. Conducting business of debit and/or financing card based on sharia principles; 9. Buying selling, or insuring third party bonds at own risk which issued based on real transactions and according to the sharia principles, among others, such as ijarah, musyarakah, mudharabah, kafalah, or hawalah contract; 10. Buying bonds issued by the government and/ or Bank Indonesia based on sharia principles; 11. Receiving invoice payment of bonds and conducting calculation with or between third party based on sharia principles; 12. Performing custody for other party’s benefit based on the contract of sharia principles; 13. Providing place to store valuable goods and bonds based on sharia principles; 14. Transferring money, both for own interest or the customer’s interest based on sharia principles; 15. Performing as a trustee based on wakalah contract; 16. Providing facilities of letter of credit or bank guarantee based on sharia principles; 17. Performing other common activities in the banking sector and social sector which are not contrary to sharia principles and in accordance with the regulations. Business Activities conducted in the Book Year In 2017, BNI Syariah has run almost all business activities listed in the Company’s Articles of Association. Products and Services provided Saving Products Tabungan BNI iB Hasanah Saving account which employs mudharabah or wadiah contracts in Rupiah currency which provides ease and various facilities for individual and nonindividual customers. Tabungan BNI iB Hasanah Mahasiswa Saving account which employs mudharabah or wadiah contracts from the students of State University/Private University in cooperation with BNI Syariah which serves to accommodate the payment of tuition fee and/or other purposes. In addition to the aforementioned business activities, BNI Syariah may also: 1. Conducting foreign exchange activity based on sharia principles; 2. Conducting equity participation activity in Sharia Commercial Bank or finance institution which conduct business based on sharia principles; 3. Conducting temporary equity participation to overcome the failure of financing on the condition of investment withdrawal based on the provisions stipulated by Bank Indonesia; 4. Acting as the founder and trustee of pension fund based on sharia principles; Hasanah Banking Partner Attachment Tabungan BNI iB Hasanah (Pegawai/ Anggota) Saving account which employs wadiah or mudharabah contracts from the employees/ members of Company/ Institution/ Association/ Professional Organization in cooperation with BNI Syariah. Tabungan BNI iB Hasanah (Classic) Saving account which employs mudharabah contract to accommodate the customer’s payment of cash collateral/ goodwill in every issuance of Hasanah Card Classic. 51 Annual Report 2017
52. Performance 2017 Management Report Company Profile Business Supporting Function Tabungan BNI Tunas iB Hasanah Saving account which employs wadiah contract designated to children and students under 17 years old . Tabungan BNI Bisnis iB Hasanah Saving account which employs mudharabah or wadiah principle complimented with detailed debit and credit transfer in saving book and more competitive profit sharing for individual and non-individual customers. Tabungan BNI Simple iB Hasanah Saving account which employs wadiah contract designated to students under 17 years old with easy and simple requirements as well as attractive feature to encourage early saving culture. Tabungan BNI Prima iB Hasanah Individual saving account which employs mudharabah and/or wadiah contract that provides various facilities and advantages for customers of high networth individuals segment with more competitive profit sharing and various benefit and features. Tabungan BNI iB Dollar Hasanah Saving account which employs mudharabah contract which provides various facilities and advantages for Individual and Non-Individual Customers in USD currency. BNI Tabunganku iB Hasanah National saving account which employs wadiah contract with low initial saving, to promote saving habit in the communities. BNI Giro iB Hasanah Funds from third party which managed by wadiah contract and could be withdrawn at anytime by using check, bank draft, other payment orders or by transfer to support individual and non-individual business activity. Tabungan BNI Tapenas iB Hasanah Term saving account which employs mudharabah contract for future planning and managed based on sharia principles with monthly payment system. It is useful to prepare future plans such as vacation, umrah trip, education plan or other future plans. BNI Deposito iB Hasanah Term investment which employs mudharabah contract aimed at individual customers and company. Tabungan BNI Baitullah iB Hasanah Hajj and umrah saving plan managed by sharia principles which employs mudharabah or wadiah contract with a free or a monthly payment system. Useful as a payment means of Regular or Special Hajj Operation Cost (Biaya Penyelenggaraan Ibadah Haji/BPIH) with a cost determined by the Ministry of Religious Affairs. This product comes with Hajj and Umrah Indonesia Card (HUI Card) which serves as transactional card as well as cash withdrawal in the holy land, thereby reducing the need for cash in hand. This product has a derivative form of Tabungan iB Baitullah Anak Hasanah that provides benefits of hajj and umrah plan for children under 17 years old. The HUI card can still be used once back to Indonesia as debit and shopping card at merchant with Mastercard logo. Hasanah Banking Partner Management Discussion and Analysis Consumer Financing Products Pembiayaan BNI Griya iB Hasanah Financing facility that employs murabahah contract provided to individual for the purpose of buying, building, renovating house (including storehouse, flat, home office, apartments, etc.), and to buy land and house indent with installment system up to the end of payment period, ensuring easy financial control for customers. 52 Annual Report 2017
53. Human Capital Good Corporate Governance Corporate Social Responsibility BNI Mikro 2 iB Hasanah Financing for micro entrepreneurs with a limit of starting from IDR 5 million until IDR 50 million for the purpose of venture capital goods payment , productive investment and goods payment of other consumptive needs. Pembiayaan BNI Griya Musyarakah Mutanaqisah (Griya-MMQ) iB Hasanah Consumer financing which is granted to the public to purchase a building property or house by using the concept of joint ownership between the Customer and the Bank in which both parties hand over their money to purchase the property using Musyarakah Mutanaqisah Contract which later the customer agrees to lease the benefit of those properties using Ijarah Contract. BNI Mikro 3 iB Hasanah Financing for micro business entrepreneurs with a limit starting from IDR50 until IDR500 million for the purpose of venture capital goods payment, productive investment and goods payment of other consumptive needs. Pembiayaan BNI Oto iB Hasanah Financing facility that employs murabahah contract provided to individual for motor vehicle purchase. BNI Rahn Mikro Rahn financing provided for productive/venture capital, education fee, health fee and other consumptive needs . Pembiayaan BNI Rahn Emas iB Hasanah Solution for customers who need quick funds with assurance system in form of gold bars or jewelry and also supported with quick and easy administration and approval process. BNI Griya Swakarya iB Hasanah Is an upfront purchasing process of asset/object by the Bank, then the asset will be supplemented with additional values (renovation/construction) before sold or leased to buyer/tenant (end-user) iB Hasanah Card Is a financing card that serves as a credit card based on sharia principles, with fixed cost calculation system, fair, transparent, and= competitive without interest calculation . Pembiayaan BNI Emas iB Hasanah Financing facility which employs murabahah contract for gold ownership with fixed monthly installment basis. Pembiayaan BNI Multiguna iB Hasanah Consumer financing facility which is provided for people in needs of consumer financing service with fixed assets collateral in accordance with sharia principles. Commercial Financing Products Pembiayaan BNI Wirausaha iB Hasanah Financing facility aimed at fulfilling the need of productive business financing (capital and investment) in accordance with sharia principles. Pembiayaan BNI Fleksi iB Hasanah Consumer financing for employees or workers in a company/institution that have partnership agreement with BNI Syariah for purchasing goods or use of services in accordance with sharia principles. Pembiayaan BNI Tunas Usaha iB Hasanah Venture capital financing and or investment in accordance with sharia principles and provided to a feasible productive business feasible but yet to be bankable. Pembiayaan BNI Cash Collateral Financing iB Hasanah Financing with the collateral in form of customer funds in deposit, saving and current account issued by BNI Syariah. Hasanah Banking Partner Attachment Pembiayaan BNI Linkage Program iB Hasanah Financing facility in which BNI Syariah as the fund owner disburses the fund by using executing pattern to Islamic Financial Institution (Lembaga Keuangan Syariah/ LKS) such as BMT, BPRS, KJKS, and others and then forwarded to end users (micro, small and medium sharia entrepreneur). Cooperation with LKS could be conducted directly or through a partner institution . 53 Annual Report 2017
54. Performance 2017 Management Report Company Profile Business Supporting Function Anjak Piutang iB Hasanah Service of accounts receivable settlement transfer which based on sharia principles , both L/C or non L/C from Corporate/Seller to BNI Syariah, which then collect the receivables to the issuing bank or the debtor (corporate partner/buyer). Might also be complemented with shortterm financing facility for Corporate (Customer) intended as a bailout to the needs of corporate liquidity and worth the accounts receivable in accordance with sharia principles. Pembiayaan Koperasi Karyawan/ Koperasi Pegawai iB Hasanah Financing facility in mudharabah contract in which BNI Syariah as the fund owner disburses the fund by using executing method to the Employee Cooperatives (Kopkar/ Kopeg) which then distributed to end users (employees) based on sharia principles. Pembiayaan Usaha Kecil iB Hasanah Sharia financing which is aimed for productive purposes (venture capital or investment) of small entrepreneurs based on sharia financing principles. Penjaminan iB Hasanah Bailout financing for corporate partners in regards to the guarantee given by the bank to the corporate partners to meet their obligations to the corporate. When the corporate partners cannot meet their obligations, the bank provides bailout financing to corporate partners which is paid directly to the corporate in accordance with sharia principles. Pembiayaan Usaha Besar iB Hasanah Sharia financing aimed for productive purposes (venture capital or investment) of medium and large scale entrepreneurs in Rupiah or foreign currency. Pembiayaan BNI Sindikasi iB Hasanah Financing product which is provided by BNI Syariah and other banks to fund a very large-scale project/ business, with shared and identical terms and conditions as well as documents equally applied to all syndicated loan participants and administered by the same agent. Pembiayaan kepada Penyelenggara Haji Khusus iB Hasanah Financing for the Private Hajj Operators (Penyelenggara Ibadah Haji Khusus /PIHK) or venture capital for the ravel Agencies. Pembiayaan Multifinance BNI iB Hasanah Distribution of direct financing through executing pattern to multifinance whose financing business is in accordance with sharia principles. Services Business Services • Bank Guarantee • Clearing • Bank Statement Letter on Financial Support (SKB-DK) • Domestic Letter of Credit (SKBDN) • Bank Statement Letter (SKB) Pembiayaan BNI Griya Konstruksi iB Hasanah Productive financing granted to developers to build residential and/or public/social facilities and prohibited for direct/indirect land procurement and/or cultivation in accordance with sharia principles. Hasanah Banking Partner Management Discussion and Analysis 54 Annual Report 2017
55. Human Capital Good Corporate Governance Corporate Social Responsibility International Business Services • Import Letter of Credit (L/C) Facility provided to the customer for the purpose of opening of Import L/C. • Export Letter of Credit (L/C) Statement letter of exporter payment issued by the bank to facilitate the export trade by fulfilling certain requirements in accordance with sharia principles. Financial Services • Deposit • Online Transaction • Transfer and Giro Transfer (LLG) • Payment Center • MPN G2 through ATM & Teller Institutional Service • Payment of Educational Fee (SPP) Online • Cash Management BNI Syariah • Payroll Gaji Treasury Services • Value Today or Spot Forex Transactions • Banknotes Transaction E-Banking Services • ATM BNI/BNI Syariah • Mobile Banking • Phone Banking • Internet Banking • SMS Banking Hasanah Banking Partner Attachment 55 Annual Report 2017
56. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis VISION , MISSION AND VALUES OF BNI SYARIAH Vision To become the people’s choice in sharia banking, which is provenly leading in service and performance. Mission • To provide meaningful contribution to society, while supporting environmental sustainability. • To provide solutions for the benefit of the community for the sharia banking services demand. • To deliver optimum investment value to all investors. • To create a place of pride for working and achieving best performances for the staff, as the embodiment of worship. • To serve as a standard of a trustworthy corporate governance. Hasanah Banking Partner 56 Vision and Mission of BNI Syariah have been approved by the Board of Directors and the Board of Commissioners of BNI Syariah on 23 December 2010 based on the Board of Directors’ No. BNISy/ DIR/403. Annual ReportDecree 2017
57. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Corporate Culture In addition to base their business activities and operations based on prevailing sharia principles , positive law and regulations in Indonesia, all employees of BNI Syariah also have a set of corporate culture as a behavior guideline, namely Amanah and Jamaah. Amanah • • • • • Honest and fulfilling promises Responsible Dedicated to deliver best performance Sincerely working and promoting worship goodwill Serving exceeds the expectation Jama’ah • • • • • Caring and daring to give and receive constructive feedback Building a professional synergy Sharing useful knowledge Understanding the relationship of work processes Strengthening effective leadership Hasanah A Corporate Value of BNI Syariah which becomes the main character for employees and the Company which makes BNI Syariah distinctive and easily recognized. This Corporate Values was developed with the spirit of spreading kindness through building good values in each products, services and daily behavior of each individuals. The ‘hasanah’ figures can be achieved collectively by implementing the ‘Amanah’ and ‘Jamaah’ pillars. Hasanah is a corporate campaign of BNI Syariah with the meaning of “all good deeds” for self, community or the nation and country, either on earth or afterlife (QS. Al Baqarah : 201). Hasanah is a value derived from Holy Qur’an and becomes the identity of BNI Syariah in spreading the good deeds through Insan Hasanah and the products/ services. Noble aspirations to be conveyed through Hasanah values is that the presence of BNI Syariah may bring goodness to all parties and become Rahmatan Lil’ Alamin. Hasanah is based on Maqoshid Syariah which means the purpose of establishment of sharia (religious law) to protect the beliefs, survival and human rights, which consist of 5 things i.e. keeping religion, keeping the sould, keeping mind, keeping the offspring and keeping the treasure. Hasanah Banking Partner 57 Annual Report 2017
58. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis ORGANIZATION STRUCTURE In accordance with the BOD Decree No . KP/21/DIR/R dated 3 July 2017 The BNI Syariah Organization Structure is as follows: GENERAL MEETING OF SHAREHOLDERS (GMS) BOARD OF COMMISSIONERS PRESIDENT DIRECTOR DIRECTOR OF BUSINESS SEVP FINANCE & SPECIAL FINANCING (CHIEF OF FINANCE) FINANCIAL DIVISION (FND) CONSUMER INANCING DIVISION (CFD) COMMERCIAL DIVISION (CRD) RECOVERY AND REMEDIAL DIVISION (RRD) CARD BUSINESS DIVISION (CBD) SMALL & MEDIUM BUSINESS DIVISION 1 (SMD 1) INTERNAL AUDIT DIVISION (IAD) FUND & TRANSACTION DIVISION (FTD) SMALL & MEDIUM BUSINESS DIVISION 2 (SMD 2) HUMAN CAPITAL DIVISION (HCD) HAJJ & UMRAH DIVISION (HUD) MICRO BUSINESS DIVISION (MBD) STRATEGIC PLANNING DIVISION (SPD) TRADE & INTERNATIONAL DIVISION (TID) Hasanah Banking Partner 58 Annual Report 2017
59. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment SHARIA SUPERVISORY BOARD OPERATING DIRECTOR & NETWORK DIRECTOR OF COMPLIANCE & RISK SEVP RISK & COMMUNICATION BUSINESS RISK DIVISION (BRD) ENTERPRISE RISK DIVISION (ERD) OPERATIONAL DIVISION (OPD) LEGAL DIVISION (LGD) PROCUREMENT & MANAGEMENT OF PERMANENT ASSETS DIVISION (PFD) CORPORATE SECRETARY & COMMUNICATION DIVISION (CCD) INFORMATION TECHNOLOGY DIVISION (ITD) POLICY GOVERNANCE DIVISION (PGD) NETWORK & SERVICE DIVISION (NSD) REGIONAL OFFICE Hasanah Banking Partner 59 Annual Report 2017 COMPLIANCE DIVISION (CMD)
60. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis SHARIA SUPERVISORY BOARD PROFILE K .H. Ma’ruf Amin Chairman of Sharia Supervisory Board Citizenship Indonesia Place/Date of Birth Tangerang, 11 March 1943 Domicile Jakarta Education • Bachelor Degree, Universitas Ibnu Chaldun, Jakarta, graduated in 1967 • Honoris Causa Professor in Sharia Economy (Muamalah), 2017 Professional Background • Chairman of Sharia Supervisory Board of BNI Syariah, 2010 - present • National Steering Committee of Shariah Finance, 2017-2021 • Chairman of PBNU, 2015-2020 Dual Position Chairman of Sharia Supervisory Board of PT BNI Life Insurance Trainings attended in 2017 Sharia training by DSN MUI Assignment Decree (SK) Deeds of Company Establishment No.160 dated 22 March 2010. Then re-assigned through Extraordinary General Shareholders Meeting (RUPS) on 12 August 2015 as the Chairman of Sharia Supervisory Board Affiliations Not affiliated with members of the Board of Commissioners, Board of Directors and Controlling Shareholders Hasanah Banking Partner 60 Annual Report 2017
61. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Dr . Hasanudin M.AG Member of Sharia Supervisory Board Citizenship Indonesia Place/Date of Birth Cirebon, 4 March 1961 Domicile Jakarta Education • Diploma, Sharia Faculty, Universitas Islam Tribhakti, Kediri in 1985 • Bachelor Degree, Sharia Faculty, Institut Agama Islam Negeri IAIN (now UIN) Syarif Hidayatullah, Jakarta, 1989 • Master of Religious Studies majoring in Islamic Study (Sharia concentration), IAIN Syarif Hidayatullah, Jakarta, in 1997 • Doctoral Degree majoring in Islamic Study (Sharia concentration), IAIN Syarif Hidayatullah, Jakarta, 2008 Professional Background • Member of Sharia Supervisory Board of BNI Syariah, 2010 - now. • Vice Chairman of National Sharia Daily Administration Board (BPH – DSN), 2015 - now • Vice Chairman of Fatwa Committee of Indonesian Ulama Council, 2010 - now Dual Position None Trainings attended in 2017 Sharia Training by DSN MUI Assignment Decree (SK) Deeds of Company Establishment No.160 dated 22 March 2010. Then re-assigned through Extraordinary General Shareholders Meeting (RUPS) on 12 August 2015 as the Chairman of Sharia Supervisory Board Affiliations Not affiliated with members of the Board of Commissioners, Board of Directors and Controlling Shareholders Hasanah Banking Partner 61 Annual Report 2017
62. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis BOARD OF COMMISSIONERS PROFILE Fero Poerbonegoro President Commissioner Hasanah Banking Partner 62 Citizenship Indonesia Place /Date of Birth Madiun, 27 August 1955 Domicile Jakarta Education • Bachelor of Economics, Universitas Brawijaya, Malang, graduated in 1981 • Master Degree of Management, Universitas Gadjah Mada, Yogyakart, graduated in 1995 Professional Background • Independent Commissioner of PT Bank Negara Indonesia (Persero) Tbk. 2008-2015 • Director of PT Bank Negara Indonesia (Persero) Tbk., 2003-2008 • Project Manager New Core Banking System PT Bank Negara Indonesia (Persero) Tbk. 2002-2003 Dual Positions None Trainings attended in 2017 • Leadership Training & 4DX • Spiritual Leadership Assignment Decree (SK) RUPS-LB Decree on 12 August 2015 as the Commissioner and re-assigned based on Annual RUPS Decree on 25 February 2016 as the President Commissioner OJK Approval Decree of OJK Board of Commissioner No. KEP-46/D.03/2016 dated 8 September 2016 Affiliations Not affiliated with members of the Board of Commissioners, Board of Directors and Controlling Shareholders Annual Report 2017
63. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Rizqullah Thohuri Independent Commissioner Hasanah Banking Partner 63 Citizenship Indonesia Place /Date of Birth Serang, 16 February 1957 Domicile Tangerang Education • Bachelor Degree in Economics, Universitas Islam Indonesia, Yogyakarta, graduated in 1982 • MBA Degree in International Business, Baldwin Wallace College, Ohio, USA, graduated in 1986 • Doctoral Degree in Islamic Finance & Economics, Universitas Trisakti, Jakarta, graduated in 2013 Professional Background • Director of Program of Universitas Trisakti, 2013-2015 • President Director of PT Bank BNI Syariah, 2010-2012 • Project Leader of BNI Syariah Spin Off, PT Bank Negara Indonesia (Persero) Tbk. 2008-2010 Dual Positions • Independent Commissioner of PT Grha 165, since June 2015 Trainings attended in 2017 • Leadership & 4DX Training • Spiritual Leadership Assignment Decree (SK) Annual RUPS Decree on 25 February 2016 OJK Approval OJK Board of Commissioner Decree No.KEP-45/D.03/2016 dated 6 September 2016 Affiliations Not affiliated with members of the Board of Commissioners, Board of Directors and Controlling Shareholders Annual Report 2017
64. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis Max R Niode Commissioner Hasanah Banking Partner 64 Citizenship Indonesia Place /Date of Birth Gorontalo, 3 May 1957 Domicile Jakarta Education • Bachelor of Law, Universitas Hasanuddin, Makassar graduated in 1983 • Master in Law, Universitas Indonesia, Jakarta, graduated in 1999 Professional Background • Commissioner of PT Asuransi Tri Pakarta, 2014-2015 • Internal Audit Leader of PT Bank Negara Indoensia (Persero) Tbk. 20112014 • Head of Legal Division of PT Bank Negara Indonesia (Persero) Tbk. 20042011 Dual Positions None Trainings attended in 2017 • Banking Risk Management Competency Level 4 • Leadership & 4DX Training • Spiritual Leadership Assignment Decree (SK) Annual Decree of RUPS dated 25 February 2016 OJK Approval Decree of OJK Board of Commissioner No.KEP-226/D.03/2017, 19 Dec 2017 Affiliations Not affiliated with members of the Board of Commissioners, Board of Directors and Controlling Shareholders Annual Report 2017
65. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Muhammad Syakir Sula Commissioner Hasanah Banking Partner 65 Citizenship Indonesia Place /Date of Birth Poso, 12 February 1964 Domicile Jakarta Education Agriculture Engineer, Universitas Padjadjaran, Bandung, graduated in 1990 Professional Background • Independent Commisioner PT Jamkrindo Syariah, 2014-2017 • Chairman of Sharia Supervisory Board of PT Nasional Reasuransi, 2013-2016 • Advisor to the Board of Directors of PT Bank Muamalat Indonesia 20052006 Dual Positions • Independent Comissioner of PT Jamkrindo Syariah • Member of DPS PT Bank Tabungan Negara (Persero) Tbk. • Sec Gen of Moslem Trader Association Development Board of Indonesia • Deputy Sec Gen of Indonesian Moslem Intellectual Association (ICMI) Expert Board • Member/ Chairman of DPS Perum Jamkrindo • Member/ Chairman of DPS PT Panin Dai-ichi Life • Member/ Chairman of DPS PT Reasuransi Indonesia Trainings attended in 2017 • Leadership Training & 4DX • Spiritual Leader Assignment Decree (SK) Annual RUPS Decree dated 25 February 2016 OJK Approval Still in the process of fit and proper test in OJK Affiliations Not affiliated with members of the Board of Commissioners, Board of Directors and Controlling Shareholders Annual Report 2017
66. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis BOARD OF DIRECTORS PROFILE Abdullah Firman Wibowo President Director Hasanah Banking Partner 66 Citizenship Indonesia Place /Date of Birth Balikpapan, 6 March 1964 Domicile Jakarta Education • Bachelor of Agriculture, Universitas Gajah Mada, Yogyakarta, graduated in 1989 • Master of Management, Universitas Gajah Mada, Yogyakarta, graduated in 1993 Professional Background • Executive Vice President (EVP) of Subsidiaries Development of PT Bank BNI, 2016-2017 • Senior Executive Vice President (SEVP) of Business Risk of PT Bank BNI, 2015-2016 • Executive Vice President (EVP) of International Division of PT Bank BNI, 2011-2015 Dual Positions None Trainings attended in 2017 • Executive Overview Of Islamic Bank, LPPI and BNI Syariah, Jakarta • Banking Risk Management Level 5 (Refreshment), Banking Professional Cerfication Agency, Jakarta • Basic Training of Islamic Bank, International Center for Development in Islamic Finance (ICDIF) – LPPI, Jakarta Assignment Decree (SK) Special RUPS Decree dated 23 March 2017 OJK Approval Decree of the Board Members No KEP41/ D1.03/2018 dated 12 March 2018 Affiliations Not affiliated with members of the Board of Commissioners, Board of Directors and Controlling Shareholders Annual Report 2017
67. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Junaidi Hisom Operations and Network Director Hasanah Banking Partner 67 Citizenship Indonesia Place /Date of Birth Semangus, 1 January 1958 Domicile Bandung Education • Bachelor in Economics, Universitas Sriwijaya, Palembang, graduated in 1989 • Master of Management, STIE IPWI, Jakarta, graduated in 1998 Professional Background • Chief Operating and Financial Officer PT Bank BNI Syariah, 2012 – 2013 • General Manager Divisi Human Capital PT Bank BNI, 2010-2012 , • Chief Eexecutive Officer (CEO) Region Se-Kalimantan PT Bank BNI, 2009 – 2010 Dual Positions None Trainings attended in 2017 • Business Risk and Risk Assessment • Law Assignment Decree (SK) Annual RUPS Decree dated 1 May 2013 OJK Approval Bank Indonesia Letter No. 15/2073/DPbS dated 9 Desember 2013 Affiliations Not affiliated with members of the Board of Commissioners, Board of Directors and Controlling Shareholders Annual Report 2017
68. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis Dhias Widhiyati Business Director Hasanah Banking Partner 68 Citizenship Indonesia Place /Date of Birth Semarang, 15 July 1970 Domicile Jakarta Education • Bachelor of Economics, Universitas Satya Wacana, Salatiga, graduated in 1992 • Master of Management, Universitas Gajah Mada, Yogyakarta, graduated in 2005 Professional Background • Senior Executive Vice President (SEVP) Bisnis Komersial PT Bank BNI Syariah, 2016 – 2017 • Head of Governance Division of PT Bank BNI, 2015-2016 , • DGM Commercial Remedial & Recovery PT Bank BNI, 2014 – 2015 Dual Positions None Trainings attended in 2017 • Seminar on Cyber Security and Integrating Operational Risk With the Mitigation Factor; IBI, LSPP, BARA, Jakarta • Seminar on Digital Payment A New Era in Way Do Payments, IBI, LSPP, BARA, Jakarta • Executive Overview of Islamic Bank, International Center for Development in Islamic Finance (ICDIF),Jakarta • Training Program on Executive Development Program (EDP), Singapore • Training on Leading Transformational Change Program, Singapore Assignment Decree (SK) Special RUPS Decree dated 23 March 2017 OJK Approval OJK Board of Commissioners Decree No. KEP-228/D.03/2017 dated 19 December 2017 Affiliations Not affiliated with members of the Board of Commissioners, Board of Directors and Controlling Shareholders Annual Report 2017
69. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Tribuana Tunggadewi Risk and Compliance Director Hasanah Banking Partner 69 Citizenship Indonesia Place /Date of Birth Jakarta, 31 July 1967 Domicile Jakarta Education • Bachelor of Law, University Indonesia, Jakarta, graduated in 1986 • Magister of Law, University Indonesia, Jakarta, graduated in 2000 Professional Background • Senior Executive Vice President (SEVP) Risk & Compliance PT BNI Syariah, 2015- 2016 • Senior Vice President (SVP) – Corporate Secretary and Head of KMP Division PT Bank BNI, 2011-2015 • Vice President (VP) – Deputy Head Division-Field of Good Corporate Governance and Directors Bureau PT Bank BNI, 2009-2011 Dual Positions N/A Trainings attended in 2017 • Seminar “Enforcing Existing Rules in Sharia Banking and Sharia Code of Conduct”; LSPP, IBI dan Asbisindo, Jakarta • Seminar on Morning Insight Program With Prof Luiz Mountinho “Society Changes and Its Impact on Banking”, BNI, Bisnis Indonesia and President University, Jakarta • Basic Training of Islamic Bank, International Center for Development Islamic Finance, Jakarta • Training on 2018 Economic Prospect, Pro Cyclicality and Bank Risk Mitigation Bank, PT Leadership Nasional dan LPPI, Jakarta • Islamic Banking Refreshment For Executives, LPPI, BNI Syariah, International Center for Development Islamic Finance, Jakarta Assignment Decree (SK) Special RUPS Decree dated 29 December 2017 OJK Approval OJK Board of Commissioners Decree No. KEP-227/D.03/2017 dated 19 December 2017 Affiliations Not affiliated with members of the Board of Commissioners, Board of Directors and Controlling Shareholders Annual Report 2017
70. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis BOARD OF DIRECTORS SECTOR Abdullah Firman Wibowo President Director Dade Dermawan Internal Audit Division Wahyu Avianto Finance Division Hasanah Banking Partner 70 Annual Report 2017
71. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Jon Sujani Pasaribu Rescue & Settlement of Financing Division M. Misbahul Munir Strategic Planning Division Andrianto Daru Human Capital Division Hasanah Banking Partner 71 Annual Report 2017
72. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis BUSINESS SECTOR Dhias Widhiyati Business Director Budi Aristianto Micro Business Division Moh . Toyib Treasury & International Division Sri Wahyuningsih Commercial Division Hasanah Banking Partner 72 Annual Report 2017
73. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Bimo Hascahyoadi Small & Medium Business 1 Division Rima D. Permatasari Fund & Transaction Division Endang Rosawati Consumer Working Unit & Financing Card Division Ida Triana Hajj & Umrah Division Hasanah Banking Partner 73 Annual Report 2017
74. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis OPERATIONS AND NETWORK SECTOR Azizah Saleh Procurement & Fixed Asset Management Division Edwin Fitrianto East Regional Office Ali Muafa Jabodetabek Plus Regional Office Tavip Budhy Prihanto Business Risk Division Hasanah Banking Partner 74 Annual Report 2017
75. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Junaidi Hisom Operations and Network Director Adjat Djatnika Basarah Corporate Secretary & Communication Division Network & Services Division Zefri Ananta Operations Division Mirza Manthovani Information Technology Division Bambang Sutrisno West Regional Office Hasanah Banking Partner 75 Annual Report 2017
76. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis RISK AND COMPLIANCE SECTOR Tribuana Tunggadewi Risk and Compliance Director Wahsi Prasodjo Risk Management Division Finorita Fauzi Compliance Division Hasanah Banking Partner 76 Annual Report 2017
77. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Adjat Djatnika Basarah Corporate Secretary & Communication Division Network & Services Division Bayi Rohayati Legal Division Fransiska Siswantari Policy Governance Working Unit Hasanah Banking Partner 77 Annual Report 2017
78. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis EMPLOYEES PROFILE AND COMPETENCY DEVELOPMENT 2017 3 ,420 773 1,677 1,843 117 14 50 627 671 1,839 1,816 730 17 5,947 6,147 3,583 3,823 3,990 6,323 6,553 Along with the growing of business, total employees of BNI Syariah has also grown. Total employees of BNI Syariah for the past 5 year is as follows: 2016 Permanent Employee 2015 Prohire Employee Outsource 2014 Contract Employee and Trainee Total Employee Composition Based on Gender Gender 2017 2016 Total % Male 2,760 Female Total Total % 58.3% 2,579 58.0% 1,977 41.7% 1,871 42.0% 4,737 100.0% 4,450 100.0% Empolyee Composition Based on Age Age >50 Years 2017 2016 Total % Total % 17 1% 12 0.3% >45 - 50 Years 178 4% 146 3.3% >40 - 45 Years 170 5% 166 3.7% >35 - 40 Years 460 10% 428 9.6% >30 - 35 Years 756 22% 611 13.7% >25 - 30 Years 2,070 44% 2,076 46.7% <=25 Years 1,086 15% 1,011 22.7% Total 4,737 100% 4,450 100.0% Hasanah Banking Partner 78 Annual Report 2017
79. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Employee Composition Based on Level of Education Level of Education 2017 2016 Total D3 % 970 Total 20.5% % 914 20.5% D4 25 0.5% 20 0.4% S1 3,545 74.8% 3,329 74.8% S2 195 4.1% 186 4.2% S3 Total 2 0.0% 1 0.0% 4,737 100.0% 4,450 100.0% Employee Composition Based on Position Level Position Level 2017 2016 Total % Total % Clerk 2,673 56.4% 2,538 57.0% Junior Manager 1,574 33.2% 1,564 35.1% Manager 345 7.3% 236 5.3% Senior Manager 121 2.6% 91 2.0% Executive Manager Total 24 0.5% 21 0.5% 4,737 100.0% 4,450 100.0% Employee Composition Based on Work Period Work Period 2017 2016 Total % Total % 0 - 4 Years 3,465 73.1% 3,098 69.6% 5 - 9 Years 842 17.8% 904 20.3% 10 - 14 Years 225 4.7% 236 5.3% 15 - 19 Years 80 1.7% 83 1.9% 20 -24 Years 117 2.5% 120 2.7% 25 - 29 Years 2 0.0% 2 0.0% >29 Years 6 0.1% 7 0.2% 4,737 100.0% 4,450 100.0% Total Training and Development In 2017, BNI Syariah is trying to drive the capability development. Learning Center Unit conduct sustainable development program in stages, in accordance with the competency profile and company business strategy. Training and development program methods implemented throughout 2017 include: 1. Academy for new employees, such as Assistant Development Program (ADP) and Officer Development Program (ODP) 2. Training for existing employees that is conducted by internal BNI Syariah 3. Coaching and Mentoring for ODP employees and Talent employees 4. Sharing Session (SS) for employees that do not attend classical method training. Hasanah Banking Partner 79 Annual Report 2017
80. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis The training program based on competency are generally categorized into 2 (two) i.e. Hard Skill Training and Soft Skill Training. No Training based on Competencies Percentage of Total Training in 2016 Percentage of Total Training in 2017 1 Hard Skill Training 96 % 93 % 2 Soft Skill Training 4% 7% Soft Skill training program is still being improved based on requirements of each position. The higher the position, then the proportion of soft skill development will be higher compared to the hard skill development. Training and education conducted by BNI Syariah throughout 2017 are as follows: No Number of Employee Joining the Training Percentage of Total Training in 2017 1 Managerial Leadership & Personal Development 2 Credit Management 3 Risk Management Certification Program 4 2016 2017 285 316 1040 1840 186 1027 Sales 1116 605 5 Service 484 527 6 Operations & IT 276 693 7 Others 965 722 4352 5730 Total *) Based on the total, employees may attend more than 1 type of training. While the online learning will be initiated in the coming 2018. The followings are description of training program performed and the budget and realization throughout 2017: Year Number of Training Budget (million) Cost Realization million) Absorption Persentase 2015 258 27.000 23.220 86% 2016 269 24.000 25.788 107% 2017 324 30.454 35.591 117% Throughout 2017, the realized HR development budget of BNI Syariah reached IDR35.591 billion, grew 10% compared to 2016 of IDR27.732 billion, in accordance with OJK Regulation No.47/ POJK.03/2017 on the minimum 5% budget for training. Hasanah Banking Partner 80 Annual Report 2017
81. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment SHAREHOLDERS COMPOSITION Composition of BNI Syariah Shareholders on 31 December 2017 is as follows : 0.06% PT BNI Life Insurance 99.94% Shareholders PT Bank Negara Indonesia (Persero) Tbk. Total shares PT Bank Negara Indonesia (Persero) Tbk. PT BNI Life Insurance Total Percentage Issued and Paid Up Capital 2.500.000 99,94% 2.500.000.000.000 1.500 0,06% 1.500.000.000 2.501.500 100,00% 2.501.500.000.000 Shareholders with > 5% shares Shareholders Total shares PT Bank Negara Indonesia (Persero) Tbk. Percentage 2.500.000 99,94% Issued and Paid Up Capital 2.500.000.000.000 Shareholders with < 5% shares Shareholders Total shares PT BNI Life Insurance Percentage 1.500 Hasanah Banking Partner 81 0,06% Annual Report 2017 Issued and Paid Up Capital 1.500.000.000
82. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis Share Ownership by Board of Commissoners and Board of Directors All members of the Board of Commissioners and Board of Directors of PT Bank BNI Syariah do not own shares in PT Bank BNI Syariah . Shareholder Group Shareholder Group Domestic Amount of Shares Foreign Ownership percentage Number of Shareholder Amount of Shares Ownership percentage Number of Shareholder Individual Nihil Nihil Nihil Nihil Nihil Nihil Institution 2.501.500 100,0% 2 Nihil Nihil Nihil Total 2.501.500 100,0% 2 Nihil Nihil Nihil Profile of Controlling Shareholders PT Bank Negara Indonesia (Persero) Tbk. PT Bank Negara Indonesia (Persero) Tbk. (hereinafter referred to as BNI) was established on 5 July 1946. On 31 December 2017, BNI shares are owned by the State of Republic of Indonesia for 60% and Public for 40% with total asset of IDR709,330 billion. BNI office network are spread across Indonesia with the details of 200 branches, 1,095 sub-branches, 595 cash offices, 6 overseas office network and 17.966 ATMs. As of 31 December 2017, composition of the Board of Commissioners and the Board of Directors of BNI are as follows: Board of Commissioners President Commissioner/Independent Commissioner Ari Kuncoro* Vice President Commissioner Wahyu Kuncoro Independent Commissioner Revrisond Baswir Independent Commissioner Pataniari Siahaan Independent Commissioner Ahmad Fikri Assegaf Commissioner Bistok Simbolon Commissioner Joni Swastanto Commissioner Marwanto Harjowiryono President Director Achmad Baiquni Vice President Director Herry Sidharta Director of Middle Business Putrama Wahju Setyawan Director of Small Business and Network Catur Budi Harto Director of Consumer Business Anggoro Eko Cahyo Director of Finance and Credit Risk Rico Rizal Budidarmo Director of Treasury and International Panji Irawan Director of Institutional Relation and Transactional Banking Adi Sulistyowati Director of Planning and Banking Operation Bob Tyasika Ananta Director of Compliance and Enterprise Risk Imam Budi Sarjito Director Hasanah Banking Partner 82 Annual Report 2017
83. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment SHARE LISTING CHRONOLOGY As of 31 December 2017 , PT Bank BNI Syariah have not listed stock in any Stock Exchange. Therefore, there are no information about the chronological listing of shares, corporate actions, changes in the number of shares and name of stock exchanges where the shares are listed. SUKUK LISTING CHRONOLOGY In the year of 2015 BNI Syariah issued Sukuk Mudharabah of Bank BNI Syariah I for the Year of 2015 Name of Sukuk Emission Date of Issue Due Date Sukuk Emisi Sukuk Mudharabah Bank BNI Syariah I Tahun 2015 Rp500.000.000.000 26 Mei 2015 26 Mei 2018 Hasanah Banking Partner 83 Profit Sharing Setara 9,25% Annual Report 2017 Sukuk Holder Ratio 15,35% Rank 2016 idAA+ 2017 idAA+
84. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis SUBSIDIARIES AND ASSOCIATED ENTITIES Until 31 December 2017 , PT Bank BNI Syariah has no subsidiaries and associated entities, therefore there is no information can be provided in this report. Hasanah Banking Partner 84 Annual Report 2017
85. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment COMPANY GROUP STRUCTURE PT Bank BNI Syariah is a subsidiary entity of PT Bank Negara Indonesia (Persero) Tbk, therefore BNI Syariah becomes part of BNI Group financial conglomerate. Financing 99,98% Securities 75,00% 7,35% 99,9% Life insurance 60,00% Syariah banking 99,94% Money Wire 1,00% Sarana Bersama Pembiayaan Indonesia Company Stock Uplift 0,143% Financing 8,00% Hasanah Banking Partner Financing 1,00% 85 Banking 1,00% Annual Report 2017 Banking 0,52%
86. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis LEMBAGA DAN PROFESI PENUNJANG PERUSAHAAN Credit Rating Agency : PT Pefindo Panin Tower Senayan City lantai 17 Jl. Asia Afrika Lot. 19 Jakarta 10270, Indonesia Telepon: +6221-7278-2380 Faks: +6221-7278-2370 Website: www.pefindo.com Publica Lawfirm Jl. Kendal No 9 Menteng Jakarta Pusat (021-31923434) (ikidulagin@gmail.com) AAP Law Office Apartemen Green Pramuka Tower Pino Lt. 5/NF Jl. Jendral Ahmad Yani Kav. 49 Cempaka Putih – Jakarta Pusat (081291657477/082133344113) (aap_lfirm@yahoo.com) Notary : Fathiah Helmi, S.H. Graha Irama Lantai 6-C Jl. HR. Rasuna Said Kav 1-2 Bl X-1 Kuningan Timur, Setia Budi Jakarta 12950 Telepon: (021) 52907304, (021) 52907305, (021) 52907306 Faks: (021) 5261136 Trustee : PT Bank Rakyat Indonesia (Persero) Tbk Gedung BRI, Lantai 30 Jl. Jend. Sudirman Kav. 44-46 Jakarta 10210 Public Accounting Firm : KAP Purwantono, Suherman & Surja (Ernst & Young Global) Gedung Bursa Efek Indonesia Tower 2 lt. 7 Jl. Jendral Sudirman Kav 52-53 Jakarta Law Offices : Rustriyandi Raharjo Law Office Jl. Cikatomas II No 1A Kebayoran Baru - Jakarta Selatan 12180 (021-7248094) Yustia&Co Candi Prambanan Utara 4 Kav.1185 Kalipancur Ngaliyan, Semarang (024-76916993) (yustia.office@yahoo.com) Hasanah Banking Partner 86 Annual Report 2017
87. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment INFORMATION IN COMPANY WEBSITE As the form of good corporate governance principles implementation , particularly in applying transparency principle to all staholders, BNI Syariah has the website with the address: www.bnisyariah.co.id. The existence of the website has also adopted OJK Regulation No. 8/POJK.04/2015 concerning Website of Issuers or Public Companies. BNI Syariah website contains information required by the Shareholders and stakeholders, among others: 1. Company Profiles a. Company History b. Vision & Mission c. Board of Commissioners Profile d. Board of Directors Profile e. Corporate Secretary f. Organization Structure 2. Investor Relations a. Annual Report of last 5 years b. Quarterly Report c. Monthly Report d. Risk Exposure Report e. Sukuk Information f. Shareholders Structure 3. Good Corporate Governance a. GCG Policy b. Guideline and Code of Conduct of BoC c. Guideline and Code of Conduct of BoD d. Audit Committee Charter e. General Shareholders Meeting (RUPS) f. GCG Self Assessment Report g. Articles of Association Hasanah Banking Partner 87 Annual Report 2017
88. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis KEY MANAGEMENT COMPETENCY DEVELOPMENT PROGRAM To support the implementation of key management roles and responsibilities , BNI Syariah enrolls them in the education and competency improvement program, that are conducted by both internal and external parties. Throughout 2017, the education and competency improvement for BNI Syariah key management are as follows: Board of Commissioner Name Fero Poerbonegoro Rizqullah Position President commissioner Independent Commissioner Training/ Competency Development Materials Implementation Time and Venue Type of Training and Organizer Leadership & 4DX Training 16 January 2017 PT BNI Persero Tbk Spiritual Leadership 19 June 2017 PT BNI Persero Tbk Leadership & 4DX Training 16 January 2017 PT BNI Persero Tbk Spiritual Leadership 19 June 2017 PT BNI Persero Tbk Hasanah Banking Partner 88 Annual Report 2017
89. Human Capital Good Corporate Governance Name Position Max R . Niode Independent Commissioner Muhammad Syakir* Independent Commissioner Corporate Social Responsibility Training/ Competency Development Materials Competency Banking Risk Level 4 Certification Management Attachment Implementation Time and Venue Type of Training and Organizer Jakarta, 13 February 2017 Risk Management Certification Leadership & 4DX Training 16 January 2017 PT BNI Persero Tbk Spiritual Leadership 19 June 2017 PT BNI Persero Tbk Leadership & 4DX Training 16 January 2017 PT BNI Persero Tbk Spiritual Leadership 19 June 2017 PT BNI Persero Tbk *Still not effective or still in the Fit & Proper Test process in OJK Board of Directors No 1. 2. Name Abdullah Firman Wibowo Dhias Widhiyati Training Title Organizer Time & Venue Executive Overview of Islamic Bank LPPI and BNI Syariah 2017, Jakarta Banking Risk Management Level 5 (Refreshment) Banking Professional Certification Agency 2017, Jakarta Basic Training of Islamic Bank International Center for Development in Islamic Finance (ICDIF) - LPPI 2017, Jakarta Seminar Economic Outlook 2018 Ikatan Bankir Indonesia (IBI) 2017, Jakarta Majalah Infobank 2017, Jakarta Executive Development Program (EDP) Training; Leading Transformational Change Program Training HCT & BNV BNI; HCT & BNV BNI; National University of Singapore (NUS) 2017, Jakarta Plenary Meeting ISEI XIX and National Seminar of Indonesian Economic Graduate Association (ISEI) 2017, Jakarta Executive Development Program dengan Topik: ” Leading at the Speed of Trust ” Franklin Covey; PT. BNI (Persero) Tbk. 2017, Jakarta Executive Overview Risk Management and Banking Industry for BoD / Islamic Banking Refreshment for Executives Training – Sharia Banking Basic Training (PDPS) HCD BNI Syariah 2017, Jakarta Sharing Session Human Capital Architecture for PPA BNI Subsidiaries PPA BNI 2017, Jakarta Workshop: Infobank Discussion Leadership 100 Top Bankers of Risk Management level 5 HCD BNI Syariah 2017, Jakarta Seminar with Topic: 1. Enforcing Provisions in Sharia Banking; 2. Sharia Business Ethics HCD BNI Syariah 2017, Jakarta HCD BNI Syariah 2017, Jakarta Training 4 DX Commercial Business Sector and Medium HCD BNI Syariah 2017, Jakarta Executive Overview of Islamic Bank – Sharia Banking Basic Training (PDPS) HCD BNI Syariah 2017, Jakarta Hasanah Banking Partner 89 Annual Report 2017
90. Performance 2017 No 3 . Management Report Company Profile Name Tribuana Tunggadewi Business Supporting Function Training Title Management Discussion and Analysis Organizer Time & Venue Seminar “Enforcing Provisions in Sharia Banking and Sharia Business Ethics” LSPP LSPP, IBI and Asbisindo 2017, Jakarta Morning Insight Program with Prof Luiz Mountinho “Society Changes and Its Impact on Banking” BNI, Bisnis Indonesia and President University 2017, Jakarta Basic Training of Islamic Bank International Center for Development Islamic Finance 2017, Jakarta Economic Prospect Training 2018, Pro Cyclicality and Bank Risk Mitigation PT Leadership Nasional and LPPI 2017, Jakarta Islamic Banking Executives LPPI, BNI Syariah, International Center for Development Islamic Finance 2017, Jakarta Refreshment For Audit Committee No Name Training Title Organizer Time & Venue 1 Alexander Zulkarnain International Internal Audit Training The CSOX (certified in Sarbanes-Oxley) credential signifying attainment of Baselevel proficiency in, and a commitment to, core fundamentals of Sarbanes-Oxley Soxinstitute London, 14 September 2017 2 Vivin Haryadi Communication Branch Head BNI September 2017 Business Training for Nomination and Remuneration Commitee No 1 Name Munifah Syanwani Training Title Seminar Lifestyle Entrepreneurship Organizer and Halal UIN Sultan Hasanudin Maulana Time & Venue Serang, 2017 26 October Seminar on Banking and Sharia Cooperative Universitas Islam Riau Pekanbaru, November 2017 25 Seminar on Sharia National Economic IAIN Samarinda Samarinda, December 2017 19 Guest Speaker in Training of Trainers Sharia Capital Market IDX IDX Mataram, 24 May 2017 Guest Speaker in Training of Trainers Sharia Capital Market IDX IDX Ternate, 2017 Guest Speaker in Sharia Capital Market IDX Palembang, September 2017 Guest Speaker in Seminar on National Islamic Economy IAIN Jember Jember, 16 March 2017 National Seminar on Riba Universitas Esa Unggul Jakarta, 23 April 2017 Hasanah Banking Partner 90 Annual Report 2017 12 October 5
91. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Risk Monitoring Committee No 1 Name Delyuzar Syamsi Training Title Organizer Risk Management Certification Refreshment Program LSPP Time & Venue 2017, Jakarta Corporate Secretary No 1 Name Adjat Djatnika Training Title Organizer First International Conference on Good Corporate Governance Indonesia Corporate Secretary Association Time & Venue 2017, Surabaya Head of Internal Audit No Name 1   Zefri Ananta   2         Dade Dermawan Training Title Organizer Time & Venue Hasanah Leadership Forum (Leadership and 4 DX Training) Head Office Jakarta, 16 January 2017 Performance Coaching Training Head Office Jakarta, 18 - 19 January 2017 Executive Overview of Islamic Bank Training Head Office Jakarta, 30 March - 03 April 2017 Sharing Session Spiritual Leadership Head Office Jakarta, 19 June 2017 Sharing Session Workshop Digital Forensic Head Office Jakarta, 27 July 2017 Enhancement Risk Funding Asessment BM & RH Training Head Office Jakarta, 22- 23 September 2017 Head Office Auditor Training Head Office Jakarta, 02 - 08 November 2017 Hasanah Banking Partner 91 Annual Report 2017
92. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis COMPANY OPERATIONAL AREA Regular Branch Office 68 Regular SubBranch Office 180 Hasanah Banking Partner Micro Branch Office 19 92 Annual Report 2017 Micro SubBranches 78 Cash Office 17
93. Human Capital Good Corporate Governance Functional Office 9 Corporate Social Responsibility Payment Point Mobile Service Unit 49 Hasanah Banking Partner 23 93 Annual Report 2017 Attachment ATM BNI 17 .966
94. Performance 2017 Management Report 04 " Company Profile Business Supporting Function Management Discussion and Analysis Business Support Functions To achieve Hasanah Banking Partner’s positioning, support and synergies from related functions within the Bank are required in order to provide BNI Syariah banking features and services that meet customer needs. Hasanah Banking Partner 94 Annual Report 2017 "
95. Human Capital Good Corporate Governance Hasanah Banking Partner Corporate Social Responsibility 95 Annual Report 2017 Attachment
96. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis INFORMATION TECHNOLOGY Today ’s modern era with its massive technological development creates such a challenge for the banking business, requiring us to move fast and dynamically in order to adjust with the changes that take place. Therefore, the role of information technology becomes increasingly important to meet all aspirations, both from customers and operational process support. And just as important is to maintain the confidentiality and security of data and banking transactions. The use of information technology is implemented to provide significant benefits for the Bank in order to provide superior service to customers. BNI Syariah as a subsidiary of PT Bank Negara Indonesia (Persero) Tbk. strive to optimize the utilization and reliability of the parent company’s information technology system by focusing to its efficiency and effectiveness according to customers’ needs. The information technology utilization is implemented with a comprehensive cooperation pattern stated in the technical service agreement, thus BNI Syariah service level to our customers can be maintained in a sustainable manner. The development of BNI Syariah Information Technology is carried out in order to face the challenge of rapid change in the banking industry. The operational banking services today are heavily influenced by the development of digital technology that provides real-time, ondemand, on-line banking services, utilizing social media and digital banking self-service by Hasanah Banking Partner 96 Annual Report 2017
97. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment System , Management Information System, E-Channel & International System, Switching & Middleware System Quality Assurance, Hardware & Network, Office Automation, IT Services and Production Support & Security. the customers. BNI Syariah give constant commitment to provide the best service as Hasanah Banking Partner to continuously develop products based on maqoshid (goal) of sharia to provide both banking services and investment solutions that take effect until the older age, pension time, even after death (beyond life). INFORMATION TECHNOLOGY DIVISION The development of organizational structure and the addition of personnel in Information Technology Division are required for the development of applications in order to ensure the continuity of BNI Syariah business growth in the aspect of availability and reliability of information technology systems. Trainings for Information Technology Division personnel are also carried out to prepare our human resources expertise. The composition of Human Resources at Information Technology Division over the past two years is as follows: The role of the Information Technology Division as an entity that can contribute financial benefits to the Bank is directed to support the Bank’s business growth through the development of innovative services to customers and to improve products and services of banking operations to be more competitive, better and faster. The Information Technology Division is a division under the support of Operational Director, has 10 (ten) units including Plan & Project Management, Core Banking NO JUMLAH UNIT 2017 2016 1 IT Coordinator Manager 1 - 2 Plan & Project management (PPM) 9 8 3 Core Banking System (CBS) 3 - 4 Management Information System (MIS) 6 9 5 E-Channel & International System (EIS) 5 8 6 Switching & Middleware System (SMS) 3 - 7 Quality Assurance (QAS) 7 8 8 Hardware & Network (HNE) 8 10 9 Office Automation (OFA) 6 7 10 IT Services (ITS) 8 10 11 Production Support & IT Security (PSS) 3 3 New Position New Unit New Unit Started his career at Bank BNI in 1994 in the Information Technology Division, and was assigned as IT application manager of retail banking in 1999, then served as migration team manager in Planning Division in 2003. Then moved to Syariah Business Division in 2006 as IT Manager, was assigned to become IT core banking and MIS manager in 2010 at Bank BNI Syariah and finally became Head of Information Technology Division in 2014 until now. In addition, he served as Commissioner of PT Sejahtera Bersama Sharia (PT SBS) during the period of year 2014 to 2015. Head of Information Technology Division Profile Mirza Manthovani, SKom, MM. Indonesian citizen, born in Jakarta on January 30, 1969. Graduated with a Bachelor of Computer degree in Information Management from Gunadarma University in 1993 and graduated from Master Program of Management in Economics from Institut Pertanian Bogor (IPB) in 2001 Hasanah Banking Partner KETERANGAN 97 Annual Report 2017
98. Performance 2017 Management Report Company Profile Business Supporting Function Information Technology Division Work Program 2017 The focus of Information Technology Division work program in 2017 is the continutity of ongoing program from the previous period ; that is, IT sharing optimization in the framework of synergies in utilization of Core Banking System and Data Center Bank BNI as the Parent of Bank BNI Syariah. In 2017 the Information Technology Division runs 3 groups of program: 1. Fulfilment of Compliance on the Banking Regulator Project • Development of Chip Debit Card BNI Syariah has implemented a chip debit card implementation using the National Standard Indonesian Chip Card Specification (NSICCS) for limited amount by the second half of 2017 and will plan to increaseits implementation to 30% by the end of 2018 to comply with Bank Indonesia Circular Letter No.17 / 52 / DKSP dated December 30, 2015 on the Implementation of National Standard Technology Chip and Use of Six Digits Online Personal Identification Number for ATM Cards and / or Debit Cards issued in Indonesia. • Development of GPN Debit Card BNI Syariah has conducted a cooperation with one designated organizer and switching provider, and has successfully established a domestic connection in the second half of 2017, this process will continue in 2018 so it can be connected with two domestic switching agencies before the end of the first half of 2017 in order to comply with Bank Indonesia Regulation no. 19/8 / PBI / 2017 on the National Payment Gateway. • • • • 2. Transactional Banking Project Projects that have been implemented by the Information Technology Division in transactional category are as follows: • Waqf Hasanah in mobile applications using smartphones for wakaf program information are waqf projects derived from Nazhir institutions where payment can be made through all BNI Syariah e-Banking channels. Nazhir in cooperation with BNI Syariah is YPI Al-Azhar, Da’wah Islamiyah Council, Indonesian Wakaf Board, Zakat House, Dompet Dhuafa, Global Waqf, YPM Salman ITB, Baitul Maal Hidayatullah, Hasanah Banking Partner • 98 Management Discussion and Analysis and Wakaf House. The organized waqf programs are divided into several categories, consist of buildings (hospitals, educational centers, plantations, wells), environment, (cattle barns), human resources, social institutions, and education (wakaf Al-Qur’an). Hasanah Personal in mobile applications using smartphones for product information (funding and financing), Umrah package list, online griya directory and financing application, Hasanah Card (credit card) application, and Hasanah Card promotion information. Hasanah Virtual Account is a general payment system using a web-based portal for payment transactions conducted through tellers in branch offices. Hasanah Virtual Account can be used by business institutions, education institutions (schools) or other institutions that require a fast and practical bill payment system. Hasanah Virtual Account can receive payments from all banks, buyers and sellers in e-commerce transactions do not need to confirm and check payments manually, and the fund is instantly transferred to the seller’s account on the same day. Hasanah Virtual Account will be further developed through another channel such as ATM. BNI Syariah Hasanah Remittance is a service for remittance in foreign currency either outgoing remittance or incoming remittance. Hasanah Remittance can be used for individual or nonindividual customers (company). BNI Syariah System for the payment of activities financed through the issuance of Government Sharia Securities allocated in APBN with special account of Directorate General of Treasury qq. Directorate of State Treasury Management. Student Payment Center (SPC) host-tohost application for registration service automation as well as tuition payments. Throughout 2017 educational institutions that have collaborations with BNI Syariah are Yayasan Ukhuwah Banjarmasin, Islamic University of North Sumatra, Muslim University Nusantara Al Washliyah - North Sumatra, Nahdlatul Ulama University of Surabaya, State Islamic University of North Sumatra, Kadiri Islamic University, Islamic University of Sultan Agung Semarang and Institute Bogor Agriculture. Annual Report 2017
99. Human Capital Good Corporate Governance Corporate Social Responsibility to several third parties who have collaboration agreements ie . PLN, Ministry of Finance, Biller and various agencies related to the payment. • Disbursement host to host Sharia Fiduciary is a bank service for transactional process at Pegadaian Syariah with the aim to provide easy access for pawn customers in non-cash pawn disbursement transaction, thus, the customer no longer needs to carry cash when receiving the pawn as the money will be transferred to the customer’s BNI Syariah account, this will result to the customers feeling secure without having to carry large amount of cash. • Implementation of the use of bank code 427 in transactions incoming transfers to BNI Syariah accounts from Other Banks primarily in transactions using ATMs. This project will continue in transactions through other channels. 3. Operational Support Projects The projects that have been implemented in order to support the banking operations are as follows: • Information Technology Division provides support in the opening of 1 Branch Office and 15 Payment Point, relocation of 6 Branch Offices, 13 Sub-Branch Offices and 3 Cash Offices; In addition, the maintenance of Branch Offices is also undertaken, including antivirus updates, infrastructure, network and hardware devices, PCs and servers maintenance for areas outside Jabodetabek. • Office Support Apparatus (APK) is a substitute application for Business Intelligence System (BIS) and Report Delivery Channel (RDC) application for data provision either for internal or external parties of BNI Syariah. APK is built with improvements in processing speed, completeness and optimization of reporting features. • In addition, Information Technology Division has also developed Online Dashboard applications to fulfill the needs of Branch Manager to monitor the branch office business conditions on a daily or monthly basis. • AML or Anti Money Laundering is an application required by the Regulator as a tool for anti money laundering and prevention of criminal acts of terrorism. • The development of transaction reconciliation applications for matching transactions are applied Hasanah Banking Partner Attachment Information Technology Investment The use of Information Technology sharing (IT Sharing) with Bank BNI has successfully managed to save investment cost in 2017. The Information Technology investment in 2017 with Rp 9.68 billion in value is used for software licenses, hardware and server procurement, development of waqf applications, Hasanah Lifestyle, IT Security device, digital queue device and office automation. BNI SYARIAH IT STRATEGY IN 2018 In 2018, the development of BNI Syariah information technology is aimed to support BNI Syariah corporate business plan with the theme of “Leading Transformational Change” through gradual and selective development of system/application as follows: • Continue the development of Branchless Banking applications or Non-Office Finance Services in the framework of Smart Inclusive Finance (“Laku Pandai”) in accordance with the Otoritas Jasa Keuangan (OJK) program. The program aims to provide financial products that are simple, easy to understand and in line with the needs of those who are not yet reached by financial services. • Continue the development of Trade Finance applications implemented to support the Trade Finance business, the development of product financing features. • Continue the development of Hasanah Virtual Account, a payment and billing management system (GPS / General Payment System) as a bill payment system through ATM channel. • Prepare a digital banking strategy, essentially a transformational change aimed to support the focus on the right segments; that is, new generation, halal ecosystem, inclusivity and risk return appetite. • Develop Personal Digital Banking Hasanah as the media of consumptive financing application through mobile applications. • Develop Hasanahku e-money is an electronic moneybased payment application that can help customers 99 Annual Report 2017
100. Performance 2017 Management Report Company Profile Business Supporting Function Office Supporting Applications in order to support data provision for internal divisions as well as external BNI Syariah parties . paying daily bills as well as transactions in merchants through payment using QR code. DEVELOPMENT OF INFORMATION MANAGEMENT SYSTEM WITH INFORMATION TECHNOLOGY BASED BNI Syariah has also developed an online-based Dashboard application for the needs of Branch Managers to monitor daily and monthly conditions of their respective branch offices using smartphones, so strategic decisions can be made anytime and anywhere without the boundaries of time and place. The strategic role of information systems within organization is to improve the operational efficiency, to enhance organizational innovation and to build strategic information resources. These three strategic roles can support BNI Syariah in enhancing competitive advantage in business competition. Information systems applied by the company in supporting its strategy can also be used to see future business trends. With information systems, BNI Syariah can anticipate the changes that may occur in the short, mid, and long term due to the change of business orientation. INFORMATION TECHNOLOGY GOVERNANCE Implementation of BNI Syariah Information Technology Governance is to align information technology development with business, to manage risk better, to shorten delivery time, to provide better service, to reduce cost and to increase value for stakeholders. The strategic information system planning is required to recognize the best target to make purchasing, to apply management information system, and to maximize investment return from information technology. A good information system will help BNI Syariah in making decisions in realizing the business plan that has been set. Thus, the application of information technology in determining corporate strategy is one of the most effective ways to improve business performance. Based on these considerations, BNI Syariah improve the performance of management information system, especially in processing time and complete data variation as needed. In early 2017 BNI Syariah renewed the Collaboration Agreement and Service Agreement with Bank BNI as a parent company in order to comply with the regulation of Financial Services Authority as stipulated in SEBI no 9/30 / DPNP. In addition, BNI Syariah has also complied with regulatory requirements in year-end reporting, BNI Syariah IT Profile compilation, reporting on the latest technological developments, IT technology project planning 2018, IT Risk Register and SWIFT audit reporting. In 2017 Information Technology Division organization was developed by adding new units; that is, the Switching and Middleware System, the separation of Management Information System into an individual unit, and the addition of senior manager positions, consisting of The Information Technology Division works with business units incorporating Business Intelligence System (BIS) and Report Delivery Channel (RDC) applications into Hasanah Banking Partner Management Discussion and Analysis 100 Annual Report 2017
101. Human Capital Good Corporate Governance Corporate Social Responsibility Governance is instrumental in directing the use of digital technology to align with business . On the other hand, Information Technology Governance is also important in managing security risks that are very crucial to manage. Bank needs to implement all mechanisms to protect and minimize disruption of confidentiality, integrity and availability of information from digital assets. Good security management is part of good IT Governance. BNI Syariah has built and managed IT Security management better in the period of 2017-2018 in order to prepare the development of digital technology that will be used. the coordinating manager in charge of the software / application development units and the information technology project management unit. In the era of digital economy, the implementation of business strategy is closely related to the direction of information technology development. The banking industry must keep up with the direction of digital technology. This fast changing digital technology development has forced the banking industry to create digital banking in order to meet customers’ needs and deliver the best value solutions. Information Technology Hasanah Banking Partner Attachment 101 Annual Report 2017
102. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis OPERATIONAL DEVELOPMENT OPERATION DIVISION The operational development activity of PT . Bank BNI Syariah is organized by the Operation Division that manages the operational administration of financing and transactions. I. Operation Division Profile The Operation Division is led by a Head of Operation Division, assisted by two Coordinator Managers, who are Financing Support Coordination Manager and Operation Coordination Manager and also assisted by the following 6 managers: a. Operational Development Manager b. Manager under supervision of Financing Support Coordination Manager, ie: c. Legal Financing Manager d. Financing Support Manager Manager under supervision of Operational Coordination Manager: e. Support Manager f. E- Banking Manager g. Interbank Manager 1. Head of Operational Division Profile Zefri Ananta Indonesian, born in Binjai, March 24, 1969. Graduated from Bachelor of Economics, University of Indonesia in 1994 and Master of Small to Medium Industry Study Professional Program, Postgraduate Program of Institut Pertanian Bogor in 2003. Appointed as Head of Operational Division since January 20, 2017 in accordance with PT Bank BNI Syariah Board of Directors appointment letter No.KP /004/ DIR/R. Previously served as Head of Internal Audit Division (IAD) from October 2010 to January 2016. Experienced as auditor in Internal Supervisory Unit, as auditor of branch office local and abroad, subsidiary head office of PT Bank Negara Indonesia, investment, also audit system counterpart and development. 2. Operational Division is responsible for: a. Evaluating and improving the effectiveness and efficiency of operational transaction activities of all units. b. Managing the administration of financing in accordance with the sharia rules. c. Controlling and monitoring the implementation of PT. Bank BNI Syariah operational transaction. d. Mobilizing and controlling the disbursement process of financing. e. Managing and implementing the Financing Insurance Cooperation Agreement. II. Operational Division Work Program 2017 Work Program of Operational Division in 2017 prioritizes on development of Financing Support and Interbank Operation. 1. Operational Development. Implementing the Centralized Debit Clearing for the purpose of: • Centralizing the clearing activity which is still done in the branch • Efficiency of one of the branch back office functions Hasanah Banking Partner 102 Annual Report 2017
103. Human Capital • • Good Corporate Governance Corporate Social Responsibility Receipt of Clearing of Checks / BGs of branches in Jadetabek region can be processed and centralized in Head Office, making it easier for the processing of clearing transactions as a whole because it is done by autodebet, and easier for coordination with other bank participants related to the problems that arise in the settlement of clearing transactions. Extending customer service time for clearing transactions in the branch Improving the quality of customers clearing services. 2. Management of Saving Center throughout PT. Bank BNI Syariah Indonesia by developing the Organizational Structure of Saving Coordinator. 3. Development of BNI Syariah operational system policy and Insurance Cooperation Agreement. 4. Financing Support Development Plan in 2017 as the establishment of Financing Disbursement Center. The objective of establishment of financing disbursement center in October 2017 aimed at: • Maintaining financing quality • Increasing service level agreement (SLA) of financing disbursement • Cost efficiency of Human Resources • Reorganizing financing administration • Standardization the process and minimizing defect process a. The purpose of Centralized Clearing Debit implementation is: i) Centralize the back office clearing activities that are still in Jadetabek branch. ii) Eliminate one of the back-office function from Jadetabek branch. iii) Extend customer service time for clearing in most branches. iv) Improve customer service level. b. Benefits of implementing centralized Debit Clearing: i) Minimize Check/BG input errors by the Branch. ii) Avoid the risk of Check/BG loss or Checks/BG rejection by the branch. iii) Improve processing time on Check/BG clearing transaction process and physical delivery. iv) Prevent rejection outside the clearing that may lead to operational risk. v) Facilitate the process of clearing transactions in the presence of automation systems that enable more timely autodebet process and reduce operational risk. vi) Become a solution to potential operational risks due to the relatively high turn over rate of the branch assistant operation employees working on the debit clearing process. vii) Make cost efficiency of vendors service for bank draft delivery in Branches and efficiency of human resources (jobdesc work in branch) since OA (Operational Assistant) at branch of JADETABEK is no longer required. III. Implementation of Operational Work Program 2017 Work program of Operational Division in 2017 has been implemented throughout 2017 with the following accomplishments: 1. Debit Clearing Center Currently PT. Bank BNI Syariah has implemented centralized credit clearing both inward and outward, using an interface system which is very useful in automatic data processing of money transfer with SKNBI system, so that the process of credit clearing service is very effective and efficient. As for the debit clearing process (related to delivery and receipt of checks/BG), PT. Bank BNI Syariah still execute it manually by KC Jakarta Utara, KC Jakarta Timur and KC Fatmawati as the center/hub of debit clearing management. By conducting Debit Clearing Centralization, it is expected that the whole process of Delivery and Hasanah Banking Partner Attachment 103 Annual Report 2017
104. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis c . Impact of Centralized Debit Clearing: i) Branch no longer confirms and waits for clearing deposits from customers. ii) Incidence of customer complaints on the branch against rejected Check / BG. iii) Educating the customers regarding the obligation of providing the fund for the check/ BG in clearing process. iv) The presence of bilateral clearing settlement through RTGS against nominal transaction of more than Rp 500 million made by the head office. Inward Clearing Process Flow Chart Previous Condition Current Condition BI BI Warkat CEK/BG Bank Draft Delivering Vendor DKE Warkat CEK/BG JKB, JTB, and BIB Branch Bank Draft Delivering Vendor DKE delivered to clearing center Bank Draft Delivering Vendor DKE delivered to Clearing Center Warkat CEK/BG Warkat CEK/BG Coordinator Branch DKE Head Office (Clearing Center) BBD Branch, Tanggerang, Depok, JAB and Benhil ASSISTANT (OA) Verification of Physical Bank Draft with DKE at SPK and check Bank Draft formal requirements ASSISTANT (OA) Verification of Physical Bank Draft with DKE at SPK and check Bank Draft formal requirements Clearing Center ASSISTANT Verification of Physical Bank Draft and Auto Debet opening process ASSISTANT (OA) Input Bank Draft transaction Screen 51071 and rejection screen 51079 ASSISTANT (OA) Input Bank Draft transaction Screen 51071 and rejection screen 51079 Clearing Center ASSISTANT Input Bank Draft transaction Screen 51071 and rejection screen 51079 Hasanah Banking Partner Warkat CEK/BG 104 Annual Report 2017
105. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment meet the needs of branch offices of PT . Bank BNI Syariah in certain region according to saving of its branch. c. Such delivery and pick-up activities are from all managed outlets, Bank Indonesia (BI), other banks and or vice versa. 2. Saving Coordinator Branch a. The Saving Coordinator branch is a branch appointed to manage the centralized saving management, which has the same functions as Saving Center. b. Activies of Saving Center / Coordinator Branch includes the process of money sorting, packing, delivery and pick up to Today, there are 3 branches of saving coordinator in BNI Syariah, ie. Bandung, Semarang, and Malang Saving Coordinator Control Branch BANDUNG SEMARANG MALANG KC Bandung KC Semarang KC Malang KC Cirebon KC Yogyakarta KC Surabaya KC Tasikmalaya KC Pekalongan KC Jember KC Sukabumi KC Surakarta KC Surabaya Dharmawangsa KC Mikro Astana Anyar KC Purwokerto KC Kediri KC Kudus KC Mikro Rungkut KC Mikro Dinoyo KC Mikro Tanjung Jember Assistant, Officer and Manager, including: training program for ADP, OPD, Teller, Customer Service, Customer Service Head, Back Office Head (BOH), Micro Operation Supervisor (POM) , Financing Administrastion Assistant (FAA), Operational Service Head - remote (OSH), Financing Administration Head (FAH) and Operation Manager (OM) of all PT. Bank BNI Syariah branches. b. b. Control of insurance coordination agreement was initially handled by Policy Control Unit. In 2017 there were many additional specifications of the product being agreed upon and additional insurance partners so that the function of Policy Manager and Insurance Cooperation Agreement Manager is separated. In the end of 2017, the Operational Division undertook development of Branch Coordinator Saving Online Supply Remittance Report System Application where the outlets under the management of each coordinator branch no longer manually confirmed the supply remittance process. Objectives of Supply Remittance Report System Application development are: a. Good administration. b. Centralized information (Branch and Saving Coordinator Branch are recorded by system). c. Minimizing costs, ie CIT Insurance Fee, fax and Branch phone. d. Mitigating supply remittance data errors. 3. Development of Insurance Cooperation Agreement Management Unit. a. Operational Development Function. The main function of Operational Development unit as the policy maker, has succeeded in conducting training for Hasanah Banking Partner There is a quality improvement of one unit in the operational division in handling e-banking cyber crimes, which is part of the E-banking Unit function that manages the investigation. 105 Annual Report 2017
106. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis (SLA) customer complaint settlement refers to the statement of Otoritas Jasa Keuangan Regulation No: 1/POJK.07 / 2013 article 35. Settlement of complaints is done by the head office which is then submitted to the Branch through HCS for reporting to Customer. 4. E-banking Investigation Unit 2017 BNI Syariah E-banking unit was established in early 2015. E-banking unit serves as BNI Syariah business activities support such as: Customer complaint handling due to external cyber crimes (investigation unit) In 2007 investigation Unit task in handling of customer complaints related to acts of external cyber crime is quite high. It is affected by the era of digital banking that allows people to use e-channel facilities for all banking transactions anytime and anywhere, so that it is potentially exploited by irresponsible parties for doing external externally such as case of trapping, skimming, pharming, phishing and cyber crime threats. b. External Customer Complaint Handling Source of e-banking unit external complaints comes from: i) BNI Call Center ii) Complaints from other banks through Email or letters based on the complaint data received in e-banking unit, the settlement of external complaint is done by first analyzing the transactions reported between the banks, then changing information between banks by using official letter/bilateral letter and indemnity letter if the fund can still be returned from the reported account. This is done to maintain good relationship with other banks as well as maintaining BNI Syariah’s reputation (corporate Image). Handling fraud cases in the e-banking unit is divided into 2 sources i.e internal and external complaints handling. a. Internal Customer Complaint Handling BNI Syariah Customer Complaints through all branches of Regular and Micro Branch are integrated on Handling Complain System (HCS) managed by head office. Service level agreement c. Internal and External Customers Handling complaints in 2017 as follows: No Type of Crime Complaints Submitted Complants Settled 1 Trapping 11 11 2 Skimming 25 24 3 Phising 4 Pharming 8 8 12 12 5 Kasus Penipuan (antar bank) 209 209 Jumlah 265 264 1 1 Mataram, Pekanbaru and East Jakarta. However, perpetrator for skimming card case was caught in East Jakarta area, as a real customer complaint handling follow up from the e-banking unit. • Interbank fraud case is an external customer complaint in which the customer’s account is used as a holding account for fraud. In 2017 interbank fraud cases of complaints are dominated by cases of online sales. Above table can be concluded as follows: • Total customer complaints through internal and external e-banking units in 2017 is 265 complaints. 264 complaints is successfully closed in 2017, there are 1 complaint remaining that has not been resolved due to incomplete complaint requirements by the Customer. • The types of external crime are dominated by skimming cards cases, mostly occured during 2017 in some areas including Hasanah Banking Partner Pending 106 Annual Report 2017
107. Human Capital Good Corporate Governance Corporate Social Responsibility • Standardizing the process and minimizing of process defect b. Realization of branch transformation from micro to regular is currently 5 (five) piloting branches. • During 2017, employee certification has been issued for each position to facilitate the company in competency level mapping as follows: 5. Implementation of Disbursement Center 2017 a. Establishment of financing disbursement center in October 2017 includes 10 (ten) branches of Jabodetabek starting with 2 (two) branches each week, starting with: • Maintaining financing quality • Increasing financing disbursement SLA • Cost efficiency of Human Resources • Issuing finance administration Position 2015 Operasional Manager and Best Employee (Head Office and Branch) Financing Administrasi Head (FAH) Back Office Head (BOH) • 2016 2017 - - 54 persons 48 persons 27 persons 49 persons - 32 persons 68 persons Disbursement Center Piloting has been done since October 2017 with 10 branches of Jabodetabek Region as participants. Improved data quality in terms of pending collateral and data cleansing shows the following progress: Data Before the disbursement center (Jan-Sept 2017) Progress of pending settlement solutions Cleansing rekening • Attachment After the disbursement center (Okt-Des 2017) Improvement Progress 8% 15% 7% 83.41 98.49 15.08 STRATEGIC PLAN 2018 Development of EFO SDN (Electronic Financing OriginationCustomer Documentation System) has been done to improve the function of registering, monitoring, and financing documents. The input of EFO SDN document data during year 2012-2017 reaching the average of 99.9%, added with monitoring system by BIC with data as follows: i) Total data input 100% ii) Data accuracy 88.58% iii) Total Account Input 140,015 In order to support the business plan of BNI Syariah in 2018, the Operational Division has compiled the work plan of 2018, as follows: 1. Micro Business Division in 2018 is focused on improving the performance of Micro Business, thus transforming Micro-operational transactions. In this case, the Operational Division starting in 2018 manages all operational transactions of micro branches and regular branches. Of the 19 micro branches transformations currently being realized is the piloting of 5 branches since October 2017. Next transformations will be executed gradually in 2018. The transformation that has a significant effect on the activities of the Operational Division is the redirecting the management of Microfinance Financing Center with the purpose of improving the quality of financing. Hasanah Banking Partner 107 Annual Report 2017
108. Performance 2017 Management Report Company Profile Business Supporting Function • Use of Live DRC SKNBI • Use of the BI RTGS DRC System b. Operational Development & Insurance • More selective in deciding insurance partners in order to meet BNI Syariah product specifications c. Operational Development & Insurance • More selective in deciding insurance partners in order to meet BNI Syariah product specifications 2. The Operational Division in 2018 will focus on managing the newly realized disbursement center in 2017 along with the Micro transformation, thus further monitoring and adjustment in the flow of the financing administrative process are necessary; the concern is: a. Improved documentation and reporting quality b. The split of authority in running the administrative flow financing process c. Management, implementation, monitoring and quality inspection of EFO SDN d. Development of IT operational systems to improve effectiveness and operational efficiency of financing administration 3. In addition to the administration of financing as the responsibility of the Operational Division, there are other operational transactions that become priority in 2018, including: a. Interbank strategy in 2018 • Development of SVS (Signature Specimen) • Information Technology Recovery Plan (RPTI) of Bank Indonesia SKNBI & BI RTGS Hasanah Banking Partner Management Discussion and Analysis 108 Annual Report 2017
109. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment STRATEGIC PLANNING As a corporation , BNI Syariah have the intention to continue to grow sustainably and provide maximum benefits to all stakeholders. To achieve these goals the right plan and strategy are required. STRATEGIC PLANNING DIVISION Based on the organization’s statement No.ORG/18/VII/2017 dated July 18, 2017, the strategic planning function is led by a Division Leader and directly supervised by the President Director. The function of the Strategic Planning Division is to ensure the viability of BNI Syariah business in the short, mid and long term, supported by healthy business performance and sustainable growth. The Strategic Planning Division served as a think tank for the Company and providing guidance on the strategies and steps to be implemented by the Company in dealing with business environment changes. Head of Strategic Planning Division Profile M. Misbahul Munir ST.MM Indonesian citizen, born in Semarang, May 6, 1971. He holds a Bachelor degree in Chemical Engineering from Gadjah Mada University and a Master of Management degree in Management from Gadjah Mada University. In 2015 served as VP Marketing Communication in Customer Management and Marketing Division at BNI. He is currently assigned as Strategic Planning Division Leader at BNI Syariah since 2016. Organizational Structure of Strategic Planning Division Director Manager Coordinator Change Management Senior Manager Executive Manager Direktur Sektor Strategic Planning Division Head Manager Coordinator Strategic Planning Change Management Manager Corporate Planning Manager Junior Economist Change Management Officer Corporate Planning Officer Corporate Performance Manager Clerk Junior Manager Manager Economist Change Management Assistant Business Unit Performance Officer Strategic Planning Assistant By the end of 2017, the Strategic Planning Division is supported by 13 personnel. Hasanah Banking Partner 109 Annual Report 2017 Funcional Unit Performance Officer
110. Performance 2017 Management Report Company Profile Business Supporting Function 2 . Strategic Planning Strategic Planning activities are focused on developing BNI Syariah bankwide strategy, formulating financial objectives, budget allocation and control as well as Company’s performance control through the following activities: • Integration of top-down and bottom-up planning processes with Business Units and Support Units. • Preparation of business unit performance periodic reports in the context of evaluation and monitoring of targets that have been set. • Preparation of continuous corrective actions as input for management when performance deviation occur. • Ensuring that the realization of operating expenses and capital expenses does not exceed the established budget, by monitoring the load usage regularly and by initiating the use of budget control forms in each Division / Unit. Strategic Planning Division Job and Responsibilities Strategic Planning Division is responsible for directing the company in line with the goals or objectives of the company, in short, mid and long term, to anticipate future changes (scenario planning); and mitigating strategic risks. To enable optimal and efficient drive and direction in achieving company goals, BNI Syariah undertake strategic planning of the company that covers the financial and non-financial aspects. The company’s short-term strategic plan is prepared for a period of one year, mid-term for three years, and long-term for five to fifteen years. Strategic planning is designed to formulate corporate actions to support sustainable growth and long-term capital needs. The company’s strategic planning for the mid and long term is set dynamically, as to make yearly evaluation and adjustment possible in order to maintain consistency and relevancy to the current condition of internal and external company. Corporate strategic planning in bankwide breaks down into strategic planning in business unit and functional as well as regional and branch level. 3. Economist By mid 2017, to cope with industry changes and to meet the needs of the company accordingly, the Economist unit was then formed to perform a function as macroeconomic developmental condition analysis, providing input for the company in determining future business strategy through the following activities: • Develop an economic review that includes the identification of indicator changes in Indonesian macroeconomic and its projections, also the impact and anticipation that must be done by the company. • Analyze the development of industrial conditions as input for business units to make selective expansion. • Develop strategic reviews and executive materials for management. Strategic Planning Main Focus In order to ensure the strategic planning function runs well so as to support healthy and sustainable business growth, strategic planning functions are focusing on 3 (three) key activities that are mutually supportive and related: 1. Change Management The Change Management activity was initially focused on overseeing the BNI Syariah post Spin-Off transformation process and later directed to develop business and operational processes with solid fundamentals through several activities: • Process improvement research and its strategic impact for the Company • Benchmarking and development of business processes and operations based on best practices. • Project Management for major changes activities. • Strengthening business synergy and optimization of shared services utilization owned by PT Bank Negara Indonesia (Persero) Tbk as the parent company. Hasanah Banking Partner Management Discussion and Analysis 110 Annual Report 2017
111. Human Capital Good Corporate Governance Corporate Social Responsibility • 2017 Achievement In accordance with BNI Syariah 2017-2021 3 phases roadmap, the phase of 2017-2018 is the phase of “Business Competitiveness”, so the deliverables in the Strategic Planning Division is to increase the company’s capability by maintaining the superior performance of the Company in this turbulent industry situation with a focus on growing a high quality and competitive business. Some of the major deliverables during 2017 include: 1. Change Management • Micro Business Transformation. In order to optimize the BNI Syariah Micro business potential, management transforms the Micro business model, covering aspects of channel management, organization and business processes. Micro business transformation is done through optimizing the potential of micro and non-micro products implemented at micro outlets that are transformed into regular outlets. • Productive Financing Migration The migration of productive financing portfolio is performed to improve customer management effectiveness and adjusting / refining new productive financing segments. • Optimizing Sharia Channeling Office (SCO) and Optimizing SCO BNI outlets Collocation through: (1) adding collocation officers at 100 outlets, (2) opening new SCO outlets, (3) optimizing SCO reward programs, and other strategies. • Taskforce Non Performance Financing (NPF) The establishment of a task force team to optimize the financing quality improvement in BNI Syariah. • The establishment of BNI Call Center Officer (BCO) Syariah The establishment of Call Center Hasanah Service and Hasanah Card (BCO Syariah) through hand over of 12 BCC BNI employees to become BNI Syariah employees. • Centralized Financing Disbursement Centralized disbursement process of financing products at Head Office. • Review Service Level Agreement (SLA) BNI – BNI Syariah Syariah Review and update of technical assistance agreement by BNI to BNI Syariah for period 2017-2019. Hasanah Banking Partner • Attachment Bank Code 427 in ATM Bersama Network Separation of bank code related to bank transfer service at ATM and other delivery channels between BNI Syariah and BNI, from previously shared the same code 009, now BNI Syariah has individual code 427. Evaluation of business synergy program and the utilization of shared services owned by BNI parent company on a periodic basis. 2. Corporate Planning • Prepare Bank Business Plan (RBB) 2018 - 2020 taking external conditions and internal capabilities into consideration as to be in line with the Company’s mid and long term plans. • Develop workplans and opex / capex 2018 budget allocations through top-down and bottom-up processes with Business Units and Support Units. • Monitor the realization of business unit performance in 2017 whether in accordance with the work plan and business objectives that have been set on a monthly basis. • Monitor the realization of opex and capex 2017 on budget allocation on a monthly basis. • Initiate 7 (seven) action plan programs for the end year performance achievement 2017. • Conduct Business Meeting 2017 as a tool for Board of Management (BOM) in delivering direction, business objectives, and corporate strategy to the leaders of Division and Branch / Region. • Strengthen capital through additional capital realization from the parent company with value of Rp1 trillion to support sustainable business growth. • Develop strategic reviews to anticipate any conditions that may affect the Company’s sustainability. • Coordinate with other BUMN subsidiaries in sharia banking industry in order to strengthen the sharia industry in Indonesia. • Develop Business Sense competency standard that has become one of core competencies for every employee, and more importantly for new employees, through training program that enhance analytical thinking and financial modeling. 111 Annual Report 2017
112. Performance 2017 Management Report Company Profile Business Supporting Function 4 . Preparation of corporate plan 5 (five) years (2019 -2023). 5. Corporate action review 6. Micro Business Transformation Continuing the micro business transformation project to the next phases. 7. Optimization the potential of micro and non micro products implemented at micro outlets that are transformed into regular outlets. 8. Territory Evaluation Evaluation the effectiveness of Regional Office performance based on the functional suitability in optimizing the outlet business expansion. 9. SCO and Collocation Optimization Optimization of SCO BNI outlets through: (1) adding collocation officers at 100 outlets, (2) opening new SCO outlets, (3) establish new reward program, and other strategies. 10. Conversion of all SCO BNI Syariah to SCO Haji. 11. Business Financial Technology Review (Fintech). 12. Preparing the Economic Review on quarter basis. 13. Conducting big data analysis related to industry and economy. 14. Preparing executive material for management use. 15. Preparing study review related to strategic programs. 16. Creating projected macroeconomic indicators. 17. Establishing and executing digital business plans. 18. Building transactional banking capabilities. 3. Economist • Economic Review 2017 covering identification of Indonesian macroeconomic indicator changes and projections as well as the impact and anticipation that should be undertaken by the Company. • Developing strategic reviews related to the value proposition of BNI Syariah (Hasanah Banking Partner). • Preparing executive material for Management use. • Conducting economic and industrial analysis. • Creating projected macroeconomic indicators. 2018 Priorities In accordance with the 2018 performance theme “Leading Transformational Change”, some main priorities in 2018 are as follows: 1. Initiation of strategic projects, concentrating on those that have direct impact with business activities, so as to make improvements on business process that result in better performance. 2. Strengthening synergy with BNI in supply chain financing and marketing of consumer products area in particular by utilizing the extensive network of BNI relations. 3. Alignment IT Strategic Plan (ITSP) BNI Syariah adjusted with the ITSP BNI in facing the digital era. Hasanah Banking Partner Management Discussion and Analysis 112 Annual Report 2017
113. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment NETWORK AND SERVICES The role of Network and Service Division is to plan and direct the implementation of network point development and optimization , network business development, target planning and network performance evaluation as well as network synchronization of HR performance assessment, development of system, standard and service procedures; and also ensuring service quality and customer complaints settlement across BNI Syariah network in order to support business network acceleration of BNI Syariah. The Network and Service division is under the support of the Operational & Network Director and has 7 (seven) units including Network Performance, Network Management, Network Development, SCO & Business Alignment, Service Monitoring, Call Center and Service Development. Leadership Profile of Network and Services Division Name Adjat Djatnika Basarah, SE., MM Kewarganegaraan Indonesia Place Date of Birth Bandung April 12, 1971 (46 years) Domicile Bogor Education • Bachelor of Economics (management) Padjadjaran University of Bandung in 1995 • Master of Management (investment), IPMI International Business School in 2004 Job History • • • • Dual Position Division Head of Secretary and Communication Training in 2017 First International Conference on Good Corporate Governance Appointment January 2018 Affiliate Relationship Controller Not affiliated with members of the Board of Commissioners, Board of Directors and Shareholders Head of Jabodetabek Plus Area in 2016 Branch Manager of Bendungan Hilir Branch in 2010 Branch Manager of Semarang in 2008 Manager of Market Planning and Analysis in 2008 Hasanah Banking Partner 113 Annual Report 2017
114. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis Organizational Structure of Network and Service Division Executive Manager Network & Service Division (NSD) Director Network Plan Manager Network Development Manager Network Performance Manager Network Plan Officer Network Development Officer Network Plan Assistant Network Development Assistant Manager Coordinator Services Network Plan & Development Manager Service & Business Quality Manager Service Monitoring Manager Network Performance Officer Service & Business Quality Officer Service Monitoring Officer Network Performance Assistant Service & Business Quality Assistant Service Monitoring assistant Syariah Call Center Officer Clerk Junior Manager Manager Senior Manager Manager Coordinator Network Branch Office Customer Service Head Operational & Service Head vehicles, payment points and SCO) to support the business synergy of BNI Syariah network. d. Planning a review agenda for the branch class including recommendations for granting Individual Decision Authority Branch Officer Financing in order to expedite the business process. 2. Network Performance and Human Resource Performance Synchronization Network a. Controlling business and non-business target distribution synchronization of employees throughout the BNI Syariah network through a coordination process with the Supervising Division and Regional Office to ensure the achievement of network target running as expected by management. Network and Service Division Job and Responsibilities The Network and Service division has job and responsibilities related to the following areas: 1. Business Development a. Planning development of business model design and business process synchronization to support business development of BNI Syariah network. b. Establishing process planning mechanism and monitoring facilitation process of bottom up target proposing of branch and region to related unit in Head Office. c. Controlling the synchronization of business objectives and budget of all outlets (regional offices, branch offices, sub-branch offices, functional offices, saving offices, mobile service Hasanah Banking Partner 114 Annual Report 2017
115. Human Capital Good Corporate Governance Corporate Social Responsibility 5 . Service Standards Monitoring a. Planning and directing the implementation of quality monitoring system at Regular Branch and Micro Branch to ensure the quality of service across BNI Syariah network in accordance with the standards set. 6. Complaint Handling a. Planning the development of customer complaints system and directing the settlement of customer complaints to achieve BNI Syariah excellent service. b. Directing network performance monitoring as well as necessary follow-up through coordination with Supervision Division and Regional Office in order to encourage achievement acceleration of set targets. c. Directing the mechanism of recommendation drafting for performance appraisal of individual branch officers as consideration for Appraisal Committee to support the productivity of BNI Syariah human resources. d. Directing the network synchronization process of performance assessment of all human resources as well as the necessary follow up through coordination with Supervision Division and Regional Office in order to encourage the productivity of BNI Syariah human resources network. 3. Physical Network Development and Maintenance (Opening, Relocation, Remodeling, Closing) a. Planning for opening new network locations and projected budgetary needs for new networks opening to support business achievement through all BNI Syariah channels. b. Recommending the network related application permission to the regulator to support the legalization process of BNI Syariah network operations. c. Directing technical activities related to outlet opening, relocation, maintenance, and closing (including physical facilities and infrastructure such as Human Resources, Vehicles, ATMs, etc.) to support the success of BNI Syariah network business. 4. System Development, Procedures and Service Standards a. Planning for system development and service related procedures across BNI Syariah network. b. Planning the monitoring agenda for the implementation of service quality improvement programs to improve the BNI Syariah national rating service. c. Planning and directing the preparation of standards and service procedures across all network (regular and micro) to support the success of BNI Syariah network business. Hasanah Banking Partner Attachment Network and Service Division Work Program 2017 In 2017 the Network and Service Division run programs in 4 groups: 1. Realization of Bank Strategy 2017 • New Outlet Openings BNI Syariah has opened 3 new regional offices namely Regional Office (Kanwil) Jabodetabek Plus, Western Region, Eastern Region and 142 Bank Syariah Services. To expand BNI Syariah network, the plan for opening new Branch Office Sukoharjo and 22 network offices Payment Point (PP) has been implemented in 2017. • Outlet Address Change To adjust with the development and business situation in the field, BNI Syariah has relocated some addresses consisting of 6 Branch Office (KC), 13 Sub Branch Office (KCP), and 2 Cash Office addresses. • Status Changes Following up the operations of the existing 8 Functional Offices, BNI Syariah consider the need to change the status of the Functional Office to be upgraded to Branch Office (KCP) to optimize the business, especially related to DPK business potential. The plan has been realized in 2017 by developing BNI Syariah business potential especially the DPK business potential. • Outlet Closing To support the effectiveness and efficiency in the field, BNI Syariah has closed Payment Point ie. Payment Point Insan Rabbany. 2. Network and Service Optimization The projects that have been implemented by the Network and Service Division in optimizing the network are as follows: 115 Annual Report 2017
116. Performance 2017 Management Report Company Profile Business Supporting Function • Appreciation and enhancement frontliner competencies through competition quality service program and frontliner of the month. • Facilitating frontliner staff with service tools that include online saleskit (SKO), working papers, service standard video and regularly updated performance standards. d. Support Services System Improvement • Installation of Digital Queue machine at BNI Syariah outlet to monitor transaction numbers and service time effectiveness. • Development of Hasanah Window function to accelerate the customer transactions settlement process. • Regular monitoring to the physical aspects maintenance of KC / KCP / KK service which includes the convenience of banking hall, banking hall equipment, ATM, toilet and musholla. • Quality improvement of management and settlement of handling customer complaints, along with the application system. • Development of BNI Syariah Call Center in order to improve the quality of service via telephone and speed up the settlement time of customer complaints. • Measurement of Delivery and Process Service independently of KC / KCP / KK / KCM through mystery shopper project. • Analyzing the business environment regularly pertaining services through customer satisfaction surveys for service development. • Building customer loyalty program framework through customer experience day on BNI Syariah Milad and the Islamic Holiday. a. Outlet Development Review • Reviewing the potentials and opportunities for office networks development by considering the external and internal aspects of the company as a basis for policy. • Evaluation of the new outlet class and creating new outlet class as the positioning outlet to improve outlet performance according to existing potential. • Initiation of training and certification of KCP Leaders to improve competency and capability in order to achieve the targets set by the company. b. Synergy Improvement with BNI parent company in Sharia Channeling Outlet (SCO) cooperation: • BNI Syariah product socialization to Customer Service (CS) BNI in order to increase knowledge about BNI Syariah fund products to be able to serve the BNI Syariah account opening transaction. • Conducting SCO user application training to the BNI General Supervisor for user SCO maintainance. • Equipment and collateral marketing supply to increase awareness of customers doing transaction at BNI. c. Quality Improvement of Branch Office / KCP / KK Frontliner Officer • Providing frontliner staff trainings emphasizing on the capability to serve customers quickly and accurate including customer handling complaint and customer engagement. • Providing training to the leadership elements regarding the competency development of subordinates in improving the quality of comprehensive services in order to contribute optimally to BNI Syariah performance. • Improving the service standards implementation, knowledge and understanding of the products processes and terms through technical competency improvement programs such as sharing sessions and service branch development monitoring (BDM), competency surveys, random yet regular branch service aspect surveys as well as establishment of branch service performance appraisal system. Hasanah Banking Partner Management Discussion and Analysis 3. Performance Management and Profitability Performance management is implemented in order to conduct and provide information to branches and regions related to the conditions in each month. The supporting tools used in performance management are as follows: a. Performance Measurement System A monitoring system focusing on the Key Performance Indicator as a reference in determining the achievement priority based on target. 116 Annual Report 2017
117. Human Capital Good Corporate Governance Corporate Social Responsibility Performance monitoring aims to facilitate the branches and regions in setting priorities for achieving targets . The achievements in 2017 for each region are as follows: b. Branch Dashboard A system that can be accessed directly by the branch leaders to monitor branch performance without going through manual processing. No. 1 Area Acv. Profit Jabodetabek Plus 132,92% Attachment Acv. Financing Expansion 97,58% Acv. CASA Expansion 185,82% Acv. DPK Expansion 178,87% Acv. Pra NPF & NPF 369,00% 2 West 130,05% 88,71% 135,88% 134,39% 345,58% 3 East 103,87% 78,81% 142,20% 147,10% 250,03% The Network and Service Division has a strategy to improve Internal Services Satisfaction in 2018 by maintaining good relationships, building good cooperation and communication, quick and ontime response in coordinating with Divisions and Branches, focusing on improving the quality of business performance support facilitation for Branch services, supported by competent Human Resources from Network and Service Division, and transparency of Branch business and service performance evaluation. 4. Internal Services Satisfaction This Internal Services Satisfaction Program is a program of the Human Resources Division (HCD) in order to measure and evaluate the performance and service of the Network and Service Division in 2017. This Internal Services Satisfaction is measured through completion of survey questionnaires method submitted by all BNI Syariah Divisions and Branches. As for the performance of Network and Service Division in 2017, the survey indicated the results (Internal User Satisfaction Index) of 3.76 with 538 number of respondents. Hasanah Banking Partner 117 Annual Report 2017
118. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis GOODS AND SERVICES PROCUREMENT The smooth Bank operations and business processes can only be realized with the enabler of working tools and various other supporting needs . The role of procurement is very crucial to support smooth Bank operation and business processes. PROCUREMENT AND FIXED ASSETS MANAGEMENT DIVISION Head of Division Profile Azizah Saleh Indonesian citizen, born in Brebes, July 11, 1961. She holds a Bachelor degree in Law from Universitas Jenderal Soedirman, Purwokerto and Master of Management, Faculty of Economics and Business, Universitas Gadjah Mada, Yogyakarta. Started her career at PT Bank Negara Indonesia (Persero) Tbk. since 1993 as Credit Analyst. In her career, she has served as Deputy Regional Leader of BSD in 2012-2014, Deputy Leader of Product and Fund Division in 2015 and Deputy Leader of Credit Card Division in 2015-2017. Joined BNI Syariah since 2018 as PFD Head. Executive Manager Organizational Structure of Procurement and Fixed Asset Management Division Procurement & Fixed Asset Division (PFD) Clerk Junior Manager Manager Senior Manager Director Procurement Manager Fixed Asset Manager Logistic & GA Management Manager Procurement Officer Fixed Asset Officer Logistic & GA Management Officer Procurement Assistant Fixed Asset Assistant Logistic & GA Management Assistant BNI Syariah Procurement Basic Principles In conducting the procurement process, the Company refers to the basic principles of procurement implementation: 1. Efficient Goods and services procurement should attempt to get the best and optimal results in a short period of time, using minimum fund and capabilities on a reasonable extent and not just based on the lowest price. 2. Effective Goods and services procurement must be in conformity with the requirements that have been set and provide maximum benefits in accordance with the set targets. 3. Competitive Goods and services procurement shall open to qualified goods and services providers and conduct a fair competition among goods and services providers, who are equivalent and meeting specified qualifications / criteria, based on clear and transparent terms and procedures. Hasanah Banking Partner 118 Annual Report 2017
119. Human Capital Good Corporate Governance Corporate Social Responsibility 14 . Maintaining Good Relationships (Ukhuwah) among BNI Syariah personnels 15. Occupation as speaker 16. Contributing in participation of political parties 17. Maintaining security and cleanliness in working environment 18. Maintaining and using BNI Syariah assets properly and responsibly 19. Commitment to environment and social environmental care 4. Transparent All terms and information on the goods and services procurement, including technical requirements of procurement administration, evaluation procedures, evaluation results, determination of prospective goods and services providers, are open to the interested participants. 5. Fair / Not discriminatory Goods and services procurement shall bring equal treatments to all eligible goods and services providers. 6. Accountable Goods and services procurement must achieve the target and have accountability to avoid potential misuse and deviation. 7. Quality and Price Goods and services procurement must meet the quality according to technical requirements with the most favorable price and optimum result. Procurement Policy 1. Functions on goods and services procurement in principle is referring to Good Corporate Governance according to PBI No 11/33 / PBI / 2009 dated December 7, 2009. 2. Procurement must be supported with sufficient budget. 3. Procurement implementation is completed by the organizational units owning procurement functionality and authorization 4. Each implementation on goods and or services procurement functions may use integrated information system through E-Procurement System. 5. Procurement shall increase and prioritize the usage of domestic products, designs and national engineering with the objective of expanding domestic industry and working opportunity for local small businesses. Cooperation as long as the quality, price and purpose can be held accountable for, while remain obeying the applied laws and regulations. However, should it considered not meeting the requirements / required specifications and / or has not been produced domestically, then using non-domestic products may be possible 6. Increase professionalism, independency, and responsibility of authorized officers within BNI Syariah in order to enhance the quality of goods and services procurement process. Procurement Ethics of BNI Syariah Every goods and services procurement organizer within BNI Syariah must obey the ethics on Claims and Behavior Code of Conduct for BNI Syariah Personnels i.e.: 1. Conducting business activities based on syariah principles, comprehensively and consistently 2. Conducting business activities that can provide benefits and be applied universally. 3. Doing proper and correct data recordings and reports of BNI Syariah 4. Prohibition of misuse of power 5. Avoiding conflicts of interest 6. Not committing bribery or receiving and/or giving rewards and souvenirs (Riswah). 7. Maintaining BNI Syariah honor 8. Maintaining Bank’s confidentiality 9. Corporate Identity usage 10. Competency 11. Becoming role model 12. Fair 13. Information Disclosure Hasanah Banking Partner Attachment 119 Annual Report 2017
120. Performance 2017 Management Report Business Supporting Function Company Profile Management Discussion and Analysis Procurement Process 1 . Direct Purchasing Flow Process Preparation Implementation 2. Direct Appointment Flow Process Selection of Pricing and Implementor Preparation Appointment of Implementor 3. Direct Selection Flow Procedure Preparation Implementation Winner Award Appointed Winner 4. Tender Process Flow Preparation Announcement and Registration of Prospective Participants Selection of Prospective Participants Delivery of Invitations and Retrieval of Bidding Document Technical Evaluation and Pricing Tender Evaluation Delivery of Invitations and of Opening Bidding Document Request For Aanwijzing Proposal Minutes of Evaluation Clarification Tender Award and Announcement Hasanah Banking Partner 120 Annual Report 2017
121. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Procurement Scheme , Authority and Responsibility Procurement Principle Permit Information on TOR / Technical Specification / Requirement Delivery of Request for Proposal Aanwijzing Winner Proposal by the Procurement Decision Authorized Official Clarification and Negotiation Acceptance of Technical Proposal & Pricing Procurement Proposal/ Self Estimated Price Appointment Contract Letter Cooperation Agreement Letter Contract Handover Document Payment Procurement Processes, Authority and Responsibilities User Budget/Procurement Principle Permit Group PFA √ Committee √ Policy Product √ √ Policy Procurement √ √ User Requirement/Spec Teknis √ √ Preparation of RFP / Procurement Document √ √ Vendor Qualification (Selected Partner List) √ √ OE/HPS √ √ Delivery of RFP / Procurement Document √ √ Acceptance of Proposal √ Technical Evaluation Sign Off SOW (IT Procurement) √ √ √ +IT √ Administration Evaluation √ √ Technical and Pricing Evaluation √ √ Negotiation √ √ Hasanah Banking Partner 121 Annual Report 2017
122. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis User Group PFA Committee Proposal Notes √ √ Contract √ √ Legal(Optional) √ +Accounting √ Implementation (BAST) √ Payment 7. Each goods and services procurement must seek approval from the authorized officials according to their respective authority level. 8. The results of the goods and services procurement must be reported regularly (every semester) to authorized officials. Goods and Services Procurement Terms of Implementation 1. Each unit authorized to carry out the goods or services procurement is prohibited to split type of work and location of the same job into several work packages of the same type of work and location into open/direct appointment. Splitting different types of work procurement are allowed. 2. Considering the type, nature, or the value of goods and services, the condition of the location and the number of providers of goods and services, each unit authorized to carry out the goods or services procurement must first establish the most appropriate or suitable system of procurement process. 3. Each goods or services procurement must be guaranteed on the availability of budget in accordance with the type of procurement (investment budget or expenses budget). 4. For the procurement with the limit values over 1 billion or through an auction process before the goods / services procurement is carried out, every authorized unit must sign the Integrity Pact. The Integrity Pact must be signed by all parties involved in the procurement of goods and services (User, committee/Officials, Providers), to be reported to the authorized officials (procurement PIC). 5. Exceptions of goods or services procurement that deviate from the procurement must be based on considerations that can be justified and must obtain prior approval from superiors authorized officials or in the Board of Directors meeting. 6. Directors/EVP/Head of Division according to their authority, have the final authorization to decide the winner of the open tender or direct selection or generic tender or direct appointment, different from the initial proposal by the subordinate unit. Consideration in the decision should be accountable by the Board of Directors/EVP who made the decision. Hasanah Banking Partner PROCUREMENT IMPLEMENTATION Via goods and services procurement: Procurement can be implemented if there is a clear specification of goods, proven to be more efficient and within the right time. Self-management: the activities to acquire goods and services are carried out through a series of steps of planning, implementation and monitoring by the Bank’s owned manpower, owned tools or through bulk payment of services. 1. Elements of Goods and Services Procurement • Procurement implementation • Procurement unit • Procurement committee • Procurement team • Procurement documents • Self-Estimated Price (HPS) • List of vendors • Authorized officials for clarification and negotiation • Authorized officials to make decision (procurement PIC) 2. Procurement Preparation The authorized officials to carry out the procurement process must establish the criteria and requirements that are objective and not incline to a particular vendor of goods and services. 3. Work Handover Each user of goods and services unit must be certain of the conformity of amount and specifications of goods and services to be in accordance with the agreement, by signing the BAST (handover document) of goods or work by the authorized officials. 122 Annual Report 2017
123. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment negotiation with goods and services providers who carry out the work and documented the result in the minutes of the clarification and negotiation meeting . 4. Guarantee in goods and services procurement In order to control the risks that may occur on the goods and services procurement resulting in underperformance, the vendor of goods and services are required to provide a guarantee. 5. Changes in Procurement Activities (only for additional/reduction job in construction work) Additional work should not be more than 20% of the price of the initial contract. Work change orders must be in writing, followed by clarification/negotiation. The Head of Unit that conducts the procurement must monitor the job execution and create the accountability report to the officer one level above and to the natural disaster team. 7. Documents and Payment Process The payment process covers: • Review of payment documents, • Approval of the payment by authorized officials, • Payment in rupiah currency or other currencies in accordance with the value or price listed in Work Order Document (SPK), • Documentation of the realization expenses of each payment in accordance with the budget item. The decision authority is the authorized officials (procurement PIC) who approved the initial project; if there are changes in the value of the self-estimated price (HPS), then the authorization is following the SK of the decision authority. 6. Implementation of Procurement Activities To Overcome Certain Conditions In the conditions requiring quick handling due to natural disaster and other urgent conditions that required immediate handling, it can be treated as direct appointment, without issuing HPS/bidding submission/ issuing work order, the real cost is reimbursable without any additional margin; Fee for vendors is by agreement and fairness. If there is an unreasonable price based on the review, the procurement unit conducts clarification and PROCUREMENT IN 2017 Throughout year 2017, the Procurement and Fixed Asset Management Division conducted several goods and services procurement processes for BNI Syariah operational and business support with a total value of Rp30.79 billion with average efficiency of 28.28% of the budget. The 2017 procurement details are as follows: Information Technology Consultants/Vendors Consultant, Advisor or equivalent Purpose Scope of Work PT Global Ekanusa Aplikasi E-Procurement IT Services PT Sangkar Sari Teknologi E-Procurement Applications IT Services PT Sentra Paramitra Maintenance Renewal Database Monitoring IT Services PT Multipolar Technology Tbk SAN SWITCH Hasanah Payment IT Hardware PT Madani Intelsysdata Maintenance LSMK XBRL IT Services PT Sangkar Sari Teknologi Application and Maintenance of Sistem IT Services Integrasi Kliring (SIK) PT Xynesis International Penetration Test Katalog Hasanah Online IT Services PT Mitra Integrasi Informatika Renewal Maintenance HRIS 2016 IT Services PT Pasifik Satelit Nusantara VSAT BLG IT Hardware PT Kreasi Online Indonesia Jasa Maintenance Social Media PT Multipolar Technology Tbk Renewal ATS Oracle & Procurement Double Take IT Hardware PT Panca Putra Solusindo PC Staff 2016 Procurement IT Hardware PT Multipolar Technology Tbk Database Oracle Standart Edition 2 License IT Hardware PT Multipolar Technology Tbk Jasa VM Ware License 2016 IT Services PT Mastersystem Infotama Upgrade Storage DC dan DC Cloud IT Services PT Mitra Integrasi Informatika Switch dan Router IT Hardware PT Multipolar Technology Tbk Renewal ATS Oracle DBEEE IT Services PT Karlin Mastrindo Printer Dot Matrix 30 Unit Procurement IT Hardware Hasanah Banking Partner 123 IT Services Annual Report 2017
124. Performance 2017 Management Report Company Profile Business Supporting Function Consultant , Advisor or equivalent Management Discussion and Analysis Purpose Scope of Work PT Multipolar Technology Tbk Renewal License WAS SKNBI-NG IT Services PT Multipolar Technology Tbk Renewal Maintenance Oracle DBSE 1 RTGS IT Services Gen 2 PT Arthatech Selaras Digital Queue IT Hardware PT Karlin Mastrindo Laptop and Office Automation IT Hardware PT Multipolar Technology Tbk Renewal Maintenance commvault 2017 IT Services PT Sentra Paramitra Renewal maintenance DB Monitoring BNIS IT Services 2017 PT Sentra Paramitra Upgrade Memory Server IT Hardware PT Telkom Indonesia BNI Syariah Outlet Communication Network Communication Network PT Panca Putra Solusindo Computer Hardware IT Hardware PT Banyupenta Maskom Encoder Machine IT Hardware PT Gemma Paramitra Money Counter Machine IT Hardware PT Pasifi Agung Trijaya Money Counter Machine IT Hardware Human Resources Consultant/Vendor Consultant, Advisor or equivalent Purpose Scope of Work PT Duta Transformasi Insani Basic Education Training Training of Micro Division PT Duta Transformasi Insani Training Samapta ODP Training PT Sarana Exhirindo Pegawai BNI Syariah PT Sarana Exhirindo Pegawai BNI Syariah PT Sarana Exhirindo Pegawai BNI Syariah Recruitment Recruitment Recruitment PT Sarana Exhirindo BNI Syariah Employee Assessment Talent Management PT BNI Life BNI Syariah Employee Health Insurance Benefit United Pacific Solutions Micro Outlet Outsourcing OS Employees Customer Service Consultant/Vendor Consultant, Advisor or equivalent Purpose Scope of Work PT NRA Tour & Travel Umrah Travel Umrah Travel Sahid Gema Wisata Umrah Travel Hasanah Umrah Travel Program Operational Vehicle Consultant/Vendor Consultant, Advisor or equivalent Purpose Scope of Work PT Agung Solusi Trans Operational Vehicle Rental Head Office and Micro Branch Office PT Adi Sarana Armada Tbk Operational Vehicle Rental Head Office KOPKAR (Koperasi Karyawan) Operational Vehicle Rental Head Office and Micro Branch Office Mulia Sasmita Bhakti Operational Vehicle Rental Head Office Hasanah Banking Partner 124 Annual Report 2017
125. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Consultant / Vendor Premises Consultant, Advisor or equivalent Purpose Scope of Work PT Swadharma Propertindo Head Office Renovation Contractor PT Swadharma Propertindo Outlet Relocation/ Opening Renovation Contractor PT Exitama Head Office Renovation and Relayout Contractor PT Exitama Head Office Backbone Installation Contractor PT Swadharma Propertindo Office Renovation in Jabodetabek area Contractor PT Swadharma Propertindo Micro Outlet Fascia Sign Replacement Contractor PT Swadharma Propertindo Micro Outlet Fascia Sign Destruction Contractor PT Tri Asri Desindotama Head Office Renovation and Relayout Contractor PT Exitama Outlet Relocation/ Opening Renovation Contractor PT Exitama Outlet Renovation and Expansion Contractor PT Ace Quality Outlet Relocation/ Opening Renovation Contractor PT Swadharma Propertindo BNI Syariah Makassar Building Renovation Contractor PT Metta Sumber Abadi Outlet Relocation/ Opening Renovation Contractor PT Swadharma Propertindo Installation of FASIA and SAS Jabodetabek Office Contractor Other Consultant/Vendor Consultant, Advisor or equivalent Purpose Scope of Work PT Kraftig Advertising Creative, Productive and Ad Placement Service Provider Advertisement CV Nindya Usaha Sejahtera Decorative Plants Rental Plants PT Datascrip Workstation Kantor Pusat Workstation PT Selecta Grage Jaya ATM Installation Karoseri PT Pradipto Multi Sentosa Genset Jabodetabek Offices Genset PT Agra Jaya Head Office Workstation Workstation PT Pradipto Multi Sentosa Genset Genset PT Alexis Cipta Furnitama Head Office Workstation Workstation PT Pradipto Multi Sentosa Genset Outlet Genset Sully Ayu Wardhani Outlet Renovation dan Relayout Consultant Renovation Consultant PT Swadharma Propertindo Renovation/ Relocation Individual Planner Consultant Planner Consultant PT Decodia Mitra Selaras Makassar Building Planning Planner Consultant PT Mitratex Konsultan Trade Finance 2016 Consultant IT Consultant Sdr. Nanang Hermawan Outlet Relocation Planner Consultant Planner Consultant IR. Susilo Outlet Relocation Consultant Planner Consultant PT Garmindotama Mitrasejati Souvenir Haji Male Packet 2016 Souvenir Haji UD Batik Kresna Souvenir Haji Female Packet 2016 Souvenir Haji Hasanah Banking Partner 125 Annual Report 2017
126. Performance 2017 Management Report 05 " Company Profile Business Supporting Function Management Discussion and Analysis Management Discussion and Analysis BNI Syariah in 2017 was able to show better performance compared to the previous year despite the challenges in Indonesia’s relatively stagnant economic growth. The increase in assets by 23.0% was mainly supported by the financing activities that grew by 15.1% followed by the management of asset quality that was well maintained with NPF of only 2.89%. Hasanah Banking Partner 126 Annual Report 2017 "
127. Human Capital Good Corporate Governance Hasanah Banking Partner Corporate Social Responsibility 127 Annual Report 2017 Attachment
128. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis MACRO ANALYSIS AND SHARIA BANKING INDUSTRY Despite facing the challenges of Indonesia ’s relatively stagnant economic growth, BNI Syariah in 2017 was able to show better performance than the previous year. BNI Syariah assets grew by 23.0% (yoy) or increased by Rp6.51 trillion to Rp34.82 trillion compared to 2016. Similarly, the financing and Third Party Funds (DPK) grew by 15.1% to Rp23.60 trillion in financing and a 21.2% increase to Rp29.38 trillion in DPK. From profitability side, BNI Syariah was able to record a net profit increase of Rp29.31 billion or 10.6% (yoy) to Rp306.69 billion. The condition shows that the performance of BNI Syariah continues to improve and increase consistently. Global Economy The global economy grew better than the previous year with more equitable growth sources, both from developed and developing countries. The factor that drove the growth of the global economy was among others the US economic growth that continued the strengthening trend since last year. It was recorded that US Gross Domestic Product rate increased from 1.5% in 2016, to 2.3% by the end of 2017. Solid US consumption is reflected in rising levels of consumer confidence supported by the improvement of labor market. While for the Investment side, it showed an increase which mainly occurred in nonresidential investments in line with the increase in primary production activities in mining and manufacturing sectors as well as the rise of oil prices. Hasanah Banking Partner 128 Annual Report 2017
129. Human Capital Good Corporate Governance Corporate Social Responsibility Indonesian Economy The European economy was also slowly recovering after contracting due to the Greek economic crisis and the British exit from the coalition of European Union , or known as the British-Exit (Brexit). Potentially widespread crisis due to both events may be controlled and does not cause a wider crisis. In general, the economic consolidation conducted by the EU after Greek and Brexit crises was quite fruitful, it was evidenced by the economy that grew by 2.5% in 2017, compared to the previous year’s which was 1.9% supported by consumption, exports, and income level. The increase of income was supported by labor market improvement as reflected by the downward trend of unemployment and job growth. The European Central Bank (ECB) currently still maintains an accommodative monetary policy by holding the interest rates to remain low and continuing the economic stimulus through quantitative easing (QE) policies. Indonesia’s economic growth was gradually improved in 2017. Compared to other countries in the ASEAN region, Indonesia’s economic growth had increased slightly from 5.02% in 2016 to 5.07% by 2017. The Philippines and Malaysia are countries in Southeast Asia with growth over Indonesia, with the Gross Domestic Product were 6.7% and 5.9% respectively in 2017. Consumption was still the largest sector contributing to Indonesia’s economic growth. Both government and household consumptions grew positively during 2017. The growth of government consumption was mainly driven by the realization of personnel expenditures, goods, and social assistance. The growth of household consumption was still limited, especially in food and clothing expenditures with consumption pattern shifted to leisure, as well as the tendency to delay consumption in upper-middle class society. The positive economic development in the developed countries is able to support China’s export performance improvement. In addition, strong consumption growth in line with the increase of household credit and consumer confidence are other key drivers of China’s economic growth. This reinforces the view that China’s economy is in an economic transition toward consumption-based economic growth instead of exports. Meanwhile, India’s economic growth as one of the other leading developing economies in Asia is still relatively stable as in the previous years. The economic recovery in other developing countries incorporated in BRICS namely Brazil, Russia, and South Africa in 2017 was able to overcome the imbalance of economic growth among developing countries that occurred in 2016. The improvement of Indonesia’s economy was also supported by better investment realization of Domestic Investment (PMDN) and Foreign Investment (PMA) in 2017. According to data from the Capital Investment Coordinating Board (BKPM), the total investment realization grew by 13.1% to Rp692.8 trillion compared to 2016 which was Rp612.8 trillion. Increase in investment was supported by the improvement of Foreign Investment (PMA) which was Rp430.5 trillion compared to the previous year of Rp396.5 trillion. Meanwhile, the Domestic Investment (PMDN) managed to grow by 21.3% to Rp262.3 trillion compared to 2012 which was Rp216.3 trillion. The World Bank estimates that the world economy rises by 2.9% in 2018 from 2.7% in 2017 as a result of positive economic development in the developed and developing countries as the main motor of the world economy. The strengthening of world economic growth is mainly supported by the role of developing countries which is projected to record 4.5% GDP growth in addition to the contribution of 1.8% growth of the developed economies. Controlled inflation of 3.61% or still within the target range of Bank Indonesia of 4% (±1%) throughout 2017 supported the growth of household consumption. Inflation control between Bank Indonesia (BI) and the Government, both at the central and regional levels, low import prices, and limited consumption amid fears of the declining public purchasing power were key factors to control inflation in 2017. BI made adjustments to the benchmark interest rate. BI 7-Day Repo Rate was decreased by 25 bps to 4.50% in August 2017 and 4.25% a month later to respond to more controlled inflation. Nevertheless, a number of risks to the global economy need to be monitored, including the normalization of monetary policy in some developed countries, geopolitical dynamics, and food security issues. Hasanah Banking Partner Attachment 129 Annual Report 2017
130. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis foreign exchange reserves provide flexibility for BI to intervene the market if needed specially to ease the fluctuation of Rupiah currency amid the development of dynamic world financial markets including the expectation of further increase in the Fed ’s interest rate. Another factor affecting Indonesia’s economic recovery was the improvement of the balance of trade. Despite facing the challenges of global economic slowdown, Indonesia’s Balance of Trade (NPI) was consistently able to record a trade surplus of US$11.9 billion (2017) or better than the previous period of US$ 9.5 billion (2016). The increase in trade surplus was mainly due to a relatively better export performance compared to higher import decline as the world economic slowdown occurred during that period. Despite facing a decline in oil production, Indonesia’s non-oil and gas exports were able to support Indonesia’s export performance with an average contribution of 82.6% within the last five years. Indonesia’s economy in 2018 is projected to grow better in line with expectations of global economic recovery. Indonesia’s economy is projected to grow by 5.4%, slightly better than the target of 5.2% growth in 2017. In addition, the inflation is expected to be more controlled at around 3.5% and Rupiah is traded at 13,500 per US$. The global economic recovery is also expected to have a positive effect on commodity prices, especially crude oil, which is projected to stay at US$48.0/barrel by 2018. The full projection of economic indicators can be seen in the following table. The increase in balance of trade surplus and investment realization became a factor that drove the increase of foreign exchange reserves. Indonesia’s foreign exchange reserves was US$130.20 billion, an increase by 11.9% compared to 2016 which was US$116.4 billion. Higher Table of Indonesian Economic Indicators Estimate indicator Unit Economic growth (%, yoy) Inflation (%) Rupiah exchange rate (Rp/US$) 2017 2018 5,2 5,4 4,3 3,5 13.400 13.500 SPN interest rate per 3 months (%) 5,2 5,3 Oil Price USD/barrel) 48,0 48,0 Oil lifting (thousand barrels/day) Gas lifting (thousand barrels of oil equivalent/day) 815 800 1.150 1.200 Source: The Ministry of Finance in Indonesia is expected to grow by 6.9%. Meanwhile, a more controlled inflation forecast is expected to support the growth of household consumption by 5.1% while government consumption is expected to increase by 3.8% as the government continues to spend on infrastructure development. The infrastructure budget in 2018 is Rp409.0 trillion or greater than the previous year’s budget which was Rp401.1 trillion. According to the Ministry of Finance, the forecast of Indonesia’s economic growth of 5.4% will mainly be sustained by the information and communication industry with an estimated growth of 11.0%. Other sectors expected to grow above 7.0% are financial services & insurance (9.4%), transportation and warehousing (8.3%), other services (8.2%), and company services (7.6%). On the other hand, along with the sustainability of infrastructure development, the construction industry Hasanah Banking Partner 130 Annual Report 2017
131. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment National Banking Industry Along with Indonesia ’s GDP growth of 5.07% in 2017, loans from the banking sector also grew by 8.4% to Rp4,781.96 trillion. This increase in bank lending contributed to the growth of banking assets by 9.8% to Rp7,387.35 trillion in 2017 compared to banking assets of Rp6,729.80 trillion in the previous year. Credit growth in 2017 was supported by banking ability to raise higher amount of DPK. Data from the Financial Services Authority (FSA) stated that Indonesian banking industry was able to accumulate the DPK of Rp5,289.21 trillion or an increase of 9.4% from 2016 which was Rp4,836.76 trillion. The development of loans, assets, and bank’s DPK within the last five years is described in the following graph. Bank intermediation function has a strategic role to the economic growth in Indonesia. A sustainable development of national economy needs financial support especially from the banking sector. The slowdown in economic growth has resulted in the decline in bank lending performance. In 2016, bank credit was only able to grow single digit by 7.9% while Indonesia’s economic growth grew by 5.02% due to global economic slowdown. The relatively limited economic growth in 2017 still put pressure on the growth of bank credit which still grew single digit although it was better than the credit growth in 2016 which was 8.4%. Asset, Credit, and DPK of Commercial Banks Rp trilliun 25% 8,000 21,8% 20% 6,000 13,3% 16,2% 15% 13,6% 9,8% 12,3% 10% 11,6% 10,4% 10,4% 8,6% 9,6% 9,4% 7,3% 7,9% 8,4% 5% 4,000 4,000 2,000 0% 2014 2013 Loan (RHS) 2015 2016 Asset (RHS) Growth of Loan (LHS) DPK (RHS) Growth of Asset (RHS) Source: FSA Hasanah Banking Partner 131 2017 Annual Report 2017 Growth of DPK (RHS) 0
132. Performance 2017 Management Report Company Profile Business Supporting Function The increase in bank credit was supported by the growth of DPK which rose by 9 .4% to Rp5,199.49 trillion in 2017 compared to the previous year which was Rp4,836.76 trillion. As for the type of DPK, time deposits still had a dominant role of 44.5% from the total of DPK supported by the realization of tax amnesty in the first quarter of 2017. Time deposits rose by 9.0% to Rp2,354.70 trillion compared to 2016 which was Rp2,160.71 trillion. The share of time deposits declined by 44.5% in 2017 compared to 44.7% in the previous year. This was in line with the share of DPK derived from CASA which increased by 55.5% or equivalent to Rp2,934.51 trillion compared to the contribution of the previous year which was 55.3%. Despite facing an increase of credit growth pressure in 2017, consumer credit still recorded the highest growth of 11.0% to Rp1,335.40 trillion in 2017. This was in line with the important role of consumption expenditures, especially household consumption to Indonesia’s GDP. Meanwhile, working capital credit grew by 8.5% to Rp2,222.81 trillion in line with an increase in corporate needs for business development. The investment credit grew at a slower rate of 4.8% to Rp1,179.76 trillion, which was affected by the challenge of stagnant Indonesia’s economic growth. As for the composition, working capital credit has the largest share of 46.9% followed by consumption credit (28.2%) and investment credit (24.9%). In terms of loan disbursement to non-bank third parties, the portion of credit channeling for three types of debtors namely business, home, and other non-business lines was relatively stable at 71.8%; 23.3%; and 4.9% respectively from the total of credit channeling to nonbank third parties amounting to Rp4,737.97 trillion in 2017. Credit for business lines increased by 7.2% to Rp3,402.57 trillion mainly due to increased credit for the processing sector, large and retail trades, and construction sector in line with the intensive infrastructure development. The household credit increased by 12.4% to Rp1,102.08 trillion primarily due to an increase in the mortgage (KPR) and Apartment Ownership Loan (KPA). KPR and KPA Loans reached Rp408.35 trillion in 2017 or grew by 11.4% from 2016 which was Rp366.57 trillion. Hasanah Banking Partner Management Discussion and Analysis In general, Indonesian banking industry had stronger capital structure with CAR of 23.18% in 2017 compared to the previous year which was 22.93%. This was able to support the loan growth of banking industry which grew slightly higher by 8.4% in 2017 compared to 7.9% in the previous year. Even though there was an increase of credit expansion, Net Interest Margin (NIM) of the banking industry declined to 5.32% compare to the previous year which was 5.35% along with the decrease of BI rate. On the other hand, bank’s operational performance showed improvement as indicated by the decrease of operating expense to operating income ratio to 78.64% in 2017 from 82.22% in the previous year. Supported by bank’s operational efficiency, Bank’s Return on Assets (ROA) in 2017 improved by 2.55% compared to 2.23% in 2016. 132 Annual Report 2017
133. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Sharia banking The 2017 was the consolidation year for sharia banking industry . The slowdown in the real sector had given enough impact on the rate of financing expansion and the quality of financing itself. In December 2017, sharia banking Assets were recorded at Rp424 trillion, equivalent to 5.7% of market share compared to total assets of national banking which was Rp7,387 trillion. Conversion conducted by Bank Aceh from the conventional Regional Development Bank to a Sharia Commercial Bank by the end of 2016 contributed to the increase of sharia banking Assets in 2017. Assets, Financing, and DPK of Sharia Banking Rp trilliun 500 400 30,0% 24,8% 24,4% 24,2% 25,0% 20,8% 20,3% 18,7% 300 16,4% 200 12,4% 19,8% 19,0% 20,0% 15,2% 15,0% 8,8% 10,0% 6,9% 8,3% 100 5,0% 6,1% 0 2014 2013 Financing 0,0% 2015 2016 Asset (RHS) DPK (RHS) Growth of DPK (RHS) Growth of Financing Growth of Asset (RHS) Source: OJK Hasanah Banking Partner 133 2017 Annual Report 2017
134. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis Market Share of Sharia Banking 7 ,0% 5,5% 4,9% 5,0% 5,4% 4,9% 5,3% 5,2% 4,8% 5,2% 2013 2014 2015 5,6% 5,3% 5,8% 6,0% 5,7% 6,5% 6,0% 5,0% 4,0% 3,0% 2,0% 1,0% 0,0% Financing 2016 2017 DPK (RHS) Asset (RHS) In terms of fund raising, the DPK of sharia banking grew positively compared to the relatively stagnant growth of national banking DPK. Sharia DPK grew by 19.8% (yoy) in December 2017, above the national banking DPK which was 9.4% (yoy). The total DPK of sharia banks per December 2017 was Rp335 trillion, an increase of Rp55 trillion compared to 2016 which was Rp279 trillion. The composition of sharia banking DPK consisted of 58.62% Time Deposit, 11.96% Demand Deposits, and 29.41% Saving Accounts. The growth of Islamic Banking DPK and National Banking DPK 45,5% 20,8% 18,5% 9,6% 2010 2011 2012 2013 2014 2015 19,8% 9,4% 2016 2017 Growth of DPK Syariah Bank (%) Growth of DPK National Bank (%) In terms of financing, Islamic banking was able to grow by 15.2% (yoy) in December 2017, higher than the Hasanah Banking Partner national banking credit rate compared to 2016 which was Rp249 trillion. In terms of contracts, the financing 134 Annual Report 2017
135. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment as of December 2017 was Rp287 trillion , an increase by Rp38 trillion in 2017. This sector also had a dominant share in the credit granted by national banking industry. Meanwhile, other sectors had lower portion with contribution below 10.00%. Sharia banking financing to business lines grew by 13.1% to Rp166.67 trillion in 2017, primarily supported by the financing to construction sector which rose by 53.8% to Rp22.20 trillion in line with the infrastructure development. channeled by sharia banks was still dominated by Murabahah contract by 52.4%, Musyarakah contract by 35.4%, and Mudharabah contract by 6.3%. In terms of usage, 41.5% was channeled for consumptive financing, 23.3% investment financing, and 34.8% for working capital financing. As for the type of business line, the financing provided by sharia banking was still dominated by trade and retail sectors with the contribution of 11.5% which tended to slow down by 8.4% (yoy). Total sharia banking financing The Growth in the Financing of Sharia Banking and National Banking 45,4% 17,4% 15,2% 22,8% 8,8% 2010 2011 2012 8,4% 2013 2014 2015 2016 2 017 Growth of Sharia Bank Financing (%) Growth of National Bank Loan (%) The 2017 was also a momentum for sharia finance industry in general, with the inauguration of the National Committee for Sharia Finance (KNKS) by the President of the Republic of Indonesia. It is expected that KNKS will be able to accelerate the growth of sharia financial industry in Indonesia. Business quality and capital adequacy remained a major challenge for sharia banking in 2017. Non-Performing Financing (NPF) in December 2017 was recorded at 3.87%, higher than the Non-Performing Loan (NPL) in national banking which was recorded at 2.59%. In general, sharia banking industry had better capital structure with CAR of 17.91% in 2017 compared to the previous year which was 16.63%. This was able to support the growth of sharia financing which grew by 15.20% in 2017 compared to 16.44% in the previous year. In line with the slowing credit growth, Net Operating Margin for sharia banking fell slightly to 0.67% compared to the previous year which was 0.68%. In addition, operational performance of sharia banking also improved as indicated by the decrease of operating expense to operating income ratio to 94.91% in 2017 from 96.23% in the previous year. Meanwhile, Return on Assets (ROA) remained at 0.63% in 2017 or equal to the achievement of the previous year. Hasanah Banking Partner BNI Syariah Position in the Industry Post spin off in 2010, BNI Syariah was one of the leading Islamic banks in Indonesia with total assets reaching Rp34.82 trillion as of December 2017. From 13 Sharia Banks and 21 Sharia Business Units (UUS), the important position of BNI Syariah in sharia banking industry was strengthened by the fourth largest office network in Indonesia after Bank Syariah Mandiri, Bank Muamalat Indonesia, and Bank BRI Syariah (Sharia Banking Statistics as of December 2017, FSA) 135 Annual Report 2017
136. Performance 2017 Management Report Company Profile Business Supporting Function Sharia Commercial Bank Management Discussion and Analysis KPO /KC KCP/UPS KK Bank BNI Syariah 68 175 18 Amount 261 Other Sharia Banks 403 1.001 160 1.564 Total Sharia Bankings 471 32 1 504 KPO = Operational Head Office; KC = Branch Office; KCP/UPS = Sub-Branch Office/Sharia Service Unit; KK = Cash Office Source: Sharia Banking Statistics as of December 2017 of 19.8%. As for financing, BNI Syariah grew by 15.1% (yoy), slightly below the industry growth which was 15.2%. Compared to peers group, BNI Syariah is listed as the third largest asset, financing and DPK. In general, BNI Syariah grew higher than the average growth of sharia banking industry. In December 2017, BNI Syariah recorded growth in assets and deposits above the industry average, with assets growing 23.0% (yoy) above the industry which grew by 19.0%. While DPK grew 21.2%, better than the growth of industry DPK Growth of Assets, DPK, and Financing of BNI Syariah and Sharia Banking Growth of Asset CAGR iB : 15,9% Growth of DPK CAGR iB : 15,4% CAGR BNI Syariah : 21,3% Growth of Financing CAGR iB: 12,9% CAGR BNI Syariah: 16,2% CAGR BNI Syariah : 21,8% 42,2% 32,5% 33,8% 23,0% 23,0% 20,3% 19,0% 18,1% 12,4% 2015 18,1% 6,1% 2016 2017 21,2% 18,7% 8,8% 2014 25,4% 18,9% 2014 2015 20,8% 2016 16,4% 15,16% 19,8% 8,3% 2017 2014 7,4% 2015 15,4% 15,14% 2016 2017 BNI Syariah Islamic Banking Industry Source: Statistical Report of OJK Sharia Bank was recorded at 3.87%. This quality of assets was maintained by selective and cautious financing expansion by balancing the quality and expansion. BNI Syariah’s Return on Assets (ROA) and CASA ratio was also better than the industry. Throughout 2017 BNI Syariah was able to maintain quality and profitability well; thus, some important ratios are much better compare to the industry. In terms of the quality of financing, Non Performing Financing (NPF) of BNI Syariah was 2.89%, better than the industry which Hasanah Banking Partner 136 Annual Report 2017
137. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment OPERATION REVIEW PER BUSINESS SEGMENTS Focus on the 2017 Banking Business Development Bank BNI Syariah as one of the largest sharia commercial banks in Indonesia has an important role in providing various sharia banking products that can meet the customers ’ needs. The Company’s vital role is realized by focusing its business by providing more innovative and quality banking products while strengthening its distribution network to expand its marketing and increase the productivity. In general, the operating segment of BNI Syariah is divided based on the main customer groups and products, namely Commercial, Consumer and Retail, Micro, and Treasury as follows: Business Segment Description Commercial Includes financing and other banking transactions with customers having medium/commercial size of business Consumer and Retail Includes consumer financing such as housing financing, financing cards, also financing provided to individuals on small and medium scale of business, and deposits and other banking services for customer’s needs Micro Includes consumer and productive financing to micro-sized customers, including deposits and other banking services for customer’s needs Treasury and International Related to Bank treasury activities including foreign exchange transactions, Sharia Interbank Money Market (PUAS) with Interbank Mudharabah Investment Certificate (SIMA) and do the transaction through Interbank Sharia based Commodity Trading Certificate (SIKA), also sukuk transactions either through auction done by the government (as one of the sharia banks participating in the auction) and in the secondary market including among others the international banking business Commercial Business The growth of BNI Syariah business is now supported by the commercial business segment as one of the important business segments of BNI Syariah. This business segment channeling the commercially productive financing products consisting of working capital financing and investment financing with murabahah, musyarakah, and mudharabah contracts. The economic sectors experienced significant growth during 2017 are: A. Electricity, Gas, and Water Increased by 351% from Rp185 billion in 2016 to Rp838 billion in 2017. B. Transportation, Warehousing, and Telecommunications Increased by 78% from Rp 360 billion in 2016 to Rp 643 billion in 2017. C. Construction Increased by 70% from Rp 670 billion in 2016 to Rp 1,141 billion in 2017. Hasanah Banking Partner 137 Annual Report 2017
138. Performance 2017 Management Report Company Profile Customer segmentation Customer who has productive business on commercial scale Business Supporting Function Management Discussion and Analysis Main Criteria Description Financing to infrastructure sector Channeled with Supply Chain Financing pattern by using Payable Factoring or Factoring contracts . Financing to the Transportation, Warehousing, and Telecommunication sectors. Channeled either for working capital or investment financing Pembiayaan kepada sektor Perdagangan, Hotel dan Restoran Channeled either for working capital or investment financing Financing provided by two or more financial institutions to finance a project or business Financing that requires financing facilities with large amounts that are difficult to be financed by a bank Total outstanding commercial financing increased to Rp4.53 trillion in 2017. Meanwhile, in terms of quality of financing, NPF (Non-Performing Financing) of BNI Syariah commercial productive financing improved by 2.92% compared to the previous year which was 4.46% due to external pressures, especially slowing economic growth. The ability of BNI Syariah to maintain sustainable financing growth was supported by well-executed and well-run business strategies as follows: The challenge of Indonesia’s stagnant economic growth is a major factor affecting commercial financing performance. Amidst these conditions, BNI Syariah sought to record sound commercial financing with customers’ selection and segregation strategies to be financed and focusing on the financing of prospective industries. Cumulatively, outstanding amount of commercial financing was still able to record growth at 15% in 2017. Realization of the 2017 Commercial Business Strategies7 No Business Strategies 2017 Realization 1. Selective growth pada selective player. Selective growth on selective player has been realized with the expansion of 2017 commercial division financing increased by 15% and NPF was reduced from 5% to 3% 2. The synergy of financing with BNI Induk by working on Supply Chain Financing (SCF) of the customers of BNI Induk Corporation. The Company has synergized with BNI Induk to conduct Supply Chain Financing (SCF), such as financing to the SOE vendors/ contractors. 3. Expansion by focusing on business community, including the Muslim business community, associations of entrepreneurs in the prospective industry sector and association of Hajj and Umrah travel entrepreneurs. In launching its expansion strategies by focusing on several business communities, the Company has explored the Muslim community. 4. Optimizing the potential of Fee Based Income (FBI) by encouraging Trade Finance in BNI Syariah, such as encouraging financing of payable factoring/factoring from SOE customers. FBI optimization is done by boosting the factoring financing to SOE contractors. 5. Conducting intensive monitoring and billing to customers included in the watchlist. Intensive monitoring and billing to clients included in the watchlist was done by establishing a special debtor watchlist monitoring unit. 6. Improvement of system policies and financing procedures also improvement and development of existing product features. Refinement of financing policies and procedures, such as by conducting the refinement of operational guidelines and procedures of the financing of Musyarakah Mutanaqisah (MMQ). 7. Debriefing through financing training to Branch Manager and its instruments. Debriefing was done through regular training the Branch Manager and its instruments as boosting capability. Hasanah Banking Partner 138 Annual Report 2017
139. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment activities during 2017 had positive impact on the 2017 commercial business performance . Segmen Bisnis Komersial menjalankan kegiatan pemasaran pada tahun 2017 berupa: 1. Focus on selective growth by increasing the synergy with BNI Induk such as by working on supply chain from BNI corporate customers. 2. Focus on linkage financing with executing and channeling patterns with respect to macroeconomic conditions in 2017. In terms of performance. BNI Syariah Commercial Business Segment recorded net profit margin of 0.17 percent to Rp296.87 billion, supported by an increase in assets by 37.37 percent to Rp4.29 trillion. This achievement was higher than the previous year with net profit margin and total assets amounting to Rp296.37 billion and Rp3.12 trillion, respectively. implementation of well-measured and well-managed business strategies combined with varidous marketing Chart of Commercial Business Segment Performance IDR Billion 3.124,25 296,37 4.289,82 2016 2017 Total Asset Net margin revenue 5. Performing regular pipe line surgery to Team Leader & Commercial AM. 6. Debriefing through financing training to the Team Leader and Commercial AM. 7. Achieving Target of Financing Expansion. 8. Optimization of micro branch outlets transformed for SME expansion. 9. Maintaining and improving financing quality. 10. Boosting middle segment financing (15 Billion to 35 Billion of Boosting middle segment financing (15 Billion to 35 Billion) The 2018 Commercial Business Strategies 1. Expansion of synergy financing with the parent and give priority for the benefit of the society. 2. Intensive monitoring to watchlist customers by pointing out special managers. 3. Stress Test of customer condition is potentially degenerated and immediate Restructuring, Reschedule, and Recondition (R3) are needed. 4. Improvement of system policies and financing procedures as well as improvements to the Musyarakah Contract Simplification product feature. Hasanah Banking Partner 296,87 139 Annual Report 2017
140. Performance 2017 Management Report Company Profile Business Supporting Function Consumer and Retail Business home ownership , financing cards, including financing provided to individuals on small and medium scale business. In addition, at the same time, various deposit products and other banking services can be solutions for these individual customers’ interests. Individual customers get more attention from BNI Syariah as these customers are the target market for the financing products it develops. Financing for Consumer and Retail Business segment includes the financing of Customers Segmentation Individual Customer Main Criteria Information Consumptive financing given to members of the public for the purchase of consumer goods and/or services in accordance with the principles of sharia shall be accompanied by collateral (BNI Multiguna iB Hasanah) Minimum financing maximum IDR2 billion Murabaha consumptive financing facility for the purchase of motor vehicles (BNI Oto iB Hasanah) Minimum financing IDR5 million and maximum IDR1 billion Financing which is secured by deposits is issued by BNI Syariah Maximum financing of 95% (for Rupiah Deposit) and 60% (for USD Deposits) of the nominal amount of Deposits/Savings/Current Accounts on behalf of the collateral. (BNI CCF iB Hasanah) Small and medium scale customers who own productive businesses Management Discussion and Analysis IDR50 million and Consumer Financing for Umrah Worship Tour Packages (BNI iB Flexi Hasanah Umrah) (BNI iB Flexi Hasanah Umrah) Maximum financing of IDR200 million. Financing cards that serve as credit cards under sharia principles (Hasanah Card) Consists of 3 types of cards: classic, gold and platinum Consumer financing to purchase, build, renovate houses (including shophouses, flats, home-offices, apartments and the like), and purchase of plots of land and indent houses (BNI Griya iB Hasanah) Maximum financing of IDR5 Billion. Productive financing aimed at meeting the financing needs of productive enterprises for working capital and investment (BNI Syariah Wirausaha) A minimum financing limit of IDR50 million and a maximum of IDR1 (one) billion Financing for domestic financing customers in the form of foreign currency. (BNI Syariah Valas) Minimum financing of US$25,000.00 Financing for Employee’s Cooperative (BNI Syariah Kopkar/Kopeg) Disbursed in sharia principle to end user/ employee Financing to dealers by distribution of financing to motor vehicle financed by the Bank (BNI Syariah Dealer iB Hasanah) Main Dealer of the Sole Agent Brand Holder (ATPM) or an Authorized Dealer who has the Appointment Letter of Dealer from Main Dealer/ATPM Financing of Working capital and/or investment is provided to productive businesses that are feasible but not bankable (BNI Syariah Tunas Usaha) Minimum financing limit of IDR 20 million and maximum IDR 500 million. Sharia financing is used for productive purposes (working capital and investment) to small entrepreneurs (BNI Syariah Usaha Kecil/BNI Syariah Small Enterprise) Financing Limit up to IDR10 (ten) billion. Financing to sharia financial institutions. (BNI Syariah Linkage Program) Forwarded to end users (micro, small and medium entrepreneurs sharia) Hasanah Banking Partner 140 Annual Report 2017
141. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment process to prospective and existing financing customers . Consumer Business Until the end of 2017, the financing portfolio of BNI Syariah is still dominated by consumer financing of 51.53%. Consumer financing showed a good performance with a growth of 11.39% to IDR12.16 trillion which was previously IDR10.92 trillion. In addition to the optimum performance of the financing expansion, BNI Syariah also focuses on maintaining the quality of financing to remain prudent by conducting in-depth analysis and financing BNI Griya iB Hasanah products are still the leading product and dominate 83.49% of the total consumer financing portfolio followed by BNI Multiguna iB Hasanah with lower portion of 10.53%. The percentage portfolio of other consumer financing products can be seen in the following table. Portfolio percentage to Total consumer Product 2013 2014 2015 2016 2017 77.81% 82.37% 83.67% 85.53% 83.49% BNI Multiguna iB Hasanah 2.12% 3.44% 6.14% 8.58% 10.53% BNI Fleksi iB Hasanah 1.53% 1.29% 1.17% 1.14% 1.28% BNI Fleksi Umrah iB Hasanah 0.00% 0.00% 0.01% 0.06% 0.07% BNI Griya iB Hasanah BNI Murabahah Emas iB Hasanah BNI THI iB Hasanah BNI Rahn iB Hasanah Others Amount 1.40% 0.59% 0.23% 0.09% 0.03% 12.97% 7.24% 3.45% 0.81% 0.20% 0.72% 0.36% 0.14% 0.00% 0.02% 3.45% 4.71% 5.20% 3.79% 4.38% 100,00% 100,00% 100,00% 100,00% 100,00% Cumulatively, Consumer and Retail Business segments are able to show consistent performance improvement each year. In addition, the assets of the consumer and retail business grew by 11.03% to Rp17.93 trillion in 2017. BNI Syariah managed to record net margin income growth of 22.04% to Rp1.31 trillion in 2017, better than the achievement in 2016 which was Rp1.07 trillion. BNI Syariah had undertaken some of the following strategies and steps to support its performance in 2017: 1. The development of new products launched and BNI Griya Swakarya products began to be marketed in 2017. 2. Marketing optimization through the provision of incentives and rewards for internal marketing or external marketing employees that have been working with BNI Syariah. 3. The implementation of special programs to attract institutional/payroll customers or Developers who have worked together in the form of special rates and attractive gimmick. Such program has attracted the institutional clients. 4. Conducting marketing synergies at events organized by other divisions or by BNI Induk. Hasanah Banking Partner 141 Annual Report 2017
142. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis Consumer & Retail Performance Chart Rp billion 16.151,15 13.839,56 1.072,10 2016 2017 Total asset Net margin income 4. BNI Syariah remains focused on financing channeling for small type houses, purchasing first houses, and targeting employees with fixed income and professional employees. 5. In terms of monitoring and financing quality, the Consumer Financing Unit will increase risk mitigation to customers with high potential Non-Performing Finance (NPF) potential by limiting to customers with higher risk characteristics. The 2018 Strategies for Consumer Business In order to face challenges and targets in 2018 while keep maintaining the quality of consumer financing, the strategies that will be done are namely: 1. Development of new features and financing products in order to support marketing optimization such as Hawalah and Istishna contracts. With Hawalah Contract it is expected to help the Customers to Hijra totally by transferring the previous facilities from the bank or conventional financial institution to Sharia Bank. Istishna can be used for home purchase with messaging system. 2. BNI Syariah establishes mutually beneficial cooperation with the Developers and other bonafide Institutions in order to expand the marketing potential of BNI Syariah’s consumer financing. 3. The implementation of marketing programs by utilizing marketing channels on digital media which can attract and reach prospective Customers widely. Hasanah Banking Partner 858,41 Financing Card Business BNI Syariah has provided financing to individual customers through financing card or BNI iB Hasanah Card (Hasanah Card). This Hasanah Card functions as financing card that can be accepted in all places marked MasterCard and all ATMs marked CIRRUS worldwide. There are three contracts used in the financing of Hasanah Card namely kafalah, qardh, and ijarah contracts. Hasanah Card has 3 types of cards namely classic, gold, and platinum. 142 Annual Report 2017
143. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment The development of Hasanah card financing business could not be separated from the challenges in 2017 . Therefore, BNI Syariah made a breakthrough by targeting the Market Fixed Income, namely BNI Incorporate, Institution Officials, and SOE. This breakthrough proved to be effective in the midst of tight credit card business competition and the implementation of new regulations from Bank Indonesia concerning restrictions on the ownership of financing cards. BNI Syariah was able to surpass the acquisition of financing cards in 2016 but still below the new card acquisition target in 2017 of 25,000 cards. BNI Syariah managed to get 22,757 new cards so that the total number of iB Hasanah Cards by the end of 2017 was 264,487 cards. In 2017, Hasanah Card business reached 94.38% of the target set at the beginning of 2017 with sales volume of Rp1.2 trillion. Overall, Hasanah card financing reached Rp371.09 billion. The strategy implemented during 2017 was the repositioning product as Halal Travel Partner supporting Halal Tourism in Indonesia. The iB Hasanah Card has now developed as a means of payment/purchase of travel packages or means of payment transactions during the tour. Halal tours offered to customers do not only include umroh package with a variety of other religious tourism destinations, but also tour packages that put forward the elements of local wisdom and local culture. It is expected that from the trend of halal tourism, people can learn the value of gratitude to Allah SWT over the beauty the universe He created. The target segment aimed is more focused on the community aware of sharia principles. In terms of marketing of iB Hasanah Card, BNI Syariah has several strategies, namely: 1. Focus on target market segments with better risks, such as existing customers of both Fund and Financing, prospective customers from Government Institutions, State-owned Enterprises and bona fide Private Companies. 2. Affiliated with the parent company, i.e. PT Bank Negara Indonesia Tbk as a form of synergy and efficiency and accelerating the achievement of the number of cards at the beginning of the year through its marketers. Hasanah Banking Partner At the same time, iB Hasanah Card launched new card design that supported halal tourism in Indonesia. iB card Hasanah Card Platinum is designed with Lake Segara AnakRinjani Lombok by cooperating with the Tourism Office of West Nusa Tenggara Province. This effort was strategic step in the realizing iB Hasanah Card as media partner of Halal Travel. 143 Annual Report 2017
144. Performance 2017 Management Report Company Profile Business Supporting Function 3 . Marketing is also focused on communities such as Majlis Ta’lim in the offices, Hajj and Umrah Community Travel, and Sharia Banking Association. 4. Markets iB Hasanah Card through 5 acquisition channels (Direct Sales, Telesales, Branch Offices, Corporate/community and synergy with PT Bank BNI (Persero) Tbk.). 5. Aim the largest financing target for consumptive purposes such as: supermarket and self-serving Store (swalayan), telecommunication devices including sales of mobile phones, travel and tour agents, and family clothing store. Marketing Strategies of BNI iB Hasanah Card The performance of Hasanah Card comprises of Sales Volume, Outstanding, and Asset Quality. To improve such performance, simultaneous strategies are required to give maximum profits. The strategic steps to improve the 2018 Hasanah Card Performance: 1. Increase card usage through merchant cooperation related to Halal Ecosystem (Travel, Hotel, Restaurant, Fashion, Umrah, etc.). 2. Optimize Hasanah Personal app for transaction with Hasanah Card. 3. The Synergy of Direct Sales Marketing with Branch Sales. 4. Activation of Hasanah Card by Pro Aktivasi Program. 5. Acquisition of card through office to office marketing program according to the targeted segment. 6. Accommodating the making/Issuance of Hasanah Card in accordance with the Regulation of the Minister of Finance in the payment of expenditure of every ministry to use Credit Card. In addition, Hasanah card has made improvement in the use of 6-digit PIN for all merchants and ATMs to provide convenience and security to Cardholders in order to mitigate card misuse by irresponsible parties. Meanwhile, the improvement for derivative products, such as CoBranding and Customisation/Community Hasanah Card aimed at opening the new channels in acquisition process, and providing solutions to the community and institution’s interests in exclusive cards. The 2018 Strategies for Financing Card Business • Account quality improvement by focusing on the marketing segment of iB Hasanah Cards towards fixed Income, Customized Card (Community), and Corporate Card. • Adjustment of marketing area where the marketing area should be comparable to Collection Infrastructure. • Adding Team Collection in areas which have not been reached • Giving performance Reward for Dunning Call, Field, and Branch workers • Adding Cycle (Billing Print Date) »» The addition of Cycle dated 9 makes Team Collection have 14 working days for collection activities. »» The maturity date which falls on the 30th day of the month or the end of the month is beneficial for collection activities as most employees’ payday ranges from the 25th day of the month to the 1st day of the following month. Hasanah Banking Partner Management Discussion and Analysis Productive Retail Business The business people of small and medium business segment as one of the economic actors play an important role in Indonesia. Therefore, BNI Syariah provides financing facilities to its customers having productive businesses with small and medium scale. Sharia financing provided by the Company is used by its customers for productive purposes both working capital and investment. External factors related to the declining economic activity in Indonesia also give effect to the financing of Productive Retail segment. Net productive retail segment financing growth was 26.73% in 2017. BNI Syariah strove for healthy growth with the strategy of selecting and sorting out the customers to be financed (selective players) as well as the focus of financing to enter prospective industries to address these external challenges. 144 Annual Report 2017
145. Human Capital Good Corporate Governance Corporate Social Responsibility by combining the role of Area Manager in order to improve the SME financing business . In summary, the strategies implemented in 2017 and its realization are summarized in the following table: In 2017 BNI Syariah implemented several strategies to achieve sustainable growth for Retail and Productive segments financing. Internally, the Company implemented strategies such as close monitoring, assessment which is more focused on potential industry No Attachment 2017 Strategies Growth in 2017 1 Strengthened the functions and tasks of Business Development Manager to improve SME financing business Appointed Business Development Manager in charge of the supervision of SME financing per work area, also growth and quality of financing. 2 Conducted a profound customer assessment process Provided soft skill training to improve HR capability related to productive retail financing to Branch Manager and its instruments. 3 Conducted Pre-Non Performing Financing and NPF Controls 1. Conducted consolidated policies on branches with high NPF & Pre-NPF. 2. Made intensive monitoring and early rescue to customers who fall into the watchlist category. 4 Made Adjustment of Grading of Branch finance officers to support the realization of productive financing Improved the career paths in the SMD division with a more definite career path. 7. Conducting Restructuring, Reschedule, and Recondition (R3) early for customers who are still qualified for 3 Pillars of financing restructuring. 8. Improvement of system policies and financing procedures also improvement and development of existing products. 9. Debriefing through financing training to theBranch Manager and its instruments. Productive Retail Business Segment ran marketing activities in 2017 in the form of: 1. Conducted selective expansion of financing and focused on potential industries to be financed. 2. Conducted cross-selling of productive retail customers through increased utilization of bank product and services to meet customers’ needs The 2018 Strategies for Productive Retail Business Several key strategies have been prepared by BNI Syariah for business segments of productive retailers to face challenges in 2018, among others are as follows: 1. Focusing on infrastructure sector financing, social services sector, and manufacturing sector. 2. The leading sectors in each branch adapted to the potential of each region. 3. Financing synergy with BNI Induk by working on Supply Chain Financing (SCF) of BNI Induk Corporations customers. 4. Expansion by focusing on business community, including the Muslim business community, associations of entrepreneurs in the prospective industry sector and association of Hajj and Umrah travel entrepreneurs. 5. Optimizing the potential of Fee Based Income (FBI) by driving BNI Syariah Trade Finance, such as, by encouraging the financing of payable factoring/ factoring from SOE customers. 6. Conducting intensive monitoring and billing to customers included in the watchlist. Hasanah Banking Partner Funding Business BNI Syariah Fund & Transaction Division has an active role in contributing to the management of bank’s third party funds. Fund & Transaction Division focuses on the development of collecting business of third-party funds (DPK) of BNI Syariah. During 2017, BNI Syariah managed to raise third party funds valued at Rp29.38 trillion or an increase of Rp 5.2 trillion or grew by 21.24% from last year’s achievement. Of the three types of DPK products, the first highest nominal increase was achieved by Saving Accounts amounting to Rp2.96 trillion or grew by 31.45%, the second was Time Deposits amounting to Rp1.53 trillion or grew by 12.05%, and demand deposits amounting to Rp653 billion or grew by 30.82%. 145 Annual Report 2017
146. Performance 2017 Management Report Company Profile Business Supporting Function Cumulatively , CASA’s contribution to total third party funds increased by 3.97% to 51.60% compared to the contribution in 2016 which was 47.63%. Third party funds on current and savings accounts increased by Rp3.62 trillion to Rp15.15 trillion from Rp 11.54 trillion or 31.33% higher than the previous year. 2016 Nominal Demand Deposits Saving deposits Management Discussion and Analysis 2017 NoA 2.118.443 19.503 Nominal Growth NoA Nominal NoA 2.771.277 24.506 30,82% 25,70% 9.423.379 2.145.226 12.387.070 2.402.449 31,45% 11,99% Time Deposit 12.691.187 38.575 14.220.944 44.626 12,05% 15,69% Total 24.233.108 2.203.304 29.379.291 2.471.581 21,24% 12,18% of Rp1.96 trillion to Rp8.24 trillion, or grew by 31.28%. The second nominal increase was followed by BNI Bisnis iB Hasanah saving product by Rp409 billion to Rp1,96 trillion or grew by 26.45% and the third nominal increase was followed by the BNI Baitullah iB Hasanah saving product amounting to Rp311 billion or grew by 32.06%. The role of deposit products is very important for BNI Syariah to get DPK from the customers. Customer’s deposits in the form of demand deposit and saving accounts dominated the customer profile of BNI Syariah DPK with a contribution of approximately 98.19% of the total estimated DPK customers in 2017. iB Hasanah’s saving deposit products dominated the nominal growth   2016 Nominal BNI iB Hasanah 6,352,120 BNI Bisnis iB Hasanah 2017 NoA Nominal 1,512,140 8,242,043 Growth NoA Nominal 1,447,945 29.75% NoA -4.25% 1,548,547 22,072 1,958,092 22,239 26.45% 0.76% BNI Baitullah iB Hasanah 971,055 420,688 1,282,387 499,924 32.06% 18.83% BNI Prima iB Hasanah 239,122 1,418 401,532 1,455 67.92% 2.61% BNI Tunas iB Hasanah 179,083 179,027 247,569 237,632 38.24% 32.74% BNI Tapenas iB Hasanah 133,452 17,565 162,769 19,013 21.97% 8.24% 9,423,379 2,152,911 12,387,070 2,402,449 31.45% 11.59% Total positive sentiment factor for the development of sharia banks. The 2018 Strategies for Funding Business The 2018 is quite a challenging year for the development of fund raising and transactions for BNI Syariah in which the volatility of the economy and the rise in prices of basic commodities may lead to the decrease of the saving power level of the community or withdrawing the saving funds to be used in fulfilling their daily needs; thus, BNI Syariah recommend the public to always set aside money or save money in advance to anticipate this matter. Considering the above mentioned factors, comprehensive, creative, and innovative strategies are needed as policies for product development, technology, network, marketing and structuring of human resources whose benefits can be directly accepted by the community in order to improve the welfare evenly throughout the BNI Syariah regional level; this, the enhancement of transactional tools will be made. Transactional tools become one of the keys in the marketing of DPK especially Saving Accounts, such as the updated mobile banking application in order to meet the innovation aspect and easy transaction for the customer. The development of Hasanah Payment products (PPOB Nevertheless, the market share of sharia banks to the new national banking is 5.3%, so the opportunity to expand sharia bank fund business especially for BNI Syariah is still wide open. On the other hand, the majority of Indonesian people who embrace Islam can also be a Hasanah Banking Partner 146 Annual Report 2017
147. Human Capital Good Corporate Governance Corporate Social Responsibility products ) is aimed at the needs of individual retail customer transactional by increasing the acquisition of business partners/billers in order to increase the volume of transactions which in turn maintain and even increase the deposition of funds. It also optimizes the sales of BNI Direct and E-Collection products. Hajj And Umrah Business BNI Syariah is one of the Recipient Banks for Hajj Operation Costs (BPS BPIH) appointed by the Ministry of Religious Affairs of the Republic of Indonesia as BPS BPIH as of 28 December 2010 and reappointed as of 2 January 2014. In addition, in 2015 BNI Syariah was also appointed as one of Sharia Banks Managing Ummah Endowment Fund, in 2018 BNI Syariah is expected to become a partner of Hajj Financial Management Agency (BPKH) as a replacement of the Ministry of Religious Affairs of the Republic of Indonesia. BNI Syariah will also further increase the proposition value of BNI Syariah as the society’s preferred bank in ZISWAF transaction (Zakat, Infaq, Shadaqoh and Waqf) which can not be separated from Hasanah Lifestyle through various ZISWAF programs such as Wakaf Hasanah, Tabungan Qurban, Infaq Hasanah, Kalkulator Zakat and Wakaf Al Quran. Until 2017, the number of candidates for hajj who had registered and got the quota through BNI Syariah in 2017 for Regular Hajj was 493,349 prospective pilgrims, and Plus Hajj was 12,400 prospective pilgrims. The amount of Hajj funds paid by BNI Syariah as of 31 December 2017 was Rp8.35 trillion with the growth of the number of pilgrims continues to increase every year. In addition to the pilgrimage funds, BNI Syariah also managed Ummah Endowment Fund amounting to Rp588 billion. Modification and innovation of product features and facilities will be done according to the needs of the community and the development of product trend in the banking market, such as the improvement of Hajj and Umroh ATM Cards features provided for customers who have paid the initial deposit for regular and plus hajj and will leave for hajj, thus it can be used as a transaction tool similar to regular ATM cards. Also, new business unit in charge of bancassurance and DPLK was also established as an effort to complement the community’s need for insurance products and pension funds in order to obtain BNI Syariah fee-based income. To anticipate the potential of hajj and umroh business, BNI Syariah in 2016 established Hajj and Umrah divisions and proclaimed the business of Hajj and Umrah as one of champion product as entry gate for other sharia banking business. Thus, not only the preparation of funding services is needed but also the supporting financing and operations. Through fund products, BNI Syariah has BNI Baitullah iB Hasanah Saving Account which serves as hajj or umroh planning savings. Such saving account is complemented by Hajj and Umrah Card to transact in the holy land. The total customers by the end of 2017 was 499,288 people with outstanding of Rp1.27 trillion and total card users of 14,649 people. BNI Syariah will expand and increase the business market of funds by increasing the number of customers through Payroll Account/Payroll Loan revamping (a combination of payroll facility with financing) by targeting large institutions cooperated with BNI Syariah in utilizing Banking products and services. The business development of funds at BNI Induk outlets will be continued through a sustainable programs in 2018, namely the accessibility of SCO (Sharia Channeling Outlets) so that the people who intend to open BNI Syariah account can be served properly according to account opening standards and procedures until no more complaints on transaction rejection and account opening at the SCO. To realize the above mentioned efforts, the development of organizational structure and addition of employees as well as Human Resources’ capacity building in each area of competence are required. Hasanah Banking Partner Attachment To meet the financing needs for the pilgrims, BNI Syariah provided Fleksi Umrah iB Hasanah financing product with outstanding of Rp8.79 billion. Meanwhile, to meet the needs of Hajj and Umroh entrepreneurs, BNI Syariah provided productive financing to travel with outstanding of Rp101,245 billion. In the future, Hajj and Umroh Division will position excellence in umroh sector by increasing the PIHK/PPIU cooperation and Hasanah Personal digital application. 147 Annual Report 2017
148. Performance 2017 Management Report Company Profile Business Supporting Function 3 . Providing Hajj souvenirs in the form of haji batik uniform, payer tools, ihram, sling bag, mask and prayer mat. 4. Developing BNI outlets remotely for receiving BNI Syariah hajj deposit (SCO Haji) and to convert BNI hajj ex-transit outlets. In addition, BNI Syariah provides various services in order to improve the quality of services for prospective pilgrims include: 1. Providing “Hajj & Umrah Card Indonesia” as a means of cash withdrawal and shopping during staying at the holy land. 2. Creating android apps for Hajj & Umroh Card users to update information needed such as map, hospital location, mosque location, and prayer time. Business strategies Management Discussion and Analysis BNI Syariah implemented several strategies to achieve the 2017 targets: Realization of 2017 Hajj and Umroh business Improved customer base through the development of cooperation with communities, associations, and agencies. • Cooperated with educational institutions for umroh departure, such as with Gadjah Mada University, Muhamadiyah Malang University. • Cooperated with Gojek to increase the hajj saving plan business. Optimization of BNI network function In 2017 conversion was made in 196 BNI outlets throughout Indonesia which originally only transits to SCO Haji, in the future will convert all transit outlets into SCO Hajj. In 2017 conversion was made in 196 BNI outlets throughout Indonesia which originally only transits to SCO Haji, in the future will convert all transit outlets into SCO Hajj. 1. As the main sponsor of Islamic Tourism Expo 2017 held in Kota Kasablanka on 10 - 12 October 2017. Islamic Tourism Expo is an exhibition participated by more than 100 tenants, comprises of tour operators of Hajj & Umroh organizers, Airlines, Hotels, Hajj & Umroh Organizer Association, Travel Association, Computer Reservation System, including transportation companies, catering, and exhibition of domestic and foreign tourist destinations. 2. Organized Umroh Insan hasanah every Wednesday on February - April 2017 period 3. Held 7 Halal tours within the framework of BNI Syariah 7th Anniversary Developed new products to meet customers’ needs and anticipate market developments. Launched Hasanah Personal application. BNI Syariah as a modern, universal, and accepted by each class launched ‘Hasanah Personal’ application which is an android-based application that can be used by the pilgrims to find halal tour packages and umrah packages easily from Travel agencies cooperated with BNI Syariah. There are several features offered by ‘Hasanah Personal’, such as, ordering umrah package online where customers can determine their departure date, airline, hotel and method of payment by themselves; directory property by displaying a list of housing sold by the developers in collaboration with BNI Syariah; online financing application; application of Hasanah Card Online; financing simulation as a description for the customer if they want to apply for financing in BNI Syariah; promotion information of Hasanah Card; daily prayers and prayers for hajj and umrah. 4. Optimize the marketing of Tabungan Haji Anak 5. Improve communication of Hajj and Umrah products through social media 6. Develop Hasanah Personal application based on digital and smart outlets for Hajj registration 7. Develop Haj and Umrah programs in order to increase fee-based income The 2018 Strategies for Hajj And Umrah Business In 2018, hajj and umrah business is still one of the flagship businesses of BNI Syariah and demands high cooperation among the supporting units including Consumer Division & Card Financing, Fund & Transaction Division, Small & Medium Division, and Commercial Division. In order to face the challenges is 2018, business strategies for hajj and umroh are as follows: Synergize with BNI Induk in the expansion of the Hajj registration area/channel 1. Cooperate with KBIH, and other financial institutions for the Hajj quota services 2. Optimize the management of hajj operational accounts in all offices of the ministry of religious affairs throughout Indonesia 3. Strengthen SCO Hajj through synergy with BNI Induk Hasanah Banking Partner Micro Business The role of banking industry and other financial services industry is very important in supporting the activity and economic growth in Indonesia. SME business unit utilizes domestic resources namely human resources, raw materials, and equipment so that the SME is not dependent on the exports. In addition, the production 148 Annual Report 2017
149. Human Capital Good Corporate Governance Corporate Social Responsibility ceilings that can address the needs of micro businesses according to the desired funding value , adequate timeframe, and in accordance with sharia principles. BNI Syariah micro financing consists of three products divided according to the ceiling, namely Rahn Mikro, Mikro 2 iB hasanah, and Mikro 3 iB Hasanah. Rahn Mikro has a ceiling starting from Rp 500,000 to Rp 50 million for financing period of 3, 6, 9, to 12 months. Micro 2 iB Hasanah has a ceiling starting from Rp 5 million - Rp 50 million for financing period of 6 months to 36 months. And micro 3 iB Hasanah has a ceiling of > Rp. 50 million - Rp 500 million for financing period of 6 months to 60 months. results of SME sector are aimed to meet the domestic market share, so it does not depend on the economic conditions of other countries. Therefore, this sector is most resistant to the threat of global crisis. According to BPS data in Indonesia from 1997 to 1998, it showed that SME could survive against the crisis attack. Table of labor absorption data in 1997 showed that small-sized companies absorbed 57.40 million people (87.62%), middle-sized companies absorbed 7.7 million people (11.75%) and large-sized companies absorbed 0.393 million people (0.61%). While in 1998 showed small-sized companies absorbed 57.34 million people (88.66%), middle-sized companies absorbed 6.9 million people (10.78%) and large-sized companies absorbed 0.364 million people (0, 56%). Furthermore, the data revealed that the contribution of SME to employment was 99.44%; contribution of SME for national economy was equal to 59,36%. Micro Financing Small and Micro Enterprise (MSME) is an important sector in mobilizing the national economy. This is evident from its contribution to national GDP which has reached 62.57%. The advantage of SME as a domestic sector that is able to drive the national economy is due to its strong dependence on local content as well as the flexibility of SME and its ability to adapt to rapidly changing market conditions compared to large, generally bureaucratic companies. As a form of Bank BNI Syariah’s commitment in the real sector, especially the SME sector, then in 2011 Micro Business Division as a unit in charge of managing and developing micro business in BNI Syariah was established. The expansion and development in this sector continued to be done, until in 2017 Micro business BNI Syariah supported 106 micro service offices spread across Indonesia. The development of micro service network was a form of BNI Syariah commitment to help develop small business entrepreneurs in various regions in the form of providing sharia-based microfinancing facilities. Thus, the main objective of BNI Syariah in developing microfinance expansion is to assist the community/small entrepreneurs who have difficulties in accessing the banking institutions (as they are considered unbankable) and freeing the community/ small entrepreneurs from the bondage of interest (riba) of non-formal financial institutions, so it is expected to improve the quality and standard of living of the community/entrepreneurs with lower-middle income. Until now, micro financing has a proportion of 5.9% of total BNI Syariah financing. BNI Syariah micro financing business in 2017 continued to grow amid a slowdown in Indonesia and global economic conditions. The channeling of Micro Financing increased by 16.34% to Rp. 1.401 billion from Rp1.204 billion in 2016. The growth rate was higher than the national average of 8.10%. With this growth rate, BNI Syariah’s microfinance market share to credit channeling to commercial bank lending grew from 0.50% to 0.54%. BNI Syariah micro-financing customers have decreased along with the improvement of microfinance quality of 1,690 NOA (number of accounts) or equal to -8.36% compared to the previous year. The development of Third Party Funds (DPK) collected from microfinance customers in 2017 successfully increased by 73.97% of Rp 373 billion from Rp 505 billion in 2016. With the growth of NOA (number of account) of 49.13% with total customer amount of 193,485 from last year, which was 129.762. Clearer description of BNI Syariah microfinancing in this segment and its contribution can be seen in the following table. BNI Syariah is also committed to expand services & business volume of BNI Syariah through the expansion of sharia micro financing and optimize the potential of very large micro market. This is evident from the expansion of BNI Syariah micro financing that continues to run effectively throughout the region in Indonesia and helps strengthen the national growth. BNI Syariah micro financing is a productive financing with a wide range of Hasanah Banking Partner Attachment 149 Annual Report 2017
150. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis Financing Position and DPK of Micro Branch Products OS Financing 2012 2013 2014 2015 2016 2017 264 ,921 877,938 1,037,143 998,410 1,204,197 NOA Financing 5,338 14,708 18,717 19,033 20,280 1,401,162 18,580 DPK Balance 37,123 116,488 163,528 294,790 505,382 879,199 NOA DPK 2,136 27,459 48,172 82,848 129,762 193,485 NOA Per DPK Product Products Time Deposit Saving Deposits Demand Deposits 2012 2013 2014 2015 2016 2017 99 288 438 889 1,355 2,046 7,875 27,171 47,734 81,959 128,243 190,730 - - - - 164 709 Office (KFO) to Sub-Branch Office (KCP), namely KCP Jailolo, KCP Masamba, KCP Sape, KCP Takalar, and KCP Tobelo. Current and savings accounts (CASA) in micro customers was 84.78% of the total balance of DPK which was Rp869,199 Billion. Total CASA was dominated by saving deposits of 83.44% and the remaining 1.34% was from demand deposits. The 2017 Marketing Activities of Micro Business Micro-finance product marketing activities implemented during 2017 by synergizing in marketing microfinance products in BNI Induk branches, marketing of microfinancing products selectively in low-risk generic sectors, following various exhibition events in synergy with branches regular, collaborate with business communities, and optimize the micro-branches in marketing fund products. The 2017 Micro Business By seeing the potential of the community living around the location of BNI Syariah micro branches that requires banking services, whether micro and consumer banking services, 2017 became the transition period to expand the services and branch optimization to one stop financial service, making the micro service office of BNI Syariah not only did serve the micro customers, but the entire segment of society living around the branch location. To realize that, the micro unit’s service opened various banking service products in addition to the micro financing, among others BNI Griya iB Hasanah for home financing, Umrah financing, and other financing. As for the performance, the Micro Business segment was able to show improvement in 2017. This business segment asset grew by 19.01% to Rp1.44 trillion. This contributed to the continuous improvement of this business in 2016. Net margin income growth of 0.52% to Rp257.39 billion in 2017, slightly better than the achievement i 2015 which was of Rp256.06 billion. In 2017, there were 5 (five) micro branches which successfully changed the status of Operational Functional Hasanah Banking Partner 150 Annual Report 2017
151. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Graph of Micro Business Performance Rp billion 1 .211,69 256,06 1.442,05 2016 2017 Total Assets Net margin income services for communities living around the office branch. In accommodating the needs of existing customers in 2018, BNI Syariah Micro Unit will begin to enter the small business segment with a ceiling of above 500 million. This is the commitment of BNI Syariah to always adjust to the needs of the growing community. The 2018 Micro Business Behind the opportunity given, there are challenges that must be faced in the upcoming 2018, which is tight competition in microfinance market share, especially with the plan to realize the ASEAN Economic Community (AEC) and government programs that will reduce the KUR Margin from 9% to 7%. Then the competition from banking financing must follow the development of public financing needs. The main strategies of BNI Syariah micro business in 2018 are to collaborate and optimize all existing resources in terms of infrastructure, products, and human resources to create synergy and direction in BNI Syariah micro business. Treasury and International Business BNI Syariah through the Treasury Business segment is responsible for maintaining bank liquidity and investing the excess funds to obtain optimal income. The strategy undertaken by this business in 2017 was to remain focused on optimizing liquidity management by improving asset quality and increasing revenues. To achieve this, in 2017 the treasury unit established the following strategies: Strategies in facing the 2018 condition, BNI Syariah micro business will conduct Fine Tuning of KC and KCP organizations to accelerate the growth of micro financing, consumer financing, and Third Party Fund (DPK), with the aim of making branches into one-stop microfinance Hasanah Banking Partner 257,39 151 Annual Report 2017
152. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis Business Strategies Realization Treasury instrument investment was conducted in front loading • Purchased SBSN at the beginning of the year prior to the BI rate cut • Total Government Securities of 2017 amounted to Rp4.45 trillion, an increase of 35.3% compared to 2015 which was Rp3.3 trillion • Total Corporate Securities of 2017 amounted to Rp454 billion, an increase of 13.78% compared to 2016 which was Rp399 billion Diversification of Treasury investments Posisi investasi tresuri yang dilakukan per Desember 2017 adalah sebagai berikut: • Fasilitas Bank Indonesia Syariah (FASBIS) amounting to Rp1,960 billion or 23.37% of the total treasury investment • Sertifikat Bank Indonesia Syariah (SBIS) amounting to Rp725 billion or 8.65% of the total Treasury investments • Sertifikat Investasi Mudharabah Antarbank (SIMA) of Rp50 billion or 0.60% of the total treasury investment • Reverse Repo Bank Indonesia amounting to Rp130.6 billion or 1.56% of the total treasury investment • Term Deposit of Foreign Currency of Bank Indonesia amounting to Rp339 billion or 4.04% of the total Treasury investment • State sharia securities amounting to Rp4,458 billion or 53.17% of the total treasury investment • Corporate sharia securities amounting to Rp454 billion or 5.41% of the total treasury investment • Mutual funds amounting to Rp268.5 billion or 3.20% of the total treasury investment an increase in Fee Based Income through the securities transaction activities • Commencement of the purchase of securities portfolio classified at fair value recorded through profit or loss (trading) • Fee based income from securities transactions in 2017 amounting to Rp1.4 billion More active in money market transactions • • • • Made placement to Islamic banks with Investasi Mudharabah Antarbank (IMA) mechanism Kept optimizing the excess of Minimum Statutory Reserve (GWM) on FASBIS instruments Optimized short-term liquidity in SBIS instruments and reverse repo BI Applies mechanism of acceptance of Investasi Mudharabah Antarbank (IMA) Fund with underlying reverse repo BI with profit sharing system 2017 amounted to Rp8,162 billion, an increase of 27.4% compared to 2016 income of Rp6,403 billion. Treasury was also active in foreign exchange transactions in order to meet the needs and services to the customers. Fee-Based Income from foreign exchange transactions of Business Strategies Realization Review of competitive exchange rate Changed the nominal transaction at which special exchange rate could be given from minimum of USD10,000/transaction to USD2,500/transaction. Pioneered Corporate Sales activity Coordinated with Hajj & Umrah division to explore the potential customers of Hajj & Umrah travel in offering forex transactions Encouraged visits to customers to explore potential forex transactions Synergized with BNI Induk for SAR procurement auction of the Ministry of Religious Affairs Optimized Fee-Based Income through physical transactions of banknotes (USD & SAR). Coordinated with branches and operational divisions in specifying the optimal foreign currency cash ceilings Total procurement of SAR in 2017 in order to meet Hajj and Umrah needs was ± SAR2.5 million, increased significantly by 258% from 2016 cooperated with some money changers for banknotes needs in branch office Maintaining Net Open Position (NOP) During 2017, the position of the BNI Syariah NOP was always maintained in accordance with the external and internal regulations with a positive rate of revaluation of Rp2.07 billion which was Rp992.5 billion. The following table is a resume of realization ot Treasury performance in 2017 compared to the previous periods: The achievement of investment income and fee-based income affected the achievement of the treasury’s profit target. Total Liabilities in 2017 amounted to Rp1,139 billion, an increase by 429% compared to that of 2016 Hasanah Banking Partner 152 Annual Report 2017
153. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment (in million Rupiah) Investment Income FBI For Forex Sale and Purchase Treasury Investment 2014 2015 2016 2017 178.230 217.527 319.550 406.330 2.097 2.990 6.403 8.162 3.108.912 3.889.686 6.028.336 8.385.970 10. Improving the quality of forex banknotes management through the procurement of counterfeit machines to all branches for operational and fraud risk mitigation. 11. Organizational development and addition of human resources to improve the quality of functional and treasury business management in order to achieve the target including improving the service quality. 12. Increasing employee competency through training programs and HR certification of treasury unit. 13. Implementing Treasury system in order to improve efficiency and mitigate operational risks on Treasury transactions. 2018 Strategies of Treasury and International Business In 2018, the strategies shall remain focused on: 1. Maintaining liquidity at an optimal level 2. Increasing yield enhancement by investing in instruments that provide optimal yield 3. Increasing fee-based income through securities transactions, mutual funds, and forex transactions The investment income in 2018 is targeted at Rp476.2 billion, an increase of 17.2% from the achievement of investment income in 2017 of Rp406.3 billion. And the treasury fee-based income in 2018 is targeted at Rp35.4 billion increased by 46.9% from the realization of feebased income in 2017 which was Rp24.1 billion. For such achievement, strategies that will be done are: 1. Optimum liquidity management by utilizing investment instruments tailored to short, medium and long term liquidity requirements. 2. Increasing investment volume on instruments that provide yield increases. 3. Early year investments (front loading) on medium and long term instruments that provide optimal yields so earnings can be recorded early. 4. Increasing fee-based income through an increase in the sale and purchase of securities transactions 5. Synergizing with BNI Incorporated in the management of securities transactions both in the process of buying and selling securities. 6. Extending institutional links especially with securities firms to expand securities transactions. 7. Cooperating with brokers in order to deepen transactions on the money market and expanding information related to market conditions. 8. Optimizing the function of Treasury Client Solutions (sales) in order to increase corporate FBI forex transactions in branches and headquarter 9. Developing hedging products in order to meet the customers’ needs as well as increasing fee-based income forex. Hasanah Banking Partner International Business BNI Syariah serves a variety of international banking transactions such as: Trade Finance (Import, Export, SKBDN, Standby L/C and Bank Guarantee, iB Hasanah Factoring, iB Hasanah Insurance Financing), international remittance services. In providing international banking services, BNI Syariah is supported by the parent company, PT. Bank Negara Indonesia (Persero) Tbk. In 2017, international business grew positively, especially from trade finance transactions with excellent financing product of iB Hasanah factoring and iB Hasanah Guarantee Financing (Payable Factoring). Although still dominated by trade finance transactions in the country, the potential trade finance transactions is very large as almost all companies always make buying and selling transactions in the form of goods and services. This success was supported by various business improvement initiatives, such as product development, service development, and infrastructure development, as well as sustainable marketing activities. BNI Syariah executed various strategies to develop international business throughout 2017 which can be summarized in the following table: 153 Annual Report 2017
154. Performance 2017 Management Report Company Profile Business Supporting Function Business Strategies Management Discussion and Analysis Realization 1 . Organizational Development Adding HR to Trade Processing unit. As the business of BNI Syariah Trade Finance grows, the number of transactions also grows, so it needs additional number of human resources to process Trade Finance transactions so that all transaction can be completed in accordance with the SLA. 2. Product and Improvement of Trade Finance Product Policy Policy improvement for Wakalah Bil Ujrah (Factoring) products and iB Hasanah Guarantee Financing given both types of products are excellent products of BNI Syariah. 3. Infrastructure Development Development of remittance application entered the implementation phase in the second semester of 2017 The development of trade finance application system is still in the process, it is expected to be implemented in the second half of 2018. 4. Improving the quality of human resources in trade processing through training and certification Training for head office trade processing personnel from September to November 2017. Trade processing personnel are trained to obtain CDCS certification. 5. Expanding cooperation BNI Syariah has a nostro account in Citibank N.A and several KCLN BNI, such as KCLN BNI New York, Singapore, Hong Kong, Tokyo and London. BNI Syariah also has a correspondent bank both domestic and overseas banks 6. Marketing Activities Marketing activities, especially for trade finance products, have been intensively conducted by Trade finance Marketing Team which is expected to provide input and solution to the needs of customers’ trade finance transaction. Synergy and cross selling programs have also been implemented in synergy between units and related divisions and branches. In addition, marketing activities are conducted by holding events with potential customers. 7. TPC (Trade Activities Processing Center) One day service trade finance transactions can be realized with the establishment of Trade Processing Center units, with SLA processing of 3 hours per document so as to provide the best service for the customers. The performance of BNI Syariah trade finance in 2017 compared to the previous periods is as follows: (in million Rupiah) Trade Finance Increase % 2016-2017 Dec 2013 Dec 2014 Dec 2015 Dec 2016 Dec 2017 7.617,30 34.149,35 85.079,89 73.023,55 47.760,45 -34,60% 223,81 579,45 612,09 877,13 311,25 -64,52% Volume of Factoring/Payable Factoring 237.125,98 125.953,55 275.181,80 1.112.546,40 3.066.756,00 175,65% Ujrah/Fee of Factoring/ Payable Factoring 2.478,42 3.644,54 10.041,48 23.328,36 84.440,14 261,96% FBI Trade Finance 2.711,23 4.223,99 10.653,57 24.205,49 84.751,39 197,44% Volume LC/SBLC/SKBDN Ujrah/Fee LC/SBLC/SKBDN focusing on marketing activities and product optimization on new customers and existing customers. In terms of composition, trade finance fee/ujrah income is still dominated by Wakalah Bil Ujrah (Factoring) product and Pembiayaan Penjaminan iB Hasanah (Payable Factoring), which the amount of fee/ujrah in 2017 was Rp84,440 million or increased by 261.96 % compared to the achievement in 2016 which was Rp23,328 million. With the development of trade finance business, it is expected that international business may become a business line with significant fee-based income contribution to BNI Syariah in 2018. Therefore in the future, the international business development strategies will be more focused on the marketing of trade finance in a more effective and directed manner, and expand the range of trade finance transaction requirements Although both LC/SBLC and SKBDN transactions showed a downward trend, it could be offset by the improvement in the performance of factoring products. These performance improvements could be achieved by Hasanah Banking Partner 154 Annual Report 2017
155. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment income recorded from the remittance transactions of Rp5 ,308.24 million or an increase of 194.82%. Supported by the readiness of remittance application system implemented since the second half of 2017, it is expected that remittance business can provide better fee-based income in 2018. throughout Indonesia. In terms of remittance business achievement, in 2017 remittance business was able to show good performance with the transaction volume increased. As of 31 December 2017, the remittance transaction volume amounting to Rp2,168,719.13 million, showed an increase of 83.57% from the same period in 2016 amounting to Rp1,333.115 million with fee-based (In million Rupiah) Remittance Volume Transaksi Des 2013 Des 2014 Des 2015 Des 2016 Des 2017 1.842.322,00 1.039.620,00 1.678.248,00 1.181.441,18 2.168.719,13 604,02 756,36 1.186,53 1.800,50 5.308,24 Fee Based Income Graphs of Treasury and International Performance Rp billion 272,02 10.908,34 2016 358,57 2017 Total Assets Hasanah Banking Partner 83,57% 194,82 % is a key factor supporting the continuous improvement of this business by 2016. Net income margin growth is 31.82% to IDR358.57 billion in 2017, an increase from the 2015’s achievement of IDR272.02 billion. Cumulatively, the Treasury and International Business segments are able to show consistent improvement in performance annually. Treasury and international business assets grew by 42.83% to IDR10.91 trillion 7.637,49 Increase % 2016-2017 Net margin income 155 Annual Report 2017
156. Performance 2017 Management Report Company Profile Business Supporting Function 4 . Conducting joint marketing and cross selling of trade finance products with financing and funding products together with the relevant business units to international transactions. 5. Developing inter-bank trade finance products (refinancing). In addition, the development of commodity-based trade finance products and structured trade finance products. 6. Improving the synergy of marketing of finance products with BNI through the coordination with BNI marketing group and advisory trade to identify BNI trade customers in need of sharia trade products and also to make offer and advisory of sharia trade finance transactions to potential BNI customers. 2018 Strategies of Treasury and International Business In order to maintain sustainable international business growth, BNI Syariah has set the 2018 international business development strategies as follows: 1. Strengthening the international business infrastructure by maximizing the utilization of communication systems through the SWIFT Alliance, developing trade finance and remittance applications, expanding the network of correspondent banks, and opening nostro accounts. 2. Improve the marketing of trade products by first providing training to the sales trade personnel to better understand the products to be marketed which is then supported by the manufacture of marketing kit as media product information. 3. Expanding Bank to Bank cooperation through the implementation of reciprocal business principles and risk sharing and re-financing of trade transactions. Hasanah Banking Partner Management Discussion and Analysis 156 Annual Report 2017
157. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment FINANCIAL OVERVIEW BNI Syariah was able to improve its financial performance continuously in 2017 in the midst of relatively stagnant economic growth challenge . BNI Syariah recorded 23.0% growth in assets to Rp34.82 trillion, supported by the financing growth of 15.1% to Rp23.60 trillion with Third Party Funds (DPK) of Rp29.38 trillion or an increase of 21.2 %. In addition, net profit grew by 10.6% to Rp306.69 billion, primarily due to the increase of financing activities of BNI Syariah. This achievement showed that BNI Syariah was able to consistently improve its performance despite of the dynamics of domestic and global economy. Below is a more detailed explanation on the analysis and discussion of the financial performance of BNI Syariah for the fiscal year 2017. Discussion of the following financial review in accordance with the Financial Statement as of 31 December 2017 and for the year ended in such date. Acting as auditor of the financial statement was Public Accounting Firm Purwantono, Sungkoro & Surja conducting audits by referring to the Audit Standards established by Indonesian Institute of Certified Public Accountants (responsible partner: Yasir). Such Public Accounting Firm stated that the financial statements are presented fairly, in all material respects, the financial position of PT BNI Syariah as of 31 December 2017 together with the financial performance, cash flow, income and profit sharing reconciliation, sources and distribution of zakat funds, as well as the source and use of its funds for the year ended on such date in accordance with Financial Accounting Standards in Indonesia. STATEMENTS OF FINANCIAL POSITION Table of Statements of Financial Position (In million Rupiah) Description 2016 2017 Growth Nominal % Assets 28.314,18 34.822,44 6.508,27 22,99% Productive assets 25.060,46 29.390,78 4.330,32 17,28% Services provided 20.493,61 23.596,72 3.103,11 15,14% Liabilities 4.684,76 6.612,71 1.927,96 41,15% Wadiah deposit 4.079,08 5.970,79 1.891,70 46,38% Wadiah current account 1.533,15 1.838,11 304,97 19,89% Wadiah saving account 2.545,94 4.132,67 1.586,74 62,32% Amount of temporary syirkah fund 21.142,85 24.402,43 3.259,58 15,42% Amount of temporary syirkah funds - nonbanks 20.153,93 23.408,50 3.254,58 16,15% 488,93 493,93 5,00 1,02% Amount of temporary syirkah bank funds 500,00 500,00 - 0,00% Equity Sukuk Mudharabah 2.486,57 3.807,30 1.320,73 53,11% Revenues 13,84% 2.801,58 3.189,18 387,61 Operating Income 391,13 422,91 31,78 8,13% Net profit 277,37 306,69 29,31 10,57% Hasanah Banking Partner 157 Annual Report 2017
158. Performance 2017 Management Report Company Profile Business Supporting Function ASSETS Management Discussion and Analysis a major factor in the growth of BNI Syariah ’s assets which grew by 22.99% in 2017. Total assets of BNI Syariah reached Rp34.82 trillion or higher compared to the previous year’s achievement of Rp28.31 trillion in line with the increase in Company’s productive assets, especially for financing activities as Bank’s core business. The four main components of BNI Syariah assets are current account and placement with Bank Indonesia, investment in securities, murabahah receivables, mudharabah financing, and musyarakah financing. The significant increase in these asset components was Tabel Assets (In billion) Description 2016 Cash Current accounts and placement with Bank Indonesia % 233,73 73,81 46,16% 3.059,80 5.113,80 2.054,00 67,13% 173,07 325,45 152,38 88,04% 50,50 50,49 (0,01) -0,02% 3.924,07 5.170,12 1.246,06 31,75% Placement with other banks - net Securities purchased under resale agreements Murabahah receivables - Net Nominal 159,91 Current accounts with other banks - net Investments in marketable securities - net Growth 2017 339,49 130,66 (208,83) -61,51% 14.821,16 16.177,55 1.356,39 9,15% Qardh loans - neto 906,65 1.460,96 554,31 61,14% Mudharabah financing - net 1.181,61 870,11 (311,49) -26,36% Musyarakah financing - net 2.907,46 4.444,88 1.537,41 52,88% Acceptance Receivable - net 4,81 15,75 10,95 227,75% Assets acquired for ijarah - net 115,75 52,15 (63,60) -54,94% Prepaid Expenses 161,31 179,59 18,29 11,34% Fixed assets - net 214,59 230,76 16,17 7,54% 51,86 75,63 23,76 45,85% 242,16 290,81 48,67 20,10% 28.314,18 34.822,44 6.508,27 22,99% Deferred tax assets - net Other assets Total Assets of Bank Indonesia of 5.00% and 1.00%, respectively. The ratio of Minimum Statutory Reserves (GWM) of BNI Syariah in rupiah and foreign currency were 7.25% and 1.45% respectively in 2017. The ratio of GWM was better than the previous year which were 5.19% and 1.46%. Cash BNI Syariah recorded cash position at Rp233.73 billion as of 31 December 2017, or up 46.16% compared to its cash position per 31 December 2016 at Rp159.91 billion. Of the total cash in 2017 about 96.27% was denominated in Rupiah. Cash position to total assets of Bank in 2017 was equal to 0.67% or higher compared to cash contribution to total assets reaching 0.56% in 2016. Current accounts and placement with Bank Indonesia increased to Rp5,113.80 billion in 2017 compared to Rp3,059.80 billion in 2016 in line with the increase in third party funds collected by the Bank. Current accounts and placements with Bank Indonesia on total assets rose to 14.69% in 2017 compared to the asset component’s share of 10.81% in the previous year. Current accounts and placement with Bank Indonesia BNI Syariah was consistently able to maintain the ratio of Minimum Statutory Reserves (GWM) in rupiah and foreign currency for commercial banks conducting business based on sharia principles above the provisions Hasanah Banking Partner 158 Annual Report 2017
159. Human Capital Good Corporate Governance Corporate Social Responsibility Investment in marketable securities Investment in BNI Syariah marketable securities increased by 31 .74% to Rp5,170.12 billion in 2017 from Rp3,924.07 billion in the previous year, in line with the increase of investor confidence in Indonesian economy. Supported by an increase in investment in these marketable securities, the asset component’s position to total assets increased to 14.85% in 2017 compared to 13.86% in 2016. The share of investment in securities was more diversified with investment portfolio in marketable securities with tenure of 1-5 years and more than 10 years had dominant shares of 57.12% and 24.68% of total marketable securities investment in 2017. Meanwhile, the investment portfolio in 2016 was dominated by securities with tenure of 1-5 years and more than 10 years each amounting to 46.90% and 32.25% of total securities investment in 2016. Current accounts with other banks Current accounts with other banks against total assets reached 0.93% in 2017, supported by an increase in the asset component of Rp152.38 billion in 2017. Current accounts in 2017 increased by 88.04% to Rp325,45 billion, compared to the previous year of Rp173,07 billion. The significant increase was mainly supported by US Dollar denominated current accounts which rose to Rp190, 57 billion from only Rp70, 46 billion. Current accounts with other banks of BNI Syariah were held in the parent company, namely PT Bank Negara Indonesia (Persero) Tbk and Citibank. Placements with other banks The bank posted placements with other banks at Rp50.49 billion as of December 2017. The position of this account slightly decreased compared to the previous year which amounted to Rp10 million. Description 2016 <1 years Attachment Growth 2017 Nominal % 460,80 77,31 (383,49) 1.842,38 2.956,23 1.113,85 60,46% 358,54 864,61 506,07 141,15% >10 years 1.266,74 1.277,29 10,55 0,83% Total (gross) 3.924,07 5.170,12 1.246,97 31,74% 1 - 5 years 5 - 10 years previous year. Securities issued by the Government of the Republic of Indonesia still have the largest share of 89.73% compared to securities issued by the corporation of 7.15% and securities issued by bank of 3.11%. Meanwhile, in accordance with the issuer of marketable securities of BNI Syariah marketabel securities investment portfolio in 2017 was relatively unchanged compared to the composition of investment in the Investment portfolio - issuer 2016 Investment portfolio - issuer 2017 3,11% % 7,16 4,72% 6% 6,4 88,82% 89,73% The Government of the Republic of Indonesia Hasanah Banking Partner -83,22% Corporate 159 Annual Report 2017 Bank
160. Performance 2017 Management Report Company Profile Business Supporting Function Despite an increase in the number of murabahah receivables , BNI Syariah was able to manage these assets well, this was marked by a decrease of NPF to 3.24% (gross) and 1.78% (net) from 3.38% and 1.95% in 2016. This was in line with the decline in allowance for possible losses to Rp379.63 billion in 2017 from Rp409.20 billion. Murabahah Receivables The important position of murabahah receivables against Bank BNI Syariah assets could be seen from the contribution of this account to total assets reaching 46.46% in 2017. Murabahah receivables (net) increased by 9.15% to Rp16,177.55 billion in 2017 compared to the previous year which was Rp14,821.16 billion. By sector, the increase of murabahah receivables was mainly supported by other sectors which increased by Rp1,410.19 billion. Meanwhile the social/community sector; transportation, warehousing, and telecommunication; and mining recorded increase of Rp139.52 billion, Rp50,74 billion, and Rp21.08 billion respectively. Description Trade, restaurants, and hotels Management Discussion and Analysis Judging from the period, murabahah receivables with tenure of more than 5 years have dominant portion. The contribution of these receivables with tenure of more than 5 years reached 76.04% of total murabahah receivables or equivalent to Rp12,590.61 billion. While the contribution of this type of receivable with the maturity of 1-5 years reached 23.18% while the remaining 0.77% was the share of murabahah receivables with tenor of <1 year. 2016 Growth 2017 Nominal % 1.577,29 1.592,68 15,39 0,98% -32,45% Business services 689,18 465,51 (223,67) Social/community 678,76 818,28 139,52 20,55% Industry 578,65 463,69 (114,96) -19,87% Agriculture 252,24 251,97 (0,27) -0,11% Transportation, warehousing, and telecommunication 241,48 292,22 50,74 21,01% Mining 172,08 193,17 21,08 12,25% Construction 95,57 113,92 18,35 19,20% Electricity, Gas, and Water 41,77 52,21 10,44 24,99% Others 10.903,35 12.313,54 1.410,19 12,93% Amount 15.230,37 16.557,18 1.326,81 8,71% Meanwhile, Hasanah Card slightly increased by 1.10% while Rahn declined by 36.73% to Rp3.17 billion from Rp5.01 billion in 2016. In general, this qardh loan faced the challenge of NPF gross increase to 2.36% although the net NPF was relatively controlled by 0.61% compared to 2.21% and 0.79% in the previous year. This was in line with the increase in allowance for possible losses to Rp41.89 billion in 2017 from Rp23.36 billion in 2016. Qardh Loans BNI Syariah qardh loans after deducted from allowance for possible losses increased significantly by 61.14% to Rp1,460.96 billion in 2017 compared to the previous year which was Rp906.65 billion. The increase was mainly supported by the increase in qardh loans to Rp1,128.05 billion from 2016 which was only Rp557.40 billion. Hasanah Banking Partner 160 Annual Report 2017
161. Human Capital Good Corporate Governance Corporate Social Responsibility Description 2016 Attachment Growth 2017 Nominal % Qardh 557,40 1.128,05 Kartu Hasanah 367,60 371,63 4,03 1,10% 5,01 3,17 (1,84) -36,73% 930,01 1.502,85 572,84 61,60% Rahn Total (gross) Mudharabah Financing Mudharabah (net) financing decreased by 26.36% to Rp870.11 billion in 2017 compared to the previous year which was Rp1,181.61 billion. This decrease was mainly due to the decrease of this type of financing provided to the social/community and business services sector which decreased by Rp153.59 billion and Rp137.00 billion to Rp11.39 billion and Rp816.47 billion respectively in 2017. Description 570,65 102,38% BNI Syariah faced the challenge of managing this type of financing in line with the increase of NPF gross and NPF net up to 1.99% and 0.93% respectively in 2017 compared to the previous year position with gross NPF of 1.18% and net NPF of 0.78%. The increase in NPF was in line with the increase in allowance for possible losses to Rp18.68 billion from Rp16.80 billion in 2016. 2016 Growth 2017 Business services 953,47 Social/community Nominal % 816,47 (137,00) -14,37% -93,09% 164,98 11,39 (153,59) Trade, restaurants, and hotels 52,68 53,02 0,34 0,64% Industry 10,56 5,64 (4,92) -46,58% Transportation, warehousing, and telecommunication 9,56 - (9,56) -100,00% Electricity, Gas, and Water 6,46 1,57 (4,89) -75,68% Construction 0,71 0,71 - 0,00% 1.198,41 888,79 (309,61) -25,84% Amount Musyarakah Financing Musyarakah financing of BNI Syariah grew by 52.88% to Rp4,444.88 billion in 2017 compared to the previous year of Rp2,907.46 billion in 2016. The increase was mainly supported by the increase in sharia financing for electricity, gas and water infrastructure sectors which rose by 455.17% to Rp777.48 billion. Other sectors that significantly rose include construction; and trade, restaurants and hotels which rose by 79.29% and 26.10% to Rp669.86 billion and Rp832.35 billion respectively. Hasanah Banking Partner Despite this increase in financing, the Bank faced the challenge of managing productive assets as NPF gross and NPF net rose to 1.90% and 0.85% compared to the achievements in 2016 which were 1.59% and 0.63%. The allowance for possible losses increased to Rp141.33 billion in 2017 from Rp105.29 billion in the previous year in line with the increase of NPF. 161 Annual Report 2017
162. Performance 2017 Management Report Company Profile Business Supporting Function Description 2016 Trade , restaurants, and hotels Management Discussion and Analysis 2017 660,09 Growth Nominal % 832,35 172,26 26,10% Electricity, Gas, and Water 140,04 777,48 637,43 455,17% Business services 862,62 845,14 (17,48) -2,03% Construction 373,61 669,86 296,25 79,29% Industry 452,30 545,24 92,95 20,55% Social/community 247,52 414,19 166,68 67,34% Transportation, warehousing, and telecommunication 84,46 170,70 86,24 102,11% Agriculture 17,90 70,96 53,06 296,47% 106,67 61,62 (45,05) -42,23% Mining Others Amount 67,54 198,67 131,13 194,14% 3.012,75 4.586,21 1.573,46 52,23% The increase in fixed assets was dominated by the addition of motor vehicles and office equipment to Rp257.42 billion in 2017 compared to Rp233.13 billion in the previous year. Assets acquired for Ijarah Assets acquired for ijarah reached Rp52.15 billion, or down 54.94% from 2016 which was Rp115.74 billion. Assets acquired for ijarah consisted of multi-lingual financing type mostly consisting of ijara financing for educational purposes, hajj bridging loans, and others. This account only consists of multiserivces Ijarah deducted from depreciation expense. Other Assets Other assets consist of accounts other than those described above. Of these other assets, securities purchased under agreements to resell decreased significantly by 61.51% to Rp130.66 billion in 2017 from Rp339.49 billion a year earlier. Fixed Assets BNI Syariah had fixed assets which rose by 7.54% to Rp230.76 billion compared to Rp214.59 billion in 2016. Description Securities purchased under resale agreements 2016 2017 339,49 130,66 Acceptale Receivable – net Prepaid expenses % (208,83) -61,51% 227,75% 4,81 15,75 10,95 179,59 18,29 11,34% 51,86 75,64 23,78 45,85% 242,16 290,81 48,65 20,09% earlier. Judging from the composition of productive assets, murabahah receivables had strategic position with the largest contribution of 47.55% in 2017. These receivables were able to grow by 8.71% to Rp16,557.18 billion compared to the previous year’s position of Rp15,230.37 billion. Analysis of Productive Assets The assets of BNI Syariah grew by 22.99% in 2017 supported by an increase in productive assets. The important role of productive assets could be seen from the share of productive assets to total assets reached 84.40% in 2017. Productive assets grew by 17.28% to Rp29,390.78 billion from Rp25,060.46 billion a year Hasanah Banking Partner Nominal 161,30 Deferred tax assets – net Other assets Growth 162 Annual Report 2017
163. Human Capital Good Corporate Governance Corporate Social Responsibility Description 2016 Current accounts with Other Banks 2017 174 ,82 Placements with other banks 328,74 Attachment Growth Nominal % 153,92 88,04% 51,00 51,00 - 0,00% 3.928,46 5.175,43 1.246,98 31,74% 339,49 130,66 (208,83) -61,51% 15.230,37 16.557,18 1.326,81 8,71% 930,01 1.502,85 572,84 61,60% Mudharabah financing 1.198,41 888,79 (309,61) -25,84% Musyarakah financing 3.012,75 4.586,21 1.573,46 52,23% 115,74 52,15 (63,60) -54,94% 4,85 15,91 11,06 227,75% Investment in marketable securities Securities purchased under resale agreements Murabahah Receivables Qardh loans Assets acquired for ijarah-net Acceptance Receivable Commitment & Contingency Amount 74,56 101,86 27,30 36,61% 25.060,46 29.390,78 4.330,32 17,28% obtain greater third party funds with wadiah deposits up by 46.38% to Rp5,970.79 billion to sustain growth in financing provided to its customers. LIABILITIES BNI Syariah recorded total liabilities of Rp Rp6,612.71 billion or an increase of 41.15% compared to Rp4,684.76 billion as of 31 December 2016. The increase in liabilities was supported by BNI Syariah’s ability to Description 2016 Obligations due immediately 2017 33,11 Undistributed revenue sharing 33,15 Growth Nominal % 0,04 0,12% 39,69 53,74 14,05 35,41% Wadiah deposit 4.079,08 5.970,79 1.891,70 46,38% Wadiah current account 1.533,15 1.838,11 304,97 19,89% Wadiah saving account 2.545,94 4.132,67 1.586,74 62,32% Deposits from other banks 31,36 47,78 16,41 52,33% Accrued expenses 42,12 57,28 15,16 35,98% Acceptance payable 4,85 15,91 11,06 227,75% 33,58 25,90 (7,68) -22,87% 2,23 1,53 (0,70) -31,42% Other Liabilities 100,12 148,75 48,63 48,57% Post-employment benefit obligation 318,61 257,88 (60,72) -19,06% 4.684,76 6.612,71 1.927,95 41,15% Taxes payable Provisions Total Liabilities Rp456.00 million. On the other hand, there was an increase of zakat funds to Rp10.25 billion in 2017 from Rp9.33 billion in the previous year. Meanwhile, temporary deposits with the largest share decreased to Rp19.34 billion in 2017 from the previous year which was Rp23.32 billion. Obligations due immediately The liabilities due immediately of BNI Syariah reached Rp33.15 billion in 2017, up 0.12% compared to the previous year’s position of Rp33.11 billion. The increase in these liabilities was mainly sustained by an increase in remittances to Rp3.57 billion from 2016 which was Hasanah Banking Partner 163 Annual Report 2017
164. Performance 2017 Management Report Company Profile Business Supporting Function the proft sharing for mudharabah time deposits and mudharabah sukuk . Temporary deposits are deposits to record transactions deriving from products and services provided by Bank that have not yet been processed further waiting for the enactment of the conditions (terms and conditions) for each of those products and services. Wadiah Deposits Wadiah deposits of BNI Syariah increased 46.38% to Rp5,970.79 billion compared to customer deposits in 2016 which was Rp4,079.08 billion. Wadiah current accounts and savings accounts are two types of customer deposits that are the mainstay of the bank for obtaining third party funds. Wadiah Current Accounts and Wadiah Saving Accounts grew by 19.89% and 62.32% to Rp1,838.11 billion and Rp4,132.67 billion in 2017 from Rp1,533.15 billion and Rp2,545.94 billion, respectively in the previous year. Undistributed Revenue Sharing This account is an undistributed revenue sharing by the Bank to the shahibul maal for the share of profits from Bank’s business proceeds which has been set aside from the management of mudharabah funds. The position of BNI Syariah undistributed revenue sharing reached Rp53.74 billion in 2017, an increase of 35.41% compared to its position in 2016 which was Rp39.69 billion. The profit sharing which has not be distributed derives from Description Wadiah Current Accouunts Management Discussion and Analysis 2016 Growth 2017 1.533,15 Nominal 1.838,11 % 304,97 19,89% Wadiah Saving Acconts 2.545,94 4.132,67 1.586,74 62,32% Deposits from customers 4.079,08 5.970,79 1.891,70 46,38% (Biro Pusat Aktuaria) for the years ended in 31 December 2017 and 2016, using the Projected Unit Credit method. Deposits from Other Banks The bank recorded deposits from other banks amounting to Rp47.78 billion in 2017, an increase of 52.33% from the previous year which was Rp 31.36 billion. Deposits from other banks placed at the Bank are Wadiah Current Accounts and Sertifikat Investasi Mudharabah Antarbank (SIMA). Other Liabilities Other liabilities consist of accounts other than those mentioned above. From other components of liabilities, acceptance payable, other liabilities and accrued expenses recorded increases of 227.75%, 48.57%, and 35.98% to Rp15.91 billion, Rp148.75 billion, and Rp57.28 billion repectively in 2017 compared to Rp4.85 billion, Rp100.12 billion, and Rp42.12 billion in the previous year. In the contrary, the tax provisions and tax debt decreased by 31.42% and 22.87% to Rp1.53 billion and Rp25.90 billion, respectively. Post-Employment Benefit Obligation BNI Syariah recorded post-employment benefit obligation of Rp257.88 billion, down 19.06% in 2017 compared to the previous year’s position of Rp318.61 billion. The actuarial valuation of pension benefits was carried out by a registered actuarial consultant, PT Sentra Jasa Aktuaria Description 2016 Acceptance Payable Growth 2017 4,85 Nominal 15,91 11,06 % 227,75% Accrued Expenses 42,12 57,28 15,16 35,98% Taxes payable 33,58 25,90 (7,68) -22,87% 2,23 1,53 (0,70) -31,42% 100,12 148,75 48,63 48,57% Provision Other Liabilities Hasanah Banking Partner 164 Annual Report 2017
165. Human Capital Good Corporate Governance Corporate Social Responsibility reached Rp14 ,549.20 billion in 2017 compared to the previous year which was Rp12,977.55 billion. The position of temporary syirkah funds from non-banks reached about 95.93% of the amount of temporary syirkah funds in 2017. The dominance of temporary syirkah funds from non-bank showed the focus of BNI Syariah to raise these funds from this segment. TEMPORARY SYIRKAH FUND Temporary Syirkah Fund Temporary Syirkah Fund of BNI Syariah increased by Rp3,259.58 billion or 15.42% to Rp24,402.43 billion in 2017 in line with the increase of financing distribution to customers. The increase in temporary syirkah funds was mainly supported by mudharabah time deposits which Description Non-Bank Funds 2016 Mudharabah Current Accounts Mudharabah Time Deposits Bank Funds Growth 2017 20.153,93 Mudharabah Saving Accounts Attachment Nominal 23.408,50 % 3.254,58 16,15% 585,30 933,16 347,87 59,43% 6.877,44 8.254,40 1.376,95 20,02% 12.691,19 14.220,94 1.529,76 12,05% 488,93 493,93 5,00 1,02% Mudharabah Current Accounts 15,47 21,74 6,27 40,52% Mudharabah Saving Accounts 187,09 143,93 (43,15) -23,07% 14,63% Mudharabah Time Deposits 286,37 328,26 41,89 Sukuk Mudharabah 500,00 500,00 - 0,00% 21.142,85 24.402,43 3.259,58 15,42% Amount of temporary syirkah fund mudharabah did not change as BNI Syariah did not make bond issuance in 2017. Non-Bank Temporer Syirkah Fund The increase in non-bank temporer syirkah fund of BNI Syariah was mainly supported by Bank’s ability to increase mudharabah time deposits from customers. Mudharabah time deposits reached Rp14,220.94 billion or 60.75% of total non-bank temporary syirkah funds in 2017. The increase in non-bank temporary syirkah funds was also supported by an increase in mudharabah saving accounts which grew by 20.02% or equivalent to Rp1,376.95 billion in 2017. Mudharabah current accounts also increased by 59.43% to Rp933.16 billion although nominally it had the smallest portion. Analysis of Third Party Funds Cumulatively, Third Party Funds (DPK) of BNI Syariah consists of wadiah deposits and non-bank temporary syirkah funds in 2017 reached Rp29,379.29 billion or higher from the previous year which was Rp24,233.01 billion. Contribution from wadiah deposits and non-bank temporary syirkah funds amounted to 20.32% and 79.68% of total DPK. The sustainable growth of BNI Syariah DPK was mainly supported by an increase in expensive funds, primarily from mudharabah time deposits which reached Rp14,220.94 billion in 2017 compared to the previous year which was Rp12,691.19 billion. Nevertheless, overall, the composition of BNI Syariah DPK is better diversified with the composition of current accounts and saving a (CASA) of 51.60% and mudharabah time deposits of 48.40% in 2017 compared to 47.63% and 52.37% in 2016. Bank Temporary Syirkah Fund Temporary syirkah funds from banks increased by 1.02% or equivalent to Rp5.00 billion to Rp493.93 billion in 2017. The increase was mainly due to an increase in the contribution of temporary syirkah funds derived from mudharabah time deposits which increased by Rp41.89 billion or 14.63% to Rp328.26 billion. The increase was able to cover the decline in mudharabah savings of Rp43.15 billion or 23.07%. Meanwhile, sukuk Hasanah Banking Partner 165 Annual Report 2017
166. Performance 2017 Management Report Company Profile Business Supporting Function Description 2016 Wadiah current accounts Management Discussion and Analysis 2017 1 .533,15 1.838,11 Growth Nominal % 304,97 19,89% 62,32% Wadiah saving account 2.545,94 4.132,67 1.586,74 Wadiah Deposits 4.079,08 5.970,79 1.891,70 46,38% 585,30 933,16 347,87 59,43% Mudharabah current accounts 6.877,44 8.254,40 1.376,95 20,02% Mudharabah time deposits Mudharabah saving accounts 12.691,19 14.220,94 1.529,76 12,05% Non-bank temporer syirkah fund 20.153,92 23.408,50 3.254,58 16,15% Amount of Third Party Funds 24.233,01 29.379,29 5.146,28 21,24% used for the development of sharia financing activities which include consumer financing, productive financing, and micro financing. Securities Issued BNI Syariah has issued 5 (five) years’ period (tenor) of sukuk mudharabah worth IDR500.00 billion on May 26, 2015. Funds obtained from the issuance of sukuk are Equity Information Growth 2016 2017 1.501,50 2.501,50 Revaluation profit of fixed assets 43,84 43,84 - 0,00% Actuarial profit (loss) of manfaat pasti program (2,01) (6,43) (4,42) 219,51% General and mandatory reserve 92,85 150,15 57,30 61,71% Unrealized profit on securities available for sale after deferred tax (11,16) 7,31 18,47 -165,49% Retain earning 861,55 1.110,94 249,39 28,95% 2.486,57 3.807,30 1.320,73 53,11% Capital Stock Amount of Equity % 1.000,00 66,60% STATEMENTS OF PROFIT OR LOSS Total equity of BNI Syariah reached Rp3,807.30 billion in 2017 or grew by 53.11% from the previous year’s equity which was Rp2,486.57 billion. This increase in equity was mainly supported by the increase in capital stock of Rp1,000.00 billion to Rp2,501.50 billion. In addition, the increase in retained earnings by 28.95% to Rp1,110.94 billion in 2017 compared to retained earnings in 2016 which was Rp861.55 billion helped strengthen Bank’s equity. Hasanah Banking Partner Nominal BNI Syariah was able to show improved revenue performance in 2017 despite the concerns of relatively stagnant economic growth. Ongoing loan growth was followed by a sound asset management and operational efficiency that became important factors so that BNI Syariah was able to record a revenue growth of 13.84% to Rp3,189.18 billion. Supported by stronger business revenues, Bank’s net profit increased by 10.57% to Rp306.69 billion with comprehensive income of Rp320.73 billion. 166 Annual Report 2017
167. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Statement of Profit or Loss Description 2016 2017 Growth Nominal % Revenue on fund management by bank as mudharib Income from sale and purchase Income from profit sharing Income from ijarah – net Other main operating income 1.891,26 2.090,20 198,94 10,52% 418,55 475,31 56,76 13,56% 64,24 57,05 (7,19) -11,19% 427,52 566,62 139,09 32,53% 2.801,58 3.189,18 387,61 13,84% Third party rights on the sharing of temporary syirkah funds (905,03) (967,94) (62,91) 6,95% Bank’s share in profit-sharing 1.896,54 2.221,24 324,70 17,12% 101,72 116,97 15,25 15,00% Salary and allowance (736,27) (707,69) 28,58 -3,88% General and Administration Expenses (410,86) (437,32) (26,46) 6,44% Others (135,76) (148,55) (12,80) 9,42% (1.282,89) (1.293,57) (10,68) 0,83% (324,24) (621,73) (297,49) 91,75% 391,13 422,91 31,78 8,13% Other operating income Operating expenses Total operating expenses Establishment of allowance for possible losses on earning assets Operating Income Non – operational income/(expenses) – net (17,93) (14,17) 3,77 -21,01% Profit before income tax 373,20 408,75 35,55 9,53% (110,98) (130,52) (19,54) 17,60% 15,16 28,46 13,30 87,70% Net tax expenses (95,82) (102,06) (6,24) 6,51% Net profit 277,38 306,69 29,31 10,57% Tax expenses Now Deffered Other Comprehensive Income Remeasurement of defined benefit obligations Income tax relating to other comprehensive income Loss on chage in the fair value of investment Income tax relating to other comprehensive income Total other comprehensive income after tax Total comprehensive income Net basic earnings per share & diluted (in full Rupiah) Hasanah Banking Partner 6,26 (5,89) (12,15) -194,21% (1,56) 1,47 3,03 -194,23% (14,88) 24,62 39,50 -265,46% 3,72 (6,16) (9,88) -265,59% (6,47) 14,05 20,52 -317,16% 270,91 320,73 49,82 18,39% 184,732 193,513 8,781 4,75% 167 Annual Report 2017
168. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis Murabahah income from BNI Syariah ’s financing and sales and purchase activities reached Rp2,090.20 billion, an increase of 10.52% in 2017, supported by the growth in financing throughout the year. In addition, the increase in margin income was also supported by higher income from profit sharing and other operating income, which grew by 13.56% and 32.53% to Rp475.31 billion and Rp566.62 billion, respectively. Margin Revenue Bank BNI Syariah was consistently able to provide more financing to its customers in the midst of the dynamics of the 2017 national economy. This was intended to achieve sustainable growth supported by a passion for the growing need for sharia banking services. In line with such financing growth, the revenue on fund management by Bank as Mudharib or margin revenue of BNI Syariah in 2017 increased by 13.84% to Rp3,189.18 billion from Rp2,801.58 billion in the previous year. Income deriving from sales and purchase still had dominant share of 65.54% of total income of BNI Syariah in 2017. Details of Margin Revenue Description Growth 2016 2017 Revenue from sale and purchase 1.891,26 2.090,20 198,94 10,52% - Murabahah income 10,52% Nominal % 1.891,26 2.090,20 198,94 Income from profit sharing 418,55 475,31 56,76 13,56% - Musyarakah profit sharing income 266,77 336,15 69,38 26,01% - Mudharabah profit sharing income 151,78 139,16 (12,62) -8,31% Income from ijarah 64,24 57,05 (7,19) -11,19% - Income from ijarah muntahiyah bittamlik 36,05 305,62 269,57 747,77% - Income from ijarah multi-services 64,24 57,05 (7,19) -11,19% - Depreciation Expense -36,05 (305,62) (269,57) 747,81% Other main operating income 427,52 566,62 139,09 32,53% - Profit sharing income from investments in marketable securities 246,34 367,83 121,49 49,32% - Operating income from Hasanah Card 84,00 73,42 (10,58) -12,59% - Profit sharing income from placements with other banks 63,26 33,28 (29,98) -47,39% - Profit sharing income from payable factoring of ujroh cash fee 23,67 84,44 60,77 256,75% - Fee Income from rahn 1,54 0,94 (0,60) -38,96% - Other income 8,72 6,71 (2,01) -23,05% 2.801,58 3.189,18 387,60 13,84% Revenue on fund management by bank as mudharib came from mudharabah saving accounts which reached Rp141.97 billion, or grew by 4.61%. BNI Syariah continues its efforts to further increase the growth of saving accounts and current accounts in order to reduce the margin expense. In addition, BNI Syariah sought to maintain share of of mudharabah time deposits but with well-managed margin expense. Margin Expense Total margin cost of BNI Syariah was still dominated by mudharabah time deposits with a share of 79.74% of total margin expense amounted to Rp967.94 billion. In line with the increase in DPK, mudharabah time deposit margin expense increased by 7.38% or equivalent to Rp53.02 billion to Rp771.83 billion in 2017. In addition, the composition of the second largest margin expense Hasanah Banking Partner 168 Annual Report 2017
169. Human Capital Good Corporate Governance Corporate Social Responsibility Description Attachment Growth 2016 2017 Mudharabah Time Deposits 718 ,81 771,83 Mudharabah Saving Accounts 135,71 141,97 6,25 4,61% 45,39 45,08 (0,30) -0,67% 3,98 4,85 0,87 21,86% Mudharabah Current Accounts 0,10 0,05 (0,05) -50,00% Others 1,04 4,17 3,13 300,96% 905,03 967,94 62,91 6,95% Sukuk mudharabah Mudharabah Current Accounts Amount Nominal % 53,02 7,38% increase in financing activities along with the efforts of BNI Syariah to balance the composition of third party funds that might reduce the margin expense. Net Margin Income BNI Syariah recorded an increase in Bank’s share profitsharing or net margin income of 17.12% to Rp2,221.24 billion. The increase in net margin was in line with the Other Operating Income Description Growth 2016 2017 Bank service administration fees 68,14 77,94 9,80 14,39% Financing administration fees 26,41% Nominal % 18,90 23,89 4,99 Foreign exchange – net 7,50 8,07 0,57 7,60% Other administration income 7,18 7,07 (0,11) -1,53% 101,72 116,97 15,25 15,00% Amount to an increase in bank service administration fees and financing administration fees which grew by 14.39% and 26.41% to Rp77.94 billion and Rp23.89 billion, in line with Bank’s continued business growth. BNI Syariah was able to record another operating income increase to Rp116.97 billion, grew by 15.00% compared to the previous year which was Rp101.72 billion. The increase in other operating income was mainly due Other Operating Expenses Description Growth 2016 2017 Nominal % Salary and allowance 736,27 707,69 (28,58) -3,88% General and Administration Expenses 410,86 437,32 26,46 6,44% Others 135,76 148,55 12,79 9,42% 1.282,89 1.293,57 10,68 0,83% Total of other operating expenses The increase in general & administrative expenses was primarily due to the increase of outsourcing and leasing to Rp102.30 billion and Rp117.81 billion from Rp91.24 billion and Rp107.99 billion. On the other hand, BNI Syariah was able to record promotion cost efficiency of Rp4.87 billion to Rp70.75 billion in 2017 from Rp75.62 billion in 2016. Other operating expenses component consists of salary & benefits, general & administration expenses, and others. BNI Syariah other operating expenses increased by 0.83% to Rp1,293.57 billion in 2017 from Rp1,282.89 billion in line with Bank’s business expansion for the year. The increase was mainly due to an increase in general & administrative expenses by 6.44% to Rp437.32 billion from Rp410.86 billion in 2016. Hasanah Banking Partner 169 Annual Report 2017
170. Performance 2017 Management Report Company Profile Business Supporting Function in provision for murabahah receivables by 151 .58% to Rp379.38 billion in line with financing expansion in 2017. BNI Syariah is committed to channeling financing by applying prudential principles so that it is expected to sustain a sound and sustainable business growth in the future. Provision for Earning Assets BNI Syariah allocated a greater allowance for earning assets in 2017 as it faced the stagnant condition of Indonesia’s economic growth. The provision for earning assets grew by 91.75% or Rp297.49 billion to Rp621.73 billion from Rp324.24 billion in the previous year due to an increase Description Current accounts with other banks Management Discussion and Analysis Growth 2016 2017 0,86 1,42 0,56 65,50% -98,00% Nominal % Placements with other banks 0,50 0,01 (0,49) Investment in marketable securities 1,80 0,92 (0,88) -48,84% 150,80 379,38 228,58 151,58% Qardh loans 43,45 40,99 (2,46) -5,66% Mudharabah financing 45,05 36,42 (8,63) -19,14% Musyarakah financing 82,71 161,63 78,92 95,42% 124,49% Murabahah Receivables Acceptance Receivable 0,05 0,11 0,06 Ijarah income receivable 1,40 0,17 (1,23) -87,97% - 1,37 1,37 100,00% Suspence account Estimated losses on commitments and contingencies Amount (2,37) (0,69) 1,68 -70,89% 324,24 621,73 297,49 91,75% the tax expense. The net profit per share of BNI Syariah increased to Rp193,513 (full amount) from Rp184,732 (full amount) in 2016 in line with the increase in Bank’s profit. Profit Before Tax In line with Bank’s increased fund management income supported by ongoing financing expansion, BNI Syariah’s profit berfore tax increased by 9.53% to Rp408.75 billion in 2017 from Rp373.20 billion. For the record, Non-operating expenses increased by Rp3.77 billion compared to 2016. Non-operating expenses in 2016 amounted to Rp17.93 billion and increased by 21.01% to Rp14.17 billion. Total Comprehensive Income BNI Syariah’s other comprehensive income after tax in 2017 consisted of actuarial profit (loss) of defined benefit plan, income tax related to other components of comprehensive income, loss on available-forsale investment in marketable securities, and income tax related to post items that will be classified into profit or loss. Cumulatively, Bank recorded another comprehensive profit of Rp14.05 billion resulting in a total comprehensive income of Rp320.73 billion in 2017. The amount of comprehensive income was better than the previous year’s position which was Rp270.91 billion. Income Tax Bank’s income tax expense was Rp102.06 billion in 2017 from Rp95.82 billion in 2016, or an increase of 6.51%. This higher tax expense was in line with higher Bank income in 2017 compare to the previous year. Net Profit In 2017, BNI Syariah’s net profit recorded an increase of 10.57% or equivalent to Rp29.31 billion to Rp306.69 billion from Rp277.38 billion after taking into account Hasanah Banking Partner 170 Annual Report 2017
171. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment STATEMENTS OF CASH FLOWS Description Growth 2016 2017 Cash flow from operating activities 2 .332,57 2.518,84 Cash flow from investing activities (1.700,06) (1.241,47) 458,58 -26,97% Cash flow from financing activities - 1.000,00 1.000,00 100,00% 632,52 2.277,36 1.644,84 260,05% Cash and cash equivalents at beginning of year 2.820,35 3.445,53 625,18 22,17% Cash and cash equivalents at end of year 3.445,53 5.727,26 2.281,73 66,22% Net Increase (decrease) of cash and cash equivalents Existing irrevocable L/C 7,99% Cash Flow from Financing Activities Cash flows from BNI Syariah funding reached Rp1,000.00 billion from share issuance. Commitments and Contingencies BNI Syariah is committed to provide financing facilities to customers as well as contingency in the form of income on settlement and bank guarantee received. Bank’s commitment liabilities in 2017 reached Rp1,049.29 billion from Rp968.66 billion in the previous year. Cumulatively, BNI Syariah recorded contingent liabilities of Rp92.94 billion for 2017 from Rp72.53 billion in 2016. Cash Flow from Investing Activities The net cash flows of BNI Syariah resulting from investment activities during 2017 experienced a deficit of Rp1,241.47 billion compared to minus Rp1,700.06 billion in the previous year primarily due to the purchase of securities in the form of sukuk amounted to Rp1,967.61 Unused financing facility to customers % 186,27 billion. In the same period, BNI Syariah also recorded Rp773.02 billion in sukuk receipt. A year earlier, the purchase of sukuk was recorded at Rp2,944.12 billion with receipt from sukuk reached Rp1,334.29 billion. Cash Flow from Operating Activities BNI Syariah recorded net cash flow from operating activities of Rp2,518.84 billion in 2017, up 7.99% compared to Rp2,332.57 billion a year earlier. The increase in net cash flows from operating activities was mainly supported by an increase in income from fund management to 3,194.85 billion in 2017 compared to Rp2,737.63 billion in the previous year. On the other hand, cash disbursement for other operating expenses increased to Rp1,335.30 billion from Rp1,254.18 billion in 2016. Description Nominal 2016 2017 966,62 1.040,37 Growth Nominal % 73,75 7,63% 337,25% 2,04 8,92 6,88 Liabilities on commitment 968,66 1.049,29 80,63 8,32% Income under construction 70,58 56,96 (13,62) -19,30% Bank guarantee received 5,23 6,17 0,94 17,97% Others 8,64 6,72 (1,92) -22,22% 84,44 69,86 (14,58) 17,27% Contingency receivables Guarantee issued in the form of: Standy letters of credit 41,79 41,49 (0,3) -0,72% Performance bonds 22,18 26,25 4,07 18,35% Bid bonds 3,66 14,27 10,61 289,89% Advance payment bonds 0,20 7,59 7,39 3.695,50% Other bank guarantee Liabilities on contingent Hasanah Banking Partner 4,69 3,34 (1,35) -28,78% 72,53 92,94 20,41 28,14% 72,53 92,94 20,41 28,14% 171 Annual Report 2017
172. Performance 2017 Management Report Company Profile Business Supporting Function FINANCIAL RATIOS Management Discussion and Analysis applicable laws and regulations . BNI Syariah is able to meet the financial ratios regulated by the regulator even though Bank is consistently expanding its sustainable financing amidst the challenges of stagnant economic growth. As a bank that consistently runs the business based on sharia principles, BNI Syariah seeks to conduct business activities in accordance with the principles of prudence and compliance with the regulations of Bank Indonesia, the Financial Services Authority, and the IMPORTANT FINANCIAL RATIOS DESCRIPTION Mandatory Minimum Capital Requirement (KPMM) 2013 2014 2015 2016 2017 16,23% 16,26% 15,48% 14,92% 20,14% 1,53% 1,61% 2,35% 2,43% 2,32% Troubled Productive Assets and Troubled Non-Productive Assets to Total Productive Assets and Non-Productive Assets Troubled Productive Assets to Total Productive Assets 1,53% 1,62% 2,23% 2,44% 2,33% Allowance for Impairment Losses of Finance Asset to Productive Asset 1,42% 1,50% 1,90% 2,28% 2,03% Non-Performance Financing Gross (NPF Gross) 1.86% 1.86% 2.53% 2.94% 2,89% Non-Performance Financing Net (NPF Net) Coverage Ratio 1,13% 1.04% 1.46% 1,64% 1,50% 91,27% 90,73% 84,51% 92,57% 85,73% Return on Asset 1,37% 1,27% 1,43% 1,44% 1,31% Return on Equity 9,65% 10,83% 11,39% 11,94% 11,42% Net Imbalan (NI) 9,51% 8,15% 8,25% 8,32% 8,10% Net Operating Margin (NOM) -0,80% 0,48% 0,67% 1,01% 0,76% Operating Expenses to Operating Income 88.33% 89.80% 89.63% 86.88% 87,62% Cost to Income Ratio (CIR) 83,15% 77,88% 71,06% 64,44% 55,74% Financing of Profit Sharing on Total Financing 16,33% 16,43% 19,41% 20,55% 23,23% Rasio Pembiayaan terhadap Dana Pihak Ketiga (FDR) 97,86% 92,60% 91,94% 84,57% 80,21% Current Account Saving Account (CASA) 56,95% 45,38% 46,15% 47,63% 51,60% COMPLIANCE DESCRIPTION 2013 2014 2015 2016 2017 BMPD Violation Percentage a.1. Related Party 0,00% 0,00% 0,00% 0,00% 0,00% a.2. . Non-Related Party 0,00% 0,00% 0,00% 0,00% 0,00% BMPD Percentage of Excess a.1. Related Party 0,00% 0,00% 0,00% 0,00% 0,00% a.2. . Non-Related Party 0,00% 0,00% 0,00% 0,00% 0,00% Minimum Statutory Reserve (GWM) a. Rupiah GWM 5,12% 5,21% 5,15% 5,19% 7,25% b. Foreign Currencies GWM 7,36% 3,96% 3,27% 1,46% 1,45% 11,62% 8,86% 3,52% 0,38% 2,28% Net Open Position (NOP) overall In accordance with the above ratios, BNI Syariah was able to comply with the prevailing regulations for capital Hasanah Banking Partner ratios, earning assets, earnings, liquidity and compliance. 172 Annual Report 2017
173. Human Capital Good Corporate Governance Corporate Social Responsibility ABILITY TO PAY DEBTS AND RECEIVABLES COLLECTABILITY Attachment Cost to Operating Revenue (BOPO) ratios. ROA and ROE ration of BNI Syariah was relatively well-managed at 1.31% and 11.42% compared to the previous year. Meanwhile, NI slightly decreased to 8.10% in line with the increase of BOPO ratio to 87.62%. NI and BOPO ratio in 2016 were 8.32% and 86.88%. BNI Syariah’s ability to meet all liabilities, both longterm and short-term liabilities, is measured through several ratios, including solvency ratio, profitability ratio, and liquidity ratio. Below is banking financial ratios to measure Bank’s solvency, collectability, and profitability. Bank Liquidity Bank liquidity management is necessary as it is influenced by funding structure, asset liquidity, liabilities to counterparties, and commitment to provide financing to the debtors. BNI Syariah measures liquidity risk in liquidity management by using Financing to Deposit Ratio (FDR) ratio. BNI Syariah FDR position by the end of 2017 was 80.21% or lower compared to last year due to the growth of DPK that exceeded the financing growth. Bank Solvency In measuring solvency through bank’s capital ratio, BNI Syariah ensures Bank’s capital adequacy in order to meet the risks of fund disbursement and market risk as reflected in the Mandatory Minimum Capital Reserve (KPMM). BNI Syariah Mandatory Minimum Capital Reserve (KPMM) ratio took into account the risk of fund disbursement, market risk, and operational risk by 20.14%. This ratio was above the minimum limit according to the risk profile rank 2 determined by the FSA of 9% - 10%. Bank Compliance In accordance with the ratio of compliance, BNI Syariah did not violate and exceed the Maximum Credit Limit (BMPK). The GWM ratio was well-maintained and always above the ratio required by FSA at 5.00% (Rupiah) and 1.00% (forex). Bank Profitability The performance of BNI Syariah profitability can be measured using ratios such as Return on Assets (ROA), Return on Equity (ROE), Net Rewards (NI), and Operating Tingkat Kolektibilitas Pembiayaan Description Current Special Mention Substandard 2016 2017 Growth Nominal % 18.797,99 21.826,08 1.093,94 1.088,59 (5,35) -0,49% 246,64 183,76 (62,87) -25,49% 66,17 217,02 150,85 227,96% Doubtful 3.028,08 16,11% Loss 288,86 281,26 (7,60) -2,63% Total 20.493,61 23.596,72 3.103,11 15,14% Gross NPF 2,94% 2,89% - -0,05% PPAP NPF 264.63 328,24 63,61 24,04% Net NPF 1,64% 1,50% - -0,14% better than the average NPF of the banking industry. BNI Syariah will continue to improve the quality of its financing system by applying principles of prudent, strengthening risk management, and improving credit management system. In terms of collectability, BNI Syariah was able to manage the NPL net ratio to 1.50% as of December 2017 lower than the previous year which was 1.64%. BNI Syariah NPF gross ratio also increased to 2.89% in 2017 from previous year position of 2.94%, BNI Syariah NPF gross ratio was still Hasanah Banking Partner 173 Annual Report 2017
174. Performance 2017 Management Report Company Profile Business Supporting Function CAPITAL AND RISK MANAGEMENT PRACTICES Management Discussion and Analysis Mandatory Minimum Capital Reserve as per risk profile for sharia bank which the calculation of risk profile for Mandatory Minimum Capital Reserve was 9 .36%. The capital adequacy ratio of BNI Syariah in 2017 in accordance with capital adequacy ratio (CAR) was 20.14%, the ratio was higher than the limit of Mandatory Minimum Capital Reserve. Bank Syariah capital structure has the capability to offset market risk, credit risk, and operational risk in which the ratio is higher than FSA minimum adequacy ratio and BNI Syariah capital structure has complied with the FSA Regulations. Details of Capital Structure Details of Capital Structure of BNI Syariah Capital Structure consists of tier 1 capital and tier 2 capital in which the total capital for three consecutive years has increased. In 2017 total capital amounted to Rp3,814.10 billion, an increase of Rp1,327.50 billion, or 53.39% from the previous year which was Rp2,486.60 billion. The core capital and complete capital also continued to increase from 2016 to 2017. In accordance with the Circular Letter of the FSA No. 12/SEOJK.03/2015 dated 27 April 2015 on Description Growth 2016 2017 1.501,50 2.501,50 1.000,00 66,60% 926,64 1.228,32 301,68 32,56% 1.002,12 1.353,89 351,78 35,10% 3,88 7,62 3,74 96,54% Nominal % Capital Components A. Core Capital 1. Paid-In Capital 2. General and appropriated reserve Increase factor of core capital 1.The potential gains from the increase in the fair value of available-for-sale financial assets 2. Balance of fixed asset revaluation surplus 43,84 43,84 - 0,00% 3. General and appropriated reserve 92,85 150,15 57,30 61,71% 4. Last year profit after tax 584,17 804,25 220,08 37,67% 5. Net profit for the year Deduction factor of main core capital 1.Potential losses from the decrease in fair value of available-for-sale financial assets 277,38 348,03 70,66 25,47% (75,48) (125,57) (50,10) 66,37% (15,04) (0,31) 14,72 -97,92% - (41,35) (41,35) -100,00% 45,85% 2.Loss for the current year that can be accounted for 3. Deferred tax calculation (51,86) (75,64) (23,78) 4. Other intangible assets (8,58) (8,28) (0,31) -3,58 2.428,14 3.729,82 1.301,68 53,61% Amount of Core Capital B. Complementary Capital 1. Gain of revaluation of fixed assets 154,46 180,28 25,82 16,72% 2. General reserves for allowance for possible losses on earning assets (96,00) (96,00) - 0,00% Amount of Complementary Capital Total Capital (Rp) 58,46 84,28 25,82 44,17% 2.486,60 3.814,10 1.327,50 53,39% 13.964,26 15.746,37 1.782,11 12,76% 2.701,74 3.193,52 491,78 18,20% 16.666,00 18.939,89 2.273,89 13,64% 14,92% 20,14% - 5,22% 9,39% 9,36% - -0,03% Risk-Weighted Assets (RWA) Credit Risk and Market Risk Operating Risk Total Weighted Assets Bank Mandatory Minimum Capital Reserve Ratio Mandatory Minimum Capital Reserve Required Hasanah Banking Partner 174 Annual Report 2017
175. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Management Policy On Capital Structure On 29 December 2017 in accordance with the Extraordinary General Meeting of Shareholders , PT Bank Negara Indonesia (Persero) Tbk increased its issued and fully paid capital by Rp1,000 Billion by issuing stocks of authorized capital of 1,000,000 shares with nominal value of Rp1,000,000 (full amount) per share. Sources of funds expected to meet these bonds BNI Syariah does not issue funds for capital expenditure as intended. MATERIAL COMMITMENT RELATED CAPITAL GOODS INVESTMENT Measures planned by the company to protect the risk of the related foreign currency position. As there is no binding and capital expenditure transactions in certain currencies, BNI Syariah does not need to make protection against the risks of protection of the currency. The denomination currency BNI Syariah does not issue funds in any currency for capital expenditure as intended. TO Investment in Capital Expenditure is the expenditure activity used to purchase fixed asset or add fixed asset value expected to provide benefit value in the future for the Bank. BNI Syariah does not have a material bond for capital goods investment in 2017. CAPITAL GOODS INVESTMENT BNI Syariah invests on capital goods in the form of fixed assets of land, buildings, motor vehicles, office equipment, and assets that are still in the form of building adjustments. This investment on capital goods is aimed at supporting smooth Bank operations. In 2017, Bank’s capital investment was Rp37.56 billion compared to the previous year’s position at Rp91.85 billion, primarily due to a decrease in investment in land and buildings. Name of party conducting binding As of 31 December 2017, BNI Syariah had no commitment with various parties related to the purchase of fixed assets for the purpose of business expansion. The purpose of the bond In the absence of capital investment commitments with other parties, the purpose of the bond is not planned in Company’s Business Plan. Hasanah Banking Partner 175 Annual Report 2017
176. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis Table of Value of Capital Goods Investment (In Million Rupiah) Type of Capital Goods 2016 2017 18.135,7 21.548,0 1.913,0 4.070,0 Land and building 71.803,0 11.942,9 Total 91.851,7 37.560,9 Equipments Vehicles COMPARISON OF TARGET AND REALIZATION AND PROJECTION Target Achievement in 2017 Strategic Policy Maintain optimum business growth and Indicator 16,0% 15,1% Not Reached 15,4% 21,2% Reached Profit After Tax Growth 17,3% 10,6% Not Reached Increased fund growth through the optimization of low-cost funds to achieve CASA ratio above the industry CASA Ratio (Lowcost Fund) 49,62% 51,60% Reached Maintain the capital & business growth ratio in 2017 with inorganic growth strategies through capital increase from Parent Company Capital Adequacy Ratio 18,93% 20,14% Reached Conduct selective financing expansion by maintaining financing quality Asset Quality/NPF 3,00% 2,89% Reached Control the expenses Operating Expenses to Operating Income Ratio 86,08% 87,62% Not Reached operating 15,2% Financing Growth DPK Growth Status (achieved/ not achieved) Reached in Asset Growth Realization 2017 23,0% increase sustainable Target 2017 selective financing expansion in order to maintain financing quality. Third Party Funds (DPK) grew by 21.2% (yoy) to Rp29.4 trillion, above the target set. This growth was mainly supported by the growth of low-cost funds (Current Account and Saving Account) with the increase of 31.5% so CASA reached 51.60%. Strategies undertaken include establishing cooperation with institutions such as Schools, Universities, Hospitals, Pondok Pesantren, as well as Government/ Private Institutions in order to meet customers’ needs for sharia-based products and services. In addition, BNI Syariah also received BNI synergy support through Sharia Channeling Outlet (SCO) where the community might access sharia services in about 1,500 BNI branch outlets. Amidst the challenges of stagnant economic growth and tighter competition in 2017, BNI Syariah was able to continue to grow and survive while simultaneously exploiting high public demand towards various sharia banking products especially the ones offered by Bank. The achievements of BNI Syariah performance until the end of 2017 are explained as follows: 1. BNI Syariah strove to maintain optimum and sustainable business growth through increased financing and fund growth, and through the optimization of lowcost funds to achieve CASA ratios above the industry. BNI Syariah managed to record an asset growth of 23.0% (yoy). Financing grew positively by 15.1% (yoy) to Rp23.6 trillion, but still below the target set. This was due to unstable economic conditions and more Hasanah Banking Partner 176 Annual Report 2017
177. Human Capital Good Corporate Governance Corporate Social Responsibility of the economy and internal capabilities owned and realization of performance of the previous period , in 2018 BNI Syariah sets projection as follows: 2. To maintain its capital & business growth ratio in 2017, BNI Syariah got capital injection from the parent company of Rp1 trillion; thus, BNI Syariah CAR as of December 2017 was 20.14%, above the target set. 3. Financing quality maintained with the NonPerforming Financing (NPF) ratio of BNI Syariah by the end of 2017 was 2.89%. 4. In terms of bank efficiency, BNI Syariah’s operating expense to operating income ratio (BOPO) was recorded at 87.62% of the target of 86.08%. The 2018 Projection By taking into account the condition Strategic Policy Attachment 2018 Projection In consideration of economic condition and BNI Syariah’s internal capabilities and performance of the previous period, in 2018 BNI Syariah determines the following projection: Indicator Description 2018 Projection Maintain optimum and sustainable business growth Asset Growth 10% - 12% Distribution of financing to debtors selectively by still holding the principle of prudence Financing Growth 14% - 16% Maintain financing quality NPF (%) 3,00% - 3,20% The growth of DPK through CASA improvement strategy DPK Growth 12% - 13% Growth of company’s net income EAT Growth 30% - 32% Increase fee-based income and maintain operational efficiency Rasio BOPO 85,00% - 86,00% 3. Executing (Investasi Terikat) with Mudharabah Muqayyadah Contract in the form of Current Account and Time Deposit Executing (Investasi Terikat) of Mudharabah Muqayyadah where investors may require project/ fund distribution with certain conditions. 4. Combination of ATM/Debit Card with ATM/Debit Card combined with TapCash card feature (electronic money) 5. BNI Pandai iB Hasanah Saving Account BNI Pandai iB Hasanah Saving Account is a Basic Saving Account that can be opened at the agents of Laku Pandai, as a means of financial education for Indonesian people to encourage the culture of saving. 6. Money Market Account (MMA) Third party funds deposit products in certain amount with a maximum period of 1 (one) year with profitsharing rate referring to sharia money market. Third party funds are disbursed to money market instruments, including SIMA, Reverse Repo, SBIS, SPNS, money market mutual funds and other money market instruments. The 2018 New Product and Activity Plan Over the past few years, the sharia banking industry showed positive growth in line with increasing literacy or public understanding of sharia transactions. Industry players, including BNI Syariah, responded by bringing a variety of sharia banking products and services to meet the needs of community transactions. To meet the needs of the community, especially customers and prospective customers, BNI Syariah plans to develop new products and activities in 2018 and also focuses on improving the features of existing products. The development of BNI Syariah products for 2018 is as follows: 1. Financing with Istishna’ Financing facility provided to members of the public to purchase goods through the ordering of goods with certain criteria and conditions agreed upon in accordance with sharia principles. 2. Financing with Akad Hawalah Financing facility provided to members of the public to transfer the debt/financing of the Customer from Conventional/Sharia Financial Institution. Hasanah Banking Partner 177 Annual Report 2017
178. Performance 2017 Management Report Company Profile Business Supporting Function cooperation with other Sharia Insurance (ex. BNI Life) alerady experienced to sell new competitive insurance products (worldwide coverage) to meet the needs of prime customers in High Affluent segment which is currently not available. 13. E-money Hasanah Payment Fund customer and non-customer services in order to transact in the merchant or outlet of BNI Syariah partner. BNI Syariah will get benefit both financial (Fee-Based) and non-financial. This e-money product issuance initiation is part of the effort to succeed the cashless society movement, by developing e-money based business model. 14. Laku Pandai Fund customer service by using the third party services, in this matter the Legal Entitities or nonBank outlets in cooperation with BNI Syariah. With Laku Pandai, Bank may expand the range of services at a very low cost compared to opening branches or ATM installations. System and technology development will be made by leveraging technology/ system owned by BNI Induk. For stage 1, the agents prioritize the existing customer. It is projected that the target Number of Account (NoA) and addition of Basic Saving Account (BSA) as well as number of Laku Pandai grow gradually. The increase is accompanied by the opening of 86 points of marketing areas spread across the districts/cities in Indonesia. 15. DPLK Marketing cooperation Selling Activity of Sharia Pension Fund Program in cooperation with DPLK BNI, where DPLK BNI as fund manager and BNI Syariah as sales channel. 7. Guarantee Financing to the Issuing Bank for the issuance of LC/SKBDN The need for FI Product development is based on the need for guarantee provided by the insurer (kafiil) or Bank to the third parties or the insured (makful lahu) (Nominated/Nego Bank) to meet the obligation of the second party (Issuing Bank) or the debtor (makfuul ‘anhu/ashil) upon the issuance of LC/SKBDN filed by the Applicant/Buyer. The realization of the underwriting arises if the Issuing Bank is unable to meet its obligations to the Nominated/Nego Bank. Guarantees made according to sharia principles. 8. Factoring Financing to Nominated/Nego Bank for Trade Finance transactions (LC/SKBDN) There is a need for the transfer of receivables or short-term receivables from Beneficiary (Seller) (the indebted) through Nominated/Nego Bank to another party (Bank) which then collects the receivables to the Issuing Bank or other party appointed by parties who are indebted based on sharia principles. BNI Syariah as a representative can provide Qardh to Beneficiary (Seller) through Nominated Bank (Counterpart). The provision of qardh is made according to sharia principles. 9. Executing (Investasi Terikat) with Wakalah Contract Executing (Investasi Terikat) of Wakalah where investors may require project/fund disbursement under certain conditions. 10. Customer Fund Account Service Customer Fund Account Service is an account intended for both individual and corporate customers for settlement of transactions in the Capital Market. Account opening is conducted through Securities Company cooperated with the Bank for Fund Account Opening. 11. Bancassurance Cooperation Service - Telemarketing Model Telemarketing Service is a Service of sale cooperation of Insurance product by insurance company in cooperation with Bank through Telemarketing distribution channel. This distribution will ease Bank’s customers to have insurance and utilize financial services without having to visit the Bank. 12. Bancassurance Cooperation Service - In Branch Model Bancassurance Service with In Branch Model is an individual Insurance Product Marketing with the Face to Face model (reference model). Opening new Hasanah Banking Partner Management Discussion and Analysis INFORMATION AND MATERIAL FACTS OCCURRING AFTER THE ACCOUNTANT’S REPORTING DATE No significant events or incidents that had significant influence or require disclosure that occurs after 31 December 2017 until the Audited Financial Statement was issued on 21 February 2018 and until this Annual Report was issued. 178 Annual Report 2017
179. Human Capital Good Corporate Governance Corporate Social Responsibility BUSINESS PROSPECTS halal travel , hajj, umrah, etc. Currently, halal criteria are not just fiqh considerations, but have become lifestyle for the middle-class Muslims in Indonesia. Therefore, the role and contribution of sharia banking is absolutely necessary to support the growth of halal industry and to realize the economic sovereignty of the ummah. Macroeconomic Progress and Growth Focus of BNI Syariah Based on internal analysis and current economic conditions that are still affected by global conditions and political issues in 2019, namely the Presidential Election (Pilpres) simultaneously held in Indonesia, the 2018 economic condition is projected to be approximately equal to the 2017 (election era). The government gives positive signal that economic growth in 2018 may improve through improvements in infrastructure makes the projected GDP growth of the following year at 5.15.5 percent. Technically, BNI Syariah will increase the intensity of cooperation with Islamic institutions such as mass organizations, employers, hospitals, schools, colleges, and other stakeholders. It takes synergy between regulators, banking actors, and halal industry executors to create strong halal ecosystem to make Indonesia a major player of halal products and services market worldwide. It is expected that the market share of sharia banking can increase by creating a stable and sustainable sharia economic and financial ecosystem. The Government and Bank Indonesia continue to coordinate to control inflation at a lower and more stable level by 2018, to create a conducive environment for sustainable economic growth. With various efforts undertaken, by 2018 the inflation is expected to be within the range of 3.5% -4.0%. In addition, BNI Syariah will also expand its service coverage to all regions in Indonesia through penetration of outlets with Hasanah agents (Laku Pandai) and Sharia services at BNI outlets (SCO). Improved capabilities and innovation to develop digital-based products and services continue to be done to meet customers’ demand on speed, convenience, and security. The development of rupiah exchange rate in 2017 indicated continued pressure from global sentiment, mainly due to the strengthening of the US dollar against almost all currencies. The rupiah/USD exchange rate in 2018 is estimated to be in the range of Rp13,250 Rp13,750. Stagnant economic conditions, making BNI Syariah always careful in channeling financing to maintain quality. In order to maintain the quality of financing, BNI Syariah will be selective in expanding its financing by targeting low-risk business segment. The 2018 financing growth is targeted at15% with the largest contributing segment is productive financing, namely Commercial and SME segments. In addition, the Consumer segment is also expected to grow in quality, which is dominated by the growth of House financing (mortgage). To support sustainable business growth, then in 2018, BNI Syariah strategic policy will be focused on business growth in the right segment. There are 4 (four) main points which become the basis of management strategic policies which include halal ecosystem (making Islamic institution like Islamic education, Islamic hospital, halal food and halal tourism as potential market of syariah banking), inclusivity (expansion of sharia product coverage through Laku Pandai and Sharia Channeling Outlet), new generation (meeting the needs of customers’ demand on speed, convenience, and security through digital banking), and risk-return appetite (selection of low-risk Financing segment). Description of Company’s Strategic Steps Supporting the long-term development of BNl Syariah business optimally, the strategic steps that will be taken to support the achievement of vision and mission of the company and the targets of 2018 are namely: 1. Expanding quality financing in the low risk segment with reasonable rate of return on appropriate segments and economic sectors. 2. Improving the monitoring of financing and optimization of collection and recovery. The awareness of Muslims in Indonesia to have halal lifestyle is an opportunity to encourage the growth of halal industry and maximize its business chain in it, such as halal food, halal tourism, halal education, halal fashion, Hasanah Banking Partner Attachment 179 Annual Report 2017
180. Performance 2017 Management Report Company Profile Business Supporting Function b . Fund Allocation In order to support Indonesia’s development, it is necessary for the role of sharia banking to participate. One of banking’s roles is channeling funds in infrastructure sector which hopefully will give benefit for public. In this matter, BNI Syariah in 2018 will make the infrastructure sector and stateowned companies as one of the main focuses of fund distribution believed to have good financing quality. This is in line with one of the 4 main points of the 2018 segment target in terms of risk return appetite. In addition, BNI Syariah also continues to synergize with the Parent Company in reaching potential customers together. 3. Leveraging synergy with the parent company through various business partnerships and IT infrastructure support and channel management including Sharia Channeling Outlet (SCO) program, IT sharing, and value chain financing to support business growth expansion. 4. Development of Digital Banking to serve customers by prioritizing ease of access and banking services speedy, easy, and safely. 5. Opening access to sharia banking services as widely as possible for the community through financial inclusion in the form of laku pandai development that began in 2018. 6. Strengthening Human Resources in order to support capabilities development through training, certification, development of e-learning, and e-recruitment model and talent management development. 7. Developing halal industry ecosystem and maximizing its business chain that includes halal food, halal tourism, halal education, Hajj and Umrah, Capital Market, ZISWAF, etc. 8. Opening the opportunity to conduct Corporate Action in accordance with shareholder’s decision in order to increase the contribution & market share of Sharia Banking namely through the establishment of Sharia Banking, Merger & Acquisition, Strategic Investor, or Initial Public Offering (IPO). B. Functional Strategy In line with the strategic policy in 2018 to expand the coverage of sharia banking services to all regions of Indonesia, laku pandai products are prioritized to be implemented. With Laku Pandai agents that are fully supported by the parent synergy, new target segments of sharia banking that can not be reached at this time will be created. In addition, BNI Syariah is also trying to meet the needs of millennial generation that require sharia banking’s services and products to make the transactions convenience, quick, and secured. Some of the products implemented include Wakaf Hasanah application that allows customers to transfer waqf using gadgets without having to go to the institutions, and Hasanah Personal application that provides information and conduct sharia-based transactions quickly and online. Below are other strategies that support business growth in 2018: 1. Micro business transformation to improve productivity. 2. Data Center Implementation as IT capacity supporter. 3. Preparing transactional infrastructure starts from Mobile Banking and SMS Banking. 4. Managing competence-based human capital. 5. Using perso machine in accelerating the fulfillment of customer card needs. 6. Optimizing Technical Assistance Cooperation between BNI and BNI Syariah covering Business Cooperation Synergy and Shared Services Synergy in the form of operational activity support and infrastructure usage (IT, Network, etc). Corporate Business Development Strategy In order to support the 2018 management policy, the 3 (three) business strategies and steps that will be implemented to achieve business objectives, are namely: A. Business Strategies a. Fund Raising With the wide potential and high demand for sharia services, both in funding and fund channeling, in 2018 BNI Syariah will continue to develop halal ecosystem industry that includes various Islamic educational institutions, Islamic hospitals, halal food and halal tourism, Inslamic universities and educational institutions, Islamic hospitals and pesantren/madrasah will be the minimum target of expansion in 2018. This is in line with one of the 4 main strategies in 2018 that is to build halal ecosystem. Hasanah Banking Partner Management Discussion and Analysis 180 Annual Report 2017
181. Human Capital Good Corporate Governance Corporate Social Responsibility 1 . Marketing Communication activities in Awareness improvement In order to improve community’s awareness, BNI Syariah participates again in educational exhibition activities, literacy events, and inclusion of nationalscale FSA including Keuangan Syariah Fair (KSF), expo iB Vaganza, and other FSA financial inclusion activities. KSF events in 2017 was held in Semarang, Cirebon and Bogor, while iB Vaganza expo was successfully held in Mataram, Banjarmasin, Medan, Kediri, and Depok as the closing city. Not only national activities, some representatives of regulatory regional offices (FSA and BI) also held similar activities such as KSF Palu 2017, Sulteng Expo, a series of Festival Syariah (FESyar) activities in Jakarta, Bandung, Makassar, and the peak event held in Surabaya, i.e. Indonesia Sharia Economic Festival (ISEF). C. Synergy Optimization The synergy between BNI Syariah and BNI has been started since the establishment of Sharia Business Unit (SBU) and continued with Service Level Agreement (SLA) after the spin off of BNI Syariah into Sharia Commercial Bank in 2010. The synergy includes business synergy and shared service from BNI to BNI Syariah and other subsidiary companies. It is expected that through the optimization of shared services, BNI Syariah customers can use digital technology facilities possessed by BNI such as ATM (Automated Teller Machine), EDC (Electronic Data Capture), and ease of financial transactions through BNI banking including SMS banking, mobile banking and internet banking, thus BNI Syariah will be able to provide similar services to the parent bank. MARKETING ASPECT Digital Media also plays an active role in increasing awareness in the community through BNI Syariah’s Website, Facebook, Twitter, and Instagram that regularly inform about products, programs, activities and information useful for building BNI Syariah positive image in the digital world. Marketing Communications Marketing has a very important role in bringing BNI Syariah to customers. Marketing communications run by BNI Syariah are to translate and convey business objectives to BNI Syariah target market as well as to support the achievement of BNI Syariah business target. Through an effective marketing communication program, customers will be more familiar with BNI Syariah and at the same time able to position the image of BNI Syariah in the customers in particular and sharia banking industry in general. 2. Marketing Communication Activity in strengthening the Position Halal tourism is considered to have promising business prospects, BNI Syariah seizes the opportunity by intensively conducting promotion/activities in Halal sector as a form of support by BNI Syariah in developing halal industry. During 2017, BNI Syariah participated through the activities of Simposium Persiapan Sertifikasi RS Syariah held by MUKITI. To support the achievement of BNI Syariah business target for third party funds of Rp29,379 billion, BNI Syariah runs a number of marketing communication strategies aimed at increasing community’s brand awareness towards BNI Syariah and its products, strengthening the positioning of BNI Syariah in national sharia banking industry, creating customer experience, and sharpening the brand image of the products and services provided in order to increase the level of public confidence in BNI Syariah. In 2016, marketing communication strategies related to the funding run by BNI Syariah are as follows: Hasanah Banking Partner Attachment BNI Syariah was also involved in organizing Halal campaign activities by MUI including participating in MUI Congress on halal products, MUI workshop, Halal Expo Indonesia by BPPOM MUI and participating in Halal Fair activities initiated by MUI of DKI Jakarta. In addition, to support halal tourism activities, BNI Syariah conducted gatherings of businessmen engaged in halal tourism in Padang and became part of the Festival Wisata Halal Banten 2017, Indonesia Halal Lifestyle Expo 2017, Himpuh International 181 Annual Report 2017
182. Performance 2017 Management Report Company Profile Business Supporting Function Travelmart , and became the main sponsor in the implementation of Islamic Tourism Expo 2017 followed by companies engaged in halal tourism both within and outside the country. This was utilized by BNI Syariah to form a positioning as a bank that fully supports the development activities of national and international Halal industry. Management Discussion and Analysis In addition, BNI Syariah during 2017 was actively involved in activities related to hajj and umroh such as Islamic Tourism Expo 2017, Himpuh International Travelmart, Amphuri Travel Expo. 3. Marketing Communication activities in creating Customer Experience BNI Syariah in creating customer experience through open table activities regularly held every month such as RaBu (Rajin Menabung) activity in schools/ institutions cooperated with BNI Syariah. BNI Syariah held some exhibition activities such as through events with BNI as the parent company through several exhibition activities such as Inacraft, Pekan Anak Promosi Perusahaan Anak 2017, REI Expo, GATF 2017, Java Jazz Festival. The exhibition was the biggest event to sharpen the acquisition of BNI Syariah products and services as all products of BNI Syariah such as funds, financing, and services could be marketed through these activities. Through some expo activities by opening booth, BNI Syariah was present in the midst of society to build customer experience as in routine activities of Keuangan Syariah Fair and iB Vaganza which generally held in mall or famous shopping center in each host city. Marketing Communication Program BNI Syariah has marketing communication program in Retail segment marketing for fund and financing products. In terms of marketing fund products, BNI Syariah is actively coordinating with the business division to create marketing program of fund products. On the other hand, BNI Syariah cooperated with various institutions such as sharia hotels and philanthropic institutions in realizing Halal lifestyle. With Halal lifestyle, customers are expected to get hands-on experience to conduct transactions in a hasanah and halal manner. During 2017, BNI Syariah implemented several programs such as Pilih Hasanahmu Program to maintain client fund placement with certain nominal, speed up the target of opening account through Move to Hasanah program by giving fee to institution/company/school that conduct opening account collectively, cooperate with Aksi Cepat Tanggap (ACT) in the Tabungan Qurban Progresif program, marketing program of subsidiary products through the the provision of exclusive account ‘Muamalah Anak’ for opening a child account. Social media is also a means of creating costumer experience through BNI Syariah commitment to quickly respond in terms of answering questions on issues or other matters related to community experience with BNI Syariah. 4. Marketing Communication activities in sharpening Brand Image of BNI Syariah’s products and services to sharpen brand image of products and services of hajj and umrah through sustainable socialization related to Hajj and Umrah products in every event/ activity of BNI Syariah. In addition, BNI Syariah also organized thematic Umrah such as Umroh Insan Hasanah. Hasanah Banking Partner 182 Meanwhile, Marketing Communications Program in Retail segment Marketing for Financing Products in 2017 partnered with developers to increase housing distribution, attractive offers for financing related to halal tour packages to several domestic and foreign halal destinations. Annual Report 2017
183. Human Capital Good Corporate Governance Corporate Social Responsibility BNI Syariah marketing communication strategies in 2018 , especially for marketing funds are namely continuing and developing the existing marketing communication activities such as the development of thematic Umrah program. Initiate a signature event of Griya iB Hasanah product as one of BNI Syariah’s typical marketing activities in order to accelerate company’s business target. Marketing Communication Awards BNI Syariah obtained these awards in 2017 as follows: In 2017 BNI Syariah won several awards related to Marketing Communication namely the 6th Infobank Digital Awards 2017 for First Rank for KPR Sharia category, Second Rank for Sharia Time Deposit category, and Third Rank for Islamic Debit Card category. In addition, BNI Syariah also won the Best KPR award for 5 consecutive years from Infobank magazine in the 6th Infobank Digital Awards 2017. Is more active in supporting waqf activities by doing waqf development either fund raising through waqf application and waqf empowerment through productive waqf program. From Karim consulting Indonesia, BNI Syariah managed to reach 1st Rank of The Most Expansive Funding Bank and 1st Rank of The Most Expansive Financing Bank in The 13th Islamic Finance Award 2017 Optimization of BNI Syariah official social media in accordance with the development of the digital world as a means to introduce Hasanah Banking Partner positioning and improve the engagement to be more effective and targeted. BNI Syariah also achieved the First Rank in Indonesian Digital innovation Award category for the Best Innovation Digital Bank Syariah (Wakaf Hasanah and Hasanah Mobile Apps) Marketing Communication strategy in facing sustainable growth BNI Syariah actively participates in activities/marketing communication forum both nationally and internationally to maintain the existence, reference, and quality improvement of marketing communication strategies in order to accelerate business achievement. The First Rank of Best Innovation KPR Syariah Ranked 1 also achieved by BNI Syariah in the Indonesian Housing Award 2017 Marketing Communication Plan and Strategy in 2018 This section covers workplans and programs for 2018 in support of achieving business targets for Marketing Communication. Hasanah Banking Partner Attachment 183 Annual Report 2017
184. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis BNI SYARIAH MARKET SHARE Bank BNI Syariah is the third largest sharia bank by assets in Indonesia with total assets as of December 2017 was around Rp34 .82 trillion. The total asset was about 8.21% of the total assets of sharia banking. BNI Syariah was able to record an asset growth of 23.0% in 2017 or higher than the growth of sharia banking assets of 19.0%. Pangsa Pasar Berdasarkan Aset BNI Syariah 10% Sharia banking 7,77% Market Share (LHS) 7,94% 8,21% (Rp Billion) 500.000 8% 400.000 6% 300.000 4% 200.000 2% 100.000 0% 2015 2016 2017 - Source FSA amidst the stagnant condition of economic growth in Indonesia. The market share of BNI Syariah financing was maintained at 8.23% of total sharia banking financing In terms of financing, BNI Syariah was able to record the financing of Rp23.60 trillion or grow by 15.1% in 2017. The growth of Company’s financing was slightly below the growth in Islamic banking financing which was 15.2% Hasanah Banking Partner 184 Annual Report 2017
185. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Market Share Based on Financing BNI Syariah Sharia banking 8 ,30% (Rp Billion) Market Share (LHS) 8,23% 8,23% 300.000 10% 250.000 8% 200.000 6% 150.000 4% 100.000 2% 50.000 0% 2016 2015 - 2017 Source FSA by this significant growth in DPK funds, BNI Syariah’s DPK market share improved to 8.78% within the year or better than the previous year’s market share which was 8.67%. The increase in financing activities of BNI Syariah was supported by the improvement of third party fund (DPK) accumulation. BNI Syariah recorded 21.24% growth of DPK to Rp29.38 trillion or exceed the increase of Islamic banking deposits growth of 19.83%. Boosted Market Share Based on Third Party Fund BNI Syariah 10% Sharia banking 8,36% Market Share (LHS) 8,68% 8,78% (Rp Billion) 400.000 350.000 8% 300.000 250.000 6% 200.000 150.000 4% 100.000 50.000 2% 0% 2015 2016 2017 - Source FSA Hasanah Banking Partner 185 Annual Report 2017
186. Performance 2017 Management Report Company Profile Business Supporting Function DIVIDEND POLICY Period There is no information on the period of ESOP /MSOP and the realization as the Bank does not hold employee and/or management share ownership program. In 2010, BNI Syariah distributed dividends to the shareholders proportionally amounting to Rp30,481,970,000 in accordance with the resolution of the General Meeting of Shareholders. BNI Syariah did not distribute dividends to the shareholders since 2012 to 2016 in accordance with the Resolutions of the General Meeting of Shareholders and in order to improve bank’s capital structure. SHARE OWNERSHIP PROGRAM MANAGEMENT AND/OR EMPLOYEES Management Discussion and Analysis Requirements of qualified employee and/or management There is no information on the requirements of qualified employee and/or management related to ESOP/MSOP and the realization as Bank does not hold employee and/ or management share ownership program. BY Exercise price There is no information on exercise price related to ESOP/MSOP and the realization as Bank does not hold employee and/or management share ownership program. The company is a State-Owned Enterprise with 99.94% of shares is owned by PT Bank BNI (Persero) and 0.06% is owned by BNI Life Insurance, and BNI Syariah does not conduct employee and/or management share ownership program (ESOP/MSOP). REALIZATION OF USE OF PROCEEDS OF PUBLIC OFFERING Total shares of ESOP/MSOP and its realization There is no information on the number of shares of ESOP/ MSOP and the realization as the Bank does not hold employee and/or management share ownership program. BNI Syariah had used all proceeds from the issuance of Sukuk Mudharabah BNI Syariah I in 2015 as follows: (In million Rupiah) Type of Public Offering S u k u k Mudharabah BNI Syariah I Tahun 2015 Effective Date 15 May 2015 Actual Value of Public Offering Plan to Use Based on Prospectus Proceeds of Public Offering Cost of Proceeds of Public Offering Net Proceeds Financing 500.000 2.780 497.220 497.220 MATERIAL INFORMATION CONTAINING CONFLICT OF INTEREST Realization 497.220 497.220 497.220 - TRANSACTION WITH RELATED PARTY BNI Syariah conducts transactions with the related parties due to ownership and/or stewardship relationship in conducting its business activities. Related parties consist of State-Owned Enterprises (SOE) and its Subsidiaries, Board of Commissioners, Directors, and key employees based on Statement of Financial Accounting Standards (PSAK) No. 7 (Revised 2010) on “Disclosures of Related Parties”. BNI Syariah entered into transactions with the related parties throughout 2017 as follows: During 2017, there was no material information containing conflict of interest in material transactions with the affiliated parties. Hasanah Banking Partner Total Realization to Use the Remaining Proceeds Based on Proceeds Prospectus of Public Offering Financing Total 186 Annual Report 2017
187. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Type of Relationship Transactions with related parties by type of relationship are described in the table as follows : Related parties Type of Relationship Key Management Employees consisting of Directors, Executive Officers, and Commissioners The Government of the Republic of Indonesia Ultimate Controlling Shareholder Ministry of Religion Ultimate Controlling Shareholder PT Bank Negara Indonesia (Persero) Tbk Immediate Parent Yayasan Kesejahteraan Pegawai (YKP BNI) Subsidiary under the Same Parent Company BNI Aset Management Subsidiary under the Same Parent Company BNI Life Insurance Subsidiary under the Same Parent Company BPJS Ketenagakerjaan Under The Same Ultimate Controlling Shareholder PT DPLK BNI Subsidiary under the Same Parent Company PT Angkasa Pura Under The Same Ultimate Controlling Shareholder PT Asuransi Kredit Indonesia Under The Same Ultimate Controlling Shareholder PT Asuransi Tripakarta Under The Same Ultimate Controlling Shareholder PT Bank BRI Syariah Under The Same Ultimate Controlling Shareholder PT Bank Syariah Mandiri Under The Same Ultimate Controlling Shareholder PT Brantas Abipraya Under The Same Ultimate Controlling Shareholder PT Dana Reksa Under The Same Ultimate Controlling Shareholder PT Garuda Indonesia Tbk Under The Same Ultimate Controlling Shareholder PT Istaka Karya Under The Same Ultimate Controlling Shareholder PT Jakarta Industrial Estate Pulogadung Under The Same Ultimate Controlling Shareholder PT Jaminan Kredit Indonesia Under The Same Ultimate Controlling Shareholder PT Jasa Raharja Under The Same Ultimate Controlling Shareholder PT Jasa Marga Under The Same Ultimate Controlling Shareholder PT Jasindo Under The Same Ultimate Controlling Shareholder PT Waskita Karya Under The Same Ultimate Controlling Shareholder PT Pegadaian Under The Same Ultimate Controlling Shareholder PT Perusahaan Listrik Negara (Persero) Under The Same Ultimate Controlling Shareholder PT Pertamina (Persero) Under The Same Ultimate Controlling Shareholder PT Swadharma Sarana Informatika Under The Same Ultimate Controlling Shareholder Perusahaan Umum Percetakan Negara Republik Indonesia Under The Same Ultimate Controlling Shareholder Perusahaan Umum Pembangunan Perumahan Nasional Under The Same Ultimate Controlling Shareholder Perusahaan Umum Produksi Film Negara Under The Same Ultimate Controlling Shareholder PT Timah Under The Same Ultimate Controlling Shareholder Hasanah Banking Partner 187 Annual Report 2017
188. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis Transactions All transactions with related parties denominated in Rupiah are described in the following table . Related Transactions 2016 2017 Assets Current accounts with other banks PT Bank Negara Indonesia (Persero) Tbk 174,82 307,92 Total 174,82 307,92 The Government of the Republic of Indonesia 3.489,42 4.644,15 PT Bank Syariah Mandiri 50,00 50,00 PT Bank BRI Syariah 46,00 46,00 PT Angkasa Pura 34,79 36,02 PT Timah - 28,00 Negara (Persero) 14,00 - Total 3.634,22 4.804,17 Key management 30,23 29,58 Perusahaan Umum Percetakan Negara Republik Indonesia 9,28 4,82 Swadharma Sarana Informatika - 22,01 Total 39,52 56,41 PT Waskita Karya 277,06 373,78 Key management 11,39 9,28 PT Swadharma Sarana Informatika - 20,00 PT Jasa Marga - 73,49 Total 288,45 476,56 Perusahaan Umum Percetakan Negara Republik Indonesia 2,72 5,48 PT Swadharma Sarana Informatika - 17,00 PT Perusahaan Listrik Negara (Persero) - 500,00 PT Pemalang Batang Toll Road - 17,43 PT Brantas Adipraya - 200,00 PT Pegadaian - 200,00 Total 2,72 939,90 Investments in Marketable Securities PT Perusahaan Listrik Murabahah Receivables Qardh loans Musyarakah financing Hasanah Banking Partner 188 Annual Report 2017
189. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment 2016 2017 Acceptance receivable Perusahaan Umum Percetakan Negara Republik Indonesia 4 ,86 15,91 Total 4,86 15,91 Key management 0,18 0,22 Total 0,18 0,22 PT Bank Negara Indonesia (Persero) Tbk 45,79 67,63 Total 45,79 67,63 Total assets from related parties 4.190,53 6.668,72 Entities are controlled through the Government of the Republic of Indonesia 45,03 45,73 Total 45,03 45,73 Key management 1,39 1,81 The Government of the Republic of Indonesia - - Total 1,39 1,81 The Government of the Republic of Indonesia 4,86 15,91 Total 4,86 15,91 PT Bank Negara Indonesia (Persero) Tbk 41,32 56,43 Total 41,32 56,43 Total liabilities from related parties 92,59 119,88 PT Bank Syariah Mandiri 100,00 100,00 PT Bank BRI Syariah - 68,50 PT DPLK BNI 45,00 45,00 PT Danareksa 25,00 5,00 PT Penjaminan Infrastruktur Indonesia 20,00 20,00 PT Reksa Dana Dana Reksa Melati Pendapatan Utama - 20,00 PT Asuransi Jasa Indonesia 10,00 - Assets acquired for Ijarah – net Other assets Liabilities Wadiah current accounts Wadiah saving account Acceptance payable Other liabilities Temporary Syirkah Fund Sukuk mudharabah issued Hasanah Banking Partner 189 Annual Report 2017
190. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis 2016 2017 Yayasan Kesejahteraan Pegawai BNI (YKP BNI) 8,00 8,00 PT BNI Life Insurance 4,00 4,00 BNI Aset Management 1,00 0,50 PT Asuransi Tripakarta 1,00 1,00 Total 214,00 272,00 Entities are controlled through the Government of the Republic of Indonesia 150,44 332,00 Total 150,44 332,00 Key management 13,83 9,50 Entities are controlled through the Government of the Republic of Indonesia 0,02 0,02 Total 13,85 9,52 Entities are controlled through the Government of the Republic of Indonesia 7.581.26 7.883,37 Key management 10,10 18,90 Total 7.591,36 7.902,27 Total temporary syirkah fund from related parties 7.969,65 8.515,79 The Government of the Republic of Indonesia 207,83 265,44 PT Bank Syariah Mandiri 3,43 4,00 PT Bank BRI Syariah - 4,30 PT PLN (Persero) 1,66 0,77 PT Angkasa Pura 0,06 2,94 PT Timah - 0,62 Total 212,98 278,07 PT Bank Negara Indonesia (Persero) Tbk 23,21 24,61 Total 23,21 24,61 Salary 1,16 2,69 Allowances 0,43 1,46 Total 1,59 4,15 Mudharabah Current Accounts Mudharabah Saving Accounts Mudharabah Time Deposits Other main operating income Operating Expense Others Salary and allowance expenses Board of Commissioners Directors Hasanah Banking Partner 190 Annual Report 2017
191. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment 2016 2017 Salary 3 ,06 4,53 Allowances 2,74 2,41 Total 5,80 6,94 Salary 1,19 1,35 Allowances 0,22 0,20 Pension allowance - 0,06 Total 1,41 1,62 Salary 0,51 0,55 Allowances 0,13 0,34 Total 0,64 0,89 Salary 25,00 20,42 Allowances 10,94 15,83 Pension allowance 4,33 5,68 Lainnya 2,58 - Total 42,85 41,94 Perum Percetakan Negara 2,04 7,63 Total 2,04 7,63 Audit Committee Sharia Supervisory Board Executive Officer Liabilities on commitment Standby letters of credit In addition, the details of transaction balances with related parties as of 31 December 2016 and 2017 are as follows: Connected Transaction Balance   2016 2017 Assets     Current accounts with other banks 174,82 307,92 Investments in Marketable Securities 3.634,22 4.804,17 Murabahah Receivables 39,52 56,41  Qardh loans 288,45 476,56  Musyarakah financing 2,72  939,90 Acceptance receivable 4,86  15,91 Assets acquired for Ijarah – net 0,18  0,22 Hasanah Banking Partner 191 Annual Report 2017
192. Performance 2017 Management Report Company Profile Business Supporting Function   Management Discussion and Analysis 2016 2017 Other assets 45,79 67,63 Liabilities     Wadiah current accounts 45,03 45,73  Wadiah saving account 1,39  1,81 Acceptance payable 4,86 15,91 Other liabilities 41,32 56,43 Temporary Syirkah Fund     Sukuk mudharabah Issued 214,00 272,00 Mudharabah Current Accounts 150,44  332,00 Mudharabah Saving Accounts 13,85  9,52 Mudharabah Time Deposits 7.591,36 7.902,27  Other main operating income 212,98 278,07 Others 23,21 24,61 Salary and allowance expenses 52,29 55,53 Liabilities on commitment     Standby letters of credit 2,04  7,63 Operating Expense CHANGES IN ACCOUNTING POLICIES Changes in the Accounting Policies adopted in 2017 and the explanation of their impact on the Company are as follows: Accounting Standard Reason for Changes Impact on Financial Statement Amendment of PSAK No.102 (2016), Murabahah Accounting on adjustment of fair value definition in accordance with PSAK 68: Fair Value Measurements. Amendment to PSAK No. 107 (2016), Ijarah’s Accounting for adjusting the definition of fair value in accordance with PSAK 68: Fair Value Measurements Amendment to PSAK No. 101 (2016), Presentation of Sharia Financial Statement on presentation of sharia insurance financial report Amendment to PSAK No. 103 (2016), Salam Accounting on adjustments to the definition of fair value in accordance with PSAK 68: Fair Value Measurements. Amendment to PSAK No. 104 (2016), Istishna’s Accounting of Adjustment to the definition of Fair Value in accordance with PSAK 68: Fair Revisions, amendments, and The implementation of such standards did not Value Measurements. Amendment to PSAK No. 108 (2016), Accounting adjustments to the standards and have any significant impact on the numbers for Sharia Insurance Transactions on adjustments interpretations of new standards reported in the current year or the previous year. to the definition of fair value in accordance with published by DSAKIAI PSAK 68: Fair Value Measurements. Amendment to PSAK No. 3, Presentation of Financial Statements on Interim Financial Reports. Hasanah Banking Partner 192 Annual Report 2017
193. Human Capital Good Corporate Governance Corporate Social Responsibility CONTRIBUTION TO THE COUNTRY Attachment on corporate income tax , employee income tax, VAT, and Property Tax (PBB) in a timely manner. BNI Syariah also submits documents on tax obligations such as annual and monthly tax returns and obligatory documents to regulatory agencies in a timely manner. The amount of the total corporate income tax contribution in 2017 amounted to Rp115,657 million compared to Rp104,258 million in the previous year. The contribution of BNI Syariah to the state is realized through the fulfillment of corporate obligations as taxpayer and as tax withholder/collector. As a taxpayer, Bank’s largest contribution is to meet the obligation of corporate income tax. While as a tax withholder, BNI Syariah plays an active role in deducting every taxable object. BNI Syariah is make payment of tax obligations Total Paid No Type of Tax 2016 Amount (in million) 2017 Amount (in million) 1 Article 21 Income Tax 10.337 19.057 2 Article 22 Income Tax 384 327 3 Article 23 Income Tax 983 1.016 4 Article 4 paragraph (2) Income Tax 3.259 4.723 5 Article 25 Income Tax 104.258 115.657 6 Article 29 Income Tax 6.726 - 7 VAT 1111 25 23 125.975 140.806 Total MATERIAL INFORMATION RELATED TO INVESTMENT, EXPANSION, DIVESTMENT, ACQUISITION, OR AND CAPITAL RESTRUCTURING Debt and Capital Restructuring In 2017, BNI Syariah did/did not conduct debt and capital restructuring activities. PROPERTY FOR INVESTMENT Investment In 2017, BNI Syariah did/did not conduct investment activities. By the end of 2017, BNI Syariah had no property asset used for investment purposes. Matters with Potential Significant Impact to Business Continuity Expansion In 2017, BNI Syariah did/did not conduct expansion activities. BNI Syariah did not face any significant impact on business continuity amid Indonesia’s economic improvement although still in a limited scale with economic growth of 5.07% in 2017. This was evidenced by the Company’s assets growth by 23.0% to Rp34, 82 trillion in 2017 or far above the average growth of national banking assets of 9.8% and sharia banking at 18.9% with achievements. This asset growth was reinforced by the growth of financing of 15.14% Rp23.60 trillion or far above the industry’s credit growth of 8.35%. Divestment In 2017, BNI Syariah did/did not conduct divestment activities. Acquisition In 2017, BNI Syariah did/did not conduct acquisition activities. Hasanah Banking Partner 193 Annual Report 2017
194. Performance 2017 Management Report Company Profile Business Supporting Function on Sharia Channeling Outlet (SCO) in the parent outlet. Synergy is one of the keys to improve the competitiveness of BNI Syariah. 3. Strong IT infrastructure support from parent company Infrastructure support in the form of IT Sharing Platform from parent company gives strength to BNI Syariah in conducting operational and optimal banking services for customers. As a commitment to the development of BNI Syariah post spinoff, BNI provides business, operational, and infrastructure supports needed by BNI Syariah through Technical Assistance Cooperation. The Technical Assistance Area includes synergy of Business and Shared Services Synergy cooperation in the form of support for operational activities and the use of infrastructure (IT, Network, etc.). 4. BNI Syariah’s strong business experience & brand awareness In 2014, BNI Syariah campaigned “Hasanah Titik” as the theme of corporate campaign of BNI Syariah. With this theme of campaign the word “Hasanah” is defined as icon and legacy from BNI Syariah. Hasanah becomes the value that must be attached to every activity and product/service available in BNI Syariah. Thus, the resulting business will run on sharia basis and bring blessing. Hasanah also becomes brand for BNI Syariah, which provides differentiation amidst rampant competition in Islamic finance industry. Brand Hasanah allows BNI Syariah to create blue ocean with different parameters. In practical level, BNI Syariah shifts the competition area from price & product to value & benefit. Hasanah with various meanings contained therein has the advantage as brand equity for BNI Syariah. By using Hasanah brand, BNI Syariah can go out from the industry crowd that has been using the term “Sharia” in various communications. 5. Have clear Strategic Positioning BNI Syariah brand is further strengthened by the enactment of “Hasanah Banking Partner” as the strategic positioning of BNI Syariah. By positioning itself as Hasanah Banking Partner, BNI Syariah is committed to be able to serve the community at all lifestage, lifetime, and all business segments (lifestyle). Management Assessment on Matters with Significant Impact To Business Continuity BNI Syariah Management has reviewed the ability of BNI Syariah to continue its business sustainability and believes that the Company has the resources to continue its business in the future supported by Bank business planning as stated in Bank strategy. The management of BNI Syariah is not aware of any material uncertainty which may cause significant doubt on Company’s ability to continue its business. Company’s position as one of the leading Sharia Banks in Indonesia supported by PT Bank Negara Indonesia Tbk (Persero) as the Parent Company which is one of the leading State-Owned Enterprises (SOEs) in banking sector becomes strength for the Company as well as provides opportunities for sharia service growth. The management believes synergy with Parent Company and other SOEs will provide assurance to the continuity of BNI Syariah business in the future in addition to Company’s track record in creating innovative products and sharia banking services that can be received by various profiles of customers with satisfactory service. The current competitive advantages of BNI Syariah are as follows: 1. By good performance and strong capital, BNI Syariah has good performance advantage, which can be seen from the business growth above the industry and the profitability ratios (ROA, ROE) and quality (NPF) which are quite high in the industry. BNI Syariah also has strong capital with the addition of capital from the parent company, i.e. PT Bank Negara Indonesia (Persero) of Rp1 trillion. This capital adequacy becomes crucial when it comes to longterm expansion plan. In order to become a modern and global Hasanah Banking Partner, BNI Syariah increases its capital to obtain optimal results for the stakeholders. 2. The broad outlet coverage supported by parent company synergy of BNI Syariah strives to expand service coverage to all regions in Indonesia through penetration of outlets with Hasanah agents (Laku Pandai) and Sharia services at BNI outlets. BNI Syariah synergizes with the parent company in the implementation of Sharia Bank Services (LSB) Hasanah Banking Partner Management Discussion and Analysis 194 Annual Report 2017
195. Human Capital Good Corporate Governance Corporate Social Responsibility 9 . Diverse Products and Services The fund and financing products, and services of BNI Syariah are very diverse and in accordance with sharia principles. BNI Syariah is a sharia-based bank with complete products and services ranging from financing cards to micro businesses. 10. Bank Managing Hajj funds BNI Syariah becomes one of the banks appointed by the Government as BPS BPIH to serve the payment of hajj fees and manage the diversion of hajj funds from conventional banks. 6. Synergy with BNI and other Subsidiaries Good synergy with BNI parent company and other BNI subsidiary companies as one BNI group strongly supports the performance of BNI Syariah. These synergies include service cooperation in branch offices of BNI, BNI ATM use, e-banking, and synergies in other forms that are not in contrary to the principles of sharia banking. 7. The Right Business Financing Model The overall financing business line has been compiled based on good business model as evidenced by the asset quality maintained. 8. Good Composition of Fund BNI Syariah has a maintained CASA ratio of >50%, so that the financing product becomes competitive. This advantage is maintained with the continuous development of product and e-banking features. Currently focuses on the development of transactional banking. Hasanah Banking Partner Attachment 195 Annual Report 2017
196. Performance 2017 Management Report 06 " Company Profile Business Supporting Function Management Discussion and Analysis HUMAN CAPITAL Human Capital Management and Development Becomes a Key Factor that Determines the Success of BNI Syariah to be Hasanah Banking Partner. Hasanah Banking Partner 196 Annual Report 2017 "
197. Human Capital Good Corporate Governance Hasanah Banking Partner Corporate Social Responsibility 197 Annual Report 2017 Attachment
198. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis HUMAN CAPITAL MANAGEMENT POLICY BNI Syariah believes that Human Capital is a key factor to achieve the company ’s visions and missions. Without the support of good quality Human Capital, the realization of the company’s visions and missions will only be an unrealistic dream. Based on this belief, BNI Syariah is committed to give a significant attention on its Human Capital Management and Development, either as the company’s main capital or as one of the company’s stakeholders. To support these, BNI Syariah makes a strong commitment to improve the livelihood and quality of its Human Capital in a well-planned and sustainable manner. One way to realize this commitment is by implementing competency based human management. This pattern is considered to be the most appropriate pattern for the Bank’s character and it fulfills the equality aspect, for both the Bank and its employees. Competency based human capital management, where all Human Resources process aims to develop the employees’ competence. Man Power Planning Reward Recruitment Competency Training and Development Career path Performance Management By implementing competency based human capital management, BNI Syariah can establish the standards of minimum behavior that have to be met by every employee, hence all standards of behavior will refer to the Company’s visions, missions, working culture, and long-term goals. In addition, this competency based human capital management also affects the improvement of employees’ development system and performance management system. Hasanah Banking Partner 198 Annual Report 2017
199. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment HUMAN CAPITAL DEVELOPMENT ROADMAP In order to ensure that the Human Capital Development program can be implemented in a well-planned and directed manner , BNI Syariah has prepared a Human Capital Development Roadmap. The preparation of this roadmap is adapted to the Bank’s development plan, either short-term, medium-term, and long-term plan. The year 2017 is one of the phases of the Human Capital Development Roadmap 2015-2017. BNI Syariah’s Human Capital Development Roadmap 2015-2017 is as follows: No BNI Syariah HC Transformation 2015 2016 2017 1 Organization Structuring the organization by prioritizing the needs of business process, wherein the Fund & Transaction Division responsible for BNI Syariah funding business is formed Structuring the organization by optimizing the network function as the front guard of retail business by forming the organizational structure of the Regional Office Structuring the organization by focusing on business development and service quality optimization to customers of BNI Syariah 2 Learning and Development Conducting Competency Based Human Resources Management (CBHRM) trainings Internalizing Competency Model into the mechanism system of the program trainings of BNI Syariah future leader • • Individual Development Plan Competency-based TNA 3 HC Engagement & Reward Implementing functional and structural career path based on Job Family Matrix & updating the employee’s facilities Initiating Talent Pool based on Job Family Matrix Implementing Talent Pool with effective Career Path Implementation & Initiating pay for person Remuneration 4 HC Information System Implementing HCIS program development related to employee competence Implementing HCIS program development related to Learning & Development Implementing HCIS program development related to Performance Management System Hasanah Banking Partner 199 Annual Report 2017
200. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis HUMAN CAPITAL Commitment of BNI Syariah to HC management and development can also be seen with the formation of the Human Capital Division . The Division is chaired by a Division Head who is responsible directly to the President Director. Sectoral Director HC DIVISION ORGANIZATIONAL STRUCTURE Human Capital Division Head Executive Manager Head of Board of Directors Clerk Junior Manager Manager Senior Manager Manager Coordinator Learning & People Development Organization Development Manager HR Strategy & Policy Manager Learning Center Manager Human Capital Business Partner Specialist Organization Development Officer HR Strategy & Policy Officer Learning Center Officer Human Capital Business Partner Specialist Organization Development Assistant HR Strategy & Policy Assistant Learning Center Assistant Manager Coordinator HR Service Recruitment & Assesment Manager Payroll Operation Manager Industrial Relation Manager People Development Officer Recruitment & Assesment Officer Payroll Operation Officer Industrial Relation Officer People Development Assistant Recruitment & Assesment Assistant Payroll Operation Assistant Industrial Relation Assistant In 2017, the number of HC Division personnel was 36, including one Division Head. Profile of HC Division Head Andrianto Daru Kurniawan, Skom, MM An Indonesian Citizen, born in Surakarta, on 31 March 1970. He obtained a Bachelor of Mathematics from Universitas Gadjah Mada, Yogyakarta, in 1993, and a Master of Management in Actuarial from Universitas Indonesia in 2000. He has joined BNI Syariah since 2010, and has held several positions, such as Risk Management & Corporate Policy Division Head in 2011-2012, Operational Division Head in 2012-2017, Treasury and International Division Head from January 2017 to November 2017, before eventually assigned as the Human Capital Division Head in November 2017. Hasanah Banking Partner 200 Annual Report 2017
201. Human Capital Good Corporate Governance Corporate Social Responsibility FUNCTION & SCOPE OF DUTIES OF HC DIVISION 4. Training and Development Function and scope related to the implementation of development program for employees and potential employees in order to develop and improve the employees’ competencies. 5. Talent Management Develop system and policies related to employees training, talent management, and knowledge management system in BNI Syariah. 6. Remuneration System Conduct payroll and remuneration administration function to ensure that all human resources operation and employees facility provision are run accurately and timely. 7. Industrial Relations Conduct human resources relationship activities, control internal and external reporting in relation to human resources and control the settlement of human resources cases and control the process of preparation, review, and evaluation of working contract between BNI Syariah and its employees and cooperation contract between BNI Syariah and human resources vendors. Human Capital is one of BNI Syariah’s strategic assets that have a key role in supporting the Bank’s business performance achievement. The Human Capital Division, under direct supervision of the President Director, has several functions and scopes, some of them are as follows: 1. Organizational Development Function and scope related to the analysis and implementation of all activities concerning organizational development, organisation’s design and restructurisation, career model development, analysis of position, evaluation of position, analysis of workload, planning of workforce needs, and development of performance management system. 2. HC Strategies and Regulations Function and scope related to the establishment of Human Capital strategies and policies, development of Human Resources Information System, and development of the Company’s working culture program. 3. Recruitment & Assessment Function and scope related to procurement of employees, assessment, rotation, and mutation of BNI Syariah employees to get and place Human Capital who have the appropriate competencies. Hasanah Banking Partner Attachment 201 Annual Report 2017
202. Performance 2017 Management Report Company Profile Business Supporting Function HC STRATEGIC PLAN 2017 Management Discussion and Analysis the preparation of a dictionary and competency leveling (per position) for technical (hard) competencies is still being prepared. In 2016 and 2017, the Human Resources Division focused to refine a dictionary and model of competency (soft & hard competencies). This is in line with the Human Capital Development Roadmap 2015-2017. In 2017, the HC Division completed an update of a competency project, which was the development of a dictionary, model, and leveling of non-technical (soft) competencies. Meanwhile In addition, the focus of Human Capital management and development in 2017 was based on the following 5 factors: STRATEGIES IN 2017 Compensation & Benefit • Improvement of Benefit Plan Culture • Culture Socialization • Program Best employee • Industrial Relations Competence • Competence Assessment • Individual Development Plan • Training Module HRIS 1 2 3 4 5 • Employee self service • Optimizing Employee Database Organization Effectiveness • Position Ratio • Program Amanah Day • Career Path adapted to BNI Syariah’s visions, missions, and working culture. Hereinafter, HR process (man power planning, recruitment, training & development, performance management, career path, and employee reward system) in BNI Syariah will refer to the competency model that has been amended in accordance to the job family matrix in BNI Syariah. BNI Syariah implements competency based human capital management. In 2015 to 2017, BNI Syariah compiled and re-arranged its competency model and dictionary for all positions in BNI Syariah. This competency model and dictionary cover behavior competencies (soft competencies) and technical competencies (hard competencies). The compilation of competency model is Hasanah Banking Partner 202 Annual Report 2017
203. Human Capital Good Corporate Governance Corporate Social Responsibility increasing the number of sales people , but also by implementing a strategy to develop Electronic Channel based transactional business and business development that is based on cooperation with third parties in relations to wealth management. Within the scope of organizational development that is related to the above mentioned cause, a Financing and Transaction Division will be developed not only in e-banking business, but also in Bank Assurance Business and partnership management with DPLK companies. 4. Related to the development of financing business, then operational services (back office) in the Operational Division will be strengthened in line with the increase of transaction volume in transactional business with organizational development plan of the Operational Division 5. In line with the electronic based business strengthening strategies and expansion strategies for scoring-based financing business, a Technology and Information Division also needs to be developed. Development Plan focuses on 2 things, which are: a. Development of units in order to establish BNI’s core banking system, b. Restructurisation of units related to the development of business supporting application and office automation. 6. To sustain and improve business quality, organisations that need to be developed are as follows: a. Internal Audit Division, what needs to be developed is the increase in the number of Branch Internal Controllers to improve control over Branches’operational activities and audit role specialization. b. Centralisation of financing disbursement is needed to protect the quality of financing disbursement in Branches. The organisation’s development plan for 2017 was still based on the increase in productivity, the creation of synergy amongst business units to optimize business expansion by optimizing existing employees’ productivity: 1. Increasing the number of sales people that are equipped with individual business targets is still the main focus of business marketing channel in BNI Syariah. Individual target will still be adapted to the Branch/ Business Unit’s targets. Hence, it is hoped that BNI Syariah can exceed the pre-determined business targets. 2. Strengthening the synergy amongst Business Divisions, particularly businesses that become the biggest portfolio in BNI Syariah, particularly retail consumers business. This synergy is strengthened by establishing crossing targets amongst the following business units: a. Consumer Business b. Funding Business c. Micro Business In relation to this strategy, the strengthening of synergy is conducted by establishing individual Key Performance Indicators in form of Cross Selling of all financing products for all sales people in Branches and Micro Branches. In the scope of organization structure development, Micro Branches are planned to be developed as Branches that are directed for general business banking, whereas products sold in Micro Branches are not limited to Micro Financing products, but also consumer financing products, hence implemented changes will lead to this strategy. The development of the Organisation is expected to be able to respond to the customers and potential customers’ need of one stop services. 3. 3. The focus of the increase in Current Account, Saving Account (CASA) in BNI Syariah is implemented not only by strengthening the business synergy and Hasanah Banking Partner Attachment 203 Annual Report 2017
204. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis All of these strategies will be applied in form of organizational development 2017 trough the development of new units within the organization . Herewith is presented the organizational structure of BNI Syariah per December 2017: General Meeting of Shareholders (GMS) Sharia Supervisory Board Board of Commissioners President Director Director of Compliance and Risk Director of Operations and Network Director of Business SEVP of Finance Special Financing (Chief of finance) SEVP Risk & Communication Finance Division (FND) Consumer Division (CFD) Commercial Division (CRD) Business Risk Division (BRD) Risk Management Division (ERD) Financing Recovery & Settlement Division (RRD) Financing Card Work Unit (CBD) Small & Medium Enterprise 1 Division (SMD 1) Operational Division (OPD) Legal Division (LGD) Internal Audit Division (IAD) Fund & Transaction Division (FTD) Small & Medium Enterprise 2 Division (SMD 2) Fixed Asset Procurement & Management Division (PFD) Corporate Secretary & Communication Division (CCD) Human Capital Division (HCD) Hajj & Umra Division (HUD) Micro Business Division (MBD) Information Technology Division (ITD) Policy Governance Division (PGD) Strategic Planning Division (SPD) Treasury & International Division (TID) Network & Services Division (NSD) Regional Office Hasanah Banking Partner 204 Annual Report 2017 Compliance Division (CMD) A. Committees Under the Board of Commissioners: 7.Audit Committee 8.Remuneration & Nomination Committee 9.Risk Monitoring Committee B. Committees Under the Board of Directors: 1.Human Resources Committee 2.Capital, Investment, & Technology Committee 3.Risk Policy Committee 4.Asset Liability Management Committee
205. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Changes of organizational structure in 2017 is as follows : No Organization Number Changes Number Effective Date Organization Description 1 ORG/03/II/2017 1 14-Feb-17 CFD Change of Organizational Structure (Establishment of Griya Swakarya) 2 ORG/04/II/2017 3 14-Feb-17 FTD Change of Organizational Structure (Establishment of Digital Banking & Bancassurance) 3 ORG/05/II/2017 0 27-Feb-17 NSD New Organizational Split from NGD (SRD is incorporated in NSD) 4 ORG/01/II/2017 0 27-Feb-17 PFD New Organizational Split from NGD (due to transfer of Network function) 5 ORG/06/III/2017 0 06-Mar-17 CMD 6 ORG/07/III/2017 6 17-Mar-17 IAD Change from Compliance Desk to Compliance Division Change of Organizational Specialist Function) Structure (Addition of 7 ORG/08/III/2017 10 23-Mar-17 LGD Transfer of APU-PPT Unit 8 ORG/09/V/2017 9 29-Aug-17 OPD 1. Change of the addition of Insurance support officer and e-banking transactional & investigation officer 2. Change of name from financing administration legal to financing legal 3. Eliminating appraisal center manager 9 ORG/10/V/2017 3 16-May-17 BRD 1. Fine-tunning regulation 10 ORG/11/V/2017 6 31-May-17 ITD 1. 2. 3. 4. 11 ORG/12/V/2017 6 2-Jun-17 RRD Establishing Policy & Administration Manager position, adding the formation of RR commercial unit 12 ORG/14/VI/2017 11 19-Jun-17 LGD Developing organizational Litigation LGD, particularly corporate legal function 13 ORG/15/VII/ 2017 2 29-Aug-17 CFD Adding the product formation of marketing officer, consumer business analysis the Organization of counterpart Adding the position of Coordinator Manager Splitting core banking system unit and MIS Splitting transactional & payment unit to unit switching & middleware & unit e-banking & International 5. Completing the formation in management plan & project unit 14 ORG/16/VII/2017 0 29-Aug-17 CBD Splitting the Card Function from CFD 15 ORG/17/VII/2017 0 18-Jul-17 FND 1. Change in FND Structure, previously finance work unit to Finance Division 2. Previously, the internal financial reporting unit was under SPD, now transferred to be under FND supervision 16 ORG/18/VII/2017 0 18-Jul-17 SPD 1. Adding 1 formation in Change Management unit (Manager Coordinator Change Management) 2. Establishing Economist work unit consisting of 1 Manager and 1 officer 3. Adding 1 formation of Corporate Planning Officer & 1 Corporate Performance Officer 17 ORG/19/VII/2017 0 29-Aug-17 PGD Performing product initiation function and evaluating product acceptance in each business market 18 ORG/20/VII/2017 4 29-Aug-17 ERD 19 ORG/21/VII/2017 1 29-Aug-17 SMD 2 Hasanah Banking Partner 205 Product & Policy Unit moved to PGD Product Initiation function is still at product development unit, which then added by monitoring function of financing quality Annual Report 2017
206. Performance 2017 No Management Report Organization Number Company Profile Changes Number Effective Date Business Supporting Function Management Discussion and Analysis Organization Description Product Initiation function is still at product development unit , which then added by monitoring function of financing quality 20 ORG/23/VII/2017 1 29-Aug-17 SMD 1 21 ORG/24/VII/2017 2 29-Aug-17 TID Second change after 2015 22 ORG/25/IX/2017 4 25-Oct-17 CCD 1. Separating Corporate Communication Function into internal and external Corporate Communication 2. Adding Marketing Communication 3. Adding Corporate Brand Communication Unit 4. Adding Board of Commissioners & Management Unit 23 ORG/28/X/2017 4 1-Nov-17 BRD Adding micro function in Business Risk Division and 1 micro coordinator manager 24 ORG/02/XI/2017 7 1-Nov-17 MBD Change of organization transformation phase 1 25 ORG/29/X/2017 0 1-Nov-17 KC semi reguler Establishing Piloting KC of impact of micro business transformation 26 ORG/30/X/2017 0 1-Nov-17 KCP semi reguler Establishing Piloting KCP of impact of micro business transformation due to micro business 27 ORG/26/XI/2017 1 21-Nov-17 NSD Adding SCO Business & change function to be 1 deputy 28 ORG/22/XI/2017 4 7-Dec-17 FTD Emergence of Relation Officer HR DEVELOPMENT IN 2017 5. The refinement of coaching and mentoring program, 6. Socialisation and internalization program for a trustworthy and collective working culture. In line with competency based human capital management, employee development plan will focus on the follow up of assessment results by preparing an employee development plan. As part of a series of employee development program, a mapping of employees’ competency will be conducted to gather inputs on the employees’ individual development plan. Several competency development methods that are implemented are job enhancement, training, coaching, mentoring, and project assignment. RECRUITMENT Business growth that moves quickly has to be supported by an employee procurement strategy with the “right potential man in the right place” principle. The policy of employee procurement is always adapted to the business needs from time to time. In 2017, the Human Capital Division prioritised procurement for officer positions through Officer Development Program that has been prepared to fulfill the leadership positions in BNI Syariah in the future. Optimisation of human resources information system will be implemented in order to develop a more effective and efficient Human Resources working flow in BNI Syariah. Employee Development plan for 2017 is presented in more details as follows: To get good quality employees, recruitment process is conducted by cooperating with several high profile universities in Indonesia through the company’s participation in job fairs or the implementation of campus hiring. In the recruitment of ‘Insan Hasanah’, the ability to communicate well and active participation in organizations and other achievements are also important, apart from intelectual capability. 1. The development of employees’ career map (career path) in the job family matrix, 2. The mapping of employees’ competency and the preparation of a development plan for employees’ competency development, 3. The mapping of performance management system assessment, 4. The implementation of talent management program, Hasanah Banking Partner 206 Annual Report 2017
207. Human Capital Good Corporate Governance Corporate Social Responsibility Employee procurement strategy in BNI Syariah is implemented by 2 (two) methods, which are: 1. Internal resources through internal employee development program. 2. External resources through fresh graduate and experience hire programs for both leadership and staff levels. Employee procurement through these external resources is implemented by considering particular factors and conditions, either those related to the special competencies of resources, types of job, and expertise. 3. Officer Developer Program Recruitment Stages for Clerk Clerk Recruitment Stages Job Posting Administration Selection Initial Interview Psycho test Interview Test Sign Contract Recruitment Stages for ODP Track are as follows: Recruitment Stages for “Officer Development Program” Job Sign Contract Administration Selection Health Test Foccus Group Discussion BOM Interview Psycho test USER Interview Hasanah Banking Partner 207 Annual Report 2017 Attachment
208. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis the best fresh graduates from the best universities in Indonesia , while potential employees who would like to follow the internal recruitment process, they can do it through a mechanism that has been regulated by the Human Capital Division. In 2017, BNI Syariah conducted employee procurement through Officer Development Program (ODP). ODP aims to prepare BNI Syariah’s future leader candidates who are capable and competent to face challenges in the future, particularly to face the ASEAN Economic Community. ODP offers career development while expanding the employees’ knowledge and experience. Recruitment Stages for Professional Hire Track are as follows: Those who become potential employees in ODP come from an external recruitment program by encouraging Recruitment Stages for Professional Hire Job Posting Administration Selection Health Test Interview Sign Contract In 2017, BNI Syariah recruited 992 new employees consisting of 17 pro-hire employees and 975 fresh graduate employees. HASANAH DEVELOPMENT One of the efforts that can be done is by employing workforce as minimal as possible to be able to give maximum contribution that is in line with the company’s goals. For that reason, the company tries to focus on providing working and mentoring programs to its industry-ready potential employees by giving them the knowledge, skills, and expertise that are needed, so that they can compete in the professional world through the implementation of an internship program, which is called “Bina Hasanah”. This program is a realization of one of the company’s missions, which is to provide a positive contribution to the community and to show the company’s care for the environment sustainability. In essence, the company and employees are interdependent and have a strong connection, the company cannot operate without the contribution of its employees. To achieve the company’s goals, several human resources are needed to help the operation of the company’s business. Along the line, the company is increasingly expected to always try to improve their performance through an effective and efficient organizational management. Hasanah Banking Partner 208 Annual Report 2017
209. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment mentoring to inexperienced job seekers by giving them the knowledge , skills and ability and is implemented integratively by combining theory-based training and direct practice under the supervision of BNI Syariah employees who are appointed as mentors to supervise and monitor the development of participants’ level of knowledge acquisition and their abilities on aspects that are listed in the job description and competence standards, which are expected for the types of work done by these interns. An internship program in Law Number 36 of 2016 is defined as a part of work training system that is implemented integratively, by combining a training program in training institutions and working directly under the supervision and control of instructors or more experienced employees in order to obtain specific skills or expertise. Bina Hasanah Program is part of a training program that is implemented by BNI Syariah to provide training and Selection process for internship (Hasanah Development Work) Interview Administration Selection Psycho test Health Test • Requirements for internship candidate for Hasanah Development Program are: • • 1. Education: Graduated from High School/Vocational High School/equal with a minimum average score in Semester V and VI is 7 2. Graduated from Diploma 1 (D1) to Diploma 3 (D3), with Grade Point Average (GPA) of mininum 2.5 3. Age: 18 to 21 years old as of the selection process 4. Gender: male/female 5. Religion: Islam 6. Others: • Never been involved in any legal cases • Attractive appearance, 165 cm tall for male and 158 cm tall for female. Hasanah Banking Partner Single and stay single during the program duration Not enrolled in formal education Physically and mentally healthy CAREER MANAGEMENT Career Management is one of the Company’s strategies to develop its employees’ potentials and to realize the Company’s visions and missions. The process of employee development considers the necessity to narrow the gap between competency and career map. BNI Syariah already has a career design system in form of job family matrix. Job family matrix is used as a reference to conduct an employee rotation with a purpose to map the respective employee’s career. 209 Annual Report 2017
210. Performance 2017 Management Report Company Profile Business Supporting Function develop his /her potentials, career, creativity, and innovation to a better direction so that his/ her productivity will increase. The period of promotion is given in accordance to the period of performance assessment. Several things that have to be considered in giving a promotion are the employee’s length of employment, assessment yudisium, and the respective employee is not in the middle of sanction process. 1. The current BNI Syariah’s career pattern uses the principle of Competency Based Human Resource Management (CBHRM), so that it manages career based on competency. In its application, the Company’s career pattern is based on competency and capacity plan. At the moment, BNI Syariah implements dual career path methods, which are specialist and generalist. The process of career pattern in BNI Syariah aims to improve employees’ competency through Lateral Movement (rotation) and Job Enrichment (promotion). 2. The career path that is implemented in the Company is an employee shift from a position to another position, or what is usually called as mutation. The implementation of employees’ mutation can be divided into three types of shift, which are: c. Demotion Demotion is a shift from one position to another position that has a lower level than the previous position. The shift to a lower level of position is caused by violations done by the respective employee against the applicable regulations. PERFORMANCE ASSESMENT a. Rotation Rotation is a shift from one position to another position that has the same band or level. The rotation mechanism is implemented as refreshment for an employee from one position to another position with an aim to develop the employee’s skills and expand his/her knowledge on a task or responsibility, so that he/she can show his/ her potentials. One of the stages in the implementation of Performance Management System (PMS) is the evaluation stage/ end-ofyear assessment. This is aimed so that every employee can be assessed based on his/ her productivity and performance for this past year. This stage will be an evaluation for the individuals and the organization to determine strategies and action plan for the following year to reach the organisation’s goals/ targets. Rotation of a position can be conducted if there is a vacancy in a position that has to be filled in in a specific time period or it can be conducted due to organizational change to support the Company’s expansion. The assessment stage for PMS (Performance Management System) is effective for the period from 1 January to 31 December of the current year. The values of PKPP (Performance Assesment of Employee Development) components are: b. Promotion Promotion is a shift from one position to another position that has a higher level than the previous position. Promotion of an employee aims to Result Orientation (KPI) Management Discussion and Analysis Weight Business Employee Unit Target Support Employee - 20 Individual Target 100 80 Total 100 100 employee development process. PMS is a performance indicator for the Company in general and for the employees in particular, which is used as the basis of employee development Performance Management System BNI Syariah implements a performance management through Performance Management System (PMS) as the start of Hasanah Banking Partner 210 Annual Report 2017
211. Human Capital Good Corporate Governance Corporate Social Responsibility facilities that are received by the employee will also improve and these include , for instance, an increase in TC (Total Cash) salary, along with other allowances that are related to the employee’s position level/ grade. mapping and rewards for employees’ performance. PMS in BNI Syariah is implemented in the following stages: 1. Setting Key Performance Indicator (KPI) and employees’ individual targets where in this stage KPI of all BNI Syariah’s employees are set so that they correlate and synergize with the Company’s KPI. 2. Mid-year Monitoring where in this stage the employees’ performance for the period of 1 January to 30 June in the current year is evaluated. 3. End-of-year Performance Assessment is the last stage of the PMS process when employees’ performance assessment for 1 period is evaluated. SERVICES PROGRAM FROM EMPLOYEES In conducting its business, BNI Syariah has a working culture to develop values and confidence that becomes the behavior guideline that is considered important for the sustainability of the organization. Working culture of trustworthy and collective is determined to create employees who are hasanah, which means employees who work with good values that are based on the Islamic syariah and who work professionally to achieve the working targets that are determined by the Company. The Working Values of BNI Syariah are Trustworthy and Collective, which can be elaborated in details as follows: Trustworthy: • Honest and keep one’s promise • Responsible • Enthusiastic to produce the best work • Work wholeheartedly and prioritise the intention to worship Allah SWT • Provide services beyond expectation Collective: • Caring and brave to provide or receive contructive criticism • Create a synergy in a professional manner • Share valuable knowledge • Understand the links between working processes • Strengthen an effective leadership PKPP Assessment Method The current method of PKPP assessment is continuous scoring, which is considered as providing a better picture of every effort made to reach the target, where the scores in this continuous scoring method are a sharper assessment and measure a more real data by presenting them up to 2 decimal places. This method automatically will eliminate the value range for each of the achievement criteria. PROMOTION General provisions on promotion criteria are: • There is a vacancy for the designated position • Having fulfilled the assessment/ evaluation criteria that have been determined by the Human Resource Managament Unit • Receiving a “Good” score in the latest assessment for a worker/ an employee who is promoted to a new position or a worker/ an employee who is recommended to be promoted after a demotion • Is not being indicated to be involved in a legal case or is not serving a disciplinary action • Grade or position adjustment is conducted through the Human Resource Information System (HRIS) and a Decision Letter that is acknowledged by the Human Resource Management Unit is an official Decision Letter that is printed through HRIS and is signed by the authoritative officer. Based on the points of Trustworthy and Collective working culture, including the point of providing services that exceeds expectation, which aims to create a condusive working condition in achieving the organisation’s targets. Working culture programs that were conducted in 2017 were: • Timely prayers • Quran reading before meetings • Hafidz Quran program where the Company gives a special incentive for employees who can memorize a certain number of the Quran verses, teach the Quran, and apply the Quranic values to other employees. BNI Syariah applies the principle of one position for one grade, a grading system that refers to a band system in accordance to the position level. With this promotion of position/grade, the Hasanah Banking Partner Attachment 211 Annual Report 2017
212. Performance 2017 Management Report Company Profile Business Supporting Function KNOW YOUR EMPLOYEE c . For particular positions, particularly positions that are related to finances, an examination of the potential employee’s integrity is conducted regarding his/ her financing performance (including credit cards) through Bank Indonesia’s Debtor Information System (SID) or Negative List from the Indonesian Association of Credit Cards (AKKI), if necessary. d. The Human Resource Management Unit conducts an interview, to find out about the employee’s integrity through a series of questions regarding his/her behavior, views on regulations, choice in a related situation/ condition, particularly by using the BEI (Behavioral Event Interview) method. e. The recruitment process can be conducted by the internal management, however at times it can also be conducted by a third party (vendor) as a partner in the recruitment process. When a third party is employed in the recruitment process then the conditions related to the recruitment should be stated in writing in the written contract/ other documents between BNI Syariah and that third party (vendor). f. The Human Resource Management Unit has the rights to delegate the recruitment process to a third party by providing a contract between BNI Syariah and this third party, which states in writing the rights and responsibilities of each party in the recruitment process. g. The potential employee is requested to sign the “Know Your Employee” form that the data provided are complete and correct. In order to safeguard and ensure that the implementation of Good Corporate Governance (GCG) runs well, it needs human resources that are capable to work optimally in accordance to their knowledge, ability, and working attitude that are in line with the competency that are needed to keep and maintain the integrity, honesty and loyality to BNI Syariah. One of the efforts that can be done by the Company to prevent any fraud/ violation that can be potentially done by the employees is by implementing the “know your employee” principle. The implementation of “know you employee” principle in general is done to get employees who have a high level of integrity and loyality, which can basically done with the following stages: 1. Identification through screening process of the potential employees. 2. The maintenance of employees’ integrity. The principles of “know your employee” implementation are: 1. Identification and screening of potential employees as part of the “know your employee” policy. BNI Syariah conducts a screening in the process of new employee recruitment. Screening is done in order to get employees that have the same competence, integrity, and value as those of the company through a series of recruitment process that includes an administrative selection process which is a stage to analyse the background of the potential employees, which cover among others: a. Analysis of employees’ personal background through, for example, request for personal identification documents/ data, curriculum vitae, and information letter of a good conduct in form of a police clearance issued by the authoritative institution. b. Reference checking from the previous employer (if necessary), especially for the recruitment of experienced employees (experience hired). For example by contacting the Human Resource Division where the potential employee previously worked regarding his/ her working track record. Hasanah Banking Partner Management Discussion and Analysis The procedures that are mentioned above shall be implemented carefully and consistenty, for the recruitment of potential employees that are either fresh graduates or potential employees that have got working experiences (Experience Hired). 2. Control and maintenance of employees’ profiles The maintenance of employees’ integrity aims to ensure that the employees, in perfoming their roles and responsibilities in BNI Syariah, always behave in accordance to the applicable regulations and values that have been determined by BNI Syariah. 212 Annual Report 2017
213. Human Capital Good Corporate Governance Corporate Social Responsibility EDUCATION AND DEVELOPMENT 2 . Classical for existing employees. 3. Coaching and Mentoring for ODP Employees and Talent employees. 4. Sharing session for employees who did not join the classical method training. In 2017, BNI Syariah strived to encourage capability development. One of the sustainable development programs was conducted in stages by the Learning Center Unit in accordance to the competency profile and the Company’s business strategy. Training method and development program that were implemented throughout 2017 were: 1. Academic for new employees with the same levels as ADP and ODP. Year Total Trainings Attachment Meanwhile, online learning will be initiated in 2018. The following is an explanation of training programs that were conducted along with their budgeting and cost realization in 2017: Budget (million) Absorption Percentage (million) Actual Cost (million) 2015 258 27.000 23.220 86% 2016 269 24.000 25.788 107% 2017 324 30.454 35.591 117% Competency based training program is generally divided into 2 (two), which are Hard Skill training and Soft Skill training. Throughout 2017, BNI Syariah’s allocated fund to develop its human resources reached Rp. 35.591 billions, it increased by 10% in comparison to 2016 where it reached Rp 27.732 billions. No Competency-based Trainings Training Percentage in 2016 Training Percentage in 2017 1 Hard Skill Training 96 % 93 % 2 Soft Skill Training 4% 7% Trainings and education held by BNI Syariah throughout 2017 is as follows: We keep on improving the Soft Skill Training Program according to the needs of each position. The higher the position is, the bigger the proportion of soft skill development will be if compared to proportion of hard skill development. No Total Employees Participating the Training Type of Trainings 1 Managerial Leadership & Personal Development 2 Credit Management 3 Risk Management Certification Program 4 2016 2017 285 316 1040 1840 186 1027 Sales 1116 605 5 Service 484 527 6 Operations & IT 276 693 7 Others 965 722 4352 5730 Total *) Referring from the total number, employees may attend more than 1 type of training. Hasanah Banking Partner 213 Annual Report 2017
214. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis CAREER MANAGEMENT MANAGEMENT In 2018 , the Learning Center unit plans BNI Syariah’s e-learning initiation program, while the implementation will be conducted in 2019.This program is a starting point for the realization of the Human Capital Roadmap 2021, which is the implementation of Knowledge Management. To conduct this e-learning program in 2019, the Learning Center unit made several preparations in 2017, which included education materials in form of videos and audios, which will be uploaded to the e-learning system so that they can be accessed by all BNI Syariah’s employees. With this wider access for learning, it is hoped that this program can respond to the needs of knowledge expansion of all BNI Syariah’s employees. TALENT In 2017, HCD already conducted the Talent Management program. This program will continue to be developed gradually so that it will produce Human Resources that are capable to compete in the industry and will increase the engagement index of BNI Syariah’s employees (insan Hasanah). In 2017, there were 114 employees who were managed in the talent pool, with the following details: Position 2016 2017 Clerk 5 13 Junior Manager 38 52 Manager 26 38 Senior Manager 9 11 Total 78 114 In addition, HCD also gradually implements the future leader program, which is the Officer Development Program. The number of ODP employees in 2017 increased by 48% in comparison to the previous year. 2016 37 People AND 2017 55 People These learning programs that are given gradually by referring to the compentencies that are needed by a future leader, either hard skills or soft skills. These learning programs were as follows: Material SAMAPTA Matriculation Induction Training Module and OST Module Examination (Post Test) Content Islamic Education Military Education Introduction to Business Introduction to Management Introduction to Sharia Economy History of Islamic Civilization PDPS Introduction to BNI Syariah Soft Skill: Goal Setting, Introduction and Presentation & Communication Skill Fund & Transactional Module Consumer Financing Module Productive Financing Module Micro Financing Module Treasury and International Business Module Financing Card Module Strategic Module Operational Module Comprehensive test (written test) for each material given in each module Hasanah Banking Partner 214 Annual Report 2017
215. Human Capital Good Corporate Governance Corporate Social Responsibility Material De Brief Final Project Final De Brief Attachment Content De Brief 1-4 understanding of the material in the form of presentation Making project /program of innovation product development, system and procedure of the company Comprehensive Test Through the proposed project/program innovation EMPLOYEE OPINION SURVEY services, development of training methods and facilities, and improvement of the implementation of working culture. This survey involved 2,255 employees. In 2017, the Human Capital Division conducted EOS (Employee Opinion Survey) that aimed to find out employees’ opinions on management’s performance, particularly on improvements related to performance appraisal, improvement of the level of production ST The following are the satisfaction parameters that were distributed through questions in form of a survey: T Question 1 The Company provides me with sufficient supporting working facilities. 290 1.789 168 8 2.255 12.86% 2 There is a warm personal relationship between the supervisor and subordinates and amongst co-workers in my unit. 402 1.684 161 8 2.255 17.83% 3 The exchange of information or knowledge related to my work runs smoothly. 236 1.853 165 1 2.255 10.47% 4 There is a mutual respect amongst employees. 331 1.807 116 1 2.255 14.68% 5 The Company provides sufficient location and opportunity to worship. 1.082 1.117 49 7 2.255 47.98% 6 The company gives me salary in accordance to my work load/ position. 186 1.511 519 39 2.255 8.25% 7 The Company gives me sufficient allowances in addition to my salary (insurance, health allowance, THR, production services, leave allowance, recreation, sport, lunch, etc.) 311 1.622 306 16 2.255 13.79% 8 The Company gives me a sufficient increase of salary. 168 1.386 652 49 2.255 7.45% 9 The Company gives sufficient salary, allowances, and facilities in comparison to other companies in a similar industry. 174 1.326 713 42 2.255 7.72% 10 The Company gives strict sanctions to every employee who violates the regulations. 373 1.761 112 9 2.255 16.54% 11 There is coordination and cooperation amongst workers in my working unit/ related business. 227 1.883 142 3 2.255 10.07% 12 There is a mutual respect amongst coworkers. 302 1.867 85 1 2.255 13.39% 13 Workers help each other in completing their jobs. 301 1.844 109 301 2.555 11.78% 14 Workers always encourage each other to have positive working behaviors. 398 1.799 58 0 2.255 17.65% Hasanah Banking Partner 215 TS Total Responden No STS Annual Report 2017 ST
216. Performance 2017 Management Report Company Profile Business Supporting Function Question 15 Workers help each other to achieve the working unit ’s targets. 362 1.778 111 4 2.255 16.05% 16 The company gives a certainty in the development of my career. 190 1.554 473 38 2.255 8.43% 17 The Company gives training and competency development to fulfill the position criteria and to prepare employees for a higher position. 233 1.571 233 233 2.270 10.26% 18 Every employee is given a fair chance to get a promotion. 229 1.627 363 36 2.255 10.16% 19 Promotion openly. conducted 255 1.649 329 22 2.255 11.31% 20 The company gives tasks in accordance to workers’ education, ability, and skills 164 1.792 285 14 2.255 7.27% 21 My supervisor develops a professional working environment, thus our performances exceed the targets. 251 1702 280 22 2.255 11.13% 22 My supervisor is always willing to help me if I face difficulties in completing my tasks. 258 1.741 239 17 2.255 11.44% 23 My supervisor has a good ability in making a decision. 248 1.738 249 20 2.255 11.00% 24 My supervisor is able to form and develop cooperation amongst workers in the working unit/ business unit that he/she leads. 243 1.726 271 15 2.255 10.78% 25 My supervisor is able to provide good direction and guidance. 254 1.772 216 13 2.255 11.26% 26 When occasionally needed, I am willing to help performing a task that is not related to my job, but is beneficial for the company. 456 1.763 31 5 2.255 20.22% 27 I am willing to actively involve in every activity that is conducted by the company. 375 1.825 55 0 2.255 16.63% 28 I will stay in this company although there is an opportunity to get the same position in another company. 253 1.645 336 21 2.255 11.22% 29 I always share my knowledge and skills to achieve the company’s predetermined target. 450 1.800 3 2 2.255 19.96% 30 I am willing to help my co-workers to achieve my working unit’s goals. 550 1.698 5 2 2.255 24.39% is T HR DEVELOPMENT PLAN IN 2018 STS ST and competency-based employee development that belong to every employee. One of them is to conduct a preparation of development program for each employee. In 2018, Human Resource development strategies are directed to bank-wide capability development. BNI Syariah focuses on the development of career design Hasanah Banking Partner TS Total Responden No process ST Management Discussion and Analysis 216 Annual Report 2017
217. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment done the assessment ; some of them are through job enhancement, training, coaching, mentoring, and project assignment. As a series of employee development program, BNI Syariah will follow up the competency assessment results in 2018, in this case is employee assessment based on competency fit of each employee. BNI Syariah prepares an action plan in accordance to the employee’s competency fit for employees who have HC Plan 2017 – 2022. Learning Organization • Knowledge Management • Update Benefit • Digital HC Performance Based Organization • Performance Based Organization • Competence 360 • Reward Management • E-learning • Reward Management Efficiency • Organizational Efficiency • Competency Implementation (Module & PMS), Assessment 180 • Coaching Program • Improved work processa 2021 2020 BNI Syariah Future Leader 2019 2017 2018 • Assessment Center • Reward Management (Remuneration P-20) Development • Career Design • Certification Module • Development Plan for All Employees Hasanah Banking Partner 217 Annual Report 2017 2022 Learning Organization • Corporate University • Remunerasi P-25
218. Performance 2017 Management Report 07 " Company Profile Business Supporting Function Management Discussion and Analysis Good Corporate Governance Good corporate governance principles have become the soul in the operations of BNI Syariah. On top of that, the good corporate governance has been in line with maqashid syariah (islamic noble) values developed by BNI Syariah. Hasanah Banking Partner 218 Annual Report 2017 "
219. Human Capital Good Corporate Governance Hasanah Banking Partner Corporate Social Responsibility 219 Annual Report 2017 Attachment
220. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis COMMITMENT OF GCG IMPLEMENTATION PT Bank BNI Syariah (BNI Syariah) as a Commercial Bank whose business operations based on sharia principles having the commitment to always doing good deeds (hasanah) by making efforts to provide benefits for many parties, especially the stakeholders. That commitment has been embedded since the establishment of BNI Syariah. BNI Syariah’s commitment to the implementation of GCG principles can be seen from the seriousness in continuously enhancing the structure and process of GCG implementation, with there is always room for improvement principle. BNI Syariah believes that the business run with the perfection of GCG implementation (GCG Excellence) is likely to remain strong and sustainable for a long time. Similarly, the commitment to the implementation the Good Corporate Governance (GCG) principles which are Transparency, Accountability, Responsibility, Independence, and Fairness and Equality, in the company’s daily operations. BNI Syariah considers that GCG principles are in line with sharia principles, and therefore, implementing the GCG principles is a necessity. Hasanah Banking Partner In 2017, BNI Syariah kept conducting the company’s activities based on the framework of GCG implementation in conjunction with GCG principles and Sharia Values such as Hasanah values and Maqashid Syariah values. 220 Annual Report 2017
221. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Framework of CGG Implementation of BNI Syariah Good Corporate Value and Performance GCG Excellence Process Good Stakeholders Trust GCG Awareness and Commitment GCG Sounding GCG Structure & Infrastructure : GCG Mechanism GCG Updating and Maintenance effectiveness, updated, and renewed based on the bank’s needs, the prevailing laws and regulations, and best practices in the business world of banking ((GCG Assessment and Updating). GCG Sounding is carried out on the basis of GCG mechanisms that have been established for BNI Syariah’s management and employees in order to create awareness and commitment to implement GCG consistently. In the end, it is expected that the perfect process of business activities refers to GCG principles so it generates outcomes in the form of the BNI Syariah’s increased values and performance as well as high trust from the stakeholders. BNI Syariah has a GCG structure in the form of organs in the organizational structure of the company which are the Board of Directors, the Board of Directors, and Sharia Supervisory Board, and other supporting organs that perform their duties and responsibilities based on GCG principles (Transparency, Accountability, Responsibility, Independence, and Fairness and Equality). In addition to that, BNI Syariah has GCG infrastructure in the form of internal policies (including corporate values such hasanah and maqashid syariah values) that support the implementation of GCG principles in the company. GCG structure and infrastructure constitute GCG mechanisms that are consistently assessed in terms of its Hasanah Banking Partner 221 Annual Report 2017
222. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis 2017 GCG ACHIEVEMENT Since its establishment in 2010 , BNI Syariah has been continuously striving to enhance and implement the practice of Good Corporate Governance (GCG) in line with the regulatory demands and the applicable best practices in the field of banking. The efforts that have been consistently made by BNI Syariah in implementing GCG principles have received recognition from external parties. In 2017, BNI Syariah received a number of awards related to GCG, such as: 1st Rank Trusted Company Based Corporate Governance Performance Index (CGPI) Held by ICCG and SWA Magazine Category of Sharia Banking Non-Public Company Indonesia GCG Award 2017 Held by Economic Review Winner of PR Indonesia Award 2017 Category of Media Relations Year 2017 Category: Sharia Savings Digital Marketing Award Held by Majalah Marketing Best of The Best Islamic Bank Magnificent Seven PR Indonesia Magazine Held by PR Indonesia Magazine Hasanah Banking Partner Great Performing Website Karim Award 2017 Held by Karim Consulting 222 Annual Report 2017
223. Human Capital Good Corporate Governance Corporate Social Responsibility the 2nd rank is “The management of BNI Syariah has performed Good Corporate Governance that in general is GOOD. This is reflected from the implementation of Good Corporate Governance principles in an adequate manner. If there are weaknesses in the implementation of Good Corporate principle thus in general the weaknesses are less significant and can be settled by normal measures by the management of BNI Syariah.” The awards received in 2017 showed the effectiveness of the implementation of GCG principles in BNI Syariah, including the efforts of sustainable improvement made by the management. This achievement was followed by the increase in the overall performance of BNI Syariah. In 2017 BNI Syariah managed to record a net profit growth of 10.57% from Rp277.38 billion in 2016 to Rp306.69 billion in 2017. Bank Health Level Rating The implementation of GCG is one of the factors in the assessment of the bank health level in general. The result of self-assessment in 2017 on the level of health of BNI Syariah was PK 2, reflecting the generally healthy physical condition, so it was considered capable of facing the significant negative influence of the condition changes and other external factors reflected in the ranking of assessment factors, such as Risk profile, Good Corporate Governance implementation, profitability, and capital which is good in general. If there were weaknesses, in general they were less significant. The followings were main points of the financial performance report of BNI Syariah in 2017: • The total assets grew by 22.99% to reach Rp34.82 trillion. • Financing given increased by 15.14% to reach Rp23.60 trillion. • Total Third-Party Funds grew by 21.24% to Rp29.38 trillion. • Current and Savings Account Ratio (CASA) consisting of Current and Savings Account increased from 47.63% to 51.60%. • Total equity increased by 53.11% to Rp3.81 trillion. • Capital Adequacy Ratio (CAR) was 20.14%. This CAR achievement was still above the minimum requirement set by Bank Indonesia at 9.36% • Gross NPF ratio was 2.89% • ROE was 11.42% • ROA was 1.31% • FDR was 80.21% • Net Reward was 8.10% • BOPO was 87.62% • Coverage was 85.73% Sukuk and Corporate Ratings The success in implementing GCG principles in the business operations of BNI Syariah was reflected from the assessment of sukuk rating and corporate rating carried out by Pefindo, which were: • 2015 Sukuk Mudharabah I Rating of PT Bank BNI Syariah which was worth Rp500,000,000,000 (Five Hundred Billion Rupiah) for the period from 1 February 2017 until 1 February 2018 earned the rating of idAA+ (sy) (Double A Plus Syariah). This rating showed the ability of BNI Syariah to meet a long-term financial commitment to the relative sharia financing contract was stronger than the other Indonesian issuers. • BNI Syariah earned the Corporate Rating of id AA+ (Double A Plus; Stable Outlook) for the period from 1 February 2017 until 1 February 2018. This rating indicated that BNI Syariah had a stronger ability to meet a relative long-term financial commitment than other Indonesian obligors. 2017 Self-Assessment Score of GCG In 2017, BNI Syariah conducted the self-assessment of GCG implementation in BNI Syariah for the purpose of assessment of the level of Bank soundness. The assessment in semester 2 of 2016 carried out on January 2017 achieved the 2nd rank, the assessment in semester 1 of 2017 carried out in July 2017 achieved the 2nd rank, and the assessment in semester 2 of 2017 carried out on January 2018 achieved the 2nd rank. The definition of Hasanah Banking Partner Attachment 223 Annual Report 2017
224. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis BASIS OF GCG IMPLEMENTATION The implementation of GCG in BNI Syariah has legal basis and policies comprising the following laws and regulations and guidelines : • • • • • • • Law No. 40 of 2007 on Limited Liability Company; Law No. 21 of 2008 on Sharia Banking; Bank Indonesia Regulation No.11/33/ PBI/2009 on the Implementation of Good Corporate Governance for Sharia Commercial Bank and Sharia Business Unit and Bank Indonesia Circular Letter No.12/13/ DPbS dated 30 April 2010 on Implementation of Good Corporate Governance for Sharia Commercial Banks and Sharia Business Units; Assessment of GCG implementation of BNI Syariah according to the Regulation of Financial Services Authorization No.8/POJK.03/2014 on Assessment on Level of Bank Soundness for Sharia Commercial Banks and Sharia Business Units; Circular Letter of the Financial Services Authority (SEOJK) 10/SEOJK.03/2014 on Assessment of Level of Bank Soundness for Sharia Commercial Banks and Sharia Business Units; Indonesian Banking Sector Code developed by the National Committee on Governance; Guidelines for the Implementation of Governance-Based Risk Management issued by the National Committee on Governance (KNKG) in 2012. Hasanah Banking Partner 224 Annual Report 2017
225. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment GCG PRINCIPLES Similarly , the commitment to the implementation of (GCG) principles comprising Transparency, Accountability, Responsibility, Independence, and Fairness and Equality, in the company’s daily operations. BNI Syariah considers that GCG principles are in line with Islamic principles, and therefore, implementing the GCG principles is a necessity. Transparency Based on Islamic principles affirmed in Al Baqarah/2:282 “….And make it transparent (testify) if you transact with each other ... ” and based on the hadith which states ... “whoever did ghisy (hiding information required in the transaction) are not of our people”, then all transactions must be conducted transparently. Transparency contains elements of disclosure and the provision of adequate information and easily accessible to Stakeholders. Transparency is needed for sharia businesspersons to run businesses in an objective and healthy manners. Sharia businesspersons should take the initiative to disclose not only the problem required by legislation, but also important matters for making decision in accordance with the provisions of sharia. Hasanah Banking Partner 225 Annual Report 2017
226. Performance 2017 Management Report Company Profile Business Supporting Function Independence /Professional In relation to the principle of the independence of sharia business should be managed independently so that each party should not dominate each other and cannot be at intervention by any party. The independence associated with the consistency or Istiqomah attitude namely clung to the truth even in the face of risk. Independence is a character of a wise human (uul al bab) in the Qur’an as it is mentioned 16 times, including “Those who are able to absorb the best information (heard) and make a decision (adhere) (according to his conscience without pressure of any party)” (Az Zumar/39:18). Accountability Accountability is an important principle in sharia business as reflected in Al Isra/17:84 which means “Say each entity to work according to respective position and your God knows more who is the most correct among you”. And in verse 36 which means “…And you must not do anything without the knowledge of it, actually hearing, sight and hearts, all of those will be held accountable”. The responsibility for the actions of people done either in the world and in the hereafter, all of which are recorded in the records that will be examined later, as the word of Allah in Al Isra/17:14 which means “Read your holly book (your accountability report). Suffice it to you at that time to evaluate yourself.” Accountability contains elements of clarity of functions in the organization and how to account for them. Sharia businesspersons must be accountable for their performance in a transparent and reasonable manners. Thus, sharia business should be properly managed, scalable, and in accordance with the interests of sharia businesspersons by also considering the stakeholders and society at large. Accountability is a necessary prerequisite to achieve sustainable performance. Fairness and Equality Fairness and equality, contains elements of similarity of treatment and opportunity. Allah says in Surah Al Maidah/5:8, which means: “O ye who believe be the one to always uphold the truth of God, bearing witness with justice. Let not the hatred towards people (groups), cause you to be unfair. Be fair because it is closer to piety. And fear Allah, for Allah is Aware of what you are doing”. Fairness is one manifestation of justice in the business world. Every business decision, both in the scale of individuals and institutions, should be made according to fairness and equality in line with things that are usually applicable, and not decided based on their likes and dislikes. Responsibility In relation to the principle of responsibility, sharia businesses must comply with sharia laws and regulations and provisions of sharia business, as well as carrying out the responsibilities towards society and the environment, as His word contained in An Nisa/4:59: “O ye who believe! Obey Allah, the Messenger and the ulil amri among you …”. With this responsibility, then sharia business entities can be maintained in the long-term and received recognition as a good businessperson (good corporate citizen). Hasanah Banking Partner Management Discussion and Analysis 226 Annual Report 2017
227. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Commitment to Implement GCG Principles in 2017 Transparency Accountability Responsibility • Press Conference on Corporate Performance on a quarterly basis. • Transparency of material info through Website • Submitting reporting obligations to OJK and other agencies in a timely manner. • Issuing an Annual Report detailing the business activities of BNI Syariah for one fiscal year and is accountable through the GMS. • Having a Corporate Secretary who fosters communication and transparency with shareholders and other stakeholders. • GCG Sounding from the board to the employees to form synergy together in order to achieve the company’s vision and mission. • Management defines strategies, plans, and targets through Business Strategy, including in the context of change management. • Every organ of the company understands its functions, duties, and responsibilities through updated policies and urjab. • BNI Syariah has a Division in-charge of policy management in the company. • BNI Syariah has an Electronic Corporate Guidelines information system, so that every employee can access internal policies. • There is a performance measurement assessment system for the board and employees and has a system of rewards and sanctions. • The Bank has a Compliance Division that has a specific duty to ensure that the company complies with the applicable regulations. • It has three lines of defense internal control system, which are Internal Audit Division, Compliance Division, and Operational Division. Branch office has Branch Internal Controller. • Has an electronic information system: Compliance Information System, as a media for administrators and employees to access updated external regulations, and compliance opinion/reviews. • Whistleblowing System. • Board of Directors and Board of Commissioners are responsible for the management and supervision of one fiscal year in the Annual GMS. Transparency Accountability • Every member of Board of Directors, Board of Commissioners, and Sharia Supervisory Board of BNI Syariah do not have a family relationship up to the second degree. • Having Independent Commissioner in the Composition of Board of Commissioners. • Each member of Board of Directors, Board of Commissioners, Sharia Supervisory Board, and members of the Committee under the Board of Commissioners of BNI Syariah is an independent party and always acts independently to the Majority Shareholders. • Having policies related to conflict of interest and gratification (in code of ethics). • The shareholders votes, both majority and minority, become the basis for every resolution of the shareholders or GMS (equal treatment). • BNI Syariah provides access for every stakeholder including customers and the wider community to provide opinions, inputs, and criticism through various media such as email, social media, and contact center. • The reward and punishment system of employees is done fairly through the decisions of the Human Resources Committee (Committee under the Board of Directors). Corporate Values BNI Syariah has several concepts of values that are mandatory to be enforced: Amanah Jamanah Values • Amanah: One of the Prophet’s behaviors, which literally means “trustworthiness”. In the work culture of BNI Syariah, Amanah refers to “Responsibly performing duties to obtain optimum results”. • Jamaah: The concept of collectivity in Islam in conducting worship by prioritizing togetherness and the importance of collective work under one supervision. In the work culture of BNI Syariah, Jamaah refers to “A synergy in performing duties and responsibilities”. Hasanah Banking Partner 227 Annual Report 2017
228. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis Hasanah Values 6 . Pelopor Kebaikan QS. An-Nisa : 85 “Whoever intercedes for a good cause will have a reward therefrom. And whoever intercedes for an evil cause will have a burden therefrom. And ever is Allah, over all things, a Keeper.” 1. Sapu Jagad QS. Al-Baqoroh: 201 “But among them is he who says: “Our Lord, give us in this world [that which is] good and in the Hereafter [that which is] good and protect us from the punishment of the Fire.” 5. Teladan 2. Transformasi QS. Al-Ahzab: 21: “There has certainly been for you in the Messenger of Allah an excellent pattern for anyone whose hope is in Allah and the Last Day and [who] remembers Allah often.” 4. Amnesty QS. Hud: 114 “And establish prayer at the two ends of the day and at the approach of the night. Indeed, good deeds do away with misdeeds. That is a reminder for those who remember.” Hasanah Banking Partner QS. An-Nahl: 41 “And those who emigrated for [the cause of] Allah after they had been wronged, We will surely settle them in this world in a good place. But the reward of the Hereafter is greater, if only they could know.” 3. Strategi Komunikasi QS. An-Nahl: 125 “Invite to the way of your Lord with wisdom and good instruction, and argue with them in a way that is best. Indeed, your Lord is most knowing of who has strayed from His way, and He is most knowing of who is [rightly] guided.” 228 Annual Report 2017
229. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Sharia Maqosyid Values 1 Protecting Religion Hifdz Diin 2 5 Protecting Soul Protecting Wealth Hifdz Nafs Hifdz Maal MAQOSHID SYARIAH 4 3 Protecting Mind Protecting Lineage Hifdz Aql Hifdz Nasb 1 . Hifdz Diin – Protecting Religion QS. As Syura : 13 ۟ ُ‫وا ٱل ِّدينَ َو َل تَتَفَ َّرق‬ ۟ ‫ص ْينَا ب ِٓۦه إب ْٰر ِهيم َو ُمو َس ٰى َو ِعي َس ٰ ٓى أَ ْن أَقِي ُم‬ ‫وا فِي ِه َكبُ َر َعلَى‬ َ ‫ِّين َما َوص َّٰى بِ ِهۦ نُوحًا َوٱلَّ ِذى أَوْ َح ْينَآ إِلَ ْي‬ ِ ِ َّ ‫ك َو َما َو‬ َ ِ ‫َش َر َع لَ ُكم ِّمنَ ٱلد‬ ْ َ ‫ٱل ُم ْش ِر ِكينَ َما تَ ْدعُوهُ ْم إِلَ ْي ِه‬ ُ‫ى إِلَ ْي ِه َمن يُنِيب‬ ٓ ‫ٱللُ يَجْ تَبِ ٓى إِلَ ْي ِه َمن يَ َشآ ُء َويَ ْه ِد‬ It means: He has ordained for you of religion what He enjoined upon Noah and that which We have revealed to you and what We enjoined upon Abraham and Moses and Jesus that is: To establish the religion and not be divided therein. Difficult for those who associate others with Allah is that to which you invite them. Allah chooses for Himself whom He wills and guides to Himself whoever turns back (to Him). Hasanah Banking Partner 229 Annual Report 2017
230. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis 2 . Hifdz Nafs – Protecting Soul QS. Al-Maidah : 32 ‫اس َج ِميعًا‬ َ َّ‫اس َج ِميعًا َو َم ْن أَحْ يَاهَا فَ َكأَنَّ َما أَحْ يَا الن‬ َ َّ‫ض فَ َكأَنَّ َما قَتَ َل الن‬ ٍ ‫َم ْن قَتَ َل نَ ْفسًا بِ َغي ِْر نَ ْف‬ ِ ْ‫س أَوْ فَ َسا ٍد فِي ْالَر‬ It means: Whoever kills a soul unless for a soul or for corruption (done) in the land, it is as if he had slain mankind entirely. And whoever saves one, it is as if he had saved mankind entirely. 3. Hifzd Aql – Protecting Mind QS. Al-Maidah : 90 َ‫صابُ َو ْٱلَ ْز ٰلَ ُم ِرجْ سٌ ِّم ْن َع َم ِل ٱل َّشي ْٰط ِن فَٱجْ تَنِبُوهُ لَ َعلَّ ُك ْم تُ ْفلِحُون‬ َ ‫ٰيَٓأَيُّهَا ٱلَّ ِذينَ َءا َمنُ ٓو ۟ا إِنَّ َما ْٱل َخ ْم ُر َو ْٱل َمي ِْس ُر َو ْٱلَن‬ It means: O you who have believed, indeed, intoxicants, gambling, (sacrificing on) stone alters (to other than Allah), and divining arrows are but defilement from the work of Satan. So, avoid it that you may be successful. 4. Hifzd Nasb – Protecting Lineage QS. Al-Isra : 32 ۟ ‫َل تَ ْق َرب‬ ً ِ‫ُوا ٱل ِّزن ٰ َٓى إِنَّهۥُ َكانَ ٰف ِح َشةً َو َسآ َء َسب‬ َ‫يل‬ It means: And do not approach unlawful sexual intercourse. Indeed, it is ever an immorality and is evil as a way. 5. Hifdz Maal – Protecting Wealth QS. Al-Baqarah : 279 ۟ ُ‫وا فَأْ َذن‬ ۟ ُ‫فَإن لَّ ْم تَ ْف َعل‬ ْ ُ‫َظلِ ُمونَ َو َل ت‬ ْ ‫ب ِّمنَ ٱهللِ َو َرسُولِ ِهۦ َوإِن تُ ْبتُ ْم فَلَ ُك ْم ُر ُءوسُ أَ ْم ٰولِ ُك ْم َل ت‬ َ‫ظلَ ُمون‬ ٍ ْ‫وا بِ َحر‬ ِ It means: And if you do not, then be informed of a war (against you) from Allah and His Messenger. But if you repent, you may have your principal. Thus, you do no wrong, nor are you wronged. Hasanah Banking Partner 230 Annual Report 2017
231. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment ROADMAP OF COMPANY GOVERNANCE Internalization of GCG principles in BNI Syariah operation is a manifestation of commitment to uphold the principles of good governance . Roadmap is prepared to give an overall picture of the various aspects of corporate governance needs to be improved at every stage. 2017 -TO THE FUTURE (Company’s Incorporation) Structure and Infrastructure runs according to the provisions (GCG Guidelines, Board Manual of Board of Directors & Board of Commissioners, Committees’ Charters). 2012-2016 2010-2011 In order to maintain the continued implementation of GCG principles, the management of BNI Syariah has set a long-term plan of GCG implementation based on the following roadmap: Improvement of GCG instrument and mechanism sustainably, the Company issues sukuk, appoints Corporate Secretary, and sets up a work unit (PIC) of GCG Monitoring. Year 2010-2011 At the beginning of the establishment of BNI Syariah in 2010-2011, the management established Governance Structure consisting of the organizational structure and the internal policies according to the company’s needs and the applicable laws and regulations. Several efforts were among others the formation of committees under the Board of Commissioners and its chapters, the Board of Directors and Board of Commissioners Manual, and Policy of GCG Guidelines. Fulfillment of the structure and infrastructure are expected to drive the effective implementation of GCG principles in the Bank as a whole. Hasanah Banking Partner 231 External Assessment, Synergy with Parent’s Integrated Committee, continuous Socialization through internal media such as WBS system, Electronic Corporate Guidelines (ECG), Compliance Information System (CIS), and updates of GCG guidelines. Year 2012-2016 From 2012-2016, the management continually made improvements to the structure, infrastructure and implementation process of GCG in overall so as to realize the expected results. The Bank made improvements based on the results of self-assessment in each semester as part of the assessment report of the level of Bank soundness to FSA. The improvements were, among others: 1. BNI Syariah always implement transparency in corporate management and disclosure of financial and nonfinancial conditions timely to the stakeholders. Annual Report 2017
232. Performance 2017 Management Report Company Profile Business Supporting Function 9 . BNI Syariah already has rules regarding prohibition against receipting and/or giving gifts for the implementation of GCG through Circular Letter of the Board of Directors and always disseminate the prohibition against giving and/or receiving gifts to all branches/units/divisions annually. 10. Fine Tuning of BNI Syariah organization by: a. Establishing unit/section/division serving as the Corporate Secretary to ensure the compliance of the implementation of GCG regulations as well as carrying out the duties and functions as Corporate Secretary. b. Separating between Units of funds with units carrying out consumer financing that previously was part of one unit in order to create a better business management and risk management. 11. Having and disseminating Compliance Information System (CIS), which serves as the basis of data/ documents associated with the organization, external and internal regulations that can support internal and external regulatory compliance timely. 12. Selecting officials at BNI Syariah branch offices that have high business complexity to perform the functions of APU and PPT on those branches. 13. In 2016, BNI Syariah conducted the assessment of GCG externally (Corporate Governance Perception Index/CGPI) through The Indonesian Institute for Corporate Governance (IICG). Based on such assessment, BNI Syariah managed to get CGPI Award for Trusted Company category. 14. BNI Syariah updated policies such as manuals of the Board of Directors and Board of Commissioners, as well as guidelines for the Implementation of GCG. BNI Syariah also issued the guidelines for conflict of interest that is expected to create a culture of anti-conflict of interest for the management and employees of BNI Syariah, as well as reducing the potential fraud. 15. During the period 2015-2016, BNI Syariah carried out the synergy of integrated governance with BNI Induk as the majority Shareholders through the Integrated Governance Committee of BNI Induk. 2. 2. BNI Syariah always carry out the disclosure of share ownership of the Board of Directors and the Board of Commissioners, conflict of interest and submission of financial statements to stakeholders and other parties specified in the laws and regulations. 3. BNI Syariah always present and submit the report to the competent authorities and other related parties according to the regulations of Bank Indonesia, FSA, and the prevailing laws and regulations in a timely manner. 4. BNI Syariah already has a Compliance Unit serving as a 2nd line of defense (ex ante) which always ensure that policies, regulations, systems and procedures as well as business activities conducted by the Bank are in accordance with the regulations of Bank Indonesia, the Financial Services Authority and the prevailing laws and regulations, including Sharia Principles and ensuring compliance of the Bank with commitments made by the Bank to Bank Indonesia and/or other competent supervisory authorities. 5. BNI Syariah has the Anti-Fraud Unit that always implements anti-fraud strategy among others by: a. Handling fraud and fraud incident reporting to the competent authorities regularly and timely; b. Signing an integrity pact by all Employees of BNI Syariah; c. Implementing fraud control strategy through Monday Reminder (MORE), program, Anti-Fraud Sharing Session (AFSS) program, Program Alert System (PAS), Buku Saku BNI Syariah (BAS) program, and Forum Anti Fraud (FAF); d. Dissemination of Whistle Blowing System (WBS) as a means of reporting irregularities/customers in nature of confidential and have the mechanism of protecting whistleblowers. 6. BNI Syariah has Code of Ethics for Employees of BNI Syariah serving as the guidance and behavior for all BNI Syariah’s employees in carrying out daily tasks, taking actions, and behaving well with colleagues, business partners and other parties. 7. BNI Syariah has manual of Sharia Supervisory Board that is regularly updated and adapted to the current laws and regulations. 8. BNI Syariah made improvements to the guidelines for implementation of Anti-Money Laundering (APU) and Prevention of Terrorism Financing (PPT) programs intended for branch/unit/division. Hasanah Banking Partner Management Discussion and Analysis 232 Annual Report 2017
233. Human Capital Good Corporate Governance Corporate Social Responsibility 6 . The management continuously makes efforts in GCG sounding to all employees in order to improve the awareness of GCG. These efforts are made through a variety of media: a. Letter of the Board of Directors to all employees, members of the Board of Directors, Board of Commissioners, and Sharia Supervisory Board, and one of them is about the suggestion on not receiving and giving gifts during Eid; b. Dissemination of the laws and regulations through the Compliance Information System (CIS); c. Dissemination of internal policies through Electronic Corporate Guidelines (ECG). Year 2017 1. In the beginning of 2017, all members of the Board of Commissioners, and the Board of Directors and all BNI Syariah’s employees signed the “GCG Commitment”. 2. Updating the display of website by benchmarking to BNI Induk. 3. Management Visit (Manajemen Menyapa) program, where the Board of Directors visit each branch to communicate the vision, mission, and corporate values, and for supervision. 4. To maintain the compliance of the company with more effective regulation, the status of compliance work unit is raised to the Compliance Division. 5. To better improve the quality of the company’s internal policies and the employees’ awareness of internal policies, a separate work unit is formed to manage the company policy which is Policy and Governance Desk (PGD). Hasanah Banking Partner Attachment 233 Annual Report 2017
234. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis THE ADVANTAGES OF GCG IMPLEMENTATION FOR BNI SYARIAH 3 . Establishing a good image for BNI Syariah as one of the Islamic Banks in Indonesia. A good image will certainly increase trust for customers, investors, and business partners to cooperate with BNI Syariah. Besides that, indirectly, BNI Syariah will contribute to the progress of sharia banking in Indonesia. 4. Conducting business in Islamic way which drives: • The awareness and commitment to increasing piety, benefits, and blessing in doing business. • The decision making in business which is based on Islamic moral values and compliance with the laws and regulations. • Sustainability of sharia business entity through the management based on business practices with the character and traits of Prophet Muhammad PBUH. • Empowerment of functions and independence of each institutional organ of sharia business entity concerned. • Social responsibility and awareness of the benefit of mankind and the environmental sustainability. • Optimizing of sharia business value for stakeholders. • Development of Islamic economy in quantity and quality as well as universal benefits. The general principles of Good Governance are in line with Sharia principles. The business practices exemplified by Prophet Muhammad describe his characters and behaviors, as are agreed by all scholars, which are shidiq (right), fathonah (intelligent), amanah (trustworthy) and tabligh (delivering) or abbreviated to ShiFAT. From the four Prophet and Messenger’s ShiFAT, the principles of Sharia Business Good Governance can be derived. These principles are in line with Good Corporate Governance (GCG) principles, that are generally applied in the business world, which are transparency, accountability, responsibility, independence, fairness and equality. Implementation of GCG (the principles of transparency, accountability, responsibility, professionalism and fairness) based on the standards set by regulations or best practices in a consistent manner accompanied by sustainable improvement, will provide enormous benefits for BNI Syariah, as follows: 1. The company will have the foundation and mechanism of solid corporate governance, namely in terms of sufficiency of structure and infrastructure of high quality corporate governance so it will lead to a satisfying process and outcome of governance. This is showed through the better decision-making process (transparent, objective and following the internal procedures and regulations), the reduction of the potential conflict of interest, fraud, corruption, collusion and nepotism, and operational activities that run effectively and the performance of the company which generally increases. Moreover, the upholding of the GCG principles is also carried out in order to realize a sustainable Bank. 2. The increase in corporate values indicates the increase in financial performance so that it gives satisfaction to the shareholders. The high trust of shareholders will generate a harmonious relationship with mutual synergy so that it gives a positive influence on the development of BNI Syariah in the future. Hasanah Banking Partner 234 Annual Report 2017
235. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment 2017 FOCUSES OF GCG 5 . The campaign of GCG especially related to conflict of interest and suggestion of not receiving gifts during Eid through internal media of BNI Syariah regularly via email blast, stickers, sheco (internal email) to employees of BNI Syariah across Indonesia. 6. Dissemination of Electronic Corporate Guidelines (ECG) at BNI Syariah portal as an internal application for each employee to access internal corporate policies, including policies related to GCG. 7. Dissemination of Compliance Information System (CIS) at BNI Syariah portal as an internal application for each employee to access the laws and regulations issued by the regulatory agencies as well as to read the compliance opinion made periodically by the compliance work unit of BNI Syariah. The focuses of GCG in 2017 are to update, to improve, and to disseminate GCG in order to improve the awareness and embed the commitment of GCG into each employee of BNI Syariah. The focuses of GCG were among others: 1. Signing compliance commitment to GCG principles by the management and all employees. 2. Raising the status of Compliance Work Unit to the Compliance Division. 3. Establishing Corporate Policy Admin Work Unit which is Policy and Governance Desk (PGD) to better improve the quality of corporate internal policies. 4. “Management Visit” Agenda which means the Board of Directors visits branches of BNI Syariah to exercise supervision to branches as well as communicate the vision and mission of the management to the employees at branches. Hasanah Banking Partner 235 Annual Report 2017
236. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis DISSEMINATION OF GCG BNI Syariah realized that the enhancement of GCG implementation (GCG excellence) in the business operations of BNI Syariah must be supported by GCG Awareness and Commitment which are the awareness, insight, and commitment of the management and all employees regarding the GCG itself, and therefore, during 2017, the management made the following efforts related to GCG Sounding: 1. Signing compliance commitment to GCG principles by the management and all employees. 2. “Management Visit” Agenda which means the Board of Directors visits branches of BNI Syariah to exercise supervision to branches as well as communicate the vision and mission of the management to the employees at branches. 3. The campaign of GCG especially related to conflict of interest and suggestion of not receiving gifts during Eid through internal media of BNI Syariah regularly via email blast, stickers, sheco (internal email) to employees of BNI Syariah across Indonesia. 4. Provision of Electronic Corporate Guidelines (ECG) at BNI Syariah portal as an internal application for each employee to access internal corporate policies, including policies related to GCG. 5. Provision of Compliance Information System (CIS) at BNI Syariah portal as an internal application for each employee to access the laws and regulations issued by the regulatory agencies as well as to read the compliance opinion made periodically by the compliance work unit of BNI Syariah. Hasanah Banking Partner 236 Annual Report 2017
237. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment ASSESSMENT OF GCG IMPLEMENTATION BNI Syariah periodically measures the implementation of GCG principles in its daily operations of the company . This measurement is to ensure the increased quality of GCG implementation on an ongoing basis into business processes. 2016 ASSESSMENT OF GCG In 2016, BNI Syariah has conducted the self-assessment of GCG for the period ended on 31 December 2016, with the following details: Time of Implementation : January 2017 Assessor : PT Bank BNI Syariah Criteria that is used : SEOJK No. 10/SEOJK.03/2014 on Assessment of Level of Bank Soundness for Sharia Commercial Banks and Sharia Business Units The following was the self-assessment result of GCG for 2016: CONCLUSION: Based on the analysis on all assessment criteria/indicators above, it is concluded that: A. Governance Structure 1. The positive factors of BNI Syariah governance structure aspects are the following criteria: i. Implementation of Duties and Responsibilities of the Board of Commissioners From the self assessment result on the governance structure on these criteria, it can be concluded that the composition and criteria of the Board of Commissioners appointed based on the implementation of Annual GMS of 2016 (fiscal year 2015) are appropriate and adequate to carry out the duties and responsibilities for the interests of BNI Syariah and stakeholders. Implementation of Annual GMS as stipulated in the Notary Deed of Minutes No. 28 dated 2 February 2016 has appointed the composition of the Board of Commissioners with the following composition: Mr. Fero Poerbonegoro as President Commissioner, Max Niode as Commissioner, Rizqullah as Independent Commissioner, and Muhammad Syakir Sula as Independent Commissioner. ii. Implementation of Duties and Responsibilities of Board of Directors The composition and criteria of the Board of Directors appointed based on the implementation of Annual GMS of 2016 (fiscal year 2015) are appropriate and adequate to carry out the duties and responsibilities for the interests of BNI Syariah and stakeholders. Composition of Board of Directors after the implementation of Annual GMS as stipulated in the Notary Deed of Minutes No. 28 dated 2 February 2016 has the following composition: Mr. Imam Teguh Saptono as President Director, Mr. Junaidi Hisom as Director of Operations and Network, Mr. Kukuh Rahardjo as Director of Consumer Business, and Mrs. Tribuana Tunggadewi as Director or Risk and Compliance. iii. Completeness and Implementation of the Committee’s Duties The composition, competence, and criteria of Audit Committee, Remuneration and Nomination Committee, and Risk Monitoring Committee are in accordance with the applicable laws and regulations. However, the Independent Commissioner in charge of several committees is still undergoing fit and proper test in OJK. iv. Implementation of Duties and Responsibilities of the Sharia Supervisory Board; The composition, competence, reputation, and independence of DPS BNI Syariah are in accordance with the applicable regulations, thus, DPS BNI Syariah can carry out the tasks and responsibilities well. v. Implementation of Sharia Principles in Fundraising Activities and Distribution of Funds and Services In general, BNI Syariah has conducted fund raising activities, distribution of funds, and services in accordance with sharia principles and applicable provisions. This is supported by adequate competence of DPS BNI Syariah. vi. Management of Conflict of Interest BNI Syariah has had a policy that aims to prevent transactions containing conflict of interest. In 2016, BNI Syariah issued Implementation Guidelines of Conflict of Interest No. PP/S02/004- 00/2016 dated 27 December 2016. vii. Implementation of Bank Compliance Function The composition, competence, and criteria of BNI Syariah compliance work unit has complied with the applicable provisions. viii. Implementation of Internal Audit Function The organizational structure of the Internal Audit of BNI Syariah is in compliance with the applicable provisions. BNI Syariah also has the Internal Audit Charter, internal audit guidelines, and Internal Audit competent human resources in order to support the implementation of tasks and responsibilities of internal audit unit. Hasanah Banking Partner 237 Annual Report 2017
238. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis ix . Implementation of External Audit Function Assignment of audit to Public Accountants and KAP has met the applicable provisions. x. Maximum Limit of Fund Distribution BNI Syariah already has policies, systems, and procedures regarding provision of funds to related parties and large exposures, including monitoring and settlement of the problem. xi. Transparency of Financial and Non-Financial Condition BNI Syariah has been implementing transparency of financial and non-financial condition in accordance with applicable regulations. BNI Syariah has established policies and procedures on the procedures to implement the transparency of financial and non-financial conditions, as outlined in: • Accounting Policies in Financial Statements reviewed by the Board of Directors each year; • The procedures outlined in BPP: Journal of Islamic Accounting, Stelsel Islamic Accounts and Explanation, Islamic Accounting Policies, HB Assets and Liabilities Other than Productive Assets and Fixed Assets, Reconciliation and Post Open Policy, Operations and Accounting Center. 2. The negative factors of BNI Syariah governance structure aspects are in the following criteria: i. Implementation of Duties and Responsibilities of the Board of Commissioners Two of the members of Board of Commissioners, who are Mr. Muhammad Syakir Sula as Independent Commissioner and Mr. Max Niode as Commissioner, are still undergoing the process of fit and proper test. File submission process of fit and proper test to OJK by the Board of Commissioners has been done, and in the near future the four members of Board of Commissioners are expected to effectively serve. ii. Implementation of Duties and Responsibilities of Board of Directors Appointment of Mrs. Tribuana Tunggadewi as Director of Risk and Compliance is not yet effective. To fill in the vacancy of Director of Risk and Compliance, the Board of Commissioners through its decree has appointed Mr. Junaidi Hisom as the Implementer of the Responsibility of Director of Risk and Compliance. This is only to support the internal corporate governance and is valid until the GMS appointed official has been effective or the vacant position of Director of Risk and Compliance has been filled. iii. Completeness and Implementation of the Committee’s Duties The Independent Commissioner, Mr.Muhammad Syakir Sula, in charge of several committees is still undergoing fit and proper test in OJK. B. Governance Process 1. The positive factors of BNI Syariah governance process aspects are in the following criteria: i. Implementation of Duties and Responsibilities of the Board of Commissioners From the self assessment results on the governance process, it can be concluded that the appointment/replacement of members of Board of Commissioners, the implementation of duties and responsibilities including supervision measures, the evaluation and independence of the Board of Commissioners has been adequate. Appointment of members of Board of Commissioners has been through the nomination process in the Remuneration and Nomination Committee of BNI Syariah. In addition, the condition of 2 (two) members of Board of Commissioners that has not been effective did not interfere with the implementation of supervisory duty of Board of Commissioners on day-to-day. ii. Implementation of Duties and Responsibilities of Board of Directors That with the fulfillment of governance structure on these criteria, it can be concluded that the Board of Directors has carried out its duties and responsibilities adequately. Appointment/replacement of Board of Directors is in accordance with the provisions of legislation, the implementation of GCG has been optimized, and audit findings have been followed up based on the recommendation of the relevant parties, as well as other matters related to the governance process have been met and provided optimal results. Appointment of members of Board of Directors has been through the nomination process in the Remuneration and Nomination Committee of BNI Syariah. Furthermore, the Director of Risk and Compliance that has not been effective did not interfere with the implementation of supervisory duty of Board of Directors on day-to-day. iii. Completeness and Implementation of the Committee’s Duties Audit Committee, Remuneration and Nomination Committee, and Risk Monitoring Committee carry out their duties and functions adequately and in accordance with the applicable regulations. iv. Implementation of Duties and Responsibilities of the Sharia Supervisory Board Appointment/replacement of members of DPS BNI Syariah and the implementation of duties and responsibilities have been going well, where DPS BNI Syariah has been appointed and carries out the duties and responsibilities in accordance with the applicable regulations. v. Implementation of Sharia Principles in Fundraising Activities and Distribution of Funds and Services DPS BNI Syariah has conducted monitoring on matters related to compliance with Sharia Principles in fund raising activities, disbursement of funds, and services by conducting a discussion and review of the policy plan and assess the implementation by providing sharia opinions. vi. Management of Conflict of Interest During the second semester of 2016, there was no transactions containing conflict of interest involving Board of Directors, Board of Commissioners, and DPS, either directly or indirectly. vii. Implementation of Bank Compliance Function Implementation of BNI Syariah’s compliance has been conducted in accordance with the provisions of laws. The duties and responsibilities of the Director of Compliance and the compliance work unit has been carried out properly and adequately. Hasanah Banking Partner 238 Annual Report 2017
239. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment viii . Implementation of Internal Audit Function With the fulfillment of the governance structure of these criteria, BNI Syariah has implemented an internal audit function effectively in all aspects and elements of BNI Syariah activities. BNI Syariah Internal Audit has carried out its duties and responsibilities in accordance with applicable regulations. ix. Implementation of External Audit Function In the implementation of audit of the Bank’s financial statements, BNI Syariah has appointed Public Accountant and KAP registered in the Financial Services Authority that is able to work independently, meet professional standards of public accountant and agreements of work and audit scope defined, and able to communicate with the competent authorities. x. Maximum Limit of Fund Distribution With the fulfillment of the governance structure on these criteria, BNI Syariah has evaluated and updated policies, systems, and procedures that are owned related to BMPD periodically, to comply with the applicable provisions and regulations, and has ensured the provision of funds to related parties and provision of large exposure are in accordance with the prudential principle. xi. Transparency of Financial and Non-Financial Condition BNI Syariah has implemented the transparency of financial and non-financial condition in accordance with the provisions of applicable legislation through submission of financial and non-financial statements to related parties in a timely manner and has transparent product information according to the provisions applicable to the Customer and other parties. 2. Negative factors of governance process aspects of BNI Syariah There are no negative factors of governance process aspects of BNI Syariah. C. Governance Outcome 1. The positive factors of BNI Syariah governance outcome aspects are in the following criteria: i. Implementation of Duties and Responsibilities of the Board of Commissioners Each duty and responsibility of the Board of Commissioners has been optimized and has complied with the provisions of legislations, one of which is monitoring and evaluation conducted by the Board of Commissioners, resulting in improved performance of BNI Syariah with comparison of Semester II 2015 to Semester II 2016. ii. Implementation of Duties and Responsibilities of Board of Directors Governance outcome in these criteria is to have implemented the duties and responsibilities of Board of Directors optimally, then the effectiveness of the implementation of duties and responsibilities of Board of Directors are adequate. iii. Completeness and Implementation of the Committee’s Duties Implementation of duties and responsibilities of the Committee has given satisfying results. iv. Implementation of Duties and Responsibilities of the Sharia Supervisory Board The composition, competence, and criteria for sufficient DPS BNI Syariah so that the duties and responsibilities as DPS BNI Syariah can be implemented based on the applicable regulations. v. Implementation of Sharia Principles in Fundraising Activities and Distribution of Funds and Services Fund raising activities, disbursement of funds, as well as services by BNI Syariah already has SOPs in accordance with sharia principles. vi. Management of Conflict of Interest With the fulfillment of the governance structure and governance process on these criteria, BNI Syariah does not experience any conflict of interest that may reduce assets of BNI Syariah or reduce profits of BNI Syariah, which has been disclosed in any decision and has been well-documented. Operational of BNI Syariah is free from the intervention of Shareholders/related party/other parties. vii. Implementation of Bank Compliance Function With the fulfillment of the governance structure and governance process on these criteria, the implementation of the compliance function of BNI Syariah provides sufficient results. viii. Implementation of Internal Audit Function With the fulfillment of governance structure and governance process on these criteria, it has fulfilled the duties and responsibilities of the Internal Audit of BNI Syariah adequately. BNI Syariah Internal Audit in carrying out its audit is already in compliance with the provisions of independence and objectivity of the audit. ix. Implementation of External Audit Function Auditors act objectively in conducting the audit. Audit results and management letter have described the significant problems of BNI Syariah and submitted to OJK by the appointed KAP in a timely manner. x. Maximum Limit of Fund Distribution BNI Syariah has submitted periodic reports to the Financial Services Authority about BMPD in timely manner. Implementation of the provision of funds by BNI Syariah to related parties and/or provisions of large exposures have met the applicable provisions on BMPD and paid attention to the prudential principle and the applicable legislations as well as the capability of capital and dissemination/diversification of provision of funds portfolio. xi. Transparency of Financial and Non-Financial Condition BNI Syariah has submitted its Annual Report, GCG implementation report to the related parties in a timely manner as specified by the Law and have implemented transparency of information on the products and use of customers’ personal data. Hasanah Banking Partner 239 Annual Report 2017
240. Performance 2017 2 . Management Report Company Profile Business Supporting Function Management Discussion and Analysis Negative factors of governance process aspects of BNI Syariah i. Implementation of Compliance Function Based on the data contained in the implementation report of compliance function, position of 1 July 2016 to 30 December 2016, it is concluded that there was a violation that imposed penalty for BNI Syariah amounting to Rp 555,000. The penalty amount was lower than the penalty amount of the period of 1 January 2016 to 30 June 2016, amounting to Rp 26,063,750, a decrease of Rp 25,508,750 or 98%. The penalty nominal is still included in low category, where the maximum threshold of low category is of Rp200 million. Based on the 2016 self-assessment results, there were a number of recommendations to improve the quality of GCG implementation. Recommendation Follow-Up Completing the composition of Board of Directors and Board of Commissioners and processing the OJK fit and proper test for members of Board of Directors and Board of Commissioners who have not passed the fit and proper test yet or have not been effective yet. As of 31 December 2017, the composition of BNI Syariah Board of Commissioners and Board of Directors is as follows: Board of Commissioners President Commissioner: Fero Poerbonegoro Independent Commissioner: Rizqullah Independent Commissioner: Max R. Niode Independent Commissioner: Muhammad Syakir Sula* Board of Directors President Director: Abdullah Firman Wibowo** Director of Operations and Network: Junaidi Hisom Director of Business: Dhias Widhiyati Director of Compliance & Risk: Tribuana Tunggadewi note* = not yet effective/still in the process of OJK fit and proper test. note** = not yet effective until the end of 2017, already effective per 13 March 2018. Increasing the Company’s compliance. • Increasing the status of Compliance Unit to Compliance Division. • Establishing a Governance and Policy Work Unit. Increasing transparency to public. BNI Syariah has upgraded the company's website display with benchmark to BNI Parent. Improving the company’s internal accountability. The Board of Directors conducts “Management Visit” program, which is delivering the company's vision, mission, and business plan to employees in the branches in order to create synergy. of assessment defined, BNI Syariah was able to win an award in the category of Trusted Company. 2017 ASSESSMENT OF GCG In 2017, in addition to conducting the self-assessment in accordance with the BI/FSA regulations which require the Bank performs internal self-assessment (internal selfassessment) of the implementation of GCG, BNI Syariah also carried out the measurement of the quality of GCG implementation by an independent external party. Corporate Governance Perception Index (CGPI) 1. Mechanism of Research Program Assessment and rating of Corporate Governance Perception Index 2016 (abbreviated to CGPI 2016) was held in 2017 with the theme “Good Corporate Governance in the framework of “Change Management”, held in July to October 2017, with the following stages: a. Self-assessment (SA) i.e. knowing the perception of corporate stakeholders both internal and external of GCG implementation in the form of a questionnaire that presents the questions about GCG needed to be answered by the respondents. Respondents including all interested parties (stakeholders) of the company. Question of As for the results of the two GCG assessment were as follows: External Assessment BNI Syariah in 2017 joined the assessment of GCG externally namely Corporate Governance Perception Index (CGPI) through independent institution which is The Indonesian Institute for Corporate Governance (IICG). In the CGPI Award event regarding the framework Hasanah Banking Partner 240 Annual Report 2017
241. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment • Governance Process; • Governance Outcome. 2. The benefits of CGPI are as follows: a. To improve the completeness of insufficient implementation of GCG in the company and to map strategic problems occuring in the company especially the implementation of GCG. b. To drive the organizational capability of the members of the company in implementing GCG. c. To increase common awareness in the internal circle of the company and stakeholders of the importance of GCG in order to achieve a sustainable growth. d. To improve the quality of implementation in order to build the competitiveness and realize the corporate sustainability. 3. 3. The Assessment Result Based on the Assessment Results of CGPI, BNI Syariah earned the score of 84,50 with the title “Trusted” and Achieving the Ranking of “The Trusted Company”. The details are as follows: questionnaires of SA covers several assessment aspects ranging from the commitment, TARIF (transparency, accountability, responsibility, independence and fairness) principles, etc. b. The documentation system i.e. an assessment of the documentation system of the company among others related to documentation of policies, mechanisms, and the results of system implementation, the concept of CGC, and other matters related to the achievement of performance, accountability, responsibility, and upholding the GCG principles. c. Observation i.e. a confirmation of the information occurs where the assessor reviews the company by joining discussion with the Board of Directors, Board of Commissioners, and the management related to assessment aspects. The observation result will help the assessors in confirming the information obtained in 3 stages of further assessment before giving the final score ratings. d. Assessment Aspects of GCG in the Perspective of Learning Organization are: • Governance Structure; 84,50 PT Bank BNI Syariah 28,09 Governance Structure 28,72 Governance Process During semester 1 and 2 of 2017, based on the selfassessment, BNI Syariah obtained the 2nd rank, i.e. “The management of BNI Syariah has performed Good Corporate Governance that in general is GOOD. This was reflected from the implementation of Good Corporate Governance principles in an adequate manner. If there were weaknesses in the implementation of Good Corporate principle thus in general the weaknesses are less significant and can be settled by normal measures by the management of BNI Syariah.” Self/Internal Assessment In each semester, BNI Syariah performs the selfassessment of GCG implementation in the company as one of the factors of assessment report of the level of Bank soundness which is mandatory to be submitted to the FSA. Hasanah Banking Partner 27,69 Governance Outcome 241 Annual Report 2017
242. Performance 2017 Management Report Company Profile Business Supporting Function In detail , the fulfillment of 11 GCG Implementation Aspects in BNI Syariah based on Self-Assessment in semester 2 of 2017 were as follows: Management Discussion and Analysis SELF-ASSESSMENT REPORT OF GOOD CORPORATE GOVERNANCE (GCG) Bank Name : PT Bank BNI Syariah Position : Semester II of 2017 Individual Ratings Definition of Ratings 2 “The Management of BNI Syariah has conducted Good Corporate Governance that in general is GOOD. This is reflected from the adequate implementation of Good Corporate Governance principles. In the event of weakness in the implementation of Good Corporate Governance Principles, this weakness is generally less significant and can be resolved by normal actions by the Management of BNI Syariah.” Analysis Out of 4 (four) members of the Board of Directors, 1 (one) member of the Board of Directors has not yet effective until the end of 2017. i.e. Mr. Abdullah Firman Wibowo as the President Director because he is still undergoing the process of fit and proper test from the FSA. Mr. Abdullah Firman Wibowo was effective as of 13 March 2018. Moreover, BNI Syariah has a Director in charge of Compliance Function i.e. Ms. Tribuana Tunggadewi (Director of Compliance and Risk). Based on the self-assessment results of BNI Syariah of the implementation of GCG principles measured against 3 (three) Governance aspects (Governance Structure, Governance Process, and Governance Outcome), it could be concluded that BNI Syariah still had several indicators/criteria that were not fully fulfilled in terms of Governance Structure aspect. BNI Syariah has 4 (four) members of the Board of Commissioners namely 1 (one) non-independent President Commissioner and 2 (two) independent Commissioners. 1 (one) Independent Commissioner i.e. Mr. Muhammad Syakir Sula has not yet effective because he is still undergoing the process of fit and proper test from the FSA. Description The positions of the President Director and Independent Commissioner who are not yet effective hasn’t influenced/ affected the fulfillment of other indicators/criteria in the governance process and governance outcome which are generally goods. This was evident from the achievement of financial performance of BNI Syariah of the target of Business Strategies until December 2017, as shown in the table of financial performance (unaudited) as follows: Realization Dec 2017 Target of Business Strategy Dec 2017 Assets 34,83 T 32,61 T Financing 23,60 T 23,78 T DPK 29,38 T 27,95 T 307 M 325 M L/R (EAT) Ratios ROA 1,31% 1,44% ROE 11,42% 12,41% BOPO 88,38% 86,08% FDR 80,21% 82,06% CAR 20,04% 18,93% the FSA. This fine sanction was received by BNI Syariah because of the negligence of the officer who made the reporting. In second semester of 2017, BNI Syariah received a sanction of Rp809,210,000 in fine from the FSA related to the lateness in the submission of compliance report to Hasanah Banking Partner 242 Annual Report 2017
243. Human Capital Good Corporate Governance Corporate Social Responsibility fulfilled the composition of 50 % NonIndependent Commissioners and 50% Independent Commissioners. The member of the Board of Commissioners non-effective i.e. Mr. Muhammad Syakir Sula is undergoing the process of fit and proper test from the FSA. The members of the Board of Commissioners of BNI Syariah have the backgrounds of experience, education, training, and good integrity to support the performance of duties and responsibilities of the Board of Commissioners of BNI Syariah. The members of the Board of Commissioners are mostly independent of the controlling shareholders. b. Performance of Duties and Responsibilities of the Board of Directors From the self-assessment results of this criteria, it could be concluded that the members of the Board of Directors effective are three people i.e. Mr Junaidi Hisom as the Director of Operations and Network, Ms. Tribuana Tunggadwi as the Director of Compliance and Risk, and Ms. Dhias Widhiyati as the Director of Business. The member of the Board of Directors noneffective i.e. Mr. Abdullah Firman Wibowo as the President Director is undergoing the process of fit and proper test from the FSA. BNI Syariah continuously strives to improve the Governance Structure and Governance Process of the Company. BNI Syariah always ensure the implementation of GCG principles in the company. This is showed by the following things: 1. BNI Syariah keeps improving the compliance of information transparency and reporting to the shareholders, public, and OJK (such as financial statements report, annual report, and other reports), and regularly conduct press conferences for each quarterly financial statement. 2. Running the reminder of compliance program by maximizing the potentials for the Compliance Information System (CIS) as Electronic Information System that gives the information on and review of new regulations and Electronic Corporate Guidelines (ECG) that gives the information of internal policies of the company. 3. Upgrading the structure and policies that support the implementation of GCG principles such as raising the status of Compliance Work Unit to the Compliance Division, and updating policies related to GCG. 4. Establishing the Policy Governance Work Unit in order to more improve the function of compliance with external and internal regulations. 5. Disseminating the vision and mission as well as the business plans of the company to all branches of BNI Syariah through the “Management Visit” program so the management’s policies can be understood by all employees of BNI Syariah. The members of the Board of Directors of BNI Syariah have the backgrounds of experience, education, training, and good integrity to support the performance of duties and responsibilities of the Board of Directors of BNI Syariah. The members of the Board of Directors are mostly independent of the controlling shareholders. c. Completeness and Performance of the Committee’s Duties The composition, competences, and criteria of the Audit Committee, Nomination and Remuneration Committee, and Risk Monitoring Committee have been in accordance with the applicable laws and regulations. The Chairman of Audit Committee and Nomination & Remuneration i.e. the Independent Commissioner, Mr. Muhammad Syakir Sula is not yet effective The power of GCG implementation of BNI Syariah is in the management of BNI Syariah, the policies developed by the management of BNI Syariah, and its implementation is in line with GCG principles. Furthermore, BNI Syariah also tries as much as possible to meet 11 (eleven) criteria/ indicators of the implementation of GCG. A. Governance Structure 1. Positive factors of Governance Structure aspect: a. Performance of Duties and Responsibilities of the Board of Commissioners From the self-assessment results of the governance structure in these criteria, it could be concluded that BNI Syariah has one Non-Independent President Commissioner namely Mr Fero Poerbonegoro, and 2 (two) Independent Commissioners namely Mr Rizqullah and Mr. Max R. Niode so it has Hasanah Banking Partner Attachment 243 Annual Report 2017
244. Performance 2017 d . e. f. g. h. i. Management Report Company Profile Business Supporting Function j. Maximum Limit of Fund Distribution. BNI Syariah already has policies, systems and procedures regarding the provision of funds to related parties and the provision of large amount of funds, the following are the monitoring and settlement of the problems. k. Transparency of Financial Condition BNI Syariah has been implementing the transparency of financial and non-financial condition in accordance with applicable regulations. to hold his position because he is undergoing the process of fit and proper test from FSA. Prior to being effective, the authority of the Chairman of Audit Committee and Nomination & Remuneration vest in other member whose status is Independent Commissioner that has been effective. Performance of Duties and Responsibilities of Sharia Supervisory Board The composition, reputation competence and independence of SSB of BNI Syariah are compliance with applicable regulations thus SSB of BNI Syariah can perform their duties and responsibilities well. Implementation of Sharia Principles inFund Raising Activity and Fund Distribution and Services. In general, BNI Syariah has been conducting fund raising, fund distribution, and services in accordance with sharia principles and applicable regulations. This is supported by the competences of DPS BNI Syariah that are sufficient. Management of Conflict of Interest. BNI Syariah has a policy that aims to prevent transactions containing the conflict of interest. In 2016, BNI issued the Implementing Guidelines of Conflict of Interest No. PP/S02/004-00/2016 dated 27 December 2016. Management of Bank Compliance Function. The composition, competence and criteria of the compliance work unit of BNI Syariah have complied with the applicable regulations. Implementation of Internal Audit Function. The organizational structure of the Internal Audit of BNI Syariah is in compliance with applicable regulations. BNI Syariah also has the Internal Audit Charter, internal audit guidelines, and Human Resources Internal Audit that are competent in order to support the performance of duties and responsibilities of internal audit work unit. Implementation of External Audit Function. Audit assignment to the Public Accountant and KAP has fulfilled the applicable regulations. Hasanah Banking Partner Management Discussion and Analysis BNI Syariah has established policies and procedures regarding the procedures for the implementation of the transparency of financial and non-financial conditions, as outlined in: • Accounting Policies in the Financial Statements reviewed by the Board of Directors in each year; • The procedures outlined in BPP: Journal of Islamic Accounting, Stelsel Islamic Accounts and Its Explanation, Islamic Accounting Policies, HB Assets and Liabilities Other than Productive and Fixed Assets, Reconciliation and Outstanding Items Policy, Operations and Accounting Center. 2. Negative factors of governance structure aspect a. Performance of Duties and Responsibilities of the Board of Commissioners Mr. Muhammad Shakir Sula as an Independent Commissioner is still undergoing the process of the process of fit and proper test. It is expected that all members of the Board of Commissioners are effective to hold the position in the near future. b. Performance of Duties and Responsibilities of the Board of Directors Mr. Abdullah Firman Wibowo as the President Director appointed in the GMS dated 23 March 2017 is still undergoing the process of fit and proper test from the FSA so he is not yet effective to hold his position. However, such matter does not interfere with the performance of duties and responsibilities of the Board of Directors in 244 Annual Report 2017
245. Human Capital Good Corporate Governance Corporate Social Responsibility general because there are three member of the Board of Directors who are effective . c. Completeness and Performance of the Committee’s Duties The Independent Commissioner, Mr. Muhammad Syakir Sula in charge of the Audit Committee and Nomination and Remuneration Committte is still undergoing the process of fit and proper test from FSA (not effective hold the position), but other members of the committee whose status are the Independent Commissioner and have been effective can take over the authority of Mr. Muhammad Syakir Sula until the concerned person becomes effective. c. d. B. Governance Process 1. Positive factors of governance process aspect a. Performance of Duties and Responsibilities of the Board of Commissioners From the self-assessment results of the governance process, it could be concluded the appointment/replacement of members of the Board of Commissioners, the performance of duties and responsibilities including supervisory measures, evaluation and the independence of the Board of Commissioners have been adequate. The appointment of members of the Board of Commissioners has been through the nomination process in the Remuneration and Nomination Committee of BNI Syariah. In addition to that, the condition of 1 (one) members of the Board of Commissioners who has not been effective, did not interfere with the performance of the supervisory duties of the Board of Commissioners on the Company on a day-to-day basis. b. Performance of Duties and Responsibilities of the Board of Directors The not yet effective status of Mr. Abdullah Firman Wibowo as the President Director didn’t interfere with the performance of duties and responsibilities of the Board of Directors on a day-to-day basis. The appointment/ replacement of the Board of Directors are in accordance with the laws and regulations, the implementation of the GCG that has been optimized, and audit findings that have been Hasanah Banking Partner e. f. g. h. 245 Attachment followed up based on recommendations of the related parties, as well as other matters related to the governance process that have been met and provide optimal results. Completeness and Performance of Committee’s Duties The Audit Committee, Remuneration and Nomination Committee, and Risk Monitoring Committee carry out their duties and functions adequately and in accordance with applicable regulations. Performance of Duties and Responsibilities of Sharia Supervisory Board The appointment/replacement of members of SSB of BNI Syariah as well as the performance of duties and responsibilities have been running well, where the members SSB of BNI Syariah who have been appointed to carry out their duties and responsibilities in accordance with the applicable regulations. Implementation of Sharia Principles in Fund Raising Activity and Fund Distribution and Services SSB of BNI Syariah have conducted monitoring on the matters related to the compliance with Sharia Principles in the activities of fund raising, fund distribution, as well as services by having a discussion and review of the policy plan and assess the implementation by providing opinions of sharia principles. Management of Conflict of Interest During Semester II of 2017, there were transactions containing the conflict of interest that involve the Board of Directors, the Board of Commissioners, and the SSB either directly or indirectly. Implementation of Bank Compliance Function The implementation of compliance function of BNI Syariah has been carried out in accordance with the laws and regulations. Duties and responsibilities of the Director of Compliance and the Compliance Division have been performed well and adequately. Implementation of Internal Audit Function With the fulfillment of the governance structure of these criteria, BNI Syariah has implemented the internal audit function Annual Report 2017
246. Performance 2017 Management Report Company Profile Business Supporting Function effectively in all aspects and elements of BNI Syariah activities . The Internal Audit of BNI Syariah has carried out its duties and responsibilities in accordance with the applicable regulations. i. Implementation of External Audit Function In the implementation of the audit of financial statements of the Bank, BNI Syariah has appointed Public Accountant and KAP listed in the Financial Services Authority that are able to work independently, meeting the professional standards of public accountant and work agreement and the scope of audit defined and able to communicate with the competent authorities. j. Maximum Limit of Fund Distribution With the fulfillment of the governance structure in these criteria, then BNI Syariah has evaluated and updated policies, systems and procedures that are owned related to BMPD periodically, to comply with the applicable laws and regulations, and has ensured the provision of funds to related parties and the provision of large amount of funds in accordance with the prudential principles. k. Transparency of Financial and Non-Financial Condition BNI Syariah has implemented the transparency of financial and non-financial condition in accordance with the applicable laws and regulations through the submission of financial statements and non-financial report to the related parties in a timely manner and has made the information of product transparent according to the applicable regulations to the Customers and other parties. 2. Negative factors of governance process aspect of BNI Syariah There are no negative factors in the governance process aspect of BNI Syariah b. c. d. e. f. C. Governance Outcome 1. These positive factors in governance outcome aspect of BNI Syariah are on the following criteria: a. Performance of Duties and Responsibilities of the Board of Commissioners Hasanah Banking Partner g. 246 Management Discussion and Analysis The performance of duties and responsibilities of the Board of Commissioners have been carried out optimally and it have met the laws and regulations, one of them is the monitoring and evaluation carried out by the Board of Commissioners that improve the performance of BNI Syariah, whether financially or non-financially. Performance of Duties and Responsibilities of the Board of Directors The governance outcome in these criteria is by having performed duties and responsibilities optimally, then the effectiveness of the performance of duties and responsibilities of the Board of Directors are adequate. This is proved from the performance improvement of BNI Syariah, whether financially and nonfinancially. Completeness and Performance of the Committee’s Duties Performance of duties and responsibilities of Committee has given satisfactory results. Performance of Duties and Responsibilities of Sharia Supervisory Board The composition, competence, and the criteria of the SSB of BNI Syariah are adequate, then duties and responsibilities as the SSB of BNI Syariah can be performed in accordance with the applicable regulations. Implementation of Sharia Principles in Activities of Fund Raising and Funds Distribution and Services Activities of fund raising, fund distribution, as well as services by BNI Syariah already have SOP in accordance with sharia principles. Management of Conflict of Interest With the fulfillment of the governance structure and governance process on these criteria, then BNI Syariah does not experience conflict of interest that may reduce assets of BNI Syariah or reduce profits of BNI Syariah and these matters have been expressed in any decision and has been well-documented. The operations of BNI Syariah are free from the intervention of Shareholders/related parties/other parties. Implementation of Bank Compliance Function With the fulfillment of the governance Annual Report 2017
247. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment amount of funds have met the applicable regulations of BMPD and considers the prudential principles and the applicable laws and regulations as well as the capability of capitalization and distribution /portfolio diversification of fund provision. k. Transparency of Financial and Non-Financial Condition BNI Syariah has submitted its Annual Report, the report of GCG implementation to the related parties in a timely manner as specified by the Law and has implemented the transparency of information on products and the use of customers’ personal data. 2. Negative factors of governance process aspect of BNI Syariah a. The implementation of Compliance Function is based on the data found in the report of the implementation of the compliance function in the position of December 2017 and there is late fee for reporting late. Therefore, BNI Syariah will improve that by having the periodic reminder of compliance with the obligation of reporting to the FSA. structure and governance process on these criteria, the implementation of the compliance function of the BNI Syariah provides sufficient results. h. Implementation of Internal Audit Function With the fulfillment of the governance structure and governance process on these criteria, it has fulfilled duties and responsibilities of the Internal Audit of BNI Syariah adequately. In conducting its audit, the Audit Internal of BNI Syariah has complied with the provisions of the independence and objectivity of the audit implementation. i. Implementation of External Audit Function Auditors act objectively in conducting the audit. The results of the audit and management letter have described the problems of BNI Syariah that are significant and submitted to the FSA by the designated KAP in a timely manner. j. Maximum Limit of Fund Distribution BNI Syariah has submitted periodic reports to the Financial Services Authority about BMPD in a timely manner. The implementation of the provision of funds by BNI Syariah to the related parties and/or the provision of large The score of the assessment results of GCG for the last 5 years, including the score of assessment results of 2017 The assessment results of Governance in accordance with the BI/FSA regulations for the last 5 years were as follows: Year Ratings 2017 2 2016 2 2 2014 2 2013 2 The quality improvement of Governance in 2008 is carried out by reviewing and enhancing the regulations and policies of Governance and following the changes to the regulations of the Financial Services Authority and other institutions. Sustainable Improvement of GCG Quality The sustainable implementation of Corporate Governance plays an important role in improving the corporate values, risk management, company performance, strengthening the internal condition of company, and improving the good reputation or image as the Bank holding the public trust and contributing to the national economy. The efforts consistently made by BNI Syariah in implementing GCG principles have received recognition from external parties, where the awards received in 2017 showed the effectiveness of the implementation of GCG principles in BNI Syariah, including the efforts of sustainable improvement made by the management. This achievement was followed by the increase in the overall performance of BNI Syariah. In order to maintain the healthy condition of Bank which is HEALTHY in the assessment, BNI Syariah continually strengthens the implementation of Governance, Risk, and Compliance that will enhance the integration of Governance, Risk Management, and Compliance Function. Hasanah Banking Partner 2015 247 Annual Report 2017
248. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis STRUCTURE AND MECHANISME OF GCG Based on Law of Republic of Indonesia Number 40 of 2007 on Limited Liability Company (UU PT), the Company Organs consist of the General Meeting of Shareholders (GMS), the Board of Directors, and the Board of Commissioners. Furthermore, based on Law No. 21 of 2008 on Sharia Banking, Sharia Commercial Banks must have the Sharia Supervisory Board. The Board of Commissioners, the Sharia Supervisory Board, and the Board of Directors have clear authority and responsibilities according to their respective functions as mandated in the articles of association and laws and regulations. such as the Corporate Secretary, the Committees under the Board of Directors and divisions of BNI Syariah so the management runs effectively. In regard to GCG, BNI Syariah has the Director of Compliance and Risk responsible for the implementation of GCG principles in BNI Syariah. In performing supervisory and advisory functions, the Board of Commissioners is supported by supporting organs, which are: Secretary of Board of Commissioners, Audit Committee, Risk Monitoring Committee, and Nomination and Remuneration Committee. STRUCTURE OF COMPANY ORGANS The structure of the Company’s organs of BNI Syariah related to Good Corporate Governance (GCG) Mechanism is among others as follows. In performing the management of BNI Syariah, the Board of Directors is supported by the supporting organs General Meeting of Shareholders Board of Commissioners Board of Directors Director of Compliance and Risk Sharia Supervisory Board Audit Committee Risk Monitoring Committee Nomination and Remuneration Committee Secretary of the Board of Commissioners Corporate Secretary Secretariat & Corporate Communication Division (CCD) Internal Audit Division Risk & Policy Committee Human Resources Committee Legal Division Capital, Investment, & Technology Committee Compliance Division Risk Management Division Asset Liability Management Committee Finance Division Strategic Planning Division Human Capital Division Technology Division Policy and Governance Desk Hasanah Banking Partner 248 Annual Report 2017
249. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Main Organs • • • • GMS Board of Commissioners Sharia Supervisory Board Board of Directors Committees Under the Board of Commissioners • Audit Committee • Risk Monitoring Committee • Nomination and Remuneration Committee Supporting Organs of the Board of Directors • • • • • • • • • • • • Corporate Secretary Secretariat & Corporate Communication Division (CCD) Internal Audit Division Legal Division Compliance Division Risk Management Division Finance Division Strategic Planning Division Human Capital Division Technology Division Policy and Governance Desk Other Divisions • • • • Risk Policy Committee Human Resources Committee Capital, Investment, Technology Committee Asset Liability Management Committee Committees under the Board of Directors. Infrastructure Policies of GCG: Internal more accessible to employees through the Electronic Corporate Guideline (ECG) system. The followings are policies owned by the BNI Syariah: 1. GCG Guidelines Good Corporate Governance (GCG) Guidelines based on SKB No. KP/DIR/397 & KP/10/ DK/2010 dated 21 December 2010 as well as the Implementing Instruction of GCG Guidelines NO. PP/S02/00200/2016 dated 26 July 2016. In its implementation, BNI Syariah has a variety of policies/ guidelines in performing its duties and functions which is called as the infrastructure of GCG. The aim of building the Infrastructure of GCG are as follows: a. To complete policies for the Bank in carrying out its daily activities in accordance with the expected culture (corporate culture). b. To be the guide for the bank in carrying out its daily activities in accordance with the expected culture (corporate culture). c. To be a form of written commitment to all ranks and levels of the organization of Bank in order to improve the discipline and responsibilities of the company’s organs in order to safeguard the interests of stakeholders in accordance with their respective responsibilities. BNI Syariah in order to run the implementation of GCG in accordance with the applicable laws and regulation, then the Bank formed this GCG Guidelines. It is also in order to protect the interests of stakeholders and improve compliance with legislation and regulations, and values or ethics generally accepted in the Islamic banking industry. This guideline regulates 11 (aspects) GCG as the standard of FSA regulations and regulates other matters such as procedures for implementing the GMS (General Shareholders Meeting) in BNI Syariah. All internal policies of BNI Syariah is managed by Policy and Governance Desk (PGD), and each internal policy is Hasanah Banking Partner 249 Annual Report 2017
250. Performance 2017 Management Report Company Profile Business Supporting Function 5 . Code of Ethics of the Company Code of Conduct for the Employees of BNI Syariah under the Decision Letter of the Board of Directors No. BNISy/DIR/403 dated 23 December 2010. 2. The Board of Commissioners and the Board of Directors Manual The Board of Commissioners and the Board of Directors Manual is based on SKB No. KP/DIR/016 & KP/01/DK/2013 as well as the Implementing Instruction of the Board of Directors and Board of Commissioners Manual No. PP/ S02/003-00/2016 dated 1 September 2016. In order to support the achievement of the vision of BNI Syariah and good corporate governance, the management of BNI Syariah has drawn up the code of conduct for the employees of BNI Syariah which serves as guidance and behavior for BNI Syariah’s Islamic employees based on akhlakul kharimah (noble manners) as the guidance in performing daily duties, behaving and showing good attitude towards colleagues, business partners and other parties. This code of conduct regulates several matters as follows: • Running business activities based on sharia principles, in a comprehensive (kaffah) and consistent (istiqomah) manners; • Running business activities that can provide benefits (maslahah) and universally applicable; • Recording data and preparation the reports of BNI Syariah appropriately and correctly; • Prohibition against abuse of position; • Avoiding conflicts of interest; • Not committing bribery or receiving and/or giving rewards and souvenirs (Risywah); • Maintaining the good reputation of BNI Syariah; • Maintaining the confidentiality of the Bank; • Use of Corporate Identity; • Competence; • Being a role model; • Fair; • Disclosure of information; • Maintaining good relations (ukhuwah) among BNI Syariah’s employees; • Having a job as a speaker; • Donations and participation in political parties; • Keeping the safety and cleanliness of the work environment; • Maintaining and using the assets of BNI Syariah properly and responsibly; • The commitment to environmental and social concerns. In order to set the manual of the Board of Directors and Board of Commissioners as well as to enforce the implementation of GCG, the Bank develop this manual. The Manual of the Board of Commissioners and the of Board of Directors as well its implementing instructions also regulates the relationship of the Board of Directors and Board of Commissioners as well as the procedures for the performance of duties of committees. 3. Sharia Supervisory Board Manual Sharia Supervisory Board Manual is based on the Decision Letter of SSB No. BNISy/DPS/SK/ XII/2014/001 dated 11 December 2014. In conducting its business, PT Bank BNI Syariah cling to the Islamic principles and must have a Sharia Supervisory Board. Sharia Supervisory Board carries out the duties of ensuring the sharia principles to implemented by the Company. 4. The Charters of the Committees Under the Board of Commissioners the Committees Under the Board of Commissioners have the following charters of the Committee: a. The Audit Committee Charter made in 2014 and established by the Decision of the Board of the Commissioners under the number KEP/01/ DK/2014 dated 10 September 2014. b. The Risk Monitoring Committee Charter was issued under the document KEP/08/ DK/2010 dated 5 October 2010. c. The Nomination and Remuneration Committee Charter under the Decision Letter of the Board of Commissioner of PT Bank BNI Syariah regarding the Establishment of the Charter of Nomination and Remuneration Committee No. KEP/01/ DK/2015. Hasanah Banking Partner Management Discussion and Analysis 250 Annual Report 2017
251. Human Capital Good Corporate Governance Corporate Social Responsibility 8 . Risk Management General Policyo Risk Management General Policy is based on the Decision Letter of the Board of Directors No.KP/059/ DIR/R, dated 16 November 2016. The purpose of the implementation of Risk Management is to maintain and improve the level of Bank soundness, create competitive advantage, maintain sustainable growth, improve the bank performance through reliable risk management, anticipate and minimize the financial and non-financial losses that will be suffered by the Bank, meet the minimum requirements of regulators including the requirements of minimum capital of the bank, and improve the credibility and reputation of the Bank. 6. Gratuity Control Policy In the code of ethics of BNI Syariah (Cfm. The Decision Letter of the Board of Directors No. BNISy/DIR/403, dated 23 December 2010), point 6, regulates the prohibition against committing the bribery or receiving and/or giving rewards or souvenirs (Risywah). Employees of BNI Syariah are prohibited from: a. Receiving reward either directly or indirectly in the form of anything from any parties regarding their duties and responsibilities; b. Imposing illegal levies in the form of anything in order to perform their duties for personal gain or the benefits of group or other parties; c. Giving, promising, or offering, whether directly or indirectly, gifts in the form of anything to the civil servants or public officials in personal so that institution conduct the transactions with BNI Syariah. By implementing the risk management, it is expected that the Bank can provide good service, cover the cost of profit sharing and operating costs so that the Bank can gain good results. In addition to that, the Bank must be able to conduct the function of financial intermediary well in the current economic condition. Except: a. Receiving or giving promotional materials such as agenda, calender, or trophy by including the logo of BNI Syariah; b. Receiving hospitality and/or entertainment from the partners and customers if such events related to the business of BNI Syariah and attended by the business partners and customers with reasonable costs. To the extent it is allowed or not prohibited by the law regulating the corruption offences. 9. Policy of Implementation of APU-PPT Programs Policy of Implementation of Anti-Money Laundering (APU) and Prevention of Terrorism Financing (APU-PPT). BNI Syariah as Bank Indonesia Regulation (PBI) No. 14/27/PBI/2012 on the Implementation of Anti-Money Laundering and Prevention of Terrorism Financing Programs for Commercial Banks which are required to contribute and cooperate in order to prevent money laundering and fighting the terrorism itself. It is also caused by the national, regional and global dynamics and followed by activities of product development and information technology of the Bank that are increasingly complex so they potentially increase the opportunities for the criminal offenders to misuse the facilities and banking products as a means of money laundering and terrorism financing by way of sophisticated modus operandi. 7. Internal Audit Charter Internal Audit Charter based on the Decision Letter No. KP/002/DIR/R dated 2 June 2014 on the Internal Audit Charter of PT Bank BNI Syariah. Internal Audit Charter of PT Bank BNI Syariah is a written document containing vision and mission, objectives and scope of activity, structure and position, duties and responsibilities, authority, code of conduct, reporting and documentation, legal protection, prohibitions and sanctions against leaders and employees of the Internal Audit Division of PT Bank BNI Syariah. Hasanah Banking Partner Attachment 251 Annual Report 2017
252. Performance 2017 Management Report Company Profile Business Supporting Function be separated from the interactions between stakeholders and other parties that may caused the potential conflict of interest . Conflict of Interest can be identified as the situation where there is conflict of interest of the employees of BNI Syariah who use their position and authority that they own (whether deliberately or not) in the company for their personal gain or the benefits of their family and groups so duties that are mandated can not be objectively performed and potentially harm the company. To prevent the potential of losses of the company, and to reduce the potential of fraud and/or corruption, collusion, and nepotism (KKN), then these guidelines are established. These guidelines regulated the scope of conflict of interest that must be prevented, the mechanism of managing conflict of interest, and the obligation of internal reporting for transactions containing conflict of interest. 10. Anti-Fraud Policies Anti-Fraud Strategy based on the Decision Letter of the Board of Directors No. KP/006/DIR/R dated 26 October 2015; and various policies of bank’s operations in accordance with the applicable laws and regulations and the company’s needs. This guidance is established to prevent fraud that causes financial and non-financial losses for banks, customers or other parties. Systems or internal control strategies that are good will effectively minimize the risk of fraud. The guide also aims to provide direction for all employees of BNI Syariah in controlling fraud through efforts which are not only intended to prevent but also to detect and investigate and improve the system as part of a strategy that is integral in controlling fraud. 11. Conflict of Interest Guidelines Implementing Instructions for Conflict of Interest Guidelines No. PP/S02/004-00/2016 dated 27 December 2016. The business activities of the Company can not No Management Discussion and Analysis 12. Other Policies owned by BNI Syariah BNI Syariah has several policies related all aspects of business activities of the Bank, several of them are: Name of Policy Function of Policy 1 General Policy of Strategic Vision Guideline No. KP/35/ DIR/R dated 4 August 2017. Policies regulating BNI Syariah strategic measures in 2017-2021, strategic positioning, alignment of BNI Syariah values, etc. 2 General Policy of Organizational Management No. KP/007/DIR/R, dated 14 February 2017 Policies aiming at providing guidance to all parties in the development and management of BNI Syariah organization now and in the future. 3 Implementation Guideline of Whistleblowing System (WBS) No. PP/S03/005-00/201 dated 24 November 2017 The policy to implement WBS mechanism to strengthen fraud control/ prevention and encourage reporting on matters which may cause financial loss including matters that may damage BNI Syariah's reputation and in order to safeguard and protect BNI Syariah’s assets. 4 Guideline of Procurement of Goods and Services No. 14-00/2012 dated 31 January 2012 Handbook of Procurement of Goods and or Services contains guidance on the procurement of goods and or services in accordance with required quality and technical specifications at reasonable price. 5 Handbook of Employment of Operations Personnel No. 031-00 / 2015 Handbook of Employment of Operations Personnel is a Handbook that regulates matters related to policy, administrative management, and operations personnel of PT Bank BNI Syariah. Hasanah Banking Partner 252 Annual Report 2017
253. Human Capital No Good Corporate Governance Corporate Social Responsibility Name of Policy Attachment Function of Policy 6 Guideline to Implement Corporate Secretary and Communication Policy No . PP/S02/001-00/2015 dated 30 December 2015 Guideline for Corporate Secretary and Communication Division to perform its functions such as investor relations, sponsorship, media relations, crisis management, advertising, event, digital media, integrated marketing communication strategy, marketing collateral, and corporate identity. 7 Guideline to Implement Business Risk Work Activities No. PP/B01/001-00/2015, dated 29 December 2015 This policy is related to the flow of review and recommendation of more informative financing risk so that it can be applied in the financing risk unit. 8 Handbook of Customer Complaints Settlement Procedure No. 013-00/2011 dated 28 December 2011 This guideline regulates the minimum standards of customer complaint settlement mechanisms that must be implemented. 9 Company Handbook of Consumer Protection No. 02900/2015 dated 10 March 2015 This guideline regulates consumer protection including services, product information, complaint handling, standard agreement, data security, and data confidentiality. Consumer protection is not only aimed at individual customers, but also at institutional customers. 10 Handbook to Prepare Company Guidelines No. PP/ S17/001/2017 dated 30 October 2017 This guideline is a standard reference for each work unit in developing corporate guidelines, standardizing the hierarchy of company guidelines along with its stakeholders, basic administration of all company guidelines, so that the company guidelines can be easy to understand, to be a guide, to learn, and to implement. Hasanah Banking Partner 253 Annual Report 2017
254. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis MAIN SHAREHOLDERS AND CONTROLLING SHAREHOLDERS PT Bank Negara Indonesia (Persero) Tbk.: 99,94% PT BNI Life Insurance: 0,06% Government Public 60% 40% PT. Bank Negara Indonesia Tbk PT BNI Life Insurance 99,94% 0,06% SHAREHOLDERS ADDRESS PARTY THAT HAS RIGHT OF PLEDGE OVER THE SHARES/ BENEFICIARY OF FIDUCIARY GUARANTEE OF SHARES TOTAL NUMBER OF SHARES NUMBER OF SHARE CERTIFICATE TOTAL PAID-UP (Rp)*) % PT Bank Negara Indonesia (Persero) Tbk Gedung BNI Jl. Jend Sudirman Kav. 1 Jakarta - 2.500.000 00001 Rp 2.500.000.000.000,- 99,94% PT BNI Life Insurance Centennial Tower, Lantai 9 Jl Gatot Subroto Kav 24-25, Jakarta - 1.500 00002 Rp 1.500.000.000,- 0,06% TOTAL     2.501.500   Rp 2.501.500.000.000,-  100% *) Nominal value of the share is Rp1,000,000 (one million Rupiah) Hasanah Banking Partner 254 Annual Report 2017
255. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment GENERAL MEETING OF SHAREHOLDERS General Meeting of Shareholders (GMS) is the highest organ of the company and has the power not granted to the Board of Directors or Board of Commissioners within the limit specified in the Law and/or the Articles of Association. GMS is a forum where the Board of Directors and Board of Commissioners report and are responsible for their performance to the shareholders. In the GMS, any shareholder is entitled to obtain information relating to the Company from the Board of Directors and/ or the Board of Commissioners, to the extent/so long as pertaining to the agenda for the meeting and not in conflict with the the interests of the Company Procedures for Holding the GMS 1. The GMS shall be held at the Company’s place of domicile or the Company’s place of business 2. The announcement of the Annual GMS plan is accompanied by the proposed agenda for the GMS to the Shareholders and the Board of Commissioners. 3. The Board of Commissioners and the Shareholders representing at least 1/10 of the total issued shares may submit a proposal of the agenda for the GMS no later than 7 days before the date of the notice. 4. The Annual General Meeting of Shareholders and Extraordinary General Meeting of Shareholder are preceded by the GMS notice sent by the registered letter or newspaper within a period of not later than 14 (fourteen) days prior to the date of the GMS, excluding the date of the notice and the date of the GMS. 5. The notice of GM shall set forth the day, date, time, venue, and agenda for the meeting and a note that the materials for discussion in the meeting and the annual report are available at the Company’s office from the date of the notice of GM until the date of the meeting. 6. The GMS can be held if in the GMS more than ½ (one half) of the total shares with voting rights are present or represented. In the case of a quorum is not fulfilled then the second and third GMS can be held according to the mechanism regulated in the articles of association. 7. The GMS is chaired by the President Commissioner. In the event that the President Commissioner is unavailable, he or she can be replaced by another member of the Board of Commissioners, or any of the members of the Board of Directors, or the shareholder in accordance with the provisions of the articles of association. 8. Everything discussed and decided in the GMS will be included in the minutes of the GMS as admissible evidence for all shareholders and third parties about the resolutions and everything that happened in the meeting. 9. All resolutions are adopted based on based on consultation and deliberation for a consensus. If the consensus fails, a resolution may be adopted by the affirmative votes as regulated in the articles of association. As regulated in the Law No. 40 of 2007 on Limited Liability Company and the Company’s Articles of Association, the GMS is divided into 2 (two), namely the Annual GMS and the Extraordinary GMS. BNI Syariah has some important decisions that can only be made through the GMS, such as: 1. Approval of the Annual Report and the Annual Financial Statements. 2. Determining the use of the Company’s profit. 3. Appoint the Public Accountant. 4. The appointment and approval of the resignation/ dismissal of members of the Board of Directors, the Board of Commissioners and the Sharia Supervisory Board. 5. Determination of salary/honorarium and other allowances for the Board of Directors, the Board of Commissioners, and the Sharia Supervisory Board. 6. The changes of the Company’s Articles of Association. 7. The increase of the Company’s Authorized Capital and Paid-up Capital. 8. The merger, consolidation, or spin-off of the Company. 9. The decision on the transactions that are conducted exceeding certain values or certain criteria. 10. And other matters that must require the approval of shareholders through the GMS in accordance with the laws and regulations. Hasanah Banking Partner 255 Annual Report 2017
256. Performance 2017 Management Report Company Profile Business Supporting Function 10 . The shareholders may also adopt lawful resolutions without holding the GMS, provided that all shareholders have been notified in writing and all shareholders have given their approval in writing on the matters proposed and the said approval must be signed by all of them. The resolutions adopted in such manner shall have the same force and effect as a resolution lawfully adopted in the GMS. Quorum and the Resolution of GMS Procedures for adopting the resolution of GMS are based on consultation and deliberation for a consensus. The resolutions of GMS are included in the minutes of the GMS as admissible evidence of resolutions and everything happened in the meeting. First GMS Quorum Management Discussion and Analysis Second GMS Second GMS Resolution Quorum Resolution GMS Attended by more than 1/2 of the total shares Approved by more than 1/2 of the total shares present Attended by at least 1/3 of the total shares Approved by more than 1/2 of the total shares present Resolved by the Chairman of District Court Resolved by the Chairman of District Court GMS Transfers the Assets or Makes Collateral of the Company’s Assets of More Than 50% of the Company’s Total Net Assets in one or more transactions Attended by at least 3/4 of the total shares Approved by more than 3/4 of the total shares present Attended by at least 2/3 of the total shares Approved by more than 3/4 of the total shares present Resolved by the Chairman of District Court Resolved by the Chairman of District Court GMS of Changes of Board of Directors, Board of Commissioners, Sharia Supervisory Board, and Issued and Paid-up Capital Increase/ Decrease Attended by more than 1/2 of the total shares Approved by more than 1/2 of the total shares present Attended by at least 1/3 of the total shares Approved by more than ½ of the total shares present Resolved by the Chairman of District Court Resolved by the Chairman of District Court GMS of Amendments the Company’s Articles Association to of Attended by at least 2/3 of the total shares Approved by more than 2/3 of the total shares present Attended by at least 3/5 of the total shares Approved by more than 1/2 of the total shares present Resolved by the Chairman of District Court Resolved by the Chairman of District Court GMS of Merger, Consolidation, Acquisition, Demerger, Bankruptcy Filing, Dissolution Attended by at least 3/4 of the total shares Approved by at least 3/4 of the total shares present Attended by at least 2/3 of the total shares Approved by more than 3/4 of the total shares present Resolved by the Chairman of District Court Resolved by the Chairman of District Court Resolution The 2017 Annual General Meeting was attended by the members of the Board of Directors, the Board of Commissioners, the Sharia Supervisory Board, Corporate Secretary, Notary and also attended by shareholders and/or proxies representing 1,501,500 (one million five hundred and one thousand five hundred) shares, constituting 100% of the total shares issued by the company, with details as follows: Holding of 2017 GMS In 2017, BNI Syariah held the Annual GMS on: Day/Date : Thursday, 2 March 2017 Time : 10.03 WIB Venue : Ruang Rapat Dar Ar Rahman Kantor Pusat BNI Syariah Lt. 3, Gedung Tempo Paviliun 1, Jakarta Hasanah Banking Partner Quorum 256 Annual Report 2017
257. Human Capital Good Corporate Governance Corporate Social Responsibility Name Attachment Description Abdullah Firman Wibowo Representative /Proxy of PT Bank Negara Indonesia (Persero) Tbk (Majority Shareholder) Geger Nuryaman M Representative/Proxy of PT BNI Life Insurance (Shareholder) Imam Teguh Saptono Member of Board of Directors Junaidi Hisom Member of Board of Directors Kukuh Rahardjo Member of Board of Directors Tribuana Tunggadewi SEVP Fero Poerbonegoro Member of Board of Commissioners Rizqullah Member of Board of Commissioners Max R. Niode Member of Board of Commissioners Muhammad Syakir Sula Member of Board of Commissioners Fathiah Helmi Notary Adapun keputusan RUPS Tahunan 2017 adalah sebagai berikut : Agenda Description Agenda - Item 1 1. To approve the Company’s Annual Report, and to validate the Supervisory Duty Report of the Board of Commissioners and the Company’s Financial Statements (including the Company’s Zakat Statements) for the fiscal year ended on 31 December 2016 and the explanation, which have been audited by Public Accountant Firm Purwantono, Sungkoro dan Surja, member firm of Ernst & Young Global Limited as per its report No. RPC-2917/ PSS/2017 dated 30 January 2017, with an unqualified opinion. 2. To grant discharge and full release of the responsibility (acquit et de charge) to all members of Board of Directors for the management act and to all members of Board of Commissioners for the supervisory act that was performed in the fiscal year ended on 31 December 2016, provided that: a. Such acts were not criminal acts; and b. Such acts were reflected in the Annual Report and the Company’s Financial Statements as well as The Company’s Zakat Statements for the fiscal year ended 31 December 2016. Agenda - Item 2 To approve the use of “Net Income for Fiscal Year 2016” of Rp277,374,749,324 (two hundred seventy-seven billion, three hundred seventy-four million seven hundred forty-nine thousand three hundred twenty-four Rupiah) as follows: 1. Statutory reserve of Rp57,297,395,738 (fifty-seven billion two hundred ninety-seven million three hundred ninety-five thousand seven hundred thirty-eight Rupiah) or equivalent to 20.66% (twenty point six six percent) or equivalent to 10% (ten percent) of the amount of issued and paid up capital. This was conducted in accordance with Article 70 Law No. 40 of 2007 on Limited Liability Company. 2. To approve the Company for not distributing dividend for the fiscal year of 2016.. 3. The Company’s net income after deduction of point 1 above, was used as retained earnings to strengthen the capital in regard of the business development. Agenda - Item 3 To approve and appoint the Public Accountant Firm and Independent Actuarial Consultant, which were similar to those used by PT Bank Negara Indonesia (Persero) Tbk, as the parent company for the fiscal year of 2017, including the services fee, with the consideration that the Company’s Financial Statements will be consolidated to those of PT Bank Negara Indonesia (Persero) Tbk. Agenda - Item 4 To approve the company’s management duties for the fiscal year of 2016 as follows: Maintain and improve compliance, including sharia values: 1. Maintain and improve compliance, including sharia values; 2. Achieve Company’s business targets in accordance with the Bank’s Business Plan for 2017 including net income after tax of at least Rp325 Billion and CASA of at least 49.62%; 3. Improve the Quality of Earning Assets by keeping NPF below the industry average and maximum 3% and minimum Coverage Ratio of 84.64% as well as expand financing in a healthy manner. 4. Optimize synergies with PT Bank Negara Indonesia (Persero) Tbk; 5. Maintain strong capital by keeping CAR ratio above the minimum regulatory requirements. Hasanah Banking Partner 257 Annual Report 2017
258. Performance 2017 Management Report Company Profile Business Supporting Function Agenda Management Discussion and Analysis Description Agenda - Item 5 To approve tantiem for Board of Directors and Board of Commissioners of the Company for the Fiscal Year of 2016 , which will be determined by the Majority Shareholder (PT BNI (Persero) Tbk) no later than 3 months after submission of tantiem proposal from the Board of Commissioners to PT BNI (Persero) Tbk by referring to Regulation of SOE Minister No. PER-04/MBU/2014 dated 10 March 2014 on Guidelines to Determine Remuneration of Board of Directors, Board of Commissioners, and Board of Supervisors of State-Owned Enterprises and its amendments. Agenda - Item 6 To determine remuneration (salary, allowances, and facility) for Board of Directors and Board of Commissioners of the Company for the Fiscal Year of 2017, which will be determined by the Majority Shareholder (PT BNI (Persero) Tbk) no later than 3 months after the submission of remuneration (salary, allowances, and facility) proposal from the Board of Commissioners to PT BNI (Persero) Tbk by referring to Regulation of SOE Minister No. PER-04/MBU/2014 dated 10 March 2014 on Guidelines to Determine Remuneration of Board of Directors, Board of Commissioners, and Board of Supervisors of State-Owned Enterprises and its amendments. and the said approval must be signed by all of them. The resolutions adopted in such manner shall have the same force and effect as a resolution lawfully adopted in the GMS.” 2017 Extraordinary GMS BNI Syariah holds the Extraordinary General Meeting of Shareholders that is the GMS that can be held anytime by the mechanism of the Circular Resolution of Shareholders based on the laws and regulations on the Limited Liability Company and article 23 paragraph 14 of the Company’s Articles of Association that states “The shareholders may also adopt lawful resolutions without holding the GMS, provided that all shareholders have been notified in writing and all shareholders have given their approval in writing on the matters proposed Any Circular Resolutions of Shareholders have been notarized and reported to the the Ministry of Law and Human Rights (Kemenkumham). In 2017, BNI Syariah held the Extraordinary GMS in a circular manner for 3 (three) times, as follow: Date Summary of Resolutions 26 January 2017 Fulfillment of OJK Board of Commissioner's decree related to the decision on fit and proper test of the board. 23 March 2017 (Agenda for Change of Board Composition) 1. Approving to honorably discharge Mr. Imam Teguh Saptono from his position as the President Director and Mr. Kukuh Rahardjo from his position as Director of Consumer Business. 2. Approving the appointment of Mr. Abdullah Firman Wibowo as the President Director and Mrs. Dhias Widhiyati as the Company’s Director, with the respective term of office from the approval of Financial Services Authority (OJK) and to the closing of the Annual GMS 2020. 29 December 2017 (Agenda of additional issued and paid up capital) 1. Approving the withdrawal of shares in deposits by PT BNI (Persero) Tbk, which was paid in cash through the Company’s Cash amounting to Rp 1,000,000,000,000 (one trillion Rupiah) or 1,000,000 (one million) shares. While PT BNI Life Insurance did not participate in withdrawing shares in deposits. 2. With the effective withdrawal of shares in such deposits, therefore, the issued and paid-up capital stock became a total of 2,501,500 (two million five hundred one thousand and five hundred) shares or a total nominal value of Rp2,501,500,000,000 (two trillion five hundred and one billion five hundred million). 3. Approving the amendment of Article 4 paragraph (2) and (3) of the Company’s Articles of Association. 29 December 2017 (Agenda for Change of Board Composition) 1. Approving and appointing Mr. Max R. Niode with change of status from Commissioner to Independent Commissioner, until the closing of Annual GMS in 2019. 2. Approving and appointing Mrs. Tribuana Tunggadewi as the Director of Compliance and Risk of the Company until the closing of Annual GMS in 2020. Hasanah Banking Partner 258 Annual Report 2017
259. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment REALIZATION OF GMS RESOLUTIONS OF THE PREVIOUS YEAR In 2016 , the Company only held 1 (one) GMS namely the Annual GMS held on: Day/Date : Thursday, 25 February 2016 Time : 16.15 WIB Venue : Dar Ar Rahman Meeting Room Headquarter of BNI Syariah Lt. 3, Tempo Paviliun 1 Building, Jakarta The followings were the resolutions of 2016 Annual GMS: Agenda Follow Up and Realization GMS Resolutions First 1. Approved the Company Annual Report and validated the Supervisory Duty Report of the Board of Commissioners as well as the Company’s Financial Statements for the fiscal year ended on 31 December 2015 along with the explanation, which were audited by Public Accountant Firm Tanudiredja, Wibisana and Partners - member firm of PWC global network as per the report No. A160129003/DC2/MJW/2016 dated 29 January 2016, with an unqualified opinion. 2. Approved the Company’s Zakat Statements for the fiscal year ended on 31 December 2015, which were audited by Public Accounting Firm Tanudiredja, Wibisana and Partners - member firm of PWC global network as per its report No. A160129003/DC2/MJW/2016 dated 29 January 2016. 3. Granted discharge and full release of the responsibility (acquit et de charge) to all members of Board of Directors for the management act and to all members of Board of Commissioners for the supervisory act that were performed in the fiscal year ended on 31 December 2015, provided that: a. Such acts were not criminal acts; and b. Such acts were reflected in the Annual Report and the Company’s Financial Statements as well as The Company’s Zakat Statements for the fiscal year ended 31 December 2015. Has been realized. Second Report of realization of use of proceeds of sukuk for the fiscal year ended on 31 December 2015. Sukuk Mudharabah of Bank BNI Syariah I of 2015 was listed on 15 May 2015 with Sukuk fund collected amounting to Rp50 Billion and net proceeds amounting to Rp497.22 billion after deducted by the cost of public offering of Rp2.78 Billion. The use of sukuk funds was fully used on 15 November 2015 with details of 39.11% for productive financing, 52.83% for consumptive financing, 5.86% for micro financing, and 2.20% for card financing. Has been realized. Third Approved the use of “Net Income for Fiscal Year 2015” of Rp228,526,042,619(two hundred twenty-eight billion, five hundred twenty-six million forty-two thousand six hundred nineteen Rupiah) as follows: 1. Statutory reserves of Rp22,852,604,262 (twenty-two billion eight hundred fifty-two million six hundred four thousand two hundred sixty-two Rupiah) or equivalent to 10% (ten percent) from net income of fiscal year of 2016 in accordance with Article 70 of Law No. 40 of 2007 on Limited Liability Company. 2. The Company did not distribute dividend for the fiscal year of 2015. 3. The Company’s net income after deduction of point 1 above, was used as retained earnings to strengthen the capital in regard of the business development. Has been realized. Fourth 1. Approved and appointed the Public Accountant Firm and Independent Actuarial Consultant, which were similar to those used by PT Bank Negara Indonesia (Persero) Tbk, as the parent company for the fiscal year of 2016, with the consideration that the Company’s Financial Statements will be consolidated to those of PT Bank Negara Indonesia (Persero) Tbk; 2. Approved to delegate authority to the Company’s Board of Commissioners to determine the services fee of the Public Accountant Firm and Independent Actuarial Consultant of the fiscal year of 2016 by first consulting with the Majority Shareholder. Has been realized. Hasanah Banking Partner 259 Annual Report 2017
260. Performance 2017 Agenda Management Report Company Profile Business Supporting Function Management Discussion and Analysis Follow Up and Realization GMS Resolutions Fifth Approved the Company ’s Management duties for the fiscal year of 2016 as follows: Maintained and improved compliance, including sharia values; 1. Achieved the Company’s business targets in accordance with the Bank’s Business Plan for 2016 including net income of at least Rp290 Billion and CASA of at least 47.10%; 2. Improved the Quality of Earning Assets by keeping Non-Performing Financing below the industry average, which was maximum 2.97% and minimum coverage of 85.07% as well as expanded financing in a healthy manner. 3. Optimized synergies with PT Bank Negara Indonesia (Persero) Tbk; 4. Strong capital by maintaining CAR (Capital Adequacy Ratio) ratio above the minimum regulatory requirement and accompanied by an increase in the contribution of retained earnings. Has been realized. Sixth Determined Tantiem for the Fiscal Year of 2015, which will be determined by the Majority Shareholder (BNI) no longer than 1 (one) month after the closing of this Meeting, by referring to Regulation of Minister of State-Owned Enterprise (SOE) No. PER-04/MBU/2014, dated 1003-2014 on Guidelines to Determine the Remuneration of the Board of Directors, Board of Commissioners, and SOE Supervisory Board. Has been realized. Seventh Determined the Remuneration for the Fiscal Year of 2016, which will be determined by the Majority Shareholder (BNI) no longer than 1 (one) month after the closing of this Meeting, by referring to Regulation of Minister of State-Owned Enterprise (SOE) No. PER-04/MBU/2014, dated 10-03-2014 on Guidelines to Determine the Remuneration of the Board of Directors, Board of Commissioners, and SOE Supervisory Board. Has been realized. Eighth Board of Directors • President Director: Imam Teguh Saptono • Director of Operations and Network: Junaidi Hisom • Director of Guarantee Business: Kukuh Rahardjo • Director of Risk and Compliance: Tribuana Tunggadewi Has been realized. Board of Commissioners • President Commissioner: Fero Poerbonegoro • Independent Commissioner: Rizqullah • Commissioner: Max Niode • Independent Commissioner: Muhammad Syakir Sula Hasanah Banking Partner 260 Annual Report 2017
261. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment SYARIAH SUPERVISORY BOARD 1 . General requirement SSB members are individuals that: a. Have Integrity that at least includes: • Having good character and moral; • Committed to complying with sharia banking rules and other prevailing laws and regulations; • Committed to healthy and resilient Company’s development; • Not included in the Disqualified List as stipulated in the regulations regarding capabilities and compliance tests set by the FSA. b. Have competencies which at least include having the knowledge and experience in sharia mu’amalah and knowledge in banking and/or finance in general; and c. Fulfill the financial reputation, which at least includes: • Not included in the list of bad debts; and • Never been declared bankrupt or become the Shareholder, member of the Board of Commissioners or Board of Directors found guilty of causing a company to go bankrupt within five (5) years prior to nomination. Sharia Supervisory Board (SSB) performs their duties and responsibilities in accordance with Good Corporate Governance (GCG) principles as well as provides advice and suggestions to the Board of Directors related to banking activities so they comply with Sharia principles. The Sharia Supervisory Board is appointed and approved through the GMS based on the recommendation of the National Sharia Board (DSN). The commitment of SSB in performing the monitoring function to BNI Syariah’s operations is to make a review of 2017 BNI Syariah’s activities in the effort to improve the monitoring of sharia principles. The whole findings of direct check spot results of branch office have been submitted to the Board of Directors or related work units to be followed up and improved to meet conformity with the Sharia principles that have been set. Manual of SSB SSB of BNI Syariah has established the Manual of the Sharia Supervisory Board based on SSB Decree No. BNISy/DPS/SK/XII/2014/001, dated 11 December 2014. The Manual has been uploaded to the Company’s website and internal dissemination media, namely Electronic Corporate Guidelines (ECG). 2. Special Requirements The specific requirements are details of competency and other matters required for SSB according to the needs of the Company. The specific requirement is one of substances of the systems and procedures for nomination and selection developed by Remuneration and Nomination Committee to be subsequently submitted to GMS for approval, including but not limited to: a. Able to perform legal acts. b. Indonesian citizen and domiciled in Indonesia. c. Have never been a member of the Board of Directors and/or member of the Board of Commissioners and/or member of SSB found guilty for causing a company to go bankrupt. d. Not having family relations to the second degree with the Controlling Shareholders and/or with members of the Board of Directors and/or members of the Board of Commissioners and/or other members of SSB. e. Able to work with other members of SSB. In general, this manual regulates the Code of Conduct of SSB related to: 1. Requirements; 2. Appointment and/or replacement procedures; 3. Composition; 4. Job Position Ethics; 5. Honorarium and Benefits/Allowances; 6. Orientation and Capability Enhancement Program; 7. Staff and Assistance Unit of Sharia Supervisory Board; 8. Functions, Duties, and ResponsibilitieS, Rights and Obligations; 9. Working time, Meeting, and Sharia Opinion; 10. Work Relationship. Criteria and Requirements for Members of SSB There are two (2) kinds of requirements that must be met by candidates for SSB, namely general requirements which are the basic requirements established by the prevailing laws and regulations, and special requirements which are requirements that are adapted to the needs and nature of the Company’s business as a business entity engaged in the banking sector. Hasanah Banking Partner 261 Annual Report 2017
262. Performance 2017 Management Report Company Profile Business Supporting Function • • f. Having integrity including: • Commitment to providing adequate time. • Have never been directly or indirectly involved in the perpetration of reengineering and abusive practices, breach of contract and other acts that harm the company in which he/she is working or has worked. • Have never been convicted of a criminal act detrimental to the state’s finance within 5 (five) years prior to his/her appointment. Ability to consider problems adequately. Ability to discuss issues without management interference. Composition of SSB Under the regulation of Circular Letter of Bank Indonesia (SEBI) No.12/13/DPbS and Bank Indonesia Regulation (PBI) No.11/33/PBI/2009 regarding the implementation of good corporate governance for Sharia Commercial Banks and Sharia Business Unit, the Sharia Supervisory Board (SSB) of BNI Syariah consists of two (2) persons, including 1 (one) Chairman and 1 (one) member. Based on the said regulation, the composition of BNI Syariah SSB until 31 December 2017 was as follows: g. Having competencies including: • Ability and experience in fields relevant to the duties and obligations of SSB. Name & Position Management Discussion and Analysis Term of Office Appointment DSN-MUI Recommendation OJK/BI Approval Re-Appointment Validity Period KH Ma’ruf Amin (Chairman) Incorporation of BNI Syariah Decree No. U-260/ DSN-MUI/VII/2009 dated 30 July 2009 Approval of Principle License of Incorporation No. 12/2/DpG/DPbS dated 8 February 2010 Extraordinary GMS dated 12 August 2015 Until GMS In 2018 Hasanudin (Member) Incorporation of BNI Syariah Decree No. U-260/ DSN-MUI/VII/2009 dated 30 July 2009 Approval of Principle License of Incorporation No. 12/2/DpG/DPbS dated 8 February 2010 Extraordinary GMS dated 12 August 2015 Until GMS In 2018 the Company’s activities to be in accordance with Sharia principles which are reflected in three (3) function, namely: Roles and Responsibilities Roles and responsibilities of SSB are to provide advice and suggestion to the Board of Directors and supervise Function Coordination Duties and Responsibilities 1. Hold meetings and discussions with internal parties in regard to implementation of Sharia Principles. 2. Represent and accompany the Bank in meetings, discussions, and consultations with external parties in regard to fulfillment of Sharia Principles. Hasanah Banking Partner Mechanism 1. Hold SSB internal meetings and discussions or jointly with the Board of Directors or the rank under the Board of Directors or jointly with the Board of Commissioners in order to build and develop compliance system on Sharia Principles. 2. Provide sharia opinion or recommendation to the Board of Directors in regard to the implementation of Sharia Principles on products and activities of the Company; 3. Represent the Company in meetings, discussions, and consultations to external parties limited to regulators, auditors, professional organizations, for the interest of Sharia Principles fulfillment in the Company. 262 Annual Report 2017
263. Human Capital Function Good Corporate Governance Corporate Social Responsibility Attachment Duties and Responsibilities Mechanism Monitoring 1 . Assess and ensure implementation of Sharia Principles on operational guidelines and products released by the Bank; 2. Monitor the Bank’s new product and feature development process to be in compliance with fatwa from Ulama Council of the National Sharia Board (DSN MUI); 3. Inquire fatwa to Ulama Council of the National Sharia Board for the Bank’s new products without fatwa yet; 4. Regularly review implementation of Sharia Principles towards mechanism of the Bank’s fund raising and fund disbursement as well as the Bank’s services; 5. Request for data and information related to sharia aspect from the Bank’s work unit in regard of the implementation of its duties. 6. Evaluate Risk Management Policy which is related to the implementation of Sharia principles. 7. Evaluate the Board of Directors’ accountability for the implementation of Risk Management Policy related to the implementation of Sharia Principles. 1. Monitor the Company’s new product development process by carrying out the following: a. Request for explanation from the Company’s authorized officials on the purpose, characteristics, and contracts used in new products that will be released; b. Check contracts that will be used in new products according to Ulama Council of the National Sharia Board’s fatwa. c. Review systems and procedures of new products that will be released related to the implementation of Sharia principles; and d. Provide sharia opinion on new products that will be released. 2. Monitor the Company’s activities by carrying out the following: a. Analyze reports submitted by and/or requested from the Board of Directors, internal audit function and/or compliance function to find out the quality of the Sharia Principles implementation on the Company’s fund raising and fund disbursement activities as well as the Company’s services; b. Determine the amount of transaction sample-test that will be examined with attention to the quality of Sharia Principles implementation of each activity; c. Check the transaction documents that were sample tested to determine Sharia Principles implementation as required by the SOP, among other things, such as: d. Conduct inspections, observations, requests of information and/ or confirmation to the Company’s employees and/or customers to strengthen the results of document examination, if necessary; e. Review SOP related to sharia aspect if there is indication of noncompliance with Sharia Principles implementation on such activities; f. Provide Sharia opinion on the fund raising and fund disbursement activities as well as services; Report 1. Report the monitoring results by the Sharia Supervisory Board to Board of Directors and Board of Commissioners. 2. Submit Report on SSB Monitoring Results to FSA and Ulama Council of National Sharia Board. 3. Submit Evaluation Results of Risk Management Policy, which is related to the implementation of Sharia Principles to the Board of Directors and Board of Commissioners. 4. Submit Evaluation Results of the Board of Directors’ Accountability for Risk Management Implementation which is related to the implementation of Sharia Principles to the Board of Directors and Board Commissioner. 1. Report of monitoring results of the Sharia Supervisory Board to the Board of Directors and Board of Commissioners biannually. 2. Prepare and submit Report on SSB Monitoring Results biannually to the Financial Services Authority. Report on SSB Monitoring Results contain the results of SSB duties and responsibilities implementation for 1 (one) semester, which include among others: a. Paperwork of monitoring on the development process of the Company’s new products; and b. Paperwork of monitoring on the Company’s activities. Hasanah Banking Partner 263 Annual Report 2017
264. Performance 2017 Management Report Company Profile Business Supporting Function following was the concurrent position of the Sharia Supervisory Board during 2017 : Disclosure of Concurrent Position By taking into account the supervisory function, the Sharia Supervisory Board KH Ma’ruf Amin (Chairman) Hasanudin (Member) Position in Other Company Other Companies Chairman PT Bank Muamalat Indonesia, Tbk. Chairman PT Bank Mega Syariah Chairman PT Asuransi Jiwa Bringin Life (Unit Usaha Syariah) Chairman PT BNI Life Insurance (Unit Usaha Syariah) Member PT Bank Danamon Indonesia, Tbk (Unit Usaha Syariah) Member PT Tugu Pratama Indonesia (Unit Usaha Syariah) Member PT Reasuransi Internasional Indonesia (Unit Usaha Syariah) Chairman PT Toyota Astra Finance Services (Unit Usaha Syariah) Board independently participated in various training to improve the competence of each member in performing their duties as the Sharia Supervisory Board. The followings were several trainings conducted: Competence Enhancement Program of Sharia Supervisory Board During 2017, the members of the Sharia Supervisory Name Competence Development/ Training Material Position KH Ma’ruf Amin Chairman Hasanudin Management Discussion and Analysis Member Time and Place Type of Training and Organizer Pra Ijtima’ Sanawi in 2017 in Jakarta Sharia Training by DSN MUI Ijtima’ Sanawi DPS in 2017 in Jakarta Sharia Training by DSN MUI Pra Ijtima’ Sanawi in 2017 in Jakarta Sharia Training by DSN MUI Ijtima’ Sanawi DPS in 2017 in Jakarta Sharia Training by DSN MUI joint meeting (together with the Board of Commissioners and/or the Board of Directors), so that the SSB’s total meetings held were 19 times. The attendance in the meetings during 2017 was described as follows: Sharia Supervisory Board Meetings Attendance level During 2017, SSB of BNI Syariah held 18 meetings and 1 SSB Meetings Name Position Total Meetings Total Attendance Attendance Percentage (%) KH Ma’ruf Amin Chairman 19 19 100% Hasanudin Member 19 19 100% meetings during 2017, which were described as follows: Main Agenda of Meetings SSB of BNI Syariah has discussed various agenda in the No Date Main Meeting Agenda 1 05/01/2017 Factoring Agreement Scheme 2 12/01/2017 Kafalah bil ujrah Agreement Scheme 3 13/01/2017 Discussion of 3 Methods/products in cooperation fundraising of waqf money of LKS PWU Hasanah Banking Partner 264 Annual Report 2017
265. Human Capital No Good Corporate Governance Corporate Social Responsibility Date Attachment Main Meeting Agenda 4 30 /01/2017 Discussion of Kafalah bil ujrah Agreement Scheme 5 16/02/2017 Discussion of 3 Methods/products in cooperation fundraising of waqf money of LKS PWU 6 02/03/2017 Discussion of Kafalah bil ujrah Agreement Scheme 7 09/03/2017 Discussion of Sharia Factoring Agreement Scheme 8 21/03/2017 Discussion of Financing Agreement Scheme for BNI Syariah’s employees cooperatives (Koperasi Jasa Insan Hasanah) 9 21/03/2018 Discussion of Musyarakah Mutanaqishah agreement proposal with Multi Nisbah or different Ujrah pattern (ujrah review) every month. 10 27/04/2017 Discussion of Temporary Freeze of Murabahah Financing Installment Payment 11 02/05/2017 Payment Scheme of PT Alfian Yoenidar Darmajaya 12 12/07/2017 Wakalah bil ujrah Agreement Scheme on Sharia Factoring product 13 26/07/2017 Review of the Application of Income Smoothing Method of Third Party Funds 14 23/08/2017 Freeze of Murabahah Financing Installment Payment of Surabaya Branch 15 28/08/2017 BNI Tunas iB Hasanah Savings with Mudharabah Agreement 16 31/08/2017 Wakalah Agreement of Deposit for Hajj Travel Fee (BPIH) 17 06/09/2017 Discussion of Hawalah bil Ujrah Agreement Scheme 18 19/09/2017 Minutes of MMQ Financing Meeting on Refinancing of PT Bundamedik's apartment purchase 19 20/09/2017 Discussion of System Cooperation Scheme with E-Commerce, Financial Technology, & Financing Company to Franchise Partners Realization of SSB Activities Activities in Coordination Function No 1 Duties and Responsibilities Hold meetings and discussions with internal parties in regard to implementation of Sharia Principles. Realization of Activities 1. In 2017, SSB Meetings were held 8 (eight) times. Meetings were held jointly with Divisions, Board of Commissioners, and Board of Directors. SSB Meeting Results were stated in SSB Minutes of Meeting as follows: a. SSB Minutes of Meeting No.: BNISy/DPS/RR/VII/2017/020 dated 12 July 2017. b. SSB Minutes of Meeting No.: BNISy/DPS/RR/VII/2017/021 dated 26 July 2017. c. SSB Minutes of Meeting No.: BNISy/DPS/RR/VIII/2017/022 dated 23 August 2017. d. SSB Minutes of Meeting No.: BNISy/DPS/RR/VIII/2017/023 dated 28 August 2017. e. SSB Minutes of Meeting No.: BNISy/DPS/RR/VIII/2017/024 dated 31 August 2017. f. SSB Minutes of Meeting No.: BNISy/DPS/RR/IX/2017/025 dated 06 September 2017. g. SSB Minutes of Meeting No.: BNISy/DPS/RR/IX/2017/026 dated 19 September 2017. h. SSB Minutes of Meeting No.: BNISy/DPS/RR/IX/2017/027 dated 20 September 2017. 2. In 2017, Sharia Consulting service was given on each business day to satisfy BNI Syariah requirements in performing its operational activities in order to keep the consistency and conformity with Sharia Principles. Hasanah Banking Partner 265 Annual Report 2017
266. Performance 2017 No Management Report Company Profile Business Supporting Function Duties and Responsibilities Management Discussion and Analysis Realization of Activities 3 . In 2017, SSB or SSB Staff participated in training activities as instructor of Sharia Banking Basic Fundamentals (SBBF) for BNI Syariah employees in various classes, either by SSB or Staff. a. Training for Officer Development Program (ODP). b. Training for SME Account Officer (SME AO). c. Training for SME Financing Head (SFH). d. Sharing session in Bandung Branch Office. e. Sharing session in Tanjung Karang Branch Office. 4. In 2017, SSB visited branch offices and conducted sharing session of Sharia Knowledge for the branch’s employees. a. Visit and Refreshment of Sharia Knowledge for Employees of Bandung Branch. b. Visit and Refreshment of Sharia Knowledge for Employees of Tanjung Karang Branch. c. Visit and Refreshment of Sharia Knowledge for Employees of Semarang Branch. 2 Conducting meetings, discussions, and consultations with the external parties regarding the fulfillment of Bank’s Sharia Principles. In 2017, SSB participated in the following activities: 1. Discussion of Audit Results in BNI Syariah Head Office. 2. Pra Ijtima’ Sanawi of Sharia Supervisory Board held by DSN-MUI 3. Ijtima’ Sanawi held by DSN-MUI Activities in Monitoring Function No Duties and Responsibilities Realization of Activities 1. Assess and ensure implementation of Sharia Principles on operational guidelines and products released by the Bank; 1. SSB reviews the internal requirement plans for new products, such as the Dollar Savings of iB Hasanah, Sharia Securities Repo, and Sharia Value Hedging. 2. SSB reviews plan of changes/development of product feature or product/feature development proposed plan, which are: a. Hawalah bil Ujrah Scheme. b. Wakalah bil ujrah Agreement on Sharia Factoring product. c. Kafalah bil ujrah Agreement Scheme. d. Cooperation in Distributing and Collecting Waqf Fund. e. Musyarakah Mutanaqishah Agreement Scheme with Qardh. f. Cooperation in Distributing KUR BNI g. Musyarakah Mutanaqishah Agreement Scheme with Qardh. h. Musyarakah Mutanaqishah Agreement with different ujrah pattern every month. 2. Monitor the Bank’s new product and feature development process to be in compliance with fatwa from DSN MUI; 1. SSB requests data through discussions and related documents from the authorized officers on the purpose, concept, agreement, and internal provisions on the new product development plan. The data is gathered from: a. Funding and Transactional Division (FTD) related to Dollar Savings iB Hasanah. b. TID related to Sharia Securities Repo (SBS). c. TID related to Sharia Hedging Product. 2. SSB requests data through discussion and documents related to/from authorized units regarding current features and its changes/development proposal, current business model and characteristics, as well as its changes/development proposal. Discussions are held internally based on letter or documents addressed to SSB or with CMD (Compliance Division) or other Division/Working Units, which among others are: a. Legal Division (LGD) Form of Musyarakah Agreement for Individual and Legal Entity. b. Legal Division (LGD) Form of Qardh Agreement for Individual and Legal Entity. c. TID related to Development Scheme of Financial Institution. d. TID related to Sharia Securities Repo Product (SBS). e. CFD related to Griya Swakarya Activities. 3. Inquire fatwa to Ulama Council of the National Sharia Board for the Bank’s new products without fatwa yet; SSB recommends BNI Syariah to consult DSN-MUI through official letter regarding plans to develop griya swakarya product in which BNI Syariah previously conducts property asset purchase in real and such asset is then given added value (renovation or development) before sold or leased (end user) by cash or credit. Hasanah Banking Partner 266 Annual Report 2017
267. Human Capital No Good Corporate Governance Corporate Social Responsibility Duties and Responsibilities Attachment Realization of Activities 4 . Request for data and information related to sharia aspect from the Bank’s work unit in regard of the implementation of its duties. SSB is actively involved in the monitoring process of sharia aspect in every line of activities. All activities performed by SSB will certainly need accurate data and information from the relevant work department or work unit. Alhamdulillah, the support and awareness on the importance to fulfill sharia aspect can be understood and realized by all work department or work unit, therefore, in implementing its supervisory duty, SSB can have a synergy with the work department or work unit of BNI Syariah and all needs of necessary data and information can be well satisfied. The data and information required by SSB in order to implement its supervisory duty can be obtained through discussion activities, work document, transaction data, etc. 5. Evaluate Risk Management Policy which is related to the implementation of Sharia principles. SSB monitors the Risk Management Policy by implementing control functions in pre-decision (ex-ante) and post-execution (ex-post). Sharia opinion submitted by SSB in performing control function may be in the form of Opinion or Recommendation. The following Opinions and Recommendations may serve as guidance in adopting policies related to products, transactions, and operations: 1. SSB Opinion No.: BNISy/ DPS/OPINI/I/2017/002 on Conversion of Sukuk to equity participation by PT Arpeni Pratama Ocean Line and PT Berlian Laju Tanker. 2. SSB Opinion No.: BNISy/ DPS/OPINI/II/2017/005 on transaction of Sharia Securities Repo (SBS) 3. SSB Opinion No.: BNISy/DPS/OPINI/III/2017/069 on Kafalah Bil Ujrah Guarantee Agreement Scheme 4. SSB Opinion No.: BNISy/DPS/OPINI/III/2017/007 on Consumptive Financing with Hawalah Bil Ujrah agreement for BNI Multiguna iB Hasanah and BNI Fleksi iB Hasanah. 5. SSB Opinion No.: BNISy/DPS/OPINI/III/2017/008 on Cooperation Plan of collecting and distribution of waqf fund with Yayasan Edukasi Wakaf Indonesia (YEWI). 6. SSB Opinion No.: BNISy/DPS/OPINI/VI/2017/012 on Savings Product iB Dollar Hasanah 7. SSB Opinion No.: BNISy/DPS/OPINI/VI/2017/014 on Discussion of Musyarakah Mutanaqishah agreement proposal with Multi Nisbah pattern or different Ujrah (ujrah review) every month 8. SSB Opinion No.: BNISy/DPS/OPINI/VI/2017/015 on Wakalah Bil Ujrah agreement on Sharia Factoring Financing Product 6. Evaluate the Board of Directors’ accountability for the implementation of Risk Management Policy related to the implementation of Sharia Principles. SSB is also involved in Performance Meetings. SSB can know the description/portrait of performance achievement including the implementation of Risk Management Policy related to Sharia Principles. Minutes of Meeting is prepared and documented by the Board of Commissioners. Activities in Reporting Function No Duties and Responsibilities Realization of Activities 1 Report the monitoring results by the Sharia Supervisory Board to Board of Directors and Board of Commissioners. In semester II of 2017, SSB reported the SSB Monitoring Results to the Board of Directors and Board of Commissioners. Such Report contain the results of SSB duty implementation and responsibilities for semester II of 2017, which include among others: 1. Paperwork of monitoring on the development process of BNI Syariah’s new products; 2. Paperwork of monitoring on the changes/development process of BNI Syariah’s product feature; and 3. Paperwork of monitoring on BNI Syariah’s operational activities. 2 Submit Report on SSB Monitoring Results to FSA and Ulama Council of National Sharia Board. In semester II of 2017, SSB submitted Report on SSB Monitoring Results to FSA and DSNMUI no later than 2 (two) months after the related semester ends, which is on 28 February 2018. 3 Submit Evaluation Results of Risk Management Policy, which is related to the implementation of Sharia Principles to the Board of Directors and Board of Commissioners. In semester II of 2017, SSB monitored the Risk Management Policy by implementing control function. The Evaluation Result of Risk Management Policy related to Sharia Principle fulfillment on ex-ante function is submitted to the Board of Directors when considered sufficient as a review and improvement material, while Risk Management Policy Evaluation Result related to Sharia Principle fulfillment on ex-post function is submitted to the Board of Directors and Board of Commissioner on a semiannual basis as a matter of concern. Hasanah Banking Partner 267 Annual Report 2017
268. Performance 2017 No 4 Management Report Company Profile Business Supporting Function Management Discussion and Analysis Duties and Responsibilities Realization of Activities Submit Evaluation Results of the Board of Directors ’ Accountability for Risk Management Implementation which is related to the implementation of Sharia Principles to the Board of Directors and Board Commissioner. In semester II of 2017, SSB was also involved in the Company’s Performance Meeting. Thus, SSB can also know the description/portrait of performance including the implementation of Risk Management Policy related to the fulfillment of Sharia Principles. The Evaluation Result of Board of Directors’ Responsibility to the Risk Management Implementation related to Sharia Principal fulfillment is submitted quarterly which contains SSB study results on the performance of the Board of Directors on Risk Management Implementation related to Sharia Principal fulfillment and may be submitted in the form of Opinion or Recommendation on the Performance of the Board of Directors which can be issued in accordance with the request/requirement of the work units under the Board of Directors in each period (after the Performance Report is submitted, or after the Performance Meeting). Opinions/Suggestions of Sharia Supervisory Board Based on the monitoring result during 2017, SSB stated that in general, the operational activities of BNI Syariah have been in accordance with the Sharia Principles, DSN-MUI Fatwa and SSB Opinions. Mistakes/deficiency occurring in the operational activities did not lead to the mistakes in making policies, but more toward the understanding of certain individuals on a Product and Bank Operational Guidelines. Upon those mistakes/deficiency, SSB recommended that once the Bank becomes aware of a mistake/deficiency, then remedies must be immediately sought. If there are any intentional element hence a Sharia Principle was not fulfilled, such intentional mistakes/deficiency should be punished. No Decree Number Date Remarks 1 BNISy/DPS/OPINI/I/2017/001 17/01/2017 Operational Activities of PT Bank BNI Syariah Period of 2016 2 BNISy/DPS/OPINI/I/2017/002 17/01/2017 Conversion of Sukuk to equity participation by PT Arpeni Pratama Ocean Line and PT Berlian Laju Tanker 3 BNISy/DPS/OPINI/I/2017/003 30/01/2017 Sharia Securities Repo (SBS) Transaction 4 BNISy/DPS/OPINI/I/2017/004 30/01/2017 Kafalah bil ujrah Guarantee Agreement Scheme BNISy/DPS/OPINI/I/2017/005 30/01/2017 Sharia Factoring Agreement Scheme 5 BNISy/DPS/OPINI/I/2017/006 30/01/2017 Sharia OPINION on Consumptive Financing with Hawalah Bil Ujrah agreement for BNI Multiguna iB Hasanah and BNI Fleksi iB Hasanah 6 BNISy/DPS/OPINI/I/2017/007 30/01/2017 Cooperation Plan of collecting and distribution of waqf fund with Yayasan Edukasi Wakaf Indonesia (YEWI) 7 BNISy/DPS/OPINI/I/2017/008 30/01/2017 Temporary Freeze of Murabahah Financing Installment Payment 8 BNISy/DPS/OPINI/II/2017/009 16/02/2017 Payment Scheme of PT Alfian Yoenidar Darmajaya 9 BNISy/DPS/OPINI/III/2017/10 02/03/2017 Temporary Freeze of Murabahah Financing Installment Payment under the name of Mr. Sukamto 10 BNISy/DPS/OPINI/III/2017/011 07/03/2017 Savings Product of iB Dollar Hasanah 11 BNISy/DPS/OPINI/III/2017/012 10/03/2017 MTN-Ijarah Financing of PT Bunda Medik 12 BNISy/DPS/OPINI/III/2017/013 21/03/2017 Discussion of Musyarakah Mutanaqishah agreement proposal with Multi Nisbah or different Ujrah pattern (ujrah review) every month. 13 BNISy/DPS/OPINI/III/2017/014 07/03/2017 Productive Musyarakah Mutanaqishah (MMQ) Financing Agreement of iB Hasanah 14 BNISy/DPS/OPINI/III/2017/015 07/03/2017 Kafalh bil ujrah Financing Agreement of sharia guarantee product of iB Hasanah 15 BNISy/DPS/OPINI/III/2017/016 30/03/2017 Wakalah bil ujrah Agreement on Sharia Factoring Financing product. 16 BNISy/DPS/OPINI/IV/2017/017 27/04/2017 Financing Agreement Scheme of Toll Roads Development of PT Pemalang Batang Toll Road (PBTR) Hasanah Banking Partner 268 Annual Report 2017
269. Human Capital No Good Corporate Governance Decree Number Corporate Social Responsibility Date Attachment Remarks 17 BNISy /DPS/OPINI/IV/2017/018 27/04/2017 Change-Conversion of Musyarakah to Murabahah Financing Agreement under the name of PT Widya Jaya Abadi 18 BNISy/DPS/OPINI/V/2017/019 02/05/2017 Discussion of Hawalah Bil Ujroh Agreement Scheme 19 BNISy/DPS/OPINI/V/2017/020 02/05/2017 Discussion on Cooperation plan of Distributing KUR BNI 20 BNISy/DPS/OPINI/V/2017/021 31/05/2017 Financing Scheme of Musyarakah Mutanaqishah and Qardh of PT Palapa Timur Telematika 21 BNISy/DPS/OPINI/V/2017/022 31/05/2017 Changes of Murabahah Financing Object on Griya iB Hasanah financing of ongoing Murabahah Agreement 22 BNISy/DPS/OPINI/V/2017/023 31/05/2017 Sharia Hedging Transaction 23 BNISy/DPS/OPINI/V/2017/024 31/05/2017 Sharia Factoring Limit Agreement 14 BNISy/DPS/OPINI/V/2017/025 31/05/2017 Qardh Limit Agreement 15 BNISy/DPS/OPINI/VI/2017/026 20/06/2017 Murabahah Agreement on Griya Swakarya Product 26 BNISy/DPS/OPINI/VII/2017/027 18/07/2017 Late Fee on Procurement Process 27 BNISy/DPS/OPINI/VIII/2017/028 01/08/2017 Partnership Financing with Cattle Breeders 28 BNISy/DPS/OPINI/VIII/2017/029 25/08/2017 Temporary Freeze of Murabahah Financing Installment Payment under the name of Ratna Mutia Marhaini 29 BNISy/DPS/OPINI/VIII/2017/030 25/08/2017 BNI Tunas iB Hasanah Savings with Mudharabah Agreement 30 BNISy/DPS/OPINI/IX/2017/031 15/09/2017 SSB Opinion on Investment related to iB Hasanah 31 BNISy/DPS/OPINI/IX/2017/032 26/09/2017 SSB Opinion on System Cooperation with E-Commerce & Financial Technology 32 BNISy/DPS/OPINI/X/2017/033 03/10/2017 SSB Opinion on Ijarah Financing of Market Business Venue or Location 33 BNISy/DPS/OPINI/XI/2017/034 15/11/2017 SSB Opinion on Hawalah bil Ujrah Agreement 34 BNISy/DPS/OPINI/XI/2017/035 05/12/2017 SSB Opinion on Griya IB Hasanah Financing with MMQ Agreement for Refinancing of Assets Owned by Customers 35 BNISy/DPS/OPINI/XII/2017/036 08/12/2017 SSB Opinion on IB Hasanah Multipurpose Financing under the name of Eko Suprihono at Surakarta Branch Office 36 BNISy/DPS/OPINI/I/2017/001 17/01/2017 Operational Activities of PT Bank BNI Syariah Period of 2016 SSB report regarding Sharia Principles compliance in the Capital Market In 2017, SSB BNI Syariah reconducted the review of compliance with sharia principles for Sukuk Mudharabah BNI Syariah Bank I Year 2015 listed on 15 May 2015 with the amount of collected sukuk fund of Rp500 Billion and net realization of Rp497,22 Billion after deducting the cost of public offering in the amount Rp2,78 Billion. SSB sees that the fund from Public offering used for the financing of sharia rupiah currency includes productive financing (39,11%), consumptive financing (52,83%), micro financing (5,86%) and card financing (2,2%) has complied with sharia principles in the capital market. Hasanah Banking Partner 269 Annual Report 2017
270. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis BOARD OF COMMISSIONERS Board of Commissioners is an Company organ that is charge of conducting the supervision of the Bank ’s management duty by the Board of Directors, providing advice to the Board of Directors, and ensuring that the Bank has implemented good corporate governance at every level or position of the organization. Legal Basis The establishment of the Board of Commissioner of BNI Syariah is based on several provisions, among others are: 1. Law No. 21 of 2008 on Sharia Banking. 2. Law No. 40 of 2007 on Limited Liability Company. 3. Regulation of the Financial Services Authority No. 33/POJK.04/2014 on the Board of Directors and Board of Commissioners of Issuers or Public Listed Companies, the Board of Commissioners are Organ of Issuers or Public Companies. 4. Bank Indonesia Regulation No. 11/3/PBI/2009 on Sharia Commercial Banks, Article 23. 5. POJK 27/POJK.03/2016 on Fit and Proper Test for Primary Parties of Financial Services Institutions. 6. Bank Indonesia Regulation No. 14/6/PBI/2012 on the Fit and Proper Test for Sharia Banks and Sharia Business Units. 7. Articles of Association as the Deed of Resolutions of Annual GMS No. 4 dated 7 January 2016. 8. Decision Letter of the Board of Commissioners of PT Bank BNI Syariah on the Determination of Nomination and Remuneration Committee Charter No. KEP/01/ DK/2015 Board of Commissioner Manual The Board of Commissioners and the Board of Directors has the Manual based on SKB No. KP/DIR/016 & KP/01/DK/2013 and the Implementing Instructions of the Manual of the Board of Directors and the Board of Commissioners No. PP/S02/003-00/2016 dated 1 September 2016. The Manual has been uploaded on the Company’s website and internal dissemination media, namely the Electronic Corporate Guidelines (ECG). The content of the Board of Commissioners’ code of conduct based on this manual among others are: 1. Requirements of Members of Board of Commissioners; 2. Independent commissioner; 3. Member Composition; 4. Length of Service; 5. Appointment and Termination; 6. Job Position ethics; 7. Rights and Authority; 8. Functions, Duties, and Responsibilities; 9. Honorarium and Benefits/Allowances; 10. Tantiem; 11. Program Orientation; 12. Capacity Enhancement Program; 13. Board of Commissioner Secretary; 14. Committees under the Board of Commissioners. Hasanah Banking Partner 270 Annual Report 2017
271. Human Capital Good Corporate Governance Corporate Social Responsibility which supports task and Board of Commissioner ’s obligations and having high integrity and reputation also having commitment to providing sufficient time. 8. Has never been sentenced because he/she was proven to commit certain criminal acts which have been ruled by court that has permanent legal force for the last 20 (twenty) years. 9. Has never committed fraud actions (fraud, embezzlement and deception) in Banking, Finance and other business sectors. 10. Not being listed in the Banking blacklist and passing the fit and proper test held by Financial Service Authority based on applicable laws and regulations. 11. Not being included in the Disqualified List (DL). Criteria and Requirements of Members of Board of Commissioners The Members of the Board of Commissioners of BNI have gone through the mechanisms of nomination and reccomendations by Renumeration and Nomination Committee of BNI Syariah and are appointed through the General Meeting of Shareholders (GMS). Such appointment through the GMS is effective after candidates has passed fit and proper test or obtained approval from the Financial Service Authority (FSA). The requirements of the members of the Board of Commissioners of BNI Syariah are: 1. Having good characters, moral and integrity. 2. Competent in taking legal action. 3. Within a period of 5 (five) years prior to appointment and while holding office, the person: a. Has never been declared bankrupt. b. Has never been a member of the Board of Directors and/or a member of the Board of Commissioners who has once been declared guilty causing a company to be declared bankrupt. c. Has never been a member of the Board of Directors and/or a member of the Board of Commissioners who while holding the office: • once did not hold an annual GMS; • his/her accountability report as a member of the Board of Directors and/or a member of the Board of Commissioners was once rejected by the GMS or once did not provide accountability report as the member of the Board of Directors and/or the member of the Board of Commissioners to the GMS; and • once caused a company which obtains permit, approval, or registration from the Financial Services Authority to not fulfill its obligation to submit annual report and/ or financial statements to the Financial Services Authority. • having commitment to comply with the laws and regulations. 4. Having knowledge and/or skills in the area required by the Company. 5. Having commitment to the development of a sound Bank operation. 6. Has never been dismissed without respect from the position during 5 (five) years prior to appointment. 7. Having competence and experience in sectors Hasanah Banking Partner Attachment Statement letter on a duty stamp as per such requirement has been made by each candidate for the Board of Directors and Board of Commissioners of BNI Syariah as one of the requirement documents of fit and proper test at the FSA and has been documented by the company. Duties, Authority, and Obligations The main duties of the Board of Commissioners are to exercise supervision over the policy of management, performance of the Company’s management by the Board of Directors, including supervision over the implementation of the Company’s Long Term Plan, the Company’s Annual Work Plan and Budget, as well as the provisions of the Articles of Association and Resolutions of the GMS, as well as the prevailing laws and regulations, in the interest of the Company and in accordance with the purposes and objectives of the Company, and also to perform other duties which are specifically assigned to them according to the Articles of Association, laws and regulations and/or resolutions of the GMS. Authority: 1. To examine books, letters of evidence, supply of goods (inventories), to examine and to verify the position of the cash/money (for verification purposes) and other securities (comer-cial paper) and shall be entitled to be informed of all steps or measures that have been carried out by the Board of Directors; 2. To enter into the buildings and premises or other places used or controlled by the Company; 3. To ask explanations/information on all issues/ problems related to the Company’s management from the Board of Directors and/or other officers and 271 Annual Report 2017
272. Performance 2017 Management Report Company Profile Business Supporting Function 5 . To recommend the designation of a Registered Public Accountants who will audit the Company’s books to the GMS meeting; 6. To examine and to study as well as to give response to the regular report and Annual Report prepared by the Board of Directors and to sign the Annual Report; 7. To provide explanation, opinion and advice to the GMS on the Annual Report, if requested; 8. To make or draw up minutes of the Board of Commissioners Meeting and to keep its copy; 9. To report to the Company concerning ownership of his/her shares and/or shares of his/her family in the Company and in any other companies; 10. To provide a report of supervisory duties which have been carried out during the past fiscal year to the GMS; 11. To exercise other obligations related to duties of supervision and providing advice to the extend they are not contradictory to regulations, laws and regulations, the Articles of Association and the resolution of GMS; 12. To carry out other obligations as per BNI Financial Conglomeration Integrated Good Governance Guidelines. the Board of Directors must provide all explanation/ information related to the Company as required by the Board of Commissioners; 4. To know all policies and actions which has been and will be implemented by the Board of Directors; 5. To request the Board of Directors and/or other officers under the Directors, known by the Board of Directors, to participate in the Board of Commissioner’s meeting; 6. To appoint and to dismiss/discharge a Secretary of the Board of Commissioners; 7. To temporary dismiss/discharge a member of Board of Directors in accordance with the provisions of the Articles of Association; 8. To establish Audit Committee, Remuneration and Nomination Committee, Risk Monitoring Committee, and other committees; 9. To use experts for certain matters and within a certain period at the expense of the Company, if considered necessary and with due observance of the applicable provisions; 10. To carry out management actions of the Company in a certain condition for a certain period in accordance with the provisions of these Articles of Association; 11. To attend the Board of Commissioners Meetings and to provide opinions on the matters discussed in the meeting; 12. To perform other supervisory authority to the extent that it is not in contravention with the laws and regulations, the Articles of Association, and/or resolutions of the GMS. Board of Commissioner Composition Based on Article 25 of PBI No. 11/3/PBI 2009 on Sharia Commercial Banks and the Company’s Article of Association, the total number of Board of Commissioner is at least 3 (three) people and the maximum amount is similar with the number of members of the Board of Directors. As per 31 December 2017, BNI Syariah has 4 (four) people as the members of Board of Commissioners which has been through nomination process by Remuneration and Nomination Committee of BNI Syariah and appointed by GMS approval. All members of the Board of Commissioners reside in Indonesia, one of them has been appointed as the President Commissioner and Commissioner and 50% (fifty percent) among them are Independent Commissioner atau 3 (three) other members are Independent Commissioners. The composition of the Board of Commissioners that is effective has been notarized and the notice itself is reported to the Ministry of Law and Human Rights. Obligations: 1. To give advice to the Board of Directors in managing the Company; 2. To give opinion and approval upon the Company’s Long-Term Plan and the Company’s Annual Work Plan and Budget, and other plans, prepared by the Board of Directors, in accordance with the provisions of the Articles of Association; 3. To follow, supervise the development of the Company’s activities, to give opinion and advice to the GMS meeting on every issue/problem considered necessary for the management of the Company; 4. To immediately report to the GMS in case the Company shows symptom of setback accompanied by the recommendation on corrective measures which shall be adopted; Hasanah Banking Partner Management Discussion and Analysis As of 31 December 2017, 1 (one) member of the Independent Commissioner that is Mr. Muhammad Syakir Sula is not yet effective to hold his position because he is still undergoing the process of fit and proper test of the FSA. Prior to being effective, the concerned person is authorized as the expert in the Board of Commisssioners. 272 Annual Report 2017
273. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment The details of the composition of the Board of Commissioners are as follows : Approval No Nama Position Domicile OJK/Bank Indonesia GMS Term of Office 1 Fero Poerbonegoro President Commissioner Jakarta Annual GMS 25 February 2016 as President Commissioner Decree of Board of Commissioners of OJK No. KEP46/D.03/2016, 8 Sep 2016 Until Annual GMS in 2019 2 Rizqullah Independent Commissioner Tangerang Annual GMS 25 February 2016 Decree of Board of Commissioners of OJK No. KEP45/D.03/2016, 6 Sep 2016 Until Annual GMS in 2019 3 Max R. Niode Independent Commissioner Jakarta Annual GMS 25 February 2016 Decree of Board of Commissioners of OJK No. KEP226/D.03/2017, 19 Dec 2017 Until Annual GMS in 2019 4 Muhammad Syakir Sula* Independent Commissioner Jakarta Annual GMS 25 February 2016 - Until Annual GMS in 2019 * not yet effective/still in the process of fit and proper test of OJK. Division of Supervisory Duties of the Board of Commissioners Specifically, the division of duties and responsibilities of the Board of Commissioner is as follow: Table of Division of Duties of the Board of Commissioners Name Board of Commissioners Field of Duty Fero Poerbonegoro President Commissioner In charge of Risk Monitoring Committee and Nomination and Remuneration Committee Rizqullah Independent Commissioner In charge of Risk Monitoring Committee and Nomination and Remuneration Committee Max R. Niode Independent Commissioner In charge of Audit Committee and Nomination and Remuneration Committee Muhammad Syakir Sula* Independent Commissioner In charge of Audit Committee and Nomination and Remuneration Committee * not yet effective/still in the process of fit and proper test of OJK. to obtain the FSA’s approval which is documented by the company, which states among others: 1. Not having family relations to the second degree including in-laws with the members of the Board of Commissioners and the members of the Board of Directors in accordance with applicable regulations. Being the party that independent from the owner or controlling shareholders of the Bank. 2. Not having any financial relationship, management relationship, share ownership and/or family relationship with Controlling Shareholders, other The Board of Commissioners’ Independence Each member of the Board of Commissioners in performing their duties must be free from the influence of the Company’s management, Shareholders, and other parties. The members of the Board of Commissioners who are selected based on the nomination process should perform their duties by not prioritizing the interest of the parties that nominate them. Each member of the Board of Commissioners has signed the statement letter of independence as the requirement Hasanah Banking Partner 273 Annual Report 2017
274. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis the regulation of GCG Implementation for Sharia Commercial Banks and Sharia Business Units (particularly Independent Commissioner). members of the Board of Commissioners, and/or the Board of Directors or financial relationship and share ownership with the Bank so they can support their ability to act independently as regulated in Disclosure of Concurrent Position The list of the concurrent position of the Board of Commissioners is as follows: Name Position Position in BNI Group Position in Other Company/Institution Fero Poerbonegoro President Commissioner None None Rizqullah Thohuri Independent Commissioner None Independent Commissioner of PT Grha 165 Max R. Niode Independent Commissioner None None Muhammad Syakir Sula* Independent Commissioner None • Independent Commissioner of PT Jamkrindo Syariah • SSB Member of PT Bank Tabungan Negara (Persero) Tbk. • Secretariat General of Board of Counseling of Muslim Entrepreneur Association of Indonesia • Vice Secretariat General of Expert Council of Association of Indonesian Muslim Scholars (ICMI) • Member/Chairman of SSB Perum Jamkrindo • Member/Chairman of SSB PT Panin Dai-ichi Life • Member/Chairman of SSB PT Reasuransi Indonesia * not yet effective/still in the process of fit and proper test of OJK. Companies, updated every 6 (six) months or everytime there are changes. On the position per 31 December 2017, the information on the said share ownership is: Share Ownership Based on the Special List of Shares Ownership by the Board of Commissioners and the Board of Directors, including their family both in the Company or other President Commissioner No Name Status Shares of BNI Syariah Shares in Other Company Acquisition Year 1 Fero Poerbonegoro President Commissioner None None - 2 Nurani Sulastri Wife None None - 3 Rakhmat Mogar Poerbonegoro Child None None - Independent Commissioner No Name Status Shares of BNI Syariah Shares in Other Company Acquisition Year 1 Rizqullah Independent Commissioner None None - 2 Yusroh Muhammad Wife None Rp100 million at Graha 165 2014 3 Hanna Azkiya Child None None - Hasanah Banking Partner 274 Annual Report 2017
275. Human Capital No Good Corporate Governance Name Corporate Social Responsibility Status Shares of BNI Syariah Attachment Shares in Other Company Acquisition Year 4 Muhammad Muftah Child None None - 5 Ahmad Haris Child None None - 6 Aulia Rahmah Child None None - 7 Syifa Ramadhani Child None None - Independent Commissioner No Name Status Shares of BNI Syariah Shares in Other Company Acquisition Year 1 Max R . Niode Independent Commissioner None None - 2 Dian Mardianawati Wife None PT Persona Prima Utama (75 shares/1.50%) 2005 3 Zahra Aldila Niode Child None None - 4 Alvin Akbar Niode Child None None - Independent Commissioner (still in the process of fit and proper) No Name Status Shares of BNI Syariah Shares in Other Company Acquisition Year 1 Muhammad Syakir Sula Independent Commissioner None None - 2 Lukita Amelia Wife None None - 3 Hanna Nurul Izza Child None None - According to the provisions in the Board of Commissioners’ Manual, the meeting materials must be submitted to the Board of Commissioners no later than three (3) business days prior to the meeting so that the Board of Commissioners has the opportunity to review the information and/or request additional information prior to the meeting. The Board of Commissioner’S Meetings 1. Meetings Ethics According to the provisions stipulated the Company’s Articles of Association, the Meeting shall be held at least every 2 (two) months by inviting the Board of Directors to the meeting. In practice, the meeting of the Board of Commissioners conducted at least once a week and one of them is a joint meeting with all members of Board of Directors. The Meeting shall be lawful and shall be entitled to make binding resolutions if it is attended or represented by more than 1/2 (one half) of the total members of the Board of Commissioners. All decisions made in the meeting based on consultation and deliberation for a consensus. If the consensus fails, decision may be made by majority votes. The decisions are binding all members of the Board of Commissioners. Hasanah Banking Partner 2. Attendance Level During 2017, the Board of Commissioners of BNI Syariah held 16 the Board of Commissioners’ meetings and 13 meetings with the Board of Directors, and 1 joint meeting, so that the Board of Meetings’ total meetings held were 30 times. The attendance in the meetings during 2017 was described as follows: 275 Annual Report 2017
276. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis Table of Meeting Attendance of the Board of Commissioners Total Attendance Name Fero Poerbonegoro Board of Commissioners Meeting Meeting with Board of Directors 13 Rapat Gabungan 11 1 Total 25 Percentage 83 % Rizqullah 16 12 1 29 97% Max Niode 15 13 1 29 97% Muhammad Syakir Sula* 15 13 1 29 97% *not yet effective/still in the process of fit and proper test of OJK. 3. Main Agenda of the Board of Commissioners’s Meetings, the Board of Commissioners’s Meeting with the Board of Directors and Joint Meetings. The Board of Commissioners of BNI Syariah has discussed various agenda in the internal meetings of the Board of Commissioners, Meetings with the Board of Directors, and Joint Meetings with the Board of Directors and the SSB, during 2017, which were described as follows: No. Date Meeting Agenda Fero P Rizqullah Max R. Niode M. Syakir 1 4 Jan 2017 Board of Commissioners Meeting - Approval on Rotation of Internal Audit (IAD) Chairman V V V V 2 17 Jan 2017 Joint Meeting Between Board of Commissioners and Board of Directors to discuss: 1. Presentation of Company Performance December 2016, including DPK & CASA NPF, OPEX & BOPO, Comparison with Peers Group. 2. Explanation of Correction. X V V V 3 24 Jan 2017 Meeting of Board of Commissioners to discuss: 1. IAD Presentation on 2016 Audit Realization & 2017 Audit Plan 2. Principles of audit result of semester II/2016 3. HCD Presentation on 2017 Health Insurance 4. Work Visit of the Board of Commissioners X V V V 4 31 Jan 2017 Meeting of Board of Commissioners to discuss: 1. Change of status of member of the Board of Commissioners; 2. Plan to Add Member of Board of Directors V V V V 5 4 Feb 2017 Meeting of Board of Commissioners to discuss: 1. Financing 2. 2016 Risk Management Implementation & 2017 Plan 3. The Company’s Risk Profile for Semester II/2016 V V V V 6 21 Feb 2017 Joint Meeting Between Board of Commissioners and Board of Directors to discuss: 1. Presentation of Company Performance January 2017, including DPK & CASA NPF, OPEX & BOPO, Comparison with Peers Group and Policies and Financing Composition. 2. Preparation of GMS for 2016 Fiscal Year V V V V 7 14 March 2017 Joint Meeting Between Board of Commissioners and Board of Directors to discuss: 1. Presentation of Company Performance February 2017, including DPK & CASA NPF, OPEX & BOPO 2. Comparison with peers group and Policy as well as Financing Composition V V V V Hasanah Banking Partner 276 Annual Report 2017
277. Human Capital No . Date Good Corporate Governance Corporate Social Responsibility Meeting Agenda Attachment Fero P Rizqullah Max R. Niode M. Syakir 8 21 March 2017 Meeting of Board of Commissioners to discuss Strategy & Financing Composition. V V V V 9 21 March 2017 Meeting of Board of Commissioners to discuss: 1. Company’s Management 2. Independence of Risk Monitoring Committee 3. Independence of Nomination & Remuneration Committee V V V V 10 27 March 2017 Meeting of Board of Commissioners & Board of Directors in the framework of Gathering of Board of Commissioners & Board of Directors V V V V 11 11 April 2017 Meeting of Board of Commissioners to discuss: 1. Financing 2. Financing Performance & Quality of Commercial Division V V V V 12 25 April 2017 Joint Meeting Between Board of Commissioners and Board of Directors to discuss: 1. Presentation of Company Performance March 2017, including DPK & CASA NPF, OPEX & BOPO, Comparison with Peers Group. 2. Financing Policies and Composition V V V V 13 16 May 2017 Joint Meeting Between Board of Commissioners and Board of Directors to discuss: 1. Presentation of Company Performance April 2017, including DPK & CASA NPF, OPEX & BOPO, Comparison with Peers Group; 2. POJK No. 12/POJK/01/2017 on Implementation of Anti Money Laundering & Counter Financing Terrorism Program. 3. Presentation of Risk Profile, Quarter 1/2017 V V V V 14 30 May 2017 Meeting of Board of Commissioners to discuss: 1. Financing Performance & Quality of Customers in Watchlist 2. Financing Recovery of Head Office & Branch Office V V V V 15 6 June 2017 Meeting of Board of Commissioners & Board of Directors to discuss Performance Development & Stress Test Report V V V V 16 6 June 2017 Meeting of Board of Commissioners to discuss Business Management of the Branch. V V V V 17 12 June 2017 Meeting of Board of Commissioners & Board of Directors discussing the Presentation of Company Performance May 2017, including DPK & CASA NPF, OPEX & BOPO, Comparison with Peers Group. V V V V 18 11 July 2017 Meeting of Board of Commissioners & Board of Directors to discuss: 1. Presentation of Company Performance June 2017, including DPK & CASA NPF, OPEX & BOPO, Comparison with Peers Group. 2. POJK No. 12/POJK/01/2017 on Implementation of Anti Money Laundering & Counter Financing Terrorism Program. V V V V 19 11 July 2017 Meeting of Board of Commissioners to discuss presentation of ERD Division on financing traffic light. V V V V Hasanah Banking Partner 277 Annual Report 2017
278. Performance 2017 No . Management Report Date Company Profile Business Supporting Function Management Discussion and Analysis Meeting Agenda Fero P Rizqullah Max R. Niode M. Syakir 20 25 July 2017 Meeting of Board of Commissioners to discuss: 1. Presentation of BMT Tamzis Financing 2. IAD Presentation on Report of Findings Complication (including the nominal of potential loss) and follow-up as well as learnings for future improvement based on the Audit of Semester I of 2017 3. BRD Presentation on Business Risk Management V V V V 21 8 August 2017 Meeting of Board of Commissioners to discuss: Financing Presentation Performance Presentation & Micro Business Plan V V V X 22 22 August 2017 Joint Meeting Between Board of Commissioners and Board of Directors to discuss: 1. Presentation of Board of Directors on watchlist of commercial customers (CRD) and small and medium business customers; 2. Presentation of Board of Directors on Performance, Business Plan, Direction & Development Strategy of Hasanah Card. V V V V 23 12 Sep 2017 Joint Meeting Between Board of Commissioners and Board of Directors to discuss: 1. ERD Presentation on the Company’s Risk Profile Report; 2. LGD Presentation on APU PPT policy revision V X V V 24 19 Sep Joint Meeting Between Board of Commissioners and Board of Directors to discuss: 1. Presentation of Board of Directors on Performance of August 2017; 2. Continuation of Board of Directors on the Company’s Organizational Structure. V V V V 25 3 October 2017 Meeting of Board of Commissioners to discuss: 1. HCD Presentation on system and policy of employee nomination 2. ERD Presentation on Bank’s Financing Policy (KPB). X V V V 26 24 October 2017 Meeting of Board of Commissioners to discuss: 1. ERD Presentation on Bank’s Financing Policy (KPB) 2. IAD Presentation on Audit Findings of Quarter III/2017 X V V V 27 10 Nov 2017 Meeting of the Board of Commissioners to discuss CRD Presentation on OJK Financing Findings V V V V 28 15 Nov 2017 Meetings of the Board of Commissioners and Board of Directors and DPS to discuss: 1. Submission of DPS supervisory results 2. Meeting of Board of Directors and Board of Commissioners in October 2017 to discuss Business Strategy 2018 V V V V 29 21 Nov 2017 Meeting of Board of Directors and Board of Commissioners to discuss consumptive financing consultation X V V V 30 19 Dec 2017 Meeting of Board of Commissioners to discuss financing presentation. V V X V Hasanah Banking Partner 278 Annual Report 2017
279. Human Capital Good Corporate Governance Corporate Social Responsibility and regulations , that is to carry out the monitoring of the management policy and the management of BNI Syariah in general. In running its work programs, the Board of Commissioners is assisted by the Committees under it namely: Audit Committee, Risk Management Monitoring Committee, and Nomination Committee. Work Programs and Recommendations of the Board of the Commissioners Work Programs of the Board of Commissioners are prepared by taking into account duties, authority, and obligations of the Board of Commissioners as regulated in the applicable laws and regulations, that is to carry out the monitoring of the management policy and the management of BNI Syariah in general. The implementation of work programs during 2017 provided several recommendations as follows: As part of its duties and responsibilities, the Board of Commissioners may provide recommendations and advice to the Board of Directors related to the implementation of the business strategis taken by the Board of Directors and its staff. Work Programs of the Board of Commissioners are prepared by taking into account duties, authority, and obligations of the Board of Commissioners as regulated in the applicable laws No Date Attachment Decision and Approval of the Board of Commissioners in 2017 During 2017, the Board of Commissioners made various decisions and approval, among others, related to aspects as follows: Decree Number Remarks 1 4 January 2017 Letter KOM/01/ 4 January 2017 Approval of Internal Audit Division (IAD) Chairman 2 27 January 2017 Letter SP-01/KOM/2017 Appointment of Mr. Junaidi Hisom to temporarily conduct the Company's management as the Director of Risk and Compliance until the filling of vacancy of Director of Risk and Compliance. 3 23 March 2017 Letter SP-02/KOM/2017 Appointment of Mr. Junaidi Hisom to temporarily perform all work of vacant position of Board of Directors until the appointment of members of Board of Directors on 23 March 2017 becomes effective. 4 12 June 2017 Letter KOM/30 Tantiem of Board of Directors and Board of Commissioners of 2016 Fiscal Year 5 12 June 2017 Decree of Board of Commissioners of PT Bank BNI Syariah No. KEP/01/DK/2017 Discharge of Mr. Ibrahim Husein as Independent Member of Risk Monitoring Committee 6 12 June 2017 Decree of Board of Commissioners No. KEP/02/DK/2017 Discharge of Mr. Bambang Eko Priyantono as Independent Member of Risk Monitoring Committee 7 12 June 2017 Decree of Board of Commissioners No. KEP/03/DK/2017 Appointment of Mrs. Subardiah as Independent Member of Risk Monitoring Committee 8 12 June 2017 Decree of Board of Commissioners No. KEP/04/DK/2017 Appointment of Mr. Delyuzar Syamsi as Independent Member of Risk Monitoring Committee 9 12 June 2017 Decree of Board of Commissioners No. KEP/0/DK/2017 Appointment and Establishment of Composition of Risk Monitoring Committee 10 24 October 2017 Letter KOM/49 dated 24 October 2017 Remuneration of the Management the competence of each member in performing their duties as the the Board of Commissioners. The followings were several trainings: Competence Enhancement Program of Board of Commissioners During 2017 the members of the Board of Commissioners independently participated in various training to improve Hasanah Banking Partner 279 Annual Report 2017
280. Performance 2017 Management Report Name President Commissioner Rizqullah Independent Commissioner Max R . Niode Independent Commissioner Business Supporting Function Competence Development/ Training Material Position Fero Poerbonegoro Muhammad Syakir* Company Profile Independent Commissioner Management Discussion and Analysis Time and Place Type of Training and Organizer Training of Leadership & 4DX 16 January 2017 PT BNI Persero Tbk Spiritual Leadership 19 June 2017 PT BNI Persero Tbk Training of Leadership & 4DX 16 January 2017 PT BNI Persero Tbk Spiritual Leadership 19 June 2017 PT BNI Persero Tbk Banking Risk Management Competence Certification Level 4 Jakarta, 13 February 2017 Sertifikasi Manajemen Risiko Training of Leadership & 4DX 16 January 2017 PT BNI Persero Tbk Spiritual Leadership 19 June 2017 PT BNI Persero Tbk Training of Leadership & 4DX 16 January 2017 PT BNI Persero Tbk Spiritual Leadership 19 June 2017 PT BNI Persero Tbk * Still in the process of Fit and Proper Test of OJK in the Risk Management Certification programs. In 2017, the Board of Commissioners of the Bank took part in the Risk Management Certification programs with details as follows: Risk Management Certification for Board of Commissioners Apart from the competence enhancement program, the Board of Commissioners of BNI Syariah also participated Name Position Period Level Time and Place Expired Organizer Fero Poerbonegoro President Commissioner 2016 – 2019 5 Jakarta, 27 May 2016 2018 Risk Management Certification Institution (BSMR) Rizqullah Independent Commissioner 2016 – 2019 5 Jakarta, 11 April 2016 2018 BSMR Max R. Niode Independent Commissioner 2016 – 2019 4 Jakarta, 13 February 2017 2018 Banking Profession Certification Institution (LSPP) Muhammad Syakir Independent Sula* Commissioner 2016 - 2019 2 Jakarta, 29 September 2016 2020 LSPP * Still in the process of Fit and Proper Test of OJK 1. The organizational structure of the Company as well as their respective functions; 2. The rights (including remuneration and facilities acquired), the main duties, obligations and responsibilities of the Board of Commissioners 3. Financial performance; 4. The company’s current conditions, Business Plan, as well as future prospects of the Company; 5. Company’s internal policies 6. Risk management practices of the Company. 7. Other materials to prepare the new members of the Board of Commissioners. Orientation for New Members of Board of Commissioners The Company continues to provide an orientation program for each newly appointed member of the Board of Commissioners. The program includes the introduction for new members of the Board of Commissioners to other members of the Board of Commissioners, the members of the Board of Directors, Executive Officer, General Manager, Corporate Secretary, members of the Committees under the Board of Commissioners, the Secretary of the Board of Commissioners, and other officials. Briefing materials for the members of the Board of Commissioners include: Hasanah Banking Partner 280 Annual Report 2017
281. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Independent Commissioners 3 . Not be an employee or having authority and responsibility for planning, directing, controlling, or monitoring the activities of a Public Company within 6 (six) months, except for reappointment as Independent Commissioner of Issuer or Public Company in the next period, Do not have relationship or bond directly or indirectly with the Issuer or Public Company. 4. Has passed the Fit and Proper Test in accordance with the regulation of Bank Indonesia. 5. Proposed by Shareholder, through the nomination process in the Remuneration and Nomination Committee of BNI Syariah and elected in the RUPS. 6. Within 5 (five) years prior to his appointment, the candidate never has been declared bankrupt. 7. Never been a member of the Board of Directors and/ or a member of the Board of Commissioners who has once been declared guilty causing a company to be declared bankrupt. 8. Never been sentenced for a criminal offense that is detrimental to the State’s finance and/or related to the financial sector. 9. Other criteria that are determined by the Internal Regulations of BNI Syariah and the applicable laws and regulations. As required by the laws and regulations, BNI Syariah has a composition of 50% members of the Board of Commissioners that are 3 (three) out of 4 (four) members of the Board of Commissioners are Independent Commissioners. 2 (two) Independent Commissioners who are effective to hold their positior are Mr. Rizqullah and Mr. Max R. Niode. Independent Commissioners of BNI Syariah do not have any financial relationship, management relationship, share ownership and/or family relationship with Controlling Shareholders, other members of the Board of Commissioners, and/or the Board of Directors or financial relationship and share ownership with the BNI Syariah so they can support their ability to act independently. Independent Commissioner BNI Syariah also made statement related to the independence status referred above which has been signed on the duty stamp as part of the application for fit and proper test to the FSA and documented by the Company. Criteria for Determining Independent Commissioner Independent Commissioners have to meet key requirements, including: 1. No financial relationship and connection with the members of the Board of Directors and Shareholders of BNI Syariah, or other relationships that might affect its ability to act independently. 2. The Board of Commissioners at the same time cannot hold the position of Board of Directors, or Executive Officer at more than 1 (one) institution/ non-financial companies, State-Owned Enterprises, Regional Owned Enterprises, Private Owned Enterprises and other positions in accordance with the provisions of the Company’s Articles of Association and the applicable laws and regulations. No Statement of Independence of Independent Commissioner The Independent Commissioner of BNI Syariah has signed the statement letter of independence whose content is in accordance with the applicable laws and regulations and has been submitted to the Financial Services Authority as one of the requirement documents to apply for approval from the FSA in order to be the member of the Board of Commissioners of BNI Syariah. The following is the content of the said statement letter. Statement Checklist 1 Declare that I am an independent party to the Bank owner V 2 Declare that I am willing to act independently to the Bank owners V 3 Declare that I have no financial, management, share ownership, and/or family relationship with Controlling Shareholders, other members of Board of Commissioners, and/or Board of Directors or financial and/or share ownership relationship with the Bank so that this supports my ability to act independently. V Hasanah Banking Partner 281 Annual Report 2017
282. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis BOARD OF DIRECTORS The Board of Directors is one of the main organs of GCG . The Board of Directors is responsible for the Company’s management, and acts for and on behalf of the Bank’s interests in or outside the court. BNI Syariah’s Board of Directors consists of a President Director and other Directors responsible for each function. The Board of Directors is jointly responsible for all management actions. In performing the duties, BNI Syariah’s Board of Directors always prioritizes transparency, professionalism and truthfulness in prioritizing the interests of the Bank and its stakeholders, as well as to think strategically and ensure the target achievement and business continuity. Legal Basis The appointment of BNI Syariah’s Board of Directors is based on the following provisions: 1. Law No. 21 of 2008 on Sharia Banking. 2. Law No. 40 of 2007 on Limited Liability Companies. 3. Financial Services Authority Regulation No. 33/POJK.04/2014 on Board of Directors and Board of Commissioners of Issuers or Public Companies, Board of Commissioners is the Organ of the Issuer or Public Company. 4. Bank Indonesia Regulation No. 11/3/PBI/2009 on Sharia Commercial Banks, and Bank Indonesia Regulation No. 15/13/PBI/2013 on amendments to Bank Indonesia Regulation No. 11/3/PBI/2009 on Sharia Commercial Banks. 5. Financial Services Authority Regulation No. 27/POJK.03/2016 on Fit and Proper Test for the Main Parties of Financial Services Institutions. 6. Bank Indonesia Regulation No. 14/6/PBI/2012 on Fit and Proper Test for Sharia Banks and Sharia Business Units. 7. The Company’s Articles of Association based on the Deed of Annual GMS Resolution Statement No.4 dated January 7, 2016. 8. Decree of Board of Commissioners of PT Bank BNI Syariah on the Stipulation of Nomination and Remuneration Committee Charter No. KEP/01/DK/2015. Board of Directors Work Guidelines and Code of Conduct BNI Syariah’s Board of Directors follows the Code of Conduct of Board of Commissioners and Board of Directors based on Decrees No. KP/DIR/016 & KP/01/DK/2013 and the Guidelines of Code of Conduct of Board of Directors and Board of Commissioners No. PP/ S02/003-00/2016 dated September 1, 2016. The Work Guidelines and Code of Conduct of Board of Directors have been uploaded to the Company’s website and internal socialization media, which is Electronic Corporate Guidelines (ECG). The code of conduct of Board of Commissioners includes: 1. Requirements for Members of Board of Directors; 2. Independent Commissioners; 3. Composition of Members; 4. Term of Office; 5. Appointment and Discharge; 6. Occupational Ethics; 7. Rights and Authority; 8. Functions, Duties, and Responsibilities; 9. Salary and Facilities/Benefits; 10. Bonuses; 11. Orientation Programs; 12. Capability Improvement Programs. Hasanah Banking Partner 282 Annual Report 2017
283. Human Capital Good Corporate Governance Corporate Social Responsibility 7 . Has never been dishonorably discharged from a job within 5 (five) years before being appointed and during the term of office. Criteria and Requirements for Members of the Board of Directors Members of BNI Syariah’s Board of Directors have undergone the nomination and recommendation mechanism of BNI Syariah’s Nomination and Remuneration Committee and are appointed through the General Meeting of Shareholders (GMS). The appointment by the GMS is effective after the candidate passes the fit and proper test and/or is approved by the Financial Services Authority (OJK). The requirements to become a member of BNI Syariah’s Board of Directors are: 1. Having an upstanding character, morals, and integrity. 2. Competent in legal-related matters. 3. Within 5 (five) years before being appointed and during the term of office: a. Has never been declared bankrupt. b. Has never been part of a Board of Directors and/ or Board of Commissioners that is found guilty of causing a company to be declared bankrupt. c. Has never been convicted of a criminal offense which causes state losses and/or is related to the financial sector. d. Has never been part of a Board of Directors and/ or Board of Commissioners that during its term of office: (i) has failed to hold an annual GMS; (ii) has had an accountability report as a member of the Board of Directors and/or member of the Board of Commissioners dismissed by the GMS or has failed to submit an accountability report as a member of the Board of Directors and/or member of the Board of Commissioners to the GMS; and (iii) has caused a company authorized by, approved by or registered with the OJK to fail to submit an annual report and/or financial report to the OJK. 4. Committed to comply with the laws and regulations. 5. Having the knowledge and/or expertise in a field required by the Company. 6. Committed to developing healthy operations of a Sharia Bank. Hasanah Banking Partner Attachment 8. Having the competence and experience in the fields supporting the duties and responsibilities of the Board of Commissioners, high integrity and good reputation, as well as the commitment to devote the necessary time to the work. 9. Has never been convicted of a criminal offense ruled by a court with a binding legal force within the last 20 (twenty) years. 10. Has never committed fraud or embezzlement in banking, financial and other business sectors. 11. Not included in any banking blacklists and passes a fit & proper test held by the OJK based on prevailing laws. 12. Not included in the List of People Who Have Failed the Test. A letter stating the fulfillment of the above criteria is submitted by each candidate for the BNI Syariah’s Board of Directors and Board of Commissioners as one of the required documents for the fit & proper test held by the OJK and is kept as documentation by the Company. Composition of Board of Directors Based on Article 28 of Bank Indonesia Regulation No. 11/3/ PBI 2009 on Sharia Banks and the Company’s Articles of Association, the Board of Directors is composed of at least 3 (three) people and led by the President Director. As of December 31, 2017, BNI Syariah has 4 (four) members of the Board of Directors who have undergone a nomination process by the BNI Syariah’s Nomination and Remuneration Committee and have been appointed based on the approval of the GMS. All of the members of the Board of Directors are based in Indonesia. A President Director and a Risk & Compliance Director are appointed from among the members of the Board of Directors. The detailed composition of the Board of Directors is as follows: 283 Annual Report 2017
284. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis Table of Composition of Board of Directors Period of 1 January - 23 March 2017 No Name Position Approval Domicile GMS OJK /Bank Indonesia End of Term of Office 1 Imam Teguh Saptono President Director Indonesia Annual GMS 25 February 2016 as President Director Decree of Board of Commissioners of OJK No. KEP-46/D.03/2016, 8 Sep 2016 Until Annual GMS in 2019 2 Junaidi Hisom Director of Operations and Network Indonesia Annual GMS 1 May 2013 Letter of Bank Indonesia No. 15/2073/ DPbS dated 9 December 2013 Until Annual GMS in 2019 3 Kukuh Rahardjo Director of Consumer Business Indonesia Annual GMS 25 February 2016 Decree of Board of Commissioners of OJK No. KEP-61/D.03/2016, 27 October 2016 Until Annual GMS in 2019 4 Tribuana Tunggadewi* Director of Risk and Compliance Indonesia Annual GMS 25 February 2016 - Until Annual GMS in 2019 *not yet effective/still in the process of OJK fit and proper test Table of Composition of Board of Directors Period of 23 March - 31 December 2017 Approval No Name Position Domicile GMS OJK/Bank Indonesia End of Term of Office 1 Abdullah Firman Wibowo* President Director Indonesia EGMS 23 March 2017 Decree of Board of Commissioners of Financial Service Authority No. KEP-41/ D1.03/2018 12 March 2018 Until Annual GMS in 2020 2 Junaidi Hisom Director of Operations and Network Indonesia Annual GMS 1 May 2013 Letter of Bank Indonesia No. 15/2073/ DPbS dated 9 December 2013 Until Annual GMS in 2020 3 Dhias Widhiyati Director of Business Indonesia EGMS 23 March 2017 Decree of Board of Commissioners of OJK No. KEP-228/D.03/2017 dated 19 December 2017 Until Annual GMS in 2020 4 Tribuana Tunggadewi Director of Risk and Compliance Indonesia • Annual GMS 25 February 2016 • EGMS 29 December 2017 Decree of Board of Commissioners of OJK No. KEP-228/D.03/2017 dated 19 December 2017 Until Annual GMS in 2020 *not yet effective until the end of 2017, but already effective per 13 March 2018. Hasanah Banking Partner 284 Annual Report 2017
285. Human Capital Good Corporate Governance Corporate Social Responsibility Obligations : 1. Undertaking and guaranteeing the implementation of the Company’s business and activities in accordance with its intents and purposes as well as its business activities; 2. Setting up the Company’s Long-Term Plan, Working and Annual Budget Plan, and other work plans along with their amendments and submitting them no later than 60 (sixty) days before the new fiscal year begins to the Board of Commissioners for approval; 3. Creating a Register of Shareholders, Special Register, Minutes of the GMS and Minutes of the Directors’ Meeting; 4. Creating an Annual Report as a form of accountability in managing the Company, as well as the Company’s financial documents as referred to in the Law on Company Documents; 5. Preparing a Financial Report based on Financial Accounting Standards and submitting it to a Public Accountant for auditing; 6. Holding Annual GMS and other GMS as stipulated by the law and the Articles of Association; 7. Submitting an Annual Report after a review by the Board of Commissioners within 5 (five) months at the latest after the end of the fiscal year to the GMS in order to be approved and passed; 8. Providing explanation to the GMS regarding the Annual Report; 9. Maintaining a Register of Shareholders, Special Register, Minutes of the GMS, Minutes of Meeting of the Board of Commissioners and Directors, Annual Reports and financial documents, and other Company documents; 10. Keeping the Register of Shareholders, Special Register, Minutes of the GMS, Minutes of Meeting of the Board of Commissioners and Directors, Annual Reports and financial documents, and other Company documents at the Company’s place of business; 11. Maintaining an accounting system in accordance with Financial Accounting Standards and based on the principles of internal control, especially the separation between the maintenance, recording, storage, and monitoring functions; 12. Providing regular reports in a certain manner and time as determined by applicable regulations, as well as other reports each time they are requested by the Board of Commissioners, in accordance with the prevailing laws and regulations; Duties, Authority, and Obligations The main duties of the Board of Directors are performing all management activities for the Company’s interests and in line with the Company’s intents and purposes and representing the Company in or outside the court in all matters and occurrences with certain limitations as stipulated by the law, the Articles of Association and/or GMS Resolutions. Authority: 1. Establishing the Company’s management policies; 2. Arranging the transfer of the Board of Directors’ power to represent the Company in and outside the court to one or several Directors specifically appointed for the task, or one or several employees of the Company, both individually or jointly, or to another person or institution; 3. Establishing the Company’s terms of employment including setting wages, retirement or pension plans, production incentives and other earnings for the Company’s employees based on applicable laws and regulations; 4. Appointing, giving rewards or sanctions, and dismissing the Company’s employees based on the Company’s employment regulations and applicable laws; 5. Forming the function of Corporate Secretary; 6. Writing off bad debt and subsequently reporting it for accountability in an Annual Report; 7. Ceasing collection of some or all receivables outside the principal in a restructuring and/or completion of financing but with the obligation to report to the Board of Commissioners, with the procedures of reporting established by the Board of Commissioners; 8. Performing all activities and other actions related to the maintenance and ownership of the Company’s assets and binding the Company with other parties and/or other parties with the Company, with certain limitations as stipulated by the law, the Articles of Association and/or GMS Decree. Hasanah Banking Partner Attachment 285 Annual Report 2017
286. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis 15 . Performing other obligations in accordance with the terms set forth in the Articles of Association and set by the GMS based on laws and regulations in force; 16. Performing other obligations in accordance with the Integrated Code of Corporate Governance of the BNI Financial Conglomerate. 13. Setting up the organizational structure of the Company complete with details and duties; 14. Providing explanation for any questions or requests from the Board of Commissioners in accordance with the prevailing laws; Scope of Work and Responsibility of Each Sectoral Director Name Position Duties and Responsibilities Abdullah Firman Wibowo President Director 1. Establishing vision, mission, and values as well as corporate plan and business plan to be discussed and approved by the Board of Commissioners or GMS in accordance with the provisions of the Bank’s Articles of Association. 2. Coordinating, controlling, and evaluating the functions and sectors of Internal Control and Strategic Planning. 3. Coordinating, controlling, and evaluating functions and sectors of Change Management, Human Capital Management, and Organizational Learning Management. 4. Coordinating, controlling, and evaluating functions and sectors of Budgeting and Financial Control, and Asset Management. 5. Coordinating, controlling, and evaluating functions and sectors of Network Management and Procurement of Goods. Dhias Widhiyati Director of Business 1. Planning, directing, controlling, and evaluating functions and sectors of Product Management, Marketing and Sales Management, Consumer Financing, and Card Financing. 2. Planning, directing, controlling, and evaluating functions and sectors of Micro Business. 3. Planning, directing, controlling, and evaluating functions and sectors of Product Management, Marketing and Sales Management of fund and transactional products. 4. Coordinating, controlling, and evaluating functions and sector of Operations, Information Technology, and Data Governance. 5. Planning strategies, directing, controlling, and evaluating the development, marketing, and management of SME segment business. 6. Planning strategies, directing, controlling, and evaluating the development, marketing, and management of Commercial segment business. 7. Planning strategies, directing, controlling, and evaluating treasury business and international trade business. 8. Planning strategies, directing, controlling, and evaluating Hajj & Umrah business. Junaidi Hisom Director of Operations and Network 1. Planning and directing the function of Management of Recommendations related to Financing Business Risk in order to improve the quality of financing of commercial business and small & medium enterprises to mitigate business risk on the expansion of BNI Syariah financing. 2. Coordinating, controlling, and Service and Service Quality, as well as Customer Service Center. 3. Coordinating, controlling, and evaluating functions and sectors of Financing Operations and Transactional Operations. 4. Coordinating, controlling, and evaluating functions and sectors of Recovery & Settlement of Commercial & Small and Medium Business Financing, Consumer & Retail Business Risk. Hasanah Banking Partner 286 Annual Report 2017
287. Human Capital Name Tribuana Tunggadewi Good Corporate Governance Corporate Social Responsibility Position Director of Compliance and Risk Duties and Responsibilities Based on Bank Indonesia Regulation No . 13/2/PBI/2011 on the Implementation of Compliance Function of Commercial Bank, Article 10 paragraph 1 (one), the duties and responsibilities of the Director in charge of the Compliance Function must at least include: 1. Formulating strategies to encourage the creation of the Bank’s Compliance Culture; 2. Proposing compliance policies or compliance principles to be stipulated by the Board of Directors; 3. Establishing compliance systems and procedures to be used to develop the Bank’s internal rules and guidelines; 4. Ensuring that all policies, regulations, systems, procedures, and business activities conducted by the Bank are in accordance with Bank Indonesia regulations and the applicable Laws and Regulations, including Sharia Principles for Sharia Commercial Bank and Sharia Business Unit; 5. Minimizing the Bank’s Compliance Risk; 6. Taking precaution measures so that the policies and/or decisions taken by the Bank’s Board of Directors do not deviate from the provisions of the Financial Services Authority and the applicable laws and regulations; 7. Performing other duties related to the Compliance Function; 8. Coordinating, controlling, and evaluating functions and sectors of the Bank’s Risk Management and Policy Governance; 9. Coordinating, controlling, and evaluating functions and sectors of Compliance, Legal, and Secretariat; 10.Coordinating the Company’s Communication and marketing program; 11.Coordinating and evaluating the Development of Management Product in accordance with the provisions. transferred to another member of the Board of Directors through a mechanism stipulated in a Decree of the Board of Directors. Acting Director Mechanism The President Director is entitled and authorized to act on behalf of the Board of Directors and to represent the Company. Each Director of the Company is entitled to make decisions within each sector/field in accordance with applicable rules and regulations. In the event that one or several members of the Board of Directors are absent or unavailable, the authority to act may be No. Attachment Sectoral Director Based on the Decree of Board of Directors No. KP/012/ DIR/R dated February 22, 2018 on the Composition of Acting Directors, the Acting Director mechanism is as follows: Acting Director 1 Acting Director 2 1 President Director Director of Business Director of Operations and Network 2 Director of Business President Director Director of Operations and Network 3 Director of Operations and Network Director of Business President Director 4 Director of Compliance and Risk Director of Operations and Network Director of Business Remarks: 1. A Director can only delegate his/her responsibilities as Director to Acting Director 1 if he/she cannot perform his/her duties due to leave, service leave, sick leave or any other reasons. 2. Acting Director 1 can only delegate his/her responsibilities to Acting Director 2 if the Acting Director 1 cannot perform his/her duties due to leave, service leave, sick leave or any other reasons. 3. If the Operational & Network Director as well as Business Director are performing duties in place of the Risk & Compliance Director, then concurrently, the authority to make business decisions previously possessed by the Operational & Network Director as well as Business Director is transferred to the President Director. 4. Specific provisions made for Acting Directors shall be used if such provisions exist. Hasanah Banking Partner 287 Annual Report 2017
288. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis 1 . Does not have any family relationship with other members of the Board of Directors and/or Commissioners to the second degree according to OJK terms. 2. Does not have a stake of more than 25% (twentyfive percent) of paid-up capital of other companies, either individually or jointly. 3. Does not have any financial relationship, management relationship, share ownership, and/or Controlling Shareholders or relationship with the Bank, which may influence the ability to act independently as stipulated in the terms of GCG’s implementation for Sharia Banks and Sharia Business Units. 4. Is an independent party and willing to act independently against bank owners or bank’s controlling shareholders. Board of Directors’ Independence The Board of Directors’ independence, in accordance with applicable laws and regulations, must meet the following terms: 1. Able to act independently, without any conflicts of interest that may interfere with their ability to perform their duties independently and critically, both in relation to each other and in their relationship with the Board of Commissioners. 2. Does not have any financial relationship, management relationship, share ownership and/ or family relationship with other members of the Board of Commissioners, Board of Directors and/ or Controlling Shareholders to the second degree or any relationship with the Company, in order to carry out their duties and responsibilities independently. 3. Does not have a stake of 5% (five percent) or more of paid-up capital of the Company, other Banks, NonBank Financial Institutions and or other companies, either individually or jointly, with a place of business either within the country or abroad. Share Ownership Based on the Special Register of Shares Ownership by the Board of Commissioner and the Board of Director, including their family both in the Company or other Companies, updated every 6 (six) months or every time there are changes. On the position per 31 December 2017, the information of share ownership mentioned are: Each member of BNI Syariah’s BOD has signed a letter stating independence as one of the required documents for fit and proper test held by OJK and it is kept as documentation. Contents of the statement are among others describing: President Director No. 1 Name Status Abdullah Firman Wibowo President Director* Shares of BNI Syariah None Shares in Other Company None Acquisition Year - *not yet effective until the end of 2017, but already effective per 13 March 2018. Director of Operations and Network No. Name Status Shares of BNI Syariah Shares in Other Company Acquisition Year 1 Junaidi Hisom Director of Operations and Network None PT BPR Yaspis Dana Prima (10%) 5 October 2008 2 Susriati Wife None None - 3 Andri Satria Child None None - 4 Rama Mahardika Islam Child None None - 5 Saka Rezka Islam Child None None - 6 Dupa Utama Islam Child None None - Hasanah Banking Partner 288 Annual Report 2017
289. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Director of Business No . Name Shares of BNI Syariah Status Shares in Other Company Acquisition Year 1 Dhias Widhiyati Director of Business None None - 2 Dedy Ariswadi, ST Husband None None - 3 Himawan Nur Ardhito Child None None - 4 Emilia Kirana Ardisa Child None None - 5 Risha Ardelia Nurul Nisa Child None None - Director of Compliance and Risk No. Name Shares of BNI Syariah Status Shares in Other Company Acquisition Year 1 Tribuana Tunggadewi Director of Compliance and Risk None None - 2 Ir. Prayudi Widyanto Husband None None - 3 Rr. Luthfia Gita Wardani Child None None - 4 R. Maheswara Rikza Adityawarman Child None None - 5 R. Maheswira Adityawardhana Child None None - Disclosure of Concurrent Position The list of Director’s Concurrent Position is as follows: Name Abdullah Firman Wibowo Position Position in BNI Group President Director None Position in Other Company/Institution None Dhias Widhiyati Director of Business None None Junaidi Hisom Director of Operations and Network None None Tribuana Tunggadewi Director of Compliance and Risk None None a. Setting up necessary steps in the frame of prudential principle. b. Monitoring and maintaining the Company’s business activities so as not to violate laws and regulations in force. c. Monitoring and maintaining Bank’s compliances in all commitments made by the Bank to OJK (Financial Service Authority) and other Authorizing Agencies. d. Preventing the Company’s Board of Directors from making policies/ decisions that violate the regulations of Bank Indonesia, OJK and other prevailing laws. e. Developing strategies to encourage The Culture of Bank Compliance; Director of Risk and Compliance 1. Bank has 1 (one) Director of Compliance who is selected out of the members of BOD appointed by the General Meeting of Shareholders. The Designation is effective after OJK’s approval. BNI Syariah’s Director of Compliance does not lead the business and operational functions, risk management making decision over Bank’s business activities, treasury, finance and accounting, logistics and good/ service provisions, information technologies, and internal audit. 2. The duties and responsibilities of BNI Syariah’s Director of Compliance is to ensure the company’s compliance to provisions and laws by: Hasanah Banking Partner 289 Annual Report 2017
290. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis and or decisions made by Bank Directors are not violating the laws and regulations in force ; o. Performing other tasks related to Compliance Functions. f. Ensuring the scope of Director’s active supervision being adequately achieved; g. Giving approval to Suspicious Financial Transaction Reports; h. Proposing Action Plan Report and Data Update Plan Report before submitting them to Bank Indonesia / OJK; i. Developing strategies to encourage Bank Compliance Culture in both decision making and bank operation as well as decreasing the rate of violations; j. Proposing compliance policies or compliance principles to be stipulated by Directors; k. Establishing system and compliance procedures to be applied in order to set up Bank’s internal provisions and guidelines; l. Ensuring that all Bank’s policies, provisions, systems and procedures as well as business activities are abiding by the prevailing laws and regulations; m. Minimizing the Bank’s Compliance Risks; n. Taking preventive actions in order that policies 3. Furthermore, the duty of Compliance Director is to determine the necessary measures to ensure the Company’s compliance with the provisions of Bank Indonesia/ OJK on APU and PPT and other laws and regulations. 4. The Director in charge of Compliance Function must deliver reports to Bank Indonesia and/or Financial Services Authority on its duty implementation. BOD Meeting 1. Rate of attendance In 2017, Directors of BNI Syariah held 29 BOD meetings, 11 meetings with The Board of Commissioners, and 1 joint meeting with BOC and Shareholders, 42 meetings in total. The attendance in the meetings is explained below: Table of Board of Directors’ Attendance Joint Meetings (Board of Commissioners and/or DPS) Board of Directors’ Meetings Name Total Meetings Total Meeting Attendance Total Meetings Total Meeting Attendance Abdullah Firman Wibowo*(President Director) 29 20 69% 12 6 50% Junaidi Hisom (Director of Operations and Network) 29 29 100% 12 11 92% Dhias Widhiyati (Director of Business)** 29 25 86% 12 8 67% Tribuana Tunggadewi (irector of Compliance and Risk)*** 29 28 97% 12 9 75% Imam Teguh Saptono**** 5 5 100% 3 1 33% Kukuh Rahardjo**** 5 3 60% 3 3 100% Percentage (%) Percentage (%) Remark: *not yet effective until the end of 2017, but already effective per 13 March 2018. **appointed as Director of Business through GMS dated 23 March 2017 and effective after obtaining OJK approval on 22 December 2017, from January to 23 March 2017, she attended the meetings as SEVP. ***appointed and effective as the Director of Compliance and Risk per 29 December 2017, from January to 29 December 2017, she attended the meetings as SEVP. **** Mr. Imam Teguh Saptono as President Director and Mr. Kukuh Raharjo as Director of Consumer Business was honorably discharged under EGMS 23 March 2017. Hasanah Banking Partner 290 Annual Report 2017
291. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment 2 . The Main Agenda of Board of Directors’ Meeting BNI Syariah’s BOD Meeting discussed the following meeting agenda in 2017: No. Date Meeting Agenda Abdullah Firman Wibowo Junaidi Hisom Dhias Widhiyati Tribuana Tunggadewi Imam T. Saptono Kukuh Rahardjo 1 13 Jan 2017 Approval of individual and integrated risk profile assessment of BNI Syariah for December 2016 period X (not yet appointed) V V (not yet appointed/ as SEVP) V V X 2 9 Feb 2017 SPD Presentation on Performance of January 2017 X (not yet appointed) V V (not yet appointed/ as SEVP) V (SEVP) V X 3 24 Feb 2017 Risk Appetite Statement X (not yet appointed) V V (not yet appointed/ as SEVP) V (SEVP) V V 4 13 Mar 2017 BNI Syariah Performance Meeting February 2017 X (not yet appointed) V V (not yet appointed/ as SEVP) V (SEVP) V V 5 20 Mar 2017 Risk Profile Review of 2017 X (not yet appointed) V V (not yet appointed/ as SEVP) V (SEVP) V X 6 29 Mar 2017 Establishment of sectors and organizational structure V (non effective) V V (non effective) V (SEVP) X X 7 4 April 2017 1. 2017 Outlet Renovation Progress 2. Development Plan of Semarang Branch Office V (non effective) V V (non effective) V (SEVP) X X 8 12 April 2017 Presentation of Performance of Bank Wide, Business Unit, Regional and Branch, March 2017 V (non effective) V V (non effective) V (SEVP) X X 9 17 April 2017 Approval of Risk Profile of March 2017 X V X V (SEVP) X X 10 21 April 2017 1. 7th Anniversary Theme of BNI Syariah 2. 7th Anniversary Logo of BNI Syariah 3. 7th Anniversary Activities of BNI Syariah 4. 7th Anniversary Activity Cost of BNI Syariah x V V (non effective) V (SEVP) X X 11 15 Mei 2017 Performance Meeting of April 2017 V (non effective) V V (non effective) V (SEVP) X X 12 17 Mei 2017 Preparation of Strategic Session of BNI Syariah 2017 V (non effective) V V (non effective) V (SEVP) X X Hasanah Banking Partner 291 Annual Report 2017
292. Performance 2017 No . Management Report Date Company Profile Meeting Agenda Business Supporting Function Abdullah Firman Wibowo Management Discussion and Analysis Junaidi Hisom Dhias Widhiyati Tribuana Tunggadewi Imam T. Saptono Kukuh Rahardjo 13 1 Juni 2017 1. Background and Objectives of Strategic Session 2017 2. Journey of BNI Syariah 3. Industrial Challenges 4. Strategic Measures 5. Alignment of BNI Syariah’s Values V (non effective) V V (non effective) V (SEVP) X X 14 7 Juli 2017 Performance of PT Bank BNI Syariah per 30 June 2017 V (non effective) V V (non effective) V (SEVP) X X 15 13 Juli 2017 Approval of Individual and Integrated Risk Profile Assessment of BNI Syariah for June 2017 period V (non effective) V X V (SEVP) X X 16 4 Agustus 2017 Transformation of Micro Business of BNI Syariah V (non effective) V V (non effective) V (SEVP) X X 17 8 Agustus 2017 Business Exposure of BNI Syariah in July 2017 to achieve business target at end of 2017 V (non effective) V X V (SEVP) X X 18 10 Agustus 2017 Decree related to PMS policy 2017 V (non effective) V X V (SEVP) X X 19 14 Sep 2017 Prognosis 2017 & Finance Projection 2018 – 2020 V (non effective) V V (non effective) V (SEVP) X X 20 15 Sep 2017 Performance Meeting of August 2017 PT Bank BNI Syariah V (non effective) V V (non effective) V (SEVP) X X 21 27 Sep 2017 Obtaining endorsement (approval) KUD 2018 V (non effective) V V (non effective) V (SEVP) X X 22 13 Okt 2017 Revision of Meeting Resolution dated 4 August 2017 concerning Transformation of Micro Business X V V (non effective) V (SEVP) X X 23 13 Okt 2017 Performance Meeting September 2017 X V V (non effective) V (SEVP) X X 24 25 Okt 2017 Revision of Meeting Resolution dated 4 August 2017 concerning Transformation of Micro Business V (non effective) V V (non effective) x X X 25 31 Okt 2017 Plan of Issuing Shares in Deposits in the framework of Equity Participation of BNI Syariah V (non effective) V V (non effective) V (SEVP) X X Hasanah Banking Partner 292 Annual Report 2017
293. Human Capital No . Date Good Corporate Governance Corporate Social Responsibility Meeting Agenda Abdullah Firman Wibowo Attachment Junaidi Hisom Dhias Widhiyati Tribuana Tunggadewi Imam T. Saptono Kukuh Rahardjo 26 27 Nov 2017 Discussion of OJK findings on 6 customers on watchlist V (non effective) V V (non effective) V (SEVP) X X 27 30 Nov 2017 Re-establishment of Strategic Theme 2018 V (non effective) V V (non effective) V (SEVP) X X 28 7 Des 2017 Reclassification of Branch & Sub-branch Offices 2018 V (non effective) V V (non effective) V (SEVP) X X 29 22 Des 2017 Sectoring the Board of Directors V (non effective) V V (non effective) V (SEVP) X X BOD Meetings with BOC In 2017, Directors held 12 meetings with the Board of Commissioners, as follows: No. 1 2 3 Date 17 Jan 2017 21 Feb 2017 14 March 2017 Meeting Agenda Abdullah Firman Wibowo Junaidi Hisom Dhias Widhiyati Tribuana Tunggadewi Imam T. Saptono Kukuh Rahardjo Joint Meeting Between Board of Commissioners and Board of Directors to discuss: 1. Presentation of Company Performance December 2016, including DPK & CASA NPF, OPEX & BOPO, Comparison with Peers Group. 2. Explanation of Correction. X (not yet appointed) V X (not yet appointed) V (SEVP) V V Joint Meeting Between Board of Commissioners and Board of Directors to discuss: 1. Presentation of Company Performance January 2017, including DPK & CASA NPF, OPEX & BOPO, Comparison with Peers Group and Policies and Financing Composition. 2. Preparation of GMS for 2016 Fiscal Year X (not yet appointed) V X (not yet appointed) X x V Meeting of Board of Commissioners & Board of Directors discussing the Presentation of Company Performance February 2017, including DPK & CASA NPF, OPEX & BOPO, Comparison with Peers Group and Policies and Financing Composition. X (not yet appointed) V X (not yet appointed) X x V Hasanah Banking Partner 293 Annual Report 2017
294. Performance 2017 No . 4 5 6 7 8 Management Report Company Profile Business Supporting Function Management Discussion and Analysis Date Meeting Agenda Abdullah Firman Wibowo Junaidi Hisom Dhias Widhiyati Tribuana Tunggadewi Imam T. Saptono Kukuh Rahardjo 27 March 2017 Meeting of Board of Commissioners & Board of Directors in the framework of Gathering of Board of Commissioners & Board of Directors V (non effective) V V (non effective) V (SEVP) x x Joint Meeting Between Board of Commissioners and Board of Directors to discuss: 1. Presentation of Company Performance March 2017, including DPK & CASA NPF, OPEX & BOPO, Comparison with Peers Group. 2. Financing Policies and Composition V (non effective) V V (non effective) V (SEVP) x x Joint Meeting Between Board of Commissioners and Board of Directors to discuss: 1. Presentation of Company Performance April 2017, including DPK & CASA NPF, OPEX & BOPO, Comparison with Peers Group; 2. POJK No. 12/ POJK/01/2017 on Implementation of Anti Money Laundering & Counter Financing Terrorism Program. 3. Presentation of Risk Profile, quarter 1/2017 x V V (non effective) V (SEVP) x x Joint Meeting Between Board of Commissioners and Board of Directors to discuss Performance Development & Stress Test Report x V V (non effective) V (SEVP) x x Meeting of Board of Commissioners & Board of Directors discussing the Presentation of Company Performance May 2017, including DPK & CASA NPF, OPEX & BOPO, Comparison with Peers Group. V (non effective) V V (non effective) V (SEVP) x x 25 April 2017 16 Mei 2017 6 June 2017 12 June 2017 Hasanah Banking Partner 294 Annual Report 2017
295. Human Capital No . 9 10 11 Date 11 July 2017 22 August 2017 19 Sep Good Corporate Governance Corporate Social Responsibility Attachment Meeting Agenda Abdullah Firman Wibowo Junaidi Hisom Dhias Widhiyati Tribuana Tunggadewi Imam T. Saptono Kukuh Rahardjo Joint Meeting Between Board of Commissioners and Board of Directors to discuss: 1. Presentation of Company Performance June 2017, including DPK & CASA NPF, OPEX & BOPO, Comparison with Peers Group. 2. POJK No. 12/ POJK/01/2017 on Implementation of Anti Money Laundering & Counter Financing Terrorism Program. x V V (non effective) V (SEVP) x x Joint Meeting Between Board of Commissioners and Board of Directors to discuss: 1. Presentation of Board of Directors on watchlist of commercial customers (CRD) and small and medium business customers; 2. Presentation of Board of Directors on Performance, Business Plan, Direction & Development Strategy of Hasanah Card. v x v X x x Joint Meeting Between Board of Commissioners and Board of Directorsi to discuss: 1. Presentation of Board of Directors on Performance of August 2017; 2. Continuation of Board of Directors on the Company’s Organizational Structure. V (non effective) V V (non effective) V (SEVP) x x Hasanah Banking Partner 295 Annual Report 2017
296. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis BOD Meetings with BOC and Shareholders In 2017 , Directors held 1 meeting with the Board of Commissioners and Shareholders. No. 1 Date 15 Nov 2017 Meeting Agenda Meetings of the Board of Commissioners and Board of Directors and DPS to discuss: 1. Submission of DPS supervisory results 2. BoC & BoD Performance Meeting October 2017 3. Discussion of Business Strategy 2018 Abdullah Firman Wibowo Junaidi Hisom Dhias Widhiyati Tribuana Tunggadewi Imam T. Saptono Kukuh Rahardjo V (noneffective) V V (noneffective) V (SEVP) x x Decisions and Approvals of the Board of Directors in 2017 In 2017, the Board of Directors issued various decisions and approvals related to the following aspects: No Date Decree No. Remarks 1 13 January 2017 01/2017 Approval of Individual and Integrated Risk Profile for December 2016 period 2 2017 02/2017 PKPP Assessment of Division, Division & Regional Head 3 2017 03/2017 Results of KSDM Sanction 4 9 February 2017 04/2017 Presentation of Performance of January 2017 5 2017 05/2017 PMS Assessment & Performance Bonus 2016 6 24 February 2017 06/2017 Risk Appetite Statement 7 13 March 2017 7/2017 Performance of BNI Syariah February 2017 8 20 March 2017 8/2017 Risk Profile of 2017 9 29 March 2017 9/2017 Sectoring the Board of Directors 10 4 April 2017 10/207 Progress of Outlet Renovation 2017 & Development Plan of Semarang Branch Office 11 12 April 2017 11/2017 Presentation of Performance of Bank Wide, Business Unit, Regional and Branch, March 2017 12 17 April 2017 12/2017 Approval of Risk Profile of March 2017 13 21 April 2017 13/2017 March 2017 14 15 May 2017 16/2017 13 21 April 2017 13/2017 7th Anniversary of BNI Syariah 15 17 May 2017 17/2017 Preparation of Strategic Session of BNI Syariah 2017 16 7 July 2017 18/2017 Performance per 30 June 2017 17 13 July 2017 19/2017 Risk Profile 18 4 August 2017 20/2017 Transformation of Micro Business of BNI Syariah 19 8 August 2017 21/2017 Business of BNI Syariah in July 2017 to achieve business target at end of 2017 20 10 August 2017 23/2017 PMS Policy 2017 21 15 September 2017 26/2017 Performance Meeting August 2017 Hasanah Banking Partner 296 Annual Report 2017
297. Human Capital No Good Corporate Governance Date Corporate Social Responsibility Decree No . Attachment Remarks 22 14 September 2017 27/2017 General Policy of Board of Directors 2018 23 27 September 2017 29/2017 2018 Strategy Theme, 2018 Main Strategies, Financial Target of 2018-2020 24 13 October 2017 30/2017 Revision of Meeting Resolution dated 4 August 2017 concerning Transformation of Micro Business 25 13 October 2017 31/2017 Performance of September 2017 26 25 October 2017 32/2017 Transformation of Micro Business 27 31 October 2017 34/2017 Plan of Issuing Shares in Deposits (Portfolio Shares) in the framework of Equity Participation of BNI Syariah 28 27 November 2017 36/2017 Meeting to discuss OJK findings on 6 customers on watchlist 29 30 November 2017 37/2017 Re-establishment of Strategic Theme 2018 30 7 December 2017 39/2017 Reclassification of Branch Office & Sub-Branch Office 2018, Sectoring the Director of Business 31 22 December 2017 40/2017 Pembidangan Direktur Bisnis BOD Competence Development Program Over the year of 2017, BOD participated in training to improve each member’s competence in delivering their tasks as a director. Those trainings were: Board of Directors Abdullah Firman Wibowo*(President Directora) Time Type of Seminar/Training Organizer 2017 Executive Overview of Islamic Bank LPPI dan BNI Syariah 2017 Banking Risk Management Level 5 (refreshment) Banking Profession Certification Institution 2017 Basic Training of Islamic Bank International Center fir Development in Islamic Finance (ICDIF – LPPI) Junaidi Hisom (Director of Operations and Network) 2017 Assessment of Business Risk and Legal Risk BSMR Dhias Widhiyati (Director of Business) 2017 Seminar with the topic of Cyber Security and Integrating Operational Risk with the Mitigation Factor, Digital Payment, a New Era in Way Do Payments, IBI, LSPP, BARA 2017 Executive Overview of Islamic Bank – Basic Education of Sharia Banking, International Center for Development in Islamic Finance (ICDIF). Seminar “Enforcing the Existing Provisions in Sharia Banking and Sharia Business Ethics” LSPP, IBI dan Asbisindo 27 April 2017 Morning Insight Program with Prof. Luiz Mountinho “Society Changes and Its Impact on Banking” BNI, Bisnis Indonesia, and President University 16-19 May 2017 Basic Training of Islamic Bank International Center for Development Islamic Finance 9 August 2017 Training of Economic Prospect 2018, Pro Cyclicality, and Bank's Risk Mitigation PT Leadership Nasional dan LPPI 10-14 August 2017 Islamic Banking Refreshment For Executives LPPI, BNI Syariah, International Center for Development Islamic Finance Tribuana Tunggadewi (Director of 13 April 2017 Compliance and Risk) *not yet effective until the end of December 2017, but effective per 13 March 2018. Hasanah Banking Partner 297 Annual Report 2017
298. Performance 2017 Management Report Company Profile Business Supporting Function Risk Management Certification program . During 2017, the Bank’s BOD participated in Risk Management Certification program with the following details: BOD’s Risk Management Certification In addition to the competence improvement program, the Directors of BNI Syariah also participate in the Name Management Discussion and Analysis Position Period Level Time and Place Expired Organizer President Director 2017-2020 5 Jakarta, 9 August 2017 2019 BSMR Director of Operations and Network 2013-2018 5 Jakarta, 9 August 2017 2019 BSMR Dhias Widhiyati (Direktur Bisnis) Director of Business 2017-2020 5 Jakarta, 9 August 2017 2019 BSMR Tribuana Tunggadewi Director of Compliance and Risk 2017-2020 5 Jakarta, 9 August 2017 2019 BSMR Abdullah Firman Wibowo* Junaidi Hisom * * Not yet effective until the end of December 2017, but effective as of 13 March 2018 BNI Syariah internally has policies which are reflected on the program of Talent Management System that has been aligned with PBI No.14/6/PBI/2012 article 17 on Fit and Proper Test at Sharia Banks and Sharia Units, ruling that BOD members must meet the requirements on Integrity, Competence and Financial Credibility. In this program, BNI Syariah assesses the leadership of potential candidates who join the program. Human Capital Division prioritizes selected candidates who are talented, skillful and highly competent in order to achieve the mission of BNI Syariah and to design succession programs for Top Performers as the future’s leaders. Orientation Program for BOD members Each BOD newly designated member is given orientation program which include introduction to other BOD members and BOC members, Executive Officers, General Manager, Corporate Secretary, Committee members under BOC, Secretary to BOC and other functionaries. BOD member’s debriefing materials include: 1. Company’s Organization Structure and functions of each unit; 2. BOD member’s Rights (including remunerations and facilities), main duties, obligations and responsibilities; 3. Financial performance; 4. Latest updates on the Company, Bank’s Business Plan (RBB) and Future prospects; 5. The Company’s tools of internal policies; 6. Company’s risk management practices; 7. Compliance practices; 8. Others that are necessary to debrief new BOD members. Furthermore, when BNI Syariah needs leadership succession, Human Capital Division will propose internal candidates from the Talent Pool participants facilitated by BOD, by considering recommendations from Remuneration and Nomination Committee The result of the internal candidate selection will be submitted to the committee meeting. Policies on BOD Succession Policies on the succession of BNI Syariah’s BOD members are regulated based on the guidance and rules of The Remuneration and Nomination Committee which is responsible for planning the BOD succession to maintain continuity of leadership in the future. The execution of succession is conducted through the identification of future’s leadership regeneration preparation. Hasanah Banking Partner 298 Annual Report 2017
299. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment PERFORMANCE ASSESSMENT OF BOARD OF COMMISSIONERS Self Assessment Criteria of the Board of Commissioners is divided into 3 (three) groups, namely Governance Structure, Governance Process, and Governance Outcome. BNI Syariah GCG Self Assessment for 31 December 2017 period scored 2 (Good). Positive Factors of Governance Structure, Governance Process, and Governance Outcome available to the Board of Commissioners and set forth in the GCG Self Assessment for 31 December 2017 period are as follows: 1. The Board of Commissioners has a high commitment to the implementation of GCG principles in all Bank’s business activities at all levels of organization. 2. The number and composition of members of the Board of Commissioners are in accordance with the size and complexity of Bank’s business, the number of Board of Commissioners i.e. 4 (four) persons which 3 (three) of them have effectively served (already passed the fit and proper test). Each member of the Board of Commissioners has adequate integrity, competence, and knowledge in performing its duties and responsibilities. 3. Members of the Board of Commissioners who have effectively served (passed the fit and proper test of the FSA) do not hold concurrent position as specified in the applicable Laws and Regulations. 4. All members of the Board of Commissioners have no financial relationship, management, ownership, and family relationships with other members of the Board of Commissioners, the Board of Directors and/ or Controlling Shareholders. 5. The Board of Commissioners has a Code of Conduct for the Board of Commissioners. 6. The Board of Commissioners has established policies and strategic decisions through the Board of Commissioners’ Meeting in an effective and efficient manner and every decision of the Board of Commissioners’ Meeting is set forth in the Minutes of Meeting. 7. The Board of Commissioners has the obligation to submit follow up reports from the implementing units. All members of the Board of Commissioners are able to act and make decisions independently. 8. The Board of Commissioners together with the SPI strive to ensure the implementation of internal control in every level of management through the examination and actively encourage the completion of the follow up of SPI examination results. The Performance Assessment of The Board of Commissioners is conducted by various procedures or mechanisms, among others, as follows: The Performance Assessment of the Board of Commissioners by the GMS. The Performance Assessment of the Board of Commissioners is conducted by the Shareholders at the Annual General Meeting of Shareholders (AGMS) at the submission of the Board of Commissioners’ monitoring report to the GMS in its Annual Report. In accordance with such report, the GMS declares and grants the Board of Commissioners full release and discharge (acquit et de charge) for supervisory measures conducted in the Fiscal Year ending at the end of the year. Performance Evaluation Criteria of the Board of Commissioners by the GMS The performance evaluation of the Board of Commissioners during 2017 is reflected in: 1. Company’s Performance Achievement. 2. Score of KPI evaluation of the Board of Directors and Board of Commissioners in a collegial manner. 3. The attendance of members of the Board of Commissioners in meetings of the Board of Commissioners, joint meetings with the Board of Directors and the DPS, as well as meetings of the Committees under the Board of Commissioners. ASSESSORS The performance assessment of the Board of Commissioners is done by the Shareholders at the Annual General Meeting of Shareholders. Performance Assessment of the Board of Commissioners through GCG Self Assessment The Performance Assessment of the Board of Commissioners is also conducted through the GCG Self Assessment submitted to the Financial Services Authority in accordance with the Circular Letter of the Financial Services Authority (SEOJK) No. 10/SEOJK.03/2014 on the Assessment of Health Level of Sharia Commercial Bank and Sharia Business Unit; The implementation of GCG Self Assessment is executed independently by Bank and periodically every semester reported to the FSA for approval. Hasanah Banking Partner 299 Annual Report 2017
300. Performance 2017 Management Report Company Profile Business Supporting Function 11 . The Board of Commissioners has been held accountable for the performance of its duties to shareholders and has been accepted by shareholders in the Annual General Meeting of the 2016 Fiscal Year. 9. The duties and responsibilities of the Board of Commissioners and the Board of Directors in relation to the Implementation of Risk Management and Internal Control System have been implemented, among others through Risk Monitoring Committee Meetings, Board of Directors and Board of Commissioners’ Meetings, and through Risk Management Committee Meetings 10. The Board of Commissioners has effectively communicated and implemented the RBB. No. Management Discussion and Analysis Self Assessment of the Supervision Tasks The Board of Commissioners performs supervisory duties properly demonstrated by executing all the work programs of the Board of Commissioners for the 2017 fiscal year as follows: Work Program Checklist 1 Approving Work Plan of Board of Commissioners’ Committees V 2 Evaluating Implementation of Work Plan of Internal Audit Division and Principles of Audit Result V 3 Evaluating Management Follow Up on Report of Internal Audit Division, OJK, Management Letter, KAP, and Sharia Supervisory Board V 4 Discussing AP and KAP Appointment V 5 Reviewing the 2016 Annual Report V 6 Conducting monitoring on the Implementation of Monthly Performance and Bank’s Sound Level V 7 Monitoring policy V 8 Implementing the Bank's financing portfolio concentration limit per business (Financing Exposure Limit) or geography sector V 9 Monitoring the implementation of Financing Restructuring V 10 Evaluating Risk Management Implementation V 11 Evaluating and Monitoring of the Company's Unit and Division Risk Management based on the Company's Unit and Division Risk Profile Report based on the Risk Profile Report V 12 Reviewing Remuneration & Nomination V 13 Conducting Review of Management Performance System and Parameter in accordance with 2017 Bank’s Business Plan V 14 Providing Directions on Financing Consulted to the Board of Commissioners V 15 Granting Approval on Financing to the Bank's Related Party V 16 Evaluating and approving Bank's Business Plan V 17 Granting Approval on Removal of Fixed Assets V 18 Granting Approval on business cooperation with Third Party in accordance with the Articles of Association V 19 Visiting the Company’s Unit and Branch V 20 Recommending candidate for Board of Directors V 21 Approving the Candidate for IAD Chairman V 22 Attending Training V Hasanah Banking Partner 300 Annual Report 2017
301. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment DIRECTORS ’ PERFORMANCE ASSESSMENT Self Assessment Criteria of the Board of Commissioners is divided into 3 (three) groups, namely Governance Structure, Governance Process, and Governance Outcome. BNI Syariah GCG Self Assessment for 31 December 2017 period scored 2 (Good). Positive Factors of Governance Structure, Governance Process, and Governance Outcome available to the Board of Directors and set forth in the GCG Self Assessment for 31 December 2017 period are as follows: 1. The Board of Directors has a high commitment to the implementation of GCG principles in all Bank’s business activities at all levels of organization. 2. The number and composition of members of the Board of Directors have complied with the size and complexity of Bank’s business, in which the number of the Board of Directors are 4 (four) persons, and 3 (three) of them are effective while 1 (one) is still taken the fit and proper test by the FSA. The Board of Commissioners has adequate integrity, competence, and knowledge in performing its duties and responsibilities. 3. All members of the Board of Directors do not hold concurrent positions as stipulated in the Bank Indonesia Regulation as well as other laws and regulations. 4. All members of the Board of Directors have no financial relationship, management, ownership, and family relationships with other members of the Board of Commissioners, the Board of Directors and/ or Controlling Shareholders. 5. The Board of Directors already has a Manual and has been reviewed in accordance with prevailing laws and regulations. 6. The Compliance and Risk Director of the Company has met the independence requirements and does not hold the position of President Director or Vice President Director and does not in charge of business and operational, treasury, finance and accounting, logistics and procurement of goods/services, information technology and internal audit functions. 7. The Board of Directors has established policies and strategic decisions through the Board of Directors’ Meeting in an effective and efficient manner and every decision of the Board of Directors’ Meeting is set forth in the Minutes of Meeting. 8. The Board of Directors has the obligation to submit follow up reports from the implementing units. All members of the Board of Directors are able to act and make decisions independently. The Performance Assessment of The Board of Directors is conducted by various procedures or mechanisms, among others, as follows: The Performance Assessment of the Board of Directors by the GMS The Performance Assessment of the Board of Directors is conducted by the Shareholders at the Annual General Meeting of Shareholders (AGMS) at the submission of the Board of Commissioners’ monitoring report to the GMS in its Annual Report. In accordance with such report, the GMS declares and grants the Board of Commissioners full release and discharge (acquit et de charge) for supervisory measures conducted in the Fiscal Year ending at the end of the year. Assessors The performance assessment of the Board of Commissioners is done by the Shareholders at the Annual General Meeting of Shareholders. Performance Evaluation Criteria of the Board of Directors by the GMS Performance Assessment of the Board of Directors in 2017 is reflected from: 1. Company’s Performance Achievement. 2. Score of KPI evaluation of the Board of Directors and Board of Commissioners in a collegial manner. 3. The attendance of members of the Board of Commissioners in meetings of the Board of Commissioners, joint meetings with the Board of Directors and the DPS, as well as meetings of the Committees under the Board of Commissioners. Performance Assessment of the Board of Directors through GCG Self Assessment The Performance Assessment of the Board of Directors is also conducted through the GCG Self Assessment submitted to the Financial Services Authority in accordance with the Circular Letter of the Financial Services Authority (SEOJK) No. 10/SEOJK.03/2014 on the Assessment of Health Level of Sharia Commercial Bank and Sharia Business Unit; The implementation of GCG Self Assessment is executed independently by Bank and periodically every semester reported to the FSA for approval. Hasanah Banking Partner 301 Annual Report 2017
302. Performance 2017 Management Report Company Profile Business Supporting Function 9 . The Board of Directors together with the SPI strive to ensure the implementation of internal control in every level of management through the examination and actively encourage the completion of the follow up of SPI examination results. 10. The duties and responsibilities of the Board of Commissioners and the Board of Directors in relation to the Implementation of Risk Management and Internal Control System have been implemented, among others through Risk Monitoring Committee Meetings, Board of Directors and Board of Commissioners’ Meetings, and through Risk Management Committee Meetings. 11. The Board of Directors has effectively communicated and executed business strategies. 12. The Board of Commissioners and the Board of Directors have been held accountable for the performance of its duties to shareholders and has been accepted by shareholders in the Annual General Meeting of the 2016 Fiscal Year. PERSPECTIVE Finance and Market KPI WEIGHT Operating Profit 25,0 NPF (Before HB) 12,5 CIR 10,0 Expansion of Financing and Third-Party Fund 12,5 Focus on Customers Market share Financing and Third-Party Fund 15,0 Effectiveness of Product & Process Synergy of BNI and BNI Syariah** 1,50 Focus on Manpower Earning Per Employee (EPE) 10,0 Result of Performance Assessment of the Board of Commissioners and the Board of Directors; The criteria underlying KPI assessment are as follows: 1. 1. Financial and market perspectives, with detailed key performance index (KPI) as follows: a. Operating Profit b. NPF (Before HB) c. CIR d. Financing Expansion and DPK 2. Customer Focus Perspective with KPI Market Share Financing and DPK 3. Perspective of Product and Process Effectiveness with KPI BNI Synergizes with BNI Syariah 4. Perspective Focus of Labor with Earning Per Employee (EPE) KPI In 2017, the Board of Directors of BNI Syariah scored KPI valuation in a collegial manner in accordance with the performance of BNI Syariah. This KPI assessment also reflected the success of the supervisory duties of the Board of Commissioners. It can be seen from the table of KPI scores related to the performance of the Board of Directors: TARGET REALIZATION ACHIEVEMENT SCORE WEIGHTED SCORE 325.278 306.686 94,28% 2,61 65,30 4,14% 5,56% 134,37% 3,19* 39,82 Before HB After HB Total Management Discussion and Analysis 3,00% 2,89% 96,48% 65,82% 56,83% 86,34% 5,00 50,00 Financing: 3.284.349 3.103.108 94,48% 2,56 15,99 DPK: 3.721.948 5.146.282 138,27% 5,00 31,25 Financing: 8,62% 8,41% 97,55% 1,56 11,74 DPK: 8,73% 8,98% 102,89% 4,72 35,37 Fee: Volume: 59.335 68,644 115,69% 5,00 37,50 4.587.169 8.908.117 194,20% 5,00 37,50 65,6 64,7 98,74% 2,91 29,15 MEMUASKAN 353,60 100,0 *) We use achievement of NPF After Write-Off Record **) We add Volume PKI and Fee of Synergy in accordance with Letter of BNI Syariah to PPA BNI No. BNISy/DIR/266 dated16 October 2017 Hasanah Banking Partner 302 Annual Report 2017
303. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment REMUNERATION POLICY OF BOARD OF COMMISSIONERS AND DIRECTORS Remuneration Mechanism of the Board of Directors and Board of Commissioners Remuneration of the Board of Directors and Board of Commissioners in 2017 was based on the Decision of the Board of Commissioners of PT Bank BNI Syariah on the Stipulation of Board of Directors ’ Salary & Board of Commissioners’ Honorarium with the following mechanism: The Nomination and Remuneration Committee conducts review on remuneration for Board of Directors and Board of Commissioners, in coordination with the Division of Human Capital and Related Working Unit Majority Shareholder (BNI) submits Decree Related to Remuneration and Tantiem of Board of Commissioners and Board of Directors The Nomination and Remuneration Committee submits Remuneration proposal to the Board of Commissioners The Board of Commissioners discusses the proposals of the Remuneration and Nomination Committee GMS establishes Remuneration determined by Majority Shareholder no later than 1 month after the closing of the meeting. The Board of Commissioners submits the proposed remuneration of the Board of Directors and Board of Commissioners to the GMS BNI Syariah’s Board of Commissioners decides on the determination of Remuneration of Board of Directors and Board of Commissioners based on decision of BNI 1. 2. 3. 4. 5. 6. Basis of Remuneration Determination In accordance with POJK No.45/POJK.03/2015 on the Application of Good Corporate Governance in Remuneration for Commercial Banks, a permanent Remuneration policy in addition to the aspects of performance evaluation of members of the Board of Directors and Board of Commissioners must at least consider the following aspects: Hasanah Banking Partner Business scale; Business complexity; Peer Group; Inflation rate; Inflation rate; Not in conflict with the laws and regulations Special Remuneration is variable that must also consider the prudent risk taking. 303 Annual Report 2017
304. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis The Board of Commissioners , the Board of Directors, and DPS In accordance with the decision letter of BNI Induk, details of remuneration policies and other facilities for members of the Board of Commissioners and Board of Directors of BNI Syariah are as follows: Amount Received in 1 Year Board of Commissioners Type of Remuneration and Other Facilities Number of People Remuneration (salary, bonus, routine allowances, profits, and other facilities in the form of non natura) *) Other facilities in the form of natura (housing, transportation, health insurance, etc.) **) that can be owned Board of Directors Total (in Million Rupiah) Number of People Total (in Million Rupiah) Sharia Supervisory Board Number of People Total (in Million Rupiah) 4 5.449 4 11.278 2 1.140 4 1.188 4 4.710 2 150 Cannot be owned TOTAL 6.687 15.989 1.290 Remuneration By Income Level Total Remuneration (in the form of financial/non natura) per person in 1 year Total Board of Commissioners Total Board of Directors Total Sharia Supervisory Board 0 4 0 above Rp2 Billion above Rp 1 Billion to Rp 2 Billion 1 0 0 above Rp 500 million to Rp 1 Billion 3 0 0 Below Rp500 million 0 0 4 Salary Ratio No. Description Ratio 1. Employee's Highest/Lowest Salary 2. BOD's Highest/Lowest Salary 3. Commissioner's Highest/Lowest Salary 1,11 : 1 4. BOD’s Highest/Employee’s Highest Salary 2,62 : 1 Hasanah Banking Partner 24,30 : 1 1,11 : 1 304 Annual Report 2017
305. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment AFFILIATION RELATIONSHIP BETWEEN MEMBERS OF BOARD OF COMMISSIONERS , BOARD OF DIRECTORS, AND MAJOR AND/OR CONTROLLING SHAREHOLDERS Board of Commissioners and Board of Directors of BNI Syariah do not have affiliation relationship either financially or family relation each other, and between Board of Commissioners, Board of Directors and Main Shareholders or Controlling Shareholders. The Board of Commissioners and Board of Directors of BNI Syariah always maintain the independence and have no conflict of interest which may interfere its ability to perform the task professionally and objectively. Financial Relationship, Family Relationship, and Management Relationship of the Directors Name Position Financial Relationship With Family Relationship With Board of Directors Board of Directors Board of Commissioners Yes No Yes No Controlling Shareholders Yes No Board of Commissioners Yes No Yes No Controlling Shareholders Yes No Management Relationship with Other Companies Yes No Fero Poerbonegoro President Commissioner √ √ √ √ √ √ √ Rizqullah Independent Commissioner √ √ √ √ √ √ √ Max Niode Independent Commissioner √ √ √ √ √ √ √ Muhammad Syakir Sula* Independent Commissioner √ √ √ √ √ √ √ Abdullah Firman Wibowo** President Director √ √ √ √ √ √ √ Junaidi Hisom Director of Operations and Network √ √ √ √ √ √ √ Dhias Widhiyati Director of Business √ √ √ √ √ √ √ Tribuana Tunggadewi Director of Compliance and Risk √ √ √ √ √ √ √ * Not yet effective/still in the process of fit and proper test of OJK * Not yet effective until the end of December 2017, but effective per 13 March 2018 Hasanah Banking Partner 305 Annual Report 2017
306. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis DIVERSITY OF COMPOSITION OF BOARD OF COMMISSIONERS AND BOARD OF DIRECTORS Determination of the composition of members of the Board of Commissioners and Board of Directors of BNI Syariah is conducted by considering the needs and complexity of the Bank and applicable laws and regulations . The composition is based on knowledge of banking, expertise, professional experience, and background to support the effectiveness of the implementation of the supervisory duties of the Board of Commissioners and the management of the Board of Directors. BNI Syariah provides equal opportunity to everyone and therefore the nomination of candidates for the Board of Commissioners and Board of Directors are reviewed and evaluated in the same way, regardless of gender, race, and initial recommendation source. Name Gender Level of Education Age Experience Fero Poerbonegoro (President Commissioner) Male Master of Management 63 Commissioner of BNI Syariah (2016), Independent Commissioner of BNI (2006-2015), Director of Treasury & International (20032006), etc. Rizqullah (Independent Commissioner) Male PhD in Economics & Islamic Finance 61 Independent Commissioner of PT Grha 185 (2015), Program of Universitas Trisakti of Master Program (2013-2016), President Director of BNI Syariah (2010-2012), etc. Max R. Niode (Independent Commissioner) Male Master of Law 60 Commissioner of PT Asuransi Tripakarta (2014-2015), President Commissioner of PT Swadharma Surya Finance (2003-2006), Head of Internal Control Unit of BNI (2011-2014), etc. Muhammad Syakir Sula* (Independent Commissioner) Male Bachelor of Agriculture/Social 53 Member of KPJKS OJK (2014 s/d 2016), Independent Commissioner of PT Jamkrindo Syariah (2014), Chairman of SSB of PT Nasional Reasuransi (2013–2016) *Still in the process of Fit and Proper Test/ Not Yet Effective Name Gender Level of Education Age Experience Abdullah Firman Wibowo (President Director)* Male Master of Management 54 Division Head of BNI’s Subsidiary Development from January 2016 – March 2017, SEVP of BNI’s Business Risk from April 2015 – January 2016, Head of BNI’s International Division from August 2011– April 2015, etc. Junaidi Hisom (Director of Operations and Network) Male Master of Management 59 Chief Operating and Financial Officer of PT Bank BNI Syariah from June 2012 s/d December 2013, General Manager of Human Capital Division of BNI from August 2010 to June 2012, General Manager of Organizational Learning Division of BNI from August 2011 to June 2012, etc. Dhias Widhiyati (Director of Business) Female Master of Management 48 SEVP of Commercial and Medium Business of BNI Syariah from February 2016 to 23 March 2017, Division Head of BNI Policy Governance from April 2015 to February 2016, DGM of BNI Commercial Remedial & Recovery from June 2014 to April 2015, etc. Tribuana Tunggadewi (Director of Compliance and Risk) Female Master of Law 49 Senior Vice President – Corsec and Division Head of KMP BNI (2011-2015), Vice President of GCG and Directors’ Bureau of BNI (2009-2011), Assistant Vice President of Group Head of Legal and GCG Monitoring of BNI (2006-2009), etc *not yet effective until the end of December 2017, but effective per 13 March 2018 Hasanah Banking Partner 306 Annual Report 2017
307. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment COMMITTEES UNDER BOARD OF COMMISSIONERS 2 . The Audit Committee reviews the execution of duties of the internal audit manager unit (Internal Supervisory Unit), the suitability of the audit conducted by Public Accounting Firm (KAP) with the applicable audit standards, the conformity of financial statements with the applicable accounting standards and the follow-up actions by the Board of Directors on the findings of the internal audit manager work unit, public accountant, External Auditor, FSA’s supervisory results and/or Sharia Supervisory Board’s supervisory results. 3. Provides recommendations on the appointment of Public Accountant and KAP as proposed by the Board of Commissioners at the Annual General Meeting of Shareholders. 4. Coordinates with Public Accounting Firm in order to make effective implementation of external audit. 5. Requests the Board of Directors to follow up the audit findings of the internal audit manager unit. 6. Approves the Internal Audit Charter, responds to Internal Audit plan and the issues found by the Internal Auditor, and determines the special inspection by the internal audit work unit, in the event of alleged fraud and deviations from the applicable laws and regulations. 7. Takes the necessary steps in the event that the auditee does not follow up on the internal audit manager work report. 8. Ensures that reports submitted to the FSA and other concerned agencies are carried out properly and on time and ensures that Bank complies with all applicable laws and regulations. 9. Ensures that the management guarantees both the External and Internal Auditors can work in accordance with the applicable Auditing Standards. 10. Ensures the independence and objectivity of public accountants. 11. Ensures adequate audits conducted by public accountants to ensure that all important risks have been considered. 12. Ensures that the management has performed its business in accordance with sound Bank management principles. 13. Assesses the effectiveness of the function of internal audit work unit. 14. Complies with the regulations set out in Bank Internal Audit Function Implementation Standards (SPFAIB) or any other relevant laws and regulations. BNI Syariah Board of Commissioners establishes Board of Commissioners Committee whose functions are to assist the Board of Commissioners in carrying out its main duties, and to formulate the policies of the Board of Commissioners in certain areas, while the final decision shall remain in the hands of the Board of Commissioners or may be represented to the committees by Letter of Decision of the Board of Commissioners. Committees of the Board of Commissioners in BNI Syariah consist of: 1. Audit Committee; 2. Risk Monitoring Committee; 3. Remuneration and Nomination Committee. AUDIT COMMITTEET Basis of Establishment & Charter of Audit Committee The Audit Committee was established in accordance with Bank Indonesia Regulation (PBI) No. 11/33/PBI/2009 dated 7 December 2009 and Circular Letter No. 15/15/ DPNP dated 29 April 2010 on the Implementation of Good Corporate Governance for Sharia Commercial Banks and Sharia Business Units. The Audit Committee performs its duties under the mandate of the Audit Committee Charter stipulated by the Decision of the Board of Commissioners. The Charter of the Audit Committee is stipulated by the Board of Commissioners as a guide in carrying out its duties and responsibilities in a transparent, competent, objective and independent manner so that it can be accounted for and accepted by all interested parties. The Charter of the Audit Committee is regularly evaluated and amendments are required to ensure BNI Syariah is in compliance with the provisions of FSA and other related regulations. The final revision of Audit Committee Charter was conducted in 2014 and stipulated by the Decision of the Board of Commissioners number KEP/01/DK/2014 dated 10 September 2014. Duties and Responsibilities of Audit Committee The Audit Committee has the duty and responsibility to provide recommendations to the Board of Commissioners through the mechanism of the Board of Commissioners Meeting or other mechanisms related to its duties: 1. Audit Committee conducts monitoring and evaluation on the planning and implementation of audits, and follow-up monitoring of the audit result in order to assess the adequacy of internal control, including the adequacy of the financial reporting process. Hasanah Banking Partner 307 Annual Report 2017
308. Performance 2017 Management Report Company Profile Business Supporting Function 15 . Evaluates tax and legal issues that require special handling. 16. Reviews the implementation report of Good Corporate Governance Bank. Name Position Management Discussion and Analysis Membership Structure and Expertise of the Audit Committee Audit Committee at least consists of 3 (three) members, one of whom is an Independent Committee who also works concurrently as the head of the Audit Committee, and another is an expert in financial accounting, and the other one is an expert in sharia banking. Basis of Appointment Term of Office Expertise Muhammad Syakir Sula* Chairman – Independent Commissioner Minutes of Board of Commissioners’ Meeting No. 8/KOM/2016 dated 16 March 2016 2016 – 2019 Sharia Economy Max Niode Member – Independent Commissioner Minutes of Board of Commissioners’ Meeting No. 8/KOM/2016 dated 16 March 2016 2016 – 2019 Legal Alexander Zulkarnain Member – Independent Party Minutes of Board of Commissioners’ Meeting No. 8/KOM/2016 dated 16 March 2016 2016 – 2019 Financial Accounting, and Sharia Banking Vivin Haryadi Member – Independent Party Minutes of Board of Commissioners’ Meeting No. 8/KOM/2016 dated 16 March 2016 2016 – 2019 Financial Accounting, and Sharia Banking *not yet effective/still in the process of fit and proper test of OJK. and is terminated for not fulfilling the performance that has been determined and/or incompetent in performing his/her duties. The members of the Audit Committee may be terminated if the applicant’s term of office is expired and in accordance with the Board of Commissioners’ decision Profile of Audit Committee Members Chairman Muhammad Syakir Sula Profile can be seen under the Profile of Board of Commissioners Member Max Niode Profile can be seen under the Profile of Board of Commissioners Member Alexander Zulkarnain Appointed as one of the members of Audit Committee of BNI Syariah since 2010. Previously, he was a member of Audit Committee of PT Bank Negara Indonesia (Persero) Tbk (2001-2010). His educational background includes Doctoral (PhD) from Universitas Negeri Jakarta (2013), Master of Management (MM), majoring in Financial Management, from STIE IPWI Jakarta, and Accountant from Indonesian State College of Accountancy. Mr. Alexander Zulkarnain is also a Chartered Accountant-Indonesia Member Vivin Haryadi Appointed as one of the members of Audit Committee of BNI Syariah since April 2013. Previously, she was the Vice Head of General Division of PT Bank Negara Indonesia (Persero) Tbk (2006-2011). Her educational background includes Post Graduate from Bogor Agriculture Institute, majoring in Financial Agribusiness (2001-2002) and Bachelor of Business Administration, specialized in Financial Management, from Brawijaya University (1976-1981). Hasanah Banking Partner 308 Annual Report 2017
309. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Independence of the Audit Committee All members of the audit committee have met all independence criteria and are able to perform their duties independently , by upholding the Company’s interests and can not be influenced by any party. Muhammad Syakir Sula Max Niode Alexander Zulkarnain Vivin Haryadi Do not have financial relationship with Board of Commissioners and Board of Directors No No No No Do not have management relationship in the company, subsidiary, and affiliated company No No No No Do not have share ownership relationship in the company No No No No Do not have family relationship with the Board of Commissioners, Board of Directors, and/or among members of Audit Committee No No No No Do not hold position as administrator of political party, state, and government No No No No Independence Aspect Audit Committee Meetings During 2017, the Audit Committee had 13 (thirteen) meetings with the following recap of meeting attendance: Name Muhammad Syakir Sula* Position Total Attendance Total Meetings Chairman 13 13 % Attendance 100% Max Niode Member 13 13 100% Alexander Zulkarnain Member 13 13 100% Vivin Haryadi Member 13 13 100% *not yet effective/still in the process of fit and proper test of OJK. The Meeting Agenda of Audit Committee is as follows: No. Date Main Meeting Agenda 1 17 January 2017 Discussion of BNI Syariah’s Performance to December 2017 2 24 January 2017 IAD Presentation on 2016 IAD Work Plan and Realization, 2016 IAD Principles of Audit Results Report, and 2017 Work Plan and Budget 3 2 February 2017 Discussion of 2016 Audit Report 4 14 March 2017 Discussion of BNI Syariah’s Performance to February 2017 5 21 March 2017 Presentation of SEVP of Commercial Business on Strategy and Direction of Aggressive Growth Policy with maintained Financing Quality 6 11 April 2017 Presentation of Bunda Medik Financing and Presentation of Financing Performance that Has Been Reported to the Board of Commissioners 7 25 April 2017 Discussion of BNI Syariah Performance to March 2017 8 11 July 2017 Presentation of Board of Directors on the Company's Performance to 30 June 2017, Compliance Division Report of APU PPT 9 25 July 2017 Meeting to Discuss the Report of Implementation and Principles of Audit Results of Quarter II/2017 10 5 September 2017 Discussion of OJK New Regulations 11 28 September 2017 Kick off meeting in the framework of audit on 2016 Financial Statements with KAP Purwantono, Sungkoro dan Surya 12 21 November 2017 Presentation of Customers Consumptive Financing at BSD Branch Office 13 8 December 2017 Presentation of Board of Directors on the Company's Performance to 30 November 2017 Hasanah Banking Partner 309 Annual Report 2017
310. Performance 2017 Management Report Company Profile Business Supporting Function c . Independence and objectivity of external auditors; d. Adequacy of inspection performed 4. Coordinated with Public Accounting Firm to make effective external audit. 5. Made the disclosures of the Audit Committee available in the annual report. 6. Reviewed the Charter of the Audit Committee. 7. Made a report on the implementation of duties to the Board of Commissioners. 8. Visited the Divisions/Units of the Companies and Branches 9. Attended Training 10. Prepared the 2018 Work Plan The 2017 Implementation of Duties Report Throughout 2017, the Audit Committee has conducted various activities to assist the Board of Commissioners in exercising supervisory functions on BNI Syariah’s activities and operations. A summary report of Audit Committee’s activities during 2017 is as follows: 1. Evaluated the following: a. Internal Audit Unit work plan (SPI); b. Implemented the SPI work plan and audit of key outcomes; c. Management followed-up the SPI report, Financial Services Authority, Management Letter, Public Accounting Firm, and Sharia Supervisory Board; d. The effectiveness of external auditors. 2. Provided recommendations on the appointment of Public Accountant to the Board of Commissioners. 3. Reviewed things as follows: a. 2017 Annual Report (2016 fiscal year); b. Financial information for the first, second, and third quarter of 2017; No Decree Number Management Discussion and Analysis Audit Committee Recommendations To Board of Commissioners One of the duties of the Audit Committee is to provide recommendations to the Board of Commissioners regarding the control over Bank’s internal organization. During 2017, recommendations given by the Audit Committee were as follows: Date Remarks 1 KA-01/01/2017 17 January 2017 Audit Committee Review on GCG Self Assessment Result and 2016 GCG Implementation Report, Audit Committee portion 2 KA-02/01/2017 17 January 2017 Evaluation of Audit Implementation of the Financial Statements of PT Bank BNI Syariah 31 December 2016 3 KA-03/01/2017 17 January 2017 Delivery of Audit Committee Work Program of 2017 4 KA-04/2/2017 7 February 2017 Audit Committee Review on Financial Statements Publication 31 December 2016 5 KA-05/02/2017 7 February 2017 Delivery of Audit Committee Work Program Realization of Semester 2 of 2016 6 KA-06/2/2017 21 February 2017 Questioner of Evaluation on the Public Accountant Firm performing audit on the Financial Statements of PT Bank BNI Syariah per 31 December 2016 7 KA-07/2017 21 February 2017 Questioner of Evaluation on the Public Accountant Firm performing audit on the Financial Statements of PT Bank BNI Syariah per 31 December 2016 8 KA-08/2/2017 28 February 2017 Evaluation Result on the Public Accountant Firm performing audit on the Financial Statements of PT Bank BNI Syariah per 31 December 2016 9 KA-09/6/2017 6 June 2017 Report on Findings Follow-Up of IAD LHA Quarter I/2017 10 KA-11/06/2017 14 June 2017 Audit Committee Review on the Compliance Report of Bank BNI Syariah Period of Semester II of 2016 11 KA-12/7/2017 18 July 2017 Audit Committee Review on Financial Statements Publication 30 June 2017 Hasanah Banking Partner 310 Annual Report 2017
311. Human Capital No Good Corporate Governance Decree Number Corporate Social Responsibility Attachment Date Remarks 12 KA-13 /7/2017 18 July 2017 Audit Committee Review on GCG Self Assessment Result and GCG Implementation Report of Semester 1 of 2017, Audit Committee part 13 KA-14/9/17 5 September 2017 Recommendation of the Public Accountant Firm performing audit on the Financial Statements of PT Bank BNI Syariah per 31 December 2017 14 KA-15/10/17 17 October 2017 Audit Committee Review on Financial Statements Publication 30 September 2017 15 KA-16/10/17 24 October 2017 Resume of IAD LHA Quarter III/2017 16 KA-17/11/17 10 November 2017 Audit Committee Review on Procurement of Public Accountant Firm of 2018 Fiscal Year members conducted either formally or informally. By 2017, members of the Audit Committee attended and participated in various trainings, workshops, conferences, and seminars, as follows: Development of Audit Committee Competencies To support the execution of its duties, members of the Audit Committee followed the Training Program in order to improve the competence of Audit Committee No Name Training Title Organizer Time and Place 1 Alexander Zulkarnain Training of International Internal Audit, The CSOX (certified in Sarbanes-Oxley) credential signifying attainment of Baselevel proficiency in, and a commitment to, core fundamentals of Sarbanes-Oxley Soxinstitute London, 14 September 2017 2 Vivin Haryadi Training of Business Communication for Branch Head BNI September 2017 Charter issued through the KEP/08/DK/2010 document dated 5 October 2010. The Charter of the Audit Monitoring Committee is stipulated by the Board of Commissioners as a guide in carrying out its duties and responsibilities in a transparent, competent, objective and independent manner so that it can be accounted for and accepted by all interested parties. The Assessment of the Board of Commissioners on the Performance of the Audit Committee The Board of Commissioners believes that the Audit Committee has performed its duties and responsibilities in 2017 well. Criteria evaluated by the Board of Commissioners: 1. The attendance of the members of the Audit Committee in the meeting was quite good. 2. The Audit Committee had submitted its work report in a timely manner 3. The Audit Committee had submitted a recommendation to the Board of Commissioners regarding the results of the monitoring and review related to several aspects of Company’s operations. 4. The Audit Committee had compiled and submitted the Audit Committee Work Program 2017 Duties and Responsibilities of Risk Monitoring Committee The Risk Monitoring Committee recommends to the Board of Commissioners regarding its duties, namely: 1. Evaluating risk management policies; 2. Evaluating the suitability of risk management policies with the implementation of those policies; 3. Evaluating the execution of duties of Risk Management Committee and Risk Management Working Unit. 4. Evaluating the Board of Directors’ accountability report on the implementation of risk management and compliance policies. 5. Evaluating the steps taken by the Board of Directors in compliance with the regulations of Bank Indonesia, the FSA, and other laws and regulations applicable RISK MONITORING COMMITTEE The Basis for Establishment & Charter of Risk Monitoring Committee The performance of Risk Monitoring Committee’s duties and responsibilities is based on the Risk Monitoring Hasanah Banking Partner 311 Annual Report 2017
312. Performance 2017 Management Report Company Profile Business Supporting Function 9 . Evaluating compliance with the Company’s internal provisions in accordance with but not limited to audit reports of the internal audit manager’s work unit and the Compliance Director. to the implementation of prudential principles, particularly those relating to risk management and compliance. 6. Evaluating the results of the Directors’ monitoring of the Company’s business activities, in order not to deviate from the prevailing regulations. 7. Evaluating the results of monitoring of the Company’s compliance with all agreements and commitments made by the Board of Directors to the Financial Services Authority. 8. Evaluating the application of the Board of Directors’ proposals relating to transactions or business activities that exceed the authority of the Board of Directors to be used by the Board of Commissioners as a basis for decision making. Name Position Management Discussion and Analysis Structure and Membership The Risk Monitoring Committee must at least consist of one independent commissioner, one independent party with expertise in sharia banking, and one independent party with expertise in risk management. The Risk Monitoring Committee is chaired by an Independent Commissioner. The majority of the members of the Board of Commissioners who are members of the Risk Monitoring Committee are Independent Commissioners. Period of Services Basis of Appointment Expertise Rizqullah Chairman – Independent Commissioner Minutes of Board of Commissioners’ Meeting No. 8/KOM/2016 dated 16 March 2016 2016 - 2019 Business Economics Fero Poerbonegoro Member – President Commissioner Minutes of Board of Commissioners’ Meeting No. 8/KOM/2016 dated 16 March 2016 2016 - 2019 Economic Management Delyuzar Syamsi Member – Independent Party KNR Minutes of Meeting 18 April 2017 2017-2019 Risk Management Subardiah Member – Independent Party KNR Minutes of Meeting 18 April 2017 2017-2019 Risk Management Bambang Eko Priyantono* Member – Independent Party Minutes of Board of Commissioners’ Meeting No. 8/KOM/2016 dated 16 March 2016 2016 – 2017 Risk Management Ibrahim Husain* Member – Independent Party Minutes of Board of Commissioners’ Meeting No. 8/KOM/2016 dated 16 March 2016 2016 - 2017 Risk Management *honorably discharged and replaced by Delyuzar Syamsi and Subardiah on 21 March 2017 Profile of Risk Monitoring Committee Members Rizqullah Chairman Profile can be seen under the Profile of Board of Commissioners Fero Poerbonegoro Member Profile can be seen under the Profile of Board of Commissioners Delyuzar Syamsi Member Appointed as one of the members of Risk Monitoring Committee of BNI Syariah since 21 March 2017. Previously working as Associate Trainer at Institut Muamalat Jakarta, Risk Management Assessor of LSP Keuangan Syariah, dan FKIP Lecturer of Economic Education Study Program of Universitas Pamulang, Banten. The educational background includes Master of Business Administration of Universitas Gajah Mada Yogyakarta. Having several certifications, the last certification obtained Methodology Competence Reg P 441.00001 2016 from Professional Certification National Board. Subardiah Member Appointed as one of the members of Risk Monitoring Committee of BNI Syariah since 21 March 2017 concurrently as Division Head of Risk Management Development and Research Center Jakarta since 2011. Previously serving as member of BNI Risk Management Committee (2009-2014). The last education was from Universitas Gajah Mada, obtaining Master of Management in 1996. Hasanah Banking Partner 312 Annual Report 2017
313. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Independence of the Risk Monitoring Committee The Risk Monitoring Committee has always prioritized independence in performing its duties as well as in reporting its results to the Board of Commissioners . All of these members are independent to the Board of Directors, and collectively have the competence and experience in their field of expertise. Members of the Risk Monitoring Committee are professionals who have sufficient competence in their respective fields with experience. These professionals have no relationship with the company or any familial relationship with other members of the Board of Commissioners and Board of Directors. The background of the members of the Risk Monitoring Committee varies, i.e. strategic management, risk management, banking/finance and accounting and is intended to ensure the quality of recommendations as well as to inform the improvement of BNI Syariah risk management implementation. Rizqulla Fero Poerbonegoro Delyuzar Syamsi Subardiah Do not have financial relationship with the Board of Commissioners and Directors No No No No Do not have management relationship in the company, subsidiary, and affiliated company No No No No Do not have share ownership relationship in the company No No No No Do not have family relationship with the Board of Commissioners, Board of Directors, and/or among members of Risk Monitoring Committee No No No No Do not hold position as administrator of political party, state, and government No No No No Independence Aspect Meetings of the Risk Monitoring Committee During 2017, the Risk Monitoring Committee held 16 (sixteen) meetings with the following meeting absentee recap: Name Position Total Meetings Total Attendance % Attendance Rizqullah Chairman – Independent Commissioner 16 13 81% Fero Poerbonegoro Member – President Commissioner 16 10 62% Delyuzar Syamsi Member – Independent Party 16 12 75% Subardiah Member – Independent Party 16 12 75% Bambang Eko Priyantono* Member – Independent Party 16 3 - Ibrahim Husain* Member – Independent Party 16 3 - *honorably discharged and replaced by Delyuzar Syamsi and Subardiah on 21 March 2017 Hasanah Banking Partner 313 Annual Report 2017
314. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis Main Agenda of the Meeting BNI Syariah Risk Monitoring Committee discussed various agenda of the meeting during 2017 , which is described as follows: No. Date Main Meeting Agenda 1 7 February 2017 • Evaluation of Risk Management Implementation 2016 • Work Program of Risk Management Work Unit 2017 • Risk Profile Evaluation of December 2016 2 11 April 2017 Financing to several debtors Financing performance & quality of Division of Commercial Business 3 16 May 2017 Evaluation of Risk Profile Quarter I of 2017. 4 11 July 2017 Presentation of Financing Traffic Light by Enterprise Risk Division (ERD) 5 25 July 2017 Presentation of Business Risk by Business Risk Division (BRD) 6 1 August 2017 Discussion on Presentation Material of Business Risk by Business Risk Division (BRD) 7 15 August 2017 Internal Meeting on KPR Important Issue 8 29 August 2017 Presentation Model of Enterprise Risk Presentation by ERD 9 5 September 2017 PKPR 10 12 September 2017 • Presentation of Risk Profile Report, Quarter II/2017 • Presentation of the newest POJK on APU/PPT and review of SOP of APU PPT of BNIS 11 24 October 2017 Discussion on Bank’s Financing Policy 12 31 October 2017 Discussion of SOP with Policy Governance Desk (PGD) and Enterprise Risk Division (ERD) 13 11 November 2017 Presentation of 6 customers of CRD – SMD 14 21 November 2017 Meeting of SSB Activity Report per November 2017 15 8 December 2017 BNI Syariah Performance Meeting November 2017 16 19 December 2017 Financing Presentation A Brief Report on the Implementation of Duties of the Risk Oversight Committee Throughout 2017, the Risk Monitoring Committee conducted various activities as follows: 1. Discussed Corporate Financing Facility. 2. Discussed the 2017 Risk Management Program Implementation and Risk Policy Committee. 3. Discussed the dachievement of monthly Financial Performance in 2017. 4. Discussed Traffic Light Financing IV Quarter of 2017. 5. Discussed Financial Performance of 2017. 6. Discussed Business Plan of the 2018 Bank Business Strategy. 7. Discussed the Commercial Financing Performance of Commercial segment. 8. Discussed the 2017 Financing Conditions and Performance. 9. Discussed the 2017 risk profile and integrated risk management. 10. Discussed the development of NPF recovery and legal cases. 11. Discussed portfolio financing, development of NPF handling and Early Warning Signals (EWS). Hasanah Banking Partner 314 Annual Report 2017
315. Human Capital Good Corporate Governance Corporate Social Responsibility regarding the control over Bank ’s internal organization. Throughout 2017, the recommendations of the Risk Monitoring Committee were as follows: Recommendation of Risk Monitoring Committee To Board of Commissioners One of the duties of the Risk Monitoring Committee is to provide recommendations to the Board of Commissioners No Decree Number Attachment Date Remarks 1 NR-01/II/2017/KPR 7 February 2017 Evaluation of 2016 Risk Management Implementation, 2017 Work Program of Risk Management Work Unit, Risk Profile Evaluation of December 2016 2 NR-02/IV/2017 11 April 2017 Financing to several companies, Financing Performance and Quality of Commercial Business Division 3 NR-03/V/2017/KPR 16 May 2017 Evaluation of Risk Profile, Quarter 1/2017 4 Minutes of Meeting 11 July 2017 Presentation of Financing Traffic Light by Enterprise Risk Division (ERD) 5 Minutes of Meeting 25/07/2017 Presentation of Business Risk by Business Risk Division 6 Minutes of Meeting 1 August 2017 Discussion on Presentation Material of Business Risk by Business Risk Division 7 Minutes of Meeting 15 August 2017 KPR Important Issue 8 Minutes of Meeting 29 August 2017 Presentation Model of Enterprise Risk Presentation by ERD 9 Minutes of Meeting 5 September 2017 PKPR 10 Minutes of Meeting 12 September 2017 Presentation of Risk Profile Report of Quarter II/2017, Presentation of the newest POJK on APU/PPT and review of SOP of APU/PPT of BNIS 11 Minutes of Meeting 31 October 2017 Discussion of SOP with Policy Governance Desk and Enterprise Risk Division 12 Minutes of Meeting 19 December 2017 Presentation on financing several companies Committee members conducted either formally or informally. By 2017, members of the Risk Monitoring Committee attended and participated in various trainings, workshops, conferences, and seminars, as follows: Development of Risk Oversight Committee Competencies To support the execution of its duties, members of the Risk Monitoring Committee followed the Training Program in order to improve the competence of Risk Monitoring No Name Training Title 1 Delyuzar Syamsi Risk Management Certification Refreshment Program 2 Subardiah Organizer Time and Place LSPP Bandung, 5 December 2017 Refocusing on Credit Risk Management, Credit Risk Model, Pricing, and Being Prepared for Upcoming Regulations - Jakarta, 23 March 2017 Deeper Understanding on IFRS 9, Details of BASEL IV and Progress of BASEL III Implementation - Bali, 18 May 2017 Sound Practices in ICAAP Implementation - Prague, Czech, 17 October 2017 Hasanah Banking Partner 315 Annual Report 2017
316. Performance 2017 Management Report Company Profile Business Supporting Function 2 . Bank Indonesia Regulation No.11/33/PBI/2009 on the Implementation of Good Corporate Governance for Sharia Commercial Banks and Sharia Business Units. 3. Circular Letter of Bank Indonesia No.12/13/DPbS dated 30 April 2010 on the Implementation of Good Corporate Governance for Sharia Commercial Bank and Sharia Business Unit. 4. Regulation of the Financial Services Authority No. 8/POJK.03/2014 on Sound Level Assessment of Commercial Bank and Sharia Business Units. 5. Circular Letter of Financial Services Authority (SEOJK) Number 10/SEOJK.03/2014 on Sound Level Assessment of Commercial Bank and Sharia Business Units. The Assessment of the Board of Commissioners on the Performance of the Risk Monitoring Committee The Board of Commissioners believes that the Risk Monitoring Committee has performed its duties and responsibilities in 2017 well. Criteria evaluated by the Board of Commissioners: 1. The attendance of the members of the Risk Monitoring Committee in the meeting was quite good. 2. The Risk Monitoring Committee had submitted its work report in a timely manner. 3. The Risk Monitoring Committee had submitted its recommendation to the Board of Commissioners regarding risk profile and risk mitigation efforts conducted by the Company. 4. The Risk Monitoring Committee had developed and submitted the 2017 Work Program of the Risk Monitoring Committee NOMINATION COMMITTEEI AND Management Discussion and Analysis In performing its duties and responsibilities, the Remuneration & Nomination Committee is based on the Remuneration & Nomination Committee Charter issued through KEP/01/DK/2015 document dated 22 September 2015. The Charter of the Remuneration & Nomination Committee was established by the Board of Commissioners as a guide in carrying out its duties and responsibilities in a transparent, competent, objective, and independent manner so that it could be accountable and accepted by all interested parties. REMUNERATION Basis of Establishment & Charter of the Nomination & Remuneration Committee The establishment of BNI Syariah Nomination & Remuneration Committee was based on: 1. POJK No. 34/POJK.04/2014 on Nomination & Remuneration Committee of Issuer or Public Company. Duties and Responsibilities of Nomination and Remuneration Committee Remuneration Function 1. Giving recommendations to the Board of Commissioners regarding: a. Remuneration structure. b. Remuneration policy. c. Remuneration amount. 2. Assisting the Board of Commissioners in conducting performance assessment in accordance with the Remuneration received by each member of Board of Directors and/or Board of Commissioners. Hasanah Banking Partner Nomination Function 1. Giving recommendations to the Board of Commissioners regarding: a. the composition of members of Board of Directors and/or members of Board of Commissioners; b. the policies and criteria necessary in the Nomination process; and c. the performance evaluation policies for members of Board of Directors and/or members of Board of Commissioners. 2. Assisting the Board of Commissioners to assess the performance of members of Board of Directors and/or members of Board of Commissioners based on the benchmarks developed as the evaluation material. 3. Providing recommendations to Board of Commissioners on the competence development program of members of Board of Directors and/or members of Board of Commissioners; and 4. Proposing candidates who meet the requirements as a member of Board of Directors and/or member of Board of Commissioners to the Board of Commissioners to be submitted to GMS. 316 Annual Report 2017
317. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment c . Individual work achievement, d. The balance of benefits between the fixed and variable benefits, e. Fairness with peer group, f. Consideration of Bank’s long-term goals and strategies. 6. Prior to the current fiscal year, the Nomination and Remuneration Committee must prepare and submit annual work plans and budgets to the Board of Commissioners to be established, with copies submitted by the Board of Commissioners to the Board of Directors. The implementation of the work plan and annual budget of the Nomination and Remuneration Committee are reported to the Board of Commissioners. 7. The Nomination and Remuneration Committee must create and submit reports on the implementation of tasks and responsibilities to the Board of Commissioners. The authority of the Nomination and Remuneration Committee 1. Based on a written assignment letter from the Board of Commissioners, the Nomination and Remuneration Committee may access records or information about its employees, funds, assets, and other resources related to the performance of its duties. The Committee reported in writing the results of the assignment to the Board of Commissioners. 2. To carry out its duties, the Nomination and Remuneration Committee may cooperate with the Division of Human Resources and other related Divisions. 3. The Nomination and Remuneration Committee upon approval by the Board of Commissioners is entitled to appoint a third party (person or business entity) to assist in the performance of its duties. 4. Members of the Nomination and Remuneration Committee must perform the duties properly and maintain the confidentiality of all Company documents, data and information, both internal and external, and must be used only for the purposes of the performance of the Committee’s duties. 5. The Nomination and Remuneration Committee in carrying out its duties and responsibilities related to remuneration policy must pay attention to at least: a. Financial performance and reserve fulfillment as stipulated in the applicable laws and regulations, b. The duties, responsibilities and authority of members of the Board of Directors and/or members of the Board of Commissioners are related to the achievement of the Company’s objectives and performance, Structure and Membership of Remuneration and Nomination Committee Structure and Membership of Remuneration and Nomination Committee of BNI Syariah consists of at least 2 (two) Independent Commissioners and an Executive Officer in charge of human resources. Chaired by an Independent Commissioner. Members of the Remuneration and Nomination Committee come from members of the Board of Commissioners, parties from outside the Company, or those who hold managerial positions under the Board of Directors in charge of Human Resources. The membership of Remuneration and Nomination Committee of BNI Syariah is as follows: Name Position Basis of Appointment Muhammad Syakir Sula* Chairman – Independent Commissioner Minutes of Board of Commissioners’ Meeting No. 8/ KOM/2016 dated 16 March 2016 2016 - 2019 Fero Poerbonegoro Member – President Commissioner Minutes of Board of Commissioners’ Meeting No. 8/ KOM/2016 dated 16 March 2016 2016 - 2019 Rizqullah Member – Independent Commissioner Minutes of Board of Commissioners’ Meeting No. 8/ KOM/2016 dated 16 March 2016 2016 - 2019 Max Niode Member – Independent Commissioner Minutes of Board of Commissioners’ Meeting No. 8/ KOM/2016 dated 16 March 2016 2016 - 2019 Idayu Nilawati Member Minutes of Board of Commissioners’ Meeting No. 8/ KOM/2016 dated 16 March 2016 2016 - 2019 Munifah Syanwani Member Hasanah Banking Partner 317 Annual Report 2017 Period of Services
318. Performance 2017 Management Report Name Company Profile Business Supporting Function Position Arief Adhi Sanjaya Member Adrianto Daru Member Management Discussion and Analysis Basis of Appointment Minutes of Board of Commissioners ’ Meeting No. 8/ KOM/2016 dated 16 March 2016 Period of Services 2016 - 2019 During in position as the Head of Human Capital Division (HCD) *Not yet effective/still in the process of fit and proper test of OJK. Profile of Nomination and Remuneration Committee Members Muhammad Syakir Sula Chairman Profile can be seen under the Profile of Board of Commissioners Fero Poerbonegoro Member Profile can be seen under the Profile of Board of Commissioners Rizqullah Member Profile can be seen under the Profile of Board of Commissioners Arief Adhi Sanjaya Member Appointed as one of the members of Remuneration & Nomination Committee in 2010. Previously, he was a member of Remuneration & Nomination Committee of PT Bank Negara Indonesia (Persero) Tbk (2008-2010). His educational background includes Master of General Administration from National University of Singapore (2007) and Master of Law from Universitas Indonesia (2005). Idayu Nilawati Member Appointed as one of the members of Remuneration & Nomination Committee in 2010. Previously, she was an independent member of Remuneration & Nomination Committee of PT Bank Negara Indonesia (Persero) Tbk. His educational background includes Master degree of MMBAT from Bandung Institute of Technology. Munifah Syanwani Member Appointed as one of the members of Remuneration & Nomination Committee in 2016. Previously serving as Expert Staff of the House of Representatives of the Republic of Indonesia in 2008-2014. The educational background includes Master degree of PHI-KTTI from Universitas Indonesia Adrianto Daru Member Profile can be seen under the Human Capital section Bambang Sutrisno Member Appointed as one of the members of Remuneration & Nomination Committee in 2014. Previously, he was the Head of Risk Management Division (2012-2014). His educational background includes Bachelor of Psychology and Master of Accounting Management from Universitas Gajah Mada, Yogyakarta. To ensure the independence of the duties and the provision of views and advice and recommendations to the Board of Commissioners, all KRN members do not have financial, management, share ownership and/ or family relationships with the controlling Shareholder, members of the Board of Commissioners and/or members of the Board of Directors. Independence of the Nomination and Remuneration Committee To ensure the quality of performance of duties, some Committee members have backgrounds in economic and financial education while others have educational backgrounds in the Human Resources sector. Hasanah Banking Partner 318 Annual Report 2017
319. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Muhammad Syakir Sula * Fero Poerbonegoro Rizqullah Max Niode Munifah Syanwani Idayu Nilawati Arief Adhi S Bambang S Do not have financial relationship with the Board of Commissioners and Board of Directors No No No No No No No No Do not have management relationship in the company, subsidiary, and affiliated company No No No No No No No No Do not have share ownership relationship in the company No No No No No No No No Do not have family relationship with Board of Commissioners, Board of Directors, and/or among members of Nomination and Remuneration Committee No No No No No No No No Does not hold position as administrator of political party, state, and government No No No No No No No No Independence Aspect *Not yet effective/still in the process of fit and proper test of OJK. Meetings of Nomination and Remuneration Committee During 2017, the Nomination and Remuneration Committee held 6 (six) meetings with the following recap of meeting attendance: Name Muhammad Syakir Sula* Position Total Attendance Total Meetings Chairman – Independent Commissioner 6 6 % Attendance 100% Fero Poerbonegoro Member – President Commissioner 6 6 100% Rizqulla Member – Independent Commissioner 6 5 83% Max Niode Member – Independent Commissioner 6 6 100% Idayu Nilawati Member 6 6 100% Munifah Syanwani Member 6 6 100% Arief Adhi Sanjaya Member 6 6 100% Adrianto Daru Member 6 2 33% Bambang Sutrisno Member 6 4 66% *Not yet effective/still in the process of fit and proper test of OJK. The meeting agenda of the Nomination and Remuneration Committee are as follows: No. Date Main Meeting Agenda 1 31 January 2017 1. Change of status of member of the Board of Commissioners 2. Plan to Add Member of Board of Directors 2 21 February 2017 Remuneration and Tantiem of Board of Directors and Board of Commissioners 3 21 March 2017 1. Company’s Management 2. Members of Risk Monitoring Committee from independent Party 4 18 April 2017 1. Company Management 2. Members of Risk Monitoring Committee from independent Party 5 15 November 2017 1. Candidate of Board of Directors 2. Updating KNR Charter 6 13 December 2017 Candidate of Director of Operations and Network Hasanah Banking Partner 319 Annual Report 2017
320. Performance 2017 Management Report Company Profile Business Supporting Function objective and transparent evaluation of the Board of Directors ’ performance. 6. Provided recommendations to members of the Board of Commissioners Committee. 7. Performed Performance Assessment Simulation to monitor the effectiveness of the Company’s Strategy & Performance on a regular basis and as an Early Warning System of the Company in accordance with the 2016 Business Strategy. 8. Reviewed the Charter of the Remuneration and Nomination Committee.. A Brief Report on the Implementation of Duties of the Risk Oversight Committee Throughout 2017, the Remuneration & Nomination Committee carried out the following activities: 1. Reviewed the remuneration policies of the Board of Directors, Board of Commissioners, employees as a whole. 2. Ensured that the employee remuneration system used had been in accordance with the interests of the company and fulfilled the rights of employees as well as the market equivalent. 3. Reviewed the nomination of the Board of Directors and Board of Commissioners to ensure the availability of a nomination system that met the Good Corporate Governance requirements. 4. Ensured that the employee nomination system complied with the principles of fairness and supported the availability of qualified personnel to ensure the achievement of superior performance. 5. Reviewed the Board of Directors ‘performance appraisal parameters system in order to provide an No Decree Number Management Discussion and Analysis Recommendations of the Nomination and Remuneration Committee to the Board of Commissioners One of the duties of the Nomination and Remuneration Committee is to provide recommendations to the Board of Commissioners in relation to control over the internal organization of the Bank. Throughout 2017, the recommendations of the Nomination and Remuneration Committee were as follows: Date Remarks 1 KNR-01/2017 31 January 2017 Change of Status of Member of Board of Commissioners, Plan to Add Members of Board of Directors 2 KNR-02/2017 21 February 2017 Remuneration and Tantiem of Board of Directors and Board of Commissioners 3 KNR-03/2017 21 March 2017 Company Management, Member of Risk Monitoring Committee from Independent Party, Member of Nomination and Remuneration Committee 4 KNR-04/2017 18 April 2017 Company Management, Members of Risk Monitoring Committee from Independent Party 5 KNR-07/2017 15 November 2017 Candidate of Board of Directors, KNR Charter Updates 6 KNR-08/2017 13 December 2017 Candidate of Director of Operations and Network 7 Nota Intern KRN/01/2017 21 March 2017 Recommendation of the proposal to appoint Mrs. Dhias Widhiyati as member of Board of Directors of PT Bank BNI Syariah 8 Nota Intern KNR-02/2017 9 May 2017 Checklist of Self Assessment of Nomination and Remuneration Committee on Candidate of Director and Candidate of President Director of PT Bank BNI Syariah of the Nomination and Remuneration Committee members conducted either formally and informally. In 2017, Nomination and Remuneration Committee members attended and participated in various trainings, workshops, conferences and seminars, as follows: Development of the Competence of the Nomination and Remuneration Committeei To support the execution of its duties, the Nomination and Remuneration Committee members participate in the Training Program in order to enhance the competence Hasanah Banking Partner 320 Annual Report 2017
321. Human Capital No 1 2 Good Corporate Governance Name Corporate Social Responsibility Training Title Munifah Syanwani Idayu Nilawati Attachment Organizer Time and Place Seminar on Entrepreneurship and Halal Lifestyle UIN Sultan Maulana Hasanudin Serang , 26 October 2017 Seminar on Banking and Sharia Cooperatives Universitas Islam Riau Pekanbaru, 25 November 2017 National Seminar on Sharia Economy IAIN Samarinda Samarinda, 19 December 2017 Speaker at Training of Trainers of Sharia Capital Market IDX Mataram, 24 May 2017 Speaker at Training of Trainers of Sharia Capital Market IDX Ternate, 12 October 2017 Speaker at Training of Trainers of Sharia Capital Market IDX Palembang, 5 September 2017 Speaker at National Seminar of Islamic Economy IAIN Jember Jember, 16 March 2017 National Seminar of Riba Universitas Esa Unggul Jakarta, 23 April 2017 Seminar Outlook Ekonomi Indonesia BNI 2017 Plan in 2018 Field of Duty Schedule Expected Results NOMINATION 1 Assisting the Board of Commissioners to conduct Performance Assessment of members of Board of Directors and/or Board of Commissioners based on the benchmarks prepared as the evaluation material. January • Company’s performance value and collegial management. • Performance value of members of Board of Directors and/or members of Board of Commissioners. 2 Providing recommendations to the Board of Commissioners on the Competence Development Program for members of Board of Directors and Board of Commissioners. January Proposing registration/schedule and type of Seminar and/or short course 3 Providing recommendation to the Board of Commissioners on the nomination system of Board of Directors and/or members of Board of Commissioners to be submitted to GMS. February • System and procedure of selection and/ or replacement of members of Board of Directors and/or members of Board of Commissioners. • Composition of Board of Directors and/or Board of Commissioners; • Policy and criteria necessary in nomination process 4 Updating management database September Availability of list of competent candidates of Board of Directors from talent employees (internal source) 5 Providing suggestion/recommendation of candidate who meet the requirements as member of Board of Directors and/or member of Board of Commissioners to the Board of Commissioners to be submitted to GMS. At any time necessary List of candidates of Board of Directors from internal of BNI Syariah 6 Assessing the candidate of Board of Directors and/or Board of Commissioners in order to propose for Fit and Proper Test At any time necessary KNR Assessment Form concerns, among others, Integrity, Financial Reputation, Competence 7 Reviewing nomination system and management of Human Resources in overall. 8 Providing recommendations to the Board of Commissioners concerning the Independent Party who will be member of Audit Committee and/or member of Risk Monitoring Committee Hasanah Banking Partner May 321 At any time necessary Implementation of active monitoring of Board of Commissioners to the Human Resources management effectively. Member of Audit Committee and/or member of Risk Monitoring Committee has integrity and capability in accordance with the provisions. Annual Report 2017
322. Performance 2017 Management Report Company Profile Business Supporting Function Field of Duty Management Discussion and Analysis Schedule Expected Results REMUNERATION 1 Evaluating the Remuneration System /Policy for Board of Commissioners and Board of Directors February Remuneration Policy has been based on performance, risk, fairness with peer group, the Bank's long term goals and strategy, fulfillment of reserves as regulated in the legislations and potential revenue of the Bank in the future. 2 Preparing and providing recommendations to the Board of Commissioners on: remuneration structure, remuneration policy, and remuneration amount for Board of Directors and Board of Commissioners to be submitted to the GMS. February Proposal of Remuneration for Board of Directors and Board of Commissioners for 2017 to the Shareholders. 3 Submitting evaluation result and recommendation on the Remuneration System/Policy to the Board of Commissioners March Remuneration Policy for Board of Directors and Board of Commissioners to be submitted to the Shareholders. 4 Reviewing Employee's Remuneration System and Policy March Remuneration Policy has been based on performance, risk, fairness with peer group, the Bank's long term goals and strategy, fulfillment of reserves as regulated in the legislations, and potential revenue of the Bank in the future. 5 Evaluating the implementation of Employee’s Remuneration Policy periodically. Every Semester The Board of Commissioners is always updated with the dynamics in the Remuneration Policy and its implementation. 6 Assisting the Board of Commissioners in conducting Performance Assessment in accordance with the remuneration received by each member of Board of Directors and/or Board of Commissioners. 7 Ensuring that Remuneration Policy already complies with the applicable provisions. July Remuneration received by member of Board of Directors and/or Board of Commissioners according to the individual performance. September Maintained Good Corporate Governance in Remuneration Policy. OTHERS 1 Monitoring amendments and/or (new) additional Laws or OJK Regulation, OJK Circular, and SOE Ministerial Regulation as well as SOE Circular At any time necessary Updating KNR Charter, Implementation of duties is in accordance with the applicable provisions. 2 Other duties assigned by the Board of Commissioners. At any time necessary Effective supervisory duty implementation of the Board of Commissioners Board of Commissioners Assessment to Nomination and Remuneration Committee Board of Commissioners assess the Nomination and Remuneration Committee whether they have conducted their task and responsiblty in 2017 well. Criteria to be assessed by Board of Commissioners: 1. Attendance rate of Nomination and Remuneration Committee in meeting is very good. 2. Nomination and Remuneration Committee has delivered work report on time. 3. Nomination and Remuneration Committee has delivered recommendation to the Board of Commissioners related to monitoring result and review related to the nomination of Board of Commissioners and Board of Directors and remuneration amount for the Company’s Board of Commissioners and Board of Directors. 4. Nomination and Remuneration Committee has drafted and delivered 2017 Work Program of Nomination and Remuneration Committee. Hasanah Banking Partner 322 Annual Report 2017
323. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment COMMITTEE UNDER THE BOARD OF DIRECTORS In performing the Board of Directors management tasks assisted by committees under the Board of Directors assisted by committees under the Board of Directors , i.e.: Policy and Risk Committee (KKR); Human resources Committee (KSDM); Capital, Investment and Technology (KMIT); and Asset, Liabilities, Management Committee (KALMA). The existence of committees under the Board of Directors are aligned with the applicable law and regulation related GCG and aim to refine the implementation of Good Corporate Governance principles in BNI Syariah operational activity. RISK POLICY COMMITTEE (KKR) Committee Charter BNI Syariah Risk Policy Committee has the KKR Charter ratified based on the Board of Directors Decree No.KP/07/ DIR/R1/R dated 21st June 2010. The KKR Charter functions as a guideline in implementing KKR functions that the result can be held accountable and acceptable by all relevant parties. Duties and Responsibilities The KKR task and responsibility details are regulated in the Board of Directors Decree No.KP/07/DIR/R/1/R dated 21st June 2010 as KKR Charter and includes: 1. Identify all types of risk that originate form BNI Syariah Bank business units. 2. Set the policy and strategy on risk metrix and risk management indicators that are bing used. 3. Build risk management mechanism in every type of risk, including accountability and responsibility in each unit. 4. Set the policy and strategy as a stepa of anticipation if there is any excess, violation or deviation found from the limit that has been set. 5. Set the Overall Exposure Limit in Compnay level (bank wide) 6. Set the risk asset allocation system (risk asset) and capital to each business unit. 7. Set and approve the proposal on policy, management system and financing procedure that is existing as well as the new ones. 8. Set adn approve the exceptional approvals on policy and procedure that can be delivered to debtor/ customer by continously maintaining the financing quality. 9. Improve the policy and procedure of financing based on the report from Risk Division and provide directives, especially related to compliance to policy and applicable financing procedure. 10. Set the portfolio/exposure/sectoral limit for respective indutries. Composition The members of Policy and Risk Committee based on the Board of Directors Decree No. KP/019/DIR/R dated 1st July 2017 are as follow: Name Status Position Abdullah Firman Wibowo (still in the process of Fit and Proper Test at OJK) President Director Chairman Tribuana Tunggadewi Director of Compliance and Risk Acting Chairman Dhias Widhiyati Director of Business Member Junaidi Hisom Director of Operations and Network Member Endang Rosawati Head of Consumer Division Member Endang Rosawati (PGS) Head of Financing Card Work Unit Member Ida Triana Widowati Head of Hajj & Umrah Division Secretary Dade Darmawan Head of Internal Audit Division Member Misbahul Munir Head of Strategic Planning Division Member Jon Sunjani Pasaribu Head of Financing Recovery & Settlement Division Member Sri Wahyuningsih Head of Commercial Division Member Bimo Hascahyoadi Head of Small & Medium Business Division 1 Member Bimo Hascahyoadi (PGS) Head of Small & Medium Business Division 2 Member Hasanah Banking Partner 323 Annual Report 2017
324. Performance 2017 Management Report Company Profile Business Supporting Function Name Management Discussion and Analysis Status Position Bayi Rohayati Head of Legal Division Member Moh . Toyib Head of Treasury & International Division Member Tavip Budi Prihanto Head of Business Risk Division Member Budi Aristianto Head of Micro Business Division Member Zefri Ananta Head of Operations Division Member Sri Rezeki Head of Network and Services Division Member Bayi Rohayati Head of Compliance Division Member Fransiska Siswantari Head of Policy Governance Work Unit Member Wahsi Prasodjo Head of Risk Management Division Secretary Risk and Policy Committee Independence In performing the task and responsiblity, all KKR members maintain their independence by not having any relations on finance, management, share ownership and/or family relations with controlling shareholders, memers of Board of Commissioners and/or members of Board of Directors. Risk Policy Commitee Meeting Throughout 2017, the Risk Policy Committee has organized 7 (seven) meetings with recap on meeting attendance as follow: Name of Members Total Meetings Attendance % Attendance President Director 7 6 85,71% Director of Compliance and Risk 7 7 100,00% Director of Business 7 6 85,71% Director of Operations and Network 7 7 100,00% Head of Consumer Division 7 5 71,43% Head of Financing Card Work Unit 7 5 71,43% Head of Hajj & Umrah Division 7 2 28,57% Head of Internal Audit Division 7 4 57,14% Head of Strategic Planning Division 7 4 57,14% Head of Financing Recovery & Settlement Division 7 4 57,14% Head of Commercial Division 7 5 71,43% Head of Small & Medium Business Division 1 7 6 85,71% Head of Small & Medium Business Division 2 7 5 71,43% Head of Legal Division 7 7 100,00% Head of Treasury & International Division 7 4 57,14% Head of Business Risk Division 7 7 100,00% Head of Micro Business Division 7 2 28,57% Head of Operations Division 7 7 100,00% Head of Network and Services Division 7 5 71,43% Head of Compliance Division 7 7 100,00% Head of Policy Governance Work Unit 7 4 57,14% Head of Risk Management Division 7 7 100,00% * In 2017, KKR resolutions adopted through mechanism of KKR Meeting was conducted in 3 KKR Meetings, which were KKR 42, 43, and 44. Other than those, KKR resolutions were adopted through circular mechanism. Attendance of Division Head in KKR in which resolutions were adopted through circular mechanism is calculated as attendance in the relevant SSG KKR Meetings. Hasanah Banking Partner 324 Annual Report 2017
325. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment KKR Resolutions of 2017 Period Throughout 2017 , KKR adopted resolutions as follows: No No. KKR Date of Resolutions Agenda 1 42/KKR/2017 7 February 2017 1. Renewal of Consumptive Financing FTV with Property Collateral and Advances for Motor Vehicle Financing 2. Changes of Griya Indent Disbursement Stages 3. Review of Provisions of Repayment Capacity Restructuring of Productive Financing 4. Changes of Authority to Decide MPS (Temporary Renewal Memo) 5. Disbursement Mechanism of Multifinance Financing 6. Methods and Authority to Disconnect Assurance Taxation 7. Changes of Process Flow of Financing Line Limit Determination 8. Authority to Disconnect the Book of Cash Revenue Correction 9. Changes of Authority to Decide PPTM Consumer Financing 10.Determination of Limit Budget Loss 11.Review of Market Risk Limit and Liquidity 2 43/KKR/2017 30 March 2017 1. Authority to Decide during Transition Period 2. Authority to Decide New Productive Financing/Additional (PF) 3. Authority to Decide the review/extension of PF financing (Special Ceiling Financing) 4. Authority to Decide New Financing/Additional Consumer Financing 5. Authority to Decide Griya Konstruksi 6. Authority to Decide Griya Swakarya 7. Authority to Decide the Liquid Collateral Financing 8. Authority to Decide PF Restructuring Financing 9. Authority to Decide NPF Restructuring Financing 10.Completion of PPTM Authority 11.Authority to Determine Collateral Sale Price 12.Authority to Decide Margin Discount/Profit Sharing/Ujroh of NPF & Write-Off Financing in the framework of financing settlement 13.Authority to Write-off Collective Book 3 44/KKR/2017 5 May 2017 1. Completion of Authority of Procurement of Goods and Services 2. Completion of Authority of Operating Division Withdrawal 4 45/KKR/2017 18 July 2017 1. Authority to Decide during Transition Period 2. Authority to Decide New Productive Financing/Additional (PF) 3. Authority to Decide review/extension of PF financing (Special Ceiling Financing) 4. Authority to Decide New Financing/Additional Consumer Financing 5. Authority to Decide Griya Konstruksi 6. Authority to Decide Griya Swakarya 7. Authority to Decide the Liquid Collateral Financing 8. Authority to Decide PF Restructuring Financing 9. Authority to Decide NPF Restructuring Financing 10.Completion of PPTM Authority 11.Authority to Determine Collateral Sale Price 12.Authority to Decide Margin Discount/Profit Sharing/Ujroh of NPF & Write-Off Financing in the framework of financing settlement 13.Authority to Write-off Collective Book 14.Authority to Decide Financing Line 15.Authority to Decide Hasanah Card 16.Authority to Decide Procurement of Goods and Services 5 46/KKR/2017 8 August 2017 1. 2. 3. 4. 5. Hasanah Banking Partner Adding Akad Hawalah Bil Ujrah For Financing Product Terms of Financing of Wus Ib Hasanah For Micro Segment Review of Limit Budget Loss Financing of BNI Griya Swakarya iB Hasanah With Murabahah, IMBT, and Ijarah Completion of Linkage Financing Terms 325 Annual Report 2017
326. Performance 2017 No Management Report No . KKR Company Profile Business Supporting Function Date of Resolutions Management Discussion and Analysis Agenda 6 47/KKR/2017 11 September 2017 1. Authority to Decide Procurement and Payment of Goods and Services 2. Authority to Decide Asset Discharge 7 48/KKR/2017 14 November 2017 1. Completion of Provisions on Collateral Appraisal for Financing Above Rp5 Billion 2. Authority of BI-ETP Committee Work Report KKR Work Report throughout 2017 is as described below: No. Work Plan Program TW 1 TW 2 Description TW 3 TV 4 1 Reviewing Consumptive Financing FTV, determining limit budget loss Realization of KKR 42, 46 2 Reviewing limit of authority to decide financing during transition period Realization of KKR 43, 45 3 Reviewing limit of authority to decide procurement of goods and services Realization of KKR 44, 47 4 Adding Akad Hawalah Bil Ujrah For Financing Product and adding provisions of linkage financing Realization of KKR 46 5 Completion of Provisions on Collateral Appraisal for Financing Above Rp5 Billion & authority to decide BI-ETP Realization of KKR 48 Hasanah Banking Partner 326 Annual Report 2017
327. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment HUMAN RESOURCES COMMITTEE (KSDM) a. Assure performance evaluation on main staffs b. Assure reward and punishment is established and implemented both in reviewing and approving the employees’ internal communication system. c. Approve the employee satisfaction survey periodically, conduct and provide directives on the improvement measures required. d. Ensure the implementation of work culture that aligns with islamic corporate culture. e. Assure there is no various forms of discrimination practices in BNI Syariah work environment. f. Review the short term and long-term manpower plan and decides the best policy in completing shortage or excess of employees. g. Review the training master plan and prioritize the implementation. h. Review the implementation of succession plan and select candidate to be promoted, transferred, put into rotation or proposed to join training and development. i. Review and approve the Individual Development Plan that will be used in determining candidates for promotion/ transfer/ rotation/ T&D. j. Review and approve the transfer. Rotation, promotion, demotion, and etc. k. Review and approve the annual Career Path Management and review the achieved progress. l. Approve the authority delegation in human resource management on the appropriate levelling. m. Review and set service standard. n. Monitor and set strategic decision related to service standard improvement. Committee Charter KSDM of BNI Syariah has the KSDM Charter that is ratified based on the Board of Directors Decree dated 21st June 2010. KDSM Charter functions as guideline in implementing the KDSM function so that the result can be accounted and acceptable by all relevant parties. Duties and Responsibilities The details of duties and responsibility of KDSM are regulated in Board of Directors Decree No. KP/05/ DIR/R/1/R dated 21st June 2010 as Charter KSDM and includes: 1. Decides the refinement of policy and HR management system that includes 6 (six) key elements on HR management, as follow: a. HR planning b. Recruitment and Selection c. Employee training and development d. Achievement assessment and employee potential. e. Career path management, and f. Salary system and remuneration system. 2. Decides approval on HR planning proposal, both recruitment and selection, as well as employees training and development. 3. Evaluates and decides the approval on the transfer/ promotion program implementation for strategic positions and/or BNI syariah leadership. 4. Decides the policy and formulation on BNI Syariah work culture that are strategic. 5. Decides punishment in order to enforce discipline. 6. Decides policy, standard and service quality management. As per outline, the duty and responsibility of KSDM includes 4 (four) areas as follow: 1. Perform key staff management 2. Formulate policy and discipline management 3. Formulate policy and human resources management 4. Formulate policy and service management Hasanah Banking Partner Composition The structure of KSDM members based on Board of Directors Decree No.KP/019/ DIR/R dated 1st July 2017 is as follows: 327 Annual Report 2017
328. Performance 2017 Management Report Company Profile Business Supporting Function Name Management Discussion and Analysis Status Position Abdullah Firman Wibowo * President Director Chairman Tribuana Tunggadewi Director of Compliance and Risk Acting Chairman Dhias Widhiyati Director of Business Member Junaidi Hisom Director of Operations and Network Member Dade Darmawan Head of Internal Audit Division Member Zefri Ananta Head of Operations Division Member Endang Rosawati Head of Consumer Division Member Endang Rosawati (PGS) Head of Financing Card Work Unit Member Rima Dwipermatasari Head of Fund & Transaction Member Budi Aristianto Head of Micro Business Division Member Sri Wahyuningsih Head of Commercial Division Member Bimo Hascahyoadi Head of Small & Medium Business Division 1 Member Bimo Hascahyoadi Head of Small & Medium Business Division 2 Member Adjat Djatnika Head of Network & Services Division Member Adrianto Daru Head of Human Capital Division Secretary *not yet effective until the end of December 2017, but effective per 13 March 2018. Human Resources Committee Meeting Throughout 2017, KSDM has organized 8 meetings with meeting attendance recap as follows: Human Resources Committee Independence In performing the task and responsibility, all KSDM members maintains their independence by not having financial relations, management, share ownership and/ or family relations with the controlling shareholder, members of Board of Commissioners and/or Board of Directors. KSDM 1 KSDM 2 KSDM 3 KSDM 4 KSDM 5 KSDM 6 KSDM 7 KSDM 8 Abdullah Firman Wibowo* (President Director) Name Chairman Position √ √ √ √ √ √ √ √ Tribuana Tunggadewi (Director of Risk & Compliance) Acting Chairman √ √ √ √ √ √ √ √ Dhias Widhiyati (Director of Business) Member √ √ √ √ √ √ √ √ Junaidi Hisom (Director of Operations and Network) Member √ √ √ √ √ √ √ √ Dade Darmawan (Head of Internal Audit Division) Member √ √ √ √ √ √ √ √ Zefri Ananta (Head of Operations Division) Member √ √ √ √ √ √ √ √ Endang Rosawati (Head of Consumer Division) Member √ √ √ √ √ √ √ √ Endang Rosawati (Head of Financing Card Work Unit) Member √ √ √ √ √ √ √ √ Budi Aristianto (Head of Micro Business Division) Member √ √ √ √ √ √ √ √ Sri Wahyuningsih (Head of Commercial Division) Member √ √ √ √ √ √ √ √ Hasanah Banking Partner 328 Annual Report 2017
329. Human Capital Name Good Corporate Governance Position Corporate Social Responsibility Attachment KSDM 1 KSDM 2 KSDM 3 KSDM 4 KSDM 5 KSDM 6 KSDM 7 KSDM 8 Ali Muafa (Head of Small & Medium Business Division 1) Member √ √ √ √ √ √ √ √ Bimo Hascahyoadi (Head of Small & Medium Business Division 2) Member √ √ √ √ √ √ √ √ Adjat Djatnika Basarah (Head of Network and Services Division) Member √ √ √ √ √ √ √ √ Rima Dwi Permata Sari (Head of Fund and Transaction Division) Member   √ √ √ √ √ √ √ Andrianto Daru Kurniawan (Head of Human Capital Division) Member √ √ √ √ √ √ √ √ *not yet effective until the end of December 2017, but effective per 13 March 2018. KSDM Resolutions of 2017 Period Throughout 2017, KSDM adopted several resolutions as follows: No. No. Resolution Date Agenda 1. 001/KSDM/2017 7 February 2017 The Leadership & Discipline Rotation Consideration Team (TPMTPD) to decide sanctions involved in cases in several branches & divisions 2. 002/KSDM/2017 18 February 2017 The Leadership & Discipline Rotation Consideration Team (TPMTPD) to decide sanctions involved in cases in several branches & divisions 3. 003/KSDM/2017 28 June 2017 The Leadership & Discipline Rotation Consideration Team (TPMTPD) to decide sanctions involved in cases in several branches & divisions 4. 004/KSDM/2017 7 August 2017 The Leadership & Discipline Rotation Consideration Team (TPMTPD) to decide the definitive and filling of several formation of leaders 5. 005/KSDM/2017 8 August 2017 The Leadership & Discipline Rotation Consideration Team (TPMTPD) to decide administrative sanction imposition 6. 006/KSDM/2017 11 September 2017 The Leadership & Discipline Rotation Consideration Team (TPMTPD) to decide the rotation and transfer of several leaders 7. 007/KSDM/2017 18 October 2017 The Leadership & Discipline Rotation Consideration Team (TPMTPD) to decide administrative sanction imposition 8. 008/KSDM/2017 11 December 2017 The Leadership & Discipline Rotation Consideration Team (TPMTPD) to decide the evaluation of leaders Committee Work Report KSDM through the KSDM Leadership and Discipline Manpower Transfer Consideration Team (TPMTPD) in 2016 has decided sanction, transfer, rotation and definition of officials while employees are in head office, regional office, and branch. Hasanah Banking Partner 329 Annual Report 2017
330. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis CAPITAL , INVESTMENT AND TECHNOLOGY (KMIT) COMMITTEE 5. Assure system development, maintenance, technology operational standard procedure to align/ consistent with business strategy (IT master plan development, updated IT master plan, setting the standard service level). 6. Review and discuss the IT support issues in all business units by acting as intermediary on the issues that occur between units and Service Level Agreement (SLA) that is not yet settled. 7. Assure development process/change on IT that has well coordinated and according to user requirement (monitor project implementation schedule and MIS development). 8. Assure review and approval on IT project that has big impact to BNI Syariah financial allocation. 9. Anticipate the excess/violation on technology risk and deviation in achieving the target by setting, adjusting the policy and technology development strategy. 10. Review the branch network development plan that influences the investment cost needs. Committee Charter BNI Syariah KMIT has KMIT Charter that is ratified based on the Board of Directors Decree No. KP/06/DIR/R1/R dated 21st June 2010. The KMIT Charter functions as guideline in performing KMIT function that the result can be held accountable and acceptable to all relevant parties. Duties and Responsibilities Details of duties and responsiblity of KMIT are regulated in Board of Directors Decree No. KP/06/DIR/R1/R dated 21 June 2010 as KMIT Charter and includes: 1. Review income and cost target achievement (OPEX and CAPEX), refinement and development on policy quality and BNI Syariah budgettng management system that is efficient, effective, and adaptive to the business environment development. 2. Recommend strategic decision mainly in target change or unaccomodated OPEX/CAPEX in Business Strategy. 3. Evaluate the unit work plan execution achievement, including budget realization. 4. Recommend the budget change process both in redistribution and reallocation mainly on matters related to target change and strategy to achieve performance. Composition The structure of KMIT members based on Board of Directors Decree No. KP/021/DIR/R1/R dated 3rd July 2017 is as follow: Name Status Position Junaidi Hisom Director of Operations and Network Abdullah Firman Wibowo (still in the process of Fit and Proper Test of OJK) President Director Dhias Widhiyati Director of Business Member Tribuana Tunggadewi Director of Risk & Compliance Member Azizah Saleh Head of Procurement & Management of Fixed Assets Division Member Wahyu Avianto Head of Finance Control Division Member Moh. Toyib Head of Treasury & International Division Member Mirza Mantovani Head of Information Technology Division Member Endang Rosawati Head of Consumer Division Member Endang Rosawati (PGS) Head of Financing Card Work Unit Member Sri Wahyuningsih Head of Commercial Division Member Bimo Hascahyoadi Head of Small & Medium Business Division 1 Member Bimo Hascahyoadi (Pgs) Head of Small & Medium Business Division 2 Member Rima Dwipermatasari Head of Fund & Transaction Division Member Adjat Djatnika (Pgs) Head of Secretariat & Corporate Communication Division Member Budi Aristianto Head of Micro Business Division Member Hasanah Banking Partner Chairman Acting Chairman 330 Annual Report 2017
331. Human Capital Good Corporate Governance Corporate Social Responsibility Name Attachment Status Position Ida Triana Widowati Head of Hajj & Umrah Division Member Zefri Ananta Head of Operations Division Member Adjat Djatnika Head of Network and Services Division Member Fransiska Siswantari Head of Policy Governance Work Unit Misbahul Munir Head of Strategic Planning Division Member Secretary KMIT Independence In performing the task and responsibility, all KMIT members maintains their independence by not having financial relations, management, share ownership and/or family relations with the controller shareholder, Board of Commissioners/ or Board of Directors members. Meeting Frequency and Committe Members Rate of Attendance Throughout 2017, below is the meeting frequency and KMIT members attendance rate Name of Members Total Meetings Attendance % Attendance Director of Operations and Network 1 - - President Director 1 1 100% Director of Business 1 1 100% Director of Risk & Compliance 1 1 100% SEVP of Commercial & Medium Business 1 - - Coordinator of Finance & Network Division 1 - - Head of Procurement & Management of Fixed Assets Division 1 1 100% Head of Finance Division 1 1 100% Head of Treasury & International Division 1 1 100% Head of Information & Technology Division 1 1 100% Head of Consumer Division 1 1 100% Head of Financing Card Work Unit 1 1 100% Head of Commercial Division 1 1 100% Head of Small & Medium Business Division 1 1 1 100% Head of Small & Medium Business Division 2 1 1 100% Head of Fund & Transaction Division 1 1 100% Head of Secretariat & Corporate Communication Division 1 1 100% Head of Micro Business Division 1 1 100% Head of Hajj & Umrah Division 1 1 100% Head of Operations Division 1 1 100% Head of Network and Services Division 1 1 100% Head of Policy Governance Work Unit 1 1 100% Head of Strategic Planning Division 1 1 100% Hasanah Banking Partner 331 Annual Report 2017
332. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis KMIT Resolutions of 2017 Period Throughout 2017 , KMIT adopted several resolutions as described below: No 1 No KKR KMIT 1 No.01/ KMIT/2017 Date of Resolutions 31 October 2017 Resolutions In KMIT 1 No. 01/KMIT/2017 dated 31 October 2017 on Board of Directors’ General Policy (KUD), some policies have been formulated as follows: 1. Setting the business expansion targets in 2018 2. Determining Additional HR in 2018 to support the business activities. 3. Determining outlet development plan in 2018 4. Establishing Product Addition Plans and New Activities in 2018. 5. Developing Information Technology (IT) in 2018, covering the development of, among others, (1) SMS Banking, (2) Mobile Banking, (3) Laku Pandai, (4) Bank Code 427, (5) Treasury System, and (6) BPKH Virtual account. 6. Establishing budget allocation of Capital Expenditure (CAPEX) and Operational Expense (OPEX) in 2018. Committee Work Report Througout 2017, KMIT plans work plan that consists of: 1. KMIT 1 No.01/KMIT/2017 dated 31st October 2017 on the Board of Directors General Policy (KUD), Information Technology & Strategic Planning (ITSP), Business Target and Budgetting for 2018, CAPEX and OPEX budget allocation for 2018 & Additional Human Resources for 2018. Hasanah Banking Partner 332 Annual Report 2017
333. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment ASSET , LIABILITIES, MANAGEMENT COMMITTEE (KALMA) 5. Set the fund placement policy through money market and capital market. 6. Analyze balance structure and study all the risks that emerge from the exposure, owned by BNI Syariah, in form of financing risk, market risk and liquidity risk. 7. Evaluate the ecnomic indicators development and prospects, as well as analysing the impact on: the position of saving and loan, position of foreign exchange, profit sharing, foreign exchage value and profitability of BNI Syariah. 8. Calculate the cost of fund and set the profit sharing, demand deposit, saving and time deposit. 9. Determine internal Funds Transfer Price (FTP). Committee Charter KALMA BNI Syariah has KALMA Charter that is ratified based on the Board of Directors Decree No. KP/08/DIR/ R1/R dated 21st June 2010. KALMA Charter functions as guideline in performing KALMA function that the result can be held accountable and acceptable to the relevant parties. Duties and Responsibility Details of duties and responsiblity of KMIT are regulated in Board of Directors Decree No. KP/08/DIR/R1/R dated 21st June 2010 as KALMA Charter and includes: 1. Set the objective and target for Asset, Liabilities, Management Committee (KALMA) of BNI Syariah and formulate the required policy and strategy. 2. Provide directives on asset management and liability of BNI Syariah. 3. Set and maintain the total of liquid instrument according to the liquidity needs and stipulation from Bank of Indonesia. 4. Maintain the valance on fund usage and fund source. Composition The structure of KALMA members based on Board of Directors Decree No.KP/019/DIR/R1/R dated 1st July 2017 is as follow: Name Status Position Dhias Widhiyati Director of Business Junaidi Hisom Director of Operations and Network Abdullah Firman Wibowo (still in process of Fit and Proper Test at OJK) President Director Member Tribuana Tunggadewi Director of Compliance and Risk Member Endang Rosawati Head of Consumer Division Member Endang Rosawati (pgs) Head of Financing Card Work Unit Member Rima Dwipermatasari Head of Fund & Transaction Division Member Ida Triana Widowati Head of Hajj & Umrah Division Member Misbahul Munir Head of Strategic Planning Division Member Sri Wahyuningsih Head of Commercial Division Member Bimo Hascahyoadi Head of Small & Medium Business Division 1 Member Bimo Hascahyoadi (Pgs) Head of Small & Medium Business Division 2 Member Wahsi Prasodjo Head of Risk Management Division Member Tavip Budi Prihanto Head of Business Risk Division Member Budi Aristianto Head of Micro Business Division Member Adjat Djatnika Head of Network & Services Division Member Fransiska Siswantari Head of Policy Governance Work Unit Moh. Toyib Head of Treasury & International Division Hasanah Banking Partner 333 Chairman Annual Report 2017 Acting Chairman Secretary
334. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis KALMA Independence In performing the task and responsibility , all KALMA members maintains their independence by not having financial relations, management, share ownership and/or family relations with the controller shareholder, Board of Commissioners/or Board of Directors members. Asset, Liabilities, Management Committee Meeting Throughout 2017, KALMA has organized 2 (twice) meetings with recap on attendance list as follows: Name of Members Total Meetings Attendance % Attendance SEVP of Commercial & Medium Business 2 1 50% Director of Consumer Business 2 2 100% President Director 2 2 100% Director of Operations and Network 2 1 50% Director of Risk & Compliance 2 0 0% Coordinator of Finance & Network Division 2 0 0% Head of Consumer & Financing Card Division 2 2 100% Head of Fund & Transaction Division 2 2** 100% Head of Hajj & Umrah Division 2 2* 100% Head of Strategic Planning Division 2 2 100% Head of Commercial Division 2 0 0% Head of Small & Medium Business Division 1 2 2 100% Head of Small & Medium Business Division 2 2 2 100% Head of Risk Management & Corporate Policy Division 2 2 100% Head of Business Risk Division 2 2* 100% Head of Micro Business Division 2 1* 50% Head of Network & General Division 2 2 100% Head of Treasury & International Division 2 2 100% Remark: *Attendance of division head was represented by division staff in 1 meeting **Attendance of division head was represented by division staff in 2 meetings KALMA Resolutions of 2017 Period Throughout 2017, KALMA adopted several resolutions as described below: No. Date Resolutions Meeting Agenda 1 14 March 2017 No.01/KALMA/2017 1. Providing Relief of Consumptive Financing Tariff 2. Providing Relief of Small & Medium Productive Financing Tariff 3. Determining Tariff and Providing Relief of Commercial Productive Financing Tariff 4. Providing Discount of Factoring Ujroh & Payable Factoring 5. Providing Discount of Financing Administration Cost 6. Limit of Special Outstanding Ratio of Institutional Deposit outside funds of Ministry of Religion Affairs 7. Acquisition Mechanism of Bank’s Fund through Commercial Bank, BPD, BPR, and BPRS. 2 26 April 2017 No. 02/KALMA/2017 Authority to Decide the Granting of Authority of Relief of Tariff During Transition 3 17 July 2017 No. 03/KALMA/2017 1. Providing Special Telegraphic Transfer (TT) Transaction Foreign Exchange Rate 2. Determining FTP IDR and USD Hasanah Banking Partner 334 Annual Report 2017
335. Human Capital No . Date Good Corporate Governance Corporate Social Responsibility Resolutions Attachment Meeting Agenda 4 8 August 2017 No. 04/KALMA/2017 1. Determining E-Secure Services Tariff 2. Determining Savings Administration Cost 5 11 August 2017 No. 05/KALMA/2017 Determining Ratio and Savings Costs of iB Tunas Hasanah with Mudharabah agreement 6 23 August 2017 No. 06/KALMA/2017 1. Determining Cash Tariff of Griya Swakarya and Financing Tariff of Griya Swakarya 2. Determining of Flexible Installment Griya Tariff 3. Determining Flexible Installment Multipurpose Tariff 7 18 September 2017 No. 07/KALMA/2017 1. Authority of Granting Special Ratio for Individual Deposit. 2. Authority of Granting Special Ratio for Institution Deposit outside funds of Ministry of Religion Affairs. 8 23 November 2017 No. 08/KALMA/2017 1. Determining Administration Cost of USD Banknotes (In Lieu) Deposit 2. Determining Administration Cost of USD Banknotes (In Lieu) Withdrawal 3. Determining Banknotes Trading Exchange Rate KALMA Work Report Throughout 2017, KALMA plans work program that consists of: 1. Determine Financing Pricing Model; 2. Review Financing Tariff; 3. Review Fund Tariff; 4. Determining Fund Transfer Pricing; 5. Review Fund Transfer Pricing; 6. Refine the formula to determine FundTransfer Pricing; 7. Refine profit share poling; 8. Determine the foreign exchange ceiling; 9. Draft formulation and proposal related to liquidity management, forex, earning investment & interest rate risk. Hasanah Banking Partner 335 Annual Report 2017
336. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis CORPORATE SECRETARY The implementation of Corporate Secretary tasks is served by Adjat Djatnika Basarah , SE., MM. CorporateSecretary Unit at BNI Syariah under the Corporate Secretary &Communication Division that leads 6 (six) work units, which are; Internal Corporate Communication, External Corporate Communication, Corporate Brand Communication, GCG and Investor Relations, and Board of Commissioner &Management Support Officer. Foundation of Establishment Corporate Secretary has a strategic position to ensure that the Company compies to the Legislation stipulations including in Capital Market, assist Board of Directors and Board of Commissioners in performing the Company management, and carry out the corporate communication function in order to develop relations with Shareholders, OJK, customers, and other stakeholders. Struktur Organisasi Sekretaris Perusahaan Corporate Secretary & Communication Divisi Head of Division Manager Coordinator Corporate Communication Internal Corporate Communication External Corporate Communication Corporate Brand Communication Marketing Communication Internal Corporate Communication officer External Corporate Communication officer Corporate Brand Communication Designer Financing Marketing Communication GCG officer Corporate Brand Communication officer Funding Marketing Communication Investor Relation Officer GCG & Investor Relation Manager Board of Commisioner & Management Support officer BOM Secretary & Personal Assistant Digital Communication officer Internal Corporate Communication Assistant External Corporate Communication Assistant Marketing Communication Assistant Corporate Brand Communication BOM Protocoller Apart from referring to regulator stipulation, the Corporate Secretary function in BNI Syariah is written on the Corporate Secretary and Communication Policy Implementation Guideline No. PP/S02/001-00/2015 dated on 30th December 2015 that includes (1) GMS Implementation Function; (2) Investor Relations Function; (3) Good Corporate Governance Function; and (4) Secretarial Function and Communication Function as well as CS implementation Work Guideline In performing the tasks, Corporate Secretary function is performed by the Investor Relationship & Secretary work unit that performs the function, task and responsibility as regulated in the Financial Service Authority (OJK) Regulation Number 35/POJK/2014 on Corporate Secretary of issuers or Public Company. Hasanah Banking Partner Corporate Secretary & Investor Relation Assistant 336 Annual Report 2017
337. Human Capital Good Corporate Governance Corporate Social Responsibility 6 . Publication material: a. Determine implementation strategy on the BNI Syariah non-media publication for non-financial public, investor and financial public in order to maintain BNI syariah’s reputation and market expectation. b. Determine BNI Syariah mass media advertisement implementation stratgy relate to financial and non-financial aspects in order to maintain BNI syariah’s reputation and market expectation. c. Direct BNI Syaroah site content management to assure complete data avaiability and easy access for information for the public and stakeholders. 7. Internal Communication a. Determine and evaluate the internal communication media implementation to contribute into the creation of good working atmosphere. b. Direct and evaluate BNI Syariah presentation material draft related to financial and nonfinancial to endure the information transparency in accordance with regulator stipulation. c. Direct BNI Syariah internal event, so that the Compnay event can be well implemented and obtain high level of involvement from all BNI Syariah employees and the public in general. d. Perform Company documentation operating procedure including Company legal document archive and draft as well as save the Board of Directors and Board of Commissioners Minutes of Meeting. 8. Operational support facility provision for Board of Directors and Board of Commissioners. 9. Board of Directors protocoler function implementation on every external activity attended by Board of Directors 10. GCG Manual Building a. Perform GCG manual update to be made as GCG implemenetation guideline on the level of Board of Directors and Board of Commissioners. b. Perform Board of Commissioners charter document alignment process with Board of Directors charter and management policy, guidebook. Duties and Responsibilities Duties and responsibilities of Corporate Secretary are i.e.: 1. BNI Syariah compliance to sukuk/capital market: a. Follow the development of Capital Market, specifically on the applicable law and regulation in Capital Market; b. Provide input to Board of Directors and Board of Commissioners to comply with the law and regulation in Capital Market. c. Communicate internally on the capital market compliance aspect and its impact on BNI Syariah to raise awareness on the compliance to the applicable capital market regulation. 2. The implementation of GMS: a. Direct all aspects of GMS for better implementation. b. Prepare material or session of GMS and ensure the compatibility of material and GMS implementation procedure with the applicable regulation. 3. The implementation of Corporate Governance, that is to assist Board of Directors and Board of Commissioners includes: a. Information transparency to the public, including information availability on the Company’s website; b. On-time delivery of report to OJK; c. GMS implementation and documentation; d. Orientation program implementation to the Company for Board of Directors and Board of Commissioners. 4. BNI Syariah’s reputation to public and media: a. Determine corporate communication implementation strategy for public, media, and internal in order to maintain good reputation of BNI Syariah to stakeholders. b. Implement marketing communication activity for BNI Syariah product and services, in order to raise awareness/ popularity of product and services to ease the sales process. c. Build good relationship with the media. 5. As a connector between the Company and Shareholders of the Company, OJK, and other stakeholders. Hasanah Banking Partner Attachment 337 Annual Report 2017
338. Performance 2017 Management Report Company Profile Business Supporting Function Corporate Secretary Function The BNI Syariah Corporate Secretary functions are written on Corporate Secretary and Communication Policy Implementation Guideline No . PP/S02/001-00/2015 dated 30th December 2015 that includes: 1. 2. 3. 4. Management Discussion and Analysis GMS Implementation function; Investor Relations function; Good Corporate Governance function; and Secretarial function and Communication as well as CSR implementation. Profile of Corporate Secretary Name Adjat Djatnika Basarah, SE., MM Nationality Indonesia Place/Date of Birth Bandung, 12 April 1971 (46 years old) Domicile Jakarta Education Bachelor of Economic (Management) from Padjajaran University, Bandung, in 1995 Master of Management (Investment), IPMI Business School, in 2004 Work Experience Head of Jabodetabek Plus Region in 2016 Head of Bendungan Hilir Branch in 2010 Head of Semarang Branch in 2008 Manager of Planning and Market Analysis in 2008 Concurrent Position None Training in 2017 First International Conference on Good Corporate Governance Appointment July 2017 Affiliation Relationship Not having affiliation relationship with members of Board of Commissioners, Board of Directors, and Controlling Shareholders Corporate Secretary Duty Implementation Report The following are activities related to stakeholders that were performed by Corporate Secretary in 2017: 1. Fine tuning the organization structure of Secretary Division and Corporate Communication by adding the positions; Corporate Communication Manager Coordinator, dividing between internal and external communication. 2. Provides input to the Board of Directors and Board of Commissioners to Comply with the stipulation of Capital market 3. Delivers Jurisdictive analaysis to the Director of Compliance and Risk on the Fit and Proper test implementation procedure based on POJK No.27/ POJK.03/2016 on the Capability and Appropriateness Assessment by the Main Party of Financial Service Authority and SEOJK No. 39/SEOJK.03/2016 on Capability and Appropriateness Assessment for Candidate of Controller Shareholder, candidate of Board of Directors, and Candidate of Board of Commissioners; 4. Performs quarterly press conference to publish the quarterly company performance report to the public, especially stakeholders Hasanah Banking Partner 5. Information transparency to the public, including information availability in the Website of issuers or Public Company. The form of Information Transparency is: a. Monthly, quarterly, and annual financial publication report in the company’s website. b. Quarterly and annual financial publication report on national daily newspaper. c. Quarterly publication report on sukuk result on national daily newspaper d. Change on management structure report and the appointment of management effective report in the company’s website also adds the new management profile in the company’s website. e. Annual report and Sustainable Report drafting that are distributed to Stakeholders, especially shareholders and shown in the Issuer’s website. f. Always update other material content in the website such as new management profile, the latest articles of association act, internal policy related to GCG implementation and other information. 338 Annual Report 2017
339. Human Capital Good Corporate Governance Corporate Social Responsibility 6 . Report delivery to the Financial Service Authority and other institutions; the form of the report is: a. Quarterly or mid-year financial report and annual financial report to OJK, Indonesian Stock Exchange, Wali Amanat. b. Annual Report and Sustainable Report to shareholders, OJK, Indonesia Stock Exchange, Perfindo, lPS, and other institution as required by the law and regulation. c. GCG report to OJK, Indonesian Stock Exchange, Pefindo, LPS, and other institutions as required by the law and regulation. d. GCG Self-assessment report to OJK semester 2 in 2016 and semester 1 2017 as part of Bank’s health rate assessment, coordinating with the Risk Management Division. e. Change on Management report, management effective promotion and management change material fact report to OJK, Indonesian Stock Exchange, and LPS. f. The delivery on personal statement letter of the new effective Board of Commissioners and Board of Directors members to LPS. g. Report on sukuk result to KSEI and Trustee. h. Foreign exchange debt monthly report to OJK. i. Annual sukuk rating report to OJK. j. Company Compliance Director status report to OJK. 7. The implementation and documentation on Annual Shareholders General Meeting dated 2nd March 2017 based on the Minutes of Annual Shareholders General Meeting Act of PTBNI Syariah Proprietary Limited No.6 dated 2nd March 2017. 8. The implementation of RUPS/LB by circular: a. RUPS-LB dated 26th January 2017 on the fulfillment of OJK Board of Commissioners decree related to the management’s fit and proper test. b. RUPS-LB dated 23rd March 2017 related to the change on management structure that decides: • Approved to dismiss with honor, Mr. Imam Teguh Saptono from his position as Managing Director and Mr. Kukuh Rahardjo from his position as Consumer Business Director Hasanah Banking Partner Approved to appoint Mr Abdullah Firman Wibowo as Managing Director and Mrs. Dhias Widhiyati as the Company Director, with respective serving tenure since approval by Financial Service Authority (OJK) and ends with the closing of 2020 Annual GMS. c. RUPS-LB dated 29th December 2017 on the addition of capital amounted 1 trillion from PT BNI (Persero), Tbk, that decides as follow: • Approved the share withdrawal in portfolio by PT BNI (Persero) Tbk that is deposited in cash through the Company cash of IDR1,000,000,000,000,- (one trillion Rupiah) or 1,000,000 (one million) shares. While PT BNI Life Insurance does not join the withdrawal of portfolio share. • With the effective withdrawal of unissued share, then of the authorized share capital and paid up capital to be 2,502,500 (two million five hundred and one thousand and five hundred) of shares or all with nominal value of IDR 2,502,500,000,000 (two trillion and five hundred and one billion and five hundred million Rupiah). • Approved on the amendment of Article 4 paragraph (2) and (3) The Company Articles of Association. d. RUPS/LB dated 29th December 2017 on the change on management structure that decides: • Approved and appoint Mr. Max R. Niode with amendment on status to be Independent Commissioner, until the closing of Annual GMS 2019 • Approved and appoint Mrs.TribuanaTunggadewi as Company Director of Compliance and Risk until the closing of 2010 Annual GMS. 9. The management of fit & proper test for Board of Directors and Board of Commissioners coordinating with OJK for the implementation of fit and proper test to Abdullah Wibowo as Managing Director and Mrs. Dhias Widhiyati as Business Director appointed by GMS 23rd march 2017, Mrs. Tribuanan Tunggadewi as candidate of Director of Compliance and Risk, and Mr. Max R. Niode as candidate Independent Commissioner, both are appointed by GMS 29 December 2017, as well as Mr. Muhammad Syakir Sula as Independent Commissioner appointed on 339 • Attachment Annual Report 2017
340. Performance 2017 Management Report Company Profile Business Supporting Function Annual GMS 25th February 2016 . From the referred fit and proper test management, several Board of Name Management Discussion and Analysis Directors and Board of Commissioners members that have passed are: Position OJK Resolutions Max R. Niode Independent Commissioner Decree of Board of Commissioners of OJK No. KEP226/D.03/2017 dated 19 December 2017 Dhias Widhiyati Director of Business Decree of Board of Commissioners of OJK No. KEP228/D.03/2017 dated 19 December 2017 Tribuana Tunggadewi Director of Compliance and Risk Decree of Board of Commissioners of OJK No. KEP227/D.03/2017 dated 19 December 2017 Abdullah Firman Wibowo President Director Decree of Board of Commissioners of OJK No. KEP41/D.03/2018 dated 22 March 2018 c. Counterpart with Pefindo in annual monitoring to issue sukuk rating and annual company rating (2017 company rating is idAAA+ (Double Plus; Stavle Outlook) 2015 rating of sukuk Mudharabah 1 is idAAA+ (sy) Double A Plus Syariah). 14. The Company GCG Implementation Supervision function a. Drafting Annual GCG Report to be delivered to OJK and other institution according to the law and regulation, as well as part of Annual Report. b. Drafting the GCG self-assessment report as part of the bank’s health rate assessment per semester. c. Company GCG implementation assessment through external/independent institution, participation in CGPI Award organized by ICG. BNI Syariah received CGPI award category Trusted Company. d. Delivery of information to not receive and give gifts to all employees and work partners on Idul fitri period. 15. Secretarial function a. Implementation and documentation of General meeting of Shareholders, including the processing of minutes of meeting notary act, Meeting Decision Statement act related to new management structure act, and notary act ratification letters as referred to by Ministry of Law and Human Rights. b. Implementation and documentation of Board of Directors and/or Board of Commissioners meeting. c. Manage the Board of Directors membership to professional institution or industrial supporting institution. 10. The implementation and documentation of Board of Directors and Board of Commissioners meeting; Minutes of Radisi and Radikom that have been documented by filling system as per order and according to the date sequence to ease the administration. In addition to that, the notetaker lender used receipt in order to avoid loss of document. 11. The implementation of orientation program to the Company for the Board of Directors. The Orientation program is conducted for new Borad of Directors members, so that the relevant can perform their task and responsiblity as Board of Directors members at their best. 12. New Commissioners Orientation Program for new Board of Commissioners members provided by the Company due to the background of Board of Commissioners members that is a representation of several Stakeholders. The objective of orientation program is to have the Board of Commissioners members knwo each other and build a cooperation as a one solid, comprehensive, and effective team. 13. As connector between Issuer or Public Company with Issuer or Public Company shareholders, Financial Service authority and other stakeholders. a. The drafting of Annual Report and Sustainable Report as infomration to public, especially stakeholder related to the condition and prospect of Bank and to meet the stipulation of law. b. Participation in Annual Report Award and Sustainable Finance Award (BNI Syariah received the award in Sustainable Finance Award from OJK category Bank Book 1 and 2). Hasanah Banking Partner 340 Annual Report 2017
341. Human Capital Good Corporate Governance Corporate Social Responsibility d . Documentation of company legal document and updating and extension of expired permit or compulsary to have change such as Company List Sign (TDP) and Company Domicile Letter (SKDP). e. Serve request on original and copy of legal document for other divisions or branches that need them. Education and Literacy Activity 1. Organized the Board of Directors (BOD) Teaching, a mandatory program of OJK to intellectualize High School students, within the program, BNI Syariah contributed by rividing sharia banking education to the High School students. 2. Directed BN Teaching implementation, a teaching program performed by Branch Manager in partnered schools. 3. Established Sharia Economy Journalist, a community forum for sharia economic enthusiast. Other duties of Corporate Secretary In addition to duties as determined in POJK No. 35/POJK/2014 Corporate Secretary performs the Corporate Communication tasks that include Corporate Communication and Company product and service marketing communication as well as CSR implementation. CSR Activity Implement various events related to Corporate Social Responsibility (CSR) program, i.e.: 1. Qurban Hasanah Nusantara with tagline “Qurbanku untuk Indonesia BerHasanah”/ “My Sacrifice for Good Indonesia” invites the public, customer through BNI Syariah, where the program campaign is informed through printed, online, and billboard media, conducted throughout Indonesia and distributed to dhuafa (people who are entitled to receive qurban/ sacrifice) in area around the brnach to all areas in the country by partnering with ACT and RumahZakat; 2. Hasanah Empowerment is an economy empowerment program, an assistance in education, training and business capital that that aim to grow new entrepreneur as well as increase ecnonomy welfare through BNI Syariah Hasanah Ambassador divided into 3 groups, which are dilligence, environment and agricultutre and stock husbandry. 3. Hasanah for Society, a makeover for musholla (small mosque)/ praying venue/ pesantren (islamic boarding school) and public facilities that are no longer improper, implemented in 5 cities (Tanjung Karang, Bandung, Denpasar, Palangkaraya, and Pekalongan); 4. Tadarus Anak Hasanah, a Quran study program for poor children at around BNI Syariah branches, conducted in 68 branch offices all over Indonesia (20 children per branch). Providing teachers, teaching methods, BNI Syariah works together with Askar Kauny. In addition to study and memorize Quran, children are also given sympathetic care; 5. Muhassabah Hasanah is BNI Syariah 7th Anniversary celebration by organizing tausiyah from the Ustadz and share sympathetic care for the orphans in 68 BNI syariah branches all over Indonesia. Marketing Communication Throughout 2017 marketing communication has been conducted related to BNI syariah involvement on events below: 1. KSF (Syariah Fair Finance) in 4 cities 2. iB Vaganza in 5 cities 3. Local Startup Fest 4. Sulteng (Central Sulawesi) Expo 2017 5. Festival Wisata Halal Banten 2017 6. The Millenials: Sosmed for Business (Startup) 7. Inacraft 8. Makassar Sharia Economy Festival by Bank of Indonesia 9. Funwalk ASEAN Anniversary 10. Jakarta and Bandung Sharia Festival 11. Islamic Tourism Expo 2017 12. Himpuh International Travelmart 13. Amphuri Travel Expo 14. Indonesia Halal Lifestyle Expo (INHALEX) 2017 15. Indonesia International Fairytale Festival 2017 16. Indonesia Sharia Economic Festival (ISEF) 2017 17. Indonesia Halal Expo (INDHEX) LPPOM MUI 2017 18. Garuda Travel Fair 2017 19. Java Jazz Festival 20. BNI Subsidiaries Expo 21. Real Estate Indonesia (REI Expo) 22. World Islamic Economic Forum 2017 23. International Islamic Expo 2017 Hasanah Banking Partner Attachment 341 Annual Report 2017
342. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis 6 . Takjil Hasanah, provides break fasting snacks to the traveller who are fasting and passes the area nearby BNI syariah branch, conducted in 68 branches in Indonesia; 7. Mudik Hasanah is a program to send the Quran hafidz to their hometown (free travel). their task and responsibility. In addition to that, there are criteria of extensive experience, reliable, and able to keep confidentiality, able to take the role of good communicator, good listener, and able to take the role as “connector” to give suggestions for Board of Commissioners, board of Directors as well as other senior executives in BNI Syariah. Corporate Secretary Competence Development In order to continuously follow the latest update on effective Corporate Secretary function and role, BNI Syariah has facilitated employees in Corporate Secretary environment to join trainings, in 2017 BNI Syariah Corporate Secretary has joined: Corporate Secretary Classification and Training According to the Corporate Secretary classification that are wirtten in the BNI Syariah Corporate Secretary Guideline that Corporate Secretary has other relevant knwoledge that is sufficient to be able to implement No 1. Training Organizer Year First International Conference on Good Corporate Governance Indonesia Corporate Secretary Association 2017 The relaitionship with the stakeholders conducted through the performance of press conference, public exposure, finance performance monthly brochures publishin, quarterly financial statements publishing, semi-annual and annual reports publishing. The shareholders and stakeholders can also access the information about the Bank and its activities on the web site: www.bnisyariah.co.id . Performance Assessment of Corporate Secretary The performance assessment of Corporate Secretary was conducted by Board of Directorsd through Sector Director, i.e. Risk and Compliance Director based on the work program achievement of the Corporate Secretary duties implementation. Below is the performance assessment of the Corporate Secretary that includes: 1. Controlling cost effectiveness 2. Improving Company’s Reputation and Awareness on Bank BNI Syariah as Bank with positive image 3. Ensuring the implementation of Corporate action and Public Information Disclosure 4. Improving internal customer satisfaction 5. Managing integrated internal communication program 6. Ensuring that Brand Implementation is in accordance with Brand Guidelines 7. Increasing the skills of Corporate Secretary & Communication Hasanah Banking Partner Moreover, considering that employee is one of the important elements in building company’s reputation, Corporate Secretary also has the responsibility to disseminated the information about BNI Syariah to all employees, including the programs and policy management. This information is delivered via internal media, among others Hasanah Forum, Hasanah Lifestyle (News Letter of BNI Syariah), BOD Messages, Morning Briefing to every Division/ Desk/ Branch Office, Pengajian Rabu Siang, Kajian Jumat Pagi, and dissemination to regional offices and branches. 342 Annual Report 2017
343. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment The 2017 Corporate Communication Program Started in 2014 , BNI Syariah declared Hasanah Titik as a corporate campaign, i.e. the value of BNI Syariah as a Sharia bank aimed at becoming rahmatan lil alamin by delivering good values (Hasanah). The statement from all human beings to make Hasanah “goodness” or Hasanah as the purpose of its activities. This corporate campaign followed by Hasanah experience in 2015, by trying to visualize the meaning of hasanah as something tangible hence could be imitated and developed, through the program Mutiara Bangsa BerHasanah (MBB) that is characterization of ordinary human beings who does extraordinary actions as he/she has run the elements of hasanah. In 2016, it was followed by the Hasanah is me campaign, i.e. each employee of BNI Syariah is been able to make themselves as examples of the manifestation of Hasanah’s human behavio, shown through Hasanah for Society program, and Tarhib Ramadhan. a bank with hasanah value for halal financial transaction (free of usury). The synergy is built with the government/ regulator such as BI, OJK, local government, Yogyakarta Sultanate, Cirebon Sultanate, and pesantren, public and private schools and universities such as Gadjah Mada University, Brawijaya University, State Islamic University and pesantren Gontor. The management also plays an active role to regularly educate Sharia financial literacy with BOD Teaching program to high school and junior high schools in the regions to support education and literacy programs of sharia finance from the FSA. Synergy is also made with the institutions/ agency/ public companies and private companies such as Garuda Indonesia, PT Pertamina (Persero), PT. PLN (Persero), Transjakarta, Gojek, Baznas then associations such as Asbisindo, IAEI, PKES. In addition, synergy with BNI Indu and subsidiaries of BNI in the network and IT services and BNI infrastructure, as well as products and events being implemented. In order to compete in the competitive industry, since 2017 BNI Syariah determined strategic positioning that might provide competitive advantage for BNI Syariah. The value that becomes component of BNI Syariah strategy is Hasanah which means goodness. Hasanah is a value derived from the Qur’an and has become the identity of BNI Syariah in spreading the good deeds through Hasanah employees and its products and services. Thus, BNI Syariah is committed to be a partner for all stakeholders in muamalah widely through value proposition as Hasanah Banking Partner. The internalization of Hasanah Banking Partners in BNI Syariah employees is supported by Hasanah Lifestyle newsletter, BOM Message, internal memo (sheco), WhatsApp group, Hasanah Forum, corporate souvenirs such as agenda and calendar and corporate events such as BOM Menyapa, Milad BNI Syariah, Qurban Hasanah Nusantara, company meetings and business meeting company. By positioning itself as Hasanah Banking Partner, BNI Syariah is committed to serve the community at all stages of life (lifetime) not only to meet life needs in the world, but also become a means to prepare life in the hereafter (lifestyle). In facing the era of rapid change and in order not to erode and lose in competition, BNI Syariah must respond to challenge in the form of a transformation. The challenges faced and the wide opportunities available demand BNI Syariah to take the lead in making changes to realize better image and provide wider benefits. The commitment of the improvement is proclaimed through the theme of Business Meeting Company, “Leading Transformational Change”. In realizing the Hasanah Banking Partner’s campaign, the management of BNI Syariah is actively building synergies in establishing Halal Ecosystem in every activity/management activity in every branch of BNI Syariah to invite “hijrah” to During 2017, BNI Syariah was consistent with the message of communication that delivers the value of hasanah through products including Wakaf Hasanah, with the tagline “Harta Dibawa Mati”. Not always in the form of land Hasanah Banking Partner 343 Annual Report 2017
344. Performance 2017 Management Report Company Profile Business Supporting Function or goods , it can be in the form of waqf money with Wakaf Hasanah BNI Syariah. The funds raised will be used for the benefit of the people. Including moving the economic wheels, becomes force in overcoming the food crisis, education and health. Waqf is a practice that not only brings benefits to the benefactor but to the recipient of waqf. By embodying hasanah lifestyle, it will spread the goodness to self, family, and society where the kindness and the benefits will continue to be gained along with the reward that also continues to flow. This is why the benefits of waqf money can be a way to survive the afterlife like taking the “treasure” upon your death. Media Relations and Information Access In addition to above the line strategies, BNI Syariah also improves the company’s image and reputation to increase the awareness by establishing good relationships with the media through various programs of activities with Jurnalis Ekonomi Syariah (JES). JES, which was established since 2010, is a forum of journalists and photographers of economic desks from various media (online, print, TV, radio) established to educate journalists about sharia banking so that journalists can write Sharia news or financial features more accurately and ultimately can be conveyed to the society regarding the excellence of Sharia finance. By December 2017 JES had been established in 10 cities, namely Jakarta, Jogyakarta, Solo, Semarang, Surabaya, Malang, Aceh, Padang, Makassar and Palu where the average JES members in each city are followed by about 20 media. In addition, BNI Syariah campaigned the message of “Rumahku Taman Surga Keluarga” to market the product of BNI Griya iB Hasanah. Every family yearn for paradise in the hereafter. Presenting a paradise garden at home can begin with a hasanah lifestyle with the family among others presenting the majelis ilmu (place where you can gain religious knowledge), worship with the family, and listen the holy verses of the Qur’an. In realizing the paradise garden, with coolness, comfort and beauty inside, starts from home. BNI Syariah as Hasanah Banking Partner facilitates families who want to realize the home as a paradise. JES activities include sharia banking workshops, hearings with the Financial Services Authority (OJK) and local governments, the Ministry of Religious Affairs, the Ministry of Finance, and others, as well as sports activities. One of the roles of JES felt by Sharia banking is the issuance of Hajj fund transfer policy from conventional bank to sharia bank. Carrying the tagline “Lebih Tenang Kagumi Ciptaan-Nya”, BNI Syariah campaigning Halal Tourism with West Nusa Tenggara Government (NTB) by launching BNI iB Hasanah Card with special design of Segara Anak Lake Rinjani Lombok as Official Travel Card for World’s Best Halal Tourism Destination. Through the program offered, BNI Syariah’s account holder can take a vacation while worshipping conveniently during the trip with the availability of places of worship, to halal culinary that can be consumed during vacation. BNI Syariah as Hasanah Banking Partner facilitates the traveling with hasanah style. High digital growth in this millennial era has pushed BNI Syariah to target the gen Y teens up to thirty years of age where hasanah messages are delivered via digital media channels such as detik.com, kumparan.com and republika online, as well as social media advertising (Youtube, Facebook and Instagram) in order to increase the awareness of hasanah BNI Syariah and maintain BNI Syariah as the Top Brand for sharia banking. Hasanah Banking Partner Management Discussion and Analysis BNI Syariah with JES conducted several activities during 2017 including: • “The Gathering and Dissemination of the Latest Fatwa” on Sharia banking and non-banking products and services in collaboration with the National Sharia Council of Indonesia Council of Ulama (DSNMUI) in Wisma Antara, Jakarta. • “Launching of the National Committee on Islamic Finance (KNKS) and Silaknas IAEI” which was inaugurated by the President of the Republic of Indonesia along with the Vice President, the 3rd President of the Republic of Indonesia, Coordinating Minister for Economy and Minister of PPN/Head of Bappenas. The aim of KNKS is to encourage the acceleration of sharia economic growth and make Indonesia the world’s shariah financial center. The event was held at the State Palace and Fairmont Hotel, Jakarta. 344 Annual Report 2017
345. Human Capital • Good Corporate Governance Corporate Social Responsibility In addition, BNI Syariah is always well-connected with the media by making a visit (media visit) especially to the mainstream media either national and regional, media junket by visiting Duta Hasanah and BNI Syariah partners, holding photo and writing competition for journalists, supporting activities in the form sponsorship workshop and JES sport activities. Events held by OJK, corporate, and corporate events of BNI Syariah such as Islamic Tourism Expo 2017 at Kasablanka Hall, Jakarta; Garuda Travel Fair (GATF) at JCC, Jakarta; Qurban Hasanah Nusantara in all branches of BNI Syariah; Syariah Fair Finance (KSF) in Cirebon; BNI Digimudik in TMII, Jakarta; Milad BNI Syariah at Masjid Al Azhar Jakarta; Launched of BNI Baitullah iB Hasanah saving accounts for Children at iB Vaganza, Medan; and other events. Hasanah Banking Partner Attachment 345 Annual Report 2017
346. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis INTERNAL AUDIT Internal Audit is an independent and objective assurance and consultancy activity to provide added value and improvement to the organization ’s activities with a systematic and disciplined approach to evaluate and improve the effectiveness of risk management, control, governance processes, and compliance with Sharia provisions. Internal Audit plays a role in evaluating the adequacy and effectiveness of internal controls undertaken by the management. The basic concepts of internal control are: 1. It is an integral part of overall management responsibility, so management assumes full responsibility for the implementation of internal control. 2. It is an integrated part in the system and procedures of each activity in the work unit, so that any irregularities can be detected early and remedial steps can be done by the work unit concerned. 3. It is a continuous process. 4. Internal control can only be expected to provide reasonable assurance instead of absolute assurance, so that if the internal control has been running well does not mean the possibility of irregularities become nil. 5. The effectiveness of internal control is highly dependent on the person performing it. The Internal Audit Division (IAD) seeks to make more recommendations on more specific and strategic issues by allocating resources for audit implementation: • Thematic Audit, which accommodates management input and needs. • Follow-Up Audit of Whistleblowing System (WBS) Report • Audit of investigation In addition to implementing the audit approach, the Internal Audit Division also conducts regular audits, namely general audit of Regular Branches, Micro Branch Offices and Head Office, IT audits, and mandatory SKNBI RTGS audits in order to meet regulatory requirements. Organizational Structure and Internal Audit Position The Internal Audit function is run by the Internal Audit Division (IAD), a division-level unit directly responsible to the President Director and has direct communication channels with the Board of Commissioners through the Audit Committee. To support IAD’s role in providing independent data/information to assess and evaluate various business and operational activities and to take the required corrective measures quickly, IAD also oversees the Internal Controller assigned to the Division and Regular and Micro Branch offices. In accordance with the Organization Decree No. ORG/07/III/2017 dated 17 March 2017, the structure and position of Internal Audit Division of PT Bank BNI Syariah as follows: Hasanah Banking Partner 346 Annual Report 2017
347. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Executive Manager Organizational Structure of Internal Audit Division Internal Audit Division Manager Senior Manager Head of Division Manager Coordinator Internal Control & Branch Audit Senior Branch Auditor Junior Manager Branch Auditor Senior Investigation Auditor Investigation Auditor Manager Auditor Monitoring & Offsite Audit Monitoring Audit Officer Head Office Internal Controller Internal Control Officer Senior Head Office Auditor Senior IT Auditor Manager QA & Development Head Office Auditor IT Auditor Reporting Audit Officer Audit Development Officer Offsite Audit Auditor QA & Development Asisstant Clerk Region Office Branch Office Quality Assurance Auditor Internal Control Manager Branch Internal Controller Micro Branch Internal Controller Appointment and Termination of Head of Internal Audit Division IAD is chaired by a Division Head, appointed and terminated by the President Director with the approval of the Board of Commissioners and reported to the Financial Services Authority. Employees of IAD are responsible to IAD Head based on the organization structure of IAD. IAD has a direct line of communication with the Board of Commissioners through the Audit Committee so that it can communicate directly with the Audit Committee to conduct consultations relating to the audit program. Profile of Internal Audit Division Headt Dade Dermawan. Appointed as the Head of IAD from 20-01-2017 in accordance with the Decree of Board of Directors of PT Bank BNI Syariah No. KP/005/DIR/R and has been reported to the relevant authorities. Having the experience as Branch Leader, Leader of Product Management Division, Leader of Network & General Affair Division, Leader of Enterprise & Risk Division, and currently Leader of Internal Audit Division. He is a graduate from the Management Faculty of the University of Bandar Lampung (1994) and a Master of Professional Management Program at the STIE IGI Graduate Program (2002). He is also active as risk management assistant at LSP Syariah Finance since 2016. Hasanah Banking Partner 347 Annual Report 2017
348. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis Authority , Code of Conduct of Internal Audit, Reporting and Documentation, Protection by Law, Prohibition, and Sanctions. Internal Audit Charter In carrying out his duties and responsibilities, IAD guided by the Internal Audit Charter approved by the President Director and the Board of Commissioners No. KP/207/ DIR dated 10 August 2010 and modified in the Directors’ Decree No. KP/002/DIR/R dated 2 June 2014, the Internal Audit Charter created as a guideline for the purpose, authority, responsibility, and the scope of work of IAD. Internal Audit Charter consists of IAD Vision and Mission, Objectives and Scope of Activities of IAD, IAD Structure and Position, Duties and Responsibilities of IAD, IAD Professional Composition and Certification of Internal Audit Division Members Internal Audit Division is supported by 119 employees spread in the Head Office and in 68 Branch Offices. By the end of 2017, IAD is led by Mr. Dade Dermawan as Division Leader. By 2017 IAD has an employee composition with the following details and qualifications: Position Total Position On 31 Dec 2017 INTERNAL AUDIT DIVISION HEAD 1 MANAGER KOORDINATOR INTERNAL CONTROL & BRANCH AUDIT 1 BRANCH SENIOR AUDITOR 5 INTERNAL AUDIT DEVELOPMENT MANAGER 1 REPORTING & OFFSITE MANAGER 1 HEAD OFFICE SENIOR AUDITOR 4 INTERNAL CONTROL MANAGER 3 HEAD OFFICE AUDITOR 4 FRAUD INVESTIGATOR MANAGER 1 BRANCH AUDITOR 6 INTERNAL CONTROL OFFICER 2 QUALITY ASSURANCE OFFICER 2 FRAUD INVESTIGATOR OFFICER 1 HEAD OFFICE INTERNAL CONTROLLER 4 INTERNAL AUDIT DEVELOPMENT OFFICER 1 REPORTING & LIASON OFFICER 1 INTERNAL CONTROL ASSISTANT 1 INTERNAL AUDIT DEVELOPMENT ASSISTANT 1 MONITORING OFFICER 1 OFFSITE AUDITOR 1 BRANCH INTERNAL CONTROLLER 77 Hasanah Banking Partner 348 Annual Report 2017
349. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Qualification of Formal Education By Positional Level is as follows : Position Master INTERNAL AUDIT DIVISION HEAD Bachelor Diploma 3 1 MANAGER KOORDINATOR INTERNAL CONTROL & BRANCH AUDIT 1 BRANCH & HEAD OFFICE SENIOR AUDITOR 1 INTERNAL AUDIT DEVELOPMENT MANAGER 1 9 INTERNAL CONTROL MANAGER 3 FRAUD INVESTIGATOR MANAGER 1 BRANCH & HEAD OFFICE AUDITOR 1 9 INTERNAL CONTROL OFFICER 2 QUALITY ASSURANCE OFFICER 2 FRAUD INVESTIGATOR OFFICER 1 HEAD OFFICE INTERNAL CONTROLLER 4 INTERNAL AUDIT DEVELOPMENT OFFICER 1 BRANCH INTERNAL CONTROLLER 2 53 3 MICRO BRANCH INTERNAL CONTROLLER 17 2 OFFSITE AUDITOR 1 MONITORING OFFICER 1 REPORTING OFFICER 1 ASISTEN 2 Total 6 5 Scope, Duties and Responsibilities of Internal Audit Activities done by Internal Audit Division are aimed at providing recommendations of improvement to the needs and effectiveness of internal control and governance process as well as quality and effectiveness of risk amnagement of Bank BNI Syariah. Branch Internal Controller and Head Office Internal Controller Branch Internal Controller and Head Office Internal Controller have a function to perform daily checks according to the procedures applicable to the suitability of the implementation of business processes and operations at branch offices and headquarters. Internal Controller check results will become one of references for the audit and improvement by units related to business and operational. In addition, Internal Controller is also involved in the investigation of the incidence of fraud and follow-up in the completion of the audit findings. The scope of activities of Internal Audit Division include the implementation of assurance and consulting on all banking activities and all levels of management and operations of BNI Syariah. Main Tasks of IAD: 1. Conduct an audit in accordance with the Annual Audit Plan reviewed by the Board of Commissioners and approved by the Director on the activity/ unit/ resource of BNI Syariah, including company/ other organization affiliated directly/ indirectly by BNI Syariah based on consent/ request of the company/ organization having the authority under the law or the applicable rules and approved by the President Director. Independence and Objectivity IAD and its individual members have the independence and objectivity in auditing and consulting by expressing their views or thoughts in accordance with profession and auditing standards applicable. IAD independence and objectivity and each of its members have been arranged in the Internal Audit Charter signed by the Board of Commissioners and President Director and communicated to all units in BNI Syariah. Hasanah Banking Partner 108 349 Annual Report 2017
350. Performance 2017 Management Report Company Profile Business Supporting Function 13 . Develop programs to evaluate and assure the quality of audit activities carried out. 14. Implement continuous education for all employees of IAD in accordance with the competencies required to improve the quality of IAD employees. 15. Work closely with the Audit Committee in carrying out the internal audit function and the implementation of external audit. 2. Carry out an audit on demand of the Board of Directors, Board of Commissioners or as a follow-up on the results of general audit of an object or event suspected to contain indications of fraud. 3. Provide consulting services to internal parties of BNI Syariah to provide added value and improvements to quality of control, management, risk and corporate governance to the extent not affecting the independency and objectivity of Internal Audit and provided adequate resources. Auditor Code of Ethics Auditor Code of Ethics is set forth in the Internal Audit Charter based on the Decision Letter of the Board of Directors No. KP/002/DIR/R dated 2 June 2014 on Internal Audit Charter of PT Bank BNI Syariah. IAD employees should apply and uphold the Code as follows: Based on the IAD Audit Charter, the duties and responsibilities of IAD include among other: 1. Develop Audit Plan and periodic consultations. 2. Carry out an audit and consulting activities in accordance with the Plan of Audit and Consulting. 3. Report the realization of Audit Plan and Annual Consultation of each semester to the President Director and the Board of Commissioners with a copy to the Board of Director in charge of Compliance. 4. Prepare audit result report and submit the report to the President Director and the Board of Commissioners with a copy to the Director in charge of Compliance division. 5. Deliver audit report related to the fulfillment of Sharia Principles to the Sharia Supervisory Board. 6. Provide consulting services to internal parties of BNI Syariah to provide added value and improvements to the internal control, governance process and risk management. 7. Conduct an audit investigation and/or audit forensic if necessary or in case of suspected fraud and abuse of authority. 8. Implement monitoring and follow-up audit report to the Director and the Board of Commissioners of each quarter. 9. Report immediately any audit findings that may disturb the survival of bank to the President Director and the Board of Commissioners. 10. Prepare the Implementation Report on the results of an audit and submit to the Financial Services Authority through the Board of Directors. 11. Propose annual budget for the following year and report its realization to the President Director and the Board of Commissioners of each semester with a copy to the Director in charge of Compliance division. 12. Prepare written policies and procedures to guide IAD employees in performing their duties. Hasanah Banking Partner Management Discussion and Analysis 1. Integrity a. Honest, responsible, and work professionally in accordance with the competence b. Take no action that may harm the credibility of the IAD and the internal audit profession c. Appreciate and support the objectives of Bank BNI Syariah and IAD 2. Independent and Objective a. Not involved in activities that may create a conflict of interest b. Does not accept anything that affects professional judgment. c. Reveals all known facts and make disclosures in accordance with the provisions 3. Confidentialityn a. Maintain confidentiality of information obtained in the execution of tasks b. Not use information for anyone’s benefit and/or in any way that would be contrary to law and/or organization’s regulations 4. Competence a. Carries out the assignment in accordance with the knowledge, skills, and experience they have. b. Carries out the assignment in accordance with SPFAIB or applicable professional standards c. Enhances professional ability continuously Work Plan and Realization of Internal Auditl IAD carries out an audit on the scope set forth in the Annual Audit Plan which has been approved by the President Director and the Board of Commissioners, which includes: 350 Annual Report 2017
351. Human Capital 1 . 2. 3. 4. 5. 6. 7. Good Corporate Governance Corporate Social Responsibility Attachment 2. Other factors: a. Inputs from the Board of Commissioners, Board of Directors, division that oversees Branch Office or other parties. b. Branch or division that has a high risk c. Asset and financing quality d. Examination period. 3. 3. Plan of the implementation of Follow-up Audit, Follow-up Audit of WBS and Thematic Audit set based on previous audit experiences. General Audit of Regular Branch Office General Audit of Micro Branch Office General Audit of Central Office Follow-up Audit Follow-up of Whistleblowing System Audit Thematic Audit Other Audit Determination of the audit plan based on: 1. Availability of audit day (mandays) based on the formation of IPAD auditor. The 2017 Audit Results During 2017, BNI Syariah Internal Audit had work plan and realization of audit result as follows: No. Type of Audit Realization per December Audit Plan Percentage 1 General Audit of Regular Branch Office 26 30 115.38% 2 General Audit of Micro Branch Office 9 9 100.00% 3 General Audit of Head Office 12 11 91,67% 4 Thematic Audit 4 3 75.00% 5 General Audit of IT 7 8 114,29% 6 In-depth/Investigation Audit 25 33 132.00% 7 WBS In-depth Audit 10 2 20,00% 8 Thematic Audit/Consultation 4 3 75,00% 93 96 103,23% Total * data of position per 31 December 2017 BNI Syariah’s IAD has followed-up the audit results, either of internal audit or external audit. Description Total Findings (a) Table of internal audit follow-up monitoring is as follows: Total Outstanding (b) otal Settled (b) Already Due (c) Not Yet Due (d) % Settlement e= b/(a-d) LHA & RHA 2016 4.399 4.292 106 1 97,59% RHA (Details of Audit Result) 4.681 3.664 600 417 85,93% Average of settlement 91,76% * data of position per 31 December 2017 Hasanah Banking Partner 351 Annual Report 2017
352. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis Below is the table of external audit ’s follow-up monitoring: Total Findings (a) Description Total Settled (b) Total Outstanding (b) Sudah JT (c) Belum JT (d) % Settlement e= b/(a-d) OJK 2017 115 94 1 20 98,95% OJK 2017 (sampling Surabaya) 26 26 0 0 100.00% OJK 2017 (sampling Surakarta) 18 18 0 0 100.00% BI 2017 (Minutes of FTV BNI Syariah) 8 8 0 0 100.00% BNI SPI RHA 2017 79 78 0 1 100.00% BNI SPI LHA 2017 9 7 0 2 100.00% Average of settlement 99,57% Consistency to Maintain Quality To constantly maintain the quality of auditor and internal controller audits, IAD regularly reviews the working methodology and procedures, as well as the work of auditors and internal controllers. Review is always made to compensate for the development of technical needs of the examination by applying the concept of best practice in the examination. Transformation of Audit Approach in 2017 1. Implementation of Offsite Audit Internal Audit Division applied two kinds of methods of inspection of branch offices, namely the method of offsite audit (inspection at the central office) and onsite audit (inspection at branch office locations). Through the modification of Exception Report and the ability of direct access to the core banking and financing application process, allows the audit team to conduct the examination to the Branch Office by accessing data from the Central Office. This will have an impact on the efficiency and effectiveness of on-site audit and able to reduce the cost of audit. When performing onsite audit, the audit team is more focused on the implementation of the verification and identification of the problems found during the implementation of offsite audit. 2. Implementation of Audit Rating of Branch Office Internal Audit Division implements rating method to the results of Branch Office audit to ease the management to measure the levels of risk to the results of audit in all branch offices. Rating audit is resulted through the measurement of significance and the total of weaknesses occured during the inspection. 3. Risk-based Assessment Internal Audit Division applies ratings to risk assessment that distinguish between the Regular Branch and Micro Branch. The greater the value the greater the risk of each branch, and this may affect the plan of audit implementation in the current year. Rating of risk assessment in addition to considering the risk level of each branch it also considers suggestions from the management and resource availability of Internal Audit Division. Hasanah Banking Partner The control over monitoring the work of the auditor and internal controller is done through the auditor’s performance evaluation sheets and internal controller filled by auditee. In addition, each team leader must also fill the review sheet of its members after the assignment is completed. To ensure that the results of the IAD audit have been followed up in accordance with the auditor’s recommendations, IAD monitors through the Enterprise Audit Sharia (EASY) application so that the audit results are not neglected and become a momentary issue, but becomes one of the auditee’s concentration in maintaining performance without neglecting the quality, auditor to monitor the follow up of Division / Branch findings. Auditor Competency Development Program IAD is committed to improve competence and knowledge through education and training, including national certification in the field of internal audit, participation in national seminars and internal routine training. 352 Annual Report 2017
353. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Certifications that were obtained by IAD employee until 2017 are as follows : National & Internal Certification Total Participating Employees Chartered Accountant IAI 2 employees Risk Management Level 1 60 employees Risk Management Level 2 18 employees Risk Management Level 3 7 employees Risk Management Level 5 1 employee Sertifikasi Auditor LSPP 27 employees Productive Financing Certification 77 employees IAD Competence Development Material Total Participating Employees APU-PPT Training 3 employees IAIB National Conference IX 4 employees Internal Training for BIC 154 employees Digital forensic 2 employees NLP Interview Technique 40 employees Internal Training for Auditor 40 employees Leadership Training 7 employees Training of Executive Overview of Islamic Bank 1 employee OM Training 1 employee Sharing Session Spiritual Leadership 1 employee Training of Enhancement Risk Assessment of Financing 2 employees BOH Training 1 employee Assessment Training 2 employees Training of Tax and HRIS 2 employees Participation in the Internal Audit Professional Association In order to broaden the insight and professional competence of internal auditors, IAD has participated to include auditors in the Internal Audit profession association, namelu Bank Internal Auditor Association (IAIB). IAD has been very active in the association of Internal Audit profession, this can be seen in the appointment of one IAD employee as IAIB Board Member for 2017-2020 period as member of Sharia Development Division. The 2018 Work Plan of Internal Audit Division For 2018, the IAD has created a work plan by giving priority to: 1. Implement Thematic Audit for some audit activities. 2. Continue the role of IAD as a partner. Hasanah Banking Partner 353 3. Continue to increase cooperation with every line of business unit and business support in improving Bank performance through good governance, risk management and internal control through IAD role as Partner. 4. Continue to review the policies and procedures applicable in the IAD to keep them updated and in accordance with applicable professional standards. 5. Create an IAD Awareness Letter to encourage the creation of a culture of control. 6. To realize its work plan, IAD will continue to improve the competence of auditors, development of methodology, and optimization of audit tool and its usage. 7. Implement Internal Controller checking pattern with 2018 Working Paper with audit pattern approach. Annual Report 2017
354. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis EXTERNAL PUBLIC / AUDIT ACCOUNTANTS Kav 52-53 Jakarta External Audit Function The External Auditor has a function to audit Bank’s Financial Statements, establish and express opinions on the fairness of the Bank’s Financial Report and test internal controls, including re-examination of items tested by the Internal Audit and observations of procedures performed by the Internal Audit. Appointment of KAP has been referred to the regulations in force and selected through the stages of the selection process with limited tender based on the fulfillment of the criteria: 1. Has the experience asbank auditor 2. Understands banking regulations in Indonesia, the company enters public and other relevant regulations. 3. Has the experience and understands the application system and banking technology. 4. Understands the banking product. 5. Has the experience and is well-informed about risk management. Appointment of Public Accountant in 2017 In accordance with the resolution of the Annual General Meeting of Shareholders dated 2 March 2017, BNI Syariah based on a decision letter of PT. Bank Negara Indonesia (Persero) Tbk to the Board of Commissioners appointed KAP Purwantono, Suherman and Surja-Enrst and Young (PSS-EY). In accordance with the General Meeting of Shareholders which authorizes the majority shareholder to assign Public Accounting Firm that will audit Company’s Financial Statements ended on 31 December 2017. This appointment is made after observing the results of the KAP evaluation conducted by management and recommendations by the Audit Committee. Another internal provision referenced is not appointing the same KAP for the audit period of 5 (five) years in a row and or equals to 3 (three) consecutive fiscal years. BNI Syariah applies the professional principles in determining Independent Auditor i.e.: 1. Professional responsibility; 2. Public interest (public); 3. Integrity; 4. Objectivity; 5. Competence and professional prudence; 6. Confidentiality; 7. Professional Conduct; 8. Technical standards. Public Accountant Public Accountant Firm Publik KAP Purwantono, Suherman & Surja (Ernst & Young Global) Gedung Bursa Efek Indonesia Tower 2 lt. 7 Jl. Jendral Sudirman Year Public Accountant Firm Cost Scope of Work 2017 EY Rp349.450.105 RK Audit + Renew and Validative 2016 EY Rp349.450.105 RK Audit + Renew and Validative 2015 PWC Rp373.943.398 RK Audit + Renew and Validative 2014 PWC Rp610.087.500 RK Audit + Renew and Validative 2013 PWC Rp525.937.500 RK Audit + Renew and Validative Hasanah Banking Partner 354 Annual Report 2017
355. Human Capital Good Corporate Governance Corporate Social Responsibility conduct monitoring . Monitoring aims to ensure that the management has carried out improvement on weaknesses found by external auditors in the internal control. In the inspection performed by external auditors, Internal Auditors act as a liaison officer to coordinate the audit to ensure it is performed smoothly as well as to monitor the follow-up actions to audit results. External Auditors (KAP) deliver Audit plans with audit methodology and sample of audit that will be used to Internal Auditors at the beginning of the assignment before field audit is conducted at the time of an audit is performed, discussions on audit progress and findings as well as matters considered as important by both parties including findings related to internal control are held periodically. External Auditors deliver the results of audit to the Audit Committee in a joint meeting with Internal Auditors and related Directors. Prior to meeting with the Audit Committee, the meeting materials are discussed with Internal Auditors and related working units. Through such coordination, it is expected to achieve a comprehensive and optimal audit results. Other Services Provided by Accountant In the period of 2016, Public Accountant and Public Accountant Office of BNI Syariah did not provide other services, except Audit of Financial Statements in fiscal year 2016 (fee NONE). Coordination with External Auditors & Internal Auditors In audit implementation, BNI Syariah always works to improve communication with KAP (External Auditors). Accounting Unit is responsible for coordinating the External Auditor’s activities, assisted by Internal Auditors. The Audit Committee and its Internal Auditors constantly supervise the audit conducted by KAP. Through such coordination, it is expected to achieve a comprehensive and optimal audit results. Examination on the accuracy of financial and operational data of BNI Syariah is also done by external auditors, namely Bank Indonesia (BI) and the Public Accounting Office (KAP). In the follow-up activities concerning the findings of external auditors, related units will Hasanah Banking Partner Attachment 355 Annual Report 2017
356. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis RISK MANAGEMENT MAQASHID SYARIAH OF RISK MANAGEMENT Means of risk management has been implemented ever since the prophet of Joseph as reflected in surah Yusuf verse 67 that reads : “And Ya’qub said, “O my sons, do not enter from one gate but enter from different gates; and I cannot avail you against [the decree of] Allah at all. The decision is only for Allah; upon Him I have relied, and upon Him let those who would rely [indeed] rely.” The verse shows how to manage risk. Based on the verse in the risk management point of view, Islam supports all efforts to eliminate or minimize risks, and also to show that only God’s decision that will determine the outcome. The description indicates that risks cannot be avoided, but they can be minimized to prevent significant risks, and that management needs to be performed in any activities of human life. Management processes will minimize the potential for risks to occur. In addition to the above verse, QS. Yusuf verse 46 – 49 also explains the importance of preparing a risk management process. (46). (After the waitress met Joseph, she exclaimed): “Joseph, O man of truth, explain to us about seven fat cows eaten by seven [that were] lean, and seven green spikes [of grain] and others [that were] dry – that I may return to the people; perhaps they will know [about you].” (47). [Joseph] said, “You will plant for seven years consecutively; and what you harvest leave in its spikes, except a little from which you will eat. (48). Then will come after that seven difficult [years] which will consume what you saved for them, except a little from which you will store. (49). Then will come after that a year in which the people will be given rain and in which they will press [olives and grapes].” The verses indicate that we should prepare for hard times or lean times. In the verse, it was mentioned that there was a 7-year harvest followed by seven years of famine, should save the crop remains in the grain as a backup when a drought arrived. It is proved that we must prepare for what will occur in the future. Hasanah Banking Partner 356 Annual Report 2017
357. Human Capital Good Corporate Governance Corporate Social Responsibility An Overview of Risk Management System in BNI Syariah BNI Syariah continues to strive to improve the effectiveness of risk management , considering the development of banking in Indonesia that has been growing rapidly along with increased risk exposure in order to maximize value added to shareholders and capital management in a comprehensive manner as well as to ensure sustainable profitability and business growth and to anticipate losses arising from banking operational activities. Focus of Risk Management in 2017 During 2017, risk management development of BNI Syariah focused on: 1. The making of Risk Appetite Statement and Risk Tolerance approved by the Board of Management and all related units. It is a form of risk management by putting up limitations on risks, especially four main risks (Credit Risk, Market Risk, Liquidity Risk, and Operational Risk) as well as Capital Risk. Additionally, monitoring of the actualization of previously made risk appetite is carried out every month. 2. To perform review of risk management policies, such as General Policy on Risk Management (KUMR), Bank Financing Policy (KPB), and risk management procedure. 3. To improve the process of risk management, through: a. Reviews of range, parameter, and weighting of 10 risks in risk profile performed together with units in charge (Business and Operational Units). b. To conduct stress test on credit risk and Financing Risk Premium (FRP) development. c. To conduct liquidity stress-test every month. d. To update risk issue and call tree of Operational Risk Apparatus (PERISKOP). 4. To coordinate with BNI in doing the quarterly counting for NSFR (Net Stable Funding Ratio) reports that starts in the first quarter of 2017. 5. To develop risk culture through: a. Booklets of Risk Management delivered to all branches of BNI Syariah; b. Risk Management Training for new and existing employees in cooperation with Human Resource Division; c. The writing of Risk Management socialization e-book; d. To organize Risk Management Certification in cooperation with Human Resource Division. 6. 6. In order to control fraud, several actions taken are: a. Outreach activities of Anti Fraud Culture at all branch offices through media such as X-Banners and Anti Fraud Pocket Books; b. Routinely organize Anti Fraud Sharing Sessions at branch offices that cooperate with Policy Governance Working Units; c. To develop Alert System and Monday Reminder mechanism. Hasanah Banking Partner Attachment In maximizing risk management function, BNI Syariah implements an integrated risk management pattern that is by identifying, measuring, monitoring, and controlling risk exposures across all organizational lines. Implementation of BNI Syariah Risk Management refers to the Regulation of Financial Services Authority (OJK) No. 65/POJK.03/2016 dated December 23, 2016 regarding Risk Management Implementation for Syariah General Banks and Syariah Business Units as well as other implementation regulations related to the regulations of Bank Indonesia regulation or OJK. BNI Syariah has been applying the principles of the 4 pillars of Risk Management as instructed by the regulation. BNI Syariah formed a risk management framework as outlined in the policy, procedures, limits of transactions, authority, and other provisions as well as various elements of risk management apparatus, which are applicable in the entire scope of BNI Syariah business activities. In 2017, BNI Syariah focused on risk limitation development at company level (bank wide) set forth in Risk Appetite Statement documents in order to conduct risk control. BNI Syariah Risk Management is performed by an independent unit, i.e. Risk Management Division. The Risk Management Division of BNI Syariah is a function that is independent of business and operational units as well as internal audit working units. However, these three units are interrelated and play an active role in implementing risk management with different powers as the first line, second line, and third line of defense. The concept is applied consistently; thus, it maintains the independence in the decision making process, so as not to take sides, favor certain operational units or ignore other work operational units. 357 Annual Report 2017
358. Performance 2017 Management Report Company Profile Business Supporting Function Risk Management Committee BNI Syariah already has a risk management committee called Risk and Policy Committee (TRC), which consists of the majority members of the board of directors and related executive officers. Organizational Structure of Risk Management Framework and governance of risk management performed by BNI Syariah consists of the Board of Commissioners that exercises the function of risk oversight through the Risk Oversight Committee and Audit Committee The Board of Directors is responsible for BNI Syariah risk management activities, defining the strategic direction, risk appetite, and relevant frameworks. In performing its risk policy function, the Board of Directors is assisted by committees under it, namely Policy and Risk Committee as well as Asset and Liabilities Committee. At operational level, the Risk Management Unit together with the business units, internal auditors, and compliance working unit perform the function of risk identification, risk assessment, risk mitigation, and risk control. The Board of Management assisted by Risk and Policy Committee (TRC) as the highest committee in BNI Syariah Risk Management System. TRC is non-structural and independent of the operational working units. TRC is directly responsible to the President Director in formulating policies, enhancing policy implementation, and setting limits and authority. TRC meeting is conducted incidentally, but it is held at least once in three months. One of the authorities and responsibilities of TRC is to provide recommendations to the Board of Management related to the following matters: 1. Formulation of policies, strategies as well as risk management implementation and guidelines; 2. Strengthening or improvement of risk management implementation; 3. Determination (justification) of matters related to business decisions that are not in accordance with normal procedures (irregularities); 4. Determination of policies and management of financing risk to create a quality portfolio of healthy and profitable Financing. Risk Monitoring Committee Risk Monitoring Committee is responsible for providing recommendations to the Board of Commissioners by conducting an evaluation of the general policy of risk management, evaluating the consistency of Bank’s risk management policy guidelines with its implementation, and monitoring as well as evaluating risk management performed by Risk Management Division (ERD). In carrying out its duties and responsibilities, the risk monitoring committee monitors holds regular meetings with Risk Management Division (ERD) and discusses current issues, risk profile, Bank Soundness, risk management implementation at BNI Syariah, and matters related to risk management. Hasanah Banking Partner Management Discussion and Analysis Working Unit of Risk Management BNI Syariah already has a risk management working unit called Risk Management Division (ERD). The organizational structure of Risk Management Division (ERD) is in accordance with the Decree of the Board of Directors No. ORG/15/VII/2017 dated August 29, 2017. Following is the organizational structure of ERD: 358 Annual Report 2017
359. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Risk Management Organizational Structure Director of Compliance & Risk Head of Risk Management Division Management of Credit Risk Management of Market Risk, Operational Risk, and others 8. Support Risk & Policy Committee to prepare proposals of strategies and policies of the Bank’s risk management and be independent and free from elements of business activities directly; 9. Supporting Risk & Policy Committee on the implementation of risk management, among others through the implementation of integrated risk control system as well as establishment of limits of exposure and risk; 10. Prepare and submit individual reports of profile/ composition of risk, integrated reports of risk profile, Risk-Based Bank Soundness (TKBRBBR) and the Report of the Capital Adequacy Under Risk Profile regularly to the President Director or Director of Risk and Compliance as well as Risk & Policy Committee that are to be submitted to the regulator, BNI, and the Board of Commissioners; 11. Create and monitor risk limits for each business unit; 12. Validate Standard Operating Procedure that will be published by BNI Syariah. The Risk Management Division (ERD) is led by a division head who is directly responsible to the Director of Risk and Compliance. Under the division head are Credit Risk management, Market Risk management, Operational and other Risks management as well as management of Risk and Anti Fraud Integration. Risk Management Division is independent of operational working units (risk-taking units) and working units performing the function of internal control. It can be seen from the organizational structure of risk management that is supervised by the Director of Risk and Compliance. The following are the authority and responsibilities of Risk Management Working Unit: 1. Monitor the implementation of risk management strategy approved by the Board of Directors; 2. Monitor overall risk position (composite), per risk and / or per type of functional activity and perform stress testing; 3. Conduct periodical review of risk management process; 4. Evaluate the proposed activity and / or new products; 5. Provide recommendations to operational working units (risk-taking units) and / or to the Risk & Policy Committee according to the authority possessed; 6. Evaluate the independence and effectiveness of the Bank’s risk management infrastructure on a regular basis; 7. Oversight function aims to ensure that the risks and Bank’s portfolio have been managed well, among others through establishing risk parameters and limits; Hasanah Banking Partner Management of Risk & Anti Fraud Integration Risk Appetite Statement In 2017, BNI Syariah develop Risk Appetite Statement (RAS) as a form of risk control on major risks faced by BNI Syariah; Risk Appetite is the level and type of risks that are willing to be taken by the Bank in order to achieve its objectives. Risk Appetite is defined in line with the process of business planning and annual strategy to ensure the consistency between strategy, development, operational plans, capital, and risks. The risk appetite development went through a lengthy process; it was initiated by Risk Management Working Unit and intensive discussions 359 Annual Report 2017
360. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis or whenever business changes occur , it is in accordance with POJK No. 65/POJK.03/2016 dated December 23, 2016 regarding Risk Management Implementation for Syariah General Banks and Syariah Business Units, especially risk management implementation of the second pillar. took place with related units until it was approved by the Board of Management. Risk appetite is drawn up in a document of Risk Appetite Statement signed by the Board of Management. The document then became the guidelines of existing limitations in BNI Syariah. Specific to Risk Appetite Statement monitoring, the Risk Management Working Unit compiled a monthly report containing the realization of Risk Appetite Statement in that month. Risk Management Process The goal of a proper risk management process is to manage risks inherent in company activities with the objective to add maximum value continuously to the whole activity. The process of risk management is described as follows: BNI Syariah has 33 RAS matrices consisting of Credit Risk, Market Risk, Liquidity Risk, Operational Risk, and capital. The range of risk appetite is reviewed once a year Identification Risk Management Information System Assessment Control Monitoring 2. Risk Assessment BNI Syariah assesses risks periodically in order to be able to evaluate risk management implementation adequacy and effectiveness. Risk assessment can be performed through the determination of risk rating, risk scoring, stress testing, and risk profile assessment using methodologies referring to existing regulator regulations, internal regulations, and practices. Periodically, BNI Syariah reviews the methodologies used in risk assessment as well as the consistency of limits defined with risk appetite determined by BNI Syariah, changes of business environment, market condition, and regulator’s regulations. 1. Risk Identification BNI Syariah facilitates identification to determine the types of material risks in every functional and operational activity that has exposure to risks. One of the activities performed by the Bank in identifying risks is risk analysis of every new product and activity to be introduced. Risk identification can also be done through risk profile assessment by referring to methodology standards required by regulators. To date, there are 10 (ten) main risks managed by BNI Syariah, namely: Credit Risk, Market Risk, Liquidity Risk, Operational Risk, Legal Risk, Strategic Risk, Compliance Risk, Reputation Risk, Risk of Returns, and Investment Risk. Hasanah Banking Partner 360 Annual Report 2017
361. Human Capital Good Corporate Governance Corporate Social Responsibility Operational Risk expenses , financing traffic light, and other reports. Those reports can be a source of reference for making business decisions. 3. Risk Monitoring Risk monitoring aims to evaluate exposure to risks continuously and to improve the reporting process whenever changes occur. Risk Management Culture For effective and efficient Risk Management implementation, risk culture is required, so that values and perceptions of management and employees towards risks are in line as well as it serves as the cohesive power that can unite all human resources to achieve the goals set. In the event of maintenance and improvement of risk management culture, the management and employees of BNI Syariah shall: 1. Maintain credibility of the company through sound business practices, uphold trust given by customers, shareholders, and community; 2. Work based on prudent principle and sharia principles; 3. Act in accordance with corporate culture and Code of Conduct of BNI Syariah’s personnel; 4. Uphold the principles of corporate secrets and position secrets; 5. Develop compliance culture and anti-fraud culture; 6. Carry out activities and business based on the vision and mission of BNI Syariah as well as refer to the business plan that has been set; 7. Refer to the risks of BNI Syariah in accordance with prevailing regulations, in order to support the creation of optimal business performance so that good corporate reputation is established; 8. Uphold responsible transparency in accordance with GCG practice. 9. Be sensible to the environment and responsive to the needs of all stakeholders. Results of risk monitoring can be used as one of materials in business decisions making, analyzing the next risk management strategy and necessary remedies. The process of risk monitoring at BNI Syariah is supported by a sound reporting system. Available information system should at least include reports or information on the following: a. A whole risk exposure that encompasses each of types of risks and activities; b. Compliance with policies, procedures, and approved limit establishment; c. Realization of risk management implementation in comparison with defined goals and objectives. 4. Risk Control Risk control aims to reduce risk to a manageable level. Additionally, risk control must be imposed for preventive measures and it should be able to detect weaknesses or deviation as well as to point out solution needed. Risk control is conducted periodically for each type of risks faced by BNI Syariah. One of risk control or mitigation strategies implemented is to set the risk limits, which is the main mechanism of BNI Syariah to control every activity of risk taking. The limitation will be periodically monitored and adjusted to business changes, economic condition, and regulator’s regulations. In addition to the implementation of preventive measures, BNI Syariah also has a contingency plan to ensure its operations will be still running in the worst condition possible. Risk culture implementation has been carried out and implemented by the management and all employees of BNI Syariah to create effective and efficient risk management. Human Resources Development in Risk Management An important role in managing risks is to improve the competency of employees. One of the keys to successful implementation of risk management function is risk awareness. BNI Syariah always socializes risk management to create awareness to all working units and employees. 5. Risk Management Information System One of the information contained in BNI Syariah’s Risk Management Information System is reports related to risk exposure as results of risk monitoring activities; BNI Syariah already has a risk management information system that produces reports of risk profile, riskbased bank rating, minimum capital in accordance with risk profile, Risk Appetite Statement monitoring, Hasanah Banking Partner Attachment 361 Annual Report 2017
362. Performance 2017 Management Report Company Profile Business Supporting Function For the creation of adequate human resources and to comply with the regulator ’s provisions, BNI Syariah engages employees to take certification exam in risk management. Risk Management Certification is the process of testing competency in Risk Management. The obligation of Risk Management Certification for BNI Syariah employees still refers to Bank Indonesia Regulation for assets above IDR10 trillion. A number of methods have been taken by BNI Syariah to increase risk awareness, namely by conducting risk management workshops and training sessions from analyst level to Top Management, by in-house or in collaboration with other service providers. LEVEL Management Discussion and Analysis Total Employees Required to Have RMC Total Employees Already Have RMC % Level 1 864 676 78% Level 2 437 346 79% Level 3 196 152 78% Level 4 23 20 87% Level 5 5 12 240% TOTAL 1525 1206 79,08% The number of employees who were obliged to take Risk Management Certification until December 31, 2017 was as many as 1,525 employees or 13.64% higher than 2016. The increase was as result of employee rotation and promotion for positions that require Risk Management Certification in 2017. BNI Syariah continues to develop the achievement of Risk Management Certification as a form of the risk culture at BNI Syariah. Position Training Head of Risk Management Division Manager of Risk & Anti Fraud Integration Manager of Credit Risk SKMR Competence Development Program Additionally, in order to raise employees’ awareness, especially for new employees, BNI Syariah has developed risk culture by providing understanding through organized training sessions in cooperation with Human Resource Division. Topic Hasanah Leadership Forum (Leadership Training and 4 DX) Ruang Rapat Ar Rahman Performance Coaching Training Park Lane Hotel Sharing Session Spiritual Leadership Ruang Rapat Ar Rahman Seminar of Islamic Risk Management Turki Training of Enhancement Risk Assessment of BM & RH Financing Hotel Gran Melia Seminar of Indonesia’s Risk Management Outlook 2018 Hotel Fairmont Senayan Jakarta Training of Risk Management Level 3 Batch 5 Park Hotel Cawang Risk Management Exam Level 3 Batch 5 Hotel Casa Amarosa Risk Management Certification Exam Level 4 Batch 5 Menara IBI Training of Risk Management Certification Level 3 Batch 1 Hotel Haris Tebet Risk Management Certification Exam Level 3 Batch 1 Hotel Cosmo Amarosa Refreshment Program for Executives International Islamic Risk Management Fairmont Hotel Training of Leadership for Talent Batch 3 Hotel Harris Tebet Refreshment Training of Risk Management Competence Batch 2 Hotel Harris Tebet Refreshment Training of Risk Management Competence Batch 2 Hotel Harris Tebet Hasanah Banking Partner 362 Annual Report 2017
363. Human Capital Good Corporate Governance Position Corporate Social Responsibility Attachment Training Topic Manager of Market Risk , Operational Risk, and others Refreshment Training of Risk Management Competence Batch 2 Hotel Harris Tebet Refreshment Training of Risk Management Competence Batch 2 Hotel Harris Tebet Analyst of Market Risk, Operational Risk, and others Training of Risk Management Level 3 Batch 3 Hotel Harris Tebet Risk Management Certification Exam Level 3 Batch 3 Hotel Cosmo Ammarosa Analyst of Credit Risk Training of Risk Management Certification Level 1 Batch 1 Hotel Sofyan Tebet Risk Management Certification Exam Level 1 Batch 1 Hotel Veranda Training of Risk Management Level 2 Batch 4 Hotel Dafam Teraskita Cawang Risk Management Certification Exam Level 2 Batch 4 Hotel Veranda Seminar on Corruption Prevention and Countermeasures Hotel Mercure Kota Training of Implementation of Prudential Principles in Banking Business Hotel Eastparc Yogyakarta Training of Risk Management Certification Level 2 Batch 3 Hotel Ibis Cawang Risk Management Certification Competence Exam Level 2 Batch 3 Hotel Veranda Analyst of Risk & Anti Fraud Integration Hasanah Banking Partner 363 Annual Report 2017
364. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis The Number of Risk Management Employees By the end of 2017 , the number of Risk Management Division employees was 10 (ten) people. Profile of Risk Management Division Head Name Position Nationality Place/Date of Birth Domicile Education Work Experience Concurrent Positions Training in 2017 Appointment Affiliation Relationship Wahsi Prasodjo Executing Officer of Head of Risk Management Division (ERD) Indonesia Banjarbaru, 13 October 1971 (47 years old) Jakarta • Master of Management, Universitas Gadjah Mada 2006 • Agronomy, Universitas Gadjah Mada 1995 • Executing Officer of Head of Risk Management Division (ERD) November 2017 – current • Head of Surabaya Dharmawangsa Branch, January 2016 – November 2017 • Head of Yogyakarta Branch, January 2013 – December 2015 • Head of Padang Branch, September 2011 – December 2012 • Head of Balikpapan Branch, June 2009 – September 2011 • Manager of Special Financing, April 2006 – June 2009 • Supervisor at Pekalongan Sharia Branch, 2000-2004 • Credit Analyst at BNI Manado, 1996-2000 None • Risk Management Certification Level 3 • Risk Management Certification Level 4 • Seminar of Indonesia’s Risk Management Outlook 2018 Decree of Board of Directors of PT Bank BNI Syariah No. KP/050/DIR/R dated 30 October 2017 Not having affiliation relationship with members of Board of Commissioners, Board of Directors, and Controlling Shareholders. No. 35/SEOJK.03/2015 dated December 21, 2015, and SEOJK No. 13/SEOJK.03/2015 dated April 27, 2015. Implementation of Bassel II and Bassel III In order to strengthen the functions of risk management, BNI Syariah has implemented Bassel II through 3 (three) pillars. In the implementation of Bassel II, BNI Syariah utilized Standardized Approach methods to count Credit’s risk-based balanced asset (ATMR) and Market’s riskbased balanced asset (ATMR) as well as Basic Indicator Approach (BIA) to assess operational risks. This is in accordance with OJK’s provisions stated in SE OJK No. 34/SEOJK.03/2015 dated September 28, 2016, SEOJK Hasanah Banking Partner As for the ATMR counting method using IRB Foundation and Advanced IRB Foundation approach for credit risk is in the stage of data collection to support the long-term implementation of this method. For Market Risk, BNI Syariah has carried out Internal Value at Risk method in its internal reports to the management for daily and monthly market risk monitoring. As for Operational Risk, 364 Annual Report 2017
365. Human Capital Good Corporate Governance Corporate Social Responsibility is the assessment of risks inherent to Bank ’s business activities both quantifiable or not, potentially affecting the financial position of the Bank, while the assessment of risk management implementation quality reflects an assessment of the adequacy of risk control system that covers all pillars of risk management implementation of the bank according to the principles. the Standardized Approach and Advanced Measurement Approach to be used is in the stage of database development and collection. BNI Syariah has applied Pillar 2 of Bassel II through the implementation of Banks Profile Risk Assessment, Risk-Based Bank Rating Assessment (TKB-RBBR), and Mandatory Minimum Capital Requirement Assessment according to Risk Profile. While Pillar 3 of Bassel II is applied through the implementation of risk management disclosure via Annual Reports. Combination of the assessment of inherent risk and quality of risk management implementation produces composite risk per risk. Furthermore, the composite risk per risk is given weighting again to later produce the composite risk of BNI Syariah. In line with the initiatives of Bassel III by OJK (Financial Services Authority) on capital and liquidity management requirements, BNI Syariah has compiled LCR (Liquidity Coverage Ratio) report as one of consolidated reports with BNI in order to fulfill the regulators’ requirements and to be used as an indicator of Company liquidity risk in performing business. Risk profile assessment has become important, considering the risk profile assessment affects the bank’s risk-based rating (TKB RBBR) and minimum capital requirement based on the risk profile. The higher the risk profile assessment, the higher the bank’s risk-based rating and the higher the minimum capital requirement to be met by BNI Syariah. BNI Syariah has assessed the risk profile on a quarterly basis, submitted to the Financial Services Authority (OJK), PT Bank Negara Indonesia (Persero) Tbk on consolidated basis and the Board of Commissioners. Based on the Regulation of the Financial Services Authority No.8/POJK.03/2014 dated June 11, 2014 on Assessment of the Rating of Syariah General Banks and Syariah Business Units, BNI Syariah calculates and reports 10 types of risks, namely credit risk, market risk, liquidity risk, operational risk, legal risk, strategic risk, reputation risk, compliance risk, rate of return risk, and investment risk. Risk Management Development Plan In order to improve the quality of risk management implementation, BNI Syariah seeks, among others, to strengthen the Risk Management Information System including development of information systems owned by BNI Syariah particularly development of the application of risk profile organization for inherent risks and quality of risk management implementation. In 2017, risk culture and anti-fraud culture will be developed for all levels of organization in BNI Syariah through specific programs which can develop risk culture of employees. Risk Profile Risk profile assessment is an assessment of inherent risk and quality of risk management implementation in the operational activities of the Bank. Where inherent risk No Type of Risks Attachment The assessment results of Risk Profile of BNI Syariah as of December 2017 were as follows: BNI Syariah Risk Profile Assessment of December 2017 Weight Inherent Risk Quality of Risk Management Implementation Composite Risk Score 1 Loan 27,50% Low to Moderate Satisfactory 2 (Low to Moderate) 2 Market 10,00% Low Satisfactory 1 (Low) 3 Liquidity 10,00% Low Satisfactory 1 (Low) 4 Operations 15,00% Low to Moderate Satisfactory 2 (Low to Moderate) 5 Legal 5,00% Low Satisfactory 1 (Low) 6 Strategic 10,00% Low to Moderate Satisfactory 2 (Low to Moderate) 7 Compliance 5,00% Low Satisfactory 1 (Low) Hasanah Banking Partner 365 Annual Report 2017
366. Performance 2017 No Management Report Type of Risks Company Profile Business Supporting Function Management Discussion and Analysis BNI Syariah Risk Profile Assessment of December 2017 Weight Inherent Risk Quality of Risk Management Implementation Composite Risk Score 8 Reputation 5 ,00% Low Satisfactory 1 (Low) 9 Returns 7,50% Low to Moderate Satisfactory 2 (Low to Moderate) 10 Investment 5,00% Moderate Satisfactory 2 (Low to Moderate) 3. Liquidity Risk Liquidity Risk is the risk due to inability of Financial Conglomerate to meet its maturing obligations from cash flow funding sources and/or high-quality liquid assets that can be pledged, without disrupting activities and financial condition of the financial conglomerate. 4. Operational Risk Operational Risk is the risk due to the inadequacy and/ or malfunction of internal processes, human error, system failures and/or presence of external events affecting operations of Financial Conglomerate. 5. Legal Risk Legal Risk is the risk due to litigation and/or weaknesses of judicial aspect. 6. Reputation Risk Reputation Risk is the risk due to reduced level of confidence of stakeholders, which comes from negative perception of LJK in Financial Conglomerate and towards Financial Conglomerate and to overall Financial Conglomerate. 7. Strategic Risk Strategic Risk is the risk due to inaccuracies in making and/or implementing strategic decisions as well as failure to anticipate changes in business environment. 8. Compliance Risk Compliance Risk is the risk due to the Bank does not comply with and/or implement prevailing laws and regulations, as well as Syariah Principles. 9. Intra-Group Transaction Risk Intra-Group Transaction Risk is the risk due to reliance of an entity either directly or indirectly to other entities in a Financial Conglomerate in order to fulfill the written obligations or unwritten agreements followed by transfer of funds and/or not followed by transfer of funds. Implementation of Integrated Risk Management Following up POJK No.17/POJK.03/2014 dated 18 November 2014 on Integrated Risk Management Implementation for Financial Conglomerate mentioned above, BNI Syariah is one of financial service institutions in the financial conglomerate of BNI together with other subsidiaries (BNI Life, BNI Multifinance, BNI Securities, and BNI Asset Management) and BNI as the main entity. In February 2015, BNI conducted Risk Management Committee (RMC) meeting with the following results: 1. Appoint PT Bank Negara Indonesia (Persero) Tbk as the Main Entity. 2. Financial conglomerate of BNI includes BNI, BNI Multifinance, BNI Securities, BNI Life, BNI Syariah, BNI Asset Management. 3. Assign ERM Division of PT Bank Negara Indonesia (Persero) Tbk as Integrated Risk Management Working Unit (SKMRT) and appoint Director of Compliance & Risk of PT Bank Negara Indonesia (Persero) Tbk as Director in charge of Integrated Risk Management functions. 4. Form Integrated Risk Management Committee (KMRT). Integrated Risk types managed by BNI Syariahh BNI Syariah manages 9 of the 10 risks that must be managed by Financial Conglomerate, namely: 1. Credit Risk Credit Risk is the risk due to failure of customer and/ or other parties in meeting obligations to the Financial Conglomerate. In this case, Credit Risk managed by BNI Syariah also covers Investment Risk. 2. Market Risk Market Risk is the risk due to movements of market variables (adverse movement) of portfolio owned by financial conglomerate. In this case, Market Risk managed by BNI Syariah also covers Rate of Return Risk. Hasanah Banking Partner 366 Annual Report 2017
367. Human Capital Good Corporate Governance Corporate Social Responsibility BNI Syariah has no insurance business line , so that BNI Syariah does not manage Insurance Risk. risks presented each semester to BNI as the main entity. During 2017, BNI Syariah has submitted the integrated risk profile report for 2 times, namely for the period of June 2017 and the period of December 2017, with the titles as follows: Integrated Risk Profile Report Integrated risk profile report of BNI Syariah consists of 9 Periode Inherent Risk Attachment Implementation Quality of Risk Management Composite Risk June 2017 Low to Moderate Satisfactory 2 (Low to Moderate) December 2017 Low to Moderate Satisfactory 2 (Low to Moderate) In general, the integrated risk profile report of BNI Financial Conglomerate for period of June 2017 and December 2017 is categorized as “Low to Moderate”. Hasanah Banking Partner 367 Annual Report 2017
368. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis INTERNAL CONTROL SYSTEM As regulated in POJK No . 18/POJK.03/2016 on Risk Management Implementation for General Banks and POJK No. 65/POJK.03/2016 on Risk Management Implementation for Syariah General Banks and Syariah Business Units. OJK also issued provisions in SE OJK No. 35/SEOJK.03/2017 on Standard Guidelines of Internal Control System for General Banks that mandate every general Bank to formulate Internal Control System Guidelines that consist of at least 5 (five) main elements, which are: 1. Supervision by the Management and control culture; 2. Identification and risk assessment; 3. Control activities and function differentiation; 4. Accounting, information, and communication system; 5. Monitoring activities and solutions to deviations/ weaknesses; Implementation of sustainable Good Corporate Governance and prudent principle in the organization and management of the Bank strengthened with the commitment of BNI Syariah to improve work ethics and integrity as well as creating a culture that emphasizes the importance of reliable and effective Internal Control System (SPI) implementation. Effective implementation of Internal Control Systems assists the Bank in maintaining assets, ensuring availability of accurate information and reporting, increasing the Bank’s compliance with prevailing laws and regulations, as well as reducing risk of loss, fraud, and violation of the prudent principle. Internal Control System Complexity of business of the bank is increasing in line with the development of information technology, globalization and integration of financial markets which give huge impact on the risk exposure faced by the bank so that necessary measures are required to mitigate the risks of banking operations. BNI Syariah has mitigated the risks of business activities by various internal control measures both preventive and curative in order to be able to detect weaknesses and deviations that occur in a timely manner. Hasanah Banking Partner In general, internal control system in BNI Syariah is described as follows: 368 Annual Report 2017
369. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment WBS SSB Audit Committee Traffic Light Anti-Fraud Unit IAD Line Management Daily Control Special Working Unit Control Officer Weekly Control Monthly Control Quarterly Control Yearly Control Surprise Control SOP ante ) and curative (ex-post) measures are taken to detect weaknesses and deviations occur in a timely manner. Referring to the framework, the implementation of internal control system of BNI Syariah are: 1. Active supervision of the Board of Commissioners and Board of Directors. 2. Inherent and tiered supervision in every business process. 3. Application of four eyes principle or committee in the process of financing decisions. 4. Whistleblowing System Implementation (WBS) and active communication at every level of management. 5. Monitoring of follow-up of internal and external audit results reported periodically. Preventive internal control is implemented in compliance with various prevailing banking rules to reduce or minimize risk of banking operations. Departments/divisions related to the preventive internal control are Business Unit as risk owner and Line of Management, Compliance Desk (CD) as well as Internal Audit Division and other support units. Curative internal control is the responsibility of Internal Audit Division which leads Internal Auditor and Internal Controller at Branch Office, together with the business and operation units. The internal control system of BNI Syariah applies risk mitigation measures on its business activities to deal with increasing complexity of bank’s business activities in line with the development of information technology, globalization, and integration of financial markets which give huge impact on the risk exposure faced by the bank. Internal control measures in the form of preventive (ex- Hasanah Banking Partner In determining the position, authority, responsibility, professionalism, organization and scope of duties of Internal Audit Division, the Bank refers to the regulations of Bank Indonesia regarding Compliance Director and Internal Audit Standards (SPFAIB) as well as other relevant provisions. The internal control system must ensure: 369 Annual Report 2017
370. Performance 2017 Management Report Company Profile Business Supporting Function units have implemented risk management policies and governance process and reported any deviations against the policies and procedures in the annual audits . The Audit Committee as an organ of the Board of Commissioners has duty and responsibility to monitor as well as evaluate the planning and implementation of internal audit, as well as to monitor the follow-up results of the audit in order to assess the adequacy of internal control. 1. Compliance with applicable laws and regulations as well as policies or internal regulations of the Bank; 2. Availability of accurate, appropriate, and timely financial and management information; 3. Effectiveness and efficiency of operations; and 4. Effectiveness of risk culture on the Bank’s organization as a whole, the reference in order to implement comprehensive internal control system effectively, BNI Syariah refers to the provisions of Bank Indonesia and best practices in banking industry, especially sharia banking. Broadly speaking, the system also refers to the international framework published by the Committee of Sponsoring Organizations (COSO) of the Treadway Commission. Evaluation on the Effectiveness of Internal Control In accordance with the results of audit/review of the operational activities of BNI Syariah and other audit, it is concluded that the internal control of BNI Syariah in general, is adequate, effective and efficient. Some improvements have been made to overcome the disadvantages as described in the audit report conducted by the Internal Audit Division during 2017. References In order to implement a comprehensive internal control system effectively, BNI Syariah refers to the regulations of Bank Indonesia and best practices in banking industry, especially Sharia banking. Broadly speaking, this system also refers to international framework issued by the Committee of Sponsoring Organizations (COSO) of the Treadway Commission. Evaluation of the effectiveness of internal control Management is responsible for the implementation of reliable and effective Internal Control System and is obliged to promote effective risk culture and must ensure that it has been embedded at every level of the organization. Internal Audit is responsible to evaluate and take an active role in improving the effectiveness of the Internal Control System on an ongoing basis with regard to performance of the Bank’s operations in achieving the Bank’s targets. Referring to this framework, the implementation of internal control system of BNI Syariah is: 1. Active supervision of the Board of Commissioners and Board of Directors. 2. Inherent and tiered supervision in every business process. 3. Application of four eyes principle or committee in the process of financing decisions. 4. Whistleblowing System Implementation (WBS) and active communication at every level of management. 5. Monitoring of the follow-up of internal and external audit results which are reported periodically. Internal Audit conducts periodical reviews and inspections of all activities in the Work Unit. The evaluation results submitted to management for follow up and their implementations are monitored to ensure the Internal Control System is carried out effectively. In order to strengthen the Internal Control System, in particular to control fraud, BNI Syariah implements comprehensive and integrative anti-fraud strategy as part of the strategic policy. Implementation of Internal Control Implementation of Internal Control and Internal Audit function of internal control of BNI Syariah is performed by Internal Audit Division and Audit Committee. The role of Internal Audit Division is responsible for ensuring all Hasanah Banking Partner Management Discussion and Analysis 370 Annual Report 2017
371. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment COMPLIANCE FUNCTION Compliance Function is a series of preventive actions or measures to ensure that policies , systems and procedures, as well as business activities conducted by BNI Syariah have complied with provisions of Financial Services Authority, Bank Indonesia and prevailing laws and regulatiosn, including Sharia principles, as well as to ensure the Bank’s compliance with commitments made by BNI Syariah to Bank Indonesia and/or other Supervisory Authorities. In accordance with POJK No. 46/ POJK.03/2017 dated 12 January on the Implementation of Compliance Function of Commercial Bank, PT Bank BNI Syariah which is directly responsible to the Director in charge of compliance function in this case the Director of Risk and Compliance. The Risk and Compliance Director has duties and responsibilities as follows: 1. Formulate strategy to encourage the creation of a Culture of Compliance; 2. Propose compliance policies or principles to be determined by the Board of Directors; 3. Establish compliance system and procedures that will be used to prepare rules and internal guidelines of the Bank; 4. Ensure that all policies, regulations, systems and procedures, as well as business activities conducted by the Bank are in accordance with provisions of the regulator (Financial Services Authority) and the prevailing laws, including Sharia Principles; 5. Minimize Bank’s Compliance Risk; 6. Take preventive measures to ensure that policies and/or decisions taken by the Board of Directors do not deviate from the provisions of the regulator (Financial Services Authority) and the applicable legislation; 7. Report to the regulator in this case the Financial Services Authority every semester with a copy to the Board of Commissioners and the President Director; 8. Conduct compliance reporting to the President Director with a copy to the Board of Commissioners at least every quarter; and 9. Perform other tasks related to the Compliance Function. Independence of Compliance Unit Implementation of Compliance Function refers to the Regulation of Financial Authority Regulation No. 46/ POJK.03/2017 on the Implementation of Compliance Function of Commercial Banks. BNI Syariah’s Compliance function is performed by the Director in charge of Compliance function and Compliance Unit. The Director in charge of Compliance Function and Compliance Unit has met the independence requirements and criteria established by the prevailing laws and regulations. Compliance Working Guidelines In performing its duties, the Compliance Unit has been equipped with working guidelines called the Compliance Charter which has been applicable and approved since 16 September 2015. Compliance Charter is a written document containing guiding principles in mechanisms and risk management and compliance functions at BNI Syariah which are applicable to the Board of Commissioners, Board of Directors, management and staff at all BNI Syariah divisions/units and all branch offices of BNI Syariah. Compliance Charter is the basis of the Compliance Desk in carrying out compliance functions at BNI Syariah. The purpose of the Compliance Charter establishment is to comply with the code of ethics and professionalism in conducting business activities and full compliance with Financial Services Authority’s regulations and the prevailing laws, including Sharia principles, as well as ensuring compliance of the Bank towards the commitments made by the Bank to the Financial Services Authority and/or other supervisory authorities. The basic policies of Compliance Charter include: 1. Compliance function 2. Establishment of Compliance Unit 3. Duties and responsibilities of the Board of Commissioners, Board of Directors, Risk & Compliance Director, Compliance Desk as well as Management and Staff of BNI Syariah 4. Independence and Duties of Compliance Desk 5. Relations of Compliance Desk with related units and agencies Compliance Unit Compliance Unit is an independent unit directly responsible to the Risk & Compliance Director and assists the execution of the Risk & Compliance Director’s duties in carrying out the compliance function in BNI Syariah. Hasanah Banking Partner 371 Annual Report 2017
372. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis Organizational Structure of Compliance Executive Manager Compliance Division Head Chairman of Board of Directors Clerk Junior Manager Manager Senior Manager Manager Coordinator Network Financing & Product Compliance Manager Financing & Product Compliance Officer Non Financing & Product Compliance Officer Regulatory & Sharia Compliance Manager Regulatory Compliance Officer Financing & Product Compliance Assistant Sharia Compliance Officer Regulatory & Sharia Compliance Assistant APU PPT Manager APU PPT Officer APU PPT Officer Number of Compliance Workers By the end of 2017, there were 13 Compliance Division Officers. Director of Compliance and Risk In accordance with the Regulation of the Financial Services Authority No. 46/POJK.03/2017 on the Implementation of Compliance Function of Commercial Bank, a Compliance Desk of PT Bank BNI Syariah was formed and directly responsible to the Director who supervise the compliance function of the Compliance and Risk Director. The Compliance and Risk Director has the following duties and responsibilities: 1. Formulating strategies to encourage the creation of a Bank Compliance Culture; 2. Proposing compliance policies or principles to be determined by the Board of Directors; 3. Establishing compliance systems and procedures that will be used to develop Bank’s internal rules and guidelines; 4. Ensuring that all policies, provisions, systems, procedures and business activities conducted by Bank are in compliance with the provisions of the regulator (Financial Services Authority) and the applicable Laws and Regulations, including the Sharia Principles; 5. Minimizing Bank Compliance Risk; 6. Taking precautions so that policies and/or decisions taken by the Board of Directors do not deviate from the provisions of the regulator (Financial Services Authority) and the applicable Laws and Regulations; 7. Reporting to the regulator in this case the Financial Services Authority every semester with a copy to the Board of Commissioners and President Director; Hasanah Banking Partner 372 Annual Report 2017
373. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment 9 . Performing other tasks related to the Compliance Function. 8. Reporting the compliance to the President Director with a copy to the Board of Commissioners at least every quarter; and Profile of Compliance Function Head Name Finorita Fauzi Position Head of Compliance Division Nationality Indonesia Place/Date of Birth Padang, 26 August 1968 (49 years old) Domicile Jakarta Education Bachelor of Agriculture, Universitas Andalas Master of Management, Universitas Airlangga Concurrent Positions None Training in 2017 - Appointment - Affiliation Relationship Not having affiliation relationship with members of Board of Commissioners, Board of Directors, and Controlling Shareholders 5. Making efforts to ensure that Bank’s policies, regulations, systems and procedures, as well as business activities are in accordance with the provisions of the regulator (Financial Services Authority) and the applicable laws and regulations; 6. Taking preventive measures to ensure that policies and/or decisions taken by the Board of Directors do not deviate from the provisions of the regulator (Financial Services Authority) and applicable laws and regulations; 7. Performing compliance reporting duty to the President Director through the Director in charge of compliance with a copy to the Board of Commissioners; and 8. Performing other tasks related to Compliance Function. Duties and Responsibilities of the Compliance Function Compliance Function based on the Regulation of the Financial Services Authority No. 46/POJK.03/2017 on the Implementation of Compliance Function of the Commnercial Bank, has duties and responsibilities as follows: 1. Preparing measures in order to support the creation of Compliance Culture in all bank’s business activities at every level of the organization; 2. Performing identification, measurement, monitoring, and control of Compliance Risk with reference to the Financial Services Authority regulations on the Implementation of Risk Management for Commercial Sharia Banks; 3. Assessing and evaluating the effectiveness, adequacy and appropriateness of policies, regulations, systems and procedures of the Bank with the prevailing laws and regulations; 4. Conducting review and/or giving recommendation to the update and improvement of the policies, regulations, systems and procedures possessed wned by the Bank to comply with the provisions of the regulator (Financial Services Authority) and the prevailing laws, including Sharia principles; Hasanah Banking Partner 373 Annual Report 2017
374. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis Implementation of Compliance Function Below is the table of compliance activities during 2017 : No Compliance Activities/Programs Tahun 2017 1 Training of Compliance Function Implementation 2 Validation of Internal Regulations 11 Trainings 153 SOPs 3 Compliance Opinion 11 Opinion 4 Compliance Messages 5 Dissemination of External Regulations 11 Opinion 34 regulations 6 Checklist of Financing Compliance Test (CUK) 53 CUK 7 Checklist of Financing Line Compliance Test (CUK) 26 CUK 8 Checklist of Compliance Test (CUK) of procurement of goods & services in which the authority is decided by the Board of Directors 9 CUK 9 Checklist of Compliance Test (CUK) of opening/relocating office network 10 Opinion of Sharia Supervisory Board a. Made monthly monitoring of bank inherent compliance risks related to financing aspect, liquidity aspect, and other operational aspects with regard to the apllicable laws and regulations. b. Monitored reporting obligation by maintaining accuracy and timeliness of reporting related to regulatory authorities and other interested parties in accordance with the applicable regulations. c. Conducted Compliance Testing using checklist sheet in the process of financing, procurement of goods and services and placement under the authority of the Board of Directors, opening of office network and product licensing. d. Disseminated new provisions to all divisions/ desks/units/branches of BNI Syariah, both provisions of Financial Services Authority as well as legislation of other supervisory authorities with follow up in form of updating related policies and procedures. e. Cooperated with Risk Management Unit of BNI Syariah to monitor and ensure availability, adequacy and updating of internal regulations which become the reference in each unit of the Organization. f. Monitored Compliance Risk through Risk Profile Report submitted on quarterly basis by the Company Risk Management and Procedure Division to be reported to the relevant supervisory authority. Below is an explanation of the table of compliance activities above: 1. Compliance Culture All Employees of BNI Syariah are responsible to realize the implementation of the Compliance Culture. In 2017, BNI Syariah Compliance Unit held: a. Implementation of compliance function training aimed at strengthening the compliance culture in BNI Syariah. b. In order to foster a culture of compliance toward external regulations, Compliance Desk disseminated new provisions related to the operational activities of Bank BNI Syariah directly or indirectly. During 2016, 76 (seventy-six) provisions of laws and regulations and fatwa of the National Sharia Board disseminated to all related divisions/desks/units as well as to all branches of BNI Syariah. 2. Compliance Risk Monitoring Compliance risk arises when the bank does not comply with or implement the Financial Services Authority regulations, and other applicable laws and regulations, and sharia principles. To prevent such non-compliance, BNI Syariah Compliance Desk conducted a series of programs/mitigation in the form of activities which include: Hasanah Banking Partner 28 CUK 36 Opinion 374 Annual Report 2017
375. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Below is the compliance risk profile (inherent) during 2017 period: Period Quarter I Quarter II Quarter III Quarter IV Risk Score 1,00 1,00 1,10 1,33 Description Low Low Low Low In accordance with the above table, the profile of compliance risk of BNI Syariah during 2017 was in “low” category. d. 28 (twenty-eight) Compliance Testing Checklist of opening/removal of office network e. 36 (thirty-six) opinions of sharia compliance. 3. Monitoring Bank’s prudent principle This activity is carried out to ensure BNI Syariah’s compliance to the policy of prudent principle laid down by the Financial Services Authority and other regulatory authorities. During the period of 2017, the Compliance Desk conducted the following: a. 53 (fifty-three) Compliance Testing Checklist of financing proposal b. 27 (twenty-seven) Compliance Testing Checklist of placement of funds (financing line) c. 9 (nine) Compliance Testing Checklist of procurement of goods and services decided by the Board of Directors’ authority. 4. Monitoring Bank’s commitment to the Authority This activity was carried out to ensure compliance of BNI Syariah towards fulfillment of commitment to supervisory authority. Based on the audit results of the Financial Services Authority in 2016, there were a number of BNI Syariah’s commitments to the Financial Services Authority, which must be met in 2017 in accordance with the deadline for compliance. No Description Total Findings Below is the table of information on fulfillment of BNI Syariah commitment to the Financial Services Authority for December 2017: Total Settlement Already Due Not Yet Due Settlement of Due Commitment 1 OJK 2016 123 91 0 32 100% 2 OJK 2017 159 138 1 20 99,28% 6. Evaluation on Effectiveness of Compliance Function Assessment on governance process aims to assess effectiveness of compliance function implementation process which is supported by adequacy of structures and infrastructures of Bank’s governance so as to produce outcomes that meet the expectations of stakeholders. Source of evaluation on the effectiveness of compliance function, among others, evaluation made by the Board of Commissioners and to be followed up according to the appropriate directives. In addition, results of internal evaluation of Human Capital Division or Internal Audit Division, particularly those related to organizational structure and improvement of competency or human resources, become the fous in developing the Compliance Desk organizational development in maximizing the effectiveness of compliance function implementation. 5. Improvement of System, Infrastructure and Policy Compliance In ensuring the implementation of the compliance function in BNI Syariah, the Compliance Desk constantly prepares and evaluates compliance tools used by business units and operational. During 2017 checklist sheet was prepared and/or revised which was used to test compliance towards financing as well as non-financing. The Compliance Desk also made compliance test to against each draft of policies and procedures in accordance with the prevailing laws and regulations. During 2017, there were 153 (one hundred and fifty-three) opinions submitted on the draft of policies and procedures. Hasanah Banking Partner 375 Annual Report 2017
376. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis Compliance Risk Mitigation Compliance risk arises when bank does not comply with or perform the obligations set forth by applicable laws and regulations . To prevent any potential non-compliance risks, BNI Syariah’s Compliance Desk has conducted a series of programs/activities intended to mitigate the emergence of non-compliance by conducting, among others, monthly monitoring on inherent bank’s compliance risks (inherent risk) related to: of Status and Follow-up of Bank Supervision). In accordance with the NPV data above, during 2017 BNI Syariah has always maintained the level of nonperforming financing under 5% (five percent). 2. Allowance for Earning Asset Quality formation (PPAP) meets the minimum requirement of 100% (one hundred percent) in accordance withh the Regulation of the FSA No.16/POJK.03/2014 on the Assessment of Asset Quality for Commercial Sharia Bank and Sharia Business Unit. 3. Legal Lending Limit for related parties under 10% (ten percent) and third parties (individual) under 20% (twenty percent) as well as third parties (Group) 25% in accordance with Bank Indonesia Regulation No.8/13/PBI/2006 on Amendment to Bank Indonesia Regulation No.7/3/PBI/2005 on Legal Lending Limit for Commercial Banks. During 2015 there was no violation or LLL overrun. Financing Aspect 1. Quality of Earning Asset contained in the category of Non-Performing Financing (NPF) based on prevailing provision is set below 5% (five percent) in order not to be included in the category of Bank under intensive supervision (in accordance with the Regulation of the FSA No. 15/POJK.03/2017 on the determination Liquidity aspect 1. Minimum Capital Adequacy Ratio (CAR) of BNI Syariah met the minimum requirement of 9% (nine percent) to less than 10% in which the bank has a risk profile on rank 2 in accordance with POJK No.21/POJK.03/2014 concerning Minimum Capital Requirement for Commercial Banks. 7. Quality Improvement Efforts on Bank Compliance Function In the process of quality human resources (HR) development of the Compliance Desk to carry out tasks effectively, performed through process of developing human resources competency and quality with the principle of sustainable human development (continuous improvement). Hasanah Banking Partner 376 Annual Report 2017
377. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment KPMM BNIS 22 .00% 20.00% 18.00% 16.00% 14.00% 12.00% 10.00% 8.00% Dec-16 Jan-17 Feb-17 Mar-17 Apr-17 May-17 Jun-17 Jul-17 Aug-17 Sep-17 Oct-17 Nov-17 Dec-17 CAR BNIS 14.70% 14.68% 14.39% 14.44% 14.59% 14.45% 14.33% 14.49% 14.69% 14.90% 14.84% 14.75% 19.84% 2. Minimum Statutory Reserves (GWM) in Rupiah of 5% (five percent) and minimum Foreign Currency of 1% (one percent) in accordance with Bank Indonesia Regulation No.15/16/PBI/2013 regarding Minimum Statutory Reserves in Rupiah and Foreign Exchange Currency for Commercial Sharia Bank and Sharia Business Unit. While the minimum requirement for FDR was 80% (eighty percent). GWM RUPIAH BNIS 7.40% 6.90% GWM 6.40% 5.90% 5.40% 4.90% Dec-16 Jan-17 Feb-17 Mar-17 Apr-17 May-17 Jun-17 Jul-17 Aug-17 Sep-17 Oct-17 Nov-17 Dec-17 PDN BNIS 5.19% 5.05% 5.05% 5.05% 5.12% 5.12% 5.20% 5.05% 5.05% 5.06% 5.05% 5.10% 7.21% Remark: GWM Minimum is 6% due to FDR value is below 80% (November 2017) Hasanah Banking Partner 377 Annual Report 2017
378. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis GWM VALAS BNIS 2 .00% 1.80% 1.60% 1.40% 1.20% GWM 1.00% 0.80% 0.60% 0.40% 0.20% 0.00% Dec-16 Jan-17 Feb-17 Mar-17 Apr-17 May-17 Jun-17 Jul-17 Aug-17 Sep-17 Oct-17 Nov-17 Dec-17 GWM VALAS BNIS 1.46% 1.42% 1.42% 1.23% 1.17% 1.43% 1.43% 1.49% 1.87% 1.88% 1.87% 1.87% 1.45% FDR BNIS 86.00% 84.00% 82.00% 80.00% 78.00% 76.00% 74.00% 72.00% 70.00% Dec-16 Jan-17 Feb-17 Mar-17 Apr-17 May-17 Jun-17 Jul-17 Aug-17 Sep-17 Oct-17 Nov-17 Dec-17 FDR BNIS 84.57% 82.32% 82.32% 82.32% 83.41% 84.24% 84.44% 83.10% 83.01% 81.40% 80.99% 78.84% 80.13% Market Aspect Net Open Position (NOP) based on the prevailing provision is maximum 20% (twenty percent) in accordance with Bank Indonesia Regulation Number 12/10/PBI/2010 regarding Third Amendment of Bank Indonesia Regulation No.5/13/ PBI/2003 regarding Net Open Position for Commercial Banks. Hasanah Banking Partner 378 Annual Report 2017
379. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment PDN BNIS 25 .00% 20.00% 15.00% 10.00% 5.00% 0.00% Dec-16 Jan-17 Feb-17 Mar-17 Apr-17 May-17 Jun-17 Jul-17 Aug-17 Sep-17 Oct-17 Nov-17 Dec-17 PDN BNIS 0.28% 1.46% 1.14% 1.84% 2.36% 1.90% 2.24% 1.58% 1.01% 1.42% 1.46% 3.54% 3.10% to the new provisions. 4. Cooperate with Risk Management Unit of BNI Syariah to monitor and ensure availability, adequacy and updating of internal regulations which become the reference in each unit of the Organization. Other aspects 1. Monitor the reporting obligation by maintaining the quality of reporting and meeting the completeness of materials, accuracy and timely reporting, among others related to the Regulator (Financial Services Authority) and the Financial Transaction Analysis and Reporting Center (PPATK) and published reports. 2. Conduct Compliance Testing using checklist sheet in the process of financing, procurement of goods and services and placement under the authority of the Board of Directors, opening of office network and product licensing. 3. Disseminate new provisions to all divisions/desks/ units/branches of BNI Syariah, both provisions of Financial Services Authority as well as legislation of other supervisory authorities with follow up in form of updating Standard Operational Procedures related Development of Compliance Competence Function In order for the Compliance Division to carry out its duties and responsibilities properly, the Compliance Division employees follow a number of competency development programs, either conducted in the internal of BNI Syariah or by third parties. In 2017, the competency development program followed by the employees of the Compliance Division is as follows: Trainings Attended by Compliance Work Unit No. Training Material Time of Implementation Total Participants Description 1 Training of BSMR Level II 1 Compliance Division Staff 10-12 January 2017 Organized by BNI Syariah internal 2 Training of Assistant Development Program 1 Compliance Division Staff January 2017 Organized by BNI Syariah internal 3 Training of BSMR Level IV 1 Compliance Division Staff 28 February 2017 and 1,2,4 March 2017 Organized by BNI Syariah internal 4 Training of BSMR Level I 1 Compliance Division Staff 21-25 March 2017 Organized by BNI Syariah internal 5 Training of BSMR Level III 1 Compliance Division Staff 13-15 March 2017 Organized by BNI Syariah internal 6 Upgrading Sharia Banking Product 1 Compliance Division Staff 7 - June 2017 Organized by External Iqtishad Consulting Hasanah Banking Partner 379 Annual Report 2017
380. Performance 2017 No . Management Report Company Profile Training Material Business Supporting Function Management Discussion and Analysis Time of Implementation Total Participants Description 7 Executive Workshop Islamic Spiritually For Effective Leadership 1 Compliance Division Staff 16 June 2017 Organized by External LPPI 8 Training of Sharia General Insurance Products by ASEI 1 Compliance Division Staff 21 July 2017 Organized by External ASEI 9 Training of Sharia General Insurance Products by ASKRIDA Syariah 1 Compliance Division Staff 12 September 2017 Organized by External ASKRIDA Syariah 10 Tax Training 1 Compliance Division Staff 19-20 October 2017 Organized by BNI Syariah internal 11 Training of Subsidiary Compliance Subsidiary 11-12 December 2017 Organized by BNI Syariah Compliance Division regulations on financing. e. strengthening the understanding of sharia principles. 2. Managing compliance risks by analyzing new regulations and compiling the effects of the new regulations so that each unit/officer can understand them. 3. Implementing the compliance index (CIX), a measurement of the value indicating the level of branch office compliance measured based on predefined parameters and criteria of fraud, negligence, external sanction and pending findings. The 2018 Compliance Work Plan To improve the implementation of the compliance function by 2018, Compliance Function strategies to encourage the creation of a culture of compliance are as follows: 1. Building a culture of compliance through: a. training and awareness program “compliance awareness”. b. Dissemination of new provisions/regulations. c. Submission of compliance messages once in a month. d. Conducting an active evaluation of the internal Hasanah Banking Partner 380 Annual Report 2017
381. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment IMPLEMENTATION OF ANTI MONEY LAUNDERING PROGRAM AND COUNTER-TERRORIST FINANCING (AML AND CTF) UNDER THE RBA e. Prepare, review, and update the written policies and procedures related to AML and CTF; f. Identify, verify, analyze, and mitigate matters related to suspicious financial transactions and cash finance transactions and coordinate their handling with related divisions/units and/or report them to the regulators/authorities (PPATK); g. Improve the identification system of LTKM, LTKT, LTKL, and SIPESAT (STR, CTR, IFTI and SIPJT); and h. Monitor the updating of customer profiles and transactions, including customer identification and monitoring using a RBA-based approach. The complexity of banking products and services, including marketing (multi-channel marketing), will encourage the increasing use of information technology in the banking industry, thus raising the risk on banking sector to be used as a means of money laundering and / or financing of terrorism. Therefore, it needs to be balanced with the quality improvement of AML and CTF in accordance with RiskBased Approach (RBA) whereby bank has the obligation to apply prudential principles. In accordance with the Law on Prevention and Eradication of Money Laundering Crime No. 8 of 2010, Law on the Prevention and Eradication ofTerrorism Financing No. 9 of 2013, POJK No. 12/POJK.01/2017 and SEOJK No. 38/SEOJK.01/2017 and some regulations of the Head of PPATK, BNI Syariah implements AML and CTF programs based on Risk-Based Approach (RBA) through: In addition to the above, Self Assessment is also prepared to deal with MER (Mutual Evaluation Review), implementation of single CIF client development and screening of customer database listed in UN-Sanction list, OFAC list, Terrorist Terror List and Terrorist Organization (DTTOT ) and List of Proliferation of Weapons of Mass Destruction Funding. 1. Active Supervision of the Board of Directors and Board of Commissioners. The Board of Directors and the Board of Commissioners active role is essential to create effective implementation of the AML and CTF Program. The active supervisory forms of the Board of Directors and Board of Commissioners are: a. Approval of the Board of Directors on the appointment of the Compliance Division as a work unit responsible for the implementation of the Anti-Money Laundering and CounterTerrorism Financing Program; b. Approving AML and CTF Policy; c. Monthly, quarterly and semester reports on the reporting and implementation obligations of AML and CTF programs; and d. Approval of the data update plan and realiasation report. 2. Policies and Procedures. The Compliance Division conducts periodic review and/or updating of the Policy and Procedures for the Application of AML and CTF Program based on Risk-Based Approach (RBA) in accordance with the prevailing regulations. These procedures regulate: a. Customer Due Diligence Procedure (CDD); b. Enhanced Due Diligence Procedure (EDD); c. Closing Procedures for Business Relations and Rejection of Transactions; d. The updating of Politically Exposed Person (PEP) data contained in the Risk Based Approach (RBA) application; Hasanah Banking Partner 3. Internal Control. Optimizing the role of Branch Internal Control (BIC) officers in branch offices to minimize the potential risks for onsite monitoring and offsite monitoring to identify any possibility of customer transaction patterns. 4. Management Information System. In order to optimize the implementation of AML and CTF program based on Risk-Based Approach (RBA), the applications and infrastructure to support bank’s business activities are currently built. 5. HR and Training. To minimize the potential risks of AML and CTF on prospective employees, we undertake the process of identifying, verifying, and monitoring the profiles of prospective employees and/or employees and strengthening value and integrity by establishing employee code of ethics as a culture. 381 Annual Report 2017
382. Performance 2017 Management Report Company Profile Business Supporting Function Training to all employees on a regular basis through several methods : 1. Interactive face-to-face (in-house training); 2. Conference call; 3. Site visit of branch office; 4. Refreshment training; 5. Employee competency test. Management Discussion and Analysis ORGANIZATIONAL STRUCTURE As a form of implementation of the provisions of POJK AML and CTF, BNI Syariah has established a Special Work Unit and appointed Officials responsible for the implementation of APU and PPT program in the Head Office, in this case BNI Syariah Special Work Unit handling AML and CTF Program Implementation is the AML and CTF Unit, as shown in the following organizational structures: Director of Compliance & Risk Compliance Division Special Working Unit of Branch Office All Branch Offices APU & PPT APU & PPT Manager APU & PPT Officer APU &PPT Assistant b. Revised procedures for the implementation of the AMl and CTF in accordance with the regulatory requirements to provide guidance for the relevant work units; c. Followed up the external requests including PPATK, KPK, BNN, Police, FSA, and other external parties in the form of information/data, blocking, unblocking, transaction delays and suspension of transactions; d. Monitored data updating and splitting process of CIF customers; e. Conducted training/dissemination of AML and CTF Programs implementation to all employees, including refreshment training/dissemintation for officers directly related to the customers, among others: REALIZATION OF AML & CTF PROGRAMS IN 2017 BNI Syariah has committed to fully implement the Laws and Regulations on the implementation of applicable AML and CTF Programs, and seeks to participate in preventing, detecting, and reporting to the authorities, in relation to the implementation of AML and CTF programs. Activities related to the implementation of AML and CTF programs implemented during 2017 were as follows: a. Conducted the process of improving IT infrastructure that supports the implementation of AML and CTF programs, among others, to develop the AML and CTF reporting application system, and watchlist management dan transaksi Walk in Customer (WIC) identification system; Hasanah Banking Partner 382 Annual Report 2017
383. Human Capital Good Corporate Governance Corporate Social Responsibility g . Dissemination Branch Sharing Session to all branches; h. Implemented reporting obligations to PPATK in the form of Laporan Transaksi Keuangan Mencurigakan (LTKM), Laporan Transaksi Keuangan Tunai (LTKT), Laporan Transaksi Keuangan Transfer Dana Dari dan Ke Luar Negeri (LTKL), and Laporan Sistem Informasi Pengguna Jasa Terpadu (SIPESAT), with the following amount : • Assistant Development Program (ADP) Training; • Officer Development Program (ODP) Training; • Sub Branch Manager Training; • Service Supervisor Certification Training; • Frontliner Unit Training. f. Implemented the supervision of AML and CTF Programs implementation at Branch Offices; Type of Report Financial Transaction Reports and Analysis Center Corruption Eradication Commission Attachment Total Reports Suspicious Financial Transaction Reports 109 Cash Financial Transaction Reports 11.875 Transfer of Funds From and To Overseas Financial Transaction Reports 65.950 Integrated Services User Information System Reports 413.068 Request of Customer's Information 142 i. Provided customer data to regulators and law enforcement officials in accordance with the prevailing laws. AML & CFT Program in 2018 a. Development of AML & CFT application system; b. Development of watch list management identification system; c. Formulation of Self Assessment to face MER (Mutual Evaluation Review); d. Development of single Customer Identification File (CIF); e. Update Politically Exposed Person (PEP) data contained in the Risk Based Approach (RBA) application; Hasanah Banking Partner f. Training/socialization of AML and CFT Program implementation to new employees and/or refreshment frontliners; g. Implementation of customer’s database Screening to Sanction List and Terrorist List; h. Branch Sharing Session (BSS) Program to all branches on a regular basis; and i. Supervise the implementation of AML and CFT Program to 8 (eight) Branches. 383 Annual Report 2017
384. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis TRANSPARENCY OF FINANCIAL AND NONFINANCIAL CONDITION 2 . BNI Syariah’s customers’ complaint may be filed by contacting call center 1500046, or through BNI Syariah branch/head office as well as Whistle Blowing System (WBS) mechanism. Regarding the customers’ complaints submitted through both the call center 1500046 or BNI Syariah’s Branch/Head Office will be managed by Operational Division, while customers’ complaints received through WBS will be managed by Company Risk Management Division to be later followed up referring to Customers’ Complaints procedure and mechanism. 3. BNI Syariah internal reporting adequacy compliance has already complied with several criteria implemented by Bank Indonesia. BNI Syariah holds comprehensive internal reporting supported by reliable Management Information System. 4. Administration of BNI Syariah Management Information System has been supported by competent human resources. In order to meet the transparency of financial and nonfinancial conditions in accordance with the provisions of Bank Indonesia, BNI Syariah provides quantitative and qualitative information in timely, accurate, relevant and proper manner which is disclosed to the public in order. The financial and non-financial statements of BNI Syariah have been prepared and presented with appropriate procedures, type, and scope; and they have been submitted to other parties as stipulated by Bank Indonesia. During 2016, the financial transparency of BNI Syariah was implemented in the following form of activities: 1. Formulated and disclosed financial report in timely manner, which was contained in quarterly publication report to Financial Services Authority (OJK) and annual report. 2. Disclosed Quarterly Financial Statement Publication in national newspaper. 3. Delivered Consolidated Financial Statements (CFS) to Financial Services Authority to be later uploaded to Financial Services Authority’s homepage. Meanwhile, the transparency of non-financial condition is actualized by BNI Syariah in the following form of activities: 1. Implementation of BNI Syariah’s product information disclosure through printed media such as leaflets/ brochures/promotional banners and electronic media such as advertisement on TV Station, Radio and Internet as well as supported by BNI Syariah’s easily accessed website Hasanah Banking Partner 384 Annual Report 2017
385. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment CODE OF CONDUCT Implementation and establishment of BNI Syariah ’s Code of Conduct are continuously done with full awareness in form of behaviors, actions, commitments, and conditions, by following efforts: 1. Compliance Statement on BNI Syariah Code of Conduct. In order to implement effective Code of Conduct, all lines of BNI Syariah must read, and well understand as well as are obliged to sign “Guidance Book and Behaviors of BNI Syariah Personnels”, Code of Conduct and company’s culture. 2. Commitment from Management and All Employees. Commitment from management and all employees of BNI Syariah for not receiving gratification money and/or materials and/or gifts related to their duty or jobs. This commitment is published through company’s website. 3. Annual Disclosure of Conflict of Interest All lines of employees must make annual disclosure related to conflict of interest every year, and each business unit is mandated to deliver transaction/decision reports that contain conflict of interest every quarter, aligned with derivative policy from BNI Syariah Code of Conduct in form of BNI Syariah Conflict of Interest Management Guideline. 4. Integrity Pact. Integrity Pact was signed by authorized personnel and all partners of BNI Syariah that are related to credit granting processes, goods and services procurement, and partners’ accreditation. Additionally, there is Annual Integrity Pact signing done by the Board of Commissioners, Board of Directors, Executive Officers of BNI Syariah and all BNI Syariah employees in order to implement Gratification control. 5. Awareness Program New employees of BNI Syariah will be provided induction program of BNI Syariah Code of Conduct through BNI Syariah’s educational jump start program, as well as continuous and consistent policy socialization. Moreover, there is also socialization to all business units in BNI Syariah related to Code of Conduct such as anti-fraud strategy, Compliance culture, and service culture. . The code of ethics is a code of conduct of the Bank in performing daily tasks and official duties as well as in conducting business relationships with customers, partners, and colleagues. The basic rule contained in the Code of Conduct is one of the Bank’s commitments to the principles of Good Corporate Governance (GCG), which has supported the Bank to achieve the predetermined vision and mission. Based on the decision of the Board of Directors Number BNISy/DIR/403, dated December 23, 2010, BNI Syariah has the Code of Conduct and Corporate Culture applicable as business ethics and work ethics of the Company. The Code of Conduct and Corporate Culture of BNI Syariah apply to all personnel of BNI Syariah, namely the Board of Commissioners, Board of Directors as well as employees of BNI Syariah. Code of Conduct Socialization Code of Conduct has been communicated and socialized to the Board of Commissioners and its supporting organs, Directors and Directors minus one as well as whole employees through: 1. Company’s website; 2. Administrator’s emails that are sent to all company’s employees; 3. During the signing of cooperation agreement signing between Company’s labor union and management; 4. Standing banners, Pocket Books, Posters, fliers, and other advertising media in Company’s office space. Implementation and Establishment of Code of Conduct Employees can report their suspicions of violations of Code of Conduct implementation to supervisors, through Whistle Blowing System (WBS) mechanism. All those reports must be completed with data and/or valid evidences so that the violation can be proceeded further. Each violation of Code of Conduct will be charged according to the prevailing regulations. Throughout 2017 complaints of Code of Conduct violations were documented in an integrated manner in WBS mechanism. Hasanah Banking Partner 385 Annual Report 2017
386. Performance 2017 Management Report Company Profile Business Supporting Function 3 . Financial Sanction Financial sanction is reimbursement for any financial loss incurred as impact of any disciplinary violation done. Penalty for Code of Conduct Violations BNI Syariah gives strict and consistent sanction for any Code of Conduct violation, if there were violation made by Board of Commissioners and Directors, then violation sanctions refer to Bank’s charter and Shareholders General Meeting decision. While sanctions charged to employees is done according to employment regulations in force. Number of Code of Conduct Violations during 2017 Throughout 2017, the number of violation was 35 (thirtyfive) cases and 150 (one hundred and fifty) sanctions charged, i.e.: Termination of Employment, 25 (twentyfive) cases; Final Warning Letter, 13 (thirteen) cases; Warning Letter, 23 (twenty-three) cases; Development Warning Letter, 46 (forty-six) cases; and Written Warning, 43 (forty-three) cases. Types of Sanctions Types of sanctions for each code of conduct violation are as follows: 1. Administrative sanctions imposed on Mild Category violations: • Verbal Warning; • Written Warning; • Dissatisfaction Statement. 2. Sanctions imposed on Heavy Category violations: • Development Warning Letter/ SP1; • Warning Letter/SP2; • Final Warning Letter/SP3; • Termination of Employment. Hasanah Banking Partner Management Discussion and Analysis 386 Annual Report 2017
387. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment INTEGRITY PACT Each of goods and service procurement organizers in BNI Syariah environment must obey the BNI Syariah Personnel ’s Guidance and Behavior Code of Conduct, i.e.: 1. Run business activities based on syariah principle, comprehensively and consistently; 2. Run business activities that are able to provide benefit and applied universally; 3. Compile data record and reports of BNI Syariah properly; 4. Prohibition on position misuse; 5. Avoid conflict of interest; 6. Do not commit bribery or receive and/or give rewards and souvenirs; 7. Maintain BNI Syariah’s honor; 8. Maintain Bank’s confidentiality; 9. Corporate Identity usage; 10. Competency; 11. Become role model; 12. Fair; 13. Information Disclosure; 14. Maintain good relationship among BNI Syariah personnel; 15. Occupation as speakers; 16. Participation donation in political parties; 17. Maintain security and cleanliness in working environment; 18. Maintain and use BNI Syariah’s assets properly and with full responsibility; 19. Commitment to environment and social environmental care. Hasanah Banking Partner 387 Annual Report 2017
388. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis VIOLATION REPORTING SYSTEM Anti Fraud Strategy (SAF) Fraud is intentional actions of deviation or ignorance in order to deceive, delude, or manipulate BNI Syariah, customers, or other parties, that are occurred in BNI Syariah environment and/or using BNI Syariah facilities that cause loss for BNI Syariah, customers, or other parties and/or the fraud actors to obtain financial benefit directly or indirectly. Fraud occurred in banking sector may cause financial or non-financial loss risks for customers, bank, and other parties. In order to prevent fraud, there is a need for internal control effectiveness as an attempt to minimize fraud risk by implementing anti fraud strategy. This has been in accordance with Bank Indonesia Circular Letter No. 13/28/DPNP dated December 9, 2011 regarding Anti Fraud Strategy (SAF) Implementation. In order to prevent fraud, there is a need for internal control effectiveness as an attempt to minimize fraud risk by implementing anti fraud strategy; this has been in accordance with Bank Indonesia Circular Letter No. 13/28/DPNP of 2011 regarding Anti Fraud Strategy (SAF) Implementation for General Banks. Anti Fraud Strategy is a strategy to control fraud designed by referring to the unfolding process of fraud by taking into consideration characteristics and scope of fraud potential that are arranged in an integral and comprehensive manner; the strategy then being implemented in a form of fraud control system. In performing the function that is instructed in Bank Indonesia Circular Letter, BNI Syariah already has a special unit to carry out the task in implementing anti fraud strategy at company level (bank wide). Legal Foundation 1. POJK No. 46/POJK.03/2017 dated July 12, 2017 regarding General Bank Compliance Function Implementation; 2. POJK No. 65/POJK.03/2016 dated December 23, 2016 regarding Risk Management Implementation for Syariah General Banks and Syariah Business Units; 3. PBI No. 11/33/PBI/2009 dated December 7, 2009 regarding Good Corporate Governance Implementation for Syariah General Banks and Syariah Business Units; 4. SEBI No. 13/ 28 /DPNP, dated December 9, 2011 regarding Anti Fraud Strategy Implementation for General Bank 5. Directors Decree No. KP/DIR/386 dated October 26, 2015 regarding Anti Fraud Strategy Policies. Types of Frauds 1. Corruption; 2. Asset misappropriation; 3. Information Leakage; 4. Banking criminal act. The form of fraud control system that was stated in Anti Fraud Strategy is divided into 4 pillars, i.e.: Prevention Monitoring, Evaluation, Follow Up Detection Investigation, Reporting, Sanctions Hasanah Banking Partner 388 Annual Report 2017
389. Human Capital Good Corporate Governance Corporate Social Responsibility c . Follow up Follow up is aimed to give recommendations to all units to create improvements that are needed to strengthen internal controlling system and prevent recurrent fraud caused by similar weaknesses. 1. Prevention. Fraud prevention strategy is actions in order to prevent violation cases that may harm BNI Syariah, customers, or other parties through: a. Building anti fraud awareness; b. Insecurity identification; c. Know Your Employee. 2. Detection. Steps to identify and find fraud incidence coming from: a. Whistle Blowing System; b. Line Management Supervision; c. Internal Audit Supervision; d. Surveillance System; e. General audit and surprise audit. 3. Investigation, Reporting, and Sanctions a. Investigation is done by collecting related evidences with the suspected event as fraud or other forms of violations. Investigation is an important part in fraud control system that gives message to all related parties that each detected fraud indication will always be processed according to the applied investigation standard and the actor will be processed according to prevailing regulations. b. Reporting. Reporting related to fraud incidence is determined as follows: • Fraud incidence reporting in Branch and Division Offices; • Investigation implementation reporting; • Risk Policy Committee Meeting Mechanism sub Anti Fraud (KKR-AF); • Report of fraudulent activities c. Sanctions. Policies regarding with internal sanctions in order to follow up investigation results are aimed to cause deterrent effect for fraud actors. Policies regarding fraud sanctions are referring to company guidelines on Administrative Sanction regulations. 4. Monitoring, Evaluation, and Follow Up a. Monitoring Fraud handling monitoring activities are started from investigation process until post management. b. Evaluation Data on data fraud activities can be used as supporting tool to conduct evaluation, i.e. by identifying the weakness and cause of fraud as well as doing improvement steps. Hasanah Banking Partner Attachment The Company is committed to prevent fraud and promptly follow up potential for fraud to minimize the impact of financial and non-financial loss, such as negative publicity and the loss of public trust towards BNI Syariah. The Company mandates all members of the Board of Commissioners and Directors, employees, and other parties related to BNI Syariah to play an active role in the effort to improve fraud prevention measures as to make it more effective and establish it as the focus of attention and culture in BNI Syariah. Anti Fraud Awareness In the efforts to prevent operational deviations, especially fraud, awareness of the importance of fraud prevention (anti fraud awareness) needs to be developed. Continuously internalized anti fraud awareness program will foster an anti fraud culture that reflects Good Corporate Governance. The development of anti fraud awareness culture is an obligation, responsibility, and commitment of all BNI Syariah individuals in accordance with each of their roles and functions accompanied by good leadership. Through good leadership supported by intense anti fraud awareness, it is expected that all BNI Syariah individuals will grow concern over fraud control. Anti fraud awareness is expected to avoid fraud practices as well as operational deviations that cause financial losses or damage to BNI Syariah’s reputation as well as the loss of public trust. One of the efforts launched to develop anti fraud awareness is Zero Tolerance to Fraud. Zero Tolerance to Fraud is BNI Syariah management’s commitment that basically cannot tolerate (zero tolerance) fraud practices, develop values and integrity as well as to punish the perpetrator by imposing sanctions. One of the programs carried out to foster anti fraud culture and anti fraud awareness is by providing training to all employees through training programs for new or existing employees, anti fraud socialization via media such as company’s internal emails, emails, posters, handbooks, and banners to remind 389 Annual Report 2017
390. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis employees to prevent fraud internally and externally , to maintain company’s values and high integrity as well as to do every task according to prevailing company regulations in BNI Syariah. It is expected that all BNI Syariah individuals can grow their sense of ownership towards the Company to jointly prevent fraud practices. In order to overcome several weaknesses that result in fraud and to prevent it from reoccurring as a result of similar weaknesses. Monitoring, evaluation, and follow-up are also meant to provide recommendations to all units to make necessary improvements in order to strengthen internal controlling system. Efforts to control fraud also need to be done in human resource aspect through Know Your Employee program. Know Your Employee program is developed so that the Company will be able to know each of its employees as a form of close supervision from superiors to subordinates under their coordination such as on their background, work experience, economic condition, family situation, social relationship, and any other things. It is to ensure the implementation of fraud risk mitigation policies and procedures in every task performed and to minimize opportunity for fraud potential. Several efforts to carry out Know Your Employee program are competencebased recruitment process, people management, effective employee selection as well as knowing and monitoring employees’ characters/behaviors conducted by the management in order to prevent fraud. Whistleblowing System (WBS) It is an implementation on value and working culture of BNI Syariah as well as anti fraud strategy implementation in form of active participation of BNI Syariah personnel and all stakeholders to report violations occurred in BNI Syariah environment in order to implement Good Corporate Governance (GCG) that is done voluntarily through specific and confidential reporting mechanism. In managing WBS, the Management implements 3 (three) principles i.e.: confidentiality, impartiality, and protection. With those 3 (three) pillars, the Management is committed to maintain the confidentiality of Whistleblowers, not differentiate Whistle-blowers, and give protection to Whistle-blowers, such as jobs, physical, remuneration, and compensation and benefit. To ensure that all BNI Syariah personnel and stakeholders know the existence of WBS, BNI Syariah has conducted WBS socialization through poster displays and visual aids in all BNI Syariah branches as well as through social media, Twitter (@BNISyariah) and Facebook (PT Bank BNI Syariah). In maintaining and improving good reputation as well as a form of fraud control in the detection pillar, BNI Syariah promotes employees’ active participation to report violations occurred in the company environment including indications of fraud through Whistle Blowing System, Line Management, Surprise Audit, Surveillance System, external fraud management units (such as APU-PPT) to detect fraud at an early stage. After a fraud is detected in a certain unit, the next step is to conduct investigation to discover the cause of such fraud to happen and to report the case to Financial Services Authority (OJK) and Police if deemed necessary to process the perpetrator as well as to impose severe sanction against the perpetrator, i.e. Termination of Employment. Hasanah Banking Partner WBS Development and Revitalization The existence of WBS is important to detect violations occurred in BNI Syariah and to ease Management efforts in handling them in a timely and effective manner. This is done remembering that fraud may cause financial losses including damage to reputation of BNI Syariah and in order to maintain and protect assets/interest of BNI Syariah. Therefore, all BNI Syariah personnel and stakeholders must concern themselves with the use of WBS as media for violation reporting for everyone’s benefit. 390 Annual Report 2017
391. Human Capital Good Corporate Governance Corporate Social Responsibility Media provided to deliver the report through BNI Syariah WBS includes : Website : https://clean.bnisyariah.co.id atau www.bnisyariah.co.id E-mail : clean@bnisyariah.co.id Telephone/SMS : 085-10044-4600 Mail : Box BSC PT Bank BNI Syariah Gedung Tempo Pavilion I Lt.4 Jl. HR. Rasuna Said Kav 10-11, Jakarta Selatan 12950 Scope of WBS Policy Scope of WBS reporting system policies manages a lot of aspects that cover legal foundation, management units, WBS principles, report delivery media, reporting mechanism, protection for whistle-blowers, report handling, and action to whistle-blowers with defamatiton indication. Whistle Blowing Violation Reporting System Violation Reporting System or also called Whistleblowing System (WBS) of BNI Syariah is a tool to detect violations occurred in BNI Syariah environment. WBS is aimed to increase effectiveness of internal control system implementation by emphasizing complaint revealing. Hasanah Banking Partner Attachment 391 Annual Report 2017
392. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis Mechanism of WBS Reporting Risk Monitoring Committee 7 FSA Related Division 8 Fraud 9 IAD Non Fraud Administrative Sanction Process HCD Board of Directors 5 6 Risk Policy Committee , Sub Anti-Fraud Pre Screening/ Investigasi/Analisa 10 4 Pengelola WBS (unit anti Fraud) 3 1 11 PIN Number 2 WBS https://clean.bnisyariah.co.id, email, telepon/sms, surat Save in Database 12 5. After the pre-screening, WBS manager will provide recommendations to Directors. 6. Approved recommendations will be investigated by related SPI/Division according to SLA. 7. If the investigation results in fraud indication, WBS manager will deliver proposal on fraud/non-fraud determination to the Risk Policy Committee Sub Anti Fraud or Risk Supervisor Committee 8. WBS manager will submit reports on fraud incidence to OJK at the latest 3 working days after it was determined as fraud through KKR-AF for major fraudulent activities, or they can be submitted semiannually. Notes: 1. Report from whistle-blowers through WBS website https://clean.bnisyariah.co.id., email, telephone, SMS, and mail. 2. Reports will be saved in WBS database. 3. Whistle-blowers will receive PIN numbers from the system through email inputted by whistle-blowers. If whistle-blowers report through WBS email, WBS manager will reply to their email to inform PIN numbers. If whistle-blowers report via telephone/ SMS, WBS manager will send SMS informing their PIN numbers. 4. WBS manager will open database and do prescreening. Hasanah Banking Partner 392 Annual Report 2017
393. Human Capital Good Corporate Governance Corporate Social Responsibility someday it is proven that violation reports which were delivered by Whistle-blowers to BNI Syariah is fake /false accusations or have deviated purposes from objectives of WBS Policy. 9. If it is proven to be a non-fraud activity, the report will be followed up by IAD, HCD or related divisions. 10. Administrative Sanction Process by SDI 11. WBS manager conducts WBS Report updating in WBS system/application 12. Whistle-blowers can check the status of their reports using PIN numbers given. Complaint Handling 1. To maintain confidentiality, Whistle-blowers identities and the reports submitted will only be known by BNI Syariah WBS Team. 2. To accelerate follow up process of reported violations, BNI Syariah WBS Team may ask additional information to the Whistle-blowers who fully disclosure their identities. 3. The Whistle-blowers were given the rights to monitor progress status of violations follow-up by logging in the website https://clean.bnisyariah.co.id using the given ticket (PIN). Whistle-blower Protection In principle, it is a right of the Whistle-bowers to feel safe and secure in relation to possible threats/treatments received as results of filing the reports. Forms of protection provided for Whistle-blowers are detailed as follows: 1. Protection can only be given to Whistle-blowers with partial anonymity and full disclosure category. 2. Whistle-blowers can ask protection by via mails/emails. 3. Form of protection for Whistle-blowers is adjusted according to form of threats/treatments received. Protection is given by keeping confidentiality principle and related regulations in BNI Syariah in mind. 4. With specific consideration, BNI Syariah can also give protection to the family of Whistle-blowers. 5. Protection is given to Whistle-blowers and it can be rejected or stopped if there was evidence that Whistle-blowers do not carry out their obligation in terms of maintaining the confidentiality of self identity and their reports. 6. Protection will not be given or will be stopped if 1. 2. 3. 4. 5. Total WBS Report of 2017 In 2017, there were 9 (nine) reports received through BNI Syariah WBS with details as follows: website, 4 reports; email, 3 reports; and telephone/SMS, 2 reports. Compared to the previous year, reports filed through Whistle Blowing System has declined, whereas there were 19 reports received in 2016. Reports being submitted were related to potential fraud. Type of Report No Report Conflict of Interest Unethical behavior Information leakage Bribe/gratification Others* 1 1 1 1 5 9 393 Total Already Followed-Up 1 1 1 1 5 9 *) Customer complaint, employee complaint, etc. Hasanah Banking Partner Attachment Annual Report 2017
394. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis BUY BACK SHARES AND BUY BACK OBLIGATION POLICY Buy back shares or buy-back obligation is an initiative to reduce the number of shares or bonds issued by the Bank by buying back the shares or bonds with payment procedure carried out in accordance with prevailing regulations . During 2017, BNI Syariah did not perform any transaction of buy back shares or buy back obligation. Hasanah Banking Partner 394 Annual Report 2017
395. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment ACCESS TO COMPANY ’S INFORMATION AND DATA 4. Sharia Email Corespondence (SHECO) BNI Syariah uses SHECO for internal communication both branch offices and head office. This email is more formal and with disposition system from superior to staff. 5. Internal Communication Forum BNI Syariah provides an internal communication forum called Hasanah Forum as a means of sharing information by Hasanah personnel. Hasanah Forum is designed as a two-way communication so that one can interact with the other. 6. Annual Report BNI Syariah provides a means of transparent and accountable information through Annual Report that is prepared every year. The Annual Report will be submitted to shareholders, regulators, educational institutions, research institutes, banking organizations/forums, banking associations, mass media, and the public. 7. Sustainability Report In addition, BNI Syariah also provides a means of information about the activities of the company as a whole through the sustainability report, published in conjunction with the Annual Report. Sustainability Report will be submitted to shareholders, regulators, mass organizations, and the public. 8. Company Profile BNI Syariah provides a brief company profile as a medium to introduce BNI Syariah to stakeholders and the public. The Company profile contains the management structure, Human Capitals, performance, product, services, and network of BNI Syariah. 9. Media Engagement Program In order to improve communication and relations with stakeholders, during 2016, BNI Syariah conducted Media Engagement Program activities with various parties with the following description: BNI Syariah provides access to company’s information and data for all stakeholders who regularly update the information as well as grants the stakeholders easy access to information regarding BNI Syariah’s activities and performance in order to know Bank’s condition clearly and openly. BNI Syariah has different channels to disclose information to all stakeholders, namely: 1. Website Comprehensive access to information about the operations and performance of the Company as well as various other information required by shareholders and related parties can be accessed via website http://www.bnisyariah.co.id/. Through this website, stakeholders can find latest up-to-date Company’s information, such as BNI Syariah profile, products, and services, corporate governance information, including financial statements, organizational structure, management team, news updates about BNI Syariah and many others. In an effort to improve the quality of information and the latest news about the Company to the public, BNI Syariah constantly updates the content regularly. 2. Newsletter BNI Syariah provides information to management and all employees regarding the company’s internal activities through the newsletter called “Hasanah Lifestyle”; its contents are contributed by BNI Syariah’s Hasanah personnel, making this newsletter a media from and for Hasanah personnel. 3. Electronic media BNI Syariah utilizes electronic media such as email which is used to disseminate information or communicate such as sending/receiving mails and data by all Hasanah personnel. In addition, BNI Syariah always places its advertisements on television. Hasanah Banking Partner 395 Annual Report 2017
396. Performance 2017 No Month Management Report Company Profile Activities Business Supporting Function Management Discussion and Analysis Media Target Information Delivered 1 February press conference Fellow journalists of sharia economy consisting of reporters and photographers of national print and online media as well as local . 2 February Public Discussion Fellow journalists of sharia economy consisting of reporters and photographers of national print and online media as well as local. Public Discussion themed “Glancing at Wakaf as Potential Instruments for Sharia Economics “ 3 February Talkshow Fellow journalists of sharia economy consisting of reporters and photographers of national print and online media as well as local. Wakaf Hasanah, Innovation of BNI Syariah For Hasanah Lifestyle 4 March press conference Fellow journalists of sharia economy consisting of reporters and photographers of national print and online media as well as local. The latest fatwa of MUI DSN related to sharia banking 5 April press conference Fellow journalists of sharia economy consisting of reporters and photographers of national print and online media as well as local. The launch of BNI Griya Swakarya iB Hasanah product 6 April press conference Fellow journalists of sharia economy consisting of reporters and photographers of national print and online media as well as local. Performance of Quarter I of 2017 7 June press conference Fellow journalists of sharia economy consisting of reporters and photographers of national print and online media as well as local. 7th Anniversary of BNI Syariah 8 June Mudik Bersama Fellow journalists of sharia economy consisting of reporters and photographers of national print and online media as well as local. Going to Hometown Together of BNI and BNI Syariah 9 July press conference Fellow journalists of sharia economy consisting of reporters and photographers of national print and online media as well as local. Signing of cooperation in distribution of financing for the purchase of partner buses of Transjakarta 10 July press conference Fellow journalists of sharia economy consisting of reporters and photographers of national print and online media as well as local. Performance of Quarter II of 2017 11 September press conference Fellow journalists of sharia economy consisting of reporters and photographers of national print and online media as well as local. Qurban Hasanah Nusantara and Customer Day 12 September press conference Fellow journalists of sharia economy consisting of reporters and photographers of national print and online media as well as local. Launching of Personal Hasanah 13 September press conference Fellow journalists of sharia economy consisting of reporters and photographers of national print and online media as well as local. BNI iB Hasanah Card : Official Travel Card for World’s Best Halal Tourism Destination 14 October press conference Fellow journalists of sharia economy consisting of reporters and photographers of national print and online media as well as local. Performance of Quarter III of 2017 Hasanah Banking Partner 396 BNI Syariah Performance of Quarter 4 of 2017 and Inauguration of BNI Syariah Regional Office “Determination to Achieve Hasanah Lifestyle Banking “ Annual Report 2017
397. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment MEDIA COVER No Date Media News Title 1 5 January 2017 www .tribunnews.com Approach Muslim entrepreneurs, BNI Syariah East Java targeted growth of 20% 2 9 February 2017 Kontan Daily Last year, BNI Syariah's Profit Achieved Rp277.3 Bn 3 9 February 2017 Investor Daily BNI Syariah’s Profit increase by 21,38% 4 9 February 2017 www.bisnis.com BNI Syariah inaugurated three regional offices 5 10 February 2017 Pikiran Rakyat Increasing Profit, BNI Syariah added three regional offices 6 27 February 2017 Republika BNI Syariah participates in financing Manado - Bitung toll roads 7 3 March 2017 www.bisnis.com BNI Syariah spread hasanah at BNI Java Jazz Festival 2017 8 4 March 2017 Jawa Pos BNI Syariah Pioneering Griya Swakarya 9 21 March 2017 Republika Online Support halal tourism, BNI Syariah develop Waqf program 10 24 March 2017 Republika BNI Syariah Integrate Waqf with halal tourism 11 26 March 2017 www.sindonews.com BNI Syariah enlivens the Symposium of Sharia Hospital Certification Preparation 12 4 April 2017 www.dream.co.id Wow! This BNI Syariah Award is achieved for 5 years in a row 13 6 April 2017 Republika Online BNI Syariah Focus on Encouraging Financing to Creative Economy 14 10 April 2017 Indopos Able to Maintain the Brand Existence 15 20 April 2017 Kedaulatan Rakyat BNI Syariah Launches Baitullah iB Hasanah for children 16 20 April 2017 www.kompas.com Quarter 1 2017, BNI Syariah Recorded profit of Rp 78 Billion 17 20 April 2017 www.okezone.com BNI Syariah acquired profit for Rp 77.64 billion 18 20 April 2017 www.tempo.co BNI Syariah's assets grew to Rp 29.86 trillion 19 21 April 2017 Harian Neraca BNI Syariah Recorded Profit for Rp 77.6 billion 20 21 April 2017 Bisnis Indonesia BNI Syariah Recorded Profit for Rp 78 billion 21 21 April 2017 Rakyat Merdeka BNI Syariah Net Profit Reaches Rp 77.6 Billion 22 9 May 2017 Republika Online Improve Services, BNI Syariah Pontianak is relocated 23 16 May 2017 www.bisnis.com BNI Syariah work on Griya Swakarya products 24 13 June 2017 www.swa.co.id BNI Syariah Supports Halal Fair Festival in Jakarta 25 17 June 2017 www.metrotvnews.com BNI Syariah Aims At Halal Tourism Development 26 19 June 2017 Republika Financing of Linkage BNI Syariah Pesat 27 19 June 2017 Republika BNI Syariah Launches Hasanah Mobile App 28 19 June 2017 Bisnis Indonesia 7 Magnificent of Hasanah 29 20 June 2017 Investor Daily Indonesia In May, BNI Syariah Financing grew 17% 30 23 June 2017 www.antaranews.com BNI and BNI Syariah hold BNI Digimudik 31 19 July 2017 www.antaranews.com Transjakarta - BNI Syariah cooperates to finance the purchase of buses 32 20 July 2017 Rakyat Merdeka BNI Syariah Facilitates Credit to Purchase Bus of Transjakarta Partners 33 20 July 2017 Harian Nasional BNI Syariah Supports Provision of Decent Transportation 34 29 August 2017 Bisnis Indonesia BNI Syariah Awarded the Indonesian Banking Award 2017 35 11 September 2017 Republika Online BNI Syariah Ready to Develop Halal Tourism in Indonesia 36 25 September 2017 Koran tempo BNI Syariah Presents BNI iB Hasanah card 37 25 September 2017 Republika BNI Syariah - NTB Launches Halal Tourism Card 38 25 September 2017 Bisnis Indonesia Griya Swakarya Enters Bandung 39 3 October 2017 Koran Jakarta Launch Batik Tapcash 40 31 October 2017 www.infobanknews.com BNI Syariah Ready to Support Indonesian Entrepreneurs 41 3 November 2017 Republika Online BNI Syariah Achieves two GCG Awards 2017 42 3 November 2017 www.antaranews.com BNI Syariah Achieves 2 GCG Award 2017 43 21 December 2017 Indopos BNI Syariah Strengthens Synergy 44 27 December 2017 Rakyat Merdeka BNI Syariah cooperates with UNPAM to Serve Banking Facilities Hasanah Banking Partner 397 Annual Report 2017
398. Performance 2017 No Management Report Company Profile Date Business Supporting Function Management Discussion and Analysis Media News Title 45 27 December 2017 Kompas Banking Facilitates Academicians 46 29 December 2017 Harian Neraca BNI Syariah cooperates with ITB 47 30 December 2017 www .bisnis.com BNI Syariah cooperates with the Supreme Court for E-Collection Services PRESS CONFERENCE No Date Title of Press Conference 1 5 January 2017 BNI Syariah Launches Eastern Regional Office 2 17 January 2017 Accelerate Expansion, BNI Syariah Bumi Serpong Damai Relocates 3 8 February 2017 2016 Positive Performance, BNI Syariah Launches Three Regional Offices 4 16 February 2017 Prosper the Society Through Hasanah Waqf 5 17 February 2017 BNI Syariah Appreciates the Prospective Pilgrims 6 20 February 2017 Waqf Supports Sharia Financial Growth 7 21 February 2017 BNI Syariah Supports Creative Economy 8 21 February 2017 BNI Syariah Innovation For Hasanah Lifestyle 9 22 February 2017 BNI Syariah Develops Hasanah Digital 10 23 February 2017 BNI Syariah Achieves Top Brand Award 11 24 February 2017 BNI Syariah Supports Acceleration of Infrastructure Development 12 1 March 2017 Time to Share Hasanah in Blood Donation Activity 13 2 March 2017 BNI Syariah Conducts Annual GMS for 2016 Fiscal Year 14 3 March 2017 BNI Syariah spreads Hasanah at BNI Java Jazz Festival 2017 15 8 March 2017 For Expansion, BNI Syariah - IKAHI Establish Co-Branding Cooperation 16 16 March 2017 BNI Syariah Supports Strengthening Zakat in World Zakat Forum 2017 17 21 March 2017 Encourage the Development of Syariah Finance Industry, BNI Syariah with DSN MUI Socialize the Latest Fatwa 18 24 March 2017 Change of BNI Syariah Management 19 24 March 2017 BNI Syariah Participates in Sharia Hospital Certification Preparation Symposium 20 31 March 2017 Supporting the Growth of UMKM Sector, BNI Syariah Cooperates with PNM Ventura Syariah 21 30 March 2017 BNI Syariah Achieves Golden KPR Predicate at Infobank Award 2017 22 5 April 2017 BNI Syariah Supports One Decade PPPA Daarul Quran Program 23 7 April 2017 BNI Syariah Savings Achieves Indonesia Digital Popular Brand 2017 24 7 April 2017 BNI Syariah Launches BNI Savings Baitullah iB Hasanah for children 25 11 April 2017 BNI Syariah Innovation Achieves Decent Residences for the Community 26 18 April 2017 UII Yogyakarta and BNI Syariah Build Hasana Synergy 27 20 April 2017 BNI Syariah Maintains Positive Growth Momentum in Quarter 1 28 27 April 2017 BNI Syariah Supports Creativity of Children of the Nation 29 5 June 2017 Supporting the Infrastructure Sector, BNI Syariah Distributes Rp200 Billion Financing to PT Brantas Abipraya 30 16 June 2017 7th Anniversary, BNI Syariah promotes 7 Magnificent of Hasanah 31 23 June 2017 BNI and BNI Syariah Hold BNI Digimudik 32 11 July 2017 Positive Synergy of BNI Syariah Financing in Various Sectors 33 25 July 2017 Second Quarter of 2017, BNI Syariah Posts Positive Growth 34 12 July 2017 National Cooperative Day Celebration, BNI Group Cooperates with TaniHub & Koperasi 35 12 July 2017 BNI Syariah with BPS BPIH Cooperation Forum Launch Hangar Plane Mockup of Hajj Dormitory Sudiang Makassar 36 18 July 2017 BNI Syariah with Transjakarta Support Provision of Decent Transportation 37 2 August 2017 BNI Syariah Supports Regional Tourism Industry Development 38 10 August 2017 BNI Syariah Achieves Excellent Performance Predicate for 5 Years in a row By Infobank Magazine 39 11 August 2017 BNI Syariah Achieves Most Innovative Bank Syariah Mortgage at Realestate Awards 2017 Hasanah Banking Partner 398 Annual Report 2017
399. Human Capital No Good Corporate Governance Corporate Social Responsibility Date Attachment Title of Press Conference 40 11 August 2017 Support Syariah Financial Literacy , BNI Syariah Enliven KSF Cirebon 41 22 August 2017 BNI Syariah Achieves Best Sharia Investor Award 2017 42 4 September 2017 BNI Syariah Holds Qurban Hasanah Nusantara 43 4 September 2017 BNI Syariah Provides Hasanah Service on National Customer Day 44 13 September 2017 BNI Syariah Receives Two Awards in Indonesia Banking Award 2017 45 14 September 2017 BNI Syariah Achieves Top Bank Award 2017 46 19 September 2017 BNI Syariah Palu is Committed to be Hasanah Banking Partner 47 22 September 2017 Supporting Tourism Development, BNI Syariah Presents BNI iB Hasanah Card: Official Travel Card for World's Best Halal Tourism Destination 48 27 September 2017 Support Business Development of Hajj & Umroh, Hajj People and BNI Syariah Hold Islamic Tourism Expo 2017 49 3 October 2017 BNI Syariah Enlivens National Batik Day 50 19 October 2017 Alhamdulillah, BNI Syariah Performance Shows Positive Trends 51 28 October 2017 Support Indonesian Entrepreneurs, BNI Syariah Attends the Panel Discussion "Indonesia Outlook 2018” 52 20 November 2017 Support the Progress of Furniture Commodities in Solo Raya, BNI Syariah Cooperates with Furniture Entrepreneurs 53 28 November 2017 Welcoming the 46th anniversary of KORPRI, BNI Syariah Facilitates PNS to go Umroh 54 21 December 2017 Supporting Education Progress, BNI Syariah Cooperates with Pamulang University Reporting Transparency GCG principles applied in this area are Transparency and Accountability. One of their implementation strategies is Information Disclosure as a form of transparency conducted by BNI Syariah in providing reports to all stakeholders. Following are several reports to interested institutions such as OJK, Indonesia Stock Exchange, Trustee, and Indonesian Central Securities Depository (KSEI), during 2017: A. ROUTINE REPORT No. Type of Report Date 1 GCG Self Assessment Report Semester 2 of 2016 to OJK, Department of Islamic Banking (DPBS) 17 January 2017 2 Securities rating report to OJK DPBS 3 February 2017, 3 Securities rating report to OJK Capital Market 3 February 2017, 4 Securities rating report to Indonesia Stock Exchange 3 February 2017, 5 Securities rating report to Trustee 3 February 2017 6 Securities rating report to KSEI 3 February 2017 7 Publication Report of Annual Financial Statements to OJK DPBS 9 February 2017 8 Publication Report of Annual Financial Statements to OJK Capital Market 9 February 2017 9 Publication Report of Annual Financial Statements to Indonesia Stock Exchange 9 February 2017, 10 Long Form Annual Financial Statements to OJK Capital Market 20 February 2017, 11 Long Form Annual Financial Statements to Stock Exchange 20 February 2017, 12 Long Form Annual Financial Statements to Trustee 20 February 2017 Hasanah Banking Partner 399 Annual Report 2017
400. Performance 2017 Management Report No . Company Profile Business Supporting Function Management Discussion and Analysis Type of Report Date 13 Long Form Annual Financial Statements to KSEI 20 February 2017 14 Report of Sukuk Profit Sharing Plan to KSEI, period of 26 February 2017 9 February 2017 15 Report of Sukuk Profit Sharing Plan to Trustee, period of 26 February 2017 9 February 2017, 16 2017 Annual GMS Implementation Report to OJK DPBS 7 March 2017 17 2017 Annual GMS Implementation Report to OJK Capital Market 7 March 2017 18 Good Corporate Governance (GCG) Report to OJK DPBS and other institutions (Warta Ekonomi, Perbanas, Asbisindo, Pefindo, YLKI) 31 March 2017 19 Annual Report to OJK DPBS 28 April 2017 20 Annual Report to OJK Capital Market 28 April 2017, 21 Annual Report to Indonesia Stock Exchange 28 April 2017 22 Annual Report to Trustee 28 April 2017 23 Report of Sukuk Profit Sharing Plan to KSEI and Trustee, period of 26 May 2017 12 May 2017 24 Publication Report of Semi-Annual Financial Statements to OJK Capital Market 26 July 2017 25 Publication Report of Semi-Annual Financial Statements to OJK DPBS 26 July 2017 26 Publication Report of Semi-Annual Financial Statements to Indonesia Stock Exchange 26 July 2017 27 Long Form Semi-Annual Financial Statements to OJK DPBS 26 July 2017 28 Long Form Semi-Annual Financial Statements to OJK Capital Market 26 July 2017 29 Long Form Semi-Annual Financial Statements to Stock Exchange 26 July 2017 30 GCG Self Assessment Report Semester 1 of 2017 to OJK, Department of Islamic Banking (DPBS) 20 July 2017 31 Report of Sukuk Profit Sharing Plan to KSEI and Trustee, period of 26 August 2017 8 August 2017 32 Foreign Currency Debt Report to OJK Capital Market every month 33 Report of Sukuk Profit Sharing Plan to KSEI and Trustee, period of 26 November 2017 November 2017 Hasanah Banking Partner 400 Annual Report 2017
401. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment B . INCIDENTAL REPORT No. Type of Report Date 1 Follow-up Report on Fit and Proper Test Results of OJK Compliance Director 30 January 2017 2 Leave Report of Duty Executor of BNI Syariah Compliance Director 6 March 2017 3 Material Fact Report of EGMS of dismissal and appointment of members of Board of Directors 23 March 2017 to OJK Capital Market 24 March 2017 4 Material Fact Report of EGMS of dismissal and appointment of members of Board of Directors 23 March 2017 to OJK DPBS 24 March 2017, 5 Material Fact Report of EGMS of dismissal and appointment of members of Board of Directors 23 March 2017 to Stock Exchange 24 March 2017, 6 Material Fact Report of EGMS of dismissal and appointment of members of Board of Directors 23 March 2017 to Bank Indonesia 24 March 2017 7 Material Fact Report of EGMS of dismissal and appointment of members of Board of Directors 23 March 2017 to LPS 24 March 2017 8 Material Fact Report of EGMS of dismissal and appointment of members of Board of Directors 23 March 2017 to Trustee 24 March 2017 9 Material Fact Report of EGMS of dismissal and appointment of members of Board of Directors 23 March 2017 to KSEI 24 March 2017 10 Report on Return Status of Temporary Compliance Director to OJK DPBS 10 April 2017 11 Corporate Secretary Appointment Report to OJK DPBS and OJK Capital Market 4 July 2017 12 Material Fact Report of Effective Appointment of Business Director to OJK Capital Market and OJK DPBS 22 December 2017 13 Report of Effective Appointment of Business Director to OJK Capital Market and OJK DPBS 22 December 2017 14 Report of Effective Appointment of Business Director to Indonesia Stock Exchange Submitted via IDX Net Online 22 Desember 2017 15 Material Fact Report of Appointment of Compliance Director and Independent Commissioner 3 January 2018 16 Report of Effective Appointment of Compliance Director and Independent Commissioner to OJK DPBS and OJK Capital Market 3 January 2018 17 Report of Effective Appointment of Compliance Director and Independent Commissioner to Indonesia Stock Exchange Submitted via IDX Net Online 3 January 2018 18 Material Fact Report of Capital Addition to OJK DPBS and OJK Capital Market 3 January 2018 19 GMS Implementation Report of Capital Addition to OJK DPBS and OJK Capital Market 3 January 2018 20 GMS Implementation Report of Capital Addition to ISX Conducted via IDX Net Online 3 January 2018 Hasanah Banking Partner 401 Annual Report 2017
402. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis LEGAL DISPUTE AND ADMINISTRATIVE SANCTION Below are details of lawsuits encountered by the Company during 2017 : Lawsuits encountered by PT Bank BNI Syariah in 2017 Total LEGAL CASES Civil Criminal Claim Carry-Over Cases from the Previous Year 13 0 - Inkracht Cases in 2017 9 1 - In Trial Process 11 5 - CIVIL CASE CASE REGISTER NO. 1647/Pdt.G/2016/PA.Bgr I. THE PARTIES IN THE CASE Plaintiff : H.M Rudy Jundani Defendant : 1. PT Bank BNI Syariah (Defendant I) 2. PT Dalle Energy (Defendant II) 3. Kantor Pelayanan Kekayaan Negara dan Lelang Bogor (Defendant III) 4. Fitri Safitri S.H/ Law Office Fitri Safitri and Ass (Defendant IV) 5. PT Bank Negara Indonesia (Persero) Tbk (Defendant V) II. NOMINAL VALUE Rp400.000.000.000 (Four Billion Rupiah) III. CASE POSITION / CASE BACKGROUND Plaintiff is the Director of PT Rolika Caterindo engaging in catering and ISO-standard services. Defendant II provided Catering Project for PLTU Pacitan-East Java. The Plaintiff cannot settle its obligations of its Financing to Defendant I, therefore, Defendant I makes an Auction for the Collateral provided by the Plaintiff. IV. BRIEF ANALYSIS/ POTENTIAL RISK FACED BY BNI SYARIAH Potential Risk faced is payment of compensation at lawsuit value V. LATEST DEVELOPMENT 1. Bogor Religion Court: PT Bank BNI Syariah wins 2. Appellate Court of West Java: PT Bank BNI Syariah 3. Currently, the Customer/Plaintiff is raising the Cassation legal remedy to the Supreme Court Currently, PT Rolika Caterindo is in Bankrupt Status Hasanah Banking Partner 402 Annual Report 2017
403. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment CIVIL CASE CASE REGISTER NO . 705/Pdt.G/2017/PA.Mdn I. THE PARTIES IN THE CASE Plaintiff : Dian Rohaniah Seruni Defendant : PT Bank BNI Syariah II. NOMINAL VALUE Rp 300.000.000 (Three Hundred Million Rupiah) III. CASE POSITION / CASE BACKGROUND PT Bank BNI Syariah distributed financing to Plaintiff/Customer. Currently, the Customer/Plaintiff is suing in order to postpone the auction plan IV. BRIEF ANALYSIS/ POTENTIAL RISK FACED BY BNI SYARIAH The risk faced is that the auction against the collateral is potentially delayed, thus, hampering the Recovery process V. LATEST DEVELOPMENT 1. Medan Religion Court: PT Bank BNI Syariah wins 2. Appellate Court: PT Bank BNI Syariah wins 3. Currently, the Customer/Plaintiff is raising the Cassation legal remedy to the Supreme Court CIVIL CASE CASE REGISTER NO. 2940/Pdt.G/2017/PA.Sby I. THE PARTIES IN THE CASEA Plaintiff : Ita Melani Defendant : PT Bank BNI Syariah II. NOMINAL VALUE Rp 2.000.000.000 (Two Billion Rupiah) III. CASE POSITION / CASE BACKGROUND PT Bank BNI Syariah distributed financing to a Customer under the name of Santoso Wibowo with a collateral in the form of Freehold Title under the name of Piko Lesmana. PT Bank BNI Syariah will conduct an auction on the collateral, but it is delayed due to the heirs of Piko Lesmana, who is the Plaintiff, filed a lawsuit. IV. BRIEF ANALYSIS/ POTENTIAL RISK FACED BY BNI SYARIAH The risk faced is that the customer’s collateral is potentially delayed for auction, therefore, it impedes the Recovery process V. LATEST DEVELOPMENT Trial Process at Surabaya Religion Court Hasanah Banking Partner 403 Annual Report 2017
404. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis CIVIL CASE CASE REGISTER NO . 384/Pdt.G/2017/PA.Mks I. THE PARTIES IN THE CASE Plaintiff : Muhammad Ardy Said Defendant : 1. Koperasi Syariah BMT Al-Hijrah Telkom (Defendant I) 2. PT Bank BNI Syariah (Defendant II) 3. KPKNL Makassar (Defendant III) 4. PT Balai Lelang Star Regional Makassar (Defendant IV) 5. Tamrin (Defendant V) II. NOMINAL VALUE Rp 100.000.000 (One Hundred Million Rupiah) III. CASE POSITION / CASE BACKGROUND PT BNI Syariah distributed financing to Customer/Plaintiff through Defendant I with the collateral of Freehold Title under the name of Plaintiff. Financing was bad and BNI Syariah auctioned the collateral. Then the customer/plaintiff did not accept and file a claim to cancel the auction. IV. BRIEF ANALYSIS/ POTENTIAL RISK FACED BY BNI SYARIAH The risk faced by BNI Syariah is to have to return the collateral that has been auctioned V. LATEST DEVELOPMENT BNI Syariah appealed CIVIL CASE CASE REGISTER NO. 0449/Pdt.G/2017/PA.Yk I. THE PARTIES IN THE CASE Plaintiff : Rindiyat Bin Kertorejo Defendant : PT Bank BNI Syariah II. NOMINAL VALUE Rp 1.000.000.000 (One Billion Rupiah) III. CASE POSITION / CASE BACKGROUND PT Bank BNI Syariah distributed financing to the Customer/Plaintiff, then financing was bad and PT Bank BNI Syariah put up a signpost and the collateral will be auctioned. The Customer/Plaintiff did not accept and file a lawsuit IV. BRIEF ANALYSIS/ POTENTIAL RISK FACED BY BNI SYARIAH Potential Risk faced is payment of compensation at lawsuit value V. LATEST DEVELOPMENT Trial Process is at Yogyakarta Religion Court Hasanah Banking Partner 404 Annual Report 2017
405. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment CIVIL CASE CASE REGISTER NO . 514/Pdt.G/2017/PA.Yk I. THE PARTIES IN THE CASE Plaintiff : Vendy Adi Sukma Defendant : PT Bank BNI Syariah II. NOMINAL VALUE Rp 500.000.000 (Five Hundred Million Rupiah) III. CASE POSITION / CASE BACKGROUND PT Bank BNI Syariah distributed financing to Customer/Plaintiff, Customer/Plaintiff Financing was bad and the Bank will auction. Due to this matter, the Customer/Plaintiff filed a lawsuit to postpone the collateral’s auction plan IV. BRIEF ANALYSIS/ POTENTIAL RISK FACED BY BNI SYARIAH The risk faced is that the customer’s collateral is potentially delayed for auction, therefore, it impedes the Recovery process V. LATEST DEVELOPMENT Trial Process is at Yogyakarta Religion Court CIVIL CASE CASE REGISTER NO. 0589/Pdt.G/2017/PA.Kdr I. THE PARTIES IN THE CASE Plaintiff : 1. Agus Yazid Bastomi ST (Plaintiff I) 2. Ny Alif Rahmawati (Plaintiff II) 3. Moch. Machrus Zen (Plaintiff III) 4. Ny. Umi Hanafiyah (Plaintiff IV) Defendant : 1. PT Bank BNI Syariah (Defendant I) 2. KPKNL Malang (Defendant II) 3. Kepala Kantor Pertanahan Kediri (Defendant III) II. NOMINAL VALUE Rp 331.000.000 (Three Hundred Thirty-One Million Rupiah) III. CASE POSITION / CASE BACKGROUND PT Bank BNI Syariah distributed financing to Customer/Plaintiff, Customer/Plaintiff Financing was bad and the Bank has already auctioned. Due to this matter, the Customer/Plaintiff filed a lawsuit to cancel the collateral’s auction IV. BRIEF ANALYSIS/ POTENTIAL RISK FACED BY BNI SYARIAH Potential Risks faced is the release of the collateral of the Customer due to court decision V. LATEST DEVELOPMENT Trial Process is at Kediri Religion Court Hasanah Banking Partner 405 Annual Report 2017
406. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis CIVIL CASE CASE REGISTER NO . 1376/Pdt.G/2017/PA.Bpp I. THE PARTIES IN THE CASE Plaintiff : H. Syachril bin H. Abbas Defendant : 1. PT Bank BNI Syariah (Defendant I) 2. Kantor Pertanahan Balikpapan (Defendant II) 3. OJK (Defendant III) II. NOMINAL VALUE Rp 4.207.760.000 (Four Billion Two Hundred Seven Million Seven Hundred Sixty Thousand Rupiah) III. CASE POSITION / CASE BACKGROUND PT Bank BNI Syariah distributed financing to Customer/Plaintiff, Customer/Plaintiff Financing was bad and the Bank will auction. Due to this matter, the Customer/Plaintiff filed a lawsuit to cancel the collateral’s auction. IV. BRIEF ANALYSIS/ POTENTIAL RISK FACED BY BNI SYARIAH Potential Risks faced is the release of the collateral of the Customer due to court decision V. LATEST DEVELOPMENT Trial Process is at Balikpapan Religion Court CIVIL CASE CASE REGISTER NO. 1376/Pdt.G/2017/PA.Bpp I. THE PARTIES IN THE CASE Plaintiff : H. Syachril bin H. Abbas Defendant : 1. PT Bank BNI Syariah (Defendant I) 2. Kantor Pertanahan Balikpapan (Defendant II) 3. OJK (Defendant III) II. NOMINAL VALUE Rp 4.207.760.000 (Four Billion Two Hundred Seven Million Seven Hundred Sixty Thousand Rupiah) III. CASE POSITION / CASE BACKGROUND PT Bank BNI Syariah distributed financing to Customer/Plaintiff, Customer/Plaintiff Financing was bad and the Bank will auction. Due to this matter, the Customer/Plaintiff filed a lawsuit to cancel the collateral’s auction. IV. BRIEF ANALYSIS/ POTENTIAL RISK FACED BY BNI SYARIAH Potential Risks faced is the release of the collateral of the Customer due to court decision V. LATEST DEVELOPMENT Trial Process is at Balikpapan Religion Court Hasanah Banking Partner 406 Annual Report 2017
407. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment CIVIL CASE REGISTER PERKARA NO . 4717/Pdt.G/2017/PA.Tgrs I. THE PARTIES IN THE CASE Plaintiff: H. Endang Hermawan Defendant: 1. PT Bank BNI Syariah (Defendant I) 2. OJK (Defendant II) 3. DSN – MUI (Defendant III) 4. . Minister of Finance of the Republic of Indonesia (Turut Defendant I) 5. Governor of Bank Indonesia (Turut Defendant II) 6. Ombudsman of the Republic of Indonesia (Turut Defendant III) II. NOMINAL VALUE Rp 47.856.666 (Forty-Seven Million Eight Hundred Fifty Six Thousand Six Hundred Sixty Six Rupiah III. CASE POSITION / CASE BACKGROUND PT Bank BNI Syariah distributed financing to Customer/Plaintiff, the Financing was paid off in 2015, then there was a profit sharing and Bank BNI Syariah has returned the excess. Nevertheless, the Customer/Plaintiff still filed a lawsuit IV. BRIEF ANALYSIS/ POTENTIAL RISK FACED BY BNI SYARIAH The risk faced is that Bank BNI Syariah has to pay a nominal amount of the lawsuit filed V. LATEST DEVELOPMENT Trial Process is at Tigaraksa Religion Court CIVIL CASE CASE REGISTER NO. 21/Pdt.Sus-Gugatan Lain-Lain/2017/PN Niaga Sby. in conjunction with No. 29/Pdt-SusPKPU/2017/PN.Niaga.Sby I. THE PARTIES IN THE CASE Plaintiff: Mega Sari, dkk Terguga: 1. PT Bank BNI Syariah (Defendant I) 2. KPKNL Denpasar (Defendant II) 3. PT Globalindo Auction (Defendant III) 4. PT Hardys Retailindo (Co-Defendant I) 5. Engga Indragunawan SH, Lalu Bayu SH, Idho S. Nalle (Co-Defendant II) II. NOMINAL VALUE III. CASE POSITION / CASE BACKGROUND PT Bank BNI Syariah distributed financing to a Customer under the name of PT H.R (in bankruptcy), then, the Company filed for its own bankruptcy and the Constituent Creditor/Plaintiff filed a lawsuit to postpone the collateral auction plan of PT H.R (in bankruptcy). IV. BRIEF ANALYSIS/ POTENTIAL RISK FACED BY BNI SYARIAH The risk faced is that the customer’s collateral is potentially delayed for auction, therefore, it impedes the Recovery process V. LATEST DEVELOPMENT Case has been revoked Hasanah Banking Partner 407 Annual Report 2017
408. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis CRIMINAL CASE Police Summoning Letter No : LP/123/II/2017/Bareskrim Dated 06 February 2017 I. THE PARTIES IN THE CASE Reporting Party: ---Reported Party : Employee II. NOMINAL VALUE III. CASE POSITION / CASE BACKGROUND BNI Syariah employee (now ex) was allegedly involved in an alleged criminal case of participating or helping to transfer or share the wealth of Yayasan Keadilan Untuk Semua in the form of money, goods, or other property, either directly or indirectly, which can be assessed by money to the management of Yayasan Keadilan Untuk Semua or because of the employee’s position, deliberately controls part or all of the wealth of Yayasan Keadilan Untuk Semua against the right or benefit himself or others by deceit, false state, or series of deceptive words or not implementing the necessary steps to ensure Bank’s compliance with the provisions of the Law and other laws and regulations applicable to the bank or participating in or assisting in such criminal act and committing the Criminal Act of Money Laundering as referred to in Article 70 in conjunction with Article 5 paragraph 1 of Law No. 16 of 2001 on Foundation as amended by Law No. 28 of 2004 or Article 374 of the Indonesian Criminal Code in conjunction with Article 372 of the Indonesian Criminal Code or Article 378 of the Indonesian Criminal Code in conjunction with Article 55 paragraph (1) the first of the Indonesian Criminal Code or Article 56 of the Indonesian Criminal Code or Article 49 paragraph (2) letter b of Law No. 10 of 1998 on Banking or Article 63 paragraph 2 of Law No. 21 of 2008 and Article 3 and Article 5 and Article 6 of Law No. 8 of 2010 on the Prevention and Eradication of the Criminal Act of Money Laundering IV. BRIEF ANALYSIS/ POTENTIAL RISK FACED BY BNI SYARIAH Potential risk is Bank BNI Syariah Reputation V. LATEST DEVELOPMENT The Process of Establishing Suspects Hasanah Banking Partner 408 Annual Report 2017
409. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment CRIMINAL CASE Police Summoning Letter No : LP/4178/IX/2017/PMJ/Ditreskrimum dated 04 September 2017 I. THE PARTIES IN THE CASE Reporting Party: PT. Bank BNI Syariah Reported Party : 1. L.R 2. A.H II. NOMINAL VALUE III. CASE POSITION / CASE BACKGROUND LR (reported party) is a customer in BNI Syariah, who is allegedly suspected to use false identity in proposing financing at Bank BNI Syariah. IV. BRIEF ANALYSIS/ POTENTIAL RISK FACED BY BNI SYARIAH The potential risk is that the financing quality will go down (bad) and support BNI Wide V. LATEST DEVELOPMENT Process of peace settlement CRIMINAL CASE Police Summoning Letter No: LP/49/IV/2017/SPKT dated 17 April 2017 I. THE PARTIES IN THE CASE Reporting Party: LSM YARA Reported Party : Pegawai II. NOMINAL VALUE III. CASE POSITION / CASE BACKGROUND The Reported Party is suspected to have committed a money laundering criminal act concerning instruction to Transfer Fund by debiting the account under the name of PT S.A IV. BRIEF ANALYSIS/ POTENTIAL RISK FACED BY BNI SYARIAH The potential risk faced is a criminal threat against the reported party V. LATEST DEVELOPMENT Inspection Process at Aceh Regional Police Hasanah Banking Partner 409 Annual Report 2017
410. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis CRIMINAL CASE / Police Summoning Letter No: LP/B-1436/2017/LPG/SPKT, dated 05 December 2017 I. THE PARTIES IN THE CASE Reporting Party : -Reported Party : employees II. NOMINAL VALUE - III. CASE POSITION / CASE BACKGROUND The Reported Party is suspected to have committed a criminal act of embezzlement and/or criminal act of sharia banking and/or criminal act of money laundering as referred to in Article 372 of the Indonesia Criminal Code and/or Law No. 21 of 2008 on Sharia Banking and/or Law No. 81 of 2010 on Prevention and Eradication of the Criminal Act of Money Laundering. IV. BRIEF ANALYSIS/ POTENTIAL RISK FACED BY BNI SYARIAH The potential risk faced is a criminal threat against the reported party V. LATEST DEVELOPMENT Inspection Process at Lampung Regional Police Hasanah Banking Partner 410 Annual Report 2017
411. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment CRIMINAL CASE / Police Summoning Letter No: LP/179/XII/2017/Riau/Res Kampar/Sek Siak Hulu, dated 08 December 2017 I. THE PARTIES IN THE CASE Reporting Party: Adik Nasabah Reported Party : Pegawai II. NOMINAL VALUE - III. CASE POSITION / CASE BACKGROUND The Reported Party is suspected to carry out an aggressive action to the Customer IV. BRIEF ANALYSIS/ POTENTIAL RISK FACED BY BNI SYARIAH The potential risk faced is a criminal threat against the reported party V. LATEST DEVELOPMENT Inspection Process at Lampung Regional Police Hasanah Banking Partner 411 Annual Report 2017
412. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis Lawsuits Being Faced by the Boards Table of Legal Cases No . Legal Issues Board of Commissioners Jumlah Board of Directors 1. Settled (having absolute legal power) - - 2. 2. - - - - Total In settlement process Guidelines socialized through the Electronic Corporate Guidelines (ECG). Impact of Legal Dispute on BNI Syariah Throughout 2017, there were no impact of legal dispute on BNI Syariah for there were no legal dispute occurred. In the anti gratification policy of BNI Syariah it was expressly set that the employee is: 1. Prohibited from receiving, giving, promising rewards / gifts / souvenirs directly or indirectly in any forms from any parties related to his/her position in the Company; 2. Prohibited from collecting unauthorized charges in any forms in performing his/her duties for the interest of personal, faction or other parties; 3. Prohibited from giving, promising or offering gifts, directly or indirectly, in any forms to civil servants or state officials personally in order for these agencies to transact with BNI Syariah; 4. Exceptions to the prohibition of gratification: • Receiving or giving promotional goods such as agendas, calendars, and trophies with BNI Syariah’s logo; • Receiving gala reception and / or entertainment from business partners and customers if the event associated with the business of BNI Syariah and attended by partners and customers at a reasonable cost. Administrative Sanctions From Related Authorities Anti Gratification. As an attempt to prevent gratification, BNI Syariah implements a culture not to accept gifts or rewards from customers, debtors, vendors, associates, business partners and other third parties (during the anniversary of BNI Syariah or on holidays such as Idul Fitri and Idul Adha). Internal socialization of anti gratification culture is done via e-mail blast, Sharia E-mail Correspondence (SHECO), newsletters, as well as the distribution of anti gratification stickers to all personnel of BNI Syariah. External socialization is done through written notice directly to each customer, debtor, vendor, associate, business partner, and other third parties who have business relationship with BNI Syariah. The parties who detect any violation could report via: Website : www.clean.bnisyariah.co.id atau www. bnisyariah.co.id E-mail : clean@bnisyariah.co.id Telepon & SMS : 08510044-4600 Mail : Box BSC PT Bank BNI Syariah Gedung Tempo Pavilion I Lt.4 Jl. HR. Rasuna Said Kav 10-11 Jakarta Selatan 12950. As long as permitted or not prohibited by prevailing laws and regulations, and other internal policies of BNI Syariah. Anti Gratification Policy. Arrangement related to Gratification in BNI Syariah contained in the Code of Ethics of BNI Syariah as well as Conflict of Interest Hasanah Banking Partner 412 Annual Report 2017
413. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment IMPLEMENTATION PLAN OF GCG 2018 GCG Plan 2018 is based on the Business Plan of Bank , BNI Syariah will make improvements that aim to improve the GCG Awareness all personnel of BNI Syariah, among others: 1. In early 2018, all members of the Board of Commissioners and Board of Directors and all employees of BNI Syariah signed a “Commitment of GCG”. 2. Formulation of anti gratification policies. 3. Develop guidelines of the Meetings of the Board of Commissioner and the Board of Directors (the determination of regular routine day meetings, conference calls, meeting materials, mechanisms of dissenting opinion, monitoring the implementation of the decision of Board of Commissioners Meeting and Meeting Resolutions of the Board of Directors). 4. Reviewing the BPP Governance special to the Board of Commissioners and Board of Directors regarding 5. 6. 7. 8. the authority’s signature, counter sign, letter format of Board of Commissioners & Board of Directors, format of decrees, letters section, section of decree, in cooperation with relevant Divisions. Formulate guidelines for reporting external parties with the aim of suppressing the occurrence of delays in reporting and penalties. Formulate guidelines of GCG implementation related to powers such as the division of authority to policy formation and socialization of GCG in units of secretarial functions, authority of supervision/ monitoring in compliance function unit, and the authority of sanctions related to violations of GCG in units of human resource of management function. Prepare guidelines of CSR (mechanism and legal relationship between BNI Syariah and Hasanah Point). Formulate evaluation tools of GCG Internal. MATERIAL EVENTS OF 2018 According to the decree of the members of the Board of Commissioners of OJK No. KEP-41/D.03/2018 dated March 12, 2018 (received on March 13, 2018), Bapak Abdullah Firman Wibowo is approved by OJK as President Director of PT Bank BNI Syariah. Accordingly, Bapak Abdullah Firman Wibowo’s appointment as President Director of BNI Syariah as decided in the GMS on 23 March 2017 is effective as of 13 March 2018. The composition of the Board of Directors as of 13 March 2018 is as follows: • President Director : Abdullah Firman Wibowo • Director of Operations and Network : Junaidi Hisom • Director of Business : Dhias Widhiyati • Director of Risk and Compliance : Tribuana Tunggadewi Hasanah Banking Partner 413 Annual Report 2017
414. Performance 2017 Management Report 08 " Company Profile Business Supporting Function Management Discussion and Analysis CORPORATE SOCIAL RESPONSIBILITY The best people are those who are beneficial to others. BNI Syariah runs a corporate social responsibility program with the aim to provide great benefits to all stakeholders. Hasanah Banking Partner 414 Annual Report 2017 "
415. Human Capital Good Corporate Governance Hasanah Banking Partner Corporate Social Responsibility 415 Annual Report 2017 Attachment
416. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis IMPLEMENTATION BASIS OF CSR PROGRAM The implementation basis of CSR program at BNI Syariah is based on the prevailing laws and regulations , among others: 1. Act No. 40 Year 2007 on Limited Liability Companies (Perseroan Terbatas) 2. Act no. 32 Year 2009 on Environmental Protection and Management 3. Act of RI No. 13 Year 2003 on Manpower 4. Act No. 1 Year 1970 on Occupational Safety 5. Act No. 36 Year 2009 on Health 6. Act no. 8 Year 1999 on Consumer Protection 7. Act No. 23 Year 2011 on Zakat Management 8. Government Regulation no. 47 Year 2012 on Corporate Social Responsibility and the Environment of Limited Liability Companies 9. Financial Services Authority Regulation No.1 / POJK.07 / 2013 on Consumer Protection of Financial Services Sector As an obedient corporate citizen, BNI Syariah make all the regulations above as the basis for organizing CSR programs in the corporate environment. BNI Syariah recognize that the implementation of the CSR program is normatively a moral obligation for the company, but more than that, BNI Syariah expect that the community could be benefited by the company’s presence through the improvement of community’s living standards and welfare as a whole. Hasanah Banking Partner 416 Annual Report 2017
417. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment HASANAH TITIK FOUNDATION BNI Syariah CSR activities are a mutual collaboration with the Yayasan Hasanah Titik (YHT). YHT is a social, humanitarian and religious institution that has affiliation with the management of infaq and shodaqoh of PT Bank BNI Syariah, which was formed in May 2014. Through this cooperation, the programs are expected to have double impact (multiplier effect) and sustainability. The Yayasan Hasanah Titik (YHT) was previously a Zakat Management Unit (UPZ) BAZNAS, active from the end of 2010 to 2014. Since the end of 2014 until 2017, after becoming a foundation, YHT works with the Dompet Dhuafa Foundation (DD) in terms of zakat management. YHT’s collaboration with DD take place in order to meet the legal aspects of an institution / foundation to manage zakat with the name of the Zakat Managing Partner (MPZ). YHT itself was founded by an individual who had a position in BNI Syariah. However, to maintain independency and professionalism values, YHT is managed by a human resource that has capability and capacity in its field. To maintain the credibility and transparency values of the foundation management, since 2015, YHT directly has appointed independent auditor services to assess financial performance and the accuracy of the distribution of social programs using zakat funds. For 2 (two) consecutive years, YHT obtains fair opinion in all material matters. Community empowerment programs that are developed by YHT are divided into 2 (two) types, the first is a program that is compassionate “karikatif” based (directly impact on needs and temporary), such as basic needs donation through the program One Day One Liter One Family (ODOLOF), school fees, free funeral service, Health services and dhuafa donation. Second, is the type of program that is intended to have long term impact and increase the capacity of program recipients (sustainable), such as Islamic boarding school (pesantren) economic empowerment program, business capital, healthy lifestyle education, library, and the Hasanah Ambassador. Hasanah Banking Partner 417 Annual Report 2017
418. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis Up to 2017 , YHT together with BNI Syariah has been working together to develop community empowerment programs within the framework of 5 (five) areas: Education, Health, Economics, Social Da’wah and Disaster Response. The program has been implemented as follows: 1. 2. 3. 1. 2. 3. 4. 5. 6. 17 Islamic boarding school recipients of economic development program 1 Lamb village in Caringin, Bogor Small economic empowerments in 6 housewife communities 10 group of economic empowerments through the ambassadors of BNI Syariah Business capital for dhuafa people Improving the skills of students in Senior High School Bogor 4. 17 Reading / Library Park 20 School library beneficiaries (± 2000 students) 730 Scholarship recipients from PGD BNI Syariah children 5 School renovation program recipients Education 1. Health and Environment Economy YHT 1. 2. 3. 4. 22.278 Yatim dhuafa recipients of the donation　program since 2015 ± 1.800 poor families of ODOLOF program recipients in Jabodetabek 2 Mosques constructions in Lebak and Mentawai Other social help through cooperation with various parties, such as all BNI Syariah branches in Indonesia, Indonesian Police, TNI, Other social institution partners 3. 4. Disaster response Social Da’wah Disaster response at 63 disaster sites since 2012, 25,000 more victims’ disaster received the benefits In realizing this vision, BNI Shariah together with the Hasanah Titik Foundation run Corporate Social Responsibility (CSR) program by using the approach concept of maqoshid (objective) of sharia, the purpose of Sustainable Development Goals (SDGs) compiled by the Agency Statistical Center in 2014, Three Bottom Line CSR, The concept of Sustainable Livelihood, and the Law on Management Zakat No.23 Year 2011. BNI Syariah as one of the syariah banking institutions is always trying to make a positive contribution to all stakeholders. By carrying Hasanah as corporate campaign, BNI Syariah is not only business-oriented, but also a means to prepare for the afterlife called the Hasanah Way. A noble idea that we aim to be conveyed through the value of Hasanah is the presence of BNI Syariah as a Hasanah partner or Hasanah Banking Patner, bringing good benefits to all parties and being a blessing to the universe or Rahmatan ‘Lil Aalamin. Hasanah Banking Partner 2. 6000 recipients of health care program since 2012 6 Villages of MCK program beneficiaries 1,000 Beneficiaries of the free eyewear (eye glasses) program Mangrove conservation in Tanjung Pasir 418 Annual Report 2017
419. Human Capital Good Corporate Governance Corporate Social Responsibility Standard Approach Maqoshid Syariah BNI Syariah SDGs BNI Syariah Social Program Design Three Bottom Line CSR Sustainable Livelihood YHT Zakat Management Hasanah Banking Partner 419 Annual Report 2017 Attachment
420. Performance 2017 Management Report Maqoshid Syariah 5 . Preserve religious faith 6. Preserve the soul 7. Preserve the Mind 8. Preserve the descendants 9. Preserve Property Company Profile Zakat Management 1. 2. 3. 4. 5. 6. 7. 8. Fakir Poor Muallaf Budak Gharimin Fiisabilillah Ibnu Sabil Amil Business Supporting Function Three Bottom Line CSR 1. People 2. Planet 3. Profit Hasanah Banking Partner Sustainable Livelihood 1. 2. 3. 4. Human Capital Natural Capital Physical Capital Finansial Capital 5. Social Capital 420 Management Discussion and Analysis Sustainable Development Goals (SDGs) 1. Eradicate all forms of poverty 2. Eradicate starving, achieve endurance food and nutrition improvement, and create sustainable agriculture 3. Ensure a healthy life and improving the welfare of the population in all ages 4. Ensuring the quality of education to be fair and inclusive and increase opportunities of a lifetime study for all people 5. Achieving gender equality and empowering women and children 6. Ensure the availability and management of water and sanitation on an ongoing basis 7. Ensure access to the energy that is affordable, reliable, sustainable and modern 8. Improve equitable and sustainable economic growth, full and productive employment opportunities, as well as jobs that worthy to all people 9. Build a robust infrastructure, promote inclusive and sustainable industrialization and encourage innovation 10.Reduce inequality within and among the countries 11.Make cities and human settlements fair, equitable, secure, resilient and sustainable 12.Ensure the sustainability of the pattern of production and consumption 13.Take immediate action to fight climate change and its impact 14.Preserve oceans, seas and marine power source for sustainable development 15.Protect, restore and improve sustainable use of land ecosystems, managing forests, eradicate desertification, and stop and restore land degradation and stop the loss of biological diversity 16.Improve inclusive and peace community for sustainable development, providing access to justice for all people and build effective institutions, accountable and inclusive at all levels 17.Strengthen the means of implementation and revitalize global partnerships for sustainable development Annual Report 2017
421. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment Focus Program of CSR BNI Syariah Humanity Aspect Environment Aspect Economy Aspect 3 . Responsibility to Environmental Aspects In addition to the efforts to take care of the environment and nature with supporting development programs, such as managing sleep, fertility of damaged lands, recycling program, BNI Syariah is also active in the campaign of reduction the use of electricity and other materials that can cause harm impact on natural conditions. 1. Fulfillment and Maintenance of Humanity Aspects The focus of social programs developed by BNI Syariah with the Hasanah Titik Foundation and other partners, is the effort to fulfill basic needs of society. Especially for poor community groups. For example fulfillment of the right to avoid starvation and housing, fulfillment of health rights, and the fulfillment of the right of education and treatment of good education environment. 2. Development of Economic Aspects on Potential Basis (SDA and SDM) To ensure sustainability fulfillment of the basic needs of community members (poor), community members should be educated to become independent through potential optimization SDM and SDA in their environment for economical business activities. The programs that are developed are trainings and mentoring for skills, and facilitation access to resources that support business development, such as infrastructure access, tools and equipment and capital access. Hasanah Banking Partner In order to be more focused in running the CSR program, BNI Syariah has set 4 (four) pillars which become the foundation of CSR program, as follows: 1. Education The main target of this program is Islamic education sectors, including physical programs, educational supports, as well as skill and managerial enhancement. Islamic boarding schools, madrasah, and other educational institutions which students are mainly come from lower economic class in cities and villages as the main target for the candidates of this educational program’s recipients. 421 Annual Report 2017
422. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis is to support da ’wah programs in rural areas that are held in accordance with Dewan Dakwah Islam Indonesia (DDII). Hasanah Titik Foundation also takes part in helping our Muslim brothers and sisters that are facing humanitarian crisis in Gaza, Palestine. The social and da’wah program that directly affects towards the basic needs is One Day One Liter One Family (ODOLOF) program. 2. Economy In addition of being aligned with BNI Syariah business area, the economic empowerment program aims to create a self-reliant community. This program is developed to evolve small and middle business in Islamic group or community such as Islamic boarding school, teenagers who dropped out of school, and mothers. The target of this economic empowerment program is supporting local community’s skill in their respective regions. 3. Health and Environment Our CSR program in the field of health and environment is developed with the focus on providing care that are suitable to the local’s needs. The implementation of the program is deeply supported by the government to distribute free health care to the underprivileged. 4. Sosial dan Da’wah The social and da’wah program is the biggest opportunity for Hasanah Titik Foundation to develop the CSR distribution. One of the focuses To fulfill the rules of zakat management law to be accordance with the law, Hasanah Titik Foundation (YHT) holds the Amil Zakat Board (LAZ) Wallet Dhuafa known as Dompet Dhuafa (DD) as Zakat Managing Partner (MPZ). The cooperation between Insan Hasanah Mulia Foundation and Dompet Dhuafa has been done since 2015. This affirms that lawfully management zakat of BNI Syariah family Insan Hasanah Mulia Titik Foundation is legal. Basic Principle of Implementation Multi Effect Gradually Multi Effect Sustainable • Mapping and cultural analysis, natural resources and human resources • Charity Program • Insani preventive programs • Community economic development • • • • • Budget planning Selection of partners in the field Mentoring Mapping Evaluation and follow-up plan (reprogram or close program) Multi MultiEffect Effect • Environmental impact • Community Quality Improvement Hasanah Banking Partner 422 Annual Report 2017
423. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment CSR SOURCE OF FUND , BUDGET, AND REALIZATION To meet the legal rules of Zakat management to be accordance with the law, Hasanah Titik Foundation (YHT) took the Amil Zakat Institute (LAZ) Dompet Dhuafa (DD) as a partner Zakat Management (MPZ). The cooperation of Yayasan Insan Hasanah Mulia Point with Dompet Dhuafa has been done since 2015. This to confirm that Zakat Management of BNI family Syariah by Insan Hasanah Mulia Titik Foundation is legal. Corporate Zakat Management that is used as a CSR funds was decided in the General Meeting of Holders Annual Shares (AGM), and subsequently by BNI Syariah Letter No. SFD / 6/015 dated May 31, 2016, BNI Shariah delegate Zakat Funds Company of 2015 to Dompet Dhuafa through Hasanah Titik Foundation to manage Zakat Funds of Company into empowerment programs either direct or long term, and in synergy with the Secretariat & Corporate Communications Division that oversees the CSR unit. The following illustrates the pattern of cooperation between the Zakat management of Company and employees’ charity by Insan Hasanah Mulia Titik Foundation. Distribution of Zakat Funds BNI Shariah Hasanah Multi Effect Titik Foundation 1. Corporate Zakat 2. Employee Zakat Multi Effect BNI Syariah 3. ID Donors 4. Receipt of Payment (proof of Tax deductions) Forming Multi Effect Management Division Legal Zakat Management 1. Legal zakat management MPZ Yayasan Multi Effect Hasanah Titik Dompet Dhuafa Multi Effect Laznas 2. Co branding program 3.Reporting Hasanah Banking Partner 423 Annual Report 2017
424. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis Actual Budget Implementation of CSR BNI Syariah Corporate Social Responsibility Realization Economic 3 ,411,514,700 Education 1,589,517,050 Social 4,465,056,571 Da’wah 1,565,899,942 Health 727,678,000 Total 11,759,666,263 BNI Syariah Corporate Social Responsibility Realization 14% 29% 6% 38% Economic 13% Social Dakwah Education Health HASANAH TITIK FOUNDATION REPORT OF USE OF COMPANY ZAKAT FUND Period 1 January to 31 December 2017 (in Rupiah) 31 December 2016 31 December 2017 ZAKAT FUND Balance 2016 2.263.990.032 Received Fund Zakat from outside parties 3.387.786 Zakat Fund of BNI Syariah Company 9.329.512.753 Returned Distribution Funds 159.470.363 Hasanah Banking Partner 424 Annual Report 2017
425. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment 31 December 2016 31 December 2017 2 .263.990.032 9.567.357.167 Account Profit Sharing/ Bonus 74.986.265 Received Zakat Fund Amount 2017 Balance Fund Distribution Program Distribution in Economy Sector 100.645.000 Distribution in Education Sector 81.000.000 Distribution in Social Sector 1.750.715.095 Distribution in Dakwah Sector 1.327.792.042 Distribution in Health Sector 7.000.000 Total Zakat Fund Distribution 3.267.152.137,00 Other expense Dompet Dhuafa Partnership Commitment - Amil Allocated Fund 932.951.275 Pinbuk Non zakat company income 9.974.998 Bank Administrative Fee 15.149.259 Other Fund Distribution 958.075.532 Ending Balance 2.263.990.032 7.606.119.530 REPORT OF USE OF EMPLOYEE ZAKAT FUND Period 1 January to 31 December 2017 (in Rupiah) 31 December 2016 31 December 2017 ZAKAT FUND 2016 Balance 1.100.206.240 Received Fund Zakat from Outside Parties 61.894.427 Zakat Fund of BNI Syariah Employees 9.065.890.568 Returned Fund Distribution 80.594.345 Account Profit Sharing/ Bonus 56.017.305 Received Zakat Fund Amount 1.100.206.240 9.264.396.645 2017 Balance Fund Distribution Program Distribution in Economy Sector 180.769.700 Distribution in Education Sector 1.508.517.050 Distribution in Social Sector 2.714.341.476 Distribution in Dakwah Sector 238.107.900 Distribution in Health Sector 720.678.000 Total Zakat Fund Distribution 5.362.414.126 Hasanah Banking Partner 425 Annual Report 2017
426. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis 31 December 2016 31 December 2017 Usage for other expenses Qardh Loan Funding - Dompet Dhuafa Partnership Commitment - Amil Allocated Fund 755 .186.454 Petty Cash Program 15.347.671 Distribution in car operational 42.853.300 Driver fee 50.647.856 Bank Administrative Fee 11.405.466 Other Fund Distribution 875.440.747 Ending Balance 1.100.206.240 Hasanah Banking Partner 426 Annual Report 2017 4.126.748.012
427. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment RESPONSIBILITY TOWARDS ENVIRONMENTAL PRESERVATION The first point of BNI Syariah mission positive contribution towards society and preservation ”. This emphasizes that has a strong commitment to actively environmental preservation program. BNI Syariah believes that environment is one of the main factors to support the Company’s business sustainability. On that account, in every business activities, the Company needs to ensure that it will not generate negative impact towards environment. BNI Syariah constantly ensure that the business activities conducted do not generate negative impact to the environment, so in every aspect of the Corporate operations, environment factor has always been one consideration that BNI Syariah take into account. Additionally, BNI Syariah also contributes to the environmental preservation effort through the Corporate policies, both externally and internally related. is “Delivering environmental BNI Syariah participate in OBJECTIVES AND ACTION PLAN BNI Syariah will ensure that the business activities conducted do not generate negative impact to the environment. In every aspect of the Corporate operations, BNI Syariah takes into account the environmental factor as one of the consideration. Additionally, BNI Syariah also contribute to the environmental preservation effort through the Corporate policies, both externally or internally related. In 2017, BNI Syariah plans to execute a number of activities related to the environmental preservation program. These activities will be conducted by Hasanah Foundation as the extension of BNI Syariah to directly interact with the community. In 2017, BNI Syariah plan to execute a number of activities related to the environmental preservation program. These activities will be conducted especially by Hasanah Ambassador, as the extension of BNI Syariah to interact directly with the community. The cultivation of fallow land by the Hasanah Ambassador of BNI Syariah, Mr. Eko Dadiek, in Jogjakarta, has provided educational insights on environment sustainability to students as early as possible, also the establishment of fresh mart, where local people can pick and buy vegetables and fruits instantly. Besides Jogjakarta, Mr. Eko Dadiek also initiated improvement of damaged land in Kalimantan by planting bananas, areca nut, albasia, jabon, coconut and many other fruits on hundred of hectares of land. It improves the quality of environment, as well as local economic potential. EFFORTS TO MINIMIZE IMPACT TOWARDS THE ENVIRONMENT As a banking company, BNI Syariah business activities are not much in contact with the environment. They have relatively small direct impact towards environment. Nevertheless, BNI Syariah is willing to participate both directly or indirectly in all efforts towards environmental preservation. Those efforts are presented in the recommendation, declaration and Company regulation to minimize the Company’s operational activity impact towards environment. Other stories come from other Hasanah Ambassador, Gamal Albinsaid and Risnadi Yasir, and Nezatullah Ramadan. Those three figures have managed waste in their respective area. Risnadi Yasir focused on recycle program, creating valuable product out of waste in Medan, North Sumatra. He initiated “waste bank” named Bank Sampah Hasanah by promoting prevention on desctuction, pollution of environment, also persuading environment preservation at school, communities and government. He also encouraged communities to sort and process waste into high-value products up to remote area in Asahan District, North Sumatra. Meanwhile, Dr. Gamal with waste management modifications in health services has catapulted his name to the international exposure. Another Hasanah Ambassador is Nezatullah Ramadhan. A young man who manages environmental conservation through Yayasan Nara Kreatif. The core of his program is recycling waste paper, newspapers, Environmental preservation is one of BNI Syariah missions. Moreover, this concern towards the environmental preservation is stated as the first point in the Company’s mission. This emphasizes that BNI Syariah has a strong commitment to actively participate in Environmental preservation program. Even though BNI Syariah business activities have relatively small direct impact towards environment, BNI Syariah willing to participate both directly or indirectly in all efforts towards environmental preservation. Hasanah Banking Partner 427 Annual Report 2017
428. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis Xtra program as one of the efforts to reduce paper use and energy saving . magazines and paper waste from companies including BNI Syariah, into a goodie bag material, tissues holder, business cards and stationery products for BNI Syariah in a regular basis. GEN – Xtra is a collective efficiency movement towards Hasanah, which in practice, GEN – Xtra implementation is initiated from each individual and starts from basic behaviours. One of the targets is to increase cost efficiency by re-analyzing all activities to be better measured and monitored, also will be evaluated every month. In practice, these actions are applied through efficiency of paper and electricity usage, and efficiency of other operational expenses, described as follows: GEN-Xtra One of the efforts taken by BNI Syariah to preserve environment is launching Gen-Xtra. Company’s policy related to the management and environmental preservation is presented in the recommendation, declaration and Company regulation to minimize the Company’s operational activity impact towards environment. BNI Syariah applied the GEN – antara lain : GEN-XTRA EMISSION Working effectivity and efficiency Improvement Action Environmental friendly operational vehicles, joint use of operational vehicle HCIS RE-USE & RECYCLE IT Based HR Management Two-sided paper use for printing E-Billing REDUCED WATER CONSUMPTION E-Billing Paperless Billing Statement sent through e-mail Responsible of water consumption SHECO EFFICIENT ENERGY USAGE IT based mailing system Turn off computer when not in use 1 Tree for 1 House Program Exclusively for Housing Construction Financing and the Agreement with the property developer, BNI Syariah includes a term condition related to the environmental preservation by requiring availability of all documents as described below: 1. Traffic Impact Analysis (Andalalin) 2. Environment License 3. Environment Impact Analysis (Amdal) 4. Technical Recommendation regarding flood containment technique (Peil Banjir) 5. Letter of recommendation on fire protection 6. Housing Development Activity Site Permit Environmental Impact Assessment (EIA) as Financing Consideration The fit and proper financing is not limited to profitability aspects (cash flow) and the availability of collateral only. BNI Syariah also conduct the identification of programs by the debtor to anticipate the negative impact from the company or project activities towards environment. BNI Syariah required the evidence of Environmental Impact Assessment (Analisa Dampak Lingkungan/ AMDAL) document from their funded project. Hasanah Banking Partner 428 Annual Report 2017
429. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment 7 . Building Construction Permit 8. Building Technical Recommendation 9. Spatial / land utilization permit 10. Document Recommendation UKL & UPL 11. Land technical consideration 12. Water Uptake Permit (SIPA) 13. Spatial utilization Permit 14. Drilling Permit. Green Sector Financing BNI Syariah also disseminate its fund to green sectors business, such as financing the business for recyclable plastic, patchwork quilt, plastic waste recycling, organic rice, water treatment and organic fertilizer entrepreneurs in micro segment; also, financing palm plantation with approved RSPO & ISPO in small and middle business segments. Furthermore, since the second semester of 2016, the Bank includes the environmental preservation requirements in every contract agreement and Housing Construction financing as below: 1. Property Developer is mandatory to commit in maintaining the environmental aspect in every developed residential by planting/providing 1 tree/ seed to their respective consumer during the property hand-over. 2. The house lighting by the developer is recommended to use LED lamps. ENVIRONMENT CERTIFICATION Hasanah Banking Partner By period of 2017, BNI Syariah has not obtained any environment – related certifications. 429 Annual Report 2017
430. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis RESPONSIBILITY TOWARDS LABOR FORCE , OCCUPATIONAL HEALTH AND SAFETY BNI Syariah is committed to conducting healthy and conducive industrial relationships between the Company and its employees and the public, and ensuring all employees have equal rights and opportunities for HSE access while working. OBJECTIVE AND ACTION PLANS Establishment of healthy and harmonious industrial relationship between the Company and employees is the main objective of BNI Syariah. In line with the healthy relationship, BNI Syariah also seeks to improve the welfare of employees through a wide range of benefits provided to employees. BNI Syariah not only providing normative type of benefits, but more than that, BNI Syariah also seeks to provide holistic welfare, in this case to also provide attention to the family of the employee. In 2017, BNI Syariah plans to provide education financial assistance for the children with good grade of the Company’s outsourced employees, provide health fund assistance for the employee’s family, provide special designated mother’s room for BNI syariah employee in the office premises. LABOR FORCE BNI Syariah’s Policy related to labor force is referred to Act no 13 Year 2003 regarding Labor Force. Besides that, the Company also owns several related regulations, the Corporate Regulation and Management Decision to ensure that the Company has applied the correct regulations regarding labor force. Hasanah Banking Partner 430 Annual Report 2017
431. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment without questioning their background , gender, social status and class. This policy was executed in promotional activities, competence development, assignments, and the distribution of compensation and bank allowances. Gender Equity and Equal Employment Opportunity The obedience on principle of equity in employment opportunity, is manifested in the equal opportunity offered for all Indonesian legitimate citizens to join BNI Syariah, By end of 2017, the total number of employees was 4,737 with a composition of 2,760 male and 1,977 female. 2,440 1,815 2015 2,579 1,871 2016 Male Hasanah Banking Partner 2,760 2017 Female 431 1,977 Annual Report 2017
432. Performance 2017 Management Report Company Profile Business Supporting Function Supervisory Board and Board of Directors are discussed through the Nomination and Remuneration Committee decided by the General Meeting of Shareholders (RUPS). Employee Remuneration and Welfare BNI Syariah remuneration system consists of salary and various employee facilities. BNI Syariah adheres to the principle of remuneration of pay for position and pay for person. This means that in the implementation of the remuneration system, the company provides facilities to employees by considering the value of position, industry conditions, and employee performance. Henceforth, in 2018 BNI Syariah will apply the principle of remuneration of pay for person based on the competency, educational background and certification of each employee. To be more competitive to the market, remuneration will be directed to fixed pay adjustment and attempted to increase pay variables. Periodic Salary Adjustment Mechanisms Salary adjustments are periodically implemented at least once per year as required. The salary adjustment set by the company is given in the form of a certain percentage of the Basic Salary, taking into account: a. Payroll survey results in the national banking industry including the living cost b. Inflation c. The company ability d. Individual performance and achievement e. Position of employee salary in the range of Basic Salary In 2018, BNI Syariah strive to adjust so that the position of remuneration standard is improving in the market. Allowances and special facilities for leadership level or for specialist positions shall be made by considering the internal conditions of the company and adjusting to market / industry conditions. Meanwhile, remuneration and other facilities for the Board of Commissioners, Sharia No. Management Discussion and Analysis The highest and lowest salary ratio in BNI Syariah Salary is a reward given by the company in the form of money based on employees’ performance. Payroll is set and paid based on employment contract, agreement or legislation. Description Ratio 1. Employee Highest/ Lowest Salary 24.30 : 1 2. BOD Highest/ Lowest Salary 1.11 : 1 3. Commissioners Highest/ Lowest Salary 1.11 : 1 4. BOD Highest/ Employee Lowest Salary 2.62 : 1 employee welfare as well as a strategy in retaining the best talents. Besides proper remuneration, BNI Syariah also provide additional benefits for the employees depending on their positions. This action is BNI Syariah’s effort to improve Hasanah Banking Partner 432 Annual Report 2017
433. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment The total compensation scheme given by BNI Syariah to employees is as follows : Remuneration Compensation Fixed Pay Benefit Variable Pay Fixed Allowance Other Benefit Basic Salary Positional Allowance DPLK Official Residence THR Equality Allowance BPJS for Employment Official Car Leave Allowance Food Allowance BPJS of Pension Employee Loan Achievement Allowance House Rent Allowance Phone Credit Facilities Health Bonus Tax paid by company Scholarship Shelter Support Transportation facility fo Home Based Death Allowance Trainings 1. Car Ownership Program (COP), eligible for certain level position; that is, the highest level of an organizational unit (Division Head). This car will become private property of this entitled employee in a certain period of time. 2. Company Car, is given to employees with certain position; generally, to the Branch Manager, Operational Manager, Consumer Business Manager, Sub Branch Manager, etc. 3. Company Loan, is approved to be given to employees who have excellent working history in previous years of service. Those benefits are divided into 2 (two) types: the fixed and other benefits. Those categorized as fixed benefits are basic employee allowances. This basic allowance is provided by the Company aligned with the government regulation. The value of this fixed benefits is determined by the Company’s regulation. Apart from the fixed benefit, there are other benefits for employees, based on certain criteria. Some of these eligible benefits which employees can get are as follow: Hasanah Banking Partner 433 Annual Report 2017
434. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis (Perjanjian Kerja Bersama/ PKB) PT Bank BNI Syariah No. PKS/DIR/003/2017 and No. PKB-3/DPP-SP/2017 dated 20 January 2017. 4. Scholarship, is allocated to those who have been in service for company in a certain period of time with excellent working history. 5. Relocation Fund, is given to employees who are assigned out of their home based location or they who provide service relatively far from the home based location, in a certain period of time. 6. Service Reward, is given to those who have minimum 20 years period of service and a 5-year fold afterwards, i.e. the 25th, 30th and 35th year of service. All employees need to understand the Collective Labor Agreement in order to create harmonious, dynamic, and equitable industrial relations in accordance with Pancasila values. With the good understanding of the work policy stated in the collective labor agreement, the rights and obligations of the company and the rights and obligations of employees, along with the spirit of trust and congregation are expected to make employees become Hasanah people. Industrial Relation and Colective Labor Agreement In achieving its vision to be the people chosen sharia bank with the best service and performance, BNI Syariah realize the importance of running the business under a good corporate governance by complying with the applicable regulations. In the case of any problems / issues occuring in the labor industry, BNI Syariah always consider first the inputs from the Labor Union so the employees will not be discontent. The Union as employees’representative in conveying employees’aspirations is very useful to the management in terms of establishing two-way communications between management and employees through Bipartite Cooperation Forum, which function as a forum for communication, consultation and discussion between Company and Labor Union or Employees. In order to support the realization of BNI Syariah Vision and the good corporate governance, BNI Syariah management team has developed the BNI Syariah employee code of conduct based on Islamic rules of ahlakul kharimah (the noble personal characters), as the guideance in performing all daily duties, applying good behaviors and conducts towards all working colleagues, business partners, and others. The industrial relations served as a bridging tool between employees and management has a very important role to ensure employees have better communication with the management in delivering information about the problems they encountered in the field and providing constructive feedbacks to employees. If good relationship between employees and the management is realized, employees would strive to achieve the management objectives and goals and the company then can fulfill the desirable welfare for employees. BNI Syariah codes of conduct must be consistently followed and implemented by all BNI Syariah employees with full sense of responsibility. Next, with the spirit of Amanah (trustful) and Jamaah (in congregation) let’s follow the BNI Syariah codes of conduct istiqomah (persistently) to realize BNI Syariah ambition to be the people chosen Sharia Bank best in service and performance. Complaints Mechanism of Labor Problems In order to realize PT Bank BNI Syariah as a hasanah workplace for the employees, it is necessary to create guidelines procedures that can support the delivery and solving the problem of labor complaints and / or industrial relations disputes by way of discussion to reach consensus. This is in line with the Collective Labor Agreement (PKB) of PT Bank BNI Syariah regarding the handling of employment complaints and / or problems. In order to achieve the harmonious industrial relationship between employees and the management, BNI Syariah give the opportunity for the employees to participate in labor union (Serikat Pekerja – SP) of PT Bank BNI Syariah which has been registered in Labor force and Transmigration Agency with registration code No. 549/I/P/III/2011 dated 10 March 2011. This is to ensure that BNI Syariah guarantee all of its employees get their rights according to legitimate regulation, as stated in the Collective Labor Agreement Hasanah Banking Partner 434 Annual Report 2017
435. Human Capital Good Corporate Governance Corporate Social Responsibility submitted to the highest level of management in the work unit . • Next, the highest level of management in the work unit must arrange a meeting with the employee(s) to resolve the complaints, within a period of no later than 5 (five) working days after the form of employee complaints Stage II is received. • In this meeting, employees may appoint representatives of Labor Unions as companion. • The meeting shall be stated in the minutes of meeting (attachment 4) and then signed by the employee(s), Highest Level of Management of Work Unit and Labor Union (if any), then sent to the Human Resources Division Manager Unit via the Industrial Relations Work Unit (IR). • Human Resources Division Manager Unit via the Industrial Relation Work Unit will fill in the registration of complaints and must monitor the complaints until the problem can be resolved. d. Complaints Stage III (Bipartite Negotiation) • If the Complaints Stage II does not produce satisfactory results, the complaints are stated as industrial relations disputes. • The employee(s) may file his complaint through the Bipartite Negotiations, by filling out the Employee Complaints Form Stage III (attachment 3) along with Appendix of the Minutes of Meeting Complaint Stage I & Stage II. • The forms and attachments are submitted to the unit / branch and then sent to the Human Resources Division Manager Unit via the Industrial Relations Unit. • The Industrial Relation Work Unit will schedule a meeting no later than 10 (ten) working days after receiving the Form and supporting attachment. • This meeting are hereinafter referred to as bipartite negotiation which must be attended by Employee(s), Labor Union and Human Resource Unit Division Industrial Relations Work (IR may appoint representation if in Branch Office). • The flow in employement complaints is divided into internal and external scope issues. 1. Below is the internal scope of employment complaints mechanism: a. Informal Discussion • Before submitting procedural complaints, employees are required to discuss the issue / submit complaints to the direct superior in the form of informal discussions. • If this informal discussion does not achieve a satisfactory solution for employees, then employees can follow Employee Handling Complaints formal procedure. b. Complaints Stage I • Complaint Stage I is conducted if informal discussions do not produce satisfactory results for employee(s), then the employee(s) can file a formal complaint by filling out the form of employee complaints Stage 1 (attachment 1) containing Complaints and details of problems faced by employee(s), to be handed over to direct supervisor. • Direct supervisor arranges meetings with employee(s) no later than 5 (five) working days after the Stage 1 Complaint Form is accepted. • In this meeting, employee(s) may appoint representatives of Labor Unions as companion. • The meeting shall be stated in the minutes of meeting (attachment 4) and then signed by the employee(s), immediate supervisor and Labor Union (if any), then sent to the Human Resources Division Manager Unit via the Industrial Relations Work Unit (IR). • Human Resources Division Manager Unit via the Industrial Relation Work Unit will fill in the registration of complaints and must monitor the complaints until the problem can be resolved. c. Complaints Stage II • If the Complaints Stage I does not produce satisfactory results, the employee(s) may file complaints in Stage II by completing the Stage II employee complaint form (Attachment 2) by attaching the Appendix of the Complaint Stage I, containing the complaints and problem details faced by the employee(s), to be then Hasanah Banking Partner Attachment 435 Annual Report 2017
436. Performance 2017 Management Report Company Profile Business Supporting Function • Complaints Stage IV is submitted by the employee(s) to the authorized institution of the local Government Manpower Office by attaching the evidence in the form of Minutes of Bipartite Negotiation. • The Tripartite Settlement shall be set forth in the Collective Agreement signed by the parties and witnessed by the Third Party, the local Government Manpower Office. • Collective Agreements agreed by Employees and Company / Management are registered with the local Industrial Relations Court. b. Complaints Stage V (via the Industrial Relations Court) • In Complaints Stage V, the settlement is made via the Industrial Relations Court if the settlement at the Tripartite negotiations does not reach agreement. • The lawsuit is submitted by the Employee(s) to the Industrial Relations Court at the local State Court of the jurisdiction. • Filing of the lawsuit shall be accompanied by the Tripartite Negotiation Review, if it is not enclosed with the Tripartite Negotiation Review, the Industrial Relations Court may return the claim. • In the proceedings at the Industrial Relations Court, the respective litigation parties is free of charge, including free execution fees in which the lawsuit value is below Rp. 150.000.000, - (one hundred and fifty million rupiah). • Bipartite negotiations are conducted through discussion (musyawarah) to achieve consensus. • Settlement of disputes through bipartite shall be settled no later than 30 (thirty) working days from the starting date of the negotiation. If in 30 (thirty) working days term either party refuses to negotiate or has negotiated but not reached a consensus, bipartite negotiations are considered to have failed. • After a consensus between the employee(s) and the Company / Management is reached, the complaints are considered to have settled and then Collective Agreement is to be signed by the Employee(s) and the Company and Witness of the Labor Union. • The Collective Agreement shall contain at least the full names, the home address of the parties, the date of negotiation, the place of negotiation, the subject matter or reason of the dispute, the parties’ opinion, the conclusion or the outcome of the negotiations and the signatures of the negotiating parties. • Should bipartite negotiations not reaching a concensus between the employee(s) and the Company, it shall then be stated in the Minutes of Bipartite Negotiation (appendix 5). • Collective Agreement that has been agreed by Employee(s) and Company / Management is registered to the local Industrial Relations Court. 2. Below is the external scope of employment complaints mechanism: a. Complaints Stage IV (Tripartite Negotiation) • If employment complaints between the Employee(s) and the Company are not resolved, then the settlement of complaints will be made through the medium of Tripartite Negotiation, in which the settlement is conducted together with the Third Party ie. the local Government Manpower Office. The Tripartite Negotiation can be done via mediation of the insutrial relationship where the mediator is from the Department of Manpower. Hasanah Banking Partner Management Discussion and Analysis Employees Turnover The human resources management is carried out in a fair and transparent approach, based on BNI Syariah’s culture, Amanah (trustful) and Jamaah. BNI Syariah succeed in creating conducive environment for every employee. This is reflected by the low rate of employee turnover. 436 Annual Report 2017
437. Human Capital Good Corporate Governance Month January February March Year Corporate Social Responsibility Employee in Employee out Attachment Employee Number Turn Over 2016 104 28 4 .411 0,63% 2017 99 21 4.528 0,46% 2016 5 20 4.415 1,09% 2017 35 7 4.546 0,62% 1,63% 2016 33 24 4.409 2017 98 24 4.616 1,13% April 2016 38 51 4.360 2,82% 2017 78 27 4.634 1,70% May 2016 33 33 4.449 3,51% 2017 64 22 4.676 2,16% June 2016 14 17 4.466 3,87% 2017 43 31 4.718 2,80% July 2016 18 21 4.432 4,38% 2017 25 34 4.698 3,53% August 2016 21 44 4.401 5,41% 2017 20 30 4.683 4,19% September 2016 74 38 4.439 6,22% 2017 17 23 4.665 4,69% October 2016 21 18 4.436 6,63% 2017 32 36 4.675 5,45% November 2016 37 26 4.448 7,19% 2017 105 30 4.664 6,11% December 2016 19 17 4.450 7,6% 2017 107 24 4.737 6,52% OCCUPATIONAL HEALTH AND SAFETY In addition, BNI Syariah also provides health facilities for families of employees; especially for children, must be under 21 years old, unemployed, unmarried. As for children who are still in school, unemployed and unmarried are up to the age of 25 years old. Occupational health has been listed in PKB PT Bank BNI Syariah Period 2015-2017 About Health Facilities. BNI Syariah is concerned with the safety and health of employees by constantly mitigating the impact on employees. Employee health and safety sectors are part of the Company’s commitment to all employees. Occupational Health Risk Management Employees health is one of the main keys for optimal employees contribution to the performance of BNI Syariah. Therefore, BNI Syariah feel responsible to maintain the health of our employees, aside from the employees themselves. BNI Syariah facilitate some employees activities in a hope to increase awareness and motivation of employees personal health. Hasanah Banking Partner Work Accident Risk Management Although the business characteristics of BNI Syariah have a relatively low occupational risk level, BNI Syariah however pay great attention to work accident aspect. 437 Annual Report 2017
438. Performance 2017 Management Report Company Profile Business Supporting Function To protect our employees from occupational accident risk , we have identify the risks of occupational injuries and how they are managed. Occupational risk management cover the needs within the office and in the field. Club BNI Syariah Club BNI Syariah is BNI Syariah employee informal organization, a place for employee activities after office hours. BNI Syariah employees can express their hobbies and creativity in sports, arts, social, and spirituality. These activities aim to create a balance between work and out of work activities, so as to increase productivity and working with passion. The spirit of togetherness, brotherhood, fair competition to always be the best, become the motto of BNI Syariah. The sense of togetherness and brotherhood of fellow employees in the activities organized by BNI Syariah Club not only provide refreshing feeling and opportunity to express their hobbies and talents, but improve BNI Syariah reputation through various activities at Local, National, and Regional level. BNI Syariah occupational risk management, conduct several activities related to work accident, among others: 1. Regular training and information of evacuation from multi-storey buildings. 2. Basic training on the use of fire extinguishers. 3. Rescue training of victims from inside the building followed by building security workers. 4. Equipment facilities complete with relevant and adequate basic safety equipment, including oxygen tubes (O2), First Aid First Aid, emergency sliding looms in exit windows. 5. Ambulance availability at head office (in collaboration with Yayasan Hasanah Titik) 6. Fire / disaster / earthquake evacuation simulations held at least once a year in Head Office and Kanto Branch; and maintenance of fire gas tubes / Fire Extinguishers (APAR), Building Alarms, Smoke Detectors. Hasanah Banking Partner Management Discussion and Analysis The activities that have been implemented by Club BNI Syariah in 2017 are as follows: 1. Community Gymnastics 2. Fishing Mania 3. Hasanah Adventure Club 4. Hasanah Rider Comminity 5. Hasanah Cycling Club 6. Hasanah Golfer Club 7. Hasanah Basket Club 8. Hasanah Futsal Club 9. Hasanah Runner Club 10. Hasanah Freeletics 438 Annual Report 2017
439. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment SOCIAL RESPONSIBILITY TOWARDS SOCIAL COMMUNITY and Action Plan As a financial institution , which based on Sharia principles, BNI Syariah is determined to create business activities that providing benefits not only to the shareholders and internal Corporate. But, more than that, BNI Syariah wants its business activities to provide benefits for the wider community. The social community according to BNI Syariah has a broad meaning as to not only limited to our customers but Indonesian people in general. Therefore, with the spirit of reliable service, BNI Syariah wish to encourage community empowerment to become independent and consequently improving their quality of life. Among several focuses of social community development activities, BNI Syariah emphasizes the Company’s contribution in education, economic, health and environment, and social dakwah. BNI Syariah run sustainable community development program that is not merely a philanthropic nature. BNI Syariah believe the impact of such programs will be greater than donation type of program. Program Implementation As a Company determined to grow together with the community, in designing and executing our empowering programs, each aspect is strongly influenced by values, needs, and local element involvements of local communities. This approach is expected to generate a people centric development, which eventually will maintain and ensure the sustainability of our implemented programs. OBJECTIVES AND ACTION PLAN BNI Syariah is fully aware that developing programs that can sustainably empower the community is not an easy task. By being ‘sustainable’ means that BNI Syariah provide mentoring and become partner. For BNI Syariah to keep moving forward, even only one step forward is crucial, because it means that every day BNI Syariah always be part of goodness in the community. Objectives Hasanah Banking Partner 439 Annual Report 2017
440. Performance 2017 Management Report Company Profile Business Supporting Function basis of zakat beneficiaries . Through regular pengajian majlis taklim, BNI Syariah implement One Day One Liter One Family program; to fulfill the need for rice for approximately 2,000 poor families in Greater Jakarta area for 3-4 months period. In addition, caustically, BNI Syariah also encourage the fulfillment of basic needs for shelter, especially for poor families by providing house rental support. In regular basis, BNI Syariah also provide donation and school packages for more than 1200 orphans each year. In special events and through branch offices, BNI Syariah give donation to at least 7,426 children in the workplace vicinity. For social community, the focus of BNI Syariah social program is on the fulfillment and development of humanitarian aspects, which in turn will affect the improvement of local social environment. Health program, for example; to fulfill the individual health rights, in addition to providing general health care as well as special health care such as eyeglasses and dental care, BNI Syariah also actively provide health education for lower class society (dhuafa) in several regions in Indonesia that are vulnerable to economic effects due to health problems. Also, disaster-affected locations; some locations receiving our health care program in 2017 include Pulau Seribu, Cilegon, Rumpin Bogor, Caringin, Bekasi, Purwokerto, and Bandung. The social programs implemented by BNI Syariah, in purpose for fulfilling basic rights of the poor, are in order to realize the shari’a aspect of the distribution of zakat, without disregarding the aspects of community empowerment as BNI Syariah standard. The Sustainable Livelihood standards, for example, also fulfill both humanitarian and social aspects. As for maqhosid syariah, this BNI Syariah social activity purpose is also to take care of the soul, religion, sense and descendants of the beneficiaries of the program. For education program, which is one of the most important aspects in preparing a good generation, BNI Syariah focus to provide school fee payment for children who come from low-income society. One of the expectations of this program is to increase the number of students come from the disadvantaged families. In addition to school fees, in the field of education, BNI Syariah also develop programs to increase literacy and world literated rates of Indonesian children. The implementation of this program is through reading park facilities, especially for marginal community groups. This reading park also available in mobile - through Smart Car Hasanah (Mobil Cerdas Hasanah). Hasanah Smart Car activities are primarily functionalized to reach schools in the remote areas where information and reading resources are urgently needed. One effort to ensure the continuity of BNI Syariah social empowerment programs is by providing the trigger for the economic potential development in the community. Monitoring the process of building community empowerment through Hasanah Ambassador has entered the second year program of what we call the growing together process. The community groups supported by Hasanah Ambassador have felt the benefit of the process and presence of BNI Syariah social program, especially in its economic impact. Based on the program impact review conducted by independent institutions / teams in 9 (nine) locations of empowerment programs, the economic empowerment of women transmigrant group in Bengkulu by Ibu Suminah, shows an increasing value in the family income, as one of examples. Although in varying degrees, every supported community shows gratitude towards BNI Syariah Hasanah Ambassador social program. Syariah focus to provide school fee payment for children who come from low-income society. One of the expectations of this program is to increase the number of students come from the disadvantaged families. In addition to school fees, in the field of education, BNI Syariah also develop programs to increase literacy and world literated rates of Indonesian children. The implementation of this program is through reading park facilities, especially for marginal community groups. This reading park also available in mobile - through Smart Car Hasanah (Mobil Cerdas Hasanah). Hasanah Smart Car activities are primarily functionalized to reach schools in the remote areas where information and reading resources are urgently needed. For compassionate based social programs (karikatif), BNI Syariah encourage the fulfillment of basic needs of the poor through the Hasanah Banking Partner Management Discussion and Analysis Another story of Hasanah Ambassador is Mr. Yudik in Wonosobo, with the concept of agricultural economic development. He built a pesantren based agricultural economic community. In addition to the economic value of the agricultural vegetables process production for 440 Annual Report 2017
441. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment pesantren and santri , the Wonosobo program also has a mission to build modern farmers coming from rural pesantren. Mr. Yudik’s vision of making Indonesia as a source of agricultural products and expertise, pioneered through small steps with BNI Syariah. succeeded in collecting and distributing three buffaloes, 126 cows and 442 goats in 68 branches throughout Indonesia and distributed to dhuafa in the branch vicinity region up to the countryside, thanks to ACT partners and Rumah Zakat collaborations. Until 2017, together with 12 existing Hasanah Ambassadors, BNI Syariah endeavor to create society that is more beneficial to the environment, more beneficial to social and humanity aspects and more beneficial to economic development, a better society. Hopefully, new Hasanah Ambassadors will be born in the future. BNI Syariah 7th Anniversary CSR Program In welcoming the 7th Anniversary, BNI Syariah create the theme “7 Magnificent” and perform activities with the purpose of improving faith and devotion to Allah SWT, inculcating good behavior (perilaku berhasanah) to both employees and society; also increasing engagement between employees and customers, communities and society in order to gain blessing for customers, society and BNI Syariah. BNI Syariah activities also include those of related to social community aspect, including “Qurban Hasanah Nusantara” in celebrating Idul Adha 1438 H and the programs in celebrating 7th Anniversary of BNI Syariah “7th Magnificent” such as Hasanah for Society, Tadarus Anak Hasanah, Berbagi Takjil, and Muhassabah Hasanah and Hasanah Back to Hometown (mudik). Hasanah for Society is a makeover activity for musholla/ praying place/ pesantren and public facilities which are in poor conditions in 5 cities (Tanjung Karang, Bandung, Denpasar, Palangkaraya, and Pekalongan); Tadarus Anak Hasanah is a program of learning Al-Quran for children who come from disadvantage family in BNI Syariah branch vicinity area. This program has been implemented in 68 branches all over Indonesia (about 20 children per branch). Support of teaching staff, is one of BNI Syariah teaching methods in collaboration with Askar Kauny. In addition to learning and memorizing Al Qurán, the children are given donation; Muhassabah Hasanah is the peak of the BNI Syariah 7th anniversary celebration, presenting tausiyah from Ustadz and orphanage donation at 68 BNI Syariah branches throughout Indonesia; Takjil Hasanah is giving takjil (breakfasting food) to the fasting travelers / riders who are passing BNI Syariah branches office areas in 68 branches throughout Indonesia; Mudik Hasanah is a program to send home the hafidz quran to their hometown (mudik gratis). Qurban Hasanah Nusantara BNI Syariah as an Islamic banking institution that applies Hasanah values, feel the need to invite all employees and society to perform sacrifice (qurban). This activity is desirably able to share with the poor (dhuafa) and to build relationships between customers, society, and employees, so as to bring blessing to BNI Syariah, customers and the whole society. In 2017, this program titled “Qurban Hasanah Nusantara” with tagline “Qurbanku for Indonesia BerHasanah” by inviting the community, customers and all employees to perform sacrifice (qurban) through BNI Syariah. The program campaign is disseminated through printed media, online media and billboard. This program has Hasanah Banking Partner 441 Annual Report 2017
442. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis BNI Syariah Corporate Zakat Program - 2017 In Celebrating BNI Syariah 7th Milad (Magnificent of Hasanah) No Program Name Program Description Nominal Budget 1 Hasanah For Society • Makeover musholla/praying place /rumah tahfidz/pesantren in 5 remote area (remote villages, tourism place, mountain area) • Implementation in 5 cities (Tanjung Karang , Bandung, Denpasar, Palangkaraya, Pekalongan). Rp 143.542.000 2 Tadarus Anak Hasanah • Al-Quran learning program for children from disadvantage families in the vicinity of BNI Syariah branches • Implemented in 68 branches throughout Indonesia • The program period is May - June 2018, where each branch gave 20 dhuafa children a teaching curriculum (tadarus, tausiyah) • BNI Syariah collaboration with Askar Kauny in providing teaching staff. The teaching method is to memorize the Quran as easy as smiling to make the children interested to easily learn al-quran • At the end of the program, each branch provides a gimmick and donation to the children who have attended the program Rp 624.410.632 3 Muhasabah Hasanah • Muhasabah Hasanah is the BNI Syariah 7th Milad celebration held in Head Office and Branch Office of Indonesia • The event held tausiyah and donation for orphans • Implementation in 68 BNI Syariah branches throughout Indonesia Rp 1.026.680.631 4 Takjil Hasanah • Takjil hasanah is series of milad BNI Syariah celebration in the form of giving breakfasting food to the fasting travelers / riders passing BNI Syariah branch offices • Implementation in 68 BNI Syariah branches throughout Indonesia Rp 110.000.000 5 Mudik Hasanah • Mudik hasanah is a program to send home the hafidz quran to their hometown (mudik gratis) Rp 118.874.410 Meanwhile, for the green zone community is focusing more on the support to higher education level achievement, such as the tuition fee support. This, of course, is applied with higher requirements, such as the academic achievements and the desirable academic field, and since the funding status is zakat, then the priority is more on the Islamic topics. Education (Education Empowering Program) BNI Syariah’s advancement of the community empowering program in education covers all zones of community groups. In the red zone, this education program helps the government to ensure the fulfillment of mandatory basic education for children. For yellow zone community, we focus more on educational program such as creating the awareness to enrich literacy through mobile library and school libraries development. Activities in 2017 are described as follows: Activities Description Location Hasanah Smart Car Hasanah Smart Car is a developed mobile library, equipped with Audio Visual facilities and educational game tools to make Smart Car activities more interactive. Jabodetabek, West Java & Central Java PDG Scholarship Education scholarship grant to BNI Syariah basic employees and and/or their children, from elementary school to college level, given 2 times a year (per semester). Basic employees include; OB, Driver, Waiter and Security Guard All BNI Syariah Office Network Hasanah Banking Partner 442 Annual Report 2017
443. Human Capital Good Corporate Governance Corporate Social Responsibility all branches of BNI Syariah in various fields (economy, education, health and environment, agriculture and livestock). Then, BNI Syariah together with Hasanah Titik Foundation implemented Hasanah Empowerment program, which is the follow up program of Mutiara Bangsa BerHasanah (MBB) by providing education, training and business capital to the empowered person of 12 Hasanah Ambassadors. It is expected through Hasanah Empowerment program that new entrepreneurs emerge and economic prosperity of Hasanah Ambassador empowerment program increases. In accordance with field segregation, the empowerment is divided into 3 fields i.e craft, environment, agriculture and livestock. The role of BNI Syariah in this case is providing assistance and knowledge about entrepreneurship through its branches. Economics (Economic Empowering Program) BNI Syariah is determined to increase the humanity level of the community through increasing the level of capacity and welfare as well as to optimize natural resources potential that exists in the local community with Hasanah Ambassador program. Since the launch of Hasanah Titik corporate campaign on February 28, 2014, BNI Syariah together with Kraftig Agency implemented Mutiara Bangsa BerHasanah program, a program to search an ordinary person doing extraordinary thing or “Hasanah” to his/her environment. It is expected that Hasanah Ambassador can spread Hasanah “virus” to the whole society. 14 Hasanah Ambassadors are elected from 415 candidates from Type of Activities Hasanah Empowerment kepada 12 Duta Hasanah Attachment Description Activity Impacts 1. Craft field: Budiono (household handicraft producer from Sragen, Central Java). a. Develop direct selling marketing program for SMEs who want to promote their products, especially for the empowerment products. b. Develop koperasi kita bersama (cooperative), established by the empowered SMEs to supply the needs of production and marketing materials. c. Develop creative workshops to create low cost products starting from the raw material planning ideas to marketing. Siwi (batik craftsman from Ngawi, East Java). a. Develop a craft training program (batik and bag modification) for children with special needs (hearing impairment). b. Develop a batik training program for youths and mothers of poor families. Suminah (banana stem craftswoman from Bengkulu). a. Develop training program for mothers of poor families, utilizing available natural resources, such as banana stem, batik and culinary (orange syrup and pure coconut oil). In addition, facilitating the marketing of member creation products. b. Develop program of raw materials provision for culinary business in form of orange seeds planting (kalamansi). Makhbub Junaidi (Leather craftsman from Sidoarjo). a. Develop training and assistance of leather crafts for children with special needs. b. Provide revolving business capital for community members around Tanggulangin, Sidoardjo. Giyana (Guitar craftsman from Sukoharjo, Solo). a. Develop working capital grant program in the form of tools and guitar materials for craftsmen. b. Facilitate the marketing of members’ products and provide basic financial training. Based on the implemented program, Hasanah empowerment program has a positive impact on the society in terms of financial improvement (income), social and dakwah; such can be seen from the emergence of new coaching for venture capital. Hasanah Banking Partner 443 Annual Report 2017
444. Performance 2017 Management Report Company Profile Type of Activities Business Supporting Function Management Discussion and Analysis Description Activity Impacts 2 .Environment Dr Gamal Albinsaid, (Founder of Indonesia Medika). a. Develop health programs such as waste-based microinsurance enhanced for the community health insurance. b. Develop health services through homedika.com program. Risdani Yasir, (Utilizing paper and waste recycling). a. Develop waste management concerning programs. b. Develop waste based craft empowerment program. Nezatullah Ramadan, (Founder of Nara Kreatif Foundation). a. Develop a creative economy program employing using paper waste which is processed into a variety of products that has economic value. b. Program for empowering street children (anak jalanan) and religious education. c. Develop revolving fund program for the unfortunate community who live around Nara Kreatif. 3. Agriculture and Livestock Abdul Hamid, (Farmers of seaweed). a. Develop seaweed cultivation for unfortunate community. Eko Dadiek, b. Develop an integrated and independent community agriculture program. Yudik, Distribute business capital facility to unfortunate people (dhuafa). Andris (founder of instant liwet rice product 1000, from Garut). a. Provide training and mentoring to farmers to optimize the production and sale of their agricultural products. Program receiving group is almost entirely come from the red and yellow zone communities (fakir/miskin). Health and Environment Empowering Program Health and environment are the aspects that become the focus of BNI Syariah CSR program development. BNI Syariah consider that the health and the environment have a very close relationship, yet its quality in society is still low to this day. Therefore, BNI Syariah is determined to conduct community empowerment program to improve quality of their health and shape the environment that supports public health. The development of da’wah program has an attachment on the aspect of social development. The arranged program holds the principle that social environment improvement must start from the improvement of the individuals themselves. Therefore, in addition to providing programs in form of direct support, BNI Syariah also concern about the da’wah program that will impact on better individual and community religious life. Social programs and da’wah, which are arranged by BNI Syariah, have two important objectives and have a strong attachment to each other. Social program is mainly intended to meet basic human needs, especially food. Hasanah Banking Partner 444 Annual Report 2017
445. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment The activities conducted by BNI Syariah in 2017 related to social da ’wah is as follows : Type of Activity Tadarus Anak Hasanah 2017 Description Activity Location Providing teaching of reciting and memorizing of Al Quran to unfotunate children around BNI Syariah branch offices and employees All branch offices Financial Literacy Education In accordance with the Financial Services Authority Regulation No.1/POJK.07/2013 on Consumer Protection of the Financial Services Sector, in particular Article 14 paragraph (1): Business services player shall conduct education in order to increase financial literacy to consumers and/or community, BNI Syariah run educational program of financial literacy to the community. Such activities have also been reported to the Financial Services Authority. In 2017, financial literacy education activities that BNI Syariah conducted are as follows: 1. Hold Board of Director (BOD) Teaching, which is a mandatory program of OJK to educate youth at high school level; BNI Syariah participate in the program by providing education of sharia banking to high school students. 2. Directing the implementation of BM Teaching which is a teaching program conducted by Branch Manager at partner schools. Hasanah Banking Partner 445 Annual Report 2017
446. Performance 2017 Management Report Company Profile Business Supporting Function Management Discussion and Analysis RESPONSIBILITY TOWARDS CUSTOMERS BNI Syariah ’s vision to be the people chosen sharia bank with the best service and performance is the commitment that BNI Syariah intend to always fulfill customers’ needs as lifetime banking partner, by providing one stop financial solution. Customer’s satisfaction is the standard for BNI Syariah to enhance the quality of its service and advancement towards all BNI Syariah’s products. Such efforts to enhance the quality is by periodically evaluating the service both externally and internally as well as developing the culture of service excellence among all BNI Syariah employees. 3. Transparency of personal data use is by permission and written approval is inquired to customer at the opening of the account and for those who do not agree will then be recorded through the appropriate system with Standard Operation Procedure (SOP). OBJECTIVE AND ACTION PLAN 1. Website www.bnisyariah.co.id 2. On site at the nearest branch office In order to improve our quality of service, BNI Syariah deliver the service of excellence to meet customer’s expectation, i.e. socializing any kind of information related to the product to our customers at their convenience through: Product Information Services Based on Bank Indonesia statement no. 7/6/PBI/2005 regarding Transparency of Bank Product Information and Confidential Personal Data Disclosure, BNI Syariah’s commitment towards all customers is to give transparent product information, verbally or in written, including product characteristics, benefits and risk of the products and the special warranty for a fund collecting products. Customer Reporting Process and Complaint Handling Mechanism Based on Bank Indonesia statement No. 7/7/PBI/2005 regarding the handling of customer reports/complaint, BNI Syariah always keep improving our quality of service in handling the settlement of customer reports/complaints through special working unit which handles and resolves customer complaint. Regarding performance of handling and settling customer report which potentially has customer’s financial lost, report to Bank Indonesia and National Financial Service Authority (OJK) is carried out on a routine basis. BNI Syariah’s commitment in informing the product transparency to customers includes: 1. Providing information related to banking product, such as nisbah changes (perubahan nisbah), addition or reduction of product characteristics, verbally or in written in form of information announcement or brochure media in all BNI Syariah’s outlets. 2. Providing Online Sales Kit (OSK) as the guidance for frontline employees in delivering the transparent, comprehensive and clear product information. Period Reports in The settlement handling of BNI Syariah customer reports summarizes as below: 1. The following is the data of BNI Syariah’s customer reports and report handling settlements until 31 December 2017 Response to Report Reports Confirmed Resolved Reports in Handling Progress Year 2013 1.159 1.159 1.159 0 Year 2014 1.542 1.542 1.323 219 265 Year 2015 3.452 3.452 3.187 Year 2016 4.455 4.455 4295 160 Year 2017 7.985 7.985 7.749 236 advancement plan of BNI Call Center for sharia service which enable customers to get solution and handling of customer reports based on service level agreement (SLA) timing which have been determined by regulator. 2. Through voice of customer, voice of employee and voice of business, BNI Syariah continuously improve the quality of our service and the handling settlement of customer reports. One initiative is by developing an Hasanah Banking Partner 446 Annual Report 2017
447. Human Capital Good Corporate Governance Corporate Social Responsibility Attachment The report handling process is depicted as follow : Channel Pengaduan Nasabah Petugas Bank PT Bank BNI Syariah @BNISyariah www.bnisyariah.co.id 1 2 Aplikasi Pengaduan Nasabah 3 5 4 Notes: 1. Customer reports an issue through BNI Syariah channels such as: • BNI Syariah Call Center 1500046 • Twitter @ BNI Syariah • Facebook PT. Bank BNI Syariah • Website www.bnisharia.co.id • The letter addressed to BNI Syariah through its regular and micro branch offices across Indonesia 2. The officer who receives the report through any channel, will make a mandatory data verification and problem identification. 3. The officer who makes the data input through Customer Report Application to be escalated to the related unit/ division for customer reports. 4. Bank officer delivers the solution to the reporting customers on the first attempt after receiving the customer report settlement. 5. Bank officer makes the status update as resolved at the customer report application. Customer Satisfaction Survey Customer satisfaction is an important key to the continuity of BNI Syariah business. To ensure this, BNI Syariah routinely conduct the customer satisfaction survey. Regardless the result, this survey is very important for BNI Syariah: Once the level of customer satisfaction increases, not only this will be regarded as a blessing, but at the same time this also means a challenge to keep the consistency or even better for further improvement. In the other hand, if the result is decreasing compared to last year’s result, this should be an initial alarm of an issue in the service of BNI Syariah. In that regards, the effort for finding the root cause and find the solution must become the priority. Hasanah Banking Partner 447 Annual Report 2017
448. Financial Report Hasanah Banking Partner 448 Annual Report 2017
449. Hasanah Banking Partner 449 Annual Report 2017
450. PT Bank BNI Syariah Laporan keuangan tanggal 31 Desember 2017 dan untuk tahun yang berakhir pada tanggal tersebut beserta laporan auditor independen / Financial statements as of December 31, 2017 and for the year then ended with independent auditors’ report
452. The original financial statements included herein are in Indonesian language . PT BANK BNI SYARIAH LAPORAN KEUANGAN TANGGAL 31 DESEMBER 2017 DAN UNTUK TAHUN YANG BERAKHIR PADA TANGGAL TERSEBUT BESERTA LAPORAN AUDITOR INDEPENDEN PT BANK BNI SYARIAH FINANCIAL STATEMENTS AS OF DECEMBER 31, 2017 AND FOR THE YEAR THEN ENDED WITH INDEPENDENT AUDITORS’ REPORT Daftar Isi Table of Contents Halaman/ Page Laporan Auditor Independen Independent Auditors’ Report Laporan Posisi Keuangan ............................................... 1-5 .................................... Statement of Financial Position Laporan Laba Rugi dan Penghasilan Komprehensif Lain....................................................... 6-7 Statement of Profit or Loss and .................................. Other Comprehensive Income Laporan Perubahan Ekuitas............................................ 8 ................................... Statement of Changes in Equity Laporan Arus Kas............................................................ 9-10 ............................................. Statement of Cash Flows Laporan Rekonsiliasi Pendapatan dan Bagi Hasil........... 11 Statement of Reconciliation of Income and ...................................................... Revenue Sharing Laporan Sumber dan Penyaluran Dana Zakat ................ 12 Statement of Sources and Distribution .......................................................... of Zakat Funds Laporan Sumber dan Penggunaan Dana Kebajikan ....... 13 Statement of Sources and Uses ........................................... of Qardhul Hasan Funds Catatan Atas Laporan Keuangan .................................... 14-133 ................................ Notes to the Financial Statements *********************** Hasanah Banking Partner 452 Annual Report 2017
453. Hasanah Banking Partner 453 Annual Report 2017
454. Hasanah Banking Partner 454 Annual Report 2017
455. Hasanah Banking Partner 455 Annual Report 2017
456. The original financial statements included herein are in Indonesian language PT BANK BNI SYARIAH LAPORAN POSISI KEUANGAN Tanggal 31 Desember 2017 (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH STATEMENT OF FINANCIAL POSITION As of December 31, 2017 (Expressed in millions of Rupiah, unless otherwise stated) 31 Desember/ December 31, 2017 Catatan/ Notes 31 Desember/ December 31, 2016 ASET ASSETS Kas Giro dan penempatan pada Bank Indonesia 233.726 2,4,50 159.912 Cash 5.113.797 2,5,50 3.059.796 Current account and placements with Bank Indonesia Giro pada bank lain Dikurangi: Cadangan kerugian penurunan nilai 328.739 Giro pada bank lain - neto 325.452 (3.287) Penempatan pada bank lain Dikurangi: Cadangan kerugian penurunan nilai 51.000 Penempatan pada bank lain - neto 50.490 5.175.433 Investasi pada surat berharga - neto 5.170.120 (5.313) Efek-efek yang dibeli dengan janji dijual kembali Total piutang murabahah yang diberikan Dikurangi: Cadangan kerugian penurunan nilai Piutang murabahah - neto 2,6, (1.748) 42,48,50 173.072 51.000 (510) Investasi pada surat berharga Dikurangi: Cadangan kerugian penurunan nilai Piutang murabahah setelah dikurangi pendapatan keuntungan yang ditangguhkan masing-masing sebesar Rp10.708.453 dan Rp10.056.454 pada tanggal-tanggal 31 Desember 2017 dan 2016 Pihak ketiga Pihak berelasi 174.820 130.664 (500) 2,42,50 50.500 3.928.455 2,7, (4.390) 42,48,50 2,8,50 Current account with other banks Less: Allowance for possible losses Current account with other banks - net Placements with other banks Less: Allowance for possible losses Placements with other banks - net Investments in marketable securities Less: Allowance for possible losses 3.924.065 Investments in marketable securities - net 339.490 Securities purchased under agreements to resell 16.500.771 56.407 Murabahah receivables net of deferred margin income of Rp10,708,453 and Rp10,056,454 as of December 31, 2017 and 2016, respectively 15.190.851 Third parties 39.516 Related parties 16.557.178 15.230.367 (379.628) 16.177.550 2,3,9,42 (409.203) 14.821.164 Murabahah receivables - net 1.026.292 476.557 641.561 288.446 Funds of qardh Third parties Related parties Total pinjaman qardh yang diberikan Dikurangi: Cadangan kerugian penurunan nilai 1.502.849 930.007 Pinjaman qardh yang diberikan- neto 1.460.958 Pinjaman qardh yang diberikan Pihak ketiga Pihak berelasi (41.891) 48,50,51 Total murabahah receivables Less: Allowance for for possible losses 2,10,42, (23.355) Total funds of qardh Less: Allowance for possible losses 48,50 906.652 Funds of qardh - net Catatan atas laporan keuangan terlampir merupakan bagian yang tidak terpisahkan dari laporan keuangan secara keseluruhan. The accompanying notes to the financial statements form an integral part of these financial statements taken as a whole. 1 Hasanah Banking Partner 456 Annual Report 2017
457. The original financial statements included herein are in Indonesian language PT BANK BNI SYARIAH LAPORAN POSISI KEUANGAN (lanjutan) Tanggal 31 Desember 2017 (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 31 Desember/ December 31, 2017 PT BANK BNI SYARIAH STATEMENT OF FINANCIAL POSITION (continued) As of December 31, 2017 (Expressed in millions of Rupiah, unless otherwise stated) Catatan/ Notes 31 Desember/ December 31, 2016 ASET (lanjutan) ASSETS (continued) Pembiayaan mudharabah Pihak ketiga Dikurangi: Cadangan kerugian penurunan nilai 888.794 1.198.408 (18.680) Pembiayaan mudharabah - neto 870.114 Pembiayaan musyarakah Pihak ketiga Pihak berelasi Total pembiayaan musyarakah yang diberikan Dikurangi: Cadangan kerugian penurunan nilai 1.181.607 Mudharabah financing - net 3.646.305 939.904 3.010.033 2.715 Musyarakah financing Third parties Related parties 4.586.209 3.012.748 (141.333) Pembiayaan musyarakah - neto (16.801) 4.444.876 Tagihan akseptasi Dikurangi: Cadangan kerugian penurunan nilai 15.912 Tagihan akseptasi - neto 15.753 (159) 2,11,42,50 Mudharabah financing Third parties Less: Allowance for possible losses 2,12,42, (105.285) 48,50 2.907.463 Musyarakah financing - net 4.855 Acceptances receivable Less: Allowance for possible losses 2,13, (49) 42,48,50 Total musyarakah financing Less: Allowance for possible losses 4.806 Acceptances receivable - net 115.568 177 Assets acquired for ijarah-net Third parties Related parties Aset yang diperoleh untuk ijarah -neto Pihak ketiga Pihak berelasi 51.934 215 Total aset yang diperoleh untuk ijarah - neto 52.149 2,14,17, 42,48,50 115.745 Total assets acquired for ijarah - net 179.592 2,16,50 161.305 Prepaid expenses 430.189 (199.430) 2,3,15, 384.482 (169.897) 230.759 41,50 214.585 Fixed assets - net 75.636 2,3,26c,50 2,17, 42,48,50 51.857 Deferred tax assets - net 242.156 Other assets - net 28.314.175 TOTAL ASSETS Biaya dibayar dimuka Aset tetap Dikurangi: Akumulasi penyusutan Aset tetap - neto Aset pajak tangguhan - neto Aset lain-lain TOTAL ASET 290.806 34.822.442 Catatan atas laporan keuangan terlampir merupakan bagian yang tidak terpisahkan dari laporan keuangan secara keseluruhan. The accompanying notes to the financial statements form an integral part of these financial statements taken as a whole. 2 Hasanah Banking Partner Fixed assets Less: Accumulated depreciation 457 Annual Report 2017
458. The original financial statements included herein are in Indonesian language PT BANK BNI SYARIAH LAPORAN POSISI KEUANGAN (lanjutan) Tanggal 31 Desember 2017 (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH STATEMENT OF FINANCIAL POSITION (continued) As of December 31, 2017 (Expressed in millions of Rupiah, unless otherwise stated) 31 Desember/ December 31, 2017 Catatan/ Notes 31 Desember/ December 31, 2016 LIABILITIES, TEMPORARY SYIRKAH FUNDS AND SHAREHOLDERS’ EQUITY LIABILITAS, DANA SYIRKAH TEMPORER DAN EKUITAS LIABILITAS Liabilitas segera Bagi hasil yang belum dibagikan Simpanan Giro wadiah Pihak ketiga Pihak berelasi Tabungan wadiah Pihak ketiga Pihak berelasi Total simpanan 33.150 53.741 33.109 39.688 Obligations due immediately Undistributed revenue sharing Deposits Wadiah demand deposits Third parties Related parties 1.792.386 45.727 2,20, 1.488.122 45.025 1.838.113 48,50 1.533.147 4.130.864 1.810 2,21, 2.544.546 1.391 4.132.674 48,50 2.545.937 5.970.787 Simpanan dari bank lain Pihak ketiga 47.777 Kewajiban akseptasi Biaya yang masih harus dibayar Estimasi kerugian komitmen dan kontinjensi Utang pajak Liabilitas lain-lain Imbalan kerja TOTAL LIABILITAS 2,18,50 19,50 4.079.084 Total deposits 31.364 Deposits from other banks Third parties 15.912 57.278 2,22,50 2,23 48,50 24,50 4.855 42.122 1.526 25.904 148.752 257.885 2,25,42,50 2,26a,50 2,27,48,50 2,3,44,50 2.225 33.584 100.122 318.605 Acceptances payable Accrued expenses Estimated losses on commitments and contingencies Taxes payable Other liabilities Employee benefits 4.684.758 TOTAL LIABILITIES 6.612.712 Catatan atas laporan keuangan terlampir merupakan bagian yang tidak terpisahkan dari laporan keuangan secara keseluruhan. The accompanying notes to the financial statements form an integral part of these financial statements taken as a whole. 3 Hasanah Banking Partner Wadiah saving deposits Third parties Related parties 458 Annual Report 2017
459. The original financial statements included herein are in Indonesian language PT BANK BNI SYARIAH LAPORAN POSISI KEUANGAN (lanjutan) Tanggal 31 Desember 2017 (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 31 Desember/ December 31, 2017 PT BANK BNI SYARIAH STATEMENT OF FINANCIAL POSITION (continued) As of December 31, 2017 (Expressed in millions of Rupiah, unless otherwise stated) Catatan/ Notes 31 Desember/ December 31, 2016 LIABILITAS, DANA SYIRKAH TEMPORER DAN EKUITAS (lanjutan) LIABILITIES, TEMPORARY SYIRKAH FUNDS AND SHAREHOLDERS’ EQUITY (continued) DANA SYIRKAH TEMPORER TEMPORARY SYIRKAH FUNDS Bukan bank Giro mudharabah Pihak ketiga Pihak berelasi 601.164 332.000 933.164 Tabungan mudharabah Pihak ketiga Pihak berelasi 2,29,48,50 8.244.874 9.522 8.254.396 Deposito mudharabah Pihak ketiga Pihak berelasi Total dana syirkah temporer dari bukan bank 2,30,48,50 2,31,48,50 Total dana syirkah temporer dari bank Mudharabah time deposits Third parties Related parties 12.691.186 20.153.925 Total non-bank temporary syirkah funds 21.739 2,29,50 15.470 143.934 2,30,50 187.088 328.255 2,31,50 286.368 Bank Mudharabah demand deposits Third parties Mudharabah saving deposits Third parties Mudharabah time deposits Third parties 488.926 Total bank temporary syirkah funds 500.000 Mudharabah Sukuk Issued 21.142.851 TOTAL TEMPORARY SYIRKAH FUNDS 493.928 Sukuk Mudharabah yang diterbitkan Mudharabah saving deposits Third parties Related parties 6.877.442 5.099.827 7.591.359 23.408.504 Bank Giro mudharabah Pihak ketiga Tabungan mudharabah Pihak ketiga Deposito mudharabah Pihak ketiga 585.297 6.863.593 13.849 6.318.672 7.902.272 14.220.944 TOTAL DANA SYIRKAH TEMPORER 434.854 150.443 Non-bank Mudharabah demand deposits Third parties Related parties 500.000 2,28, 48,50 24.402.432 Catatan atas laporan keuangan terlampir merupakan bagian yang tidak terpisahkan dari laporan keuangan secara keseluruhan. The accompanying notes to the financial statements form an integral part of these financial statements taken as a whole. 4 Hasanah Banking Partner 459 Annual Report 2017
460. The original financial statements included herein are in Indonesian language PT BANK BNI SYARIAH LAPORAN POSISI KEUANGAN (lanjutan) Tanggal 31 Desember 2017 (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH STATEMENT OF FINANCIAL POSITION (continued) As of December 31, 2017 (Expressed in millions of Rupiah, unless otherwise stated) 31 Desember/ December 31, 2017 Catatan/ Notes 31 Desember/ December 31, 2016 LIABILITIES, TEMPORARY SYIRKAH FUNDS AND SHAREHOLDERS’ EQUITY (continued) LIABILITAS, DANA SYIRKAH TEMPORER DAN EKUITAS (lanjutan) EKUITAS SHAREHOLDERS’EQUITY Modal Saham Nilai nominal Rp1.000.000 (nilai penuh) per saham, Modal dasar - 4.004.000 saham, Modal ditempatkan dan disetor penuh - 2.501.500 saham 2.501.500 32,52 1.501.500 Capital Stock Nominal value Rp1,000,000 (full amount) per share, Authorized - 4,004,000 shares, Issued and fully paid capital - 2,501,500 shares 43.838 2,3,15 43.838 Gain on revaluation of fixed assets Keuntungan revaluasi aset tetap Pengukuran kembali program manfaat pasti setelah dikurangi pajak tangguhan 2,3,44 (2.014) Remeasurement of defined benefit plan net of deferred tax 150.150 33 92.853 General and legal reserves 7.308 2,3 (11.158) (6.434) Cadangan umum dan wajib Keuntungan/(kerugian) yang belum direalisasi atas surat berharga dalam kelompok tersedia untuk dijual Unrealized gain/(loss) on available-for-sale securities Saldo laba 1.110.936 861.547 Retained earnings TOTAL EKUITAS 3.807.298 2.486.566 TOTAL SHAREHOLDER’S TOTAL LIABILITAS, DANA SYIRKAH TEMPORER DAN EKUITAS TOTAL LIABILITIES, TEMPORARY SYIRKAH FUNDS AND 28.314.175 SHAREHOLDERS’EQUITY 34.822.442 Catatan atas laporan keuangan terlampir merupakan bagian yang tidak terpisahkan dari laporan keuangan secara keseluruhan. The accompanying notes to the financial statements form an integral part of these financial statements taken as a whole. 5 Hasanah Banking Partner 460 Annual Report 2017
461. The original financial statements included herein are in Indonesian language PT BANK BNI SYARIAH LAPORAN LABA RUGI DAN PENGHASILAN KOMPREHENSIF LAIN Untuk Tahun yang Berakhir pada Tanggal 31 Desember 2017 (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME For the Year Ended December 31, 2017 (Expressed in millions of Rupiah, unless otherwise stated) Tahun yang Berakhir pada Tanggal 31 Desember/ Year Ended December 31, Catatan/ Notes 2017 PENDAPATAN PENGELOLAAN DANA OLEH BANK SEBAGAI MUDHARIB Pendapatan dari jual beli Pendapatan dari bagi hasil Pendapatan dari ijarah - neto Pendapatan usaha utama lainnya 2.090.204 475.310 57.054 566.615 2016 2,34 2,35 2,14,36 2,37,48 1.891.261 418.551 64.239 427.524 3.189.183 HAK PIHAK KETIGA ATAS BAGI HASIL DANA SYIRKAH TEMPORER 2.221.241 PENDAPATAN OPERASIONAL LAINNYA 116.971 (707.690) (437.325) (148.555) BEBAN OPERASIONAL Gaji dan tunjangan Umum dan administrasi Lain-lain Total beban operasional 2.801.575 (967.942) HAK BAGI HASIL MILIK BANK BANK’S SHARE IN PROFIT SHARING 2,39,49 101.718 OTHER OPERATING INCOME 40 41 2,48 (737.139) (409.995) (135.760) OPERATING EXPENSES Salaries and benefits General and administrative Others (1.282.894) Total operating expenses (324.237) Provision for possible losses on earning assets 49 42,49 422.913 391.130 (14.166) 43,49 (17.933) LABA SEBELUM KEUNTUNGAN (BEBAN) PAJAK 408.747 49 373.197 KEUNTUNGAN (BEBAN) PAJAK Kini Tangguhan (130.522) 28.461 (102.061) LABA TAHUN BERJALAN (110.985) 15.163 2,3,26b,26c 306.686 OPERATING INCOME NON-OPERATING INCOME - NET INCOME BEFORE TAX BENEFIT (EXPENSE) TAX BENEFIT (EXPENSE) Current Deferred (95.822) 277.375 Catatan atas laporan keuangan terlampir merupakan bagian yang tidak terpisahkan dari laporan keuangan secara keseluruhan. INCOME FOR THE YEAR The accompanying notes to the financial statements form an integral part of these financial statements taken as a whole. 6 Hasanah Banking Partner THIRD PARTIES’ SHARE ON RETURN OF TEMPORARY SYIRKAH FUNDS 1.896.543 49 (621.729) LABA OPERASIONAL PENDAPATAN NON-OPERASIONAL - NETO (905.032) 2,38 (1.293.570) Cadangan kerugian aset produktif INCOME FROM FUND MANAGEMENT BY THE BANK AS MUDHARIB Income from sales and purchases Income from profit sharing Income from ijarah - net Other main operating income 461 Annual Report 2017
462. The original financial statements included herein are in Indonesian language PT BANK BNI SYARIAH LAPORAN LABA RUGI DAN PENGHASILAN KOMPREHENSIF LAIN (lanjutan) Untuk Tahun yang Berakhir pada Tanggal 31 Desember 2017 (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME (continued) For the Year Ended December 31, 2017 (Expressed in millions of Rupiah, unless otherwise stated) Tahun yang Berakhir pada Tanggal 31 Desember/ Year Ended December 31, Catatan/ Notes 2017 PENDAPATAN KOMPREHENSIF LAIN Pos-pos yang tidak akan direklasifikasi ke laba rugi Pengukuran kembali program imbalan pasti Pajak penghasilan terkait dengan komponen pendapatan komprehensif lain Pos-pos yang akan direklasifikasi ke laba rugi Keuntungan/(kerugian) yang belum direalisasikan atas surat berharga dalam kelompok tersedia untuk dijual Pajak penghasilan terkait dengan komponen pendapatan komprehensif lain PENDAPATAN KOMPREHENSIF LAIN SETELAH PAJAK 2016 (5.893) 2,3,26,44 6.255 1.473 2,3,26 (1.564) Item that will be reclassified to profit or loss 24.621 2,3,7 (14.878) (6.155) 2,3,26 3.720 14.046 TOTAL PENDAPATAN KOMPREHENSIF 320.732 LABA BERSIH PER SAHAM DASAR (Rupiah penuh) 193.513 (6.467) 46 Catatan atas laporan keuangan terlampir merupakan bagian yang tidak terpisahkan dari laporan keuangan secara keseluruhan. 462 Unrealized gain/(loss) on available-for-sale marketable securities Income tax relating to component of other comprehensive income OTHER COMPREHENSIVE INCOME NET OF TAX 270.908 TOTAL COMPREHENSIVE INCOME 184.732 BASIC EARNINGS PER SHARE (full Rupiah amount) The accompanying notes to the financial statements form an integral part of these financial statements taken as a whole. 7 Hasanah Banking Partner OTHER COMPREHENSIVE INCOME Item that will not be reclassified to profit or loss Remeasurement of defined benefit plan Income tax relating to component of other comprehensive income Annual Report 2017
463. Hasanah Banking Partner 463 Annual Report 2017 2 ,3,26,44 2,3,7,26 Keuntungan/(kerugian) yang belum direalisasi atas surat berharga dalam kelompok tersedia untuk dijual 2,3,26,44 2.501.500 - - - 43.838 - - - - - 43.838 - - - - 43.838 Keuntungan penilaian kembali aset tetap/ Gain on revaluation of fixed assets (6.434) - (4.420) - - - (2.014) - 4.691 - - (6.705) Catatan atas laporan keuangan terlampir merupakan bagian yang tidak terpisahkan dari laporan keuangan secara keseluruhan. Saldo per 31 Desember 2017 Keuntungan/(kerugian) yang belum direalisasi atas surat berharga dalam kelompok tersedia untuk dijual 2,3,7,26 2,33 Cadangan umum dan wajib Pengukuran kembali program manfaat pasti setelah dikurangi pajak tangguhan - 1.000.000 Modal ditempatkan dan disetor penuh Laba tahun berjalan 1.501.500 - - - - 1.501.500 Saldo per 31 Desember 2016 32 2,33 Cadangan umum dan wajib Pengukuran kembali program manfaat pasti setelah dikurangi pajak tangguhan Laba tahun berjalan Saldo per 31 Desember 2015 Catatan/ Notes Modal saham ditempatkan dan disetor penuh/ Issued and fullypaid capital Pengukuran kembali program manfaat pasti setelah dikurangi pajak tangguhan/ Remeasurement of defined benefit plan net of deferred tax PT BANK BNI SYARIAH LAPORAN PERUBAHAN EKUITAS Untuk Tahun yang Berakhir pada Tanggal 31 Desember 2017 (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 8 150.150 - - 57.297 - - 92.853 - - 22.853 - 70.000 Cadangan umum dan wajib/ General and legal reserve 1.110.936 - - (57.297 ) 306.686 - 861.547 - - (22.853 ) 277.375 607.025 Saldo laba/ Retained Earnings 3.807.298 18.466 (4.420) - 306.686 1.000.000 2.486.566 (11.158) 4.691 - 277.375 2.215.658 Ekuitas bersih/ Shareholders’ equity - net Balance as of December 31, 2017 Unrealized gain/(loss) on available-for-sale securities Remeasurement of defined benefit plan net of deferred tax General and legal reserves Income for the year Issued and fully paid capital Balance as of December 31, 2016 Unrealized gain/(loss) on available for sale securities Remeasurement of defined benefit plan net of deferred tax General and legal reserves Income for the year Balance as of December 31, 2015 The accompanying notes to the financial statements form an integral part of these financial statements taken as a whole. 7.308 18.466 - - - - (11.158) (11.158) - - - - Keuntungan/(kerugian) yang belum direalisasi atas surat berharga dalam kelompok tersedia untuk dijual/ Unrealized gain/(loss) on available-for-sale securities PT BANK BNI SYARIAH STATEMENT OF CHANGES IN EQUITY For the Year Ended December 31, 2017 (Expressed in millions of Rupiah, unless otherwise stated) The original financial statements included herein are in Indonesian language.
464. The original financial statements included herein are in Indonesian language . PT BANK BNI SYARIAH LAPORAN ARUS KAS Untuk Tahun yang Berakhir pada Tanggal 31 Desember 2017 (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH STATEMENT OF CASH FLOWS For the Year Ended December 31, 2017 (Expressed in millions of Rupiah, unless otherwise stated) Tahun yang Berakhir pada Tanggal 31 Desember/ Year Ended December 31, Catatan/ Notes 2017 ARUS KAS DARI AKTIVITAS OPERASI Penerimaan pendapatan pengelolaan dana Pembayaran bagi hasil dana syirkah temporer Penerimaan pendapatan administrasi Penerimaan dari pembiayaan dan piutang yang dihapusbukukan Pembayaran beban operasional lainnya Pembayaran pajak Pembayaran zakat Pembayaran dana kebajikan (Pembayaran)/penerimaan (beban)/pendapatan non-operasional - bersih Arus kas sebelum perubahan dalam aset dan liabilitas operasi Perubahan dalam aset dan liabilitas operasi: (Kenaikan)/penurunan aset operasi Efek-efek yang dibeli dengan janji dijual kembali Piutang murabahah Pinjaman qardh Pembiayaan mudharabah Pembiayaan musyarakah Aset yang diperoleh untuk ijarah Aset lain-lain Kenaikan/(penurunan) liabilitas operasi: Liabilitas segera Simpanan Simpanan dari bank lain Liabilitas lain-lain Kenaikan dana syirkah temporer Kas bersih diperoleh dari aktivitas operasi 3.194.846 2016 2.737.628 (953.889) 112.600 (911.602) 109.057 69.370 26.824 (1.335.302) (137.516) (18.383) (1.425) (1.254.187) (97.222) (15.741) (695) (12.933) 5.457 CASH FLOWS FROM OPERATING ACTIVITIES Receipt of income from fund management Payment of profit sharing for temporary syirkah funds Receipt of administrative income Receipts from recovery of financing and receivable written off Payment of other operating expenses Payments of tax Payments of zakat Distribution of qardhul hasan funds (Payments)/receipt of non-operating (expense)/income-net (1.766.537) (602.416) 271.356 (1.727.558) 63.596 (84.247) (1.766.154) (396.462) 30.908 (897.615) 131.930 (11.044) 19.849 1.891.703 16.413 50.903 30.603 1.298.348 (21.635) 22.316 3.259.581 3.651.347 Cash flows before changes in operating assets and liabilities Changes in operating assets and liabilities: (Increase)/decrease in operating assets Securities purchased under agreements to resell Murabahah receivables Funds of qardh Mudharabah financing Musyarakah financing Assets acquired for ijarah Other assets Increase/(decrease) in operating liabilities: Obligation due immediately Deposits Deposits from other banks Other liabilities Increase in temporary syirkah funds 2.518.837 2.332.571 Net cash provided by operating activities 917.368 599.519 208.826 (339.490) Catatan atas laporan keuangan terlampir merupakan bagian yang tidak terpisahkan dari laporan keuangan secara keseluruhan. The accompanying notes to the financial statements form an integral part of these financial statements taken as a whole. 9 Hasanah Banking Partner 464 Annual Report 2017
465. The original financial statements included herein are in Indonesian language . PT BANK BNI SYARIAH LAPORAN ARUS KAS (lanjutan) Untuk Tahun yang Berakhir pada Tanggal 31 Desember 2017 (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH STATEMENT OF CASH FLOWS (continued) For the Year Ended December 31, 2017 (Expressed in millions of Rupiah, unless otherwise stated) Tahun yang Berakhir pada Tanggal 31 Desember/ Year Ended December 31, Catatan/ Notes 2017 ARUS KAS DARI AKTIVITAS INVESTASI Penerimaan dan pembelian surat berharga Penerimaan Pembelian Penjualan aset tetap Perolehan aset tetap Kas bersih digunakan untuk aktivitas investasi 2016 CASH FLOWS FROM INVESTING ACTIVITIES Receipt and purchase marketable securities Receipt Purchases 773.019 (1.967.605) 1.334.285 (2.944.118) (1.194.586) (1.609.833) 174 (47.062) 1.995 (92.217) Sale of fixed assets Acquisition of fixed assets (1.241.474) (1.700.055) Net cash used for investing activities ARUS KAS DARI AKTIVITAS PENDANAAN CASH FLOWS FROM FINANCING ACTIVITY Penerbitan saham 1.000.000 - Capital stock issued KENAIKAN BERSIH KAS DAN SETARA KAS 2.277.363 632.516 NET INCREASE IN CASH AND CASH EQUIVALENTS Pengaruh perubahan kurs mata uang asing 4.371 (7.339) Effect of foreign currencies exchange differences KAS DAN SETARA KAS AWAL TAHUN 3.445.528 2.820.351 CASH AND CASH EQUIVALENTS AT BEGINNING OF THE YEAR KAS DAN SETARA KAS AKHIR TAHUN 5.727.262 3.445.528 CASH AND CASH EQUIVALENTS AT END OF THE YEAR Kas dan setara kas akhir tahun terdiri dari: Kas Giro dan penempatan pada Bank Indonesia - jatuh tempo dalam tiga bulan atau kurang sejak tanggal penempatan Giro pada bank lain Penempatan pada bank lain - jatuh tempo dalam tiga bulan atau kurang sejak tanggal penempatan Jumlah 233.726 4 159.912 5.113.797 328.739 5 6 3.059.796 174.820 51.000 7 51.000 Cash and cash equivalents at end of the year consist of: Cash Current accounts and placements with Bank Indonesia - mature within three months or less since placement date Current accounts with other banks Placements with other banks - mature within three months or less since placement date 3.445.528 Total 5.727.262 Catatan atas laporan keuangan terlampir merupakan bagian yang tidak terpisahkan dari laporan keuangan secara keseluruhan. The accompanying notes to the financial statements form an integral part of these financial statements taken as a whole. 10 Hasanah Banking Partner 465 Annual Report 2017
466. The original financial statements included herein are in Indonesian language . PT BANK BNI SYARIAH LAPORAN REKONSILIASI PENDAPATAN DAN BAGI HASIL Untuk Tahun yang Berakhir pada Tanggal 31 Desember 2017 (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH STATEMENT OF RECONCILIATION OF INCOME AND REVENUE SHARING For the Year Ended December 31, 2017 (Expressed in millions of Rupiah, unless otherwise stated) Tahun yang Berakhir pada Tanggal 31 Desember/ Year Ended December 31, Catatan/ Notes 2017 Pendapatan usaha utama Pendapatan dari jual beli Pendapatan dari bagi hasil Pendapatan dari ijarah- neto Pendapatan usaha utama lainnya 2.090.204 475.310 57.054 566.615 2,34 2,35 2,36 2,37 3.189.183 Pengurang Pendapatan tahun berjalan yang kas dan setara kasnya belum diterima: Pendapatan ijarah Pendapatan keuntungan murabahah Pendapatan bagi hasil Pendapatan usaha utama lainnya 1.891.261 418.551 64.239 427.524 Main operating income Income from sales and purchases Income from profit sharing Income from ijarah - net Other main operating income 2.801.575 19.559 17 70.554 Deductions Current year income in which the cash and cash equivalents were not received: Ijarah income 8.027 216 118.186 17 17 7.297 98 73.702 Murabahah margin income Profit sharing income Other main operating income 145.988 Penambah Pendapatan tahun sebelumnya yang kasnya diterima pada tahun berjalan: Penerimaan pelunasan pendapatan keuntungan murabahah Penerimaan pendapatan ijarah Pendapatan bagi hasil Pendapatan usaha utama lainnya 2016 7.297 70.554 98 73.702 151.651 17 17 17 7.471 79.657 140 436 Additions Prior year income in which the cash were received during the current year: Receipt of settlement from murabahah margin income Receipt of ijarah income Profit sharing income Other main operating income 151.651 87.704 Pendapatan yang tersedia untuk bagi hasil 3.194.846 2.737.628 Available income for profit sharing Bagi hasil yang menjadi hak Bank 2.226.904 1.832.596 Bank’s share from profit sharing Bagi hasil yang menjadi hak pemilik dana 967.942 905.032 Fund owners’ share from profit sharing 865.344 Details of: Fund owners’ share on distributed profit sharing Dirinci atas: Hak pemilik dana atas bagi hasil yang sudah dibagikan 914.201 Hak pemilik dana atas bagi hasil yang belum dibagikan 53.741 38 19 967.942 39.688 905.032 Catatan atas laporan keuangan terlampir merupakan bagian yang tidak terpisahkan dari laporan keuangan secara keseluruhan. The accompanying notes to the financial statements form an integral part of these financial statements taken as a whole. 11 Hasanah Banking Partner Fund owners’ share on undistributed profit sharing 466 Annual Report 2017
467. The original financial statements included herein are in Indonesian language . PT BANK BNI SYARIAH LAPORAN SUMBER DAN PENYALURAN DANA ZAKAT Untuk Tahun yang Berakhir pada Tanggal 31 Desember 2017 (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH STATEMENT OF SOURCES AND DISTRIBUTION OF ZAKAT FUNDS For the Year Ended December 31, 2017 (Expressed in millions of Rupiah, unless otherwise stated) Tahun yang Berakhir pada Tanggal 31 Desember/ Year Ended December 31, Catatan/ Notes 2017 Sumber dana zakat pada awal tahun Sumber dana zakat Zakat dari Bank Zakat dari pihak luar bank 9.329 2 7.701 Sources of zakat funds at beginning of the year 10.245 9.054 18 9.329 8.040 Sources of zakat funds Zakat from Bank Zakat from non-bank parties 19.299 Penyaluran dana zakat Disalurkan melalui Yayasan Hasanah Titik BNI Syariah 2016 18.383 Kenaikan dana zakat 916 Sumber dana zakat pada akhir tahun 10.245 17.369 2 2,18 Catatan atas laporan keuangan terlampir merupakan bagian yang tidak terpisahkan dari laporan keuangan secara keseluruhan. 15.741 Distribution of zakat funds Distributed through Yayasan Hasanah Titik BNI Syariah 1.628 Increase in zakat funds 9.329 Sources of zakat funds at end of the year The accompanying notes to the financial statements form an integral part of these financial statements taken as a whole. 12 Hasanah Banking Partner 467 Annual Report 2017
468. The original financial statements included herein are in Indonesian language . PT BANK BNI SYARIAH LAPORAN SUMBER DAN PENGGUNAAN DANA KEBAJIKAN Untuk Tahun yang Berakhir pada Tanggal 31 Desember 2017 (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH STATEMENT OF SOURCES AND USES OF QARDHUL HASAN FUNDS For the Year Ended December 31, 2017 (Expressed in millions of Rupiah, unless otherwise stated) Tahun yang Berakhir pada Tanggal 31 Desember/ Year Ended December 31, Catatan/ Notes 2017 2016 Sumber dana kebajikan pada awal tahun - 2 - Source of qardhul hasan funds at beginning of the year Sumber dana kebajikan Pendapatan non-halal Infak dan shadaqah 1.395 30 2 30 665 Source of qardhul hasan Funds Non-halal income Infaq and shadaqah Total 1.425 695 Total 695 Use of qardhul hasan funds Distributed through Yayasan Hasanah Titik BNI Syariah - Decrease in source qardhul hasan funds - Source of qardhul hasan funds at end of the year Penggunaan dana kebajikan Disalurkan melalui Yayasan Hasanah Titik BNI Syariah 1.425 Penurunan sumber dana kebajikan - Sumber dana kebajikan pada akhir tahun - 2 2 Catatan atas laporan keuangan terlampir merupakan bagian yang tidak terpisahkan dari laporan keuangan secara keseluruhan. The accompanying notes to the financial statements form an integral part of these financial statements taken as a whole. 13 Hasanah Banking Partner 468 Annual Report 2017
469. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 1. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) INFORMASI UMUM a. 1. Pendirian bank dan informasi umum GENERAL INFORMATION a. Bank establishment information general PT Bank BNI Syariah (“BNI Syariah” or “the Bank”) was established based on Establishment Deed No. 160 dated March 22, 2010 and was notarized by Aulia Taufani, S.H. as the substitute of Sutjipto S.H., notary in Jakarta. The establishment deed has been approved by the Ministry of Laws and Human Rights of the Republic of Indonesia No. AHU-15574.AH.01.01 year 2010 dated March 25, 2010 that was further amended by Deed No. 226 dated June 29, 2010, in which the report has been received and recorded by the Ministry of Laws and Human Rights of the Republic of Indonesia No. AHU-AH.01.10-20149 year 2010 dated August 6, 2010, that was further amended by Deed No. 41 dated September 25, 2013, in which the report has been received and recorded by the Ministry of Laws and Human Rights of the Republic of Indonesia No. AHU-58699.AH.01.02 year 2013 dated November 14, 2013, then it was amended by Deed No. 53 dated September 29, 2014, in which the report has been received and recorded by the Ministry of Laws and Human Rights of the Republic of Indonesia No. AHU-068781.40.21 year 2014 dated September 29, 2014, that was further amended by Deed No. 4 dated September 9, 2015, in which the report has been received and recorded by the Ministry of Laws and Human Rights of the Republic of Indonesia No. AHU-AH.01.03-0001121 year 2016 dated January 7, 2016. The capital contribution as stated on the establishment deed was conducted by the founders as a result of the spin-off on June 19, 2010. PT Bank BNI Syariah (“BNI Syariah” atau “Bank”) didirikan dengan Akta Pendirian No. 160 tanggal 22 Maret 2010 yang dibuat di hadapan Aulia Taufani, S.H., sebagai pengganti Sutjipto, S.H., Notaris di Jakarta. Akta pendirian tersebut telah memperoleh pengesahan dari Menteri Hukum dan Hak Manusia Republik Indonesia Asasi No. AHU-15574.AH.01.01 tahun 2010 tanggal 25 Maret 2010 yang telah diubah dengan Akta No. 226 tanggal 29 Juni 2010 yang laporannya telah diterima dan dicatat oleh Menteri Hukum dan Hak Asasi Manusia Republik Indonesia No. AHU-AH.01.10-20149 tahun 2010 tanggal 6 Agustus 2010 yang telah diubah dengan Akta No. 41 tanggal 25 September 2013 yang laporannya telah diterima dan dicatat oleh Menteri Hukum dan Hak Asasi Manusia Republik Indonesia No. AHU-58699.AH.01.02 tahun 2013 tanggal 14 November 2013, kemudian diubah dengan Akta No. 53 tanggal 29 September 2014 yang laporannya telah diterima dan dicatat oleh Menteri Hukum dan Hak Asasi Manusia Republik Indonesia No. AHU-068781.40.21 tahun 2014 tanggal 29 September 2014, yang telah diubah dengan Akta No. 4 tanggal 9 September 2015 yang laporannya telah diterima dan dicatat oleh Hukum dan Hak Menteri Asasi Manusia Republik Indonesia No. AHU-AH.01.03-0001121 tahun 2016 tanggal 7 Januari 2016. Penyetoran modal sebagaimana tercantum dalam akta pendirian dilakukan oleh pendiri dari hasil pemisahan (spin-off) yang efektif dilakukan pada tanggal 19 Juni 2010. 14 Hasanah Banking Partner and 469 Annual Report 2017
470. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 1. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) INFORMASI UMUM (lanjutan) a. Pendirian (lanjutan) bank dan 1. informasi umum GENERAL INFORMATION (continued) a. Bank establishment information (continued) and general Bank merupakan bank umum syariah hasil pemisahan Unit Usaha Syariah PT Bank Negara Indonesia (Persero) Tbk (“UUS BNI”) dari PT Bank Negara Indonesia (Persero) Tbk (“Bank BNI”). Proses pendiriannya telah disetujui oleh Rapat Umum Pemegang Saham Luar Biasa Bank BNI tanggal 5 Oktober 2009, yang diaktakan dengan Akta No. 37 dari Notaris Fathiah Helmi, S.H. Pemisahan dilakukan dengan mengacu kepada Peraturan Bank Indonesia No. 11/10/PBI/2009 tentang Unit Usaha Syariah. Pendirian tersebut dilakukan dengan izin Bank Indonesia melalui dua tahap, yaitu persetujuan izin prinsip dan izin usaha. Pada tanggal 8 Februari 2010, Bank telah mendapatkan izin prinsip dari Bank Indonesia untuk melaksanakan pemisahan UUS BNI berdasarkan surat No. 12/2/DpG/Dpbs. Pemisahan UUS BNI dilakukan dengan Akta Pemisahan No. 159 tanggal 22 Maret 2010 yang dibuat di hadapan Aulia Taufani, S.H., sebagai pengganti Sutjipto, S.H., Notaris di Jakarta. The Bank is a commercial sharia bank created from the spin-off of the sharia business unit of PT Bank Negara Indonesia (Persero) Tbk (“UUS BNI”) from PT Bank Negara Indonesia (Persero) Tbk ("Bank BNI"). The establishment process has been approved at the Shareholders’ Extraordinary General Meeting of Bank BNI on October 5, 2009 and was notarized by notarial deed No.37 of Notary Fathiah Helmi, S.H. The spin-off was made with reference to Bank Indonesia Regulation No.11/10/PBI/2009 regarding Sharia Business Unit. The establishment has been approved by Bank Indonesia in two stages, the approval of the permit principle and the business license. On February 8, 2010, BNI Syariah has received its permit principle from Bank Indonesia to conduct the separation of UUS BNI based on the letter No. 12/2/DpG/Dpbs. The spin-off of UUS BNI was made under Spin-off Deed No. 159 dated March 22, 2010 and was notarized by Aulia Taufani, S.H., as the substitute of Sutjipto S.H., Notary in Jakarta. Pada tanggal 21 Mei 2010, Bank memperoleh izin usaha dari Bank Indonesia berdasarkan Keputusan Gubernur Bank Indonesia No.12/41/KEP.GBI/2010. Selanjutnya pemisahan terjadi secara efektif pada tanggal 19 Juni 2010 dan pertama kalinya Bank memulai kegiatan usaha, sebagaimana yang dilaporkan kepada Bank Indonesia dengan surat No. Dir/1/03 tanggal 19 Juni 2010 perihal Laporan Pelaksanaan Pembukaan Bank Umum Syariah Hasil Pemisahan. On May 21, 2010, the Bank has received its business license from Bank Indonesia based on the Decision Letter of the Governor of Bank Indonesia No.12/41/KEP.GBI/2010. Furthermore the spin-off became effective on June 19, 2010 and the bank started its operational activity, as reported to Bank Indonesia through letter No. Dir/1/03 dated June 19, 2010, regarding the Report on the Implementation of the Opening of Commercial Sharia Bank Resulting from the Spin-Off. Bank menjalankan kegiatan operasional sebagai bank devisa dimulai pada tanggal 9 Juli 2010 berdasarkan Salinan Surat Keputusan Deputi Gubernur Bank Indonesia No. 12/5/KEP.DpG/2010 tertanggal 9 Juli 2010. The Bank started its operational activities as a foreign exchange bank on July 9, 2010, based on the copy of the Decision Letter of the Governor of Bank Indonesia No.12/5/KEP.DpG/2010 dated July 9, 2010. Berdasarkan Pasal 3 Akta Pendirian Bank, maksud dan tujuan Bank sebagai bank umum syariah hasil pemisahan yaitu menyelenggarakan usaha perbankan berdasarkan prinsip syariah sesuai dengan ketentuan dalam peraturan perundangundangan yang berlaku. Based on Article 3 of the Bank’s Deed of Establishment, the aims and objectives of the Bank as a commercial sharia bank resulting from spin-off is to conduct the banking business based on sharia principles in accordance with the prevailing laws. 15 Hasanah Banking Partner 470 Annual Report 2017
471. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 1. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) INFORMASI UMUM (lanjutan) a. Pendirian (lanjutan) bank dan 1. informasi umum GENERAL INFORMATION (continued) a. Dewan Komisaris, Direksi, Pengawas Syariah, dan Karyawan Dewan b. general Boards of Commissioners, Directors, Sharia Supervisory Boards, and Employees The compositions of the Boards of Commissioners and Directors as of December 31, 2017 and 2016, are as follows: Susunan Dewan Komisaris dan Direksi Bank pada tanggal-tanggal 31 Desember 2017 dan 2016, adalah sebagai berikut: 2017 Dewan Komisaris Komisaris Utama Komisaris Independen Komisaris Independen Komisaris Independen and The Bank’s head office is located in Gedung Tempo Pavilion 1 Jl. H.R Rasuna Said Kav. 11, Jakarta. As of Desember 31, 2017, BNI Syariah has 68 (sixty-eight) Sharia Branches (KCS) and 171 (one hundred and seventy one) Sharia Sub-Branches (KCPS) which are all located in Indonesia (unaudited). Kantor pusat Bank berlokasi di Gedung Tempo Pavilion 1 Jl. H.R Rasuna Said Kav. 11, Jakarta. Pada tanggal 31 Desember 2017, Bank memiliki 68 (enam puluh delapan) Kantor Cabang Syariah (KCS) dan 171 (seratus tujuh puluh satu) Kantor Cabang Pembantu Syariah (KCPS), yang seluruhnya berlokasi di Indonesia (tidak diaudit). b. Bank establishment information (continued) 2016 Fero Poerbonegoro Rizqullah Muhammad Syakir Sula*) Max Niode Direksi Direktur Utama Abdullah Firman Wibowo**) Direktur Bisnis Dhias Widhiyati Direktur Operasional dan Jaringan Junaidi Hisom Direktur Kepatuhan dan Risiko Tribuana Tunggadewi Fero Poerbonegoro Rizqullah Muhammad Syakir Sula*) Max Niode Imam Teguh Saptono Kukuh Rahardjo Junaidi Hisom - Board of Commissioners President Commissioner Independent Commissioner Independent Commissioner Independent Commissioner Board of Directors President Director Business Director Operational and Network Director Risk and Compliance Director *) Sesuai pernyataan keputusan rapat umum pemegang saham tahunan perseroan terbatas PT Bank BNI Syariah Nomor 29 tanggal 25 Februari 2016, diangkat sebagai komisaris independen Bank BNI Syariah, dimana pengangkatan komisaris independen tersebut akan berlaku efektif setelah mendapat persetujuan dari Otoritas Jasa Keuangan (OJK) atas Penilaian Kemampuan dan Kepatutan (Fit & Proper Test) dan memenuhi peraturan perundang-undangan yang berlaku. *) According to the statement results of Bank BNI Syariah Extraordinary General Meeting of Shareholders Number 29 dated February 25, 2016, was appointed as an Independent Commissioner of Bank BNI Syariah, where the appointment will be effective after the approval from OJK on Fit and Proper Test and meet prevailing regulations **) Diangkat berdasarkan hasil RUPSLB tanggal 23 Maret 2017, berlaku efektif setelah dinyatakan lulus fit dan proper test dari OJK. **) Appointed by the result of Annual Generals Shareholders Meeting dated March 23, 2017, became effective after being passed the fit and proper test by FSA The composition of the Sharia Supervisory Board as of December 31, 2017 and 2016, are as follows: Susunan Dewan Pengawas Syariah Bank pada tanggal-tanggal 31 Desember 2017 dan 2016, adalah sebagai berikut: 2017 dan/and 2016 Dewan Pengawas Syariah Ketua Anggota KH. Ma’ruf Amin Dr. Hasanuddin, M.Ag. 16 Hasanah Banking Partner 471 Annual Report 2017 Sharia Supervisory Boards Chairman Member
472. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 1. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) INFORMASI UMUM (lanjutan) b. Dewan Komisaris, Pengawas Syariah, (lanjutan) 1. Direksi, Dewan dan Karyawan b. 31 Desember 2017/ December 31, 2017 31 Desember 2016/ December 31, 2016 Muhammad Syakir Sula Max Niode Alexander Zulkarnain Vivin Haryadi Komite Pemantau Risiko Ketua Anggota Anggota Anggota Komite Remunerasi dan Nominasi Ketua Anggota Anggota Anggota Anggota Anggota Anggota Anggota Rizqullah Fero Poerbonegoro Subardiah Delyuzar Syamsi Muhammad Syakir Sula Fero Poerbonegoro Rizqullah Max Niode Arief Adhie Sanjaya Ida Ayu Nilawati Andrianto Daru Kurniawan Munifah Syanwani Rizqullah Fero Poerbonegoro Bambang Eko Ibrahim Husain Risk Monitoring Committee Chairman Member Member Member Muhammad Syakir Sula Fero Poerbonegoro Rizqullah Max Niode Arief Adhie Sanjaya Ida Ayu Nilawati Bambang Sutrisno Munifah Syanwani Remuneration and Nomination Committee Chairman Member Member Member Member Member Member Member As of December 31, 2017 and 2016, the Bank has 4,734 (four thousand seven hundred and thirty four) and 4,450 (four thousand four hundred and fifty), respectively, permanent employees (unaudited). KEBIJAKAN AKUNTANSI 2. ACCOUNTING POLICIES The Bank’s Management is responsible for the preparation of the accompanying financial statements which were completed and authorised for issuance by the Board of Directors on February 21, 2018 Manajemen Bank bertanggung jawab dalam penyusunan laporan keuangan yang telah diselesaikan dan disetujui untuk diterbitkan oleh Direksi pada pada tanggal 21 Februari 2018. 17 Hasanah Banking Partner Audit Committee Chairman Member Member Member Muhammad Syakir Sula Max Niode Alexander Zulkarnain Vivin Haryadi Total karyawan tetap Bank pada tanggaltanggal 31 Desember 2017 dan 31 Desember 2016 adalah masing-masing 4.734 (empat ribu tujuh ratus tiga puluh empat) dan 4.450 (empat ribu empat ratus lima puluh) pegawai tetap (tidak diaudit). 2. Boards of Commissioners, Directors, Sharia Supervisory Boards, and Employees (continued) The composition of Audit Committee, Risk Monitoring Committee and Remuneration and Nomination Committee established by the Board of Commissioners are as follows: Susunan Komite Audit, Komite Pemantau Risiko dan Komite Remunerasi dan Nominasi yang ditetapkan oleh Dewan Komisaris adalah sebagai berikut: Komite Audit Ketua Anggota Anggota Anggota GENERAL INFORMATION (continued) 472 Annual Report 2017
473. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 2. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) KEBIJAKAN AKUNTANSI (lanjutan) a. 2. Dasar penyusunan laporan keuangan ACCOUNTING POLICIES (continued) a. Basis of financial statements preparation Kebijakan akuntansi utama yang diterapkan dalam penyusunan laporan keuangan Bank adalah seperti dijabarkan di bawah ini: The principal accounting policies adopted in preparing the Bank’s financial statements are set out below: Laporan keuangan disusun dan disajikan sesuai dengan Pernyataan Standar Akuntansi Keuangan (“PSAK”), yaitu PSAK No. 101 (Revisi 2016) tentang “Penyajian Laporan Keuangan Syariah”, PSAK No. 102 (Revisi 2016) tentang “Akuntansi Murabahah”, PSAK No. 105 tentang “Akuntansi Mudharabah”, PSAK No. 106 tentang “Akuntansi Musyarakah”, PSAK No. 107 (Revisi 2016) tentang “Akuntansi Ijarah”, PSAK No. 110 (Revisi 2015) tentang “Akuntansi Sukuk” dan Pedoman Akuntansi Perbankan Syariah Indonesia (PAPSI Revisi 2013). Bank juga menerapkan prinsip-prinsip akuntansi yang berlaku umum yang ditetapkan Ikatan Akuntan Indonesia (IAI) dan Peraturan Bapepam dan LK No. VIII.G.7 Lampiran Keputusan Ketua Bapepam dan LK No. KEP-347/BL/2012 tanggal 25 Juni 2012 tentang Pedoman Penyajian dan Pengungkapan Laporan Keuangan Emiten atau Perusahaan Publik. The financial statements have been prepared and presented in accordance with the Statement of Financial Accounting Standards (“SFAS”), namely: SFAS No. 101 (Revised 2016), “Presentation of Sharia Financial Statements”, SFAS No. 102 (Revised 2016), “Accounting for Murabahah”, SFAS No. 105, “Accounting for Mudharabah”, SFAS No. 106, “Accounting for Musyarakah”, and SFAS No. 107 (Revised 2016), “Accounting for Ijarah”, SFAS No. 110 (Revised 2015) “Accounting for Sukuk” and Indonesia Sharia Banking Accounting Guidelines (PAPSI Revised 2013). The Bank also applied generally accepted accounting principles issued by The Indonesian Institute of Accountants (IAI) and BAPEPAM and LK regulation No. VIII.G.7 Attachment of the Chairman of BAPEPAM and LK’s decree No. KEP-347/BL/2012 dated June 25, 2012, “Guidelines for Financial Statements Presentation and Disclosure for Issuer or Public Companies”. Berdasarkan PSAK No. 101 (Revisi 2016), laporan keuangan bank syariah yang lengkap terdiri dari komponen-komponen sebagai berikut: Based on SFAS No. 101 (Revised 2016), a complete sharia bank financial statements consist of the following components: (i) (ii) Laporan posisi keuangan; Laporan laba rugi dan penghasilan komprehensif lain; (iii) Laporan perubahan ekuitas; (i) (ii) (iv) Laporan arus kas; (v) Laporan rekonsiliasi pendapatan dan bagi hasil; (vi) Laporan sumber dan penyaluran dana zakat; (vii) Laporan sumber dan penggunaan dana kebajikan; dan (viii) Catatan atas laporan keuangan. (iv) (v) Laporan posisi keuangan, laporan laba rugi dan penghasilan komprehensif lain, laporan arus kas dan laporan perubahan ekuitas merupakan laporan keuangan yang mencerminkan kegiatan komersial Bank sesuai prinsip syariah. Statement of financial position, statement of profit or loss and other comprehensive income, statement of cash flow and statement of changes in shareholders' equity are the financial statements reflecting the Bank's commercial activities in accordance with sharia principle. (iii) (vi) (vii) (viii) Statement of financial position; Statement of profit or loss and other comprehensive income; Statement of changes in shareholders’ equity; Statement of cash flows; Statement of reconciliation of income and revenue sharing; Statement of sources and distribution of zakat funds; Statement of sources and uses of qardhul hasan funds; and Notes to the financial statements. 18 Hasanah Banking Partner 473 Annual Report 2017
474. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 2. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) KEBIJAKAN AKUNTANSI (lanjutan) a. Dasar penyusunan (lanjutan) laporan 2. keuangan ACCOUNTING POLICIES (continued) a. Basis of financial statements preparation (continued) Laporan keuangan disajikan berdasarkan nilai historis, kecuali disebutkan lain sebagaimana diuraikan dalam kebijakan akuntansi masingmasing akun tersebut, dan disusun dengan dasar akrual. The financial statements are presented on a historical cost basis unless stated otherwise as described in the accounting policy for each account, and prepared on accrual basis. Laporan arus kas disusun dengan menggunakan metode langsung dengan mengelompokkan arus kas dalam aktivitas operasi, investasi dan pendanaan. Untuk penyajian laporan arus kas, kas dan setara kas terdiri dari kas, giro dan penempatan pada Bank Indonesia, giro pada bank lain, penempatan pada bank lain yang jatuh tempo dalam 3 (tiga) bulan dari tanggal akuisisi. The statement of cash flows are prepared using the direct method by classifying cash flows into operating, investing and financing activities. For the presentation of statement of cash flows, cash and cash equivalents consist of cash, current accounts and placements with Bank Indonesia, current accounts with other banks and placements with other banks with maturities of 3 (three) months from the date of acquisition. Laporan rekonsiliasi pendapatan dan bagi hasil merupakan rekonsiliasi antara pendapatan bank syariah yang menggunakan dasar akrual (accrual basis) dengan pendapatan yang dibagihasilkan kepada pemilik dana yang menggunakan dasar kas (cash basis). Statement of reconciliation of income and revenue sharing represents the reconciliation between income of sharia bank under accrual basis and income distributed to funds owners under cash basis. Laporan sumber dan penyaluran dana zakat dan laporan sumber dan penggunaan dana kebajikan merupakan laporan keuangan yang mencerminkan peran Bank sebagai pemegang amanah dana kegiatan sosial yang dikelola secara terpisah. Statement of sources and distribution of zakat funds and statement of sources and uses of qardhul hasan funds represent the financial statements reflecting the Bank’s role as the mandate holder of social activity funds which are separately managed. Laporan sumber dan penyaluran dana zakat merupakan laporan yang menunjukkan sumber dan penyaluran dana zakat dalam jangka waktu tertentu, serta dana zakat yang belum disalurkan pada tanggal tertentu. Statement of sources and distribution of zakat funds show the sources and distribution of zakat funds for a certain period, and the undistributed zakat funds in a particular date. Laporan sumber dan penggunaan dana kebajikan menunjukkan sumber dan penggunaan dana kebajikan dalam jangka waktu tertentu serta saldo dana kebajikan pada tanggal tertentu. Statement of sources and uses of qardhul hasan funds show the sources and uses of qardhul hasan funds for a certain period, and qardhul hasan funds balance in a particular date. Zakat adalah sebagian dari harta yang wajib dikeluarkan oleh muzakki (pembayar zakat) untuk diserahkan kepada mustahiq (penerima zakat). Sumber dana zakat, infak dan shadaqah berasal dari Bank dan pihak lain yang diterima Bank untuk disalurkan kepada pihak yang berhak sesuai dengan prinsip syariah. Zakat is part of the wealth which must be taken out by muzakki (the zakat payer) to be given to mustahiq (the zakat receiver). The sources of zakat, infaq and shadaqah funds are derived from the Bank and other parties to be distributed to parties eligible in accordance with sharia principle. Bank tidak secara langsung menjalankan fungsi pengelolaan dana zakat dan dana kebajikan. Dana yang terkumpul oleh Bank seluruhnya disalurkan kepada Yayasan Hasanah Titik PT Bank BNI Syariah. The Bank is not directly involved in the management of zakat and qardhul hasan funds. All funds collected by the Bank have been transferred to Yayasan Hasanah Titik PT Bank BNI Syariah. 19 Hasanah Banking Partner 474 Annual Report 2017
475. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 2. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) KEBIJAKAN AKUNTANSI (lanjutan) a. Dasar penyusunan (lanjutan) laporan 2. keuangan ACCOUNTING POLICIES (continued) a. Basis of financial statements preparation (continued) Mata uang pelaporan yang digunakan dalam laporan keuangan adalah mata uang Rupiah (Rp). Angka-angka yang disajikan dalam laporan keuangan, kecuali bila dinyatakan secara khusus, adalah dibulatkan dalam jutaan Rupiah. The reporting currency used in the financial statements is Rupiah (Rp). The figures presented in the financial statements, unless otherwise stated, are rounded in millions of Rupiah. Transaksi dalam Mata Uang Asing Transaction in Foreign Currency Bank dan cabang-cabangnya menyelenggarakan pembukuannya dalam mata uang Rupiah. Transaksi-transaksi dalam mata uang selain Rupiah yang terjadi di sepanjang periode pelaporan dicatat dengan nilai kurs yang berlaku pada saat terjadinya transaksi yang bersangkutan. The Bank and its branches maintain their accounting records in Rupiah. Transactions in other currencies other than Rupiah that occurred during the reporting period were recorded at the rates prevailing at the time of the transaction. Penjabaran Aset dan Liabilitas dalam Mata Uang Asing Translation of Assets and Liabilities Denominated in Foreign Currencies Pada tanggal laporan posisi keuangan, aset dan kewajiban moneter dalam mata uang asing dijabarkan ke dalam mata uang Rupiah dengan menggunakan kurs Reuters pada pukul 16:00 WIB pada tanggal tersebut. Keuntungan atau kerugian yang timbul sebagai akibat dari penjabaran aset dan kewajiban moneter dalam mata uang asing dicatat dalam laporan laba rugi tahun berjalan. At statement of financial position date, monetary assets and liabilities denominated in foreign currencies are translated into Rupiah using the currency exchange rate quoted from Reuters at 16:00 WIB on that date. Gains or losses arising from translation of assets and liabilities denominated in foreign currencies are recorded in the current year profit or loss. Pada tanggal 31 Desember 2017 dan 2016, kurs mata uang asing terhadap Rupiah adalah sebagai berikut (dalam Rupiah penuh): As of December 31, 2017 and 2016, foreign currency exchange rates against Rupiah were as follows (amounts in full Rupiah): 31 Desember 2017/ December 31, 2017 1 Pound Sterling Inggris 1 Euro Eropa 1 Dolar Amerika Serikat 1 Dolar Kanada 1 Dolar Australia 1 Dolar Singapura 1 Riyal Arab Saudi 1 Ringgit Malaysia 1 Yuan China 1 Dolar Hong Kong 1 Dollar Taiwan 1 Bhat Thailand 1 Yen Jepang 1 Won Korea Selatan 31 Desember 2016/ December 31, 2016 18.326 16.236 13.568 10.822 10.594 10.155 3.618 3.352 2.084 1.736 457 416 121 13 16.555 14.176 13.473 9.986 9.723 9.312 3.592 3.003 1.939 1.737 417 376 115 11 20 Hasanah Banking Partner 475 Annual Report 2017 1 British Pound Sterling 1 European Euro 1 United States Dollar 1 Canadian Dollar 1 Australian Dollar 1 Singapore Dollar 1 Saudi Arabian Riyal 1 Malaysian Ringgit 1 Chinese Yuan 1 Hong Kong Dollar 1 Taiwan Dollar 1 Thailand Bath 1 Japanese Yen 1 South Korean Won
476. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 2. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) KEBIJAKAN AKUNTANSI (lanjutan) 2. b. Perubahan Kebijakan Akuntansi b. Changes in Accounting Policy Pada tanggal 1 Januari 2017, Bank menerapkan pernyataan standar akuntansi keuangan (“PSAK”) dan interpretasi standar akuntansi keuangan (“ISAK”) revisi yang efektif sejak tanggal tersebut. Perubahan kebijakan akuntansi Bank telah dibuat seperti yang disyaratkan, sesuai dengan ketentuan transisi dalam masing-masing standar dan interpretasi. On January 1, 2017, the Bank adopted revised statements of financial accounting standards (“SFAS”) and interpretations of statements of financial accounting standards (“ISFAS”) that are mandatory for application from that date. Changes to the Bank’s accounting policies have been made as required, in accordance with the transitional provisions in the respective standards and interpretations. • • Amendments to SFAS No. 102 (2016), Murabahah Accounting regarding adjustment to fair value definition in line with PSAK 68: Fair Value Measurement. • Amendments to SFAS No. 107 (2016), Ijarah Accounting regarding adjustment to fair value definition in line with PSAK 68: Fair Value Measurement. Amendments to SFAS No. 101 (2016), Presentation of Shariah Financial Statement regarding Presentation of Sharia Insurance Financial Statement. Amendments to SFAS No. 103 (2016), Salam Accounting regarding adjustment to fair value definition in line with PSAK 68: Fair Value Measurement. Amendments to SFAS No. 104 (2016), Istishna’Accounting regarding adjustment to fair value definition in line with PSAK 68: Fair Value Measurement. Amendments to SFAS No. 108 (2016), Accounting for Sharia Insurance Transaction regarding adjustment to fair value definition in line with PSAK 68: Fair Value Measurement. Amendments to SFAS No. 3, Presentation of Financial Statements regarding Interim Financial Report • • • • • • c. ACCOUNTING POLICIES (continued) Amandemen PSAK No.102 (2016), Akuntansi Murabahah tentang penyesuaian atas definisi nilai wajar selaras dengan PSAK 68: Pengukuran Nilai Wajar. Amandemen PSAK No. 107 (2016), Akuntansi Ijarah tentang penyesuaian atas definisi nilai wajar selaras dengan PSAK 68: Pengukuran Nilai Wajar. Amandemen PSAK No. 101 (2016), Penyajian Laporan Keuangan Syariah tentang penyajian laporan keuangan asuransi syariah Amandemen PSAK No. 103 (2016), Akuntansi Salam tentang penyesuaian atas definisi nilai wajar selaras dengan PSAK 68: Pengukuran Nilai Wajar. Amandemen PSAK No. 104 (2016), Akuntansi Istishna’ tentang penyesuaian atas definisi nilai wajar selaras dengan PSAK 68: Pengukuran Nilai Wajar. Amandemen PSAK No. 108 (2016), Akuntansi Transaksi Asuransi Syariah tentang penyesuaian atas definisi nilai wajar selaras dengan PSAK 68: Pengukuran Nilai Wajar. Amandemen PSAK No. 3, Penyajian Laporan Keuangan tentang Laporan Keuangan Interim. • • • • • Prinsip konsolidasian c. Principles of consolidation The consolidated financial statements include the accounts of the Bank and its Subsidiaries including structured entities, presented as a single economic unit. Subsidiaries are entities in which the Bank has an interest of more than half of the voting rights or to govern financial and operating policies. Laporan keuangan konsolidasian mencakup laporan keuangan Bank dan entitas anaknya yang merupakan entitas terstruktur. Entitas anak merupakan suatu entitas dimana Bank memiliki kepemilikan sebesar lebih dari setengah hak suara atau mampu menentukan kebijakan keuangan dan operasional entitas tersebut. 21 Hasanah Banking Partner 476 Annual Report 2017
477. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 2. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) KEBIJAKAN AKUNTANSI (lanjutan) 2. c. Prinsip konsolidasian (lanjutan) ACCOUNTING POLICIES (continued) c. Principles of consolidation (continued) Pengendalian didapat ketika Bank terekspos atau memiliki hal atas imbal hasil variabel dari keterlibatannya dengan investee dan memiliki kemampuan untuk mempengaruhi imbal hasil tersebut melalui kekuasaannya atas investee. Control is acquired when the Bank is exposed, or has rights, to variable returns from its involvement with the investee and has the ability to affect those returns through its control over the investee. Secara spesifik, Bank mengendalikan investee jika dan hanya jika Bank memiliki seluruh hal berikut ini : Specifically, the Bank controls an investee if and only if the Group has: • • • • Kekuasaan atas investee (misal, hak yang ada memberi kemampuan kini untuk mengarahkan aktivitas relevan investee); Eksposur atau hak atas imbal hasil variabel dari keterlibatannya dengan investee, dan Kemampuan untuk menggunakan kekuasaanya atas investee untuk mempengaruhi jumlah imbal hasil investor. • • Control over the investee (i.e., existing rights that give it the current ability to direct the relevant activities of the investee) ; Exposure, or rights, to variable returns from its involvement with the investee, and The ability to use its control over the investee to affect its returns. Ketika Bank memiliki kurang dari hak suara mayoritas, Bank dapat mempertimbangkan semua fakta dan keadaan yang relevan dalam menilai apakah memiliki kekuasaan atas investee, termasuk: When the Bank has less than a majority of the voting or similar rights of an investee, the Bank considers all relevant facts and circumtances in assessing whether it has power over an investee, including : • • • • Pengaturan kontraktual dengan pemilik hak suara yang lain. Hak yang timbul dari pengaturan kontraktual lain. Hak suara dan hak suara potensial Bank. • • The contractual arrangement with the other vote holders of the investee. Rights arising from other contractual arrangements. The Bank’s voting rights and potential voting rights. The Bank re-assesses whether or not it controls an investee if facts and circumtances indicate that there are changes to one or more of the three elements of controls. Consolidation of a subsidiary begins when the Bank obtains control over the subsidiary and ceases when the Bank loses its control. Assets, liabilities, income and expenses of a subsidiary acquired or disposed-off during the year are included in the consolidated statement of profit and loss and other comprehensive income from the date the Bank gains control until the date the Bank ceases to control the subsidiary. Bank menilai kembali apakah investor mengendalikan investee jika fakta dan keadaan mengindikasikan adanya perubahan terhadap satu atau lebih dari tiga elemen pengendalian. Konsolidasi atas anak perusahaan dimulai ketika Bank memiliki pengendalian atas anak perusahaan dan berhenti ketika Bank kehilangan pengendalian atas anak perusahaan. Aset, liabilitas, penghasilan dan beban atas anak perusahaan yang diakuisisi atau dilepas selama tahun tertentu termasuk dalam laba rugi dan penghasilan komprehensif lain konsolidasian dari tanggal Bank memperoleh pengendalian sampai dengan tanggal Bank menghentikan pengendalian atas anak perusahaan. 22 Hasanah Banking Partner 477 Annual Report 2017
478. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 2. KEBIJAKAN AKUNTANSI (lanjutan) 2. c. Prinsip konsolidasian (lanjutan) ACCOUNTING POLICIES (continued) c. Profit or loss and each component of other comprehensive income (OCI) are attributable to the equity holders of the parent of the Bank and to the non-controlling interest (“NCI”), even if this results in the NCI having a deficit balance. When necesssary, adjustments are made to the financial statements of subsidiaries to bring their accounting policies in line with the Bank’s accounting policies. All assets and liabilities, equity, income, expenses and cash flows relating to transactions between members of the Bank are eliminated in full on consolidation. Laba atau rugi dan setiap komponen atas penghasilan komprehensif lain diatribusikan pada pemegang saham entitas induk Bank dan pada kepentingan non pengendali (“KNP”), walaupun hasil di KNP mempunyai saldo defisit. Bila diperlukan, penyesuaian dilakukan pada laporan keuangan anak perusahaan agar kebijakan akuntansinya sesuai dengan kebijakan akuntansi Bank. Semua aset danliabilitas, ekuitas, penghasilan, beban dan arus kas berkaitan dengan transaksi antar anggota Bank akan dieliminasi secara penuh dalam proses konsolidasi. d. Principles of consolidation (continued) Transaksi dengan pihak-pihak berelasi d. Transactions with related parties Bank menerapkan PSAK No. 7, “Pengungkapan Pihak-pihak Berelasi” dan Peraturan Bapepam-LK No. KEP-347/BL/2012 tanggal 25 Juni 2012 tentang “Pedoman Penyajian dan Pengungkapan Laporan Keuangan Emiten atau Perusahaan Publik” mensyaratkan pengungkapan hubungan, transaksi dan saldo pihak-pihak berelasi, termasuk komitmen, dalam laporan keuangan. The Bank implemented the SFAS No. 7, “Related Party Disclosure” and Regulation of the Capital Market Supervisory Board and Financial Institution (BAPEPAM-LK) No. KEP-347/BL/2012 dated June 25, 2012 regarding “Guidelines for Financial Statements Presentation and Disclosures of Issuers or Public Companies” which requires the diclosures of related party relationship, transaction and balance with related parties, including commitments, in the financial statements. Suatu pihak dianggap pihak berelasi dengan Bank jika: A related party is defined, among others, as: a. a. entities under the control of the Bank; b. c. associated companies; investors with voting rights that gives them significant influence; d. entities controlled by investors under point c above; e. key employees and family members and; f. an entity that is controlled, jointly controlled or significantly influenced by Government. b. c. d. e. f. perusahaan di bawah pengendalian Bank; perusahaan asosiasi; investor yang memiliki hak suara, yang memberikan investor tersebut suatu pengaruh yang signifikan; perusahaan di bawah pengendalian investor yang dijelaskan dalam poin c di atas; karyawan kunci dan anggota keluarganya; dan; entitas yang dikendalikan, dikendalikan bersama atau dipengaruhi secara signifikan oleh Pemerintah. All material transactions and balances with related parties are disclosed in the relevant notes to the financial statements and the detail is presented in Note 48 to the financial statements. Seluruh transaksi dan saldo yang material dengan pihak-pihak berelasi diungkapkan dalam catatan atas laporan keuangan yang relevan dan rinciannya telah disajikan dalam Catatan 48 atas laporan keuangan. 23 Hasanah Banking Partner 478 Annual Report 2017
479. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 2. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) KEBIJAKAN AKUNTANSI (lanjutan) e. 2. Cadangan kerugian aset produktif dan aset non-produktif ACCOUNTING POLICIES (continued) e. Allowance for possible losses on earning and non-earning assets Saldo aset produktif terdiri dari giro dan penempatan pada Bank Indonesia dalam bentuk Fasilitas Simpanan Bank Indonesia Syariah (FASBIS), giro pada bank lain, penempatan pada bank lain, investasi pada surat berharga, piutang murabahah, pinjaman qardh, pembiayaan mudharabah, pembiayaan musyarakah, piutang ijarah dan aset yang diperoleh untuk ijarah, serta komitmen dan kontinjensi yang berisiko kredit. Komitmen dan kontinjensi yang berisiko kredit antara lain terdiri dari, namun tidak terbatas pada penerbitan jaminan, letters of credit dan standby letters of credit. Earning assets consist of current accounts and placements with Bank Indonesia in the form of Bank Indonesia Sharia Deposit Facilities (FASBIS), current accounts with other banks, placements with other banks, investments in marketable securities, murabahah receivables, funds of qardh, mudharabah financing, musyarakah financing, assets acquired for ijarah, and commitments and contingencies which carry credit risk. Commitments and contingencies with credit risks, consist of, but not limited to the issuance of guarantees, letters of credit and standby letters of credit. Aset non-produktif adalah aset selain aset produktif yang memiliki potensi kerugian, dan antara lain terdiri dari rekening antar kantor dan suspense accounts. Rekening antar kantor adalah tagihan yang timbul dari transaksi antar kantor yang belum diselesaikan dalam jangka waktu tertentu. Suspense account adalah akun yang tujuan pencatatannya belum teridentifikasi dalam akun yang seharusnya. Non-earning assets are the Bank’s assets other than the earning assets, which have potential loss, and among others consist of inter-office accounts and suspense accounts. Inter-office accounts are claims arising from inter-office transactions that have not been settled within a specified period. Suspense account are accounts with recording purposes not yet identified in the appropriate account. Dalam PAPSI 2013, Bank wajib membentuk cadangan kerugian untuk piutang pendapatan sewa sebesar porsi pokok sewa yang tertunda sesuai dengan ketentuan yang diatur dalam PSAK yang terkait. Dalam pembentukan cadangan tersebut, Bank menggunakan dasar pedoman pembentukan cadangan kerugian aset produktif berdasarkan Peraturan Otoritas Jasa Keuangan (POJK) No. 16/POJK.03/2014 tertanggal 18 November 2014. As mentioned on PAPSI 2013, the Bank is required to provide impairment allowance of principal portion of overdue lease income receivables in accordance with related SFAS. In providing such allowance, the Bank uses the basic guidelines for the establishment of a productive asset allowance based on Financial Service Authority regulations (POJK) No. 16/POJK.03/2014 dated November 18, 2014. Sesuai dengan Peraturan Bank Indonesia (PBI), Bank mengklasifikasikan aset produktif ke dalam satu dari lima kategori dan aset nonproduktif ke dalam satu dari empat kategori. Aset produktif tidak bermasalah (performing) diklasifikasikan sebagai “Lancar” dan “Dalam Perhatian Khusus”, sedangkan aset produktif bermasalah (non-performing) diklasifikasikan kedalam tiga kategori yaitu: “Kurang Lancar”, “Diragukan” dan “Macet”. Kategori untuk aset non-produktif terdiri dari “Lancar”, “Kurang Lancar”, “Diragukan” dan “Macet”. In accordance with Bank Indonesia Regulations (PBI), the Bank classifies earning assets into one of five categories and nonearning assets into one of four categories. Performing earning assets are categorized as “Current” and “Special Mention”, while nonperforming earning assets are categorized into three categories: “Substandard”, “Doubtful” and “Loss”. Non-Earning assets are divided into “Current”, “Substandard”, “Doubtful” and “Loss”. 24 Hasanah Banking Partner 479 Annual Report 2017
480. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 2. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) KEBIJAKAN AKUNTANSI (lanjutan) e. 2. Cadangan kerugian aset produktif dan aset non-produktif (lanjutan) ACCOUNTING POLICIES (continued) e. Allowance for possible losses on earning and non-earning assets (continued) Penilaian kualitas aset bank umum berdasarkan prinsip syariah diatur dalam Peraturan Otoritas Jasa Keuangan (POJK) No. 16/POJK.03/2014 tanggal 18 November 2014 tentang Penilaian Kualitas Aktiva bagi Bank Umum Syariah dan Unit Usaha Syariah” serta POJK No.12/POJK.3/2015 tertanggal 21 Agustus 2015. The assessment of asset quality of commercial banks under sharia principle is regulated by Financial Service Authority regulations (POJK) No. 16/POJK.03/2014 dated November 18, 2014 regarding “Assessment of the Quality of Assets of Sharia Commercial Bank and Sharia Business Unit” and POJK No.12/POJK.3/2015 dated August 21, 2015. Pedoman pembentukan cadangan kerugian aset produktif berdasarkan Peraturan Bank Indonesia tersebut adalah sebagai berikut: The guidelines in determining the allowance for possible losses on earning assets based on Bank Indonesia regulations are as follows: a. Cadangan umum, sekurang-kurangnya sebesar 1% dari aset produktif yang digolongkan lancar, tidak termasuk Sertifikat Bank Indonesia Syariah dan surat berharga yang diterbitkan pemerintah berdasarkan prinsip syariah, serta bagian aset produktif yang dijamin dengan jaminan pemerintah dan agunan tunai berupa giro, tabungan, deposito berjangka, setoran jaminan, dan/atau emas yang diblokir dan disertai dengan surat kuasa pencairan. a. General reserve shall be no less than 1% of total earning assets classified as current, excluding Bank Indonesia Syariah Certificates and securities issued by the government based on sharia principles, and part of earning assets guaranteed by government and cash collateral in the form of demand deposits, saving deposits, time deposits, guarantee deposits, and/or gold which are pledged accompanied with the power of attorney to liquidate. b. Cadangan khusus, sekurang-kurangnya sebesar: 1) 5% dari aset produktif yang digolongkan Dalam Perhatian Khusus setelah dikurangi agunan; dan 2) 15% dari aset produktif yang digolongkan Kurang Lancar setelah dikurangi agunan; dan 3) 50% dari aset produktif yang digolongkan Diragukan setelah dikurangi agunan; dan 4) 100% dari aset produktif yang digolongkan Macet setelah dikurangi nilai agunan. b. Special reserve, shall be at least: Kewajiban untuk membentuk cadangan kerugian aset produktif tidak berlaku bagi aset produktif untuk transaksi sewa dengan akad ijarah atau ijarah muntahiyah bittamlik. Bank wajib membentuk penyusutan/amortisasi terhadap aset ijarah dan ijarah muntahiyah bittamlik. c. c. 1) 2) 3) 4) 5% of earning assets classified as Special Mention after deducting the collateral value; and 15% of earning assets classified as Substandard after deducting the collateral value; and 50% of earning assets classified as Doubtful after deducting the collateral value; and 100% of earning assets classified as Loss after deducting the collateral value. The obligation to provide allowance for possible losses on earning assets is not applicable to assets for lease with ijarah or ijarah muntahiyah bittamlik agreement. The Bank is required to establish depreciation/amortization for ijarah and ijarah muntahiyah bittamlik assets. 25 Hasanah Banking Partner 480 Annual Report 2017
481. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 2. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) KEBIJAKAN AKUNTANSI (lanjutan) e. 2. Cadangan kerugian aset produktif dan aset non-produktif (lanjutan) ACCOUNTING POLICIES (continued) e. Allowance for possible losses on earning and non-earning assets (continued) Kualitas surat-surat berharga dan penempatan pada bank lain ditetapkan menjadi 3 (tiga) golongan yaitu: The rating quality of securities and placements with other banks are determined in 3 (three) groups, namely: a. a. Lancar, apabila: 1) Have an investment rating or higher rating than the rating agency recognized by Bank Indonesia and was published in the past one year; 1) Memiliki peringkat investasi atau lebih tinggi dari lembaga pemeringkat (rating agency) yang diakui oleh Bank Indonesia dan diterbitkan dalam waktu satu tahun terakhir; 2) Pembayaran bagi hasil/marjin/fee yang berkala atau kewajiban lain yang sejenis dilakukan dalam jumlah dan waktu yang tepat, sesuai dengan akad; 3) Belum jatuh tempo. b. 2) Payment for profit sharing/margins/ periodic fees or other similar obligations were made in the amount and the right time, in accordance with the contract; 3) Not yet mature. b. Kurang Lancar, apabila: Substandard, if: 1) Have an investment rating or higher rating than the rating agency recognized by Bank Indonesia and published in the past one year; 1) Memiliki peringkat investasi atau lebih tinggi dari lembaga pemeringkat (rating agency) yang diakui oleh Bank Indonesia dan diterbitkan dalam waktu satu tahun terakhir; 2) Terdapat penundaan pembayaran bagi hasil/marjin/fee berkala atau kewajiban lain yang sejenis; 2) There is postponement on the payment of profit sharing/margins/ periodic fees or other similar obligations; 3) Not yet mature. 3) Belum jatuh tempo. c. Current, if: c. Macet, apabila surat berharga tidak memenuhi kriteria sebagaimana dimaksud di atas. Loss, if the securities do not meet the criteria referred to above. Cadangan penghapusan aset untuk komitmen dan kontinjensi yang dibentuk disajikan sebagai liabilitas di laporan posisi keuangan pada akun Estimasi Kerugian Komitmen dan Kontinjensi. Allowance for losses on commitments and contingencies is recorded as liability in the statement of financial position under the account Estimated Losses on Commitments and Contingencies. Persentase cadangan penghapusan aset di atas diterapkan terhadap saldo aset produktif setelah dikurangi dengan nilai agunan sesuai dengan Peraturan Bank Indonesia, kecuali untuk aset produktif yang diklasifikasikan lancar dan tidak dijamin dengan agunan tunai, dimana persentase cadangan penghapusan aset diterapkan terhadap saldo aset produktif yang bersangkutan dan komitmen dan kontinjensi. The above allowance percentages are applied to earning assets after deducting the collateral value, in accordance with Bank Indonesia Regulations, except for earning assets categorized as current and not secured by cash collateral, where the rate applies directly to the outstanding balance of earning assets and commitments and contingencies. 26 Hasanah Banking Partner 481 Annual Report 2017
482. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 2. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) KEBIJAKAN AKUNTANSI (lanjutan) e. 2. Cadangan kerugian aset produktif dan aset non-produktif (lanjutan) ACCOUNTING POLICIES (continued) e. Allowance for possible losses on earning and non-earning assets (continued) Adapun penggunaan nilai agunan sebagai faktor pengurang dalam perhitungan cadangan penghapusan aset di atas tidak dapat dilakukan untuk aset non-produktif. The use of collateral as deduction factor in computing the allowance for possible losses is not applicable in the case of non-earning assets. Bank dalam melakukan perhitungan cadangan penghapusan belum memperhitungkan seluruh agunan yang ada antara lain karena jangka waktu penilaian agunan yang dilakukan telah melampaui jangka waktu 24 (dua puluh empat) bulan atau telah terjadi penurunan nilai agunan. In computing the allowance for losses, the Bank does not consider all the existing collaterals because among other reasons the appraisal date of such assets had exceeded the 24 (twenty-four) months period or the collateral value is already impaired. Saldo aset produktif yang memiliki kualitas macet dihapusbukukan dengan cadangan penghapusan asetnya pada saat manajemen berpendapat bahwa aset produktif sulit untuk direalisasi atau ditagih. Penerimaan kembali aset produktif yang telah dihapusbukukan dicatat sebagai penambahan cadangan penghapusan aset produktif selama tahun berjalan. Jika penerimaan melebihi nilai pokok, kelebihan tersebut diakui sebagai pendapatan marjin. The outstanding balances of earning assets classified as loss is written off against the respective allowance for losses when management believes that recovery is no longer possible. Recovery of earning assets which are previously written off is recorded as an addition to allowance for losses on earning assets during the year of recovery. If recovery exceeds the principal amount, the excess is recognized as margin income. Cadangan kerugian penghapusan untuk aset non-produktif berdasarkan Peraturan Otoritas Jasa Keuangan (POJK) No. 16/POJK.03/2014 berlaku pada tanggal 1 Januari 2015 adalah sebagai berikut: Allowance for possible losses on non-earning assets based on Regulations of Financial Service Auothority (POJK) No.16/POJK.03/2014 effective on January 1, 2015 follows: Klasifikasi Agunan yang diambil alih ≤ 1 tahun > 1 tahun Rekening antar kantor dan suspense account ≤ 6 bulan > 6 bulan Persentase Cadangan Kerugian/ Allowance for Possible Losses Percentage 1% 100% Foreclosed assets ≤ 1 year > 1 years 1% 100% Inter-office accounts and suspense accounts ≤ 6 months > 6 months 27 Hasanah Banking Partner Classification 482 Annual Report 2017
483. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 2. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) KEBIJAKAN AKUNTANSI (lanjutan) e. 2. Cadangan kerugian aset produktif dan aset non-produktif (lanjutan) Cadangan kerugian penurunan piutang murabahah nilai ACCOUNTING POLICIES (continued) e. Allowance for possible losses on earning and non-earning assets (continued) Allowance for impairment murabahah receivables atas losses on Pada setiap tanggal laporan posisi keuangan, Bank mengevaluasi apakah terdapat bukti obyektif bahwa piutang murabahah yang tidak dicatat pada nilai wajar melalui laporan laba rugi telah mengalami penurunan nilai. Piutang murabahah mengalami penurunan nilai jika bukti obyektif menunjukkan bahwa peristiwa yang merugikan telah terjadi setelah pengakuan awal, dan peristiwa tersebut berdampak pada arus kas masa datang yang dapat diestimasi secara handal. At each date of the statement of financial position, the Bank assesses whether there is objective evidence that Murabahah receivables carried at fair value through profit or loss are impaired. Murabahah receivables are impaired when objective evidence demonstrates that loss event has occurred after the initial recognition and the loss event has an impact on the future cash flows that can be estimated reliably. Kriteria yang digunakan oleh Bank untuk menentukan bukti obyektif dari penurunan nilai adalah sebagai berikut: The criteria used by the Bank to determine that there is objective evidence of impairment include: a) kesulitan keuangan signifikan yang dialami penerbit atau pihak peminjam; b) pelanggaran kontrak, seperti terjadinya wanprestasi atau tunggakan pembayaran pokok atau marjin; c) pihak pemberi pinjaman, dengan alasan ekonomi atau hukum sehubungan dengan kesulitan keuangan yang dialami pihak peminjam, memberikan keringanan (konsesi) pada pihak peminjam yang tidak mungkin diberikan jika pihak peminjam tidak mengalami kesulitan tersebut; d) terdapat kemungkinan bahwa pihak peminjam akan dinyatakan pailit atau melakukan reorganisasi keuangan lainnya; e) hilangnya pasar aktif dari aset keuangan akibat kesulitan keuangan; atau a) significant financial difficulty of the issuer or obligor; b) a breach of contract, such as a default or delinquency in principal or margin payments; c) the lender, for economic or legal reasons relating to the borrower’s financial difficulty, grants the borrower a concession that the lender would not otherwise consider; d) it becomes probable that the borrower will enter into bankruptcy or other financial reorganization; e) the disappearance of an active market for that financial asset because of financial difficulties; or f) observable data indicating that there is a measurable decrease in the estimated future cash flows from a portfolio of financial assets since the initial recognition of those assets, although the decrease has not yet been identified individually in the portfolio, including: f) data yang dapat diobservasi mengindikasikan adanya penurunan yang dapat diukur atas estimasi arus kas masa datang dari kelompok aset keuangan sejak pengakuan awal aset dimaksud, meskipun penurunannya belum dapat diidentifikasi terhadap aset keuangan secara individual dalam kelompok aset tersebut, termasuk: 1) adverse changes in the payment status of borrowers in the portfolio; and 1) memburuknya status pembayaran pihak peminjam dalam kelompok tersebut; dan 2) kondisi ekonomi nasional atau lokal yang berkorelasi dengan wanprestasi atas aset dalam kelompok tersebut. 2) national or local conditions that correlate with defaults on the assets in the portfolio. 28 Hasanah Banking Partner 483 Annual Report 2017
484. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 2. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) KEBIJAKAN AKUNTANSI (lanjutan) e. 2. Cadangan kerugian aset produktif dan aset non-produktif (lanjutan) Cadangan kerugian penurunan piutang murabahah (lanjutan) nilai ACCOUNTING POLICIES (continued) e. Allowance for possible losses on earning and non-earning assets (continued) Allowance for impairment losses murabahah receivables (continued) atas on Estimasi periode antara terjadinya peristiwa dan teridentifikasinya kerugian ditentukan oleh manajemen untuk setiap portofolio yang diidentifikasi. Pada umumnya, periode tersebut bervariasi antara 3 sampai 12 bulan, untuk kasus tertentu diperlukan periode yang lebih lama. The estimated period between the occurrence of the event and identification of loss is determined by management for each identified portfolio. In general, the periods used vary between 3 months to 12 months; in exceptional cases, longer periods are warranted. Bank pertama kali menentukan apakah piutang murabahah jumlahya signifikan secara individual. Apabila piutang murabahah jumlahya signifikan secara individual, maka Bank akan menentukan apakah terdapat bukti obyektif penurunan nilai secara individual atas piutang murabahah. Jika Bank menentukan tidak terdapat bukti obyektif mengenai penurunan nilai atas piutang murabahah yang dinilai secara individual, terlepas piutang murabahah tersebut signifikan atau tidak, maka Bank memasukkan aset tersebut ke dalam kelompok piutang murabahah yang memiliki karakteristik risiko kredit yang serupa dan menilai penurunan nilai kelompok tersebut secara kolektif. Piutang murabahah yang penurunan nilainya dilakukan secara individual, dan untuk itu kerugian penurunan nilai telah diakui atau tetap diakui, tidak termasuk dalam penilaian penurunan nilai secara kolektif. The Bank first assesses whether the murabahah receivables are individually significant. If the murabahah receivables are considered individually significant, the Bank will determine whether objective evidence of impairment exist or not. If the Bank determines that no objective evidence of impairment exists for an individually assessed murabahah receivables, whether significant or not, it will be included in a group of murabahah receivables with similar credit risk characteristics and collectively assesses them for impairment. Murabahah receivables that are individually assessed for impairment and for which an impairment loss is or continues to be recognized are not included in a collective assessment of impairment. Perhitungan penurunan nilai secara individu Individual impairment calculation Bank menetapkan piutang murabahah yang harus dievaluasi penurunan nilainya secara individual, jika memenuhi salah satu kriteria di bawah ini: The Bank determines that murabahah receivables should be evaluated for impairment individually if one of the following criteria is met: 1. Piutang murabahah yang secara individual memiliki nilai signifikan dan memiliki bukti obyektif penurunan nilai; atau 2. Piutang murabahah yang direstrukturisasi yang secara individual memiliki nilai signifikan. 1. Murabahah receivables which individually have significant value and objective evidence of impairment; or 2. Restructured murabahah receivables which individually have significant value. Berdasarkan kriteria di atas, Bank melakukan penilaian secara individual untuk: (a) Piutang murabahah dengan nilai nominal lebih besar dari Rp15 miliar (nilai penuh) per nasabah dengan kolektibilitas kurang lancar, diragukan dan macet; atau (b) Piutang murabahah dengan nilai nominal lebih besar dari Rp15 miliar (nilai penuh) per nasabah yang pernah direstrukturisasi dengan tingkat imbal hasil efektif lebih kecil dari Fund Pricing Model (FPM). Based on the above criteria, the Bank performs individual assessment for: (a) Murabahah receivables with nominal amount greater than Rp15 billion (full amount) for each customer with substandard, doubtful and loss collectibility; or (b) Murabahah receivables with nominal amount greater than Rp15 billion (full amount) for each customer that has been restructured with effective rate of return less than Fund Pricing Model (FPM). 29 Hasanah Banking Partner 484 Annual Report 2017
485. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 2. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) KEBIJAKAN AKUNTANSI (lanjutan) e. 2. Cadangan kerugian aset produktif dan aset non-produktif (lanjutan) ACCOUNTING POLICIES (continued) e. Allowance for possible losses on earning and non-earning assets (continued) Perhitungan penurunan nilai secara individu (lanjutan) Individual impairment calculation (continued) Efektif sejak bulan Agustus 2016, Bank melakukan perubahan nilai nominal piutang murabahah yang dilakukan penilaian secara individual menjadi lebih besar dari Rp15 miliar (nilai penuh) per nasabah. Effective from August, 2016, the Bank has changed the nominal amount of murabahah receivable to be assessed individually to Rp15 billion (full amount) for each customer. Jumlah kerugian penurunan nilai diukur berdasarkan selisih antara nilai tercatat piutang murabahah dengan nilai kini dari estimasi arus kas masa datang (tanpa memperhitungkan kerugian penurunan nilai dimasa datang yang belum terjadi) yang didiskontokan menggunakan tingkat imbal hasil efektif awal dari piutang murabahah tersebut. Jika nilai tercatat sama dengan atau lebih kecil dari nilai kini dari estimasi arus kas masa datang, maka perhitungan jumlah kerugian penurunan nilai atas nasabah tersebut menggunakan metode kolektif. Nilai tercatat aset tersebut dikurangi melalui akun cadangan kerugian penurunan nilai dan beban kerugian diakui pada laporan laba rugi. The amount of impairment loss is measured at the difference between the murabahah receivables’ carrying amount and the present value of estimated future cash flows (excluding future credit losses that have not been incurred) discounted at the murabahah receivables’ original effective rate of return. If the carrying amount of the murabahah receivables is less than or equal to the present value of estimated future cash flows then the assessment of impairment is to be done collectively. The carrying amount of the asset is reduced through the use of an allowance for impairment loss account and the amount of the loss is recognized in the profit or loss. Perhitungan nilai kini dari estimasi arus kas masa datang atas piutang murabahah dengan agunan mencerminkan arus kas yang dapat dihasilkan dari pengambilalihan agunan dikurangi biaya-biaya untuk memperoleh dan menjual agunan, terlepas apakah pengambilalihan tersebut berpeluang terjadi atau tidak. The calculation of the present value of the estimated future cash flows of collateralised murabahah receivables reflects the cash flows that may result from foreclosure less costs for obtaining and selling the collateral, whether or not foreclosure is probable. Perhitungan penurunan nilai secara kolektif Collective impairment calculation Bank menetapkan piutang murabahah yang harus dievaluasi penurunan nilainya secara kolektif, jika memenuhi salah satu kriteria di bawah ini: The Bank determines murabahah receivables to be evaluated for impairment through collective evaluation if one of the following criteria is met: 1. Piutang murabahah yang secara individual memiliki nilai tidak signifikan; 2. Piutang murabahah yang secara individual memiliki nilai signifikan namun tidak memiliki bukti obyektif penurunan nilai; atau 3. Piutang murabahah yang direstrukturisasi yang secara individual memiliki nilai tidak signifikan. 1. Murabahah receivables which individually have insignificant value; 2. Murabahah receivables which individually have significant value but there is no objective evidence of impairment; or 3. Restructured murabahah receivables which individually have insignificant value. 30 Hasanah Banking Partner 485 Annual Report 2017
486. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 2. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) KEBIJAKAN AKUNTANSI (lanjutan) e. 2. Cadangan kerugian aset produktif dan aset non-produktif (lanjutan) ACCOUNTING POLICIES (continued) e. Allowance for possible losses on earning and non-earning assets (continued) Perhitungan penurunan nilai secara kolektif (lanjutan) Collective impairment calculation (continued) Berdasarkan kriteria di atas, penilaian secara kolektif dilakukan untuk (a) piutang murabahah dengan nilai nominal kurang dari atau sama dengan Rp15 miliar (nilai penuh) per nasabah; atau (b) piutang murabahah dengan nilai nominal lebih dari Rp15 miliar (nilai penuh) per nasabah yang tidak memenuhi kriteria penilaian secara individual. Based on the above criteria, the Bank performs collective assessment for (a) murabahah receivables with nominal amount less than or equal to Rp15 billion (full amount) for each customer; or (b) murabahah receivables with nominal amount above Rp15 billion (full amount) for each customer that do not meet the criteria for individual assessment. Cadangan kerugian penurunan nilai atas piutang murabahah yang dinilai secara kolektif dihitung berdasarkan pengalaman kerugian historis. Pengalaman kerugian historis disesuaikan menggunakan dasar data yang dapat diobservasi untuk mencerminkan efek dari kondisi saat ini terhadap Bank dan menghilangkan efek dari masa lalu yang sudah tidak berlaku saat ini. Piutang murabahah dikelompokkan berdasarkan karakteristik risiko kredit yang sama antara lain dengan mempertimbangkan segmentasi dan tunggakan debitur. Calculation of allowance for impairment losses of murabahah receivables are collectively evaluated on the basis of historical loss experience. Historical loss experience is adjusted on the basis of current observable data to reflect the effects of current conditions affecting the Bank and to remove the effects of conditions in the historical period that do not currently exist. Murabahah receivables are grouped on the basis of similar credit risk characteristics by considering the segmentation and past due status of the debtors, among others. Bank menggunakan metode analisis model statistik yaitu metode analisis migrasi untuk menilai cadangan kerugian penurunan nilai. The Bank applies statistical model analysis method, which is migration analysis methods, to assess the allowance for impairment losses. Bank menerapkan migration analysis method dengan menggunakan data historis sejak Juni 2010 (saat pemisahan dari Bank BNI) dalam menghitung PD dan LGD. The Bank applies migration analysis method using historical data since June 2010 (when spin-off from Bank BNI) to compute the PD and LGD. Bank menggunakan nilai wajar agunan sebagai dasar arus kas masa datang apabila memenuhi salah satu kondisi berikut: 1. Piutang murabahah bersifat collateral dependent, yaitu jika pelunasan piutang hanya bersumber dari agunan; atau 2. Pengambilalihan agunan kemungkinan besar terjadi dan didukung dengan perjanjian legal pengikatan agunan. The Bank uses the fair value of collateral as the basis for future cash flow if one of the following conditions is met: 1. Murabahah receivables are collateral dependent, i.e. if the source of receivables repayment is only from the collateral; or 2. Foreclosure of collateral is most likely to occur and supported by legally binding collateral agreement. 31 Hasanah Banking Partner 486 Annual Report 2017
487. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 2. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) KEBIJAKAN AKUNTANSI (lanjutan) e. f. 2. Cadangan kerugian aset produktif dan aset non-produktif (lanjutan) ACCOUNTING POLICIES (continued) e. Perhitungan penurunan nilai secara kolektif (lanjutan) Collective impairment calculation (continued) Sebagai panduan praktis, Bank dapat mengukur penurunan nilai berdasarkan nilai wajar instrumen dengan menggunakan harga pasar yang dapat diobservasi. Kerugian yang terjadi diakui pada laporan laba rugi dan dicatat pada akun cadangan kerugian penurunan nilai sebagai pengurang terhadap piutang murabahah yang dicatat pada biaya perolehan diamortisasi. Pendapatan atas piutang murabahah yang mengalami penurunan nilai tetap diakui atas dasar imbal hasil yang digunakan untuk mendiskonto arus kas masa datang dalam pengukuran kerugian penurunan nilai. Ketika peristiwa yang terjadi setelah penurunan nilai menyebabkan jumlah kerugian penurunan nilai berkurang, kerugian penurunan nilai uang sebelumnya diakui harus dipulihkan dan pemulihan tersebut diakui pada laporan laba rugi. As a practical guideline, the Bank may measure impairment on the basis of an instrument’s fair value using an observable market price. Losses are recognized in the profit or loss and reflected in an allowance for impairment losses account against murabahah receivables carried at amortised cost. Income on the impaired murabahah receivables continues to be recognized using the rate of return used to discount the future cash flows for the purpose of measuring the impairment loss. When a subsequent event causes the amount of impairment loss to decrease, the impairment loss previously recognized is reversed through profit or loss. Giro dan penempatan pada Bank Indonesia f. Giro pada bank lain g. Current accounts with other banks Current accounts with other banks are stated at their outstanding balances, net of allowance for possible losses. Bonuses received from sharia commercial banks are recognized as other operating income. Interest income from conventional commercial banks (if any) are not recognized as the Bank’s income but are used as part of the qardhul hasan funds. Giro pada bank lain dinyatakan sebesar saldo giro dikurangi dengan cadangan kerugian. Bonus yang diterima Bank dari bank umum syariah diakui sebagai pendapatan usaha lainnya. Penerimaan jasa giro dari bank umum konvensional (jika ada) tidak diakui sebagai pendapatan Bank dan digunakan untuk dana kebajikan (qardhul hasan). h. Current accounts and placements with Bank Indonesia Current accounts and placements with Bank Indonesia are stated at their outstanding balances. Giro dan penempatan pada Bank Indonesia dinyatakan sebesar saldo giro dan penempatan. g. Allowance for possible losses on earning and non-earning assets (continued) Penempatan pada bank lain h. Placements with other banks Placements with other banks represent placement in other Sharia Bank, Sharia Business Unit and/or rural Sharia Bank in the form of current account, saving account, deposits, financing, Mudharabah Interbank Investment Certificate (SIMA) and/or other placements based on Sharia principles. Placement with other banks are stated at their outstanding balances, net of allowance for possible losses. Penempatan pada bank lain adalah penanaman dana pada Bank Umum Syariah, Unit Usaha Syariah dan/atau BPR Syariah antara lain dalam bentuk giro, tabungan, deposito, pembiayaan, Sertifikat Investasi Mudharabah Antarbank (SIMA) dan/atau bentuk penempatan lainnya berdasarkan prinsip Syariah. Penempatan pada bank lain disajikan sebesar saldo penempatan dikurangi cadangan kerugian. 32 Hasanah Banking Partner 487 Annual Report 2017
488. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 2. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) KEBIJAKAN AKUNTANSI (lanjutan) i. 2. Investasi pada surat berharga ACCOUNTING POLICIES (continued) i. Investments in marketable securities Surat Berharga Syariah adalah surat bukti investasi berdasarkan prinsip syariah yang lazim diperdagangkan di pasar uang syariah dan/atau pasar modal syariah antara lain obligasi syariah (sukuk) dan surat berharga lainnya berdasarkan prinsip syariah. Sharia Securities are proof of investment based on sharia principles that are commonly traded in the sharia money market and/or sharia capital markets, including sharia bonds (sukuk) and other securities following sharia principles. Bank menentukan klasifikasi investasi pada surat berharga, khususnya sukuk, berdasarkan model usaha yang ditentukan berdasarkan klasifikasi sesuai PSAK No. 110 (Revisi 2015) tentang “Akuntansi Sukuk" sebagai berikut: The Bank defined the classification of Investment in marketable securities, specifically sukuk, based on busines model in accordance with SFAS No. 110 (Revised 2015) on "Accounting for Sukuk" as follows: 1) Surat berharga diukur pada biaya perolehan disajikan sebesar biaya perolehan (termasuk biaya transaksi) yang disesuaikan dengan premi dan/atau diskonto yang belum diamortisasi. Premi dan diskonto diamortisasi selama periode hingga jatuh tempo. 1) 2) Surat berharga diukur pada nilai wajar melalui laba rugi,yang dinyatakan sebesar nilai wajar. Keuntungan atau kerugian yang belum direalisasi akibat kenaikan atau penurunan nilai wajarnya disajikan dalam laporan laba rugi tahun yang bersangkutan. 2) At fair value securities are presented at fair values through profit or loss. Unrealized gains or losses from the increase or decrease in fair values are presented in current year profit or loss. 3) Surat berharga yang diukur pada nilai wajar melalui penghasilan komprehensif lainnya. Surat berharga disajikan sebesar nilai wajar. Keuntungan atau kerugian yang belum direalisasi akibat kenaikan atau penurunan nilai wajarnya disajikan dalam penghasilan komprehensif lain. Premi dan diskonto diamortisasi selama periode hingga jatuh tempo 3) At cost securities are presented at cost (including transaction costs), adjusted by unamortised premium and/or discount. Premium and discount are amortised over the period until maturity. At fair value through other comprehensive income securities are measured at fair value. Unrealized gains or losses from the increase or decrease in fair values are presented in other comprehensive income. Premium and discount are amortised over the period until maturity. Investasi dalam unit reksadana syariah dinyatakan sebesar nilai pasar sesuai nilai asset bersih dari reksadana pada tanggal laporan posisi keuangan. Investment in sharia mutual funds are presented at market value based on net asset value of mutual funds on statement of financial position date. Cadangan kerugian wajib diakui sesuai dengan pedoman dari Bank Indonesia dan disajikan sebagai pengurang saldo investasi pada surat berharga. Allowance for possible losses are recognized in accordance with the guidelines of Bank Indonesia and are stated as a deduction of investments in marketable securities. 33 Hasanah Banking Partner 488 Annual Report 2017
489. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 2. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) KEBIJAKAN AKUNTANSI (lanjutan) j. k. l. 2. Efek efek yang dibeli dengan janji dijual kembali ACCOUNTING POLICIES (continued) j. Securities purchased under agreements to resell Efek efek yang dibeli dengan janji dijual kembali merupakan transaksi pembelian surat berharga syariah dengan janji dijual kembali dengan harga dan waktu yang telah disepakati,efek yang dibeli diakui sebagai aset dalam laporan posisi keuangan. Securities purchased under agreements to resell are purchase transactions of shariacompliant securities with agreements to resell at a certain price and time, securities purchased are classified as assets in the statement of financial position. Efek-efek yang dibeli dengan janji untuk dijual kembali disajikan sebesar jumlah penjualan kembali dikurangi dengan pendapatan yang belum diamortisasi. Selisih antara harga beli dan harga jual kembali diperlakukan sebagai pendapatan yang ditangguhkan dan diakui sebagai pendapatan selama periode sejak efek-efek tersebut dibeli hingga dijual. Securities purchased under agreements to resell are presented at the resale price net of unamortised income. The difference between the purchase price and the resale price is treated as unearned income, and recognized as income over the period starting from when those securities are purchased until they are sold. Piutang murabahah k. Murabahah receivables Murabahah adalah transaksi penjualan barang dengan menyatakan harga perolehan dan keuntungan (marjin) yang disepakati oleh penjual dan pembeli. Murabahah is sales transaction for goods that provides the purchase price and margin agreed by both buyer and seller. Piutang murabahah diklasifikasikan sebagai aset keuangan dalam kategori pinjaman yang diberikan dan piutang sesuai PSAK No. 55. Murabahah receivables are classified as financial assets under category loan and receivables in accordance with SFAS No. 55. Piutang murabahah pada awalnya diukur pada nilai bersih yang dapat direalisasi ditambah dengan biaya transaksi yang dapat diatribusikan secara langsung dan biaya tambahan untuk memperoleh aset keuangan tersebut dan setelah pengakuan awal diukur pada biaya perolehan diamortisasi menggunakan metode tingkat imbal hasil efektif dikurangi keuntungan murabahah yang ditangguhkan dan cadangan kerugian penurunan nilai. Murabahah receivables are initially measured at net realizable value plus transaction costs that are directly attributable and additional costs to obtain financial assets and after initial recognition are measured at amortized cost based on effective rate of return method less deferred murabahah margin and allowance for impairment losses. Pinjaman qardh l. Funds of qardh Pinjaman qardh adalah pinjam meminjam dana tanpa imbalan yang diperjanjikan dengan kewajiban pihak peminjam mengembalikan pokok pinjaman secara sekaligus atau cicilan dalam jangka waktu tertentu. Pinjaman qardh meliputi wakalah dan rahn. Funds of qardh is borrowing funds without an agreed commitment of benefits where the borrower is obligated to repay the principal simultaneously or in installments in certain periods. Funds of qardh consists of wakalah and rahn. Wakalah merupakan akad pemindahan piutang nasabah kepada Bank dan atas transaksi ini Bank mendapat ujrah (imbalan) yang diakui secara proporsional selama jangka waktu pembiayaan. Wakalah is a transfer of debt from the indebted parties (customers) to the Bank and for this transaction the Bank obtained an ujrah (benefits) and the ujrah is recognized proportionately during the period. 34 Hasanah Banking Partner 489 Annual Report 2017
490. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 2. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 2. ACCOUNTING POLICIES (continued) KEBIJAKAN AKUNTANSI (lanjutan) l. Pinjaman qardh (lanjutan) l. Funds of qardh (continued) Rahn merupakan transaksi menggadaikan barang atau harta dari nasabah kepada Bank, dimana nasabah meminjam uang dengan akad qardh dan menjaminkan aset/harta untuk pinjaman tersebut. Bank memperoleh ujrah karena menanggung beban penyimpanan jaminan dan risiko penyimpanan. Rahn is the mortgage of goods or assets from customers to the Bank, at which the customers borrow money with qardh agreement and pledged their asset as collateral for the borrowings. The Bank obtains ujrah (benefits) from bearing the collateral custody expense and custody risk. Pinjaman qardh diakui sebesar jumlah dana yang dipinjamkan pada saat terjadinya. Kelebihan penerimaan dari pinjaman atas qardh yang dilunasi diakui sebagai pendapatan pada saat terjadinya. Pinjaman qardh disajikan sebesar saldonya dikurangi cadangan kerugian. Bank menetapkan cadangan kerugian qardh berdasarkan penelaahan atas masing-masing saldo. Funds of qardh is recognized at the amount lent at the transaction date. Any excess amount paid by the borrower in repaying a qardh is recognized as revenue upon realization. Funds of qardh is stated at its outstanding balance less allowance for possible losses. The Bank provides allowance for possible losses on qardh based on the review quality of the individual outstanding balances. m. Pembiayaan m. Financing Pembiayaan mudharabah adalah penanaman dana dari pemilik dana (shahibul maal) kepada pengelola dana (mudharib) untuk melakukan kegiatan usaha tertentu, dengan menggunakan bagi laba (profit sharing) atau metode bagi hasil usaha (gross profit margin) antara kedua belah pihak berdasarkan nisbah yang telah disepakati sebelumnya. Bank mengenakan bagi hasil berdasarkan metode bagi hasil usaha (gross profit margin). Mudharabah financing is investment of funds from the owner of funds (shahibul maal) to the fund manager (mudharib) to conduct certain business activity, with profit sharing or gross profit margin method between the two parties based on a mutually agreed predetermined ratio. The Bank uses profit sharing scheme based on gross profit margin method. Pembiayaan mudharabah dinyatakan sebesar saldo pembiayaan dikurangi dengan cadangan kerugian. Bank menetapkan cadangan kerugian sesuai dengan kualitas pembiayaan berdasarkan penelaahan atas masing-masing saldo pembiayaan. Apabila sebagian pembiayaan mudharabah hilang sebelum dimulainya usaha karena adanya kerusakan atau sebab lainnya tanpa adanya kelalaian atau kesalahan pihak pengelola dana, maka rugi tersebut mengurangi saldo pembiayaan mudharabah dan diakui sebagai kerugian Bank. Apabila sebagian pembiayaan mudharabah hilang setelah dimulainya usaha tanpa adanya kelalaian atau kesalahan pengelola dana, maka rugi tersebut diperhitungkan pada saat bagi hasil. Kerugian pembiayaan mudharabah akibat kelalaian atau kesalahan pengelola dana dibebankan pada pengelola dana dan tidak mengurangi saldo pembiayaan mudharabah. Mudharabah financing is stated at the outstanding balance, net of allowance for possible losses. The Bank provides allowance for possible losses based on the financing quality as determined by a review of each account. In the event that a portion of the mudharabah financing is lost prior to the start of operations due to damage or any other reasons without negligence or error on the part of the fund manager, the loss shall be deducted from mudharabah financing balance and shall be recognized as a loss by the Bank. If part of financing is lost after the commencement of business without negligence or fault of the fund manager, such loss is calculated during profit sharing. Loss on mudharabah financing due to negligence or error on the part of the fund manager is charged to the fund manager and not deducted from the mudharabah financing balance. 35 Hasanah Banking Partner 490 Annual Report 2017
491. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 2. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) KEBIJAKAN AKUNTANSI (lanjutan) 2. m. Pembiayaan (lanjutan) n. o. ACCOUNTING POLICIES (continued) m. Financing (continued) Pembiayaan musyarakah adalah akad kerjasama antara dua pihak atau lebih untuk suatu usaha tertentu, dimana masing-masing pihak memberikan kontribusi dana dengan ketentuan bahwa keuntungan dibagi berdasarkan kesepakatan, sedangkan kerugian berdasarkan porsi kontribusi dana. Dana tersebut meliputi kas atau aset non-kas yang diperkenankan oleh syariah. Musyarakah financing is an agreement between two or more parties for a particular business, in which each party contributes funds provided that the profits are divided according to the agreement, while losses are based on the portion of fund contributions. The fund consists of cash or non-cash assets allowed by sharia. Pembiayaan musyarakah dinyatakan sebesar saldo pembiayaan dikurangi dengan saldo cadangan kerugian. Bank menetapkan cadangan kerugian sesuai dengan kualitas pembiayaan berdasarkan penelaahan atas masing-masing saldo pembiayaan. Musyarakah financing is stated at outstanding balance, net of allowance for possible losses. The Bank provides allowance for possible losses based on the financing quality as determined by a review of each account. Tagihan dan liabilitas akseptasi n. Acceptances receivable and payable Tagihan dan liabilitas akseptasi merupakan transaksi Letter of Credit (L/C) dan Surat Kredit Berdokumen dalam Negeri (SKBDN) yang diaksep oleh bank pengaksep. Acceptances receivable and payable represent Letters of Credit and Domestic Documentary Letters of Credit transactions that have been accepted by the accepting bank. Tagihan dan liabilitas akseptasi dinyatakan sebesar biaya perolehan diamortisasi. Tagihan akseptasi disajikan setelah dikurangi cadangan kerugian penurunan nilai. Acceptances receivable and payable are stated at amortized cost. Acceptances receivable are stated at net of allowance for impairment losses. Tagihan akseptasi diklasifikasikan sebagai kredit yang diberikan dan piutang. Liabilitas akseptasi diklasifikasi sebagai liabilitas keuangan yang diukur dengan biaya perolehan diamortisasi. Acceptances receivable are classified as loans and receivables. Acceptances payable are classified as financial liabilities at amortized cost. Aset yang diperoleh untuk ijarah o. Assets acquired for ijarah Aset yang diperoleh untuk ijarah merupakan aset yang menjadi objek transaksi sewa (ijarah) dan dicatat di laporan posisi keuangan sebesar harga perolehan dikurangi akumulasi penyusutan. Aset dalam transaksi ijarah disusutkan sesuai dengan jangka waktu sewa. Assets acquired for ijarah represent object of leased assets and are recorded in the statement of financial position at the acquisition cost, net of accumulated depreciation. Assets in ijarah transaction are depreciated over the lease period. Ijarah muntahiyah bittamlik adalah sewa menyewa antara pemilik objek sewa dan penyewa untuk mendapatkan imbalan atas objek sewa yang disewakan dengan opsi perpindahan hak milik objek sewa baik dengan jual/beli atau pemberian (hibah) pada saat tertentu sesuai akad sewa. Ijarah muntahiyah bittamlik is a lease transaction between the lessor and lessee to obtain fee from the lease object with the option of transferring the ownership right through sale/purchase or grant (hibah) at a certain time in accordance with the lease agreement. 36 Hasanah Banking Partner 491 Annual Report 2017
492. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 2. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) KEBIJAKAN AKUNTANSI (lanjutan) o. 2. Aset yang diperoleh untuk ijarah(lanjutan) ACCOUNTING POLICIES (continued) o. The transfer of ownership right on the lease object to the lessee in ijarah muntahiyah bittamlik can be conducted through: (i) a grant; (ii) sale prior to the end of contract for an amount equivalent to the remaining lease installments; (iii) sale at the end of the contract at a specified amount as agreed at the inception of the contract; and (iv) installment sales at a specified price as agreed in the contract. Perpindahan hak milik objek sewa kepada penyewa dalam ijarah muntahiyah bittamlik dapat dilakukan dengan cara: (i) hibah; (ii) penjualan sebelum akad berakhir sebesar harga yang sebanding dengan sisa cicilan sewa; (iii) penjualan pada akhir sewa dengan pembayaran tertentu yang disepakati pada awal akad; dan (iv) penjualan secara bertahap sebesar harga tertentu yang disepakati dalam akad. p. Assets acquired for ijarah (continued) Aset tetap p. Fixed assets Tanah dan bangunan disajikan sebesar nilai wajar, dikurangi akumulasi penyusutan untuk bangunan. Penilaian terhadap tanah dan bangunan dilakukan oleh penilai independen eksternal yang telah memiliki sertifikasi. Penilaian atas aset tersebut dilakukan secara berkala untuk memastikan bahwa nilai wajar aset yang direvaluasi tidak berbeda secara material dengan nilai tercatatnya. Akumulasi penyusutan pada tanggal revaluasi dieliminasi terhadap nilai tercatat bruto aset, dan nilai netonya disajikan kembali sebesar nilai revaluasian aset tetap. Land and buildings are shown at fair value, less subsequent depreciation for buildings. Valuation of land and buildings are performed by external independent valuers with certain qualification. Valuations are performed with sufficient regularity to ensure that the fair value of a revalued asset does not differ materially from its carrying amount. Any accumulated depreciation at the date of revaluation is eliminated against the gross carrying amount of the asset, and the net amount is restated to the revalued amount of the asset. Kenaikan nilai tercatat yang timbul dari revaluasi tanah dan bangunan dicatat sebagai “Cadangan Revaluasi Aset” dan disajikan sebagai “Pendapatan Komprehensif Lain”. Apabila aset tersebut memilki saldo “Keuntungan Revaluasi Aset Tetap” yang disajikan sebagai “Pendapatan Komprehensif Lain”, maka selisih penurunan nilai tercatat tersebut dibebankan terhadap “Keuntungan Revaluasi Aset Tetap” dan sisanya diakui sebagai beban tahun berjalan. Increases in the carrying amount arising on revaluation of land and bulidings are recorded in “Asset Revaluation Reserve” and presented as “Other Comprehensive Income”. If the asset does have balance on its “Gain of Revaluation of Fixed Assets”, loss from revaluation of fixed asset is charged to “Gain of Revaluation of Fixed Assets” which presented as “Other Comprehensive Income” and the rest of the amount is charged to current year’s expenses. Aset tetap selain tanah dan bangunan disajikan sebesar harga perolehan dikurangi dengan akumulasi penyusutan. Fixed assets, besides land and buildings, are stated at historical cost less accumulated depreciation. Biaya perolehan termasuk biaya penggantian bagian aset tetap saat biaya tersebut terjadi, jika memenuhi kriteria pengakuan. Cost includes the replacement cost of a part of the fixed assets when the expenditure meets the criteria for recognition. Semua biaya pemeliharaan dan perbaikan yang tidak memenuhi kriteria untuk dikapitalisasi diakui dalam laporan laba rugi pada saat terjadinya. Pada setiap akhir tahun buku, nilai residu, umur manfaat dan metode penyusutan ditelaah kembali dan jika sesuai dengan keadaan, disesuaikan secara prospektif. All maintenance and repair costs which do not fulfill the capitalization criteria, are recognized in profit or loss upon occurrence. At each financial year end, the assets’ residual values, useful lives and methods of depreciation are reviewed, and adjusted prospectively as appropriate. 37 Hasanah Banking Partner 492 Annual Report 2017
493. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 2. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) KEBIJAKAN AKUNTANSI (lanjutan) p. 2. Aset tetap (lanjutan) ACCOUNTING POLICIES (continued) p. Fixed assets (continued) All fixed assets, except land, are depreciated using the straight-line method over their expected useful lives as follows: Semua aset tetap kecuali tanah, disusutkan berdasarkan metode garis lurus selama estimasi masa manfaat aset tersebut sebagai berikut: Tahun/Years Bangunan Kendaraan bermotor dan perlengkapan kantor q. 15 Buildings Motor vehicles and office equipments 5 Perlengkapan kantor terdiri dari perabotan dan perlengkapan, instalasi, perangkat lunak dan perangkat keras komputer, peralatan komunikasi dan peralatan kantor lainnya. Office equipments consist of furniture and fixtures, installation, computer software and hardware, communication and other office equipment. Semua biaya yang terjadi sehubungan dengan perolehan hak atas tanah, diakui sebagai biaya perolehan hak atas tanah. Biaya pengurusan legal hak atas tanah ketika tanah diperoleh pertama kali diakui sebagai bagian dari biaya perolehan aset tanah. Biaya pengurusan perpanjangan atau pembaruan legal hak atas tanah diakui sebagai aset tak berwujud dan diamortisasi sepanjang umur hukum hak atau umur ekonomis tanah, mana yang lebih pendek. All costs incurred in connection with the acquisition of land right are recognized as the acquisition cost of land right. The legal cost incurred when the land was first acquired is recognized as part of the acquisition cost of land right. Extension or renewal of the maintenance cost of legal rights over land is recognized as an intangible asset and amortized over the life of legal rights or economic life of the land, whichever is shorter. Hak atas tanah tidak disusutkan kecuali terdapat bukti sebaliknya yang mengindikasikan bahwa perpanjangan atau pembaruan hak atas tanah kemungkinan besar atau pasti tidak diperoleh. Land right is not depreciated unless there is contrary evidence indicating that the extension or renewal of land right is likely or definitely not obtainable. Apabila nilai tercatat aset lebih besar dari nilai yang dapat diperoleh kembali, nilai tercatat aset diturunkan menjadi sebesar nilai yang dapat diperoleh kembali, yang ditentukan sebagai nilai tertinggi antara harga jual neto dan nilai yang dipakai. When the carrying amount of an asset is greater than its estimated recoverable amount, it is written down to its recoverable amount, which is determined as the higher of the net selling price or value in use. Apabila aset tetap tidak digunakan lagi atau dijual, maka nilai perolehan dan akumulasi penyusutannya dihapuskan dari akun tersebut. Keuntungan atau kerugian yang terjadi diakui dalam laporan laba rugi. When fixed assets are retired or disposed of, their costs and the related accumulated depreciation are derecognized from the accounts. Any resulting gain or loss is recognized in profit or loss. Akumulasi biaya konstruksi aset tetap dikapitalisasi dan dicatat sebagai “Aset dalam Penyelesaian”. Biaya tersebut direklasifikasi ke akun aset tetap yang terkait pada saat proses konstruksi atau pemasangan telah selesai. The accumulated costs of construction of fixed assets are capitalized and recognized as “Assets Under Construction”. These costs are reclassified to the related fixed asset account when the construction or installation is completed. Biaya dibayar dimuka q. Prepaid expenses Prepayments to other parties are amortised over the useful life of each expense using the straight-line method. Biaya-biaya yang dibayarkan dimuka kepada pihak lain diamortisasi selama masa manfaat masing-masing biaya dengan menggunakan metode garis lurus (straight-line method). 38 Hasanah Banking Partner 493 Annual Report 2017
494. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 2. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) KEBIJAKAN AKUNTANSI (lanjutan) r. 2. Aset lain-lain ACCOUNTING POLICIES (continued) r. Other assets consist of non-ATM transaction bills to Bank BNI, revenue sharing receivables, office stationeries and others. Aset lain-lain antara lain terdiri dari tagihan transaksi non-ATM kepada Bank BNI, piutang pendapatan bagi hasil, persediaan alat tulis kantor dan lain-lain. s. Liabilitas segera s. u. Obligations due immediately Obligations due immediately represent the Bank’s obligations to other parties which should be settled immediately based on predetermined instructions by those having the authority. Obligations due immediately are stated at the amounts of Bank liabilities to the trustor. Liabilitas segera merupakan kewajiban Bank kepada pihak lain yang sifatnya wajib segera dibayarkan sesuai perintah pemberi amanat perjanjian yang ditetapkan sebelumnya. Liabilitas segera dinyatakan sebesar nilai kewajiban Bank kepada pemberi amanat. t. Other assets Simpanan dari nasabah dan bank lain t. Deposits from customers and other banks Simpanan merupakan titipan pihak lain berdasarkan prinsip wadiah yadh dhamanah dalam bentuk giro wadiah dan tabungan wadiah. Deposits represent other parties’ deposits based on the wadiah yadh dhamanah principle in the form of wadiah demand deposit and wadiah saving deposit. Giro wadiah merupakan giro wadiah yadh dhamanah yakni titipan dana pihak lain dimana pemilik dana mendapatkan bonus berdasarkan kebijakan BNI Syariah. Giro wadiah dicatat sebesar nilai titipan pemegang giro wadiah. Wadiah demand deposit is a yadh dhamanah demand deposit in which the funds owner will get a bonus based on BNI Syariah policy. Wadiah deposits are stated at the amount of wadiah demand deposit value. Tabungan wadiah merupakan simpanan pihak lain yang bisa diambil kapan saja (on call) atau berdasarkan kesepakatan dimana tidak ada imbalan yang disyaratkan kecuali dalam bentuk pemberian (‘Athaya) yang bersifat sukarela dari pihak bank. Saving deposits represent third party funds that can be taken at any time (on call) or by an agreement which required no reward except in the form of ('Athaya) is voluntary on the part of banks. Simpanan dari bank lain adalah simpanan syariah dalam bentuk giro wadiah dan tabungan wadiah. Simpanan dari bank lain dinyatakan sebesar liabilitas Bank kepada bank lain. Deposits from other banks are sharia deposits in the form of wadiah demand deposit and wadiah saving deposits. Deposit from other banks are stated at the amounts payable to other banks. Dana syirkah temporer u. Dana syirkah temporer merupakan investasi dengan akad mudharabah mutlaqah, yaitu pemilik dana (shahibul maal) memberikan kebebasan kepada pengelola dana (mudharib/Bank) dalam pengelolaan investasinya dengan keuntungan dibagikan sesuai kesepakatan. Dana syirkah temporer terdiri dari giro mudharabah, tabungan mudharabah, deposito mudharabah dan sukuk mudharabah yang diterbitkan. Temporary syirkah funds Temporary syirkah funds represent investments from other parties conducted on the basis mudharabah mutlaqah contract in which the owners of the funds (shahibul maal) grant freedom to the fund manager (mudharib/Bank) in the management of their investments with profit distributed based on the contract. Temporary syirkah funds consist of mudharabah current accounts, mudharabah saving deposits, mudharabah time deposits and mudharabah sukuk issued. 39 Hasanah Banking Partner 494 Annual Report 2017
495. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 2. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) KEBIJAKAN AKUNTANSI (lanjutan) u. 2. Dana syirkah temporer (lanjutan) ACCOUNTING POLICIES (continued) u. Temporary syirkah funds (continued) Giro dan tabungan mudharabah merupakan investasi yang bisa ditarik kapan saja (on call) atau sesuai dengan persyaratan tertentu yang disepakati. Giro dan tabungan mudharabah dinyatakan sebesar saldo di Bank. Mudharabah current accounts and savings deposits represent investment which could be withdrawn anytime (on call) or can be withdrawn based on certain agreed terms. Mudharabah current accounts and savings deposits are stated based on the customer’s balance in bank. Deposito mudharabah merupakan investasi yang hanya bisa ditarik pada waktu tertentu sesuai dengan perjanjian antara pemegang deposito mudharabah dengan Bank. Deposito mudharabah dinyatakan sebesar nilai nominal sesuai dengan perjanjian antara pemegang deposito dengan Bank. Mudharabah time deposits represent investment that can only be withdrawn at a certain time based on the agreement between the customer and the Bank. Mudharabah time deposits are stated at nominal amount as agreed between the deposit holder and the Bank. Sukuk mudharabah yang diterbitkan merupakan sukuk yang menggunakan akad mudharabah. Sukuk mudharabah diakui pada saat entitas menjadi pihak yang terikat dengan ketentuan penerbitan sukuk mudharabah. Sukuk mudharabah diakui sebesar nilai nominal. Biaya transaksi diakui secara terpisah dari sukuk mudharabah. Biaya transaksi untuk penerbitan sukuk mudharabah disajikan dalam aset sebagai biaya yang ditangguhkan dan diamortisasi sepanjang jangka waktu sukuk. Penerbitan sukuk dan perdagangan sukuk berdasarkan akad syariah, termasuk adanya aset/aktivitas yang mendasari. Pemilik sertifikat sukuk mudharabah mendapatkan bagi hasil. Mudharabah sukuk issued is a sukuk using the contract of mudharabah. Sukuk Mudharabah is recognized when the entity becomes party of issuance contract mudharabah sukuk. Sukuk mudharabah is recognized at nominal value. Transaction costs are recognized separately from the sukuk mudharabah. Transaction costs for the issuance of sukuk mudharabah presented in assets as deferred expenses and amortized over the term of sukuk. Sukuk issuance and trading of sukuk are based on the principles of sharia, including any underlying asset/activity. The holders of Mudharabah sukuk certificate receive shares of the revenue resulted. Sukuk mudharabah yang diterbitkan mengacu ke PSAK No. 110 (Revisi 2015) Akuntansi Sukuk, untuk Akuntansi Penerbit. Mudharabah sukuk issued refers to SFAS No. 110 (Revised 2015) Accounting for Sukuk, Accounting Sukuk for Publishers. Dana syirkah temporer tidak dapat digolongkan sebagai kewajiban. Hal ini karena Bank tidak berkewajiban untuk mengembalikan jumlah dana awal dari pemilik dana kecuali akibat kelalaian atau wanprestasi ketika mengalami kerugian. Di sisi lain dana syirkah temporer tidak dapat digolongkan sebagai ekuitas karena mempunyai waktu jatuh tempo dan pemilik dana tidak mempunyai hak kepemilikan yang sama dengan pemegang saham seperti hak voting dan hak atas realisasi keuntungan yang berasal dari aset lancar dan aset noninvestasi (current and other non-investment accounts). Temporary syirkah fund cannot be classified as a liability. This was due to the Bank does not have any liability to return the initial fund to the owners, except for losses due to the Bank’s management negligence or default of loss is incurred. On the other hand, temporary syirkah fund cannot be classified as shareholders’ equity, because of the maturity period and the depositors do not have the same rights as the shareholders’ such as voting rights and the rights of realized gain from current assets and other non-investment accounts. Pemilik dana syirkah temporer mendapatkan imbalan bagi hasil sesuai dengan nisbah yang ditetapkan. The owner of temporary syirkah funds receives a return from the profit sharing based on a predetermined ratio (nisbah). 40 Hasanah Banking Partner 495 Annual Report 2017
496. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 2. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) KEBIJAKAN AKUNTANSI (lanjutan) v. 2. Pendapatan pengelolaan dana oleh bank sebagai mudharib ACCOUNTING POLICIES (continued) v. Income from fund management by the bank as mudharib Pendapatan pengelolaan dana oleh Bank sebagai mudharib terdiri atas pendapatan dari jual dan beli transaksi murabahah, pendapatan bagi hasil dari mudharabah dan musyarakah, pendapatan dari sewa (ijarah) dan pendapatan usaha utama lainnya. Income from fund management by Bank as mudharib consists of income from sales and purchases of murabahah transactions, profit sharing from mudharabah and musyarakah financing, income from lease (ijarah) and other main operating income. Bank menetapkan kebijakan tingkat risiko berdasarkan ketentuan internal. Bank melakukan penghentian amortisasi pendapatan ditangguhkan pada saat pembiayaan diklasifikasikan sebagai nonperforming. Pendapatan Bank dari transaksi usaha yang diklasifikasikan sebagai nonperforming dicatat sebagai pendapatan yang akan diterima non-lancar pada laporan komitmen dan kontinjensi. The Bank prescribes the risk rate policies based on the internal regulation. The Bank terminates the amortization of deferred income at the time its financing is classified as nonperforming. The Bank’s income from business transactions that are classified as nonperforming is recorded as non-current revenue to be received in the statement of commitments and contingencies. Pengakuan pendapatan atas piutang murabahah diakui pada laporan laba rugi dengan menggunakan metode tingkat imbal hasil efektif. The revenue recognition of murabahah receivables are recognized in profit or loss using the effective rate of return method. Tingkat imbal hasil efektif merupakan metode alokasi pengakuan pendapatan dan merupakan tingkat imbal hasil yang secara tepat mendiskontokan estimasi penerimaan kas di masa depan selama perkiraan umur dari piutang murabahah untuk memperoleh biaya perolehan diamortisasi dari piutang murabahah. Pada saat menghitung tingkat imbal hasil efektif, Bank mengestimasi arus kas di masa datang dengan mempertimbangkan seluruh persyaratan kontraktual dalam piutang murabahah tersebut, tetapi tidak mempertimbangkan kerugian piutang di masa mendatang. Perhitungan ini mencakup seluruh komisi, provisi, dan bentuk lain yang diterima oleh para pihak dalam akad yang merupakan bagian tidak terpisahkan dari tingkat imbal hasil efektif, biaya transaksi, dan seluruh premi atau diskon lainnya. Effective rate of return is an allocation method of revenue recognition and the rate that exactly discounts the estimated future cash receipts through the expected life of the murabahah receivable to obtain the carrying amount of a murabahah receivable. When calculating the effective rate of return, the Bank estimates cash flows in the future by considering all contractual terms of the murabahah receivable, but does not consider the loss of receivables in the future. This calculation includes all commissions, fees, and other forms received by the parties in a contract that are an integral part of the effective rate of return, transaction costs and all other premiums or discounts. Pendapatan bagi hasil mudharabah dan musyarakah diakui dalam periode terjadinya hak bagi hasil sesuai nisbah yang disepakati. Profit sharing revenue for mudharabah and musyarakah is recognized during the period of profit sharing in accordance with the agreed profit sharing ratio. Pendapatan ijarah diakui selama masa akad menggunakan metode flat (proporsional). Income from ijarah is recognized over the period of the contract with flat (proportional) method. 41 Hasanah Banking Partner 496 Annual Report 2017
497. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 2. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) KEBIJAKAN AKUNTANSI (lanjutan) 2. ACCOUNTING POLICIES (continued) w. Hak pihak ketiga atas bagi hasil dana syirkah temporer w. Third parties' share on returns of temporary syirkah funds Hak nasabah atas bagi hasil dana syirkah temporer merupakan bagian bagi hasil milik nasabah yang didasarkan pada prinsip mudharabah atas hasil pengelolaan dana mereka oleh Bank. Pendapatan yang dibagikan adalah yang telah diterima (cash basis). Third parties’ share on returns of temporary syirkah funds represents customer’s share on the Bank’s income derived from the management of their funds by the Bank under mudharabah principles. Income that will be distributed is the cash received (cash basis) from the share. Pembagian hasil usaha dilakukan berdasarkan prinsip bagi hasil usaha yaitu dari pendapatan Bank yang diterima berupa laba kotor (gross profit margin). The distribution of revenue is based on profit sharing scheme on the Bank’s gross profit margin. Pendapatan marjin dan bagi hasil atas pembiayaan yang diberikan dan atas aset produktif lainnya akan dibagikan kepada nasabah penyimpan dana dan Bank sesuai dengan proporsi dana yang dipakai dalam pembiayaan yang diberikan dan aset produktif lainnya. Selanjutnya, pendapatan marjin dan bagi hasil yang tersedia untuk nasabah tersebut kemudian dibagihasilkan ke nasabah penabung dan deposan sebagai shahibul maal dan Bank sebagai mudharib sesuai porsi nisbah bagi hasil yang telah disepakati bersama sebelumnya. Pendapatan marjin dan bagi hasil dari pembiayaan dan aset produktif lainnya yang memakai dana Bank, seluruhnya menjadi milik Bank, termasuk pendapatan dari investasi Bank berbasis imbalan. Margin income and profit sharing on financing facilities and other earning assets are distributed to fund owners and the Bank based on proportion of fund used in the financing and other earning assets. Margin income and profit sharing income allocated to the fund owners are then distributed to fund owners as shahibul maal and the Bank as mudharib based on a predetermined ratio (nisbah). Margin income and profit sharing from financing facilities and other earning assets using the Bank's funds, are entirely shared for the Bank, including income from the Bank's fee-based transactions. x. Pendapatan administrasi x. Administration income Administration income is income from financing administration services and other banking services. Administration income is recognized simultaneously at the transaction date, except for administration income that is an integral part of effective return of murabahah receivables (Note 2j). Pendapatan administrasi merupakan pendapatan atas jasa administrasi pembiayaan dan jasa perbankan lainnya. Pendapatan administrasi diakui sekaligus pada saat transaksi dilakukan, kecuali atas pendapatan administrasi yang diperhitungkan dalam imbal hasil efektif atas piutang murabahah (Catatan 2j). y. Imbalan kerja y. Employee benefits Imbalan kerja jangka pendek Short-term employee benefits Imbalan kerja jangka pendek diakui pada saat terutang kepada karyawan. Short-term employee benefits are recognized when they are accrued to the employees. Imbalan pensiun dan imbalan pasca-kerja lainnya Pension benefits and other post-employment benefits Bank memiliki program pensiun imbalan pasti dan iuran pasti. The Bank has defined benefit and defined contribution pension plans. 42 Hasanah Banking Partner 497 Annual Report 2017
498. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 2. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) KEBIJAKAN AKUNTANSI (lanjutan) y. 2. Imbalan kerja (lanjutan) ACCOUNTING POLICIES (continued) y. Employee benefits (continued) Imbalan pensiun dan imbalan pasca-kerja lainnya (lanjutan) Pension benefits and other post-employment benefits (continued) Program pensiun imbalan pasti adalah program pensiun yang menetapkan jumlah imbalan pensiun yang akan diterima oleh karyawan pada saat pensiun, yang biasanya tergantung pada satu faktor atau lebih, seperti umur, masa kerja, dan jumlah kompensasi. A defined benefit pension plan is a pension plan that defines an amount of pension that will be received by the employee on becoming entitled to a pension, which usually depends on one or more factors such as age, years of service and compensation. Program pensiun iuran pasti adalah program pensiun dimana Perusahaan akan membayar iuran tetap kepada sebuah entitas yang terpisah (dana pensiun) dan tidak memiliki liabilitas hukum atau konstruktif untuk membayar kontribusi lebih lanjut. Program ini dikelola oleh Dana Pensiun Lembaga Keuangan PT Bank Negara Indonesia (Persero) Tbk (“DPLK”). A defined contribution plan is a pension plan under which the Company pays fixed contributions into a separate entity (pension fund) and has no legal or constructive obligation to pay further contributions. This plan is managed by Dana Pensiun Lembaga Keuangan PT Bank Negara Indonesia (Persero)Tbk (“DPLK”). Bank diharuskan menyediakan imbalan pensiun minimum yang diatur dalam UU No. 13/2003, yang merupakan liabilitas imbalan pasti. Jika imbalan pensiun sesuai dengan UU No. 13/2003 lebih besar, selisih tersebut diakui sebagai bagian dari liabilitas imbalan pensiun. The Bank is required to provide minimum pension benefits as stipulated in the Law No. 13/2003 which represents an underlying defined benefit obligation. If the pension benefits based on Law No. 13/2003 are higher, the difference is recorded as part of the overall pension benefits obligation. Karena UU Ketenagakerjaan menentukan rumus tertentu untuk menghitung jumlah minimal imbalan pensiun, pada dasarnya Program pensiun berdasarkan UU Ketenagakerjaan adalah program imbalan pasti. Since the Labor Law sets the formula for determining the minimum amount of benefits, in substance pension plans under the Labor Law represent defined benefit plans. Sehubungan dengan program imbalan pasti, liabilitas diakui pada laporan posisi keuangan sebesar nilai kini kewajiban imbalan pasti pada akhir periode pelaporan dikurangi nilai wajar aset program. Kewajiban imbalan pasti dihitung setiap tahun oleh aktuaris yang independen dengan menggunakan metode projected unit credit. Nilai kini kewajiban imbalan pasti ditentukan dengan mendiskontokan arus kas keluar yang diestimasi dengan menggunakan tingkat bunga Obligasi Pemerintah (dikarenakan saat ini tidak ada pasar aktif untuk obligasi perusahaan yang berkualitas tinggi) yang didenominasikan dalam Rupiah dimana imbalan akan dibayarkan dan memiliki jangka waktu jatuh tempo mendekati jangka waktu kewajiban pensiun. The liability recognized in the statement of financial position in respect of defined benefit pension plans is the present value of the defined benefit obligation at the end of the reporting period less the fair value of plan assets. The defined benefit obligation is calculated annually by independent actuaries using the projected unit credit method. The present value of the defined benefit obligation is determined by discounting the estimated future cash outflows using interest rates of Government Bonds (considering currently there is no active market for high-quality corporate bonds) that are denominated in Rupiah in which the benefits will be paid, and that have terms to maturity approximating to the terms of the related pension obligation. 43 Hasanah Banking Partner 498 Annual Report 2017
499. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 2. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) KEBIJAKAN AKUNTANSI (lanjutan) y. z. 2. Imbalan kerja (lanjutan) ACCOUNTING POLICIES (continued) y. Employee benefits (continued) Keuntungan dan kerugian aktuarial yang timbul dari penyesuaian dan perubahan dalam asumsi-asumsi aktuarial langsung diakui seluruhnya melalui pendapatan komprehensif lainnya pada saat terjadinya. Actuarial gains and losses arising from experience adjustments and changes in actuarial assumptions are charged or credited to equity in other comprehensive income in the period in which they arise. Biaya jasa lalu diakui segera dalam laporan laba rugi. Past-service costs are recognized immediately in profit or loss. Keuntungan dan kerugian dari kurtailmen atau penyelesaian program manfaat pasti diakui di laba rugi ketika kurtailmen atau penyelesaian tersebut terjadi. Gains or losses on the curtailment or settlement of a defined benefit plan are recognized in profit or loss when the curtailment or settlement occurs. Bank juga memberikan imbalan pasca kerja lainnya, seperti uang penghargaan dan uang pisah. Imbalan berupa uang penghargaan diberikan apabila karyawan bekerja hingga mencapai usia pensiun. Sedangkan imbalan berupa uang pisah, dibayarkan kepada karyawan yang mengundurkan diri secara sukarela, setelah memenuhi minimal masa kerja tertentu. Imbalan ini dihitung dengan menggunakan metodologi yang sama dengan metodologi yang digunakan dalam perhitungan program pensiun imbalan pasti. The Bank also provides other postemployment benefits, such as service pay and separation pay. The service pay benefit is vested when the employees reach their retirement age. The separation pay benefit is paid to employees in the case of voluntary resignation, subject to a minimum number of years of service. These benefits have been accounted for using the same methodology as for the defined benefit pension plan. Imbalan jangka panjang lainnya Other long-term benefits Imbalan jangka panjang lainnya seperti cuti berimbalan jangka panjang, imbalan cacat permanen dan penghargaan jubilee dihitung dengan menggunakan metode projected unit credit dan didiskontokan ke nilai kini. Other long-term employee benefits such as long service leave, permanent disability benefit and jubilee awards are calculated using the projected unit credit method and discounted to present value. Pajak penghasilan z. Income tax The tax expense comprises current and deferred tax. Tax is recognized in the statement of proft or loss, except to the extent that it relates to items recognized directly in other comprehensive income or equity. In this case, the tax is also in other comprehensive income or recognized in other comprehensive income or directly in equity, respectively. Beban pajak terdiri dari pajak kini dan pajak tangguhan. Pajak diakui dalam laporan laba rugi, kecuali jika pajak tersebut terkait dengan transaksi atau kejadian yang langsung diakui di pendapatan komprehensif lain atau langsung diakui ke ekuitas. Dalam hal ini,pajak tersebut masing-masing diakui dalam pendapatan komprehensif lain atau ekuitas. 44 Hasanah Banking Partner 499 Annual Report 2017
500. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 2. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) KEBIJAKAN AKUNTANSI (lanjutan) z. 2. Pajak penghasilan (lanjutan) ACCOUNTING POLICIES (continued) z. Income tax (continued) Beban pajak kini dihitung berdasarkan peraturan perpajakan yang berlaku pada tanggal pelaporan keuangan. Manajemen secara periodik mengevaluasi posisi yang dilaporkan di Surat Pemberitahuan Tahunan (SPT) sehubungan dengan situasi dimana aturan pajak yang berlaku membutuhkan interpretasi. Jika perlu, manajemen menentukan provisi berdasarkan jumlah yang diharapkan akan dibayar kepada otoritas pajak. The current income tax charge is calculated on the basis of the tax laws enacted or substantively enacted at the reporting date. Management periodically evaluates positions taken in Annual Corporate Income Tax Return (SPT) with respect to situations in which applicable tax regulation is subject to interpretation. If needed, management establishes provision where appropriate on the basis of amounts expected to be paid to the tax authorities. Pajak penghasilan tangguhan diakui, dengan menggunakan metode balance sheet liability untuk semua perbedaan temporer antara dasar pengenaan pajak aset dan liabilitas dengan nilai tercatatnya pada laporan keuangan. Namun, liabilitas pajak penghasilan tangguhan tidak diakui jika berasal dari pengakuan awal goodwill atau pada saat pengakuan awal aset dan liabilitas yang timbul dari transaksi selain kombinasi bisnis yang pada saat transaksi tersebut tidak mempengaruhi laba rugi akuntansi dan laba rugi kena pajak. Pajak penghasilan tangguhan ditentukan dengan menggunakan tarif pajak yang telah berlaku atau secara substantif telah berlaku pada akhir periode pelaporan dan diharapkan diterapkan ketika aset pajak penghasilan tangguhan direalisasi atau liabilitas pajak penghasilan tangguhan diselesaikan. Deferred income tax is recognized, using the balance sheet liability method, on temporary differences arising between the tax bases of assets and liabilities and their carrying amounts in the financial statements. However, deferred tax liabilities are not recognized if they arise from the initial recognition of goodwill and deferred income tax is not accounted for if it arises from initial recognition of an asset or liability in a transaction other than a business combination that at the time of the transaction affects neither accounting nor taxable profit or loss. Deferred income tax is determined using tax rates that have been enacted or substantially enacted as at reporting period and is expected to apply when the related deferred income tax asset is realized or the deferred income tax liability is settled. Aset pajak penghasilan tangguhan diakui hanya jika besar kemungkinan jumlah penghasilan kena pajak di masa depan akan memadai untuk dikompensasi dengan perbedaan temporer yang masih dapat dimanfaatkan. Deferred income tax assets are recognized only to the extent that it is probable that future taxable profit will be available against which the temporary differences can be utilised. Aset dan liabilitas pajak penghasilan tangguhan dapat saling hapus apabila terdapat hak yang berkekuatan hukum untuk melakukan saling hapus antara aset pajak kini dengan liabilitas pajak kini dan apabila aset dan liabilitas pajak penghasilan tangguhan dikenakan oleh otoritas perpajakan yang sama, baik atas entitas kena pajak yang sama ataupun berbeda dan adanya niat untuk melakukan penyelesaian saldo-saldo tersebut secara neto. Deferred income tax assets and liabilities are offset when there is a legally enforceable right to offset current tax assets against current tax liabilities and when the deferred income taxes assets and liabilities relate to income taxes levied by the same taxation authority on either the same taxable entity or different taxable entities where there is an intention to settle the balances on a net basis. Koreksi terhadap kewajiban perpajakan diakui saat surat ketetapan pajak diterima atau jika mengajukan keberatan, pada saat keputusan atas keberatan tersebut telah ditetapkan. Corrections to taxation obligations are recorded when an assessment is received or, if appealed against, when the appeal has been decided. 45 Hasanah Banking Partner 500 Annual Report 2017
501. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 2. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) KEBIJAKAN AKUNTANSI (lanjutan) 2. ACCOUNTING POLICIES (continued) aa. Sumber dan penyaluran dana zakat dan penggunaan dana kebajikan aa. Sources and distribution of zakat funds and uses of qardhul hasan funds Sumber dana zakat saat ini berasal dari zakat badan bank sebesar 2,5% laba bersih dan zakat dari tiap pegawai sebesar 2,5% Take Home Pay, sementara sumber dana kebajikan bank berasal dari infaq nasabah dana pihak ketiga dan sumber pendapatan non-halal bank dari penyalahgunaan pembiayaan akibat tidak terpenuhinya syarat-syarat pembiayaan di check-list uji kepatuhan dan uji kepatuhan syariah. Bank’s zakat is now currently comes from bank’s zakat worth 2.5% Earning After Tax (EAT) and employees’ zakat worth 2.5% Take Home Pay, while Charity /qardhul hasan funds comes from third parties fund customers’ infaq and non-halal income source from financing side-streaming due to inappropriate requirements fulfillment on compliance-test and sharia compliance-test check-lists. Berdasarkan KKR No. 40 tanggal 22 Agustus 2016, Bank menetapkan penghapusan denda tunggakan sehingga denda/sanksi atas tunggakan pembiayaan yang menjadi salah satu sumber dana kebajikan pada periodeperiode sebelumnya, kini sudah ditiadakan. Based on Policy and Risk Committee agreement number 40 dated 2016, August 22, Bank decided to terminate policy on penalties/sanctions so that penalties/sanctions upon delinquency in financing that previously become one of the source for charity/qardhul hasan funds is no longer exist. Adapun penyaluran dana zakat dan penggunaan dana kebajikan, pengelolaannya diserahkan kepada Yayasan Hasanah Titik (pada tahun 2013 bernama Unit Pengelola Zakat) BNI Syariah. As for the distribution management of zakat funds and uses of qardhul hasan funds is delegated to Yayasan Hasanah Titik (at 2013 named Unit Pengelola Zakat) BNI Syariah. ab. Pelaporan segmen ab. Segment reporting BNI Syariah menentukan dan menyajikan segmen operasi berdasarkan informasi yang secara internal diberikan kepada pengambil keputusan operasional. BNI Syariah determine and present operating segments based on the information that is internally provided to the chief operating decision maker. BNI Syariah mengidentifikasikan segmen operasi sebagai suatu komponen dari entitas: BNI Syariah defines an operating segment as a component of an entity: a) a) that engages in business activities from which it may earn revenues and incur expenses (including revenues and expenses relating to transactions with other components of the same entity); b) whose operating results are reviewed regularly by the entity’s chief operating decision maker to make decisions about resources to be allocated to the segment and assess its performance; and c) for which discrete financial information is available. b) c) yang terlibat dalam aktivitas bisnis yang mana memperoleh pendapatan dan menimbulkan beban (termasuk pendapatan dan beban terkait dengan transaksi dengan komponen lain dari entitas yang sama); hasil operasinya dikaji ulang secara reguler oleh pengambil keputusan operasional untuk membuat keputusan tentang sumber daya yang dialokasikan pada segmen tersebut dan menilai kinerjanya; dan tersedia informasi keuangan yang dapat dipisahkan. BNI Syariah discloses its operating segments based on operating segments that consist of Commercial, Consumer and Retail, Micro, Treasury and International and Head Office. BNI Syariah mengungkapkan segmen operasionalnya berdasarkan segmen usaha yang meliputi Komersial, Konsumer dan Ritel, Mikro, Tresuri dan Internasional dan Kantor Pusat. 46 Hasanah Banking Partner 501 Annual Report 2017
502. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 3. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) ESTIMASI DAN PERTIMBANGAN AKUNTANSI YANG PENTING 3. CRITICAL ACCOUNTING JUDGEMENTS ESTIMATES AND Beberapa estimasi dan asumsi dibuat dalam rangka penyusunan laporan keuangan dimana dibutuhkan pertimbangan manajemen dalam menentukan metodologi yang tepat untuk penilaian aset dan liabilitas. Certain estimates and assumption are made in the preparation of the financial statements. These often require management judgement in determining the appropriate methodology for valuation of assets and liabilities. Manajemen membuat estimasi dan asumsi yang berimplikasi pada pelaporan nilai aset dan liabilitas atas tahun keuangan satu tahun ke depan. Semua estimasi dan asumsi yang diharuskan oleh PSAK adalah estimasi terbaik yang didasarkan standar yang berlaku. Estimasi dan pertimbangan dievaluasi secara terus menerus dan berdasarkan pengalaman masa lalu dan faktor-faktor lain termasuk harapan atas kejadian yang akan datang. Management makes estimates and assumptions that affect the reported amounts of assets and liabilities within the next financial year. All estimates and assumptions required in conformity with SFAS are best estimates undertaken in accordance with the applicable standard. Estimates and judgements are evaluated on a continuous basis, and are based on past experience and other factors, including expectations with regard to future events. Walaupun estimasi ini dibuat berdasarkan pengetahuan terbaik manajemen atas kejadian dan tindakan saat ini, hasil yang timbul mungkin berbeda dengan jumlah yang diestimasi semula. Although these estimates are based on management’s best knowledge of current events and activities, actual results may differ from those estimates. Sumber utama ketidakpastian estimasi Key sources of estimation uncertainty Cadangan kerugian penurunan nilai piutang murabahah Allowances for impairment murabahah receivables Kondisi spesifik counterparty yang mengalami penurunan nilai dalam pembentukan cadangan kerugian atas piutang murabahah dievaluasi secara individu berdasarkan estimasi terbaik manajemen atas nilai kini arus kas yang diharapkan akan diterima. Dalam mengestimasi arus kas tersebut, manajemen membuat pertimbangan tentang situasi keuangan counterparty dan nilai realisasi bersih dari setiap agunan. Setiap aset yang mengalami penurunan nilai dinilai sesuai dengan manfaat yang ada, dan strategi penyelesaian serta estimasi arus kas yang diperkirakan dapat diterima. In the calculation of allowance for impairment losses of murabahah receivables, the specific condition of impaired counterparty is individually evaluated based on management's best estimate of the present value of the expected cash flows to be received. In estimating these cash flows, management makes judgements about the counterparty's financial situation and the net realizable value of any underlying collateral. Each impaired asset is assessed on its merits, and the workout strategy and estimated cash flows considered recoverable. Perhitungan cadangan penurunan nilai kolektif meliputi kerugian kredit yang melekat dalam portofolio piutang murabahah dengan karakteristik ekonomi yang sama ketika terdapat bukti objektif penurunan nilai, tetapi penurunan nilai secara individu belum dapat diidentifikasi. Dalam menilai kebutuhan untuk cadangan kolektif, manajemen mempertimbangkan faktor-faktor seperti kualitas piutang dan jenis produk. Guna membuat estimasi cadangan yang diperlukan, manajemen membuat asumsi untuk menentukan kerugian yang melekat, dan untuk menentukan parameter input yang diperlukan, berdasarkan pengalaman masa lalu dan kondisi ekonomi saat ini. Keakuratan cadangan tergantung pada seberapa baik estimasi arus kas masa depan untuk cadangan counterparty tertentu dan asumsi model dan parameter yang digunakan dalam menentukan cadangan kolektif. Collectively assessed impairment allowances cover credit losses inherent in portfolios of murabahah receivables with similar economic characteristics when there is objective evidence to suggest that they contain impaired financial assets, but the individual impaired items cannot yet be identified. In assessing the need for collective allowances, management considers factors such as credit quality and type of product. In order to estimate the required allowance, assumptions are made to define the way inherent losses are modelled and to determine the required input parameters, based on historical experiences and current economic conditions. The accuracy of the allowances depends on how well these estimate future cash flows for specific counterparty allowances and the model assumptions and parameters used in determining collective allowances. 47 Hasanah Banking Partner 502 Annual Report 2017 losses of
503. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 3. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) ESTIMASI DAN PERTIMBANGAN AKUNTANSI YANG PENTING (lanjutan) 3. CRITICAL ACCOUNTING ESTIMATES JUDGEMENTS (continued) AND Nilai wajar atas instrumen keuangan Fair value of financial instruments Bila nilai wajar aset keuangan dan liabilitas keuangan yang tercatat pada laporan posisi keuangan tidak tersedia di pasar aktif, nilainya ditentukan dengan menggunakan berbagai teknik penilaian termasuk penggunaan model matematika. Masukan (input) untuk model ini berasal dari data pasar yang bisa diamati sepanjang data tersebut tersedia. Bila data pasar yang bisa diamati tersebut tidak tersedia, pertimbangan manajemen diperlukan untuk menentukan nilai wajar. Pertimbangan manajemen tersebut mencakup pertimbangan likuiditas dan masukan model seperti volatilitas untuk transaksi derivatif yang berjangka waktu panjang dan tingkat diskonto, tingkat pelunasan dipercepat dan asumsi tingkat gagal bayar. When the fair values of financial assets and financial liabilities recorded on the statement of financial position cannot be derived from active markets, they are determined using a variety of valuation techniques that include the use of mathematical models. The inputs to these models are derived from observable market data where possible. But when observable market data are not available, management’s judgment is required to establish fair values. The management’s judgments include considerations of liquidity and model inputs such as volatility for long-term derivatives and discount rates, early payment rates and default rate assumptions. Bank menampilkan nilai wajar atas instrumen keuangan berdasarkan hirarki nilai wajar sebagai berikut: The Bank present the fair value of financial instruments based on the following fair value hierarchy: 1. Tingkat 1: dikutip dari harga pasar aktif untuk aset atau liabilitas keuangan yang identik; 1. 2. Tingkat 2: teknik valuasi darimana seluruh input yang memiliki efek signifikan terhadap nilai wajar yang diakui dapat diobservasi baik secara langsung atau tidak langsung; dan 2. 3. Tingkat 3: teknik valuasi darimana seluruh input yang memiliki efek signifikan terhadap nilai wajar yang diakui tidak dapat diobservasi dari data pasar. 3. Level 1: quoted (unadjusted) prices in active markets for identical financial assets or liabilities; Level 2: valuation techniques for which all inputs which have a significant effect on the recorded fair value are observable either directly or indirectly; and Level 3: valuation techniques which use inputs that have a significant effect on the recorded fair value that are not based on observable market data. Liabilitas imbalan kerja Employee benefits Nilai kini atas imbalan kerja karyawan tergantung dari banyaknya faktor yang dipertimbangkan oleh aktuaris berdasarkan beberapa asumsi. Perubahan atas asumsi-asumsi tersebut akan mempengaruhi carrying amount atas imbalan kerja karyawan. The present value of the employee benefit obligations depends on a number of factors that are determined on an actuarial basis using a number of assumptions. Any changes in these assumptions will impact the carrying amount of employee benefit obligations. Asumsi yang digunakan dalam menentukan biaya atau pendapatan untuk imbalan kerja termasuk tingkat diskonto. Bank menentukan tingkat diskonto yang tepat pada setiap akhir tahun. Ini merupakan tingkat suku bunga yang digunakan untuk menentukan nilai kini atas arus kas masa depan yang diestimasi akan digunakan untuk membayar imbalan kerja. Dalam menentukan tingkat diskonto yang tepat, Bank mempertimbangkan tingkat suku bunga atas Obligasi Pemerintah yang mempunyai jatuh tempo yang menyerupai jangka waktu imbalan kerja karyawan. The assumptions used in determining the net cost (income) for employee benefits include the discount rate. The Bank determines the appropriate discount rate at the end of each year. This is the interest rate that should be used to determine the present value of estimated future cash outflows expected to be required to settle the pension obligations. In determining the appropriate discount rate, the Bank considers the interest rates of Government Bonds that have terms to maturity approximating the terms of the related employee benefit liability. 48 Hasanah Banking Partner 503 Annual Report 2017
504. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 3. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) ESTIMASI DAN PERTIMBANGAN AKUNTANSI YANG PENTING (lanjutan) 3. CRITICAL ACCOUNTING ESTIMATES JUDGEMENTS (continued) AND Liabilitas imbalan kerja (lanjutan) Employee benefits (continued) Asumsi kunci liabilitas pensiun lainnya sebagian ditentukan berdasarkan kondisi pasar saat ini. Other key assumptions for pension obligations are partly based on current market conditions. Aset pajak tangguhan Deferred tax assets Aset pajak tangguhan diakui atas jumlah pajak penghasilan terpulihkan (recoverable) pada periode mendatang sebagai akibat perbedaan temporer yang boleh dikurangkan. Pertimbangan manajemen diperlukan untuk menentukan jumlah aset pajak tangguhan yang dapat diakui, sesuai dengan waktu yang tepat dan tingkat laba fiskal di masa mendatang sejalan dengan strategi rencana perpajakan ke depan. Deferred tax assets are recognized for over the future recoverable taxable income arising from deductible temporary difference. Management’s judgment is required to determine the amount of deferred tax assets that can be recognized, based upon the likely timing on level of future taxable profits together with future tax planning strategics. Revaluasi aset tetap Fixed assets revaluation Revaluasi aset tetap Bank bergantung pada pemilihan asumsi yang digunakan oleh penilai independen dalam menghitung jumlah-jumlah tersebut. Asumsi tersebut termasuk antara lain: tingkat diskonto, nilai tukar, tingkat inflasi dan tingkat kenaikan pendapatan dan biaya. Bank berkeyakinan bahwa asumsi tersebut adalah wajar dan sesuai, perbedaan signifikan dalam asumsi yang ditetapkan Bank dapat mempengaruhi secara material nilai aset tetap yang direvaluasi. The Bank’s fixed assets revaluation depends on its selection of certain assumptions used by the independent appraisal in calculating such amounts. Those assumptions include among others, discount rate, exchange rate, inflation rate and revenue and cost increase rate. The Bank believes that its assumptions are reasonable and appropriate and significant differences in the Bank’s assumptions may materially affect the valuation of its fixed assets. Konsolidasian Entitas Terstruktur Consolidation of Structured Entities Dalam menentukan tingkat pengendalian yang dimiliki, Bank mempertimbangkan apakah entitas tersebut memenuhi definisi Entitas Terstruktur yang dijabarkan dalam Catatan 2c dan apakah Bank, secara substansi, mengendalikan entitas tersebut. In determining the degree of control exercised, the Bank considers whether these entities meet the definition of Structured Entities as set out in Note 2c and whether the Bank, in substance, controls such entities. Ketika Bank, secara substansi, mengendalikan entitas terstruktur tersebut, entitas tersebut dikonsolidasikan oleh Bank. When the Bank, in substance, controls the entity to which the financial assets have been transferred, the entity is consolidated by the Bank. 49 Hasanah Banking Partner 504 Annual Report 2017
505. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 4. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) KAS 4. CASH 31 Desember/December 31, 2017 Rupiah Mata Uang Asing Dolar Amerika Serikat Riyal Arab Saudi 5. GIRO DAN INDONESIA PENEMPATAN PADA 2016 225.012 155.517 6.874 1.840 3.716 679 8.714 4.395 233.726 159.912 BANK 5. Rupiah Foreign Currencies United States Dollar Saudi Arabian Riyal CURRENT ACCOUNTS WITH BANK INDONESIA AND PLACEMENTS 31 Desember/December 31, 2017 Giro pada Bank Indonesia Rupiah Dolar Amerika Serikat Fasilitas Simpanan Bank Indonesia Syariah (FASBIS) Rupiah 2016 2.073.587 16.023 1.210.595 13.553 2.089.610 1.224.148 Current accounts with Bank Indonesia Rupiah United States Dollar 1.960.000 818.000 Bank Indonesia Sharia Deposit Facilities (FASBIS) Rupiah Sertifikat Bank Indonesia Syariah Rupiah 725.000 600.000 Bank Indonesia Sharia Certificate Rupiah Depoito Berjangka Syariah Bank Indonesia Dolar Amerika Serikat 339.187 417.648 Bank Indonesia Sharia Term Deposit United States Dollar 3.024.187 1.835.648 5.113.797 3.059.796 The ratio of the Minimum Statutory Reserve Requirement (”GWM”) for its Rupiah and foreign currencies as of December 31, 2017 and December 31, 2016, are as follows: Rasio Giro Wajib Minimum (“GWM”) untuk rekening Rupiah dan mata uang asing pada tanggal-tanggal 31 Desember 2017 dan 31 Desember 2016, adalah sebagai berikut: 31 Desember/December 31, 2017 Rupiah Mata uang asing 2016 7,25% 1,45% 5,19% 1,46% 50 Hasanah Banking Partner 505 Annual Report 2017 Rupiah Foreign currencies
506. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 5. GIRO DAN PENEMPATAN INDONESIA (lanjutan) PADA PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) BANK 5. CURRENT ACCOUNTS AND PLACEMENTS WITH BANK INDONESIA (continued) Sesuai dengan Peraturan Bank Indonesia No. 6/21/PBI/2004 tanggal 3 Agustus 2004 tentang “Giro Wajib Minimum Dalam Rupiah dan Valuta Asing Bagi Bank Umum yang Melaksanakan Kegiatan Usaha Berdasarkan Prinsip Syariah” sebagaimana telah diubah dengan Peraturan Bank Indonesia No. 8/23/PBI/2006 tanggal 5 Oktober 2006, Peraturan Bank Indonesia No. 10/23/PBI/2008 tanggal 16 Oktober 2008 dan terakhir berdasarkan Peraturan Bank Indonesia No. 15/16/PBI/2013 tanggal 24 Desember 2013, setiap Bank diwajibkan memelihara GWM dalam Rupiah dan valuta asing yang besarnya ditetapkan masing-masing sebesar 5,00% dan 1,00% dari dana pihak ketiga dalam Rupiah dan valuta asing. Based on Bank Indonesia Regulation No.6/21/PBI/2004 dated August 3, 2004 regarding “Minimum Statutory Reserve Requirements in Rupiah and Foreign Currencies of Commercial Banks under Sharia Principle” as amended, by Bank Indonesia Regulation No. 8/23/PBI/2006 dated October 5, 2006, No. 10/23/PBI/2008 dated October 16, 2008 and the latest amendement No. 15/16/PBI/2013 dated December 24, 2013, each bank is required to maintain Minimum Statutory Reserve Requirements (GWM) in Rupiah and foreign currencies equivalent to 5.00% and 1.00% of its third party funds denominated in Rupiah and foreign currencies, respectively. Saldo giro pada Bank Indonesia disediakan untuk memenuhi persyaratan GWM dari Bank Indonesia. The balance of current accounts with Bank Indonesia is provided to meet GWM from Bank Indonesia. Bank telah memenuhi ketentuan Bank Indonesia tentang GWM per tanggal-tanggal 31 Desember 2017 dan 2016. The Bank has complied with the Bank Indonesia regulations regarding the GWM as of December 31, 2017 and 2016. Bank menempatkan dana pada Bank Indonesia dengan rata-rata tingkat bonus tahunan sebagai berikut: The Bank placed its fund with Bank Indonesia with average annual bonuses as follows: 31 Desember/December 31, 2017 Fasilitas Simpanan Bank Indonesia Syariah (FASBIS) Sertifikat Bank Indonesia Syariah Depoito Berjangka Syariah Bank Indonesia 6. 2016 3,50% 5,62% 1,07% GIRO PADA BANK LAIN Bank Indonesia Sharia Deposit Facilities (FASBIS) Bank Indonesia Sharia Certificate Bank Indonesia Sharia Term Deposit 4,00% 6,03% 0,47% 6. CURRENT ACCOUNT WITH OTHER BANKS 31 Desember/December 31, 2017 Pihak berelasi (Catatan 48) PT Bank Negara Indonesia (Persero) Tbk Dolar Amerika Serikat Rupiah Euro Poundsterling Inggris Riyal Arab Saudi Yen Jepang Dolar Singapura Dolar Australia Franc Swiss Dolar Kanada Dolar Hong Kong Pihak ketiga Citibank Dolar Amerika Serikat Dikurangi: Cadangan kerugian penurunan nilai 2016 169.754 126.122 2.687 2.600 1.857 1.626 1.276 1.007 536 295 163 70.455 100.444 914 1.448 108 287 343 419 58 200 144 20.816 - 328.739 174.820 (3.287) 325.452 Related parties (Note 48) PT Bank Negara Indonesia (Persero) Tbk United States Dollars Rupiah Euro British Poundsterling Saudi Arabian Riyal Japanese Yen Singapore Dollar Australian Dollar Swiss Franc Canadian Dollar Hong Kong Dollar (1.748) 173.072 51 Hasanah Banking Partner 506 Annual Report 2017 Third parties Citibank United States Dollar Less: Allowance for possible losses
507. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 6. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) GIRO PADA BANK LAIN (lanjutan) 6. CURRENT ACCOUNT WITH OTHER BANKS (continued) Changes of allowance for possible losses on current account with other banks are as follows: Perubahan cadangan kerugian giro pada bank lain adalah sebagai berikut: 31 Desember/December 31, 2017 7. 2016 Saldo awal Pembentukan selama tahun berjalan (Catatan 42) Selisih kurs 1.748 907 1.420 119 858 (17) Beginning balance Provisions during the year (Note 42) Exchange rate difference Saldo akhir 3.287 1.748 Ending balance Manajemen berpendapat bahwa jumlah cadangan kerugian giro pada bank lain yang dibentuk pada tanggal 31 Desember 2017 dan 2016, telah memadai dan telah sesuai dengan ketentuan Bank Indonesia dan OJK. Management believes that possible losses on current banks as of December 31, adequate and in compliance and FSA regulations. Bank tidak memperoleh pendapatan jasa giro atas seluruh penempatan giro pada bank lain tersebut. The Bank does not obtain income from all the current accounts with other banks. INVESTASI PADA SURAT BERHARGA a. 7. Berdasarkan jenis the allowance for account with other 2017 and 2016, is with Bank Indonesia INVESTMENTS IN MARKETABLE SECURITIES a. By type 31 Desember/December 31, 2017 Diukur pada biaya perolehan Sukuk Negara Berbasis Proyek (PBS) termasuk nilai perolehan dibanding nilai nominal yang belum diamortisasi masing-masing sebesar Rp(23.048) dan Rp51.777 pada tanggal tanggal 31 Desember 2017 dan 2016 Sukuk Korporasi termasuk nilai perolehan dibanding nilai nominal yang belum diamortisasi masing-masing sebesar Rp(47) dan Rp(821) pada tanggal-tanggal 31 Desember 2017 dan 2016 INDOIS termasuk nilai perolehan dibanding nilai nominal yang belum diamortisasi masing -masing sebesar Rp909 dan Rp388 pada tanggal-tanggal 31 Desember 2017 dan 2016 2016 3.824.582 2.313.128 412.951 272.264 364.179 Corporate Sukuk including net unamortised differences of acquisition cost and nominal value of Rp(47) and Rp(821) as of December 31, 2017 and 2016, respectively 135.113 INDOIS including net unamortised differences of acquisition cost and nominal value of Rp909 and Rp388 as of December 31, 2017 and 2016, respectively 52 Hasanah Banking Partner 507 At cost Government Project Based Sukuk (PBS) including net unamortised differences of acquisition cost and nominal value of Rp(23,048) and Rp51,777 as of December 31, 2017 and 2016, respectively Annual Report 2017
508. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 7. INVESTASI (lanjutan) a. PADA SURAT PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) BERHARGA 7. INVESTMENTS IN MARKETABLE SECURITIES (continued) Berdasarkan jenis (lanjutan) a. By type (continued) 31 Desember/December 31, 2017 2016 Diukur pada biaya perolehan (lanjutan) At cost (continued) Surat Berharga Syariah Negara (SBSN) termasuk nilai perolehan dibanding nilai nominal yang belum diamortisasi masing-masing sebesar Rp35.866 dan Rp(38.045) pada tanggal-tanggal 31 Desember 2017 dan 2016 186.285 Sharia Based Goverment Securities (SBSN) including net unamortised differences of acquisition cost and nominal value of Rp35,866 and Rp(38,045) as of December 31, 2017 and 2016, respectively - 400.742 Sharia Treasury Bills (SPNS) including net unamortised differences of acquisition cost and nominal value of Rp0 and Rp3,234 as of December 31, 2017 and 2016, respectively 4.673.814 3.399.447 164.017 Surat Perbendaharaan Negara Syariah (SPNS) termasuk nilai perolehan dibanding nilai nominal yang belum diamortisasi masing-masing sebesar Rp0 dan Rp3.234 pada tanggal tanggal 31 Desember 2017 dan 2016 Tersedia untuk dijual Sukuk Negara Berbasis Proyek (PBS) Reksadana Surat Berharga Syariah Negara (SBSN) INDOIS Sukuk Korporasi Total investasi Pada surat berharga 243.011 77.307 403.163 40.058 71.339 68.942 41.020 50.993 34.794 501.619 529.008 5.175.433 3.928.455 Dikurangi: Cadangan kerugian penurunan nilai (5.313) 5.170.120 b. Berdasarkan kolektibilitas (4.390) Available-for-sale Government Project Based Sukuk (PBS) Mutual Funds Sharia Based Government Securities (SBSN) INDOIS Corporate Sukuk Total investments in securities Less: Allowance for possible losses 3.924.065 b. By collectibility 31 Desember/December 31, 2017 Lancar Dikurangi: Cadangan kerugian penurunan nilai 2016 5.175.433 (5.313) 3.928.455 (4.390) 5.170.120 3.924.065 53 Hasanah Banking Partner 508 Annual Report 2017 Current Less: Allowance for possible losses
509. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 7. INVESTASI (lanjutan) c. PADA SURAT PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) BERHARGA 7. INVESTMENTS IN MARKETABLE SECURITIES (continued) Berdasarkan penerbit c. By issuer 31 Desember/December 31, 2017 Pemerintah Republik Indonesia Korporasi Bank Dikurangi: Cadangan kerugian penurunan nilai 2016 4.644.155 370.278 161.000 3.489.423 253.664 185.368 5.175.433 3.928.455 (5.313) (4.390) 5.170.120 d. Government of the Republic of Indonesia Corporate Bank Less: Allowance for possible losses 3.924.065 Berdasarkan peringkat d. By rating 31 Desember/December 31, 2017 Pemeringkat/ Rating company Peringkat/ Rating Nilai tercatat/ Carrying amount Diukur pada biaya perolehan Sukuk Korporasi Sukuk Ijarah Berkelanjutan I Indosat Tahap II 2015 Seri B Sukuk Mudharabah Berkelanjutan Maybank tahap II Sukuk mudharabah Subordinasi BSM 2016 Sukuk mudharabah Subordinasi BRIS 2016 Sukuk Ijarah Berkelanjutan Indosat II Tahap IV 2016 Seri B Sukuk Ijarah Berkelanjutan Indosat Tahap II 2017 Seri B Sukuk Ijarah Berkelanjutan I Timah Tahap I 2017 Seri A Sukuk Ijarah Berkelanjutan I XL Axiata Tahap II 2017 Seri A Sukuk Ijarah Berkelanjutan I XL Axiata Tahap II 2017 Seri B Sukuk Mudharabah Berkelanjutan II Adira Multifinance tahap I 2015 Seri B Sukuk Ijarah Berkelanjutan II Indosat Tahap I 2017 Seri A Sukuk Ijarah Indosat V 2012 Sukuk Sub Mudharabah Berkelanjutan I Tahap II Bank Muamalat 2013 Sukuk Mudharabah II BPD Sulselbar Sukuk Ijarah Berkelanjutan II Indosat Tahap I 2017 Seri A At cost Corporate Sukuk Pefindo idAAA(sy) 50.000 Pefindo idAAA(sy) 50.000 Pefindo idAA-(sy) 50.000 Fitch idA+(sy) 46.000 Pefindo idAAA(sy) 30.000 Pefindo idAAA(sy) 30.000 Pefindo idA+(sy) 28.000 Pefindo idAAA 25.000 Pefindo idAAA 25.000 Pefindo idAAA(sy) 25.000 Pefindo Pefindo idAAA(sy) idAAA(sy) 20.000 16.951 Pefindo idA-(sy) 10.000 Pefindo idA+(sy) 5.000 Pefindo idAAA(sy) 2.000 Continues Sukuk Ijarah I Indosat Step II 2015 Seri B Continues Sukuk Mudharabah II Maybank step II Subordinate Sukuk Mudharabah BSM 2016 Subordinate Sukuk Mudharabah BRIS 2016 Continues Sukuk Ijarah Indosat II Step IV 2016 Seri B Continues Sukuk Ijarah II Indosat Step II 2017 Seri B Continues Sukuk Ijarah I Timah Step I 2017 Seri A Continues Sukuk Ijarah I XL Axiata Step II 2017 Seri A Continues Sukuk Ijarah I XL Axiata Step II 2017 Seri B Continues Sukuk Mudharabah II Multifinance Step I 2015 Seri B Continues Sukuk Ijarah II Indosat Step I 2017 Seri A Sukuk Ijarah Indosat V 2012 Continues Sukuk Mudharabah I Step II Bank Muamalat 2013 Sukuk Mudharabah II BPD Sulselbar Continues Sukuk Ijarah II Indosat Step I 2017 Seri A 412.951 Surat berharga syariah negara*) Sukuk Berbasis Proyek (PBS) INDOIS Surat Berharga Syariah Negara (SBSN) - - 3.824.582 272.264 - - 164.017 Syariah government securities*) Government Project Based Sukuk (PBS) INDOIS Sharia Based Government Securities (SBSN) 4.260.863 Diukur pada biaya perolehan *) 4.673.814 *) Surat berharga syariah negara dan reksadana tidak diperingkat Syariah government securities and mutual funds are not rated 54 Hasanah Banking Partner 509 Measured at cost Annual Report 2017
510. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 7. INVESTASI (lanjutan) d. PADA SURAT PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) BERHARGA 7. INVESTMENTS IN MARKETABLE SECURITIES (continued) Berdasarkan peringkat (lanjutan) d. By rating (continued) 31 Desember/December 31, 2017 Pemeringkat/ Rating company Peringkat/ Rating Nilai tercatat/ Carrying amount Tersedia untuk dijual Available-for-sale Sukuk Korporasi Corporate Sukuk Sukuk Ijarah I Angkasa Pura I Tahun 2016 Seri B Sukuk Ijarah Berkelanjutan II Indosat Tahap II 2017 Seri B Pefindo idAAA(sy) Pefindo idAAA(sy) 36.019 5.001 41.020 Reksadana*) Reksadana I-money Syariah Reksadana Bahana likuid Syariah - - 46.099 20.462 Reksadana Bahana MES Syariah - - 10.746 77.307 Surat berharga syariah negara*) Sukuk Negara Berbasis Proyek (PBS) Surat Berharga Syariah Negara (SBSN) INDOIS - - 243.011 - - 71.339 68.942 Sukuk ijarah I Angkasa Pura I years 2016 seri B Continues Sukuk Ijarah II Indosat Step II 2017 Seri B Mutual Funds*) I-money Syariah Mutual Funds Bahana liquid Syariah Mutual Funds Bahana MES Syariah Mutual Funds Syariah government securities*) Government Project Based Sukuk (PBS) Sharia Based Government Securities (SBSN) INDOIS 383.292 Tersedia untuk dijual Total investasi pada surat berharga Dikurangi: Cadangan kerugian Penurunan nilai 501.619 Available-for-sale 5.175.433 The amount of invesment in marketable securities (5.313) Less: Allowance for possible losses 5.170.120 *) *) Surat berharga syariah negara dan reksadana tidak diperingkat Syariah government securities and mutual funds are not rated 31 Desember/December 31, 2016 Pemeringkat/ Rating company Diukur pada biaya perolehan Sukuk Korporasi Sukuk ijarah berkelanjutan Indosat 2015 Sukuk Mudharabah Berkelanjutan I Maybank Tahap II Sukuk Mudharabah Subordinasi BSM 2016 Sukuk Mudharabah Subordinasi BRIS 2016 Sukuk Ijarah Berkelanjutan Indosat II Tahap IV 2016 Seri B Adira Multifinance Muamalat 2012 Sukuk Ijarah Berkelanjutan Indosat II Tahap IV 2016 Seri A Sukuk Ijarah Indosat V 2012 Sukuk Ijarah PLN II 2007 Sukuk Sub Mudharabah Berkelanjutan I Tahap II Bank Muamalat 2013 Sukuk Mudharabah II Mayora indah Sukuk Ijarah Aneka Gas Industri II tahun 2012 Sukuk Mudharabah II BPD Sulselbar Sukuk Mudharabah II Mayora indah Peringkat/ Rating Nilai tercatat/ Carrying amount Pefindo idAAA(sy) 50.000 Pefindo idAAA(sy) 50.000 Pefindo idAA-(sy) 50.000 Fitch idA+(sy) 46.000 Pefindo Pefindo Pefindo idAAA(sy) idAAA(sy) idA-(sy) 30.000 25.000 24.368 Pefindo Pefindo Pefindo idAAA(sy) idAAA(sy) idAAA(sy) 20.000 16.920 14.000 Pefindo idA-(sy) 10.000 Pefindo idAA-(sy) 9.981 Fitch A-(idn) 9.902 Pefindo idA+(sy) 5.000 Pefindo idAA-(sy) 3.008 364.179 55 Hasanah Banking Partner 510 Annual Report 2017 At cost Corporate Sukuk Continues Sukuk Ijarah Indosat 2015 Continues Sukuk Mudharabah I Maybank step II Subordinated Sukuk Mudharabah BSM 2016 Subordinated Sukuk Mudharabah BRIS 2016 Continues Sukuk Ijarah Indosat II Step IV 2016 Seri B Adira Multifinance Muamalat 2012 Continues Sukuk Ijarah Indosat II Step IV 2016 Seri A Sukuk Ijarah Indosat V 2012 Sukuk Ijarah PLN II 2007 Continues Sukuk Mudharabah I Step II Muamalat 2013 Sukuk Mudharabah II Mayora Indah Sukuk Ijarah Aneka Gas Industri II in 2012 Sukuk Mudharabah II BPD Sulselbar Sukuk Mudharabah II Mayora Indah
511. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 7. INVESTASI (lanjutan) d. PADA SURAT PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) BERHARGA 7. INVESTMENTS IN MARKETABLE SECURITIES (continued) Berdasarkan peringkat (lanjutan) d. By rating (continued) 31 Desember/December 31, 2016 Pemeringkat/ Rating company Peringkat/ Rating Nilai tercatat/ Carrying amount Surat berharga syariah negara*) Sukuk Negara Berbasis Proyek (PBS) Surat Perbendaharaan Negara Syariah (SPNS) Surat Berharga Syariah Negara (SBSN) INDOIS Syariah government securities*) - - 2.313.128 - - 400.742 - - 186.285 135.113 Government Project Based Sukuk (PBS) Sharia Treasury Bills (SPNS) Sharia Based Government Securities (SBSN) INDOIS 3.035.268 Diukur pada biaya perolehan Tersedia untuk dijual Sukuk Korporasi Sukuk ijarah I Angkasa Pura I Tahun 2016 seri B 3.399.447 Measured at cost Available-for-sale Corporate Sukuk Sukuk ijarah I Angkasa Pura I years 2016 seri B Pefindo idAAA(sy) 34.794 Reksadana*) Reksadana I-money Syariah Reksadana Bahana likuid Syariah - - 20.106 10.026 Reksadana Bahana MES Syariah - - 9.926 Surat berharga syariah negara*) Sukuk Negara Berbasis Proyek (PBS) Sukuk Ritel Negara SR-008 40.058 - - 403.163 50.993 Mutual funds*) I-money Syariah Mutual Funds Bahana likuid SyariahMutual Funds Reksadana Bahana MES Syariah Mutual Funds Syariah government securities*) Government Project Based Sukuk (PBS) Government Sukuk Retail SR-008 454.156 Tersedia untuk dijual Total investasi pada surat berharga Dikurangi: Cadangan kerugian Penurunan nilai 529.008 Available-for-sale 3.928.455 The amount of invesment in marketable securities (4.390) Less: Allowance for possible losses 3.924.065 *) e. *) Surat berharga syariah negara dan reksadana tidak diperingkat Berdasarkan jangka waktu e. Syariah government securities and mutual funds are not rated By period 31 Desember/December 31, 2017 Diukur pada biaya perolehan < 1 tahun 1 - 5 tahun >5 - 10 tahun > 10 tahun 2016 2.567.936 828.589 1.277.289 420.742 1.353.430 358.535 1.266.740 4.673.814 3.399.447 56 Hasanah Banking Partner 511 Annual Report 2017 At cost < 1 year 1 - 5 years >5 - 10 years > 10 years
512. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 7. INVESTASI (lanjutan) e. PADA SURAT PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) BERHARGA 7. INVESTMENTS IN MARKETABLE SECURITIES (continued) Berdasarkan jangka waktu (lanjutan) e. By period (continued) 31 Desember/December 31, 2017 Tersedia untuk dijual < 1 tahun 1 - 5 tahun >5 - 10 tahun > 10 tahun 2016 77.308 388.292 36.019 - Dikurangi: Cadangan kerugian penurunan nilai 501.619 529.008 5.175.433 3.928.455 (5.313) (4.390) 5.170.120 f. Berdasarkan sisa umur jatuh tempo Available-for-sale < 1 year 1 - 5 years >5 - 10 years > 10 years 40.058 488.950 - Less: Allowance for possible losses 3.924.065 f. By remaining period to maturity 31 Desember/December 31, 2017 Diukur pada biaya perolehan < 1 tahun 1 - 5 tahun >5 - 10 tahun > 10 tahun Tersedia untuk dijual < 1 tahun 1 - 5 tahun >5 - 10 tahun > 10 tahun Dikurangi: Cadangan kerugian penurunan nilai 2016 861.908 2.012.299 595.012 1.204.595 552.663 1.301.726 278.318 1.266.740 4.673.814 3.399.447 82.309 383.291 36.019 - 40.058 488.950 - 501.619 529.008 5.175.433 3.928.455 (5.313) 5.170.120 g. Berdasarkan hubungan (4.390) At cost < 1 year 1 - 5 years >5 - 10 years > 10 years Available-for-sale < 1 year 1 - 5 years >5 - 10 years > 10 years Less: Allowance for possible losses 3.924.065 g. By relationship 31 Desember/December 31, 2017 Pihak ketiga Tersedia untuk dijual Diukur pada biaya perolehan Pihak berelasi (Catatan 48) Tersedia untuk dijual Diukur pada biaya perolehan Dikurangi: Cadangan kerugian penurunan nilai 2016 82.309 288.951 40.058 254.179 371.260 294.237 419.310 4.384.863 488.950 3.145.268 4.804.173 3.634.218 5.175.433 3.928.455 (5.313) 5.170.120 (4.390) 3.924.065 57 Hasanah Banking Partner 512 Annual Report 2017 Third parties Available-for-sale At cost Related parties (Note 48) Available-for-sale At cost Less: Allowance for possible losses
513. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 7. INVESTASI (lanjutan) h. PADA SURAT PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) BERHARGA 7. Berdasarkan akad INVESTMENTS IN MARKETABLE SECURITIES (continued) h. By contract 31 Desember/December 31, 2017 Ijarah Mudharabah Wakalah Dikurangi: Cadangan kerugian penurunan nilai 2016 4.912.125 186.000 77.308 3.699.407 188.990 40.058 5.175.433 3.928.455 (5.313) (4.390) 5.170.120 i. j. Ijarah Mudharabah Wakalah Less: Allowance for possible losses 3.924.065 Pada tahun 2016 Bank membeli unit penyertaan reksadana yang dibentuk melalui Kontrak Investasi Kolektif Reksa Dana Terproteksi (RDT) yang dikelola oleh PT BNI Asset Management, pihak berelasi, yang berperan sebagai manajer investasi. Berdasarkan kontrak investasi kolektif RDT, RDT hanya dapat menempatkan investasinya pada Efek Syariah Berpendapatan Tetap/Sukuk dan Instrumen Pasar Uang Syariah dalam negeri dengan menurunkan tingkat risiko melalui pemilihan efek syariah secara selektif dan tidak bertentangan dengan Prinsip Syariah di Pasar Modal. i. In 2016, the Bank bought investment in mutual fund units which was established through Protected Mutual Funds (PMF) collective investment contracts which managed by PT BNI Asset Management, related party, who acts as the investment manager. Based on the PMF’s collective investment contracts, the funds can only put its investment portfolio in Islamic Securities Fixed Income / Bonds and Money Market Instruments of Sharia in the country by reducing the level of risk through the selection of Islamic securities selective and do not conflict with Sharia Principles in Capital Market. hasil penelaahan, Bank Berdasarkan menyimpulkan bahwa RDT ini memenuhi definisi entitas terstruktur seperti diatur oleh standar akuntansi yang berlaku dan harus dikonsolidasi ke dalam laporan keuangan Bank. Based on its assessment, the Bank has concluded that these PMF meet the definition of structured entities in accordance with prevailing accounting standards and should be consolidated to the Bank’s financial statements. Pada tanggal 31 Desember 2017, dana yang diinvestasikan dalam Entitas Terstruktur ini sejumlah Rp191.252. Jumlah ini dieliminasi dengan nilai aset bersih investasi reksadana untuk tujuan konsolidasi. Dengan demikian, Bank mengkonsolidasi aset dan liabilitas dari dana tersebut, yang termasuk efek-efek sejumlah Rp185.566 sebagai aset keuangan yang diukur pada biaya perolehan. As of December 31, 2017, funds invested in these Structured Entities amounted to Rp191,252. This amount was eliminated against the net assets of the funds for consolidation purposes. Accordingly, the Bank consolidated the funds assets and liabilities, which included marketable securities amounted to Rp185,566 classified as financial assets measured at cost. Bank mengakui Keuntungan yang belum direalisasi sebesar Rp24.621 dan kerugian yang belum direalisasi sebesar Rp14.878 dari perubahan nilai wajar efek-efek yang tersedia untuk dijual masing-masing pada posisi 31 Desember 2017 dan 2016 dalam akun “Keuntungan (kerugian) yang belum direalisasi atas perubahan nilai wajar investasi pada surat berharga yang tersedia untuk dijual” dalam laporan posisi keuangan. j. The Bank recognized unrealized gain amounting to Rp24,621 and unrealized loss – amounting to Rp14,878 from the changes in fair values of available-for-sale securities as of December 31, 2017 and 2016, which are presented as “unrealized gain or loss on available-for-sale investment in marketable securities” in the statement of financial position. 58 Hasanah Banking Partner 513 Annual Report 2017
514. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 7. INVESTASI (lanjutan) k. PADA SURAT PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) BERHARGA 7. Perubahan cadangan kerugian investasi pada surat berharga adalah sebagai berikut: INVESTMENTS IN MARKETABLE SECURITIES (continued) k. The changes of the allowance for possible losses on investment in marketable securities are as follows: 31 Desember/December 31, 2017 8. 2016 Saldo awal Cadangan selama tahun berjalan (Catatan 42) 4.390 2.586 923 1.804 Beginning balance Provisions during the year (Note 42) Saldo akhir 5.313 4.390 Ending balance Jumlah minimum cadangan kerugian investasi pada surat berharga yang wajib dibentuk pada tanggal-tanggal 31 Desember 2017 dan 2016 telah sesuai dengan ketentuan Bank Indonesia dan Otoritas Jasa Keuangan (OJK). The amount of the minimum allowance for losses on marketable securities that should be provided as of December 31, 2017 and 2016 is in compliance with Bank Indonesia and Financial Service Authority (OJK) regulations. Manajemen berpendapat bahwa jumlah cadangan kerugian investasi pada surat berharga yang dibentuk telah memadai. Management believes that the allowance for possible losses on investments in marketable securities is adequate. EFEK-EFEK YANG DIBELI DENGAN JANJI DIJUAL KEMBALI 8. 31 Desember/December 31, 2017 ____ Bank Indonesia ________ ___ Jenis sekuritas/ type of securities Nilai nominal/ Nominal amount Tanggal mulai/ Start date Tanggal jatuh tempo/ Maturity date SPNS 130.697 06/12/2017 03/01/2018 Counterparty Bank Indonesia Bank Indonesia Bank Indonesia ____ Nilai nominal/ Nominal amount Tanggal mulai/ Start date Tanggal jatuh tempo/ Maturity date SPNS SPNS SPNS 133.332 118.345 116.907 21/12/2016 14/12/2016 07/12/2016 18/01/2017 11/01/2017 04/01/2017 130.233 431 ____ Nilai tercatat/ carrying value 130.664 ____ ___ Liabilitas penjualan kembali/ resell liabilities Imbalan yang akan diterima/ Benefit to be received 122.184 109.357 107.084 194 284 387 122.378 109.641 107.471 338.625 865 339.490 Nilai tercatat/ carrying value The securities purchased under agreement to resell are classified as current. Efek-efek yang dibeli dengan janji dijual kembali tersebut diklasifikasikan sebagai lancar. 59 Hasanah Banking Partner ___ Imbalan yang akan diterima/ Benefit to be received ________ ___ Jenis sekuritas/ type of securities ____ Liabilitas penjualan kembali/ resell liabilities 31 Desember/December 31, 2016 ____ UNDER Securities purchased under agreements to resell as of December 31, 2017 and 2016, are as follows: Efek-efek yang dibeli dengan janji dijual kembali pada tanggal 31 Desember 2017 dan 2016, terdiri dari: Counterparty SECURITIES PURCHASED AGREEMENTS TO RESELL 514 Annual Report 2017
515. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 9. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) PIUTANG MURABAHAH a. 9. Berdasarkan hubungan MURABAHAH RECEIVABLES a. By relationship 31 Desember/December 31, Pihak ketiga Pihak berelasi (Catatan 48) Dikurangi: Cadangan kerugian penurunan nilai 2017 2016 16.500.771 56.407 15.190.851 39.516 16.557.178 15.230.367 (379.628) (409.203) 16.177.550 b. Third parties Related parties (Note 48) Less: Allowance for possible losses 14.821.164 Berdasarkan sektor ekonomi b. By economic sector 31 Desember/December 31, 2017 Dalam perhatian khusus/ Special mention Lancar/ Current Kurang lancar/ Substandard Diragukan/ Doubtful Macet/ Loss Total Rupiah Perdagangan, restoran dan hotel 1.403.361 Sosial/masyarakat 806.367 Jasa usaha 307.402 Industri 421.434 Pertanian 225.807 Pengangkutan, pergudangan dan telekomunikasi 218.194 Pertambangan 190.452 Konstruksi 104.753 Listrik, gas dan air 46.155 Lainnya 11.443.304 119.154 5.871 45.971 14.927 8.620 20.100 3.647 6.612 8.567 2.543 7.519 312 94.013 4.428 4.617 42.541 2.080 5.017 6.316 10.383 1.592.675 818.277 459.015 455.672 251.970 64.919 2.282 7.292 42 571.069 236 303 1.182 7 103.803 9 128 50.473 8.862 696 591 144.892 292.220 193.165 113.923 46.795 12.313.541 15.167.229 840.147 147.000 161.499 221.378 16.537.253 8.020 5.410 - - 6.495 - - 13.430 - - 6.495 - 19.925 15.180.659 840.147 147.000 167.994 221.378 16.557.178 (76.854) (43.334) (121.332) (76.556) 763.293 103.666 46.662 Dolar Amerika Serikat Industri Jasa usaha Listrik, gas dan air Dikurangi: Cadangan kerugian penurunan nilai (61.552) 15.119.107 Rupiah 144.822 60 Hasanah Banking Partner 515 Annual Report 2017 Trading, restaurant and hotel Social/public Business services Manufacturing Agriculture Transportation, warehousing and telecommunication Mining Construction Electricity, gas and water Others United States Dollar 8.020 Manufacturing 6.495 Business services 5.410 Electricity, gas and water (379.628) 16.177.550 Less: Allowance for possible losses
516. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 9. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) PIUTANG MURABAHAH (lanjutan) b. 9. Berdasarkan sektor ekonomi (lanjutan) MURABAHAH RECEIVABLES (continued) b. By economic sector (continued) 31 Desember/31 December, 2016 Lancar/ Current Rupiah Perdagangan, restoran dan hotel 1.309.765 Sosial/masyarakat 658.820 Jasa usaha 551.411 Industri 431.376 Pertanian 202.790 Pengangkutan, pergudangan dan telekomunikasi 230.823 Pertambangan 123.924 Konstruksi 88.483 Listrik, gas dan air 32.962 Lainnya 10.203.299 Diragukan/ Doubtful Macet/ Loss Total Rupiah Trading, restaurant and hotel Social/public Business services Manufacturing Agriculture Transportation, warehousing and telecommunication Mining Construction Electricity, gas and water Others 96.762 255 63.477 33.766 3.485 8.419 753 417 521 2.394 52.380 1.117 7.819 6.216 25.879 1.577.285 678.759 677.165 545.682 252.240 2.827 5.913 3.838 1.291 502.013 128 787 31.821 1.114 599 28.542 6.586 1.542 1.863 140 137.678 241.478 131.379 95.570 34.393 10.903.353 13.833.653 789.191 230.481 42.759 241.220 15.137.304 32.968 12.016 7.375 40.704 - - - - United States Dollar 40.704 Mining 32.968 Manufacturing 12.016 Business services 7.375 Electricity, gas and water 52.359 40.704 - - - 93.063 13.886.012 829.895 230.481 42.759 241.220 15.230.367 (91.791) (116.330) (15.373) (85.819) 738.104 114.151 27.386 155.401 (99.890) 13.786.122 c. Kurang lancar/ Substandard 109.959 17.814 54.041 73.803 17.692 DolarAmerika Serikat Pertambangan Industri Jasa usaha Listrik, gas dan air Dikurangi: Cadangan kerugian penurunan nilai Dalam perhatian khusus/ Special mention Berdasarkan jangka waktu c. (409.203) Less: Allowance for possible losses 14.821.164 By period 31 Desember/December 31, Rupiah ≤ 1 tahun > 1 - 5 tahun > 5 tahun 2017 2016 119.796 3.832.262 12.585.195 137.719 4.268.929 10.730.656 16.537.253 15.137.304 8.020 6.495 5.410 93.063 - 19.925 93.063 16.557.178 15.230.367 Dolar Amerika Serikat ≤ 1 tahun > 1 - 5 tahun > 5 tahun Dikurangi: Cadangan kerugian penurunan nilai (379.628) 16.177.550 (409.203) 14.821.164 61 Hasanah Banking Partner 516 Annual Report 2017 Rupiah ≤ 1 year > 1 - 5 years > 5 years United States Dollar ≤ 1 year > 1 - 5 years > 5 years Less: Allowance for possible losses
517. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 9. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) PIUTANG MURABAHAH(lanjutan) d. 9. Berdasarkan sisa umur jatuh tempo MURABAHAH RECEIVABLES (continued) d. By remaining period to maturity 31 Desember/December 31, 2017 Rupiah ≤ 1 bulan > 1 - 3 bulan > 3 - 12 bulan > 1 - 5 tahun > 5 tahun 28.572 31.560 316.567 5.153.709 11.006.845 64.277 22.416 321.340 4.906.639 9.822.632 16.537.253 15.137.304 952 2.211 4.857 11.905 93.063 19.925 93.063 16.557.178 15.230.367 Dolar Amerika Serikat ≤ 1 bulan > 1 - 3 bulan > 3 - 12 bulan > 1 - 5 tahun Dikurangi: Cadangan kerugian Penurunan nilai 2016 (379.628) (409.203) 16.177.550 e. United States Dollar ≤ 1 month > 1 - 3 months > 3 - 12 months > 1 - 5 years Less: Allowance for possible losses 14.821.164 Pembiayaan yang direstrukturisasi e. Restructured financing Total amount of restructured financing as of December 31, 2017 and 2016 are Rp1,835,888 and Rp1,604,844, respectively. Restructured financing are performed by extension of loan maturity dates, reschedule and additional plafond of debtor’s financing. Jumlah pembiayaan yang direstrukturisasi sampai dengan tanggal-tanggal 31 Desember 2017 dan 2016 masing-masing sebesar Rp1.835.888 dan Rp1.604.844. Restrukturisasi pembiayaan dilakukan dengan cara perpanjangan waktu, penjadwalan kembali dan penambahan plafon pembiayaan bagi debitur. f. Rupiah ≤ 1 month > 1 - 3 months > 3 - 12 months > 1 - 5 years > 5 years Pembiayaan sindikasi f. Syndicated loans Pembiayaan sindikasi merupakan pembiayaan yang diberikan kepada debitur berdasarkan perjanjian pembiayaan bersama dengan bankbank lain. Syndicated financing represent financing provided to borrowers under syndication agreements with other banks. Keikutsertaan BNI Syariah dalam pembiayaan sindikasi dengan bank-bank lain adalah sebesar Rp21.666 dan Rp27.833 masingmasing pada tanggal-tanggal 31 Desember 2017 dan 2016 (tidak diaudit). BNI Syariah’s participation in syndicated financing with other banks amounted to Rp21,666 and Rp27,833 as of December 31, 2017 and 2016, respectively (unaudited). Persentase bagian BNI Syariah dalam pembiayaan sindikasi, dimana BNI Syariah bertindak sebagai pimpinan sindikasi adalah sebagai berikut (tidak diaudit): BNI Syariah’s percentage shares in syndicated financing, where BNI Syariah acts as the lead arranger, is as follows (unaudited): 31 Desember/December 31, 2017 % Partisipasi 2016 35,21% 33,97% 62 Hasanah Banking Partner 517 Annual Report 2017 % Participation
518. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 9. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) PIUTANG MURABAHAH (lanjutan) f. 9. Pembiayaan sindikasi (lanjutan) MURABAHAH RECEIVABLES (continued) f. Syndicated loans (continued) BNI Syariah’s participation in syndicated financing, where BNI Syariah is the syndication member, is as follows (unaudited): Keikutsertaan BNI Syariah dalam pembiayaan sindikasi, dimana BNI Syariah bertindak sebagai anggota sindikasi adalah sebagai berikut (tidak diaudit): 31 Desember/December 31, 2017 % Partisipasi g. 2016 10,73% Informasi lainnya 11,27% g. % Participation Other information 1) Lihat Catatan 48 untuk rincian transaksi dan saldo dengan pihak berelasi. 1) Refer to Note 48 for details of related party transactions and balances. 2) Tingkat marjin keuntungan murabahah per tahun berkisar antara setara 12,92% sampai dengan 13,54% pada tahun 2017 dan 13,30% sampai dengan 13,77% pada tahun 2016. 2) The equivalent annual profit margin rate of murabahah ranges from 12.92% to 13.54% in 2017 and 13.30% to 13.77% in 2016. 3) Perubahan cadangan kerugian piutang murabahah adalah sebagai berikut: 3) The changes of allowance for possible losses on murabahah receivables are as follows: 31 Desember/December 31, 2017 Saldo awal Cadangan selama tahun berjalan (Catatan 42) Penerimaan kembali hapus buku Penghapusan buku selama tahun berjalan Hasil klaim Selisih kurs Saldo akhir 2016 409.203 268.171 379.380 150.801 Beginning balance Provisions during the year (Note 42) 27.707 12.177 Recovery of write-offs (439.726) 2.548 516 (22.258) 334 (22) 379.628 409.203 Piutang murabahah yang telah dihapusbukukan oleh Bank dicatat secara ekstra-comtabel di dalam rekening administratif. Ending balance Murabahah receivables which were written off by the Bank are recorded as extra-comtable in the administrative account. 63 Hasanah Banking Partner Write-offs during the year Claim results Exchange rate difference 518 Annual Report 2017
519. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 9. PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) PIUTANG MURABAHAH (lanjutan) g. 9. Informasi lainnya (lanjutan) MURABAHAH RECEIVABLES (continued) g. Other information (continued) 4) Manajemen Bank berpendapat bahwa cadangan kerugian piutang yang dibentuk telah memadai. 4) Management believes that the allowance for possible losses is adequate. 5) Piutang murabahah dijamin dengan agunan yang diikat dengan hak tanggungan atau surat kuasa memasang hak tanggungan atau surat kuasa untuk menjual, deposito mudharabah (Catatan 31) atau jaminan lain yang umumnya dapat diterima oleh Bank. 5) Murabahah receivables are pledged by registered mortgages or power of attorney to mortgage and sell, mudharabah time deposits (Note 31) or by other guarantees acceptable to the Bank. 6) Rasio Non-Performing Financing (NPF) piutang murabahah pada tanggal-tanggal 31 Desember 2017 dan 2016 adalah sebagai berikut: 6) The ratio of Non-Performing Financing (NPF) of murabahah receivables as of December 31, 2017 and 2016, are as follows: 31 Desember/December 31, 2017 2016 NPF - Bruto Persentase 536.372 3,24% 514.460 3,38% NPF - Gross Percentage NPF - Neto Persentase 295.150 1,78% 296.938 1,95% NPF - Net Percentange 7) Dalam laporan Batas Maksimum Pemberian Kredit (BMPK) kepada Bank Indonesia pada tanggal-tanggal 31 Desember 2017 dan 2016, tidak terdapat piutang murabahah yang melanggar atau melampaui ketentuan BMPK. 7) Based on the Legal Lending Limit (BMPK) report submitted to Bank Indonesia as of December 31, 2017 and 2016, there are no murabahah receivables which violated or exceeded the Legal Lending Limit Regulation. 8) Rasio pembiayaan murabahah usaha kecil terhadap jumlah pembiayaan murabahah yang diberikan BNI Syariah per 31 Desember 2017 dan 2016 masingmasing adalah sebesar 5,09% dan 5,61% (tidak diaudit). 8) The ratio of murabahah small businesses financing to total murabahah financing given by BNI Syariah as of December 31, 2017 and 2016 were 5.09% and 5.61% respectively (unaudited). 9) Bank memiliki agunan atas piutang murabahah dalam bentuk kas, deposito, agunan yang diikat dengan hipotik, garansi serta jaminan dalam bentuk aset lainnya. 9) The Bank holds collateral against murabahah receivables in the form of cash, deposits, registered mortgages, guarantees and other registered securities over assets. 64 Hasanah Banking Partner 519 Annual Report 2017
520. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 10. PINJAMAN QARDH a. 10. FUNDS OF QARDH Berdasarkan hubungan a. By relationship 31 Desember/December 31, 2017 Pihak ketiga Pihak berelasi (Catatan 48) Dikurangi:Cadangan kerugian penurunan nilai 2016 1.026.292 476.557 641.561 288.446 1.502.849 930.007 (41.891) (23.355) 1.460.958 b. Berdasarkan jenis Third parties Related parties (Note 48) Less: Allowance for possible losses 906.652 b. By type 31 Desember/December 31, 2017 Lancar/ Current Qardh Kartu Hasanah Rahn Dikurangi:Cadangan kerugian penurunan nilai Dalam perhatian khusus/ Special mention Kurang lancar/ Substandard Diragukan/ Doubtful Macet/ Loss Total 1.125.010 314.776 3.169 122 24.330 5 31 4.601 - 2.550 7.802 - 335 20.118 - 1.128.048 371.627 3.174 1.442.955 24.457 4.632 10.352 20.453 1.502.849 (5.175) (20.453) (14.345) 1.428.610 (1.223) (695) 23.234 3.937 5.177 - (41.891) Qardh Hasanah card Rahn Less: Allowance for possible losses 1.460.958 31 Desember/December 31, 2016 Lancar/ Current Qardh Kartu Hasanah Rahn Dikurangi:Cadangan kerugian penurunan nilai Dalam perhatian khusus/ Special mention Kurang lancar/ Substandard Diragukan/ Doubtful Macet/ Loss Total 550.156 323.644 4.762 4.774 25.958 195 4.544 48 3 6.815 - 2.470 6.638 - 557.403 367.599 5.005 878.562 30.927 4.592 6.818 9.108 930.007 (3.409) (9.108) (23.355) (8.619) 869.943 (1.537) 29.390 (682) 3.910 3.409 - 65 Hasanah Banking Partner 520 Annual Report 2017 906.652 Qardh Hasanah card Rahn Less: Allowance for possible losses
521. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 10. PINJAMAN QARDH (lanjutan) c. 10. FUNDS OF QARDH (continued) Berdasarkan sektor ekonomi c. By economic sectors 31 Desember/December 31, 2017 Dalam perhatian khusus/ Special mention Lancar/ Current Konstruksi Pengangkutan, pergudangan dan telekomunikasi Jasa usaha Perdagangan, restoran dan hotel Sosial/masyarakat Industri Pertambangan Listrik, gas dan air Lainnya Dikurangi: Cadangan kerugian penurunan nilai Kurang lancar/ Substandard Diragukan/ Doubtful Macet/ Loss Total 412.777 - - - - 412.777 184.556 168.447 - - - - 184.556 168.447 Construction Transportation, warehousing and telecommunication Bussiness services 160.857 90.871 37.189 10.324 10.000 367.934 24.457 4.632 2.550 7.802 20.453 160.857 90.871 39.739 10.324 10.000 425.278 Trading, restaurant, and hotel Social/public Manufacturing Mining Electricity, gas and water Others 1.442.955 24.457 4.632 10.352 20.453 1.502.849 (5.175) (20.453) (14.345) 1.428.610 (1.223) (695) 23.234 3.937 5.177 - (41.891) Less: Allowance for possible losses 1.460.958 31 Desember/31 December 2016 Dalam perhatian khusus/ Special mention Lancar/ Current Industri Perdagangan, restoran dan hotel Pertanian Pertambangan Listrik, gas dan air Jasa usaha Pengangkutan, pergudangan dan telekomunikasi Konstruksi Sosial/masyarakat Lainnya Dikurangi: Cadangan kerugian penurunan nilai 26.108 3.988 Diragukan/ Doubtful - Macet/ Loss - Total - 30.096 74.533 13.000 4.977 7.524 - - - - 74.533 13.000 4.977 7.524 15.779 326.002 24.382 386.257 26.939 4.592 6.818 9.108 15.779 326.002 24.382 433.714 878.562 30.927 4.592 6.818 9.108 930.007 (3.409) (9.108) (23.355) (8.619) 869.943 d. Kurang lancar/ Substandard (1.537) (682) 29.390 3.910 3.409 Berdasarkan jangka waktu d. - Manufacturing Trading, restaurant, and hotel Agriculture Mining Electricity, gas and water Bussiness services Transportation, warehousing and telecommunication Construction Social/public Others Less: Allowance for possible losses 906.652 By period 31 Desember/December 31, 2017 ≤ 1 tahun > 1 - 5 tahun > 5 tahun Dikurangi: Cadangan kerugian penurunan nilai 2016 1.007.177 179.898 315.774 502.786 96.989 330.232 1.502.849 930.007 (41.891) (23.355) 1.460.958 906.652 66 Hasanah Banking Partner 521 Annual Report 2017 ≤ 1 year > 1 - 5 years > 5 years Less: Allowance for possible losses
522. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 10. PINJAMAN QARDH (lanjutan) e. 10. FUNDS OF QARDH (continued) Berdasarkan sisa umur jatuh tempo e. By remaining period to maturity 31 Desember/December 31, 2017 ≤ 1 bulan > 1 - 3 bulan > 3 - 12 bulan > 1 - 5 tahun > 5 tahun Dikurangi: Cadangan kerugian Penurunan nilai 2016 174.848 469.425 544.078 277.265 37.233 64.976 133.607 374.533 307.068 49.823 1.502.849 930.007 (41.891) (23.355) 1.460.958 f. Pembiayaan yang direstrukturisasi Less: Allowance for possible losses 906.652 f. Restructured financing Total amount of restructured financing as of December 31, 2017 and 2016 are Rp14,257 and Rp11,672, respectively. Restructured financing are perform by extension of maturity dates, reschedule and additional plafond of debtor’s financing. Jumlah pembiayaan yang direstrukturisasi sampai dengan tanggal-tanggal 31 Desember 2017 dan 2016 masing-masing sebesar Rp14.257 dan Rp11.672. Restrukturisasi pembiayaan dilakukan dengan cara perpanjangan waktu, penjadwalan kembali dan penambahan plafon pembiayaan bagi debitur. g. ≤ 1 month > 1 - 3 months > 3 - 12 months > 1 - 5 years > 5 years Pembiayaan sindikasi g. Syndicated loans Pembiayaan sindikasi merupakan pembiayaan yang diberikan kepada debitur berdasarkan perjanjian pembiayaan bersama dengan bankbank lain. Syndicated financing represent financing provided to borrowers under syndication agreements with other banks. Keikutsertaan BNI Syariah dalam pembiayaan sindikasi dengan bank-bank lain adalah sebesar Rp73.493 pada 31 Desember 2017. (tidak diaudit). BNI Syariah’s participation in syndicated financing with other banks amounted to Rp73,493 as of December 31, 2017 (unaudited). Keikutsertaan BNI Syariah dalam pembiayaan sindikasi, dimana BNI Syariah bertindak sebagai anggota sindikasi adalah sebagai berikut (tidak diaudit): BNI Syariah’s participation in syndicated financing, where BNI Syariah is the syndication member, is as follows (unaudited): 31 Desember/December 31, 2017 % Partisipasi h. 2016 15,23% Informasi lainnya 1) 0,00% h. Other information 1) Lihat Catatan 48 untuk rincian transaksi dan saldo dengan pihak berelasi. Refer to Note 48 for details of related party transactions and balances. 67 Hasanah Banking Partner 522 % Participation Annual Report 2017
523. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 10. PINJAMAN QARDH (lanjutan) h. 10. FUNDS OF QARDH (continued) Informasi lainnya (lanjutan) 2) h. Other information (continued) 2) Perubahan cadangan kerugian pinjaman qardh adalah sebagai berikut: The changes in the allowance for possible losses of funds of qardh are as follows: 31 Desember/December 31, 2017 Saldo awal Penyisihan selama tahun berjalan (Catatan 42) Penerimaan kembali hapus buku Penghapusanbuku selama tahun berjalan 2016 23.355 21.134 40.986 43.447 Beginning balance Provisions during the year (Note 42) 7.124 5.569 Recovery of write offs (29.574) (46.795) Write-offs during the year 41.891 23.355 Ending balance Saldo akhir 3) 3) Jumlah minimum cadangan kerugian yang wajib dibentuk pada tanggal-tanggal 31 Desember 2017 dan 2016 telah sesuai dengan ketentuan Bank Indonesia dan Otoritas Jasa Keuangan (OJK). Manajemen Bank berpendapat bahwa cadangan kerugian pinjaman qardh yang dibentuk telah memadai. 4) The minimum amount of allowance for possible losses that should be provided as of December 31, 2017 and 2016 is in compliance with Bank Indonesia and Financial Service Authority (OJK) regulation. Management believes that the allowance for fund of qardh losses is adequate. Rasio Non-Performing Financing (NPF) pinjaman qardh pada tanggal-tanggal 31 Desember 2017 dan 2016 adalah sebagai berikut: 4) The ratio of Non-Performing Financing (NPF) of funds of qardh as of December 31, 2017 and 2016 are as follows: 31 Desember/December 31, 2017 5) 2016 NPF - Bruto Persentase 35.437 2,36% 20.518 2.21% NPF - Gross Percentage NPF - Neto Persentase 9.114 0,61% 7.319 0.79% NPF - Net Percentage 5) Dalam laporan Batas Maksimum Pemberian Kredit (BMPK) kepada Bank Indonesia pada tanggal-tanggal 31 Desember 2017 dan 2016, tidak terdapat pinjaman qardh yang melanggar atau melampaui ketentuan BMPK. Based on the Legal Lending Limit (BMPK) report submitted to Bank Indonesia as of December 31, 2017 and 2016, there are no funds of qardh which violated or exceeded the Legal Lending Limit Regulation. 68 Hasanah Banking Partner 523 Annual Report 2017
524. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 10. PINJAMAN QARDH (lanjutan) h. 10. FUNDS OF QARDH (continued) Informasi lainnya (lanjutan) 6) h. 6) Bank Indonesia menerbitkan SE BI No. 14/16/DPbS yang berlaku sejak 31 Mei 2012 mengenai "Produk Pembiayaan Kepemilikan Emas (PKE) Bagi Bank Syariah dan Unit Usaha Syariah". Untuk menjalankan produk PKE tersebut, Bank dilarang mengenakan biaya penyimpanan dan pemeliharaan atas emas yang dijadikan agunan. Jumlah PKE maksimum Rp150 juta per nasabah. Bank Indonesia issued SE BI No. 14/16/DPbS which, applied since May 31, 2012 related to Product financing of Gold Ownership (PKE) for Syariah Bank and Syariah Business Unit". To operate the PKE product, the Bank is not allowed to charge rental and maintenance costs of gold collateral pledged. Total PKE financing maximum at Rp150 million per debtor. Nasabah dimungkinkan memperoleh PKE dan Rahn secara bersamaan dengan jumlah saldo secara keseluruhan di bawah Rp250 juta dan jumlah saldo PKE maksimum sebesar Rp150 juta. Debtor is allowed to have both PKE and Rahn's facilities with total outstanding below Rp250 million and total PKE balance maximum at Rp150 million. Manajemen yakin bahwa efek dari permintaan Bank Indonesia ini tidak akan mempunyai dampak material terhadap laporan keuangan untuk tahun yang berakhir pada tanggal-tanggal 31 Desember 2017 dan 2016. Management believes that the effect of Bank Indonesia’s request would not have any material impact to the financial statements for the year ended December 31, 2017 and 2016. 7) Rasio pembiayaan qardh usaha kecil terhadap jumlah pembiayaan qardh yang diberikan BNI Syariah per 31 Desember 2017 dan 2016 masing-masing adalah sebesar 0,04%dan 0,00% (tidak diaudit). 7) The small scale funds of qardh to total funds of qardh ratio for BNI Syariah as of December 31, 2017 and 2016 was 0.04% and 0.00%, respectively (unaudited). 8) Bank memiliki agunan atas pinjaman qardh dalam bentuk kas, deposito, agunan yang diikat dengan hipotik, garansi serta jaminan dalam bentuk aset lainnya. 8) The Bank holds collateral against funds of qardh in the form of cash, deposits, registered mortgages, guarantees and other registered securities over assets. 9) Dana pinjaman qardh bersumber dari modal Bank dan simpanan pihak ketiga. Pinjaman qardh ini merupakan pemberian pinjaman dari Bank kepada nasabah yang digunakan untuk dana talangan haji, Rahn dan pembiayaan Islamic card. 9) Funds of qardh is derived from the Bank’s capital and third party funds. Funds of qardh represent loans to customers who are used to such bailouts, Rahn and Islamic card financing. 11. PEMBIAYAAN MUDHARABAH a. Other information (continued) 11. MUDHARABAH FINANCING Berdasarkan hubungan a. By relationship 31 Desember/December 31, 2017 Pihak ketiga Dikurangi: Cadangan kerugian penurunan nilai 2016 888.794 (18.680) 870.114 1.198.408 (16.801) 1.181.607 69 Hasanah Banking Partner 524 Annual Report 2017 Third parties Less: Allowance for possible losses
525. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 11. PEMBIAYAAN MUDHARABAH (lanjutan) b. 11. MUDHARABAH FINANCING (continued) Berdasarkan sektor ekonomi b. By economic sector 31 Desember/December 31, 2017 Dalam perhatian khusus/ Special mention Lancar/ Current Rupiah Jasa usaha Perdagangan, restoran dan hotel Sosial/masyarakat Industri Listrik, gas dan air Konstruksi Dikurangi: Cadangan kerugian penurunan nilai Kurang lancar/ Substandard Diragukan/ Doubtful Macet/ Loss Total 785.772 22.169 939 - 7.590 816.470 44.524 11.393 4.524 1.570 40 1.116 - 8.491 - - 666 53.015 11.393 5.640 1.570 706 847.823 23.285 9.430 - 8.256 888.794 (1.015) (1.346) - (8.070) (18.680) 22.270 8.084 - (8.249) 839.574 186 Rupiah Business services Trading, restaurant and hotel Social/public Manufacturing Electricity, gas and water Construction Less: Allowance for possible losses 870.114 31 Desember/December 31, 2016 Dalam perhatian khusus/ Special mention Lancar/ Current Rupiah Jasa usaha Sosial/masyarakat Perdagangan, restoran dan hotel Industri Pengangkutan, pergudangan dan telekomunikasi Listrik, gas dan air Konstruksi Dikurangi: Cadangan kerugian penurunan nilai Diragukan/ Doubtful Macet/ Loss Total 932.275 162.351 10.320 - 8.567 - 417 1.994 1.892 637 953.471 164.982 52.680 10.558 - - - - 52.680 10.558 9.556 5.375 40 1.080 - - - 666 9.556 6.455 706 1.172.835 11.400 8.567 2.411 3.195 1.198.408 (1.255) (1.205) (2.335) 7.312 1.206 (11.479) 1.161.356 c. Kurang lancar/ Substandard (527) 10.873 Berdasarkan jangka waktu c. 860 (16.801) Rupiah Business services Social/public Trading, restaurant and hotel Manufacturing Transportation, warehousing and telecommunication Electricity, gas and water Construction Less: Allowance for possible losses 1.181.607 By period 31 Desember/December 31, 2017 Rupiah ≤ 1 tahun > 1 - 5 tahun > 5 tahun Dikurangi: Cadangan kerugian penurunan nilai 2016 10.383 654.780 223.631 60.576 784.699 353.133 888.794 1.198.408 (18.680) (16.801) 870.114 1.181.607 70 Hasanah Banking Partner 525 Annual Report 2017 Rupiah ≤ 1 year > 1 - 5 years > 5 years Less: Allowance for possible losses
526. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 11. PEMBIAYAAN MUDHARABAH (lanjutan) d. 11. MUDHARABAH FINANCING (continued) Berdasarkan sisa umur jatuh tempo d. By remaining period to maturity 31 Desember/December 31, 2017 Rupiah ≤ 1 bulan > 1 - 3 bulan > 3 - 12 bulan > 1 - 5 tahun > 5 tahun Dikurangi: Cadangan kerugian penurunan nilai 2016 4.013 7.294 77.096 713.347 87.044 4.136 9.862 106.831 915.646 161.933 888.794 1.198.408 (18.680) (16.801) 870.114 e. Pembiayaan yang direstrukturisasi Less: Allowance for possible losses 1.181.607 e. Restructured financing Total amount of restructured financing as of December 31, 2017 and 2016 are Rp37,973 and Rp48,962, respectively. Restructured financing are performed by extension of maturity dates, reschedule and additional plafond of debtor’s financing. Jumlah pembiayaan yang direstrukturisasi sampai dengan tanggal-tanggal 31 Desember 2017 dan 2016 masing-masing sebesar Rp37.973 dan Rp48.962. Restrukturisasi pembiayaan dilakukan dengan cara perpanjangan waktu, penjadwalan kembali dan penambahan plafon pembiayaan bagi debitur. f. Rupiah ≤ 1 month > 1 - 3 months > 3 - 12 months > 1 - 5 years > 5 years Informasi lainnya f. Other information 1) Jenis pembiayaan mudharabah yang diberikan adalah modal kerja dan investasi. 1) The types of mudharabah financing granted are working capital and investment 2) Tidak terdapat pembiayaan mudharabah yang diberikan kepada pihak-pihak berelasi pada tanggal 31 Desember 2017 dan 2016. 2) There is no mudharabah financing granted to related parties as of December 31, 2017 and 2016. 3) Tingkat bagi hasil pembiayaan mudharabah yang diterima berkisar antara setara 12,73% sampai dengan 13,19% pada tahun 2017 dan setara 12,05% sampai dengan 12,51% pada tahun 2016. 3) The equivalent annual profit sharing rate of mudharabah financing ranges from 12.73% to 13.19% in 2017 and 12.05% to 12.51% in 2016. 4) Perubahan cadangan kerugian pembiayaan mudharabah adalah sebagai berikut: 4) The changes of allowance for possible losses on mudharabah financing are as follows: 31 Desember/December 31, 2017 Saldo awal Cadangan selama tahun berjalan (Catatan 42) Penerimaan kembali hapus buku Penghapusan buku selama tahun berjalan Hasil klaim Selisih kurs Saldo akhir 2016 16.801 21.268 36.422 45.045 Beginning balance Provisions during the year (Note 42) 1.596 1.122 Recovery of write-offs (38.258) 2.134 (15) (50.634) - 18.680 16.801 71 Hasanah Banking Partner 526 Annual Report 2017 Write-offs during the year Claim results Exchange rate difference Ending balance
527. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 11. PEMBIAYAAN MUDHARABAH (lanjutan) f. 11. MUDHARABAH FINANCING (continued) Informasi lainnya (lanjutan) f. Other information (continued) Pembiayaan mudharabah yang telah dihapusbukukan oleh Bank dicatat secara ekstra-comtable di dalam rekening administratif. 5) Mudharabah financing that has been written off by the Bank are recorded as extra-comtable in the administrative accounts. 5) Jumlah minimum cadangan kerugian pembiayaan mudharabah yang wajib dibentuk pada tanggal-tanggal 31 Desember 2017 dan 2016 telah sesuai dengan ketentuan Bank Indonesia dan Otoritas Jasa Keuangan (OJK). Management believes that the allowance for possible losses on mudharabah financing is adequate. Manajemen Bank berpendapat bahwa cadangan kerugian pembiayaan mudharabah yang dibentuk telah memadai. 6) Pembiayaan mudharabah dijamin dengan agunan yang diikat dengan hak tanggungan atau surat kuasa memasang hak tanggungan atau surat kuasa untuk menjual, deposito mudharabah (Catatan 31) atau jaminan lain yang umumnya dapat diterima oleh Bank. 7) Rasio Non-Performing Financing (NPF) pembiayaan mudharabah pada tanggaltanggal 31 Desember 2017 dan 2016 adalah sebagai berikut: The minimum allowance for possible losses on mudharabah financing that should be provided as of December 31, 2017 and 2016 is in compliance with Bank Indonesia and Financial Service Authority (OJK) regulations. 6) 7) Mudharabah financing is collateralized by registered mortgage or power of attorney to mortgage and sell, mudharabah time deposits (Note 31) or by other guarantees acceptable to the Bank. The ratio of Non-Performing Financing (NPF) of mudharabah financing as of December 31, 2017 and 2016, are as follows: 31 Desember/December 31, 2017 2016 NPF - Bruto Persentase 17.686 1.99% 14.173 1,18% NPF - Gross Percentage NPF - Neto Persentase 8.270 0.93% 9.378 0,78% NPF - Net Percentage 8) Dalam laporan Batas Maksimum Pemberian Kredit (BMPK) kepada Bank Indonesia pada tanggal-tanggal 31 Desember 2017 dan 2016, tidak terdapat pembiayaan mudharabah yang melanggar atau melampaui ketentuan BMPK. 8) Based on the Legal Lending Limit (BMPK) report submitted to Bank Indonesia as of December 31, 2017 and 2016, there are no mudharabah financing which violated or exceeded the Legal Lending Limit Regulation. 9) Rasio pembiayaan mudharabah usaha kecil terhadap jumlah pembiayaan mudharabah yang diberikan BNI Syariah per 31 Desember 2017 dan 2016 masingmasing adalah sebesar 0,46% dan 0,48% (tidak diaudit). 9) The ratio of mudharabah small businesses financing to total mudharabah financing given by BNI Syariah as of December 31, 2017 and 2016 were 0.46% and 0.48%, respectively (unaudited) 72 Hasanah Banking Partner 527 Annual Report 2017
528. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 11. PEMBIAYAAN MUDHARABAH (lanjutan) f. 11. MUDHARABAH FINANCING (continued) Informasi lainnya (lanjutan) f. Other information (continued) 10) The Bank holds collateral against mudharabah financing in the form of cash, deposits, registered mortgages, guarantees and other registered securities over assets. 10) Bank memiliki agunan atas pembiayaan mudharabah dalam bentuk kas, deposito, agunan yang diikat dengan hipotik, garansi serta jaminan dalam bentuk aset lainnya. 12. PEMBIAYAAN MUSYARAKAH a. 12. MUSYARAKAH FINANCING Berdasarkan hubungan a. By relationship 31 Desember/December 31, 2017 Pihak ketiga Pihak berelasi (Catatan 48) Dikurangi: Cadangan kerugian penurunan Nilai 2016 3.646.305 939.904 3.010.033 2.715 4.586.209 3.012.748 (141.333) 4.444.876 b. Third parties Related parties (Note 48) (105.285) Less: Allowance for possible losses 2.907.463 Berdasarkan sektor ekonomi b. By economic sector 31 Desember/December 31, 2017 Lancar/ Current Rupiah Perdagangan, restoran dan hotel Jasa usaha Listrik, gas dan air Konstruksi Industri Sosial/masyarakat Pengangkutan, pergudangan dan telekomunikasi Pertanian Pertambangan Lain-lain Dolar Amerika Serikat Pertambangan Industri Jasa usaha Dikurangi: Cadangan kerugian penurunan nilai Dalam perhatian khusus/ Special mention Kurang lancar/ Substandard Diragukan/ Doubtful Macet/ Loss Total 736.449 632.058 774.638 642.160 535.424 404.710 57.007 69.220 12.335 1.657 8.331 818 19.029 947 - 32.276 4.264 891 - 5.803 3.678 2.838 11.100 3.109 1.152 832.353 723.985 777.476 669.859 542.028 414.193 170.697 69.060 50.720 154.447 810 44.224 - 58 217 - 1.032 - 170.697 70.960 50.937 198.671 4.170.363 193.584 20.794 37.706 28.712 4.451.159 10.685 3.215 121.150 - - - - 10.685 3.215 121.150 135.050 - - - - 135.050 4.305.413 193.584 20.794 37.706 28.712 4.586.209 (11.097) (17.637) (19.574) 9.697 20.069 9.138 (85.793) 4.219.620 (7.232) 186.352 73 Hasanah Banking Partner 528 Annual Report 2017 (141.333) 4.444.876 Rupiah Trading, restaurant and hotel Business services Electriciyt, gas and water Construction Manufacturing Social/public Transportation, warehousing and telecommunication Agriculture Mining Others United States Dollar Mining Manufacturing Business services Less: Allowance for possible losses
529. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 12. PEMBIAYAAN MUSYARAKAH (lanjutan) b. 12. MUSYARAKAH FINANCING (continued) Berdasarkan sektor ekonomi (lanjutan) b. By economic sector (continued) 31 Desember/December 31, 2016 Dalam perhatian khusus/ Special mention Lancar/ Current Rupiah Jasa usaha Perdagangan, restoran dan hotel Industri Konstruksi Sosial/masyarakat Listrik, gas dan air Pengangkutan, pergudangan dan telekomunikasi Pertanian Pertambangan Lain-lain Macet/ Loss Total 4.012 - 1.518 8.764 755.586 499.902 437.561 361.645 238.268 134.734 144.401 2.940 1.314 7.988 476 705 922 - 3.021 4.213 35 4.833 12.062 1.444 5.518 1.225 - 660.091 441.945 373.612 247.516 140.043 83.404 13.854 16.513 67.419 888 736 - - - 165 3.308 125 84.457 17.898 16.513 67.544 2.594.592 162.755 1.627 13.620 32.611 2.805.205 40.797 10.350 107.034 49.362 - - - - 90.159 10.350 107.034 158.181 49.362 - - - 207.543 2.752.773 212.117 1.627 13.620 32.611 3.012.748 (4.219) (24.487) 9.401 8.124 (27.293) 2.725.480 c. Diragukan/ Doubtful 741.292 Dolar Amerika Serikat Pertambangan Industri Jasa usaha Dikurangi: Cadangan kerugian penurunan nilai Kurang lancar/ Substandard (49.091) (195) 163.026 1.432 Berdasarkan jangka waktu c. (105.285) Rupiah Business services Trading, restaurant and hotel Manufacturing Construction Social/public Electriciyt, gas and water Transportation, warehousing and telecommunication Agriculture Mining Others United States Dollar Mining Manufacturing Business services Less: Allowance for possible losses 2.907.463 By period 31 Desember/December 31, 2017 Rupiah ≤ 1 tahun > 1 - 5 tahun > 5 tahun Dolar Amerika Serikat ≤ 1 tahun > 1 - 5 tahun > 5 tahun Dikurangi: Cadangan kerugian penurunan nilai 2016 950.059 1.339.826 2.161.274 1.050.180 1.120.344 634.682 4.451.159 2.805.206 9.712 29.155 96.183 57.642 42.866 107.034 135.050 207.542 4.586.209 3.012.748 (141.333) (105.285) 4.444.876 2.907.463 74 Hasanah Banking Partner 529 Annual Report 2017 Rupiah ≤ 1 year > 1 - 5 years > 5 years United States Dollar ≤ 1 year > 1 - 5 years > 5 years Less: Allowance of possible losses
530. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 12. PEMBIAYAAN MUSYARAKAH (lanjutan) d. 12. MUSYARAKAH FINANCING (continued) Berdasarkan sisa umur jatuh tempo d. By remaining period to maturity 31 Desember/December 31, 2017 Rupiah ≤ 1 bulan > 1 - 3 bulan > 3 - 12 bulan > 1 - 5 tahun > 5 tahun 362.615 439.176 746.001 1.442.228 1.461.139 316.176 347.052 688.258 1.087.152 366.568 4.451.159 2.805.206 1.705 33.188 3.974 96.183 3.919 5.196 67.140 24.254 107.033 135.050 207.542 4.586.209 3.012.748 Dolar Amerika Serikat ≤ 1 bulan > 1 - 3 bulan > 3 - 12 bulan > 1 - 5 tahun > 5 tahun Dikurangi: Cadangan kerugian penurunan nilai 2016 (141.333) (105.285) 4.444.876 e. Pembiayaan yang direstrukturisasi United States Dollar ≤ 1 month > 1 - 3 months > 3 - 12 months > 1 - 5 years > 1 - 5 years Less: Allowance of possible losses 2.907.463 e. Restructured financing Total amount of restructured financing as of December 31, 2017 and 2016 are Rp 493,062 and Rp337,456, respectively. Restructured financing are performed by extension of maturity dates, reschedule and additional plafond of debtor’s financing. Jumlah pembiayaan yang direstrukturisasi sampai dengan tanggal-tanggal 31 Desember 2017 dan 2016 masing-masing sebesar Rp493.062 dan Rp337.456. Restrukturisasi pembiayaan dilakukan dengan cara perpanjangan waktu, penjadwalan kembali dan penambahan plafon pembiayaan bagi debitur. f. Rupiah ≤ 1 month > 1 - 3 months > 3 - 12 months > 1 - 5 years > 5 years Pembiayaan sindikasi f. Syndicated financing Pembiayaan sindikasi merupakan pembiayaan yang diberikan kepada debitur berdasarkan perjanjian pembiayaan bersama dengan bankbank lain. Syndicated financing represent financing provided to borrowers under syndication agreements with other banks. Keikutsertaan BNI Syariah dalam pembiayaan sindikasi dengan bank-bank lain adalah sebesar Rp575.421 dan Rp58.503 masingmasing pada tanggal-tanggal 31 Desember 2017 dan 2016 (tidak diaudit). BNI Syariah’s participation in syndicated financing with other banks amounted Rp575,421 and Rp58,503 as of December 31, 2017 and 2016, respectively (unaudited). Keikutsertaan BNI Syariah dalam pembiayaan sindikasi, dimana BNI Syariah bertindak sebagai anggota sindikasi adalah sebagai berikut (tidak diaudit): BNI Syariah’s participation in syndicated financing, where BNI Syariah is the syndication member, is as follows (unaudited): 31 Desember/December 31, 2017 % Partisipasi 2016 7,72%-11,63% 13,00% 75 Hasanah Banking Partner 530 Annual Report 2017 % Participation
531. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 12. PEMBIAYAAN MUSYARAKAH (lanjutan) f. 12. MUSYARAKAH FINANCING (continued) Pembiayaan sindikasi (lanjutan) f. Syndicated financing (continued) BNI Syariah’s percentage shares in syndicated financing, where BNI Syariah acts as the lead arranger, is as follows (unaudited): Persentase bagian BNI Syariah dalam pembiayaan sindikasi, dimana BNI Syariah bertindak sebagai pimpinan sindikasi adalah sebagai berikut (tidak diaudit): 31 Desember/December 31, 2017 % Partisipasi g. 2016 44,04% 0,00% Informasi lainnya g. % Participation Other information 1) Lihat Catatan 48 untuk rincian transaksi dan saldo dengan pihak berelasi. 1) Refer to Note 48 for details of related party transactions and balances. 2) Tingkat bagi hasil pembiayaan musyarakah berkisar antara setara 9,60% sampai dengan 10,89% pada tahun 2017 dan setara 9,96% sampai dengan 10,26% pada tahun 2016. 2) The equivalent annual profit sharing rate of musyarakah financing ranges from 9.60% to 10.89% in 2017 and 9.96% to 10.26% in 2016. 3) Perubahan cadangan kerugian pembiayaan musyarakah adalah sebagai berikut: 3) The changes of allowance for possible losses on musyarakah financing are as follows: 31 Desember/December 31, 2017 Saldo awal Penyisihan selama tahun berjalan (Catatan 42) Penerimaan kembali hapus buku Penghapusbukuan selama tahun berjalan Hasil klaim Selisih kurs Saldo akhir 2016 105.285 68.679 161.634 82.711 Beginning balance Provisions during the year (Note 42) 28.058 7.622 Recovery of write offs (154.097) (280) 733 (53.671) (56) 141.333 105.285 Written off during the year Claim results Exchange rate differences Ending balance 4) Jumlah minimum cadangan kerugian pembiayaan musyarakah yang wajib dibentuk pada tanggal-tanggal 31 Desember 2017 dan 2016 telah sesuai dengan ketentuan Bank Indonesia dan Otoritas Jasa Keuangan (OJK). Manajemen Bank berpendapat bahwa jumlah cadangan kerugian pembiayaan musyarakah yang dibentuk telah memadai. 4) The minimum allowance for possible losses on musyarakah financing that should be provided as of December 31, 2017 and 2016 is in compliance with Bank Indonesia and Financial Service Authority (OJK) regulation. Management believes that the allowance for possible losses on musyarakah financing is adequate. 5) Pembiayaan musyarakah dijamin dengan agunan yang diikat dengan hak tanggungan atau surat kuasa memasang hak tanggungan atau surat kuasa untuk menjual, deposito mudharabah (Catatan 31) atau jaminan lain yang umumnya dapat diterima oleh Bank. 5) Musyarakah financing are collateralised by registered mortgages or power of attorney to mortgage and sell, mudharabah time deposits (Note 31) or by other guarantees acceptable to the Bank. 76 Hasanah Banking Partner 531 Annual Report 2017
532. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 12. PEMBIAYAAN MUSYARAKAH (lanjutan) g. 12. MUSYARAKAH FINANCING (continued) Informasi lainnya (lanjutan) 6) g. Other information (continued) Rasio Non-Performing Financing (NPF) pembiayaan musyarakah pada tanggaltanggal 31 Desember 2017 dan 2016 adalah sebagai berikut: 6) The ratio of Non-Performing Financing (NPF) of musyarakah financing as of December 31, 2017 and 2016 are as follows: 31 Desember/December 31, 2017 2016 NPF - Bruto Persentase 87.212 1,90% 47.858 1,59% NPF - Gross Percentage NPF - Neto Persentase 38.904 0,85% 18.957 0,63% NPF - Net Percentage 7) Dalam laporan Batas Maksimum Pemberian Kredit (BMPK) kepada Bank Indonesia pada tanggal-tanggal 31 Desember 2017 dan 2016, tidak terdapat pembiayaan musyarakah yang melanggar atau melampaui ketentuan BMPK. 7) Based on the Legal Lending Limit (BMPK) report submitted to Bank Indonesia as of December 31, 2017 and 2016, there are no musyarakah financing which violated or exceeded the Legal Lending Limit Regulation. 8) Rasio pembiayaan musyarakah usaha kecil terhadap jumlah pembiayaan musyarakah yang diberikan BNI Syariah per 31 Desember 2017 dan 2016 masingmasing adalah sebesar 0,18% dan 0,38% (tidak diaudit). 8) The ratio of musyarakah small businesses financing to total musyarakah financing given by BNI Syariah as of December 31, 2017 and 2016 were 0.18% and 0.38%, respectively (unaudited). 13. TAGIHAN AKSEPTASI a. 13. ACCEPTANCES RECEIVABLES Berdasarkan kolektibilitas a. By collectibility 31 Desember/December 31, 2017 Lancar Dikurangi:Cadangan kerugian penurunan nilai 2016 15.912 4.855 (159) (49) 15.753 b. Berdasarkan hubungan Current Less: Allowance for possible losses 4.806 b. By relationship 31 Desember/December 31, 2017 Pihak berelasi (Catatan 48) Dikurangi:Cadangan kerugian penurunan nilai 2016 15.912 (159) 15.753 4.855 (49) 4.806 77 Hasanah Banking Partner 532 Annual Report 2017 Related parties (Note 48) Less: Allowance for possible losses
533. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 13. TAGIHAN AKSEPTASI (lanjutan) c. 13. ACCEPTANCES RECEIVABLES (continued) Informasi lainnya c. Other Information The changes of allowance for possible losses on other bills are as follows: Perubahan cadangan kerugian tagihan lainnya adalah sebagai berikut: 31 Desember/December 31, 2017 2016 Saldo awal Cadangan selama tahun berjalan (Catatan 42) 49 - 110 49 Beginning balance Provisions during the year (Note 42) Saldo Akhir 159 49 Ending Balance Management believes that the allowance for possible losses on acceptances receivable is adequate. Manajemen berpendapat bahwa jumlah cadangan kerugian tagihan akseptasi yang dibentuk telah memadai. \ 14. ASET YANG DIPEROLEH UNTUK IJARAH– NETO a. 14. ASSETS ACQUIRED FOR IJARAH – NET Berdasarkan hubungan a. By Relationship 31 Desember/December 31, 2017 Pihak ketiga Pihak berelasi b. 2016 51.934 215 115.568 177 52.149 115.745 Berdasarkan jenis b. Third parties Related parties By Type 31 Desember/December 31, 2017 Ijarah Multijasa Akumulasi penyusutan 2016 192.132 (139.983) 561.345 (445.600) 52.149 115.745 Ijarah multi services Accumulated depreciation Sumber dana Ijarah multijasa adalah modal Bank dan simpanan dana pihak ketiga. Ijarah mutijasa sebagian besar terdiri dari pembiayaan ijarah untuk tujuan pendidikan, talangan haji, dan lain-lain. Funds of ijarah multiservice is derived from the Bank’s capital and third party funds. Ijarah multi services mostly represents ijarah financing for educational purpose, hajj bridging loan, etc. Jumlah ijarah yang akan jatuh tempo dalam dua tahun terakhir adalah masing-masing sebesar Rp15.514 dan Rp89.019 untuk tahun yang berakhir pada tanggal-tanggal 31 Desember 2017 dan 2016. The amount of Ijarah that will be due in two years period amounts to Rp15,514 and Rp89,019 for the year ended December 31, 2017 and 2016, respectively. 78 Hasanah Banking Partner 533 Annual Report 2017
534. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 15. ASET TETAP 15. FIXED ASSETS 31 Desember/December 31, 2017 Saldo Awal/ Beginning Balance Biaya perolehan Tanah Bangunan Kendaraan bermotor dan perlengkapan kantor Penambahan/ Addition Penilaian Kembali/ Revaluation Saldo Akhir/ Ending Balance Pengurangan/ Deduction 119.409 31.940 7.458 13.966 - - 126.867 45.906 233.133 25.638 - (1.355) 257.416 384.482 47.062 - (1.355) 430.189 Akumulasi penyusutan Bangunan Kendaraan bermotor dan perlengkapan kantor 1.182 2.610 - 168.715 28.144 - (1.221) 169.897 30.754 - (1.221) 199.430 Nilai buku neto 214.585 16.308 - (134) 230.759 - 3.792 195.638 Acquisition cost Land Buildings Motor vehicles and office equipments Accumulated depreciation Buildings Motor vehicles and office equipments Net book value 31 Desember/December 31, 2016 Saldo Awal/ Beginning Balance Biaya perolehan Tanah Bangunan Kendaraan bermotor dan perlengkapan kantor Akumulasi penyusutan Bangunan Kendaraan bermotor dan perlengkapan kantor Nilai buku neto Penambahan/ Addition Penilaian Kembali/ Revaluation Saldo Akhir/ Ending Balance Pengurangan/ Deduction 65.213 13.954 54.196 17.986 - 219.710 20.035 - (6.612) 233.133 298.877 92.217 - (6.612) 384.482 251 931 - 138.867 34.335 - (4.487) 168.715 139.118 35.266 - (4.487) 169.897 159.759 56.951 - (2.125) 214.585 Rincian keuntungan/(kerugian) tetap adalah sebagai berikut: penjualan - - 119.409 31.940 1.182 Acquisition cost/ appraized value Land Buildings Motor vehicles and office equipments Accumulated depreciation Buildings Motor vehicles and office equipments Net book value Details of gain/(loss) on sale of fixed assets are as follows: aset Tahun yang berakhir pada tanggal 31 Desember/ Year ended December 31, 2017 Harga jual Nilai buku 2016 174 (134) Keuntungan/(Kerugian) 40 1.995 (2.125) Proceeds Book value (130) Gain/(Loss) 79 Hasanah Banking Partner 534 Annual Report 2017
535. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 15. ASET TETAP (lanjutan) 15. FIXED ASSETS (continued) Jumlah beban penyusutan aset tetap sebesar Rp30.754 dan Rp35.266 (Catatan 41) masingmasing pada tanggal 31 Desember 2017 dan 2016. The balances of depreciation charged to profit and loss amounting to Rp30,754 and Rp35,266 (Note 41) for the year ended December 31, 2017 and 2016, respectively. Manajemen berkeyakinan bahwa tidak terdapat penurunan nilai aset tetap selama tahun berjalan karena manajemen berpendapat bahwa nilai tercatat aset tetap tidak melebihi estimasi nilai yang dapat diperoleh kembali. Management believes that there is no impairment in the value of fixed assets owned by the Bank during the year because management believes that the carrying amounts of fixed assets do not exceed the estimated recoverable amount. Nilai bruto dari aset tetap yang telah disusutkan penuh dan masih digunakan pada tanggal-tanggal 31 Desember 2017 dan 2016 masing-masing adalah sebesar Rp136.486 dan Rp71.977. As of December 31, 2017 and 2016, the gross amount of fixed assets which have been fully depreciated and still being used amounted to Rp136,486 and Rp71,977, respectively. Bank telah mengasuransikan aset tetap (tidak termasuk hak atas tanah) kepada PT Asuransi Tripakarta, Asuransi Sinarmas Syariah, dan Asuransi Takaful Umum untuk menutup kemungkinan kerugian terhadap risiko kebakaran, pencurian dan risiko lainnya pada tanggal 31 Desember 2017 senilai Rp355.911 (2016: Rp359.385). The Bank has insured its fixed assets (except for landrights) with PT Asuransi Tripakarta, Asuransi Sinarmas Syariah, and Asuransi Takaful Umum to cover possible losses against fire, theft and other risks on December 31, 2017 amounted to Rp355,911 (2016: Rp359,385). Nilai wajar tanah dan bangunan yang dimiliki Bank pada tanggal 31 Desember 2017 tidak berbeda jauh dengan nilai tercatat karena Bank melakukan penilaian pada tanah dan bangunan pada tanggal 30 September 2015. There is no significant difference between fair value and carrying value of land and building owned by the Bank as of December 31, 2017 because the Bank perform revaluation over land and buildings on September 30, 2015. Pada tanggal 30 September 2015, Bank melakukan perubahan kebijakan akuntansi atas tanah dan bangunan dari sebelumnya menggunakan model biaya menjadi model revaluasi. On September 30, 2015, the Bank changed their accounting policy of land and buildings from cost model to revaluation model. Penilaian atas tanah dan bangunan dilakukan oleh penilai independen eksternal sebagai berikut ini: The valuations of land and buildings are performed by the following external independent appraisals: a) b) c) d) a) b) c) d) KJPP Toha Okky Heru dan Rekan, KJPP Antonius Setiady dan Rekan, KJPP Benedictus Darmapuspita dan Rekan, KJPP Abdullah Fitriantoro dan Rekan. Valuations are performed every three years based on Indonesian Valuation Standards, based on reference to recent market transactions done on arm’s length terms. The valuation method used are market data approach and cost approach. Elements used in data comparison to determine fair value of assets are among others are as follows: Penilaian dilakukan setiap tiga tahun berdasarkan Standar Penilaian Indonesia, ditentukan berdasarkan transaksi pasar terkini dan dilakukan dengan ketentuan-ketentuan yang lazim. Metode penilaian yang dipakai adalah metode data pasar dan metode biaya. Elemen-elemen yang digunakan dalam perbandingan data untuk menentukan nilai wajar aset antara lain: a) b) c) d) e) KJPP Toha Okky Heru dan Rekan, KJPP Antonius Setiady dan Rekan, KJPP Benedictus Darmapuspita dan Rekan, KJPP Abdullah Fitriantoro dan Rekan. a) b) c) d) e) Jenis dan hak yang melekat pada properti, Kondisi pasar, Lokasi, Karakteristik fisik, Karakteristik tanah. Type and right on property, Market condition, Location, Physical characteristic, Land characteristic. 80 Hasanah Banking Partner 535 Annual Report 2017
536. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 15. ASET TETAP (lanjutan) 15. FIXED ASSETS (continued) Information on the revaluation of land and buildings as of September 30, 2015 located in Indonesia and overseas performed by the Bank are as follows: Informasi mengenai penilaian kembali aset tetap pada tanggal 30 September 2015 untuk kelompok aset tanah dan bangunan di Indonesia dan luar negeri yang dilakukan oleh Bank adalah sebagai berikut: Nilai buku sebelum revaluasi/ Carrying amount before revaluation Tanah Bangunan Nilai buku setelah revaluasi/ Carrying amount after revaluation Keuntungan revaluasi - neto/ Gain revaluation - net 23.736 13.197 65.213 13.871 41.477 674 36.933 79.084 42.151 Land Buildings Penilaian kembali yang dilakukan atas tanah menghasilkan jumlah kenaikan nilai tercatat sebesar Rp41.477 yang dicatat sebagai “Pendapatan Komprehensif Lain”. The revaluation of land resulting increase in the carrying amount of land amounting to Rp41,477 which recognized as “Other Comprehensive Income”. Kenaikan nilai tercatat yang timbul dari revaluasi bangunan dicatat sebesar Rp674. Kenaikan ini terdiri dari kenaikan nilai bangunan yang dicatat sebagai “Pendapatan Komprehensif Lain” sebesar Rp2.361 dan penurunan nilai bangunan yang diakui sebagai beban tahun 2015 sebesar Rp1.687. The revaluation of building resulting increase in the carrying amount of bulding amounting to Rp674. The increase consist of the increase in the carrying amount of building recognized in “Other Comprehensive Income” amounting to Rp2,361 and the decrease in the carrying amount of building recognized in 2015 expenses amounting to Rp1,687. Secara total kenaikan nilai tercatat yang timbul dari revaluasi tanah dan bangunan dicatat sebagai “Pendapatan Komprehensif Lain” adalah sebesar Rp43.838. Penurunan nilai tercatat yang timbul dari revaluasi dicatat sebagai beban pada tahun 2015 adalah sebesar Rp1.687. In total, the increases in the carrying amount land and buildings resulting in the recognition of “Other Comprehensive Income” amounting to Rp43,838. The decrease of carrying amount from revaluation resulting in the recognition of 2015 expenses amounting to Rp1,687. Tabel di bawah ini menganalisis instrumen nonkeuangan yang dicatat pada nilai wajar berdasarkan tingkatan metode penilaian. Perbedaan pada setiap tingkatan metode penilaian dijelaskan sebagai berikut: The table below analyses non-financial insrument carried at fair value, by level of valuation method. The different levels of valuation method define as follows: • • • • Tingkat 1 Harga kuotasian (tidak disesuaikan) dari pasar aktif untuk aset atau liabilitas yang identik. Tingkat 2 Input selain harga yang dikutip dari pasar yang disertakan pada tingkat 1 yang dapat diobservasi untuk aset dan liabilitas, baik secara langsung (yaitu sebagai suatu harga) atau secara tidak langsung (sebagai turunan dari harga). Tingkat 3 Input untuk aset atau liabilitas yang tidak didasarkan pada data pasar yang dapat diobservasi (informasi yang tidak dapat diobservasi). • • Level 1 Quoted price (unadjusted) in active markets for identical assets or liabilities. Level 2 Input other than quoted prices included within level 1 that are observable for asset and liabilities, either directly (that is, as a price) or indirectly (derived from price). Level 3 Input for asset or liability that are not based on observable market data (unobservable inputs). 81 Hasanah Banking Partner 536 Annual Report 2017
537. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 15. ASET TETAP (lanjutan) 15. FIXED ASSETS (continued) Pengukuran nilai wajar 31 Desember 2017 menggunakan:/ Fair value measurement as of December 31, 2017 using: Tingkat 1/ Level 1 Pengukuran nilai wajar berulang Tanah Bangunan Tingkat 2 Level 2 Tingkat 3/ Level 3 Jumlah/ Total - 126.867 45.906 - 126.867 45.906 - 172.773 - 172.773 Recurring fair value measurement Land Building Pengukuran nilai wajar 31 Desember 2016 menggunakan:/ Fair value measurement as of December 31, 2016 using: Tingkat 1/ Level 1 Pengukuran nilai wajar berulang Tanah Bangunan Tingkat 2 Level 2 Tingkat 3/ Level 3 Jumlah/ Total - 119.409 31.940 - 119.409 31.940 - 151.349 - 151.349 Recurring fair value measurement Land Building Tidak terdapat perpindahan antar tingkat selama tahun berjalan. There is transfers between level during the year. Nilai wajar tingkat 2 dari tanah dan bangunan dihitung dengan menggunakan pendekatan perbandingan harga pasar, estimasi biaya reproduksi baru atau biaya pengganti baru. Harga pasar dari tanah dan bangunan yang paling mendekati disesuaikan dengan perbedaan atribut utama seperti ukuran aset, lokasi dan penggunaan aset. Input yang paling signifikan dalam pendekatan penilaian ini adalah asumsi harga per meter. Level 2 fair values of land and buildings are calculated using the comparable market data approach and cost reproduction or cost replacement approach. The approximate market prices of comparable land and buildings are adjusted for differences in key attributes such as property size, location and use of an asset. The most significant input into this valuation approach is price per square meter assumptions. Jika tanah dan bangunan dicatat sebesar harga perolehan, maka per 31 Desember 2017 dan 2016 dicatat dalam jumlah sebagai berikut: If land and buildings are presented on historical cost basis, as of December 31, 2017 and 2016, the amount would have been as follows: 31 Desember/ Year ended December 31, 2017 2016 Tanah Bangunan Harga perolehan Akumulasi penyusutan 23.736 23.736 17.541 (6.683) 17.541 (5.798) Nilai buku bangunan 10.858 11.743 Net book amount There is no significant difference between the fair value and carrying value of fixed assets other than land and buildings. Selain tanah dan bangunan, tidak terdapat perbedaan yang signifikan antara nilai wajar aset tetap dengan nilai tercatatnya. 82 Hasanah Banking Partner Land Building Cost Accumulated depreciation 537 Annual Report 2017
538. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 16. BIAYA DIBAYAR DIMUKA 16. PREPAID EXPENSES 31 Desember/December 31, 2017 Biaya dibayar dimuka Sewa Uang muka Sewa Gedung Operasi Pembelian Gedung Lain-lain 2016 167.268 121.832 5.169 4.388 2.767 17.986 7.434 11.943 2.110 12.324 39.473 179.592 161.305 17. ASET LAIN-LAIN - BERSIH Prepaid expenses Rent Advances Building rental Operating Land purchase Others 17. OTHER ASSETS - NET 31 Desember/December 31, 2017 Pihak ketiga Pendapatan yang akan diterima dari surat berharga Tagihan Issuer Hasanah Card - bersih setelah dikurangi cadangan kerugian masing-masing sebesar Rp1.367 dan Rp0 pada tanggal 31 Desember 2017 dan 2016 Piutang pendapatan ijarah - bersih setelah dikurangi cadangan kerugian masing-masing sebesar Rp3.280 dan Rp3.087 pada tanggal-tanggal 31 Desember 2017 dan 2016 Piutang pendapatan murabahah Persediaan alat kantor Uang jaminan Piutang pendapatan musyarakah Piutang pendapatan rahn Piutang pendapatan mudharabah Lain-lain 2016 114.686 89.081 51.145 6.348 19.559 8.027 8.378 5.979 188 80 28 15.103 70.554 7.297 6.917 4.795 92 188 6 11.091 Pihak berelasi (Catatan 48) Third parties Accrued income of marketable securities Hasanah Card issuer receivables - net of allowance for possible losses of Rp1,367 and Rp0 as of December 31, 2017 and 2016, respectively Ijarah income receivable - net of allowance for possible losses of Rp3,280 and Rp3,087 as of December 31, 2017 and 2016, respectively Murabahah income receivables Office supplies and stamps Security deposit Musyarakah income receivables Rahn income receivables Mudharabah income receivables Others Related parties (Note 48) Tagihan transaksi non-ATM Tagihan transaksi ATM 31.738 35.895 45.537 250 290.806 242.156 83 Hasanah Banking Partner 538 Annual Report 2017 Non-ATM transaction receivables ATM transaction receivables
539. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 17. ASET LAIN-LAIN - BERSIH (lanjutan) 17. OTHER ASSETS - NET (continued) The changes of allowance for possible losses on other assets are as follows: Perubahan cadangan kerugian aset lain-lain adalah sebagai berikut: 31 Desember/December 31, 2017 2016 Saldo awal Cadangan selama tahun berjalan (Catatan 42) Penerimaan kembali hapus buku Penghapusanbuku selama tahun berjalan 3.087 1.691 1.535 1.396 Beginning balance Provisions during the year (Note 42) 483 - Recovery of write offs (458) - Write-offs during the year Saldo akhir 4.647 3.087 Ending balance 18. LIABILITAS SEGERA 18. OBLIGATIONS DUE IMMEDIATELY 31 Desember/December 31, 2017 Simpanan sementara Dana zakat Kiriman uang 2016 19.336 10.245 3.569 23.324 9.329 456 33.150 33.109 Temporary deposit Zakat funds Remittances Temporary deposit is a deposit to record the transactions that result from products and services provided by the Bank that can not be processed further waiting for the fulfilment of the conditions (terms and conditions) for each product and services. Simpanan sementara merupakan simpanan untuk membukukan transaksi-transaksi yang berasal dari produk dan jasa yang disediakan Bank yang belum dapat diproses lebih lanjut menunggu berlakunya kondisi (syarat dan ketentuan) untuk masingmasing produk dan jasa tersebut. 19. BAGI HASIL YANG BELUM DIBAGIKAN 19. UNDISTRIBUTED PROFIT SHARING Akun ini merupakan bagi hasil yang belum dibagikan oleh Bank kepada shahibul maal atas bagian keuntungan hasil usaha Bank yang telah disisihkan dari pengelolaan dana mudharabah. This account represents the undistributed share of the customer (shahibul maal) on the distribution of income generated by Bank from managing mudharabah funds. Bagi hasil yang belum dibagikan Bank pada tanggal 31 Desember 2017 dan 2016 adalah sebagai berikut: Undistributed profit sharing which has not been distributed by the Bank as of December 31, 2017 and 2016, are as follows: 31 Desember/December 31, 2017 Deposito mudharabah Sukuk mudharabah yang diterbitkan 2016 49.305 4.436 35.335 4.353 53.741 39.688 84 Hasanah Banking Partner 539 Annual Report 2017 Mudharabah time deposits Mudharabah sukuk issued
540. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 20. GIRO WADIAH a. 20. WADIAH DEMAND DEPOSITS Berdasarkan hubungan a. By relationship 31 Desember/December 31, 2017 Pihak ketiga Pihak berelasi (Catatan 48) b. 2016 1.792.386 45.727 1.488.122 45.025 1.838.113 1.533.147 Berdasarkan mata uang b. Third parties Related parties (Note 48) By currency 31 Desember/December 31, 2017 Rupiah Dolar Amerika Serikat 2016 1.766.612 71.501 1.482.746 50.401 1.838.113 1.533.147 Giro wadiah merupakan giro wadiah yaddhamanah yaitu titipan dana pihak lain yang dapat diberikan bonus berdasarkan kebijakan Bank. Bonus untuk giro wadiah Rupiah adalah nihil untuk 31 Desember 2017 dan 2016. Wadiah demand deposits represent wadiah yaddhamanah in which depositors are entitled to receive bonuses in accordance with the Bank’s policy. Annual bonuses for Rupiah wadiah demand deposits are nil for December 31, 2017 and 2016. 21. TABUNGAN WADIAH a. Rupiah United States Dollar 21. WADIAH SAVINGS DEPOSITS Berdasarkan hubungan a. By relationship 31 Desember/December 31, 2017 Pihak ketiga Pihak berelasi (Catatan 48) b. 2016 4.130.864 1.810 2.544.546 1.391 4.132.674 2.545.937 Berdasarkan mata uang b. Third parties Related parties (Note 48) By currency 31 Desember/December 31, 2017 Rupiah Dolar Amerika Serikat 2016 4.119.962 12.712 2.543.133 2.804 4.132.674 2.545.937 Tabungan wadiah merupakan simpanan dana dalam mata uang Rupiah dan Dolar Amerika Serikat yang dapat diberikan bonus berdasarkan kebijakan Bank. Wadiah savings deposits represent deposits in Rupiah and United States Dollar currency which can be distributed with bonus with the Bank’s policy. 85 Hasanah Banking Partner Rupiah United States Dollar 540 Annual Report 2017
541. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 22. SIMPANAN DARI BANK LAIN a. 22. DEPOSITS FROM OTHER BANKS Berdasarkan hubungan a. By relationship 31 Desember/December 31, 2017 Pihak ketiga b. 2016 47.777 31.364 Berdasarkan mata uang b. Third parties By currency 31 Desember/December 31, 2017 Rupiah 2016 47.777 31.364 Rupiah Simpanan dari bank lain yang ditempatkan pada Bank merupakan simpanan giro wadiah dan tabungan wadiah. Deposits from other banks represents wadiah demand deposits and wadiah saving deposits. Bonus untuk simpanan dari bank lain Rupiah adalah Rp nihil untuk 31 Desember 2017 dan 2016. Annual bonuses for Rupiah deposits from other banks are Rp nil as of December 31, 2017 and 2016. 23. KEWAJIBAN AKSEPTASI 23. ACCEPTANCES PAYABLE Berdasarkan pihak dan mata uang By relationship and curency 31 Desember/December 31, 2017 Pihak berelasi (Catatan 48) Rupiah Kreditur non-bank 2016 15.912 24. BIAYA YANG MASIH HARUS DIBAYAR ` 4.855 Related party (Note 48) Rupiah Non-bank creditors 24. ACCRUED EXPENSES 31 Desember/December 31, 2017 Biaya kantor Marketing Lain-lain 2016 32.329 24.439 510 19.769 22.318 35 57.278 42.122 25. ESTIMASI KERUGIAN KOMITMEN DAN KONTINJENSI Office expenses Marketing Others 25. ESTIMATED LOSSES ON COMMITMENTS AND CONTINGENCIES 31 Desember/December 31, 2017 2016 Estimasi kerugian atas komitmen dan kontinjensi Cadangan atas perkara hukum 1.071 455 1.770 455 Estimated losses from commitments and contigencies Provision for legal cases Total 1.526 2.225 Total 86 Hasanah Banking Partner 541 Annual Report 2017
542. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 25. ESTIMASI KERUGIAN KOMITMEN DAN KONTINJENSI (lanjutan) a. 25. ESTIMATED LOSSES ON COMMITMENTS AND CONTINGENCIES (continued) a. Perubahan cadangan atas perkara hukum adalah sebagai berikut: The changes of the allowance for legal cases are as follows: 31 Desember/December 31, 2017 b. 2016 Saldo awal Cadangan selama tahun berjalan 455 - 100 355 Beginning balance Provision during the year Saldo akhir 455 455 Ending balance b. Perubahan estimasi kerugian atas komitmen dan kontinjensi adalah sebagai berikut: Changes in estimated losses on commitments and contingencies are as follows: 31 Desember/December 31, 2017 2016 Saldo awal Pembalikan cadangan selama tahun berjalan (Catatan 42) Selisih kurs 1.770 Saldo akhir 1.071 4.520 (691) (8) (2.374) (376) 1.770 Ending balance Management believes that the allowance for legal cases are adequate. Manajemen berpendapat bahwa jumlah cadangan atas perkara hukum di atas telah memadai. 26. PERPAJAKAN a. Beginning balance Reversal provision during the year (Note 42) Exchange rate difference 26. TAXATION Utang pajak a. Taxes payable 31 Desember/December 31, 2017 Pajak penghasilan badan Pasal 29 Pasal 25 Pajak lainnya b. 2016 72 7.396 18.436 6.727 7.735 19.122 25.904 33.584 Keuntungan (beban) pajak b. Corporate Income Tax Article 29 Article 25 Other taxes Tax benefit (expense) Tahun yang berakhir pada tanggal 31 Desember/ Year ended December 31, 2017 Beban pajak kini Keuntungan pajak tangguhan 2016 (130.522) 28.461 (110.985) 15.163 (102.061) (95.822) 87 Hasanah Banking Partner 542 Annual Report 2017 Current tax expenses Deferred tax benefit
543. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 26. PERPAJAKAN (lanjutan) b. 26. TAXATION (continued) Keuntungan (beban) pajak (lanjutan) b. Tax benefit (expense) (continued) The reconciliation between the Bank’s income tax expense with the calculation of the accounting income before income tax expense and the prevailing tax rate are as follows: Rekonsiliasi atas beban pajak penghasilan Bank dengan perkalian laba akuntansi Bank sebelum beban pajak penghasilan dan tarif pajak yang berlaku adalah sebagai berikut: Tahun yang berakhir pada tanggal 31 Desember/ Year ended December 31, 2017 2016 Laba sebelum beban pajak 408.747 373.197 Pajak dihitung dengan tarif yang berlaku (102.187) (93.299) Tax calculated based on prevailing rate (2.109) 2.235 (1.461) (1.062) Permanent difference: Employee benefit in kind Others Beda tetap: Kenikmatan karyawan Lain-lain Beban pajak (102.061) (95.822) Income before tax expense Tax expense The reconciliation between income before income tax as stated in the statement of profit or loss and other comprehensive income with taxable income for the years ended December 31, 2017 and 2016 is as follows: Rekonsiliasi antara laba sebelum pajak penghasilan seperti yang tercantum dalam laporan laba rugi dan penghasilan komprehensif lainnya dengan laba fiskal untuk tahun yang berakhir pada tanggal 31 Desember 2017 dan 2016 adalah sebagai berikut: Tahun yang berakhir pada tanggal 31 Desember/ Year ended December 31, 2017 Laba sebelum pajak penghasilan 2016 408.747 373.197 Dampak pajak penghasilan Beda temporer Impact to Income tax Temporary difference Cadangan penurunan nilai Imbalan kerja Penyusutan aset tetap Cadangan kerugian non pembiayaan Cadangan hukum, kecurangan dan lainnya Lainnya 80.343 24.847 8.148 17.099 43.273 (337) 1.883 259 (1.378) 355 - Beda tetap Provision for impairment losses Employee benefit Depreciation of fixed asset Provision for possible losses on non financing Allowance of fixed asset for legal, fraud, and others Others Permanent differences Kenikmatan karyawan Keuntungan atas reksadana Lain-lain Penghasilan kena pajak Income before tax 8.437 (14.535) 5.596 5.845 (6.576) 10.823 522.088 443.938 88 Hasanah Banking Partner 543 Annual Report 2017 Employee benefits in-kind Gain on mutual fund Others Taxable income
544. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 26. PERPAJAKAN (lanjutan) b. 26. TAXATION (continued) Keuntungan (beban) pajak (lanjutan) b. Tax benefit (expense) (continued) The reconciliation between income before income tax as stated in the statement of profit or loss and other comprehensive income with taxable income for the years ended December 31, 2017 and 2016 is as follows (continued): Rekonsiliasi antara laba sebelum pajak penghasilan seperti yang tercantum dalam laporan laba rugi dan penghasilan komprehensif lainnya dengan laba fiskal untuk tahun yang berakhir pada tanggal 31 Desember 2017 dan 2016 adalah sebagai berikut (lanjutan): Tahun yang berakhir pada tanggal 31 Desember/ Year ended December 31, 2017 Beban pajak penghasilan sesuai tarif pajak yang berlaku Beban pajak penghasilan Pajak dibayar dimuka Income tax based on the applicable tax rates 130.522 110.985 130.522 (130.450) 110.985 (104.258) Utang pajak penghasilan c. 2016 72 Corporate income tax expense Prepaid tax 6.727 Tax Payable Perhitungan pajak penghasilan untuk tahun yang berakhir pada tanggal 31 Desember 2017 di atas adalah suatu perhitungan sementara yang dibuat untuk tujuan akuntansi dan dapat berubah pada saat Bank menyampaikan Surat Pemberitahuan (SPT) Tahunan tahun 2017. The calculation of income tax for the year ended December 31, 2017 above is a preliminary estimate made for accounting purposes and are subject to change at the time the Bank submits its Annual Corporate Income Tax Return (SPT) for the year 2017. Pajak penghasilan badan Bank untuk tahun yang berakhir pada tanggal-tanggal 31 Desember 2017 dan 2016 telah dihitung menggunakan tarif pajak 25%. Bank’s corporate income tax for the years ended December 31, 2017 and 2016 are calculated using the tax rate of 25%. Aset pajak tangguhan - neto c. Deferred tax asset - net 31 Desember/December 31, 2017 1 Januari/ January 1, Aset/(liabilitas) pajak tangguhan Imbalan kerja Cadangan kerugian penurunan nilai atas piutang dan pembiayaan Cadangan kerugian penurunan nilaiatas non-pembiayaan dan piutang Cadangan perkara hukum dan lainnya Aset tetap Kerugian yang belum direalisasi atas surat yang diperdagangkan Kerugian yang belum direalisasi atas surat tersedia untuk dijual Aset pajak tangguhan - neto Dikreditkan/ (dibebankan) ke laba/rugi/ Credit/ (charged) to profit/loss Dikreditkan/ (dibebankan) ke ekuitas/ Credit/ (charged) to equity 31 Desember/ December 31, 38.852 6.212 1.473 46.537 11.475 20.086 - 31.561 2.114 471 - 2.585 2.037 - 114 (2.381) (345) - (345) 3.720 - (6.155) 51.857 28.461 114 (4.418) - (4.682) 89 Hasanah Banking Partner 544 Annual Report 2017 Deferred tax assets/(liabilities) Employee benefits Allowance for impairment losseson receivables and financing Allowance for impairment losses on non-financing and receivables Allowance for legal cases and others Fixed assets Unrealized loss on available for trading securities Unrealized loss on (2.435) available for sale securities 75.636 Deferred tax assets - net
545. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 26. PERPAJAKAN (lanjutan) c. 26. TAXATION (continued) Aset pajak tangguhan - neto (lanjutan) c. Deferred tax asset - net (continued) 31 Desember/December 31, 2016 Dikreditkan/ (dibebankan) ke laba/rugi/ Credit/ (charged) to profit/loss 1 Januari/ January 1, Aset/(liabilitas) pajak tangguhan Imbalan kerja Cadangan kerugian penurunan nilai atas piutang dan pembiayaan Cadangan kerugian penurunan nilaiatas non-pembiayaan dan piutang Cadangan perkara hukum dan lainnya Aset tetap Kerugian yang belum direalisasi atas surat tersedia untuk dijual Aset pajak tangguhan - neto Dikreditkan ke ekuitas Credit/ to equity 31 Desember/ December 31, 29.598 10.818 7.200 4.275 - 11.475 2.049 65 - 2.114 25 (4.334) 89 (84) - 114 (4.418) Deferred tax assets/(liabilities) Employee benefits Allowance for impairment losseson receivablesand financing Allowance for impairment losses on non-financing and receivables Allowance for legal cases and others Fixed assets (1.564) 38.852 - - 3.720 3.720 Unrealized loss on available for sale securities 34.538 15.163 2.156 51.857 Deferred tax assets - net The Bank’s management believes that deferred tax assets can be recovered in future taxable years. Manajemen Bank berpendapat bahwa aset pajak tangguhan dapat terpulihkan seluruhnya di masa pajak yang akan datang. 27. LIABILITAS LAIN-LAIN 27. OTHER LIABILITIES 31 Desember/December 31, 2017 Pihak ketiga Setoran jaminan Pendapatan diterima dimuka Nota kredit dalam penyelesaian Lain-lain Pihak berelasi (Catatan 48) Liabilitas transaksi ATM Liabilitas transaksi non-ATM 2016 53.950 23.164 7.392 7.816 33.285 14.380 4.264 6.876 92.322 58.805 56.148 282 41.317 - 56.430 41.317 148.752 100.122 90 Hasanah Banking Partner 545 Annual Report 2017 Third parties Guarantee deposits Deferred income Credit memo in process Others Related parties (Note 48) ATM transaction liabilities Non-ATM transactionliabilities
546. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 28. SUKUK MUDHARABAH YANG DITERBITKAN 28. MUDHARABAH SUKUK ISSUED Pada tanggal 26 Mei 2015, Bank menerbitkan sukuk Mudharabah yang tercatat di Bursa Efek Indonesia dengan jumlah nilai nominal Rp500 milliar yang akan jatuh tempo pada tanggal 26 Mei 2018. Indikasi tingkat bagi hasil sukuk Mudharabah adalah setara 9,25% per tahun. Pendapatan bagi hasil dibayarkan setiap triwulanan, sesuai dengan tanggal pembayaran pendapatan bagi hasil sukuk Mudharabah. Pembayaran pendapatan bagi hasil sukuk Mudharabah pertama dilakukan pada tanggal 26 Agustus 2015, sedangkan pembayaran pendapatan bagi hasil sukuk Mudharabah terakhir sekaligus jatuh tempo sukuk Mudharabah adalah tanggal 26 Mei 2018. Tanggal 26 Mei 2018 juga merupakan Tanggal Pembayaran Kembali Dana Sukuk Mudharabah. Seluruh dana yang diperoleh dari Penawaran Umum Sukuk Mudharabah ini, setelah dikurangi dengan biaya-biaya emisi, akan digunakan untuk mengembangkan kegiatan pembiayaan syariah meliputi pembiayaan konsumtif, pembiayaan produktif, dan pembiayaan mikro yang merupakan bagian dari kegiatan usaha Bank. On May 26, 2015, Bank issued Mudharabah sukuk, listed on the Indonesia Stock Exchange, with a nominal value of Rp500 billion that will mature on May 26, 2018. The indicative level of the sukuk’s yield is 9.25% per annum. The revenue from profit-sharing is paid on quarterly basis, in accordance with the payment date of Sukuk Mudharabah’s profit-sharing. The first payment Mudharabah Sukuk revenue profit-sharing was distributed on August 26, 2015, while the last payment of the revenue will be distributed on May 26, 2018. On May 26, 2018 will also be the date of the repayment of Mudharabah sukuk fund. All of the funds generated from the issuance of the Mudharabah Sukuk, after being deducted by all of the emission costs, will be used entirely to support the sharia financing activities, such as consumer financing, productive financing, and micro financing, as a part of the Bank business activities. Sukuk Mudharabah yang diterbitkan diakui sebesar nilai nominal. Biaya-biaya yang terjadi sehubungan dengan penerbitan sukuk dicatat secara terpisah sebagai biaya yang ditangguhkan dan diamortisasi secara garis lurus selama jangka waktu Sukuk Mudharabah. Jumlah biaya yang diamortisasi pada 31 Desember 2017 dan 31 Desember 2016 adalah sebesar Rp507 dan Rp1.098. The value of the issued Mudharabah Sukuk is recognized at its nominal value of it. All costs for the issuance process of the sukuk is separately recorded as deferred expenses and will be amortized using straight line method during the period of Mudharabah Sukuk. The total expenses that is amortized during December 31, 2017 and December 31, 2016 is Rp507 and Rp1,098, respectively. Prinsip pembagian hasil usaha menggunakan prinsip revenue sharing yaitu pendapatan yang diperoleh dari pendapatan kas seluruh portofolio yang dihitung berdasarkan alokasi portofolio sebesar 5 (lima) kali Dana Sukuk Mudharabah dalam mata uang Rupiah yang dimiliki Bank. The profit-sharing principle uses revenue-sharing principles from the revenue generated from cashrevenue from all portfolios based on the calculation of portfolios allocation as many as 5 (five) times of the Sukuk Mudharabah funds in Rupiah currency owned by the Bank. PT Bank Rakyat Indonesia (Persero) Tbk (“BRI”) ditunjuk sebagai Wali Amanat dalam penerbitan Sukuk Mudharabah ini. BRI adalah pihak yang terafiliasi secara tidak langsung dengan Bank melalui kepemilikan saham oleh Negara Republik Indonesia. PT Bank Rakyat Indonesia (Persero) Tbk (‘BRI’) was appointed as the Trustee of the Mudharabah Sukuk issuance. BRI is indirectly-affiliated party of the Bank through the share ownership by the Republic of Indonesia. a. Berdasarkan jenis, mata uang dan jangka waktu a. By type, currency and period 31 Desember/December31, 2017 & 2016 Saldo/ Balance Rupiah Sukuk Mudharabah 500.000 Peringkat/ Rating id AA+(Sy) Pemeringkat/ Rating Company Jangka waktu/ Period Pefindo 91 Hasanah Banking Partner 546 Annual Report 2017 3 tahun/year Rupiah Mudharabah Sukuk
547. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 28. SUKUK MUDHARABAH YANG DITERBITKAN (lanjutan) b. 28. MUDHARABAH SUKUK ISSUED (continued) Berdasarkan hubungan b. By relationship 31 Desember/December 31, 2017 Bukan Bank Pihak ketiga Pihak berelasi (Catatan 48) 2016 228.000 272.000 286.000 214.000 500.000 500.000 29. GIRO MUDHARABAH a. Non-Bank Third parties Related parties (Note 48) 29. MUDHARABAH DEMAND DEPOSITS Berdasarkan hubungan a. By relationship 31 Desember/December 31, 2017 Bukan Bank Pihak ketiga Pihak berelasi (Catatan 48) Bank Pihak ketiga b. 2016 601.164 332.000 434.854 150.443 933.164 585.297 21.739 15.470 954.903 600.767 Berdasarkan mata uang b. Non-Bank Third parties Related parties (Note 48) Bank Third parties By currency 31 Desember/December 31, 2017 Rupiah Dolar Amerika Serikat c. 2016 781.087 173.816 522.711 78.056 954.903 600.767 Nisbah dan tingkat bagi hasil rata-rata untuk giro mudharabah untuk tahun yang berakhir pada 31 Desember 2017 dan 2016 adalah sebagai berikut: c. The ratio and average rate of profit sharing for mudharabah demand deposits for the years ended December 31, 2017 and 2016, are as follows: 31 Desember/December 31, 2017 Tingkat bagi hasil (%)/ Profit sharing rate (%) Nisbah (%)/ Ratio (%) 3 : 97 0,31 31 Desember/December 31, 2016 Tingkat bagi hasil (%)/ Profit sharing rate (%) Nisbah (%)/ Ratio (%) 3 : 97 0,32 92 Hasanah Banking Partner 547 Rupiah United States Dollar Annual Report 2017
548. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 29. GIRO MUDHARABAH (lanjutan) d. 29. MUDHARABAH (continued) d. Giro mudharabah yang dijadikan jaminan atas piutang dan pembiayaan yang diberikan oleh Bank adalah sebesar Rp259.679 pada tanggal 31 Desember 2017,(2016: Rp403.132) (tidak diaudit). 30. TABUNGAN MUDHARABAH a. DEMAND DEPOSITS Mudharabah demand deposits that were used as collateral for the Bank’s receivables and financing amounted to Rp259,679 as of December 31, 2017,(2016: Rp403,132) (unaudited). 30. MUDHARABAH SAVINGS DEPOSITS Berdasarkan jenis produk a. By product 31 Desember/December 31, 2017 Bukan Bank Tabungan iB Syariahplus Perorangan Tabungan iB Bisnis Tabungan Baitullah iB Hasanah Tabungan iB Bisnis Non-Perorangan Tabungan Prima iB Hasanah Tabungan iB Syariahplus Non-Perorangan Tapenas iB Hasanah Tapma iB Hasanah Tabungan iB Hasanah Card Tabungan iB Tunas Hasanah Bank Tabungan iB Bisnis Tabungan iB Syariahplus b. 2016 4.616.291 1.371.754 3.999.129 1.184.782 958.877 766.769 484.960 356.850 383.786 237.918 216.445 162.769 53.254 138.875 133.452 57.016 2.639 2.651 3.621 - 8.254.396 6.877.442 118.288 25.646 163.041 24.047 143.934 187.088 8.398.330 7.064.530 Berdasarkan hubungan b. Non-Bank iB Savings Shariaplus Individual iB Savings Business iB Savings Baitullah Hasanah iB Savings Business Non-Individual iB Prima Savings Hasanah iB Savings Shariaplus Non-Individual iB Tapenas Hasanah iB Tapma Hasanah iB Savings Hasanah Card iB Savings Hasanah Card Bank iB Savings Business iB Savings Shariaplus By relationship 31 Desember/December 31, 2017 Bukan Bank Pihak ketiga Pihak berelasi (Catatan 48) Bank Pihak ketiga 2016 8.244.874 9.522 6.863.593 13.849 8.254.396 6.877.442 143.934 187.088 8.398.330 7.064.530 93 Hasanah Banking Partner 548 Annual Report 2017 Non-Bank Third parties Related parties (Note 48) Bank Third parties
549. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 30. TABUNGAN MUDHARABAH (lanjutan) c. 30. MUDHARABAH (continued) Berdasarkan mata uang c. SAVINGS DEPOSITS By currency 31 Desember/December 31, 2017 Rupiah Dolar Amerika Serikat 2016 8.358.970 39.360 7.031.050 33.480 8.398.330 7.064.530 Rupiah United States Dollar d. Tabungan mudharabah merupakan simpanan dana pihak lain yang mendapatkan imbalan bagi hasil dari pendapatan Bank atas penggunaan dana tersebut dengan nisbah yang ditetapkan dan disetujui sebelumnya. d. e. Nisbah dan tingkat bagi hasil rata-rata untuk tabungan mudharabah untuk tahun yang berakhir pada 31 Desember 2017 dan 2016 berkisar sebagai berikut: e. The ratio and average rate of profit sharing for mudharabah savings deposits for the years ended December 31, 2017 and 2016 ranges as follows: Mudharabah savings deposits represent deposits from third parties who receive a share in the revenue derived by the Bank from the use of such funds based on a pre determined and pre-agreed ratio. 31 Desember/December 31, 2017 Tingkat bagi hasil (%)/ Profit sharing rate (%) Nisbah (%)/ Ratio (%) 1 : 99 - 40 : 60 0,10% - 4,08% 31 Desember/December 31, 2016 Tingkat bagi hasil (%)/ Profit sharing rate (%) Nisbah (%)/ Ratio (%) 1 : 99 - 28 :72 f. 0,10% - 4,81% Tabungan mudharabah yang dijadikan jaminan atas piutang dan pembiayaan yang diberikan oleh Bank masing-masing sebesar Rp390.016 pada tanggal 31 Desember 2017, (2016: Rp174.740) (tidak diaudit). f. Mudharabah saving deposits that were used as collateral for the Bank’s receivables and financing amounted to Rp390,016 as of December 31, 2017, (2016: Rp174,740) (unaudited). 94 Hasanah Banking Partner 549 Annual Report 2017
550. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 31. DEPOSITO MUDHARABAH a. 31. MUDHARABAH TIME DEPOSITS Berdasarkan hubungan a. By relationship 31 Desember/December 31, 2017 Bukan Bank Pihak ketiga Pihak berelasi (Catatan 48) Bank Pihak ketiga b. 2016 6.318.672 7.902.272 5.099.827 7.591.359 14.220.944 12.691.186 328.255 286.368 14.549.199 12.977.554 Berdasarkan mata uang b. Non-Bank Third parties Related parties (Note 48) Bank Third parties By currency 31 Desember/December 31, Rupiah Dolar Amerika Serikat c. 2017 2016 13.727.100 822.099 12.197.453 780.101 14.549.199 12.977.554 Berdasarkan jangka waktu c. Rupiah United States Dollar By period 31 Desember/December 31, 2017 Bukan Bank 1 bulan 3 bulan 6 bulan 12 bulan 2016 8.783.780 742.221 457.723 4.237.220 8.093.816 748.981 351.386 3.497.003 14.220.944 12.691.186 60.100 126.152 32 141.971 110.185 141.500 3.832 30.851 328.255 286.368 14.549.199 12.977.554 Bank 1 bulan 3 bulan 6 bulan 12 bulan 95 Hasanah Banking Partner 550 Annual Report 2017 Non-Bank 1 month 3 months 6 months 12 months Bank 1 month 3 months 6 months 12 months
551. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 31. DEPOSITO MUDHARABAH (lanjutan) d. 31. MUDHARABAH TIME DEPOSITS (continued) Berdasarkan sisa umur jatuh tempo d. By remaining period to maturity 31 Desember/December 31, 2017 Bukan Bank ≤ 1 bulan > 1 - 3 bulan > 3 - 12 bulan > 12 bulan Bank ≤ 1 bulan > 1 - 3 bulan > 3 - 12 bulan > 12 bulan 2016 9.282.431 1.350.308 3.588.119 86 6.213.734 3.439.689 943.227 2.094.536 14.220.944 12.691.186 165.502 127.250 35.503 - 90.185 162.441 7.396 26.346 328.255 286.368 14.549.199 12.977.554 Non-Bank ≤ 1 month > 1 - 3 months > 3 - 12 months > 12 months Bank ≤ 1 month > 1 - 3 months > 3 - 12 months > 12 months e. Deposito mudharabah yang dijadikan jaminan atas piutang dan pembiayaan yang diberikan oleh Bank masing-masing berjumlah Rp186.739 pada tanggal 31 Desember 2017, (2016: Rp137.426) (tidak diaudit). e. Mudharabah time deposits that were used as collateral for the Bank’s receivables and financing amounted to Rp186,739 as of December 31, 2017, (2016: Rp137,426) (unaudited). f. Deposito mudharabah merupakan investasi pihak lain yang mendapatkan imbalan bagi hasil dari pendapatan Bank atas penggunaan dana tersebut dengan nisbah yang ditetapkan dan disetujui sebelumnya. f. Mudharabah time deposits represent investment from other parties who receive share in the income derived by the Bank from the use of such funds based on a pre determined and pre-agreed ratio. g. Nisbah dan tingkat bagi hasil rata-rata untuk deposito mudharabah untuk tahun yang berakhir pada tanggal 31 December 2017 dan 2016 adalah sebagai berikut: g. The ratio and average rate of profit sharing for mudharabah time deposits for the years ended December 31, 2017 and 2016, are as follows: 31 Desember/ December 31, 2017 Nisbah (%)/ Ratio (%) 1 Bulan 3 Bulan 6 Bulan 12 Bulan 31 Desember/ December 31, 2016 Tingkat bagi hasil(%)/ Profit sharing rate (%) 46 % : 54 % 47 % : 53 % 49 % : 51 % 50 % : 50 % 4,70% 4,80% 5,00% 5,11% Nisbah (%)/ Ratio (%) Tingkat bagi hasil(%)/ Profit sharing rate (%) 46 : 54 47 : 53 49 : 51 50 : 50 96 Hasanah Banking Partner 551 Annual Report 2017 4,99% 5,13% 5,35% 5,49% 1 month 3 months 6 months 12 months
552. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 32. MODAL SAHAM 32. CAPITAL STOCK Berdasarkan Akta Pendirian No.160 yang dibuat dihadapan Aulia Taufani, S.H., pengganti Notaris Sutjipto, S.H., tanggal 22 Maret 2010, modal dasar BNI Syariah adalah sebesar Rp4.004.000.000.000 (nilai penuh) yang terdiri atas 4.004.000 (nilai penuh) lembar saham dengan nilai nominal Rp1.000.000 (nilai penuh) per saham. Modal ditempatkan dan disetor penuh terdiri atas 1.001.000 (nilai penuh) lembar saham dengan rincian sebesar Rp1.000.000.000 (nilai penuh) merupakan setoran tunai PT BNI Life Insurance dan sebesar Rp1.000.000.000.000 (nilai penuh) dalam bentuk transfer aset, liabilitas dan dana syirkah temporer yang berasal dari UUS BNI. Tidak terdapat perbedaan antara nilai buku dan nilai wajar atas aset, liabilitas dan dana syirkah temporer yang ditransfer oleh PT Bank Negara Indonesia (Persero) Tbk. Based on the Deed of Establishment No. 160 dated March 22, 2010 of Notary Aulia Taufani, S.H., substitute of Notary Sutjipto, S.H., BNI Syariah’s authorized capital amounted to Rp4,004,000,000,000 (full amount) consisting of 4,004,000 (full amount) shares with a nominal value of Rp1,000,000 (full amount) per share. The capital issued and fully paid consists of 1,001,000 (full amount) shares consisting of Rp1,000,000,000 (full amount) in the form of transfer of cash of PT BNI Life Insurance and Rp1,000,000,000,000 (full amount) in the form of transfer of assets, liabilities, and temporary syirkah funds which were derived from UUS BNI. There is no difference between the book value and fair value of assets, liabillites and temporary syirkah funds which were transferred by PT Bank Negara Indonesia (Persero) Tbk. Berdasarkan Keputusan Para Pemegang Saham Sebagai Pengganti Rapat Umum Pemegang Saham Luar Biasa PT Bank BNI Syariah pada tanggal 29 September 2014 sesuai dengan akta No. 53 dari Notaris Fathiah Helmi, S.H. di Jakarta, yang telah memperoleh pengesahan Menteri Hukum dan Hak Asasi Manusia Republik Indonesia No. AHU-06781.40.21 tahun 2014. PT Bank Negara Indonesia (Persero) Tbk dan PT BNI Life menambah setoran modal saham masing-masing sebesar Rp500.000.000.000 (nilai penuh) dan Rp500.000.000 (nilai penuh) secara tunai dengan mengeluarkan saham dalam simpanan sejumlah 500.500 saham dengan nilai nominal Rp1.000.000 (nilai penuh) per saham. Based on Decision from Shareholders in replacement of Extraordinary Shareholder General Meeting of PT BNI Syariah dated September 29, 2014 in accordance with notarial deed No. 53 of Notary Fathiah Helmi, S.H. in Jakarta, which has been approved by the Minister of Law and Human Rights of the Republic of Indonesia No. AHU-06781.40.21 in 2014. PT Bank Negara Indonesia (Persero) Tbk and PT BNI Life have additional paid in capital amounted to Rp500,000,000,000 (full amount) and Rp500,000,000 (full amount), respectively, in cash by issuing share in deposits amounted to 500,500 shares with nominal value Rp1,000,000 (full amount) per share. Berdasarkan Keputusan Para Pemegang Saham sebagai pengganti Rapat Umum Pemegang Saham Luar Biasa BNI Syariah pada tanggal 29 Desember 2017, PT Bank Negara Indonesia (Persero) Tbk menambah modal ditempatkan dan disetor penuh sebesar Rp1.000.000.000.000 (nilai penuh), secara tunai dengan mengeluarkan saham dari modal dasar sejumlah 1.000.000 lembar saham dengan nilai nominal Rp1.000.000 (nilai penuh) per saham. Based on the Decision from Shareholders in replacement of the Shareholders’ Extraordinary General Meeting of BNI Syariah on December 29, 2017, PT Bank Negara Indonesia Tbk increased its capital issued and fully paid-in capital by Rp1,000,000,000,000 (full amount), in cash by issuing shares of authorized capital of 1,000,000 shares with par value of Rp1,000,000 (full amount) per share 97 Hasanah Banking Partner 552 Annual Report 2017
553. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 32. MODAL SAHAM (lanjutan) 32. CAPITAL STOCK (continued) The composition of the Bank’s shareholders as of Desember 31, 2017 and December 31, 2016 are as follows: Susunan pemegang saham Bank pada tanggal 31 Desember 2017 dan 31 Desember 2016 adalah sebagai berikut: 31 Desember 2017/December 31, 2017 Pemegang saham Jumlah saham ditempatkan dan disetor penuh/ Issued and fully paid stock PT Bank Negara Indonesia (Persero) Tbk PT BNI Life Insurance Persentase pemilikan/ Ownership percentage Jumlah modal/ Amount of capital 2.500.000 1.500 99,94% 0,06% 2.500.000 1.500 2.501.500 100% 2.501.500 Shareholders PT Bank Negara Indonesia (Persero) Tbk PT BNI Life Insurance 31 Desember 2016/December 31, 2016 Pemegang saham Jumlah saham ditempatkan dan disetor penuh/ Issued and fully paid stock PT Bank Negara Indonesia (Persero) Tbk PT BNI Life Insurance Persentase pemilikan/ Ownership percentage Jumlah modal/ Amount of capital 1.500.000 1.500 99.90% 0.10% 1.500.000 1.500 1.501.500 100% 1.501.500 33. CADANGAN UMUM DAN WAJIB Shareholders PT Bank Negara Indonesia (Persero) Tbk PT BNI Life Insurance 33. GENERAL AND LEGAL RESERVES Cadangan umum dan wajib pada awalnya dibentuk dalam rangka memenuhi ketentuan pasal 61 ayat (1) Undang-undang No. 1/1995 mengenai Perseroan Terbatas (kemudian diganti dengan Undang-undang Perseroan Terbatas No. 40/2007), yang mengharuskan perusahaan Indonesia untuk membuat penyisihan cadangan umum dan wajib sebesar sekurang-kurangnya 20% dari jumlah modal yang ditempatkan dan disetor penuh. Undang-undang tersebut tidak mengatur jangka waktu untuk pembentukan cadangan tersebut. The general and legal reserves are originally provided in accordance with Indonesian Limited Liability Company Law No. 1/1995 article 61 paragraph (1) (later superseeded by Limited Liability Company Law No. 40/2007), which requires Indonesian companies to set up a general and legal reserve amounting to at least 20% of the issued and paid-up share capital. This particular law does not regulate the period of time in relation to the provision of such reserves. Berdasarkan Rapat Umum Pemegang Saham Tahunan sebagaimana tercantum dalam Akta Berita Acara Rapat Umum Pemegang Saham No. 28 tanggal 25 Februari 2016 dari Notaris Fathiah Helmi, S.H., pemegang saham menyetujui untuk menetapkan Rp22.853 sebagai dana cadangan wajib Bank. Based on the Annual General Meeting of Shareholders as stated in deed No. 28 dated February 25, 2016 of Notary Fathiah Helmi, S.H., the shareholders agreed to appropriate Rp22,853 into the Bank's statutory reserve. Berdasarkan Rapat Umum Pemegang Saham Tahunan sebagaimana tercantum dalam Akta Berita Acara Rapat Umum Pemegang Saham No. 6 tanggal 6 Maret 2017 dari Notaris Fathiah Helmi, S.H., pemegang saham menyetujui untuk menetapkan Rp57.297 sebagai dana cadangan wajib Bank. Based on the Annual General Meeting of Shareholders as stated in deed No. 6 dated March 6, 2017 of Notary Fathiah Helmi, S.H., the shareholders agreed to appropriate Rp57,297 into the Bank's statutory reserve. 98 Hasanah Banking Partner 553 Annual Report 2017
554. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 34. PENDAPATAN DARI JUAL BELI 34. INCOME FROM SALES AND PURCHASES Tahun yang berakhir pada tanggal 31 Desember/ Year ended December 31, 2017 Pendapatan murabahah 2016 2.090.204 35. PENDAPATAN DARI BAGI HASIL 1.891.261 Income from murabahah 35. INCOME FROM PROFIT SHARING Tahun yang berakhir pada tanggal 31 Desember/ Year ended December 31, 2017 Pendapatan Bagi Hasil musyarakah Pendapatan Bagi Hasil mudharabah 2016 336.154 139.156 266.771 151.780 475.310 418.551 36. PENDAPATAN DARI IJARAH - BERSIH Musyarakah profit sharing income Mudharabah profit sharing income 36. INCOME FROM IJARAH - NET Tahun yang berakhir pada tanggal 31 Desember/ Year ended December 31, 2017 Pendapatan ijarah muntahiyah bittamlik Pendapatan ijarah multijasa Beban penyusutan aset yang diperoleh untuk ijarah (Catatan 14) 2016 305.617 57.054 36.047 64.240 (305.617) (36.048) 57.054 64.239 37. PENDAPATAN USAHA UTAMA LAINNYA a. Income from ijarah muntahiyah bittamlik Income from ijarah multi-services Depreciation expense of assets acquired for ijarah (Note 14) 37. OTHER MAIN OPERATING INCOME Berdasarkan jenis a. By type Tahun yang berakhir pada tanggal 31 Desember/ Year ended December 31, 2017 Pendapatan bagi hasil investasi pada surat berharga Pendapatan kas bagi hasil fee ujroh anjak utang piutang Pendapatan operasional hasanah card Pendapatan bagi hasil penempatan pada bank lain Pendapatan fee rahn Pendapatan lain-lain 2016 367.827 246.339 84.440 73.419 23.669 83.996 33.283 937 6.709 63.261 1.541 8.718 566.615 427.524 99 Hasanah Banking Partner 554 Annual Report 2017 Profit sharing income from investments in marketable securities Profit sharing income from factoring of ujroh cash fee Operational income from hasanah card Profit sharing income from placements with other banks Fee Income from rahn Other income
555. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 37. PENDAPATAN (lanjutan) b. USAHA UTAMA PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) LAINNYA 37. OTHER MAIN OPERATING INCOME (continued) Berdasarkan hubungan b. By relationship Tahun yang berakhir pada tanggal 31 Desember/ Year ended December 31, 2017 Pihak ketiga Pihak berelasi (Catatan 48) 2016 288.541 278.074 214.545 212.979 566.615 427.524 38. HAK PIHAK KETIGA ATAS BAGI HASIL DANA SYIRKAH TEMPORER Third parties Related parties (Note 48) 38. THIRD PARTIES’ SHARE ON RETURN OF TEMPORARY SYIRKAH FUNDS Tahun yang berakhir pada tanggal 31 Desember/ Year ended December 31, 2017 Deposito mudharabah Tabungan mudharabah Sukuk mudharabah yang diterbitkan Giro mudharabah Giro mudharabah bank Lain-lain 2016 771.829 141.966 45.083 4.849 48 4.167 718.812 135.713 45.387 3.983 95 1.042 967.942 905.032 39. PENDAPATAN OPERASIONAL LAINNYA Mudharabah time deposits Mudharabah savings deposits Mudharabah sukuk issued Mudharabah demand deposits Demand deposits mudharabah bank Others 39. OTHER OPERATING INCOME Tahun yang berakhir pada tanggal 31 Desember/ Year ended December 31, 2017 Jasa administrasi layanan bank Jasa administrasi pembiayaan Laba selisih kurs - neto Pendapatan administrasi lain-lain 2016 77.944 23.890 8.072 7.065 68.139 18.899 7.499 7.181 116.971 101.718 40. BEBAN GAJI DAN TUNJANGAN Bank service administration fees Financing administration fees Foreign exchange - net Other administration income 40. SALARIES AND BENEFITS Tahun yang berakhir pada tanggal 31 Desember/ Year ended December 31, 2017 Tunjangan karyawan Gaji dan upah Pendidikan dan pelatihan 2016 306.973 362.278 38.439 383.394 324.492 29.253 707.690 737.139 100 Hasanah Banking Partner 555 Annual Report 2017 Employee allowances Salaries and wages Education and training
556. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 41. BEBAN UMUM DAN ADMINISTRASI 41. GENERAL AND ADMINISTRATIVE EXPENSES Tahun yang berakhir pada tanggal 31 Desember/ Year ended December 31, 2017 Sewa Outsourcing Promosi Penyusutan aset tetap (Catatan 15) Pemeliharaan dan perbaikan Listrik, air dan gas Perjalanan dinas Komunikasi Keperluan kantor Transportasi Asuransi Honorarium tenaga ahli Lain-lain 2016 117.810 102.301 70.747 30.754 24.749 20.408 15.235 12.170 11.931 8.148 3.950 890 18.232 107.986 91.238 75.616 35.266 21.498 18.074 11.612 11.167 11.242 7.415 3.324 515 15.042 437.325 409.995 Rent Outsourcing Promotion Depreciation of fixed assets (Note 15) Service and maintenance Electricity, water and gas Business travel Communication Office supplies Transportation Insurance Expert fees Others Lain-lain terdiri dari biaya pekerjaan dan pelayanan kantor dan beban operasional. Others consists of operating expenses, office services and operational expenses. 42. CADANGAN/(PEMBALIKAN) KERUGIAN ASET PRODUKTIF 42. PROVISION/(REVERSAL) OF ALLOWANCE FOR POSSIBLE LOSSES ON EARNING ASSETS Tahun yang berakhir pada tanggal 31 Desember/ Year ended December 31, 2017 Giro pada bank lain (Catatan 6) Penempatan pada bank lain Investasi pada surat berharga (Catatan 7) Piutang murabahah (Catatan 9) Pinjaman qardh (Catatan 10) Pembiayaan mudharabah (Catatan 11) Pembiayaan musyarakah (Catatan 12) Tagihan akseptasi (Catatan 13) Piutang pendapatan Ijarah (Catatan 17) Suspence account (Catatan 17) Estimasi kerugian komitmen dan Kontinjensi (Catatan 25) 2016 1.420 10 923 858 500 1.804 379.380 40.986 36.422 161.634 110 150.801 43.447 45.045 82.711 49 168 1.367 1.396 - (691) 621.729 43. PENDAPATAN/(BEBAN) NON-OPERASIONAL NETO (2.374) Current accounts with other banks (Note 6) Placements with other banks Investments in marketable securities (Note 7) Murabahah receivables (Note 9) Funds of qardh (Note 10) Mudharabah financing (Note 11) Musyarakah financing (Note 12) Acceptances receivables (Note 13) Ijarah income receivables (Note 17) Suspence account (note 17) Estimated losses on commitments and contingencies (Note 25) 324.237 43. NON-OPERATING INCOME/(EXPENSE) - NET Tahun yang berakhir pada tanggal 31 Desember/ Year ended December 31, 2017 Pendapatan non-operasional Beban non-operasional Beban zakat 2016 898 (4.819) (10.245) 3.154 (11.758) (9.329) (14.166) (17.933) 101 Hasanah Banking Partner 556 Annual Report 2017 Non-operating income Non-operating expenses Zakat expenses
557. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 44. IMBALAN KERJA 44. EMPLOYEE BENEFITS 31 Desember/December 31, 2017 2016 Imbalan kerja jangka pendek Imbalan pensiun dan imbalan pasca kerja lainnya Imbalan jangka panjang lainnya 71.735 163.195 111.050 75.100 85.143 70.267 Short-term employee benefits Pension benefits and other post-employment benefits Other long-term benefits Liabilitas yang diakui pada laporan posisi keuangan 257.885 318.605 Liability recognized in the statement of financial position Imbalan kerja jangka pendek Short-term employee benefits Bonus, tantiem dan insentif yang masih harus dibayar 71.735 Expected maturity analysis of undiscounted pension benefit as of December 31, 2017 is as follows: Analisis jatuh tempo yang diharapkan dari manfaat pensiun yang tidak terdiskonto per tanggal 31 Desember 2017 adalah sebagai berikut: Kurang dari 1 tahun/ Less than a year Pensiun Cuti besar Penghargaan masa kerja Imbalan lainnya pensiun dan imbalan Accrued bonus, tantiem and incentive 163.195 2 sampai 5tahun/ Lebih dari Between 2 to 5tahun/ 5 years more than 5 years Total 5.779 11.338 605 57.168 50.008 10.314 346.682 212.652 147.958 409.629 273.998 158.877 17.722 117.490 707.292 842.504 pasca-kerja Pension Long leave Gratuity Pension benefits and other post-employment benefits Program pensiun manfaat pasti Defined benefit pension plan Penilaian aktuarial atas manfaat pensiun pada tahun yang berakhir pada tanggal-tanggal 31 Desember 2017 dan 2016, dilakukan oleh konsultan aktuaria terdaftar, PT Towers Watson Purbajaga dengan menggunakan metode “Projected Unit Credit” sebagaimana yang tercantum dalam laporan masing-masing pada tanggal 28 Desember 2017 dan 19 Januari 2017. The actuarial valuation of pension benefits for the year ended December 31, 2017 and 2016, was performed by registered actuarial consulting firm, PT Towers Watson Purbajaga, using the “Projected Unit Credit” method as stated in its reports dated December 28, 2017 and January 19, 2017, respectively. Perhitungan aktuaris tersebut asumsi-asumsi sebagai berikut: The actuarial calculations assumptions as follows: menggunakan used underlying 31 Desember/December 31, 2017 Tingkat diskonto per tahun Tingkat kenaikan gaji per tahun Tabel mortalita Usia pensiun 2016 6,75% 4,80% Tabel Mortalita/ Mortablity Table Indonesia 2011 (TMI 2011) 56 tahun/years 7,75% 5,50% Tabel Mortalita/ Mortablity Table Indonesia 2011 (TMI 2011) 56 tahun/years 102 Hasanah Banking Partner 557 Annual Report 2017 Annual discount rate Annual salary increasing rate Mortality table Retirement age
558. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 44. IMBALAN KERJA (lanjutan) 44. EMPLOYEE BENEFITS (continued) a. a. Liabilitas yang diestimasi atas imbalan kerja terdiri dari: Estimated employee benefits consists of: 31 Desember/December 31, 2017 Nilai kini liabilitas manfaat b. 2016 111.050 85.143 b. Perubahan imbalan kerja yang diakui adalah sebagai berikut: Current employee benefits obligation The changes of employee benefits are as follows: 31 Desember/December 31, 2017 Liabilitas neto pada awal tahun Beban bersih yang diakui dalam laporan laba rugi (Laba)/rugi bersih yang diakui dalam pendapatan komprehensif lainnya Pembayaran imbalan Liabilitas bersih yang diakui pada akhir tahun c. 2016 85.143 74.500 23.480 21.886 5.893 (3.466) (6.255) (4.988) 111.050 85.143 c. Beban imbalan kerja yang diakui dalam laporan laba rugi: Net liabilities at beginning of the year Net expense recognized in profit or loss Net (gain)/loss recognized in other comprehensive income Actual benefit payment Net liability recognized at end of the year Employee benefit expenses recognized in profit or loss: Tahun yang berakhir pada tanggal 31 Desember/ Year ended December 31, 2017 d. 2016 Biaya jasa kini Biaya bunga 17.030 6.450 15.542 6.344 Current service cost Interest cost Beban bersih yang diakui pada laporan laba rugi 23.480 21.886 Net expense recognized in profit or loss d. Mutasi nilai kini liabilitas manfaat pasti adalah sebagai berikut: The movement in the present value of funded defined benefit obligations are as follows: 31 Desember/December 31, 2017 Pada awal tahun Biaya jasa kini Biaya bunga 2016 85.143 17.030 6.450 74.500 15.542 6.344 108.623 96.386 103 Hasanah Banking Partner 558 Annual Report 2017 At beginning of the year Current service cost Interest cost
559. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 44. IMBALAN KERJA (lanjutan) d. 44. EMPLOYEE BENEFITS (continued) d. Mutasi nilai kini liabilitas manfaat pasti selama tahun berjalan adalah sebagai berikut: (lanjutan) The movement in the present value of funded defined benefit obligations of the years are as follows: (continued) 31 Desember/December 31, 2017 Pengukuran kembali: Kerugian aktuarial yang timbul dari perubahan asumsi kerja Pembayaran imbalan Pada akhir tahun e. 2016 5.893 (3.466) (6.255) (4.988) 111.050 85.143 e. Mutasi (kerugian)/keuntungan aktuarial yang diakui sebagai penghasilan komprehensif lain adalah sebagai berikut: Remeasurements: Actuarial losses from changes in experience assumption Actual benefit payment At end of the year Movement in the balance of actuarial (loss)/ gain charged to other comprehensive income of the years are as follows: 31 Desember/December 31, 2017 2016 Pada awal tahun Keuntungan/(kerugian) aktuarial yang diakui sebagai penghasilan komprehensif lain (2.685) (8.940) (5.893) 6.255 Pada akhir tahun (8.578) (2.685) At beginning of the year Actuarial (gain)/loss charged to other comprehensive income At end of the year Semenjak spin-off dari Bank BNI, program pensiun karyawan BNI Syariah dikelola oleh Dana Pensiun Lembaga Keuangan PT Bank Negara Indonesia (Persero) Tbk (DPLK BNI). Sebelumnya program pensiun karyawan dibedakan menjadi dua kriteria. Untuk karyawan tetap yang dipekerjakan mulai tanggal 1 September 2005, program pensiun dikelola langsung oleh DPLK BNI dengan kontribusi iuran sebesar 11,50% dari gaji atas beban Bank dan 3,50% atas beban karyawan. Since the spin-off from Bank BNI, BNI Syariah employee pension program is administered by the Pension Fund of PT Bank Negara Indonesia (Persero) Tbk (DPLK BNI). Previously, pension plans are divided into two criteria. For permanent employees who were hired starting on September 1, 2005, the pension program is managed directly by DPLK BNI with contribution of 11.50% of salary represents the cost of the Bank and 3.50% borne by the employees. Untuk karyawan tetap yang dipekerjakan sebelum tanggal 1 September 2005, program pensiun dikelola dengan dua cara, yaitu Program Pensiun Manfaat Pasti melalui Dana Pensiun PT Bank Negara Indonesia (Persero) Tbk dan benefit tambahan program pensiun melalui DPLK BNI. Pada saat spin-off, program pensiun yang dikelola Dana Pensiun PT Bank Negara Indonesia (Persero) Tbk dialihkan ke DPLK BNI dan benefit tambahan program pensiun dihentikan. Besarnya iuran program pensiun selanjutnya disesuaikan dengan karyawan tetap yang dipekerjakan mulai tanggal 1 September 2005 yaitu 11,50% atas beban Bank dan 3,50% atas beban karyawan. For employees hired before September 1, 2005, permanent plans are managed in two ways, through the Defined Benefit Pension Fund conducted by PT Bank Negara Indonesia (Persero) Tbk Dana Pensiun and additional pension benefits through DPLK BNI. At the time of the spin-off, pension funds which is managed by Dana Pensiun PT Bank Bank Negara Indonesia (Persero) Tbk were transferred to the DPLK BNI and the additional pension benefits were terminated. The amount of pension contributions was further adjusted for the permanent employees who work from September 1, 2005 at 11.50% representing the cost of the Bank and 3.50% borne by the employees. 104 Hasanah Banking Partner 559 Annual Report 2017
560. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 44. IMBALAN KERJA (lanjutan) 44. Employee Benefits (continued) Beban pensiun iuran pasti yang telah dibebankan pada laba rugi adalah sebesar Rp23.480 dan Rp21.886 masing-masing untuk tahun yang berakhir pada tanggal 31 Desember 2017 dan 2016. Defined contribution pension expense that was charged to profit or loss amounted to Rp23,480 and Rp21,886 for the year ended December 31, 2017 and 2016, respectively. Imbalan jangka panjang lainnya Other long-term employee benefits Imbalan jangka panjang lainnya seperti cuti berimbalan jangka panjang, imbalan cacat permanen dan penghargaan jubilee dihitung dengan menggunakan metode projected unit credit dan didiskontokan ke nilai kini. Other long-term employee benefits such as long service leave, permanent disability benefit and jubilee awards are calculated using the projected unit credit method and discounted to present value. Penilaian aktuarial atas imbalan jangka panjang lainnya pada tahun yang berakhir pada tanggaltanggal 31 Desember 2017 dan 2016, masingmasing dilakukan oleh konsultan aktuaria terdaftar, PT Towers Watson Purbajaga dengan menggunakan metode “Projected Unit Credit” sebagaimana yang tercantum dalam laporan masing-masing pada tanggal 28 Desember 2017 dan 19 Januari 2017. The actuarial valuation of other long-term benefits for the year ended December 31, 2017 and 2016, was performed by registered actuarial consulting firm, PT Towers Watson Purbajaga, using the “Projected Unit Credit” method as stated in its reports dated December 28, 2017 and January 19, 2017, respectively. Perhitungan aktuaris tersebut asumsi-asumsi sebagai berikut: The actuarial calculations assumptions as follows: menggunakan used underlying 31 Desember/December 31, 2017 Tingkat diskonto per tahun Tingkat kenaikan gaji per tahun Tabel mortalita 6,75% 4,80% Tabel Mortalita/ Mortability Table Indonesia 2011 (TMI 2011) 56 tahun/years Usia pensiun a. Perubahan liabilitas sebagai berikut: 2016 yang diakui 7,75% 5,50% Tabel Mortalita/ Mortablity Table Indonesia 2011 (TMI 2011) 56 tahun/years a. adalah Annual discount rate Annual salary increasing rate Mortality table Retirement age The changes of liability recognized are as follows: 31 Desember/December 31, 2017 Liabilitas neto pada awal tahun Beban bersih yang diakui dalam laporan laba rugi Pembayaran imbalan Liabilitas bersih yang diakui pada akhir tahun 2016 70.267 43.734 17.086 (12.253) 33.925 (7.392) 75.100 70.267 105 Hasanah Banking Partner 560 Annual Report 2017 Net liability at beginning of the year Net expense recognized in profit or loss Actual benefit payment Net liability recognized at end of the year
561. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 44. IMBALAN KERJA (lanjutan) b. 44. EMPLOYEE BENEFITS (continued) b. Beban imbalan kerja yang diakui dalam laporan laba rugi: Employee benefit expenses recognized in profit or loss: 31 Desember/December 31, 2017 Biaya jasa kini Biaya bunga Kerugian aktuaria bersih yang diakui pada tahun berjalan Beban bersih yang diakui pada laporan laba rugi 2016 12.206 4.817 10.978 3.467 63 19.480 Current service cost Interest cost Net actuarial loss recognized in the current year 17.086 33.925 Net expense recognized in profit or loss The sensitivity of defined benefit obligation as of December 31, 2017 and 2016 to changes in the actuarial assumption are as follows: Sensivitas dari kewajiban imbalan pasti per tanggal 31 Desember 2017 dan 2016 terhadap perubahan asumsi aktuaria sebagai berikut: 31 Desember/December 31, 2017 Program iuran pasti dan imbalan kerja jangka panjang lainnya/Defined contribution pension plan and other-long term employee benefit Perubahan asumsi/ Changes in assumption Tingkat diskonto Tingkat kenaikan gaji Nilai kini kewajiban imbalan kerja/ Present value of benefit obligation Kenaikan/increase 1% Penurunan/derease 1% Kenaikan/increase 1% Penurunan/derease1% 175.372 198.131 203.783 170.509 Biaya jasa kini/ Current service cost 27.664 30.986 31.870 26.898 Discount rate Salary increase rate 31 Desember/December 31, 2016 Program iuran pasti dan imbalan kerja jangka panjang lainnya/Defined contribution pension plan and other-long term employee benefit Perubahan asumsi/ Changes in assumption Tingkat diskonto Tingkat kenaikan gaji Nilai kini kewajiban imbalan kerja/ Present value of benefit obligation Kenaikan/increase 1% Penurunan/derease 1% Kenaikan/increase 1% Penurunan/derease1% 146.463 165.352 170.506 142.024 Biaya jasa kini/ Current service cost 25.037 28.167 29.050 24.271 Salary increase rate The sensitivity analysis is based on change in an assumption while other assumptions constant. When calculating the sensitivity of the defined benefit obligation to main actuarial assumptions the same method (present value of the defined benefit obligation calculated with the projected unit credit method at the end of the reporting period) has been applied as when calculating the pension liability recognized within the statement of financial position. Analisis sensitivitas didasarkan pada perubahan atas satu asumsi aktuarial dimana asumsi lainnya dianggap konstan. Dalam perhitungan sensitivitas kewajiban imbalan pasti atas asumsi aktuarial utama, metode yang sama (perhitungan nilai kini kewajiban imbalan pasti dengan menggunakan metode projected unit credit di akhir periode) telah diterapkan seperti dalam penghitungan kewajiban pensiun yang diakui dalam laporan posisi keuangan. 106 Hasanah Banking Partner Discount rate 561 Annual Report 2017
562. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 45. KOMITMEN DAN KONTINJENSI a. 45. COMMITMENTS AND CONTINGENCIES The Bank has receivables and liabilities on commitments and contingencies as follows: a. Bank memiliki tagihan dan kewajiban komitmen dan kontinjensi sebagai berikut: 31 Desember/December 31, 2017 Fasilitas pembiayaan kepada nasabah yang belum digunakan 2016 1.040.370 966.621 Unused financing facilities 1.290 7.634 2.037 Related parties Existing Irrevocable L/C Third parties Related parties (Note 48) 1.049.294 968.658 Commitment liabilities Pendapatan dari non-performing receivables/financing Garansi (kafalah) bank yang diterima Lainnya 56.965 6.168 6.723 70.579 5.227 8.636 Income from non-performing receivables/financing Bank guarantees (kafalah) received Others Tagihan kontinjensi 69.856 84.442 Contingencies receivables Pihak terkait Irrevocable L/C yang masih berjalan Pihak ketiga Pihak berelasi (Catatan 48) Kewajiban komitmen 31 Desember/December 31, 2017 Garansi yang diterbitkandalam bentuk: Pihak ketiga Standby letters of credit Performance bonds Bid bonds Advance payment bonds Garansi bank lainnya Kewajiban kontinjensi b. 2016 41.492 26.245 14.268 7.591 3.342 41.792 22.181 3.661 200 4.691 92.938 72.525 92.938 72.525 b. Kewajiban kontinjensi yang mempunyai risiko kredit berdasarkan kolektibilitas adalah sebagai berikut: Guarantees issued in the form of: Third parties Standby letters of credit Performance bonds Bid bonds Advance payment bonds Other bank guarantees Contingencies liabilities Contingent liabilities that have credit risk by collectibility were as follows: 31 Desember/December 31, 2017 Lancar Dalam perhatian khusus Kurang lancar Estimasi kerugian komitmen dan kontinjensi 2016 92.938 - 46.912 25.613 - 92.938 72.525 (1.071) (2.225) 91.867 70.300 107 Hasanah Banking Partner 562 Annual Report 2017 Current Special Mention Substandard Estimated losses on commitment and contingencies
563. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 46. LABA PER SAHAM DASAR 46. BASIC EARNINGS PER SHARE Basic earnings per share is computed by dividing income for the year by the weighted average number of shares of outstanding common stock during the related year. Laba tahun berjalan per saham dasar dihitung dengan membagi laba tahun berjalan dengan ratarata tertimbang jumlah lembar saham biasa yang beredar pada tahun bersangkutan. 31 Desember/December 31, 2017 Laba tahun berjalan Rata-rata tertimbang jumlah lembar saham biasa yang beredar Laba per saham dasar (dalam Rupiah penuh) 2016 306.686 277.375 Income for the year 1.584.833 1.501.500 Weighted average number of ordinary shares outstanding 193.513 184.732 Basic earnings per share (in full Rupiah amount) On December 22, 2017, PT Bank BNI (Persero) Tbk has obtained the approval of the Financial Services Authority based on Decision Letter No. S-143/PB.31/2017 on providing AdditionalPaid-In Capital to PT Bank BNI Syariah. Pada tanggal 22 Desember 2017, PT Bank BNI (Persero) Tbk telah memperoleh persetujuan dari Otoritas Jasa Keuangan (“OJK”) berdasarkan Surat Keputusan No. S-143/PB.31/2017 dalam rangka pemberian Tambahan Modal pada PT Bank BNI Syariah. 47. JAMINAN PEMERINTAH TERHADAP KEWAJIBAN PEMBAYARAN BANK UMUM 47. GOVERNMENT GUARANTEES OBLIGATIONS OF COMMERCIAL BANKS ON Keuangan Berdasarkan Keputusan Menteri No. 179/KMK.017/2000 tanggal 26 Mei 2000, sebagaimana diubah dengan Keputusan Menteri Keuangan No. 84/KMK.06/2004 tanggal 27 Februari 2004 dan No. 189/KMK.06/2004 tanggal 8 April 2004, Pemerintah menjamin kewajiban tertentu dari Bank berdasarkan program penjaminan yang berlaku bagi bank umum. Jaminan Pemerintah ini berlaku sampai dengan tanggal 21 September 2005. Based on Minister of Finance Decision No. 179/KMK.017/2000 dated May 26, 2000, as amended by Minister of Finance Decision No. 84/KMK.06/2004 dated February 27, 2004 and No. 189/KMK.06/2004 dated April 8, 2004, the Government guarantees certain liabilities from the Bank based on the prevailing guarantee program that is valid for commercial banks. This Government Guarantee is valid until September 21, 2005. Berdasarkan Undang-undang No. 24 tanggal 22 September 2004, efektif sejak tanggal 22 September 2005, sebagaimana diubah dengan Peraturan Pemerintah Pengganti Undang-undang Republik Indonesia No. 3 tanggal 13 Oktober 2008, Lembaga Penjamin Simpanan (LPS) dibentuk untuk menjamin kewajiban tertentu bank-bank umum berdasarkan program penjaminan yang berlaku, yang besaran nilai jaminannya dapat berubah jika memenuhi kriteria tertentu yang berlaku. Based on Law No. 24 dated September 22, 2004, effective as of September 22, 2005, as amended by Government Regulation of the Republic of Indonesia for Substitute of Law No.3 dated October 13, 2008, the Government established the Deposit Insurance Institution (LPS) to guarantee certain liabilities from commercial banks based on the prevailing guarantee program, in which the guaranteed amount may change if they meet certain specified criteria. Berdasarkan Peraturan Lembaga Penjamin Simpanan No. 2 tahun 2014 tanggal 22 September 2014 tentang “Program Penjaminan Simpanan”, maka pada tanggal 31 Desember 2016 dan 2015, jumlah simpanan yang dijamin LPS adalah simpanan sampai dengan Rp2.000.000.000 (nilai penuh) untuk per nasabah per bank. Based on the Indonesia Deposit Insurance Institution (LPS) Regulation No. 2 year 2014, dated September 22, 2014, regarding “The Saving Guaranteed Program”, as of December 31, 2016 and 2015, the amount of savings guaranteed by LPS are up to Rp2,000,000,000 (full amount) for each customer for each bank. Pada tanggal 31 Desember 2017 dan 2016, Bank adalah peserta dari program penjaminan tersebut. As of December31, 2017 and 2016, the Bank is a participant of the guarant program. 108 Hasanah Banking Partner 563 Annual Report 2017
564. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 48. TRANSAKSI DENGAN PIHAK BERELASI 48. RELATED PARTY TRANSACTIONS Dalam kegiatan normal usaha, BNI Syariah melakukan transaksi dengan pihak-pihak berelasi karena hubungan kepemilikan dan/atau kepengurusan. In the normal course of business, BNI Syariah enters into certain transactions with parties which are related because of ownership and/or management. Pihak-pihak berelasi terdiri dari Badan Usaha Milik Negara dan Anak Perusahaannya, dewan komisaris, direksi dan karyawan kunci berdasarkan PSAK No.7 (Revisi 2010) “Pengungkapan PihakPihak Berelasi” dan Bapepam LK.VIII.G7 (Revisi 2012). Related parties consist of State-Owned Enterprises and their Subsidiaries, Commissioners, Directors, and management or key employees of the Bank based on SFAS No. 7 (Revised 2010) “Related Party Disclosures” and Bapepam LK.VIII.G7 (Revised 2012). a. a. Jenis hubungan berelasi dan unsur transaksi Pihak-pihak berelasi/ Related parties Manajemen Kunci/Key Management Pemerintah Republik Indonesia/The Government of the Republic of Indonesia Kementrian Agama/ Ministry of Religious Jenis hubungan/ Type of relationships Karyawan yang terdiri dari Direksi, Pejabat Eksekutif dan Komisaris/Employees consist of Board of Directors, Executive Officers and Board of Commissioners Pemegang saham pengendali utama/Ultimate Controlling shareholder Pemegang saham pengendali utama/Ultimate Controlling shareholder Pihak-pihak berelasi/ Related parties PT Bank Negara Indonesia (Persero) Tbk Yayasan Kesejahteraan Pegawai (YKP BNI) BNI Aset Management BNI Life Insurance BPJS Ketenagakerjaan PT DPLK BNI PT Angkasa Pura PT Asuransi Kredit Indonesia PT Asuransi Tripakarta PT Bank BRISyariah PT Bank Syariah Mandiri PT Brantas Abipraya PT Dana Reksa PT Garuda Indonesia Tbk PT Istaka Karya Type of relationships and related parties transactions Jenis hubungan/ Type of relationships Induk Perusahaan/Immediate Parent Sesama anak perusahaan induk/Subsidiary Under The Same Parent Company Sesama anak perusahaan induk/Subsidiary Under The Same Parent Company Sesama anak perusahaan induk/Subsidiary Under The Same Parent Company Dibawah Pemegang Saham Pengendali Utama yang Sama/Under The Same Ultimate Controlling Shareholder Sesama anak perusahaan induk/Subsidiary Under The Same ParentCompany Dibawah Pemegang Saham Pengendali Utama yang Sama/Under The Same Ultimate Controlling Shareholder Dibawah Pemegang Saham Pengendali Utama yang Sama/Under The Same Ultimate Controlling Shareholder Dibawah Pemegang Saham Pengendali Utama yang Sama/UnderThe Same Ultimate Controlling Shareholder Dibawah Pemegang Saham Pengendali Utama yang Sama/UnderThe Same Ultimate Controlling Shareholder Dibawah Pemegang Saham Pengendali Utama yang Sama/UnderThe Same Ultimate Controlling Shareholder Dibawah Pemegang Saham Pengendali Utama yang Sama/UnderThe Same Ultimate Controlling Shareholder Dibawah Pemegang Saham Pengendali Utama yang Sama/UnderThe Same Ultimate Controlling Shareholder Dibawah Pemegang Saham Pengendali Utama yang Sama/UnderThe Same Ultimate Controlling Shareholder Dibawah Pemegang Saham Pengendali Utama yang Sama/Under The Same Ultimate Controlling Shareholder 109 Hasanah Banking Partner 564 Annual Report 2017
565. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 48. TRANSAKSI (lanjutan) a. DENGAN Jenis hubungan berelasi (lanjutan) PIHAK dan unsur PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) BERELASI 48. RELATED PARTY TRANSACTIONS (continued) transaksi a. Type of relationships and related parties transactions (continued) Pihak-pihak berelasi/ Related parties Jenis hubungan/ Type of relationships PT Jakarta Industrial Estate Pulogadung Dibawah Pemegang Saham Pengendali Utama yang Sama/Under The Same Ultimate Controlling Shareholder Dibawah Pemegang Saham Pengendali Utama yang Sama/Under The Same Ultimate Controlling Shareholder Dibawah Pemegang Saham Pengendali Utama yang Sama/Under The Same Ultimate Controlling Shareholder Dibawah Pemegang Saham Pengendali Utama yang Sama/Under The Same Ultimate Controlling Shareholder Dibawah Pemegang Saham Pengendali Utama yang Sama/Under The Same Ultimate Controlling Shareholder Dibawah Pemegang Saham Pengendali Utama yang Sama/Under The Same Ultimate Controlling Shareholder Dibawah Pemegang Saham Pengendali Utama yang Sama/Under The Same Ultimate Controlling Shareholder Dibawah Pemegang Saham Pengendali Utama yang Sama/Under The Same Ultimate Controlling Shareholder Dibawah Pemegang Saham Pengendali Utama yang Sama/Under The Same Ultimate Controlling Shareholder Dibawah Pemegang Saham Pengendali Utama yang Sama/Under The Same Ultimate Controlling Shareholder Dibawah Pemegang Saham Pengendali Utama yang Sama/Under The Same Ultimate Controlling Shareholder Dibawah Pemegang Saham Pengendali Utama yang Sama/Under The Same Ultimate Controlling Shareholder Dibawah Pemegang Saham Pengendali Utama yang Sama/Under The Same Ultimate Controlling Shareholder Dibawah Pemegang Saham Pengendali Utama yang Sama/Under The Same Ultimate Controlling Shareholder Dibawah Pemegang Saham Pengendali Utama yang Sama/Under The Same Ultimate Controlling Shareholder PT Jaminan Kredit Indonesia PT Jasa Raharja PT Jasa Marga PT Jasindo PT Waskita Karya PT Pegadaian PT Perusahaan Listrik Negara (Persero) PT Pertamina (Persero) PT Swadharma Sarana Informatika Perusahaan Umum Percetakan Negara Republik Indonesia Perusahaan Umum Pembangunan Perumahan Nasional Perusahaan Umum Produksi Film Negara PT Perusahaan Umum, Produksi Film Negara PT Timah b. Transaksi dengan pihak berelasi b. Related party transaction 31 Desember/December 31, 2017 Aset Giro pada bank lain (Catatan 6) PT Bank Negara Indonesia (Persero) Tbk Investasi pada Surat Berharga(Catatan 7) Pemerintah Republik Indonesia PT Bank Syariah Mandiri PT Bank BRI Syariah PT Angkasa Pura PT Timah PT Perusahaan Listrik Negara (Persero) 2016 307.923 174.820 307.923 174.820 4.644.154 50.000 46.000 36.019 28.000 3.489.424 50.000 46.000 34.794 - - 14.000 4.804.173 3.634.218 Assets Current accounts with other banks (Note 6) PT Bank Negara Indonesia (Persero) Tbk 110 Hasanah Banking Partner 565 Annual Report 2017 Investment in marketable securities (Note 7) The Government of the Republic of Indonesia PT Bank Syariah Mandiri PT Bank BRI Syariah PT Angkasa Pura PT Timah PT Perusahaan Listrik Negara (Persero)
566. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 48. TRANSAKSI (lanjutan) b. DENGAN PIHAK PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) BERELASI 48. RELATED PARTY TRANSACTIONS (continued) Transaksi dengan pihak berelasi (lanjutan) b. Related party transaction (continued) 31 Desember/December 31, 2017 Piutang murabahah(Catatan 9) Manajemen kunci Perusahaan Umum Percetakan Negara Republik Indonesia Swadharma Sarana Informatika Pinjaman qardh (Catatan 10) PT Waskita Karya Manajemen kunci PT Swadharma Sarana Informatika PT Jasa Marga Pembiayaan musyarakah(Catatan 12) Perusahaan Umum Percetakan Negara Republik Indonesia PT Swadharma Sarana Informatika PT Perusahaan Listrik (Persero) Negara PT Pemalang Batang Tol Road PT Brantas Abipraya PT Pegadaian 2016 29.578 30.233 4.818 22.011 9.283 - 56.407 39.516 373.782 9.282 20.000 73.493 277.055 11.391 - 476.557 288.446 5.479 17.000 2.715 - 500.000 17.425 200.000 200.000 - 939.904 - Murabahah receivables (Note 9) Key management Perusahaan Umum Percetakan Negara Republik Indonesia Swadharma Sarana Informatika Funds of qardh (Note 10) PT Waskita Karya Key management PT Swadharma Sarana Informatika PT Jasa Marga Musyarakah financing (Note 12) Perusahaan Umum Percetakan Negara Republik Indonesia PT Swadharma Sarana Informatika PT Perusahaan Listrik Negara (Persero) PT Pemalang Batang Tol Road PT Brantas Abipraya PT Pegadaian 2.715 Tagihan akseptasi (Catatan 13) Perusahaan Umum Percetakan Negara Republik Indonesia 15.912 4.855 Aceptances receivable (Note 13) Perusahaan Umum Percetakan Negara Republik Indonesia Aset yang diperoleh untuk Ijarah - neto (Catatan 14) Manajemen kunci 215 177 Asset acquired for Ijarah - net (Note 14) Key management 67.633 45.787 Other Assets (Note 17) PT Bank Negara Indonesia (Persero) Tbk 6.668.724 4.190.534 Total assets from related parties 19,15% 14,80% Percentage of total assets from related parties to total asset 45.727 45.025 Liabilities Wadiah demand deposits (Note 20) Entities controlled through the Government of Republic Indonesia 45.727 45.025 1.810 - 1.390 1 1.810 1.391 Aset lain - lain (Catatan 17) PT Bank Negara Indonesia (Persero) Tbk Total aset dari pihak-pihak berelasi Persentase total aset dari pihakpihak berelasi terhadap total aset Liabilitas Giro wadiah (Catatan 20) Entias dikendalikan melalui Pemerintah Republik Indonesia Tabungan wadiah (Catatan 21) Manajemen kunci Pemerintah Republik Indonesia Wadiah savings deposits (Note 21) Key management The Government of Republic Indonesia 111 Hasanah Banking Partner 566 Annual Report 2017
567. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 48. TRANSAKSI (lanjutan) b. DENGAN PIHAK PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) BERELASI 48. RELATED PARTY TRANSACTIONS (continued) Transaksi dengan pihak berelasi (lanjutan) b. Related party transaction (continued) 31 Desember/December 31, 2017 Kewajiban akseptasi (Catatan 23) Pemerintah Republik Indonesia Liabilitas lain-lain (Catatan 27) PT Bank Negara Indonesia (Persero) Tbk Total liabilitas dari pihak-pihak berelasi 2016 4.855 Acceptances payable (Note 23) The Government of Republic Indonesia 56.430 41.317 Other Liabilities (Note 27) PT Bank Negara Indonesia (Persero) Tbk 119.879 92.588 Total liabilities from related parties 1,98% Percentage of total liabilities from related parties to total liabilities 15.912 Persentase total liabilitas dari pihak-pihak berelasi terhadap total liabilitas Dana Syirkah Temporer Sukuk mudharabah yang diterbitkan (Catatan 28) PT Bank Syariah Mandiri PT BRI Syariah PT DPLK BNI PT Danareksa PT Penjaminan Infrastruktur Indonesia PT Reksa Dana Dana Reksa Melati Pendapatan Utama PT Asuransi Jasa Indonesia Yayasan Kesejahteraan Pegawai BNI (YKP BNI) PT BNI Life Insurance BNI Aset Management PT Asuransi Tripakarta Giro mudharabah (Catatan 29) Entitas dikendalikan melalui Pemerintah Republik Indonesia 1,81% Temporary Syirkah Funds 100.000 68.500 45.000 5.000 100.000 45.000 25.000 20.000 20.000 20.000 - 10.000 8.000 4.000 500 1.000 8.000 4.000 1.000 1.000 272.000 214.000 332.000 150.443 332.000 150.443 9.499 13.830 Tabungan mudharabah (Catatan 30) Manajemen kunci Entias dikendalikan melalui Pemerintah Republik Indonesia 23 19 9.522 13.849 Mudharabah sukuk issued (Note 28) PT Bank Syariah Mandiri PT BRI Syariah PT DPLK BNI PT Danareksa PT Penjaminan Infrastruktur Indonesia PT Reksa Dana Dana Reksa Melati Pendapatan Utama PT Asuransi Jasa Indonesia Yayasan Kesejahteraan Pegawai BNI (YKP BNI) PT BNI Life Insurance BNI Aset Management PT Asuransi Tripakarta Mudharabah demand deposits (Note29) Entities controlled through the Government of Republic Indonesia Mudharabah savings deposits (Note 30) Key management Entities controlled through the Government of Republic Indonesia 112 Hasanah Banking Partner 567 Annual Report 2017
568. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 48. TRANSAKSI (lanjutan) b. DENGAN PIHAK PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) BERELASI 48. RELATED PARTY TRANSACTIONS (continued) Transaksi dengan pihak berelasi (lanjutan) b. Related party transaction (continued) 31 Desember/December 31, 2017 2016 Deposito mudharabah (Catatan 31) Entitas dikendalikan melalui Pemerintah Republik Indonesia Manajemen kunci Total dana syirkah temporer dari pihak-pihak berelasi Mudharabah time deposits (Note 31) Entities controlled through the The Government of Republic Indonesia Key management 7.883.369 18.903 7.581.256 10.103 7.902.272 7.591.359 8.515.794 7.969.651 Total temporary syirkah funds from related parties Percentage of total related parties temporary syirkah funds to total temporary syirkah funds Persentase total dana syirkah temporer dari pihak-pihak berelasi terhadap total dana syirkah temporer 34,90% 37,69% Pendapatan usaha utama lainnya (Catatan 37) Pemerintah Republik Indonesia PT Bank Syariah Mandiri PT Bank BRISyariah PT PLN (Persero) PT Angkasa Pura PT Timah 265.440 4.006 4.299 768 2.946 615 Other main operating income (Note 37) 207.834 The Government of Republic of Indonesia 3.426 PT Bank Syariah Mandiri PT Bank BRISyariah 1.655 PT PLN (Persero) 64 PT Angkasa Pura PT Timah Total pendapatan usaha utama lainnya 278.074 212.979 Total other main operating income 49,82% Percentage of total related parties other main operating income to total other main operating income 23.210 Operating expenses Others PT Bank Negara Indonesia (Persero) Tbk 17,10% Percentage of total expense from utilization of facilities to related parties to total other expense Persentase total pendapatan usaha utama lainnya dari pihak-pihak berelasi terhadap total pendapatan usaha utama lainnya Beban operasional Lain-lain PT Bank Negara Indonesia (Persero) Tbk Persentase total beban penggunaan fasilitas dari pihak-pihak berelasi terhadap total beban lain-lain 49.08% 24.610 16.57% 113 Hasanah Banking Partner 568 Annual Report 2017
569. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 48. TRANSAKSI (lanjutan) b. DENGAN PIHAK PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) BERELASI 48. RELATED PARTY TRANSACTIONS (continued) Transaksi dengan pihak berelasi (lanjutan) b. Related party transaction (continued) 31 Desember/December 31, 2017 2016 Beban gaji dan tunjangan Dewan Komisaris Gaji Tunjangan Salaries and benefits expense The Board of Commissioners Salaries Allowances 2.692 1.459 1.164 432 4.151 1.596 4.528 2.410 3.061 2.738 6.938 5.799 1.353 203 64 1.188 220 - 1.620 1.408 547 342 505 135 889 640 20.419 15.834 5.684 - 25.002 10.944 4.327 2.576 41.937 42.849 Jumlah beban gaji dan tunjangan dari pihak-pihak berelasi 55.535 52.292 Total salaries and benefits expanses expanses from related party Presentase total beban gaji dan tunjangan dari pihak-pihak berelasi 7,85% 7,09% Percentage of total salaries and benefits ecpanses from related party 2.037 Commitment liability Standby letters of credit The Government of Republic Indonesia (Note 45) Direksi Gaji Tunjangan Komite Audit Gaji Tunjangan Manfaat pensiun Dewan Pengawas Syariah Gaji Tunjangan Pejabat Eksekutif Gaji Tunjangan Manfaat pensiun Lainnya Kewajiban komitmen Standby letters of credit Perum Percetakan Negara (Catatan 45) Persentase kewajiban komitmen kepada pihak-pihak berelasi 7.634 The Board of Directors Salaries Allowances Audit Committee Salaries Allowances Pension plans Sharia Supervisory Board Salaries Allowances Executive Officers Salaries Allowances Pension plans Others Percentage of contingent liabilities 0.21% to related parties to total contingencies 0.73% 114 Hasanah Banking Partner 569 Annual Report 2017
570. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) 48. TRANSAKSI (lanjutan) DENGAN PIHAK PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) BERELASI 48. RELATED (continued) PARTY TRANSACTIONS Kompensasi manajemen kunci Key management compensation Personil manajemen kunci adalah orang-orang yang mempunyai wewenang dan tanggung jawab untuk merencanakan, memimpin dan mengendalikan aktivitas Bank, secara langsung atau tidak langsung, yaitu Direksi, Dewan Komisaris, Komite Audit, Dewan Pengawas Syariah dan Pejabat Eksekutif dari Bank. Key management personnel are those people who have the authority and responsibility to plan, lead, and control activities of the Bank, directly or indirectly, are the Board of Directors, the Board of Commissioners, Audit Committee, Sharia Supervisory Board and Executive Officers of the Bank. 49. INFORMASI SEGMEN 49. SEGMENT INFORMATION Segmen operasi BNI Syariah dibagi berdasarkan kelompok nasabah utama dan produk, sebagai berikut: Komersial, Konsumer dan Ritel, Mikro, Tresuri dan Kantor Pusat. Dalam menentukan hasil segmen, beberapa akun aset dan liabilitas dan pendapatan dan biaya yang terkait diatribusikan ke masing-masing segmen berdasarkan kebijakan pelaporan internal manajemen. Transaksi antar segmen usaha diperlakukan seperti transaksi pihak ketiga yang dicatat ke dalam masing-masing segmen dan dieliminasi di tingkat Bank. BNI Syariah’s operating segments represent the key customer and product groups, as follows: Commercial, Consumer and Retail, Micro, Treasury and Head Office. In determining the segment results, certain assets and liabilities items and related revenues and expenses are attributed to each segment based on internal management reporting policies. Transactions between business segments are recorded within the segment as if they are third party transactions and are eliminated at the Bank level. Ringkasan berikut menjelaskan operasi masingmasing segmen dalam pelaporan segmen Bank: The following summary describes the operations in each of the Bank's reportable segments: - Komersial: termasuk pembiayaan yang diberikan dan transaksi-transaksi perbankan lainnya atas nasabah yang memiliki usaha produktif dengan skala menengah/komersial. - Commercial: includes financing and other banking transactions with customer who have middle/commercial size of business. - Konsumer dan Ritel: termasuk pembiayaan konsumsi antara lain pembiayaan kepemilikan rumah, kartu pembiayaan, serta termasuk pembiayaan yang diberikan kepada individu dengan skala usaha kecil dan menengah dan produk simpanan dan layanan perbankan lainnya bagi kebutuhan masing-masing nasabah. - Consumer and Retail: includes consumer financing such as housing financing, cards, also financing given to individual small and medium business, deposits and other banking transaction with customers. - Mikro: termasuk pembiayaan konsumtif dan produktif kepada nasabah dengan skala mikro, termasuk pula produk simpanan dan layanan perbankan lainnya bagi kebutuhan masingmasing nasabah. - Micro: includes consumer and productive financing to micro-sized customers, including deposits and other banking services. - Tresuri dan Internasional: terkait dengan kegiatan tresuri Bank termasuk transaksi valuta asing, Pasar Uang Antar Bank Syariah (PUAS) dengan Sertifikat Investasi Mudharabah Antar Bank (SIMA) dan bertransaksi melalui Sertifikat Perdagangan Komoditi berdasarkan Prinsip Syariah Antar Bank (SIKA), serta aktif dalam melakukan transaksi sukuk baik melalui lelang yang dilakukan Pemerintah (sebagai salah satu bank syariah peserta lelang) maupun di pasar sekunder termasuk antara lain bisnis perbankan internasional. - Treasury and International: related to treasury activities include foreign exchange, Sharia Interbank Money Market (PUAS) with Interbank Mudharabah Investment Certificate (SIMA) and do the transaction through Interbank Sharia based Commodity Trading Certificate (SIKA), also sukuk transaction through auctions done by government (as an auction participant sharia bank) including secondary market such as international banking. 115 Hasanah Banking Partner 570 Annual Report 2017
571. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 49. INFORMASI SEGMEN (lanjutan) 49. SEGMENT INFORMATION (continued) - Kantor Pusat: merupakan penyediaan jasa secara sentralisasi kepada segmen lainnya. - Head Office: represent centralized services for other segments. Kinerja diukur berdasarkan laba segmen sebelum pajak penghasilan, sebagaimana dilaporkan dalam laporan internal manajemen yang direview oleh Manajemen Bank. Keuntungan segmen digunakan untuk mengukur kinerja dimana manajemen berkeyakinan bahwa informasi tersebut paling relevan dalam mengevaluasi hasil segmen tersebut relatif terhadap entitas lain yang beroperasi dalam industri tersebut. Performance is measured based on segment profit before income tax, as included in the internal management reports that are reviewed by the Bank's Management. Segment profit is used to measure performance of that business segment as management believes that such information is the most relevant in evaluating the results of those segments relative to other entities that operate within these industries. Informasi yang berkaitan dengan segmen usaha yang utama dari BNI Syariah disajikan dalam tabel di bawah ini: Information concerning the operating segments of BNI Syariah are set out in the table below: 31 Desember/December 31, 2017 Komersial/ Commercial Pendapatan marjin neto Pendapatan operasional lainnya Beban cadangan kerugian aset produktif Beban operasional Laba operasional Pendapatan/(beban) non-operasional neto Laba sebelum pajak penghasilan Total aset Total liabilitas dan Dana syirkah temporer Konsumer dan Ritel/ Consumer and Retail Mikro/ Micro Tresuri dan Internasional/ Treasury and International Kantor Pusat/ Head Office Total 342.754 1.262.524 257.394 358.569 - 2.221.241 Income from margin - net 11.013 96.081 2.770 7.107 - 116.971 (350.172) (6.513) (248.439) (512.602) (22.607) (129.711) Other operating income Allowance for impairment losses Operating expense 597.564 107.846 (2.918) (104) (3.022) (7.153) (2.353) (7.047) 356.276 (291) 1.842 (637.697) (635.855) 25 (6.643) (642.498) 590.411 107.555 356.301 4.289.819 17.932.789 1.442.045 10.908.336 2.430 17.300.410 1.334.490 10.535.417 (621.729) (1.293.570) 422.913 (14.166) Operating income Non-operating income/ (expense)-net 408.747 Income before tax 249.453 34.822.442 Total assets 1.842.397 31.015.144 Total liabilities and Temporary syirkah funds 31 Desember/December 31, 2016 Komersial/ Commercial Pendapatan marjin neto Pendapatan operasional lainnya Beban cadangan kerugian aset produktif Beban operasional Laba operasional Pendapatan/(beban) non-operasional neto Laba sebelum pajak penghasilan Total aset Total liabilitas dan Dana syirkah temporer 296.370 421 Konsumer dan Ritel/ Consumer and Retail Mikro/ Micro 1.072.097 83.708 Tresuri dan Internasional/ Treasury and International Kantor Pusat/ Head Office 272.021 - 6.420 7.822 256.055 3.347 Total 1.896.543 Income from margin - net 101.718 Other operating income Allowance for impairment losses Operating expense (250.069) (8.502) (62.855) (503.045) (7.868) (174.702) (3.163) (10.740) (282) (585.905) 38.220 589.905 76.832 264.538 (578.365) 391.130 (11.805) (17.933) (590.170) 373.197 Income before tax (8) (5.482) (605) (33) (324.237) (1.282.894) Operating income Non-operating income/ (expense)-net 38.212 584.423 76.227 264.505 3.124.252 16.151.153 1.211.689 7.637.490 189.591 28.314.175 Total assets 8.094 15.522.892 1.135.462 7.384.222 1.776.939 25.827.609 Total liabilities and Temporary syirkah funds 116 Hasanah Banking Partner 571 Annual Report 2017
572. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 50. ANALISIS JATUH TEMPO 50. MATURITY ANALYSIS The maturity of assets and liabilities as of December 31, 2017 and 2016 based on the remaining period to maturity are as follows: Jatuh tempo aset dan liabilitas pada tanggal 31 Desember 2017 dan 2016 berdasarkan waktu yang tersisa sampai dengan tanggal jatuh tempo adalah sebagai berikut: 31 Desember/December 31, 2017 Lebih dari 1 bulan sampai dengan 3 bulan/ more than 1 month up to 3 months Sampai dengan 1 bulan/ Up to 1 month Aset Kas Penempatan pada Bank Indonesia Giro pada bank lain Cadangan kerugian penurunan nilai Penempatan padabank lain Cadangan kerugian penurunan nilai Investasi pada surat berharga Cadangan kerugian penurunan nilai Efek-efek yang dibeli dengan janji untuk dijual kembali Piutang murabahah Cadangan kerugian penurunan nilai Pinjaman qardh Cadangan kerugian penurunan nilai Pembiayaan mudharabah Cadangan kerugian penurunan nilai Pembiayaan musyarakah Cadangan kerugian penurunan nilai Tagihan akseptasi Cadangan kerugian penurunan nilai Aset yang diperoleh untuk ijarah - neto Biaya dibayar dimuka Aset tetap -neto Aset pajak tangguhan-neto Aset lain-lain Lebih dari 3 bulan sampai dengan 1 tahun/ more than 3 months up to 1 year Lainnya yang tidak memiliki jatuh tempo/ Others that have no maturities Lebih dari 1 tahun/ More than 1 year Total 233.726 - - - - 233.726 4.320.960 117.837 675.000 - - 5.113.797 328.739 - - - - 328.739 51.000 - - - (3.287) (510) - - - - 680.000 157.216 107.001 4.231.216 - (3.287) 51.000 Allowance for possible losses Placements with other banks (510) Allowance for possible losses Investments in marketable securities 5.175.433 - - - - 130.664 29.524 33.771 321.424 16.172.459 174.848 469.425 544.078 314.498 (379.628) - (379.628) 1.502.849 Allowance for possible losses Funds of qardh 4.013 7.294 77.096 800.391 (41.891) - (41.891) 888.794 Allowance for possible losses Mudharabah financing 364.320 439.176 779.189 3.003.524 (18.680) - (18.680) 4.586.209 Allowance for possible losses Musyarakah financing 7.852 3.731 4.329 - (141.333) - (141.333) 15.912 Allowance for possible losses Acceptances receivable - - - - (159) 366 12.398 277.490 1.767 3.483 - 3.503 3.886 - 46.513 159.825 - Total Aset 6.615.900 1.233.700 2.515.506 24.728.426 Liabilitas Liabilitas segera Bagi hasil yang belum dibagikan Simpanan Simpanan dari banklain Kewajiban akseptasi Biaya yang masih harus dibayar Utang pajak 33.150 53.741 5.970.787 47.777 7.852 57.278 25.904 3.731 - 4.329 - - - 33.150 53.741 5.970.787 47.777 15.912 57.278 25.904 148.752 - - - - 1.526 257.885 1.526 148.752 257.885 Liabilities Obligations due immediately Undistributed revenue sharing Deposits Deposits from other banks Acceptances payable Accrued expenses Taxes payable Estimated losses on commitments and contingencies Other liabilities Employee benefits 6.345.241 3.731 4.329 - 259.411 6.612.712 Total Liabilities Estimasi kerugian komitmen dan kontinjensi Liabilitas lain-lain Imbalan kerja Total Liabilitas (5.313) Assets Cash Placements with Bank Indonesia Current accounts with other banks - 230.759 75.636 13.316 (271.090) 117 Hasanah Banking Partner 572 Annual Report 2017 (5.313) 130.664 16.557.178 Allowance for possible losses Securities purchased under agreement to resell Murabahah receivables (159) Allowance for possible losses 52.149 179.592 230.759 75.636 290.806 Assets acquired for ijarah-net Prepaid expenses Fixed assets-net Deferred tax assets-net Other assets 34.822.442 Total Assets
573. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 50. ANALISIS JATUH TEMPO (lanjutan) 50. MATURITY ANALYSIS (continued) The maturity of assets and liabilities as of December 31, 2017 and 2016 based on the remaining period to maturity are as follows: (continued) Jatuh tempo aset dan liabilitas pada tanggal 31 Desember 2017 dan 2016 berdasarkan waktu yang tersisa sampai dengan tanggal jatuh tempo adalah sebagai berikut: (lanjutan) 31 Desember/December 31, 2017 Lebih dari 1 bulan sampai dengan 3 bulan/ more than 1 month up to 3 months Sampai dengan 1 bulan/ Up to 1 month Dana Syirkah Temporer Sukuk mudharabah yang diterbitkan Giro mudharabah Tabungan mudharabah Deposito mudharabah Giro mudharabah dari bank lain Tabungan mudharabah dari bank lain Deposito mudharabah dari bank lain Total Dana SyirkahTemporer Perbedaan Jatuh Tempo Lebih dari 3 bulan sampai dengan 1 tahun/ more than 3 months up to 1 year Lainnya yang tidak memiliki jatuh tempo/ Others that have no maturities Lebih dari 1 tahun/ More than 1 year Total 21.739 - - - - 21.739 143.934 - - - - 143.934 165.502 127.250 35.503 - - 328.255 Temporary Syirkah Funds Mudharabah sukuk issued Mudharabah current account Mudharabah savings deposits Mudharabah time deposits Mudharabah current account from other bank Mudharabah saving deposits from other banks Mudharabah time deposits from other banks 18.801.166 1.477.558 4.123.622 86 - 24.402.432 Total Temporary Syirkah Funds 24.728.340 (530.501) 3.807.298 Maturity Gap 933.164 8.254.396 9.282.431 1.350.308 500.000 3.588.119 86 - (18.530.507) (247.589) (1.612.445) 500.000 933.164 8.254.396 14.220.944 31 Desember/31 December 2016 Lebih dari 1 bulan sampai dengan 3 bulan/ more than 1 month up to 3 months Sampai dengan 1 bulan/ Up to 1 month Aset Kas Penempatan pada Bank Indonesia Giro pada bank lain Cadangan kerugian penurunan nilai Penempatan pada bank lain Cadangan kerugian penurunan nilai Investasi pada surat berharga Cadangan kerugian penurunan nilai Efek-efek yang dibeli dengan janji untuk dijual kembali Piutang murabahah Cadangan kerugian penurunan nilai Pinjaman qardh Cadangan kerugian penurunan nilai Pembiayaan mudharabah Cadangan kerugian penurunan nilai Pembiayaan musyarakah Cadangan kerugian penurunan nilai Tagihan akseptasi Cadangan kerugian penurunan nilai Aset yang diperoleh untuk ijarah - neto Biaya dibayar dimuka Aset tetap -neto Aset pajak tangguhan-neto Aset lain-lain Total Aset 159.912 Lebih dari 3 bulan sampai dengan 1 tahun/ more than 3 months up to 1 year - Lainnya yang tidak memiliki jatuh tempo/ Others that have no maturities Lebih dari 1 tahun/ More than 1 year - - Total - 159.912 Assets Cash Placements with Bank Indonesia Current accounts with other banks 3.059.796 - - - - 3.059.796 174.820 - - - - 174.820 51.000 - - - (1.748) - (1.748) 51.000 Allowance for possible losses Placements with other banks - - - - (500) (500) 359.985 373.048 90.616 3.104.806 Allowance for possible losses Investments in marketable securities - - - - 339.490 64.277 22.416 321.340 14.822.334 64.976 133.607 374.533 356.891 (409.203) - (409.203) 930.007 Allowance for possible losses Funds of qardh 4.136 9.862 106.831 1.077.579 (23.355) - (23.355) 1.198.408 Allowance for possible losses Mudharabah financing 320.095 352.248 755.398 1.585.007 (16.801) - (16.801) 3.012.748 Allowance for possible losses Musyarakah financing - - 4.855 - (105.285) - (105.285) 4.855 Allowance for possible losses Acceptances receivable - - - - (49) (49) Allowance for possible losses 181 20.316 85.591 1.330 123.003 29.609 47.131 45.240 67.103 84.802 17.986 214.585 51.857 (3.086) 115.745 161.305 214.585 51.857 242.156 Assets acquired for ijarah-net Prepaid expenses Fixed assets-net Deferred tax assets-net Other assets 4.704.575 1.045.123 1.745.944 21.098.522 (279.989) 28.314.175 (4.390) - 118 Hasanah Banking Partner 573 Annual Report 2017 3.928.455 (4.390) 339.490 15.230.367 Allowance for possible losses Securities purchased under agreement to resell Murabahah receivables Total Assets
574. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 50. ANALISIS JATUH TEMPO (lanjutan) 50. MATURITY ANALYSIS (continued) The maturity of assets and liabilities as of December 31, 2017 and 2016 based on the remaining period to maturity are as follows: (continued) Jatuh tempo aset dan liabilitas pada tanggal 31 Desember 2017 dan 2016 berdasarkan waktu yang tersisa sampai dengan tanggal jatuh tempo adalah sebagai berikut: (lanjutan) 31 Desember/31 December 2016 Sampai dengan 1 bulan/ Up to 1 month Liabilitas Liabilitas segera Bagi hasil yang belum dibagikan Simpanan Simpanan dari bank lain Kewajiban akseptasi Biaya yang masih harus dibayar Utang pajak Estimasi kerugian komitmen dan kontinjensi Liabilitas lain-lain Imbalan kerja TotalLiabilitas Dana Syirkah Temporer Sukuk mudharabah yang diterbitkan Giro mudharabah Tabungan mudharabah Deposito mudharabah Giro mudharabah dari bank lain Tabungan mudharabah dari bank lain Deposito mudharabah dari bank lain Total Dana Syirkah Temporer Perbedaan Jatuh Tempo Lebih dari 1 bulan sampai dengan 3 bulan/ more than 1 month up to 3 months Lebih dari 3 bulan sampai dengan 1 tahun/ more than 3 months up to 1 year Lainnya yang tidak memiliki jatuh tempo/ Others that have no maturities Lebih dari 1 tahun/ More than 1 year Total 33.109 39.688 4.079.084 31.364 42.122 - 33.584 4.855 - - - 33.109 39.688 4.079.084 31.364 4.855 42.122 33.584 99.260 - - - - 2.225 862 318.605 2.225 100.122 318.605 Liabilities Obligations due immediately Undistributed revenue sharing Deposits Deposits from other banks Acceptances payable Accrued expenses Taxes payable Estimated losses on commitments and contingencies Other liabilities Employee benefits 4.324.627 33.584 4.855 - 321.692 4.684.758 Total Liabilities 585.297 6.877.442 6.213.734 3.439.689 943.227 500.000 2.094.536 - 500.000 585.297 6.877.442 12.691.186 15.470 - - - - 15.470 187.088 - - - - 187.088 90.185 162.441 28.992 4.750 - 286.368 Temporary Syirkah Funds Mudharabah sukuk issued Mudharabah current account Mudharabah savings deposits Mudharabah time deposits Mudharabah current account from other bank Mudharabah saving deposits from other banks Mudharabah time deposits from other banks 13.969.216 3.602.130 972.219 2.599.286 - 21.142.851 Total Temporary Syirkah Funds (13.589.268) (2.590.591) 768.870 18.499.236 2.486.566 Maturity Gap 51. MANAJEMEN RISIKO (601.681) 51. RISK MANAGEMENT Sistem pengelolaan manajemen risiko perbankan syariah memiliki keunikan tersendiri jika dibandingkan dengan perbankan konvensional. Salah satu keunikan perbankan syariah adalah memiliki dua resiko yang khas yang tidak dimiliki oleh perbankan konvensional yaitu risiko imbal hasil dan risiko investasi. Risk management system of sharia banking is unique when compared to conventional banking. However, generally they have a lot in common as institutions/agencies engaged in the financial sector. One of the uniqueness in Islamic banking is that it has two risk that are not owned by the conventional banks, namely the risk of returns and investment risk. Namun demikian, secara umum pengelolaan manajemen risiko pada perbankan syariah dengan perbankan konvensional masih memiliki banyak kesamaan sebagai lembaga/instansi yang bergerak di bidang keuangan. However, in general, risk management in Islamic banking with conventional banks still have a lot in common as institutions/agencies engaged in finance. 119 Hasanah Banking Partner 574 Annual Report 2017
575. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 51. MANAJEMEN RISIKO (lanjutan) 51. RISK MANAGEMENT (continued) Penerapan manajemen risiko BNI Syariah tetap mengacu dan menyelaraskan dengan regulasi nasional sebagaimana diatur dalam Peraturan Bank Indonesia (PBI), Surat Edaran Bank Indonesia (SEBI), Peraturan Otoritas Jasa Keuangan (POJK), Surat Edaran Otoritas Jasa Keuangan (SEOJK), dan regulasi lain di luar ketentuan Bank Indonesia (BI)/Otoritas Jasa Keuangan (OJK) yang berkaitan dengan manajemen risiko. Selain itu, penerapan manajemen risiko mengacu kepada regulasi internasional yang bersumber dari dokumendokumen yang diterbitkan oleh Basel Committee on Banking Supervision (BCBS) serta dokumendokumen regulasi lain yang dijadikan acuan. Implementation of risk management in BNI Syariah still refer to national and international regulations as stipulated in Bank Indonesia Regulation (PBI), Bank Indonesia Circular Letter (SEBI), Financial Service Authority Regulation (POJK), Financial Service Autority Circular Letter (SEOJK) and other regulations beyond regulation of Bank Indonesia (BI)/Financial Service Authority (OJK) related to risk management. In addition, the implementation of risk management refers to international regulations derived from the documents published by the Basel Committee on Banking Supervision (BCBS) and other regulatory documents referenced. Penerapan konsep Enterprise Risk Management (ERM) di tahun 2017 merupakan salah satu strategi manajemen risiko yang komprehensif dan terintegrasi. Konsep ERM disesuaikan dengan kebutuhan bisnis dan operasional Bank dengan tujuan memperoleh nilai tambah (value added) bagi Bank dan stakeholders terutama jika diarahkan untuk persiapan penerapan penilaian kinerja bank berbasis risiko (Risk Based Bank Performance). Implementation of the concept of Enterprise Risk Management (ERM) in 2017 is one of a comprehensive and integrated risk management strategy. ERM concepts customised to the business needs and Bank operation in order to obtain value added for the Bank and stakeholders, especially when it is purposed for the preparation of the implementation of Risk Based Bank Performance. Dalam penerapan ERM, pengelolaan risiko menjadi bagian yang terintegrasi dalam pengambilan keputusan bisnis Bank sehari-hari. Kerangka kerja pengelolaan risiko secara sistematis dan menyeluruh (risiko kredit, risiko pasar dan risiko operasional) dengan menghubungkan pengelolaan permodalan dan proses bisnis dengan risiko yang dihadapi secara utuh. Hal tersebut sejalan dengan penerapan ERM pada induk perusahaan (BNI). In the ERM implementation, risk management becomes an integral part in daily decision making processes for the Bank. Risk management framework systematically and thoroughly (credit risk, market risk and operational risk) by connecting capital management and business processes with entire risk. This is consistent with the implementation of the ERM on the holding company (BNI). Kerangka pengelolaan risiko BNI Syariah mengacu pada Peraturan Otoritas Jasa Keuangan (POJK) No. 65/POJK.03/2016 tanggal 23 Desember 2016 tentang Penerapan Manajemen Risiko bagi Bank Umum Syariah dan Unit usaha syariah dan telah dituangkan dalam Kebijakan Umum Manajemen Risiko (KUMR). BNI Syariah’s Risk management framework refers to Financial Service Authority Regulation (POJK) No. 65/POJK.03/2016 dated December 23, 2016 about Implementation of Risk Management for Sharia Banks and Sharia Business Units that have been outlined in the Risk Management General Policy (KUMR). Sesuai dengan POJK tersebut diatas, BNI Syariah telah menerapkan Manajemen Risiko terhadap 10 risiko meliputi risiko kredit, risiko pasar, risiko likuiditas, risiko operasional, risiko hukum, risiko reputasi, risiko stratejik, risiko kepatuhan, risiko imbal hasil dan risiko investasi. In accordance with POJK, BNI Syariah has implemented Risk Management for 10 risks include credit risk, market risk, liquidity risk, operational risk, legal risk, reputation risk, strategic risk, compliance risk, rate of return risk and equity investment risk. Kebijakan pengelolaan atas risiko tersebut telah selaras dengan laporan profil risiko yang disusun oleh Bank BNI selaku induk perusahaan. The risk management policy has been aligned with the risk profile report prepared by Bank BNI as the holding company. 120 Hasanah Banking Partner 575 Annual Report 2017
576. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 51. MANAJEMEN RISIKO (lanjutan) 51. RISK MANAGEMENT (continued) Sistem Pengawasan aktif dari Direksi dan Dewan Komisaris terhadap aktivitas manajemen risiko BNI Syariah diimplementasikan dengan pembentukan komite-komite meliputi: The Active Monitoring System from the Board of Directors and Board of Commissioners towards BNI Syariah’s risk management activities are implemented with the establishment of committees that are consist of: a. Komite-komite pada level Dewan Komisaris meliputi Komite Audit, Komite Remunerasi dan Nominasi serta Komite Pemantau Risiko. a. Committees at the level of the Board of Commissioners including the Audit Committee, Remuneration Committee and Nomination and Risk Oversight Committee. b. Komite-Komite pada level Direksi meliputi Komite Kebijakan dan Risiko (KKR), Komite Asset and Liabilities Manajemen (KALMA) yang melaksanakan fungsi pengendalian risiko bagi hasil, risiko nilai tukar, dan risiko likuiditas, Komite Sumber Daya Manusia (KSDM) dan Komite Modal Investasi dan Teknologi (KMIT). Komite Kebijakan dan Risiko (KKR) merupakan komite yang memiliki kewenangan dan fungsi antara lain: b. Committees at the level of the Board of Directors including Policy and Risk Committee (KKR), Asset and Liabilities Management Committee (KALMA) that is performing the risk control function for the profit sharing, exchange rate risk, and liquidity risk, the Human Resources Committee (KSDM) and Capital, Investment and Technology Committee (KMIT). Risk Policy Committee (KKR) is a committee that has the authority and functions include: Establishment of policies and risk management throughout the organisation unit. Establishment of policies and risk management to create a healthy and favorable financing portfolio quality. - Penetapan kebijakan dan pengelolaan manajemen risiko diseluruh unit organisasi. Penetapan kebijakan dan pengelolaan risiko pembiayaan untuk menciptakan kualitas portofolio pembiayaan yang sehat dan menguntungkan. Dalam kegiatan operasionalnya, Direktur Risiko dan Kepatuhan membawahi Divisi Manajemen Resiko dan Kebijakan Perusahaan (ERD) yang mengelola 4 (empat) jenis risiko yakni risiko kredit, risiko pasar, risiko operasional, dan risiko investasi. Sedangkan risiko lainnya dikelola oleh risk owner namun tetap dalam koordinasi dari Divisi ERD. In operational activities, Risk and Compliance director in charge of the ERD Division, manages four (4) types of risk such as credit risk, market risk, operational risk, and equity risk. While other risk are managed by the risk owner but still in the coordination of the ERD Division. Risiko Likuiditas dan risiko imbal hasil dikelola oleh Divisi Tresuri dan internasional (TID), Risiko Hukum dikelola oleh Divisi Hukum (LGD), Risiko reputasi dikelola oleh Divisi kesekretariatan dan Komunikasi Perusahaan (CCD), Risiko Stratejik di kelola oleh Divisi Perencanaan Strategis (SPD) dan Risiko Kepatuhan oleh Satuan Kerja Kepatuhan (CMD). Liquidity Risk and risk yield is managed by the Treasury Division and international (TID), Legal Risk is managed by the Legal Division (LGD), Reputation risk is managed by the Corporate Communications and Secretarial Division (CCD), the risk of Strategic managed by the Strategic and Planning (SPD), and Compliance risk by the Compliance Desk (CMD). Metode yang digunakan dalam pengelolaan manajemen risiko BNI Syariah yang dihubungkan dengan pengelolaan modal bank adalah sebagai berikut: The method used in risk management of BNI Syariah associated with the management of the bank's capital is as follows: a. a. Risiko Kredit Metode pengukuran menggunakan Pendekatan Standar (Standardized Approach) mengacu pada ketentuan regulator yang telah menetapkan besaran bobot pada setiap tagihan bersih. Perhitungan ATMR merupakan hasil perkalian antara tagihan bersih dengan bobot risiko atas eksposur. Credit Risk Measurement method uses Standardized Approach refers to the provision that the regulator has set the amount of weight on each charge net. RWA calculation is the multiplication of a clean bill with the risk weight on exposures. 121 Hasanah Banking Partner 576 Annual Report 2017
577. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 51. MANAJEMEN RISIKO (lanjutan) 51. RISK MANAGEMENT (continued) Metode yang digunakan dalam pengelolaan manajemen risiko BNI Syariah yang dihubungkan dengan pengelolaan modal bank adalah sebagai berikut: (lanjutan) The method used in risk management of BNI Syariah associated with the management of the bank's capital is as follows: (continued) b. Risiko Pasar Metode perhitungan ATMR pasar menggnakan metode standar (Standard Method). Metode ini digunakan untuk menghitung Aktiva Tertimbang Menurut Risiko (ATMR) risiko pasar dalam perhitungan rasio kecukupan modal sesuai ketentuan regulator. Dalam hal ini, Bank hanya menghitung risiko nilai tukar dan risiko benchmark meliputi risiko spesifik dan risiko umum. c. Risiko Operasional Metode yang digunakan untuk menghitung ATMR Operasional adalah metode pendekatan indikator dasar (Basic Indicator Approach). Perhitungan ATMR Operasional tersebut menggunakan perkalian antara bobot dengan beban modal risiko operasional, yang dicerminkan dengan rata-rata gross income 3 tahun terakhir. Kecukupan kebijakan dan prosedur diwujudkan dengan tersedianya beberapa kebijakan yang berbasis manajemen risiko antara lain: b. Market Risk Market RWA calculation method using the standard method (Standard Method). This method is used to calculate Risk Weighted Assets (RWA) market risk in the calculation of capital adequacy ratio in accordance with the regulator. In this case, the Bank only calculate the risk of exchange rate and benchmark risk including specific and general risk. c. Operational Risk The method used to calculate Operational RWA is basic indicator approach method (Basic Indicator Approach). Operational RWA calculation using a multiplication of the weighted score with the operational risk capital, as reflected by the average gross income on the last 3 recent years. a. b. c. a. b. c. d. e. The policies and procedures adequacies embodied by the availability of several policy-risk management based, include: Kebijakan Umum Manajemen Risiko (KUMR) Kebijakan Pembiayaan Bank (KPB) Kebijakan Aktiva Produktif Pasar Uang dan Pasar Modal Syariah Kebijakan Strategi Anti Fraud (SAF) Kebijakan Business Continuity Management (BCM). d. e. Risk Management General Policy (KUMR) Bank Financing Policy (KPB) Money Market Productive Assets and Capital Market Sharia Policy Anti-Fraud Strategy Policy (SAF) Policy BusinessContinuity Management (BCM) Selain tersedianya beberapa kebijakan, BNI Syariah memiliki petunjuk pelaksanaan dan petunjuk teknis yang berisi peraturan pelaksanaan serta prosedur operasional bank yang telah melalui proses validasi dan sertifikasi manajemen risiko. Beside of the availability of some policies, BNI Syariah Implementation Guidelines and Technical Guidelines which contains the implementing regulations and operational procedures of banks that have gone through the certification process validation and risk management. Penetapan kebijakan-kebijakan limit risiko dilakukan melalui Komite-Komite yang ada dan disesuaikan dengan ketersediaan permodalan yang dimiliki Bank. Establishment of risk limit policies conducted through the committees and adapted to the availability of capital held by the Bank. Penerapan budaya risiko merupakan langkah dalam penerapan manajemen risiko yang efektif dan efisien. Diharapkan manajemen dan pegawai memiliki nilai-nilai dan persepsi yang sama terhadap risiko, sekaligus menjadi perekat yang dapat mempersatukan seluruh sumber daya manusia untuk meraih tujuan yang telah ditetapkan Bank. The implementation of a risk awareness culture is the step for the effective and efficient risk management practice. Management and employees are expected to have the same values and same perceptions toward the risks, as well as a tool to unite the entire human resources to achieve the stated goals of the Bank 122 Hasanah Banking Partner 577 Annual Report 2017
578. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 51. MANAJEMEN RISIKO (lanjutan) 51. RISK MANAGEMENT (continued) Risiko Kredit Credit Risk Risiko kredit adalah risiko akibat kegagalan nasabah atau pihak lain dalam memenuhi kewajiban kepada Bank sesuai dengan perjanjian yang disepakati. Credit risk is the risk of the failure of customers or other parties to meet obligations to the Bank in accordance with the contracts agreed. Tujuan pengelolaan risiko kredit selain untuk memenuhi persyaratan-persyaratan yang telah ditetapkan oleh peraturan Bank Indonesia/Otoritas Jasa Keuangan, pengelolaan risiko kredit diharapkan meminimalisir kemungkinan kerugian dari tidak dibayarnya pembiayaan yang diberikan dan kontrak keuangan lainnya seminimal mungkin, baik pada tingkat individual maupun portofolio pembiayaan secara keseluruhan. The objectives of the Bank’s financing risk management, is not only to fulfil requirements that have been stated in Bank Indonesia/Financial Services Authority regulation but also to manage risk financing so that the possibility of losses from unpaid financing facilities and other financial contracts is at a minimum level, either individual or collective financing portfolio. Pengelolaan pembiayaan Bank diarahkan untuk melakukan ekspansi pembiayaan dan mengelola kualitas setiap pembiayaan sejak saat diberikan sampai dengan dilunasi untuk mencegah pembiayaan tersebut menjadi Non-Performing Financing (NPF). Pengelolaan pembiayaan yang efektif dapat meminimalkan kerugian dan mengoptimalkan penggunaan modal yang dialokasikan untuk risiko kredit. The Bank’s financing management is purposed for the expansion of financing and quality management of its financing since issuing date until date to maturity to prevent the financing become Non-Performing Financing (NPF). Effective financing management can minimize losses and optimize the use of capital allocated to credit risk. Pada tanggal 31 Desember 2017 dan 2016 rasio Non-Performing Financing (NPF) bruto dan bersih adalah sebagai berikut: As of December 31, 2017 and 2016, ratio of NonPerforming Financing (NPF) gross and net are as follows: 2017 NPF - Bruto NPF - Net 2016 2,89% 1,50% 2,94% 1,64% NPF - Gross NPF - Net Dalam laporan Batas Maksimum Pemberian Kredit (BMPK) kepada Bank Indonesia pada tanggaltanggal 31 Desember 2017 dan 2016, tidak terdapat piutang dan pembiayaan yang melanggar atau melampaui ketentuan BMPK. Based on Maximum Financing Limit (BMPK) report submitted to Bank Indonesia as of December 31, 2017 and 2016, there are no receivables and financing which violated or exceeded the Maximum Financing Limit Regulation. Bank telah memiliki kebijakan dan prosedur pembiayaan tertulis yang dituangkan dalam Buku Pedoman Perusahaan (BPP) dan Keputusan Komite Kebijakan dan Risiko (KKR). Kebijakankebijakan tersebut memberikan pedoman secara lengkap dan terperinci atas kegiatan manajemen pembiayaan dari saat pengajuan pembiayaan, proses analisis, persetujuan, pemantauan, pendokumentasian, pengendalian, dan penyelamatan/restrukturisasi. Selain itu, KKR juga mengatur kewenangan pada limit-limit memutus pembiayaan baru, restrukturisasi,hapus buku, dan sebagainya, serta kewenangan untuk memutus pencairan dan pengadaan barang dan jasa. Dalam rangka mendukung proses pemberian pembiayaan yang lebih hati-hati, Bank melakukan penelaahan dan penyempurnaan kebijakan pembiayaan secara periodik sesuai dengan perkembangan bisnis terkini. The Bank has written financing policies and procedures stated in the Company Standard Operating Procedures (BPP) and Policy and Risk Committee decision (KKR). These policies provide comprehensive and detailed guidance regarding financing management activities start from financing proposal, analysis process, approval, monitoring, documentation, control, and restructuring. Beside, Policy and Risk Committee (KKR) regulating authority on limits for issuing financing decision, restructuring, write-off, etc., as well as the authority to decide the disbursement and procurement of goods and services. In order to support the financing process more prudent, the Bank conducts the review and improvement of financing policies periodically in accordance with current business developments. 123 Hasanah Banking Partner 578 Annual Report 2017
579. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 51. MANAJEMEN RISIKO (lanjutan) 51. RISK MANAGEMENT (continued) Risiko Kredit (lanjutan) Credit Risk (continued) Pengendalian risiko kredit diterapkan pada tingkat pembiayaan perorangan dan tingkat portofolio. Pada tingkat transaksi diterapkan four-eyes principles, yaitu setiap keputusan pemberian pembiayaan melibatkan Unit Bisnis dan Unit Risiko yang independen untuk menjamin objektivitas. Mekanisme persetujuan pembiayaan dilakukan dengan 2 (dua) model yaitu melalui sirkulasi dan melalui rapat Komite Pemutus Pembiayaan. Keputusan pemberian pembiayaan dilakukan oleh pemutus pembiayaan yang terdiri dari pejabat yang berwenang dari Unit Bisnis dan Unit Risiko yang memiliki integritas, kemampuan, dan kompetensi yang sesuai. Dengan demikian, proses pemberian pembiayaan menjadi lebih komprehensif dan hatihati. Credit risk control is implemented at individual and portfolio level. Four-eyes principles is implemented at the transaction level; any financing approval decision involving the independent Business Unit and Risk Unit to ensure the objectivity. Financing approval mechanism is made with two (2) models, through circulation and Financing Approval Committee meeting. The financing approval decision is made by financing decision makers which are consist of authorized officers of the Business Unit and Risk Unit which have the appropriate integrity, ability, and competence. Therefore, the financing approval process is comprehensive and prudent. Pengendalian pada tingkat portfolio dilakukan melalui Early Warning System yang dimonitor setiap bulan. Early Warning System tersebut selain memonitor portofolio secara bank wide juga mampu memonitor proyeksi kualitas pembiayaan setiap nasabah. Proyeksi kualitas pembiayaan tersebut menjadi dasar bagi unit pengelola nasabah untuk mengambil tindakan dini untuk menjaga kualitas pembiayaan nasabah. Control at the portfolio level is done through the Early Warning System, monitored monthly. Besides Early Warning System monitors the portfolio in bank wide, it also capable in monitoring the financing quality projection of each customer. Financing quality projection as the basis for the customer management unit to take early action in maintaining the financing quality of the customers. Tools yang digunakan dalam melakukan Early Warning System antara lain yaitu Traffic Light Pembiayaan. Traffic Light memungkinkan pengelola nasabah pada setiap segmen pembiayaan melakukan penilaian sendiri terhadap kondisi nasabahnya dalam tiga bulan ke depan. Penilaian tersebut dituangkan ke dalam warna Hijau, Kuning, dan Merah. Pemantauan atas penilaian sendiri tersebut dilakukan oleh Divisi Manajemen Risiko (ERD) setiap bulannya. Divisi Manajemen Risiko (ERD) melihat adanya nasabah yang turun ke NPF dalam jangka waktu tiga bulan sejak penilaian. Traffic Light Pembiayaan secara khusus berfungsi sebagai alat monitoring bagi pengelola nasabah untuk tetap menjaga kualitas nasabahnya pada golongan lancar dan memungkinkan untuk menentukan action plan guna menjaga kualitas pembiayaan nasabah tersebut. Financing Traffic Light is one of the tools that used for Early Warning System. Traffic Light enables account officer in each financing segment to do self-assesment of condition of its customers within the next three months. The assessment is stated into Green, Yellow, and Red colors. Entreprise Risk Division (ERD) monitors of that selfassessment every month. ERD monitors customers downgrade to the NPF within three months within the assessment period. Traffic Light Financing specifically used as a monitoring tool for account officers to keep their customers’ quality in the pass collectibility and it is possible to determine the action plan in order to maintain the customer financing quality. Pembiayaan yang bermasalah dikelola oleh Unit Pembiayaan Khusus agar penyelamatan/ penyelesaian dapat dilakukan secara lebih baik dan memampukan unit bisnis untuk dapat fokus pada pengelolaan nasabah lancar dan melakukan ekspansi pembiayaan. Non-performing financing issues are managed by the Special Financing Unit in order to rescue/settlement can be performed in a better way and allow the business units to focus on managing the current customers and financing expansion. 124 Hasanah Banking Partner 579 Annual Report 2017
580. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 51. MANAJEMEN RISIKO (lanjutan) 51. RISK MANAGEMENT (continued) Risiko Kredit (lanjutan) Credit Risk (continued) Pengembangan manajemen risiko pembiayaan dilakukan secara bertahap sesuai dengan pola waktu yang ditetapkan Bank Indonesia/Otoritas Jasa Keuangan. Khusus untuk pengukuran risiko pembiayaan pada saat ini dilakukan dengan metodologi standardized approach. Sistem pengelolaan manajemen risiko pembiayaan Bank telah dibakukan dalam suatu Petunjuk Pelaksanaan. The development of financing risk management is carried out gradually in accordance with the time set by Bank Indonesia/Financial Services Authority. The measurement of risk financing specifically performed based on standardized approach methodology. The financing risk management system of Bank has been formalized in the Standards Operating Procedures (BPP). Pada tanggal 31 Desember 2017 dan 2016, eksposur risiko pembiayaan atas piutang murabahah dengan metode anuitas terbagi atas (tidak diaudit): As of December 31, 2017 and 2016, financing risk exposure relating to murabahah receivables using annuity method are divided as follows (unaudited): 31 Desember/December 31, 2017 Belum jatuh tempo atau tidak mengalami penurunan nilai/ Neither past due nor impared Grup 1/ Group 1 Piutang murabahah anuitas Ritel Non-ritel Grup 2/ Group 2 Grup 3/ Group 3 Grup 4/ Group 4 Grup 5/ Group 5 Jatuh tempo dan tidak mengalami penurunan nilai/ Past-due but not Impared Mengalami penurunan nilai/ Impared *) Total eksposur maksimum/ Total maximum exposure 1.273.833 - 10.972.497 648.859 1.061.093 39.305 39.370 14.108 1.095.725 35.871 692.663 147.484 436.273 100.097 15.571.454 985.724 1.273.833 11.621.356 1.100.398 53.478 1.131.596 840.147 536.370 16.557.178 Cadangan kerugian penurunan nilai (379.628) Murabahah receivablesannuity Retail Non-retail Allowance for Possible losses 16.177.550 31 Desember/December 31, 2016 Belum jatuh tempo atau tidak mengalami penurunan nilai/ Neither past due nor impared Grup 1/ Group 1 Piutang murabahah anuitas Ritel Non-ritel Grup 2/ Group 2 Grup 3/ Group 3 Grup 4/ Group 4 Grup 5/ Group 5 Jatuh tempo dan tidak mengalami penurunan nilai/ Past-due but not Impared Mengalami penurunan nilai/ Impared *) Jumlah eksposur maksimum/ Total maximum exposure 2.667.647 165.162 8.555.035 484.903 997.898 73.445 33.659 17.934 658.476 231.853 644.953 184.942 346.554 167.906 13.904.222 1.326.145 2.832.809 9.039.938 1.071.343 51.593 890.329 829.895 514.460 15.230.367 Cadangan kerugian penurunan nilai (409.203) Murabahah receivablesannuity Retail Non-retail Allowance for Possible losses 14.821.164 *) debitur dalam kategori kurang lancar, diragukan dan macet customer with substandard, doubtful and loss category *) Grup 1 : Debitur baru (kurang dari 6 bulan). Grup 2 : Nasabah lama yang tidak memiliki historis pernah menunggak dalam 3 tahun terakhir. Grup 3 : Nasabah lama yang memiliki historis pernah menunggak (1 sampai dengan 90 hari dalam 3 tahun terakhir). Grup 4 : Nasabah lama yang memiliki historis pernah menunggak di atas 90 hari dalam 3 tahun terakhir. Grup 5 : Nasabah lama yang memiliki historis pernah/telah direstrukturisasi. Group 1 : New customers (less than 6 months). Group 2 : Existing customers with no history of overdue for the past 3 years. Analisa umur piutang murabahah dengan metode anuitas yang “telah jatuh tempo tetapi tidak mengalami penurunan nilai” pada tanggal 31 Desember 2017 dan 2016 adalah: Aging analysis of murabahah receivables using annuity method that are “past due but not impaired” as of December 31, 2017 and 2016 is set out as follows: Group 3 : Existing customers with history of overdue (one to 90 days in the past 3 years). Group 4 : Existing customers with history of overdue more than 90 days in the past 3 years. Group 5 : Existing customers with loans that was/has been restructured. 125 Hasanah Banking Partner 580 Annual Report 2017
581. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 51. MANAJEMEN RISIKO (lanjutan) 51. RISK MANAGEMENT (continued) Risiko Kredit (lanjutan) Credit Risk (continued) 31 Desember/December 31, 2017 Ritel/ Retail 1 - 30 hari 31 - 60 hari 61 - 90 hari Non-ritel/ Non-retail Total 369.279 149.311 174.073 147.484 - 516.763 149.311 174.073 692.663 147.484 840.147 1 - 30 days 31 - 60 days 61 - 90 days 31 Desember/December 31, 2016 Ritel/ Retail 1 - 30 hari 31 - 60 hari 61 - 90 hari Non-ritel/ Non-retail Total 363.278 150.970 130.705 184.942 - 548.220 150.970 130.705 644.953 184.942 829.895 1 - 30 days 31 - 60 days 61 - 90 days Untuk aset keuangan yang diakui di laporan posisi keuangan, eksposur maksimum terhadap risiko kredit sama dengan nilai tercatat. Untuk bank garansi, SBLC dan irrevocable L/C, eksposur maksimum terhadap risiko kredit adalah nilai maksimum yang harus dibayarkan oleh Bank jika liabilitas atas bank garansi, SBLC dan irrevocable L/C tersebut terjadi. For financial assets recognized on the statements of financial position, the maximum exposure to credit risk equals with their carrying amount. For bank guarantees, SBLC and irrevocable L/C, the maximum exposure to credit risk is the maximum amount that the Bank would have to pay if the obligations of the bank guarantees, SBLC and irrevocable L/C issued are called upon. Analisa eksposur maksimum terhadap risiko kredit setelah memperhitungkan dampak agunan dan mitigasi risiko kredit lainnya adalah sebagai berikut: Analysis of maximum exposure to credit risk after taking into account the impact of collaterals and other credit risk mitigations are as follows: a) a) b) Nilai tercatat dari aset keuangan Bank selain piutang dan pembiayaan menggambarkan eksposur maksimum atas risiko kredit. Untuk piutang dan pembiayaan, Bank menggunakan agunan untuk meminimalkan risiko kredit. b) The carrying amount of Bank’s financial assets other than receivables and financing represent the maximum exposure of credit risk. For financing and receivables, Bank uses collaterals to minimize the credit risk. Risiko Pasar Market Risk Risiko Pasar adalah risiko pada posisi neraca dan rekening administratif akibat perubahan harga pasar, antara lain risiko berupa perubahan nilai dari aset yang dapat diperdagangkan atau disewakan. Market risk is the risk on the balance sheet and offbalance sheet positions due to changes in market price, among other risks such as changes in the value of assets that can be traded or leased. Bank memfokuskan pengelolaan risiko pasar pada risiko pergerakan nilai tukar. The Bank focuses in market risk management on the movement of the exchange rate risk. Bank terus mengembangkan kerangka kerja, metodologi dan kebijakan pengelolaan risiko pasar secara kesinambungan agar pengelolaan risiko dan kepentingan bisnis dapat berjalan selaras. The Bank continues to develop frameworks, methodology and market risk management policy continuously in order that management risk and business needs are consistent. 126 Hasanah Banking Partner 581 Annual Report 2017
582. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 51. MANAJEMEN RISIKO (lanjutan) 51. RISK MANAGEMENT (continued) Risiko Pasar (lanjutan) Market Risk (continued) Saat ini Bank sedang mengembangkan sasaran dan target manajemen risiko pasar sebagai berikut: Currently, the Bank is developing strategy of market risk management as follows: 1. Mengembangkan sistem manajeman risiko pasar yang terintegrasi dengan manajemen treasuri untuk pengelolaan risiko nilai tukar, risiko imbal hasil dan risiko pergerakan harga. 1. Developing market risk management system that is integrated with treasury management to manage exchange rate risk, rate of return risk and price risk movement. 2. Untuk keperluan internal, dalam rangka monitoring risiko pasar secara harian, Bank menggunakan metode Value at Risk dalam mengukur risiko pasar, sedangkan untuk menilai akurasi metodologi yang digunakan, dilakukan back testing. 2. Forinternal purposes, in order to monitor market risk on a daily basis, the Bank uses value at risk method in measuring market risk, while uses back testing to assess the accuracy of the method used. 3. Melakukan stress testing risiko pasar jika terdapat gejala kondisi abnormal di global market. 3. Perform stress testing of market risk when there is abnormal condition in the global market. 4. Menetapkan limit risiko pasar melalui hasil Komite Kebijakan dan Risiko (KKR), yaitu antara lain limit Value at Risk (VaR), limit Capital at Risk (CaR) dan limit eksposur tresuri. 4. Determine market risk limit through the result from Policy and Risk Committee, that is Value at Risk, Capital at Risk and treasury exposure limit. 5. Bank telah melakukan perhitungan beban risiko pasar menggunakan metode standar (Standardized Approach) sebagai komponen penghitungan Kewajiban Penyediaan Modal Minimum (KPMM) yang disyaratkan oleh regulator. 5. The Bank has calculated the load of market risk using the standard model as a component of the calculation of Capital Adequacy Ratio (CAR) as required by the regulator. 6. Mengembangkan dan menyempurnakan sistem pelaporan risiko pasar. 6. Develop and enhance the market risk reporting system. Risiko Nilai Tukar Foreign Exchange Risk Sesuai Peraturan Bank Indonesia No. 6/20/PBI/2004 tanggal 15 Juli 2004 sebagaimana telah diubah terakhir dengan Peraturan Bank Indonesia No. 17/5/PBI/2015 tanggal 29 Mei 2015, Bank wajib mengelola dan memelihara Posisi Devisa Neto (PDN) setinggitingginya 20% dari modal Tier I dan Tier II. PDN secara keseluruhan adalah angka yang merupakan penjumlahan dari nilai absolut untuk jumlah dari selisih bersih aset dan kewajiban dalam laporan posisi keuangan untuk setiap valuta asing ditambah dengan selisih bersih tagihan dan kewajiban baik yang merupakan komitmen maupun kontinjensi dalam rekening administratif untuk setiap valuta asing. According to Bank Indonesia Regulation No. 6/20/PBI/2004 dated July 15, 2004, last amended by Bank Indonesia Regulation No. 17/5/PBI/2015 dated May 29, 2015, the Bank is required to manage and maintain the Net Open Position (NOP) at the maximum of 20% of Tier I and Tier II capital. The Aggregate NOP is a number that represents the sum of the absolute values for the amount of net difference of assets and liabilities on the statements of financial position for each foreign currency plus the net difference between receivables and liabilities of both commitments and contingencies, in administrative account for each foreign currency. 127 Hasanah Banking Partner 582 Annual Report 2017
583. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 51. MANAJEMEN RISIKO (lanjutan) 51. RISK MANAGEMENT (continued) Risiko Pasar (lanjutan) Market Risk (continued) Pada tanggal 31 Desember 2017 dan 31 Desember 2016 Bank telah memenuhi ketentuan Bank Indonesia tentang Posisi Devisa Neto. As of December 31, 2017 and December 31, 2016 the Bank has complied with Bank Indonesia Regulation on Net Open Position. Risiko Nilai Tukar (lanjutan) Foreign Exchange Risk (continued) PDN Bank pada tanggal 31 Desember 2017 dan 2016 adalah sebagai berikut: The Bank's NOP as of December 31, 2017 and 2016 are as follows: 31 Desember/December 31, 2017 Mata uang Aset/ Assets Liabilitas/ Liabilities Posisi devisa neto/ Net open position KESELURUHAN (LAPORAN POSISI KEUANGAN DAN REKENING ADMINISTRATIF) Dolar Amerika Serikat Poundsterling Inggris Euro Eropa Riyal Arab Saudi Dolar Australia Dolar Singapura Yen Jepang Dolar Kanada Dolar Hongkong Franc Swiss Currencies AGGREGATE (ON-STATEMENTS OF FINANCIAL POSITION AND ADMINISTRATIVE ACCOUNTS) 1.041.179 2.574 2.660 3.678 997 1.263 1.610 292 161 530 1.114.532 101 - Total Total modal 31 Desember 2017 Rasio PDN (Keseluruhan) 73.353 2.473 2.660 3.678 997 1.263 1.610 292 161 530 United States Dollar British Poundsterling European Euro Saudi Arabian Riyal Australian Dollar Singapore Dollar Japanese Yen Canadian Dollar Hongkong Dollar Swiss Franc 87.017 Total 3.814.099 Total Capital as of December, 31 2017 2.28% NOP Ratio (Aggregate) 31 Desember/December 31, 2016 Mata uang Aset/ Assets Liabilitas/ Liabilities Posisi devisa neto/ Net open position KESELURUHAN (LAPORAN POSISI KEUANGAN DAN REKENING ADMINISTRATIF) Dolar Amerika Serikat Poundsterling Inggris Euro Eropa Riyal Arab Saudi Dolar Australia Dolar Singapura Yen Jepang Dolar Kanada Dolar Hongkong Franc Swiss Currencies AGGREGATE (ON-STATEMENTS OF FINANCIAL POSITION AND ADMINISTRATIVE ACCOUNTS) 933.847 1.434 905 785 415 340 284 198 143 57 938.719 - Total Total modal 31 Desember 2016 Rasio PDN (Keseluruhan) 4.872 1.434 905 785 415 340 284 198 143 57 United States Dollar British Poundsterling European Euro Saudi Arabian Riyal Australian Dollar Singapore Dollar Japanese Yen Canadian Dollar Hongkong Dollar Swiss Franc 9.433 Total 2.486.598 Total Capital as of 31 December 2016 0,38% NOP Ratio (Aggregate) 128 Hasanah Banking Partner 583 Annual Report 2017
584. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 51. MANAJEMEN RISIKO (lanjutan) 51. RISK MANAGEMENT (continued) Risiko Operasional Operational Risk Risiko operasional adalah risiko kerugian yang diakibatkan oleh proses internal yang kurang memadai, kegagalan proses internal, kesalahan manusia, kegagalan sistem, dan/atau adanya kejadian eksternal yang mempengaruhi operasional Bank. Operational risk is the risk of loss resulting from inadequate internal processes, failure of internal processes, human error, system failure, and / or the presence of external events affecting the operations of the Bank. Sesuai dengan Surat Edaran Otoritas Jasa Keuangan (SEOJK) No. 13/SEOJK.03/2015 tanggal 27 April 2015 tentang Perhitungan Aset Tertimbang Menurut Risiko untuk risiko operasional dengan menggunakan pendekatan indikator dasar bagi bank umum syariah. Bank telah menerapkan perhitungan ATMR risiko operasional menggunakan metode tersebut dan telah dimasukkan menjadi salah satu komponen penilaian Kecukupan Penyediaan Modal minimum (KPMM) setiap bulan. According to Circular Letter of Financial Services Authority (SEOJK) No. 13/SEOJK.03/2015 dated April 27, 2015 about Calculation of Risk Weighted Assets for operational risk using the basis indicator approach for islamic banks. Bank has implemented operational risk RWA calculations using these methods and has been incorporated into one of the components votes Capital Adequacy Minimum Requirement (CAR) every month. Proses pengelolaan risiko operasional BNI Syariah dilakukan oleh setiap unit kerja Bank (risk owner). Untuk membantu proses tersebut, BNI Syariah mengembangkan perangkat manajemen risiko operasional, yaitu PERISKOP (Perangkat Risiko Operasional). Sistem ini mengintegrasikan unit-unit kerja di kantor pusat dan kantor-kantor cabang dengan unit manajemen risiko sehingga proses identifikasi, penilaian, pengukuran, pemantauan serta pengendalian risiko operasional menjadi lebih akurat dan cepat. Process of operational risk management in BNI Syariah was performed by each unit of the Bank (risk owner). In assisting this process, BNI Syariah develops operational risk management tools, namely PERISKOP (Operational RiskTool). This system integrate units at head office and branch offices with risk management unit, thus the process of identification, assessment, measurement, monitoring and control of operation alrisk is more accurate and faster. PERISKOP terdiri dari modul Self Assesment (SA) dan Loss Event Database (LED). PERISKOP modul SA digunakan sebagai proses identifikasi risiko yang dilakukan sendiri oleh masing-masing unit kerja dengan cara melakukan penilaian dampak dan frekuensi risiko serta mencari penyebab dan solusinya. PERISKOP modul LED digunakan sebagai pencatatan kerugian yang bersifat finansial baik yang telah terjadi maupun hampir terjadi (near miss). PERISKOP comprises of Self Assessment (SA) module and Loss Event Database (LED).SA module in PERISKOP used as risk identification process performed by units respectively by assess the impact and frequency of risk and find the cause and solution. PERISKOP LED module used as recording of financial loss that happened or nearly happened. Untuk mengantisipasi terhadap kejadian-kejadian yang dapat mengganggu operasional Bank, sebagai akibat faktor internal seperti gangguan pada sistem teknologi informasi dan faktor eksternal seperti bencana alam, kerusuhan, dan kebakaran, BNI Syariah mengembangkan Business Continuity Management dan Disaster Recovery Plan. To anticipate events that can disrupt the operations of the Bank, as a result of internal factors such as disturbances in information technology systems and external factors such as natural disasters, riots and fires, BNI Syariah has developed the Business Continuity Management and Disaster Recovery Plan. Kesiapan dalam penerapan manajemen risiko operasional, di seluruh jenjang organisasi Bank akan mendorong pertumbuhan bisnis dan meningkatkan kinerja Bank sehingga menghasilkan nilai tambah bagi para stakeholder. Readiness in the implementation of operational risk management, at all levels of the organization in the Bank will encourage business growth and improve the performance of the Bank, thus generating added value for stakeholders. 129 Hasanah Banking Partner 584 Annual Report 2017
585. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 51. MANAJEMEN RISIKO (lanjutan) 51. RISK MANAGEMENT (continued) Risiko Likuiditas Liquidity Risk Risiko likuiditas adalah risiko akibat ketidak mampuan Bank untuk memenuhi kewajiban yang jatuh tempo dari sumber pendanaan arus kas dan/ atau aset likuid berkualitas tinggi yang dapat diagunkan, tanpa mengganggu aktivitas dan kondisi keuangan Bank. Hal ini disebabkan adanya mismatch jangka waktu antara sumber dana dan penyaluran dana Bank. Liquidity risk is the risk due to inability of Bank to meet the maturity of obligations from cash flow funding sources and/or high quality liquid assets that can be pledged, without disturbing the activities and financial condition of the Bank. This is caused by a mismatch between the period of funding source and disbursement of Bank funds. Dalam melaksanakan proses manajemen risiko likuiditas, BNI Syariah melakukan identifikasi, pengukuran, pemantauan, dan pengendalian terhadap faktor-faktor risiko likuiditas, antara lain, rasio likuiditas, proyeksi arus kas, profil maturitas dan stress testing. Selain tersebut diatas, BNI Syariah juga melakukan pemantauan melalui Liquidity Coverage Ratio (LCR) dan Net Stable Funding Ratio (NSFR). In performing the liquidity risk management process, BNI Syariah has performed identification, measurement, monitoring, and control of liquidity risk factors, among others, liquidity ratio, cashflow projections, maturity profile and stress testing. In addition, BNI Syariah also monitoring with Liquidity Coverage Ratio (LCR) dan Net Stable Funding Ratio (NSFR). Pengendalian risiko likuiditas dilakukan dalam rangka mencegah terjadinya kerugian yang lebih besar akibat risiko likuiditas, yang dilakukan dengan mengambil langkah alternatif strategi pada setiap traffic light SR (Contigency Funding Plan). Liquidity risk management is done in order to prevent greater losses due to liquidity risk, which is done by taking steps in the strategy of each traffic light Contigency Funding Plan (SR). Pengendalian risiko likuiditas dilakukan melalui strategi pendanaan dan pengelolaan posisi likuiditas di bawah fungsi pengawasan dari Komite Aset dan Liabilitas Manajemen (KALMA). Liquidity risk management is done through funding strategy and liquidity position under the management oversight function of Committee Asset Liability Management (KALMA). 52. MANAJEMEN MODAL 52. CAPITAL MANAGEMENT As of December 31, 2017 and 2016, the Minimum Required Capital Adequacy Ratio (CAR) of the Bank is calculated based on Financial Services Authority Circular Letter No. 18/SEOJK.03/2015 dated June 8, 2015. Such CAR is as follows: Pada tanggal 31 Desember 2017 dan 2016 rasio Kewajiban Penyediaan Modal Minimum (KPMM) Bank dihitung berdasarkan Surat Edaran Otoritas Jasa Keuangan No. 18/SEOJK.03/2015 tanggal 8 Juni 2015. Rasio KPMM tersebut adalah sebagai berikut: 31 Desember/December 31, 2017 Modal inti Modal pelengkap (maksimum 100% dari modal inti) Total modal Aset Tertimbang Menurut Risiko (ATMR) Risiko Kredit dan Risiko Pasar Risiko Operasional Total Aset Tertimbang Rasio KPMM Bank 2016 3.729.820 2.428.140 Core capital 84.279 58.458 Supplementary capital (maximum at 100% over core capital) 3.814.099 2.486.598 Total capital 15.746.368 3.193.517 13.964.260 2.701.744 Risk Weighted Assets (RWA) for Credit Risk and Market Risk Operational Risk 18.939.885 16.666.004 20,14% 14,92% Bank’s Capital Adequacy Ratio (CAR) 9,36% 9,39% Minimum CAR Rasio KPMM yang diwajibkan Risk Weighted Assets 130 Hasanah Banking Partner 585 Annual Report 2017
586. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 53. OPINI DEWAN PENGAWAS SYARIAH 53. OPINION BOARD 54. STANDAR AKUNTANSI BARU SUPERVISORY The standards and interpretations that are issued by the Indonesian Financial Accounting Standards Board (DSAK), but not yet effective for current financial statements are disclosed below. The Company intends to adopt these standards, if applicable, when they become effective. • PSAK 71: Instrumen Keuangan, yang diadopsi dari IFRS 9, berlaku efektif 1 Januari 2020 dengan penerapan dini diperkenankan. SFAS 71: Financial Instruments, adopted from IFRS 9, effective January 1, 2020 with earlier application is permitted. This SFAS provides for classification and measurement of financial instruments based on the characteristics of contractual cash flows and business model of the entity; expected credit loss impairment model that resulting information more timely, relevant and understandable to users of financial statements; accounting for hedging that reflect the entity's risk management better by introduce a more general requirements based on management's judgment. PSAK ini mengatur klasifikasi dan pengukuran instrumen keuangan berdasarkan karakteristik dari arus kas kontraktual dan model bisnis entitas; metode kerugian kredit ekspektasian untuk penurunan nilai yang menghasilkan informasi yang lebih tepat waktu, relevan dan dimengerti oleh pemakai laporan keuangan; akuntansi untuk lindung nilai yang merefleksikan manajemen risiko entitas lebih baik dengan memperkenalkan persyaratan yang lebih umum berdasarkan pertimbangan manajemen. • Amandemen PSAK 2: Laporan Arus Kas tentang Prakarsa Pengungkapan, berlaku efektif 1 Januari 2018 dengan penerapan dini diperkenankan. Amendments to SFAS 2: Statement of Cash Flows on the Disclosures Initiative, effective January 1, 2018 with earlier application is permitted. This amendments requires entities to provide disclosures that enable the financial statements users to evaluate the changes in liabilities arising from financing activities, including changes from cash flow and non-cash. Amandemen ini mensyaratkan entitas untuk menyediakan pengungkapan yang memungkinkan pengguna laporan keuangan untuk mengevaluasi perubahan pada liabilitas yang timbul dari aktivitas pendanaan, termasuk perubahan yang timbul dari arus kas maupun perubahan non-kas. 131 Hasanah Banking Partner SHARIA 54. NEW ACCOUNTING STANDARDS Standar akuntansi dan interpretasi yang telah disahkan oleh Dewan Standar Akuntansi Keuangan (DSAK), tetapi belum berlaku efektif untuk laporan keuangan tahun berjalan diungkapkan di bawah ini. Perusahaan bermaksud untuk menerapkan standar tersebut, jika dipandang relevan, saat telah menjadi efektif. • THE Based on Letter No. BNISy/DPS/OPINI/I/2018/ 001 dated January 02, 2018 and No. BNISy/DPS/OPINI/I/2017/001 dated January 17, 2017 for the years ended December 31, 2017 and 2016, respectively, the Sharia Supervisory Board (DPS) of BNI Syariah stated that in general the sharia aspects in the operation of PT Bank BNI Syariah have complied with sharia principles and values. Berdasarkan surat No.BNISy/DPS/OPINI/I/2018/ 001 tanggal 02 Januari 2018 dan No. BNISy/DPS/OPINI/I/2017/001 tanggal 17 Januari 2017 masing-masing untuk tahun-tahun yang berakhir pada tanggal 31 Desember 2017 dan 2016, Dewan Pengawas Syariah (DPS) BNI Syariah menyatakan bahwa secara umum aspek syariah dalam operasional PT Bank BNI Syariah sudah sesuai dengan prinsip dan nilai-nilai syariah. • OF 586 Annual Report 2017
587. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 54. STANDAR AKUNTANSI BARU (lanjutan) • 54. NEW ACCOUNTING STANDARDS (continued) • Amandemen PSAK 46: Pajak Penghasilan tentang Pengakuan Aset Pajak Tangguhan untuk Rugi yang Belum Direalisasi, berlaku efektif 1 Januari 2018 dengan penerapan dini diperkenankan. This amendments clarifies that to determine whether the taxable income will be available so that the deductible temporary differences can be utilized; estimates of the most likely future taxable income can include recovery of certain assets of the entity exceeds its carrying amount. Amandemen ini mengklarifikasi bahwa untuk menentukan apakah laba kena pajak akan tersedia sehingga perbedaan temporer yang dapat dikurangkan dapat dimanfaatkan; estimasi atas kemungkinan besar laba kena pajak masa depan dapat mencakup pemulihan beberapa aset entitas melebihi jumlah tercatatnya. • • PSAK 15 (Penyesuaian 2017): Investasi pada Entias Asosiasi dan Ventura Bersama, berlaku efektif 1 Januari 2018 dengan penerapan dini diperkenankan. • ISAK 33 – Transaksi Valuta Asing dan Imbalan di Muka, berlaku efektif 1 Januari 2019 dengan penerapan dini diperkenankan. IFAS 33 – Foreign currency Transaction and Advance Consideration, effective January 1, 2019 with earlier application is permitted. This amendments clarify the use of the transaction date to determine the exchange rate used in the initial recognition of the related asset, expense or income at the time the entity has received or paid advance consideration in the foreign currency. Amandemen ini mengklarifikasi penggunaan tanggal transaksi untuk menentukan kurs yang digunakan pada pengakuan awal aset, beban atau penghasilan terkait pada saat entitas telah menerima atau membayar imbalan di muka dalam valuta asing. • SFAS 15 (2017 Improvement): Investments in Associates and Joint Ventures, effective January 1, 2018 with earlier application is permitted. This improvement Clarifies that at initial recognition an entity may elect to measure its investee at fair value on the basis of an investment-by-investment. Penyesuaian ini mengklarifikasi bahwa pada saat pengakuan awal entitas dapat memilih untuk mengukur investasinya pada nilai wajar atas dasar investasi-per-investasi. • Amendments to SFAS 46: Income Taxes on the Recognition of Deferred Tax Assets for Unrealized Losses, effective January 1, 2018 with earlier application is permitted. • PSAK 73: Sewa berlaku efektif 1 Jan 2020 dengan penerapan dini diperkenankan untuk entitas yang juga telah menerapkan PSAK 72: Pendapatan dari Kontrak dengan Pelanggan. SFAS 73 : Leases, effective January 1, 2020 with early application is permitted to the entity which has also applied PSAK 72: Revenue from the Contrack with Customer SFAS 73: Leases are the adoption of IFRS 16 Leases. SFAS 73: Leases establish the principles of recognition, measurement, presentation, and disclosure of leases. The goal is to ensure that tenants and tenants provide relevant information that accurately represents the transaction. This information provides the basis for users of financial statements to assess the impact of lease transactions on the financial position, financial performance, and cash flow of the entity. PSAK 73: Sewa merupakan adopsi dari IFRS 16 Leases. PSAK 73: Sewa menetapkan prinsip pengakuan, pengukuran, penyajian, dan pengungkapan sewa. Tujuannya adalah untuk memastikan bahwa penyewa dan pesewa menyediakan informasi yang relevan yang merepresentasikan dengan tepat transaksi tersebut. Informasi ini memberikan dasar bagi pengguna laporan keuangan untuk menilai dampak transaksi sewa pada posisi keuangan, kinerja keuangan, dan arus kas entitas. 132 Hasanah Banking Partner 587 Annual Report 2017
588. The original financial statements included here in are in Indonesian language . PT BANK BNI SYARIAH CATATAN ATAS LAPORAN KEUANGAN Tanggal 31 Desember 2017 dan untuk Tahun yang Berakhir pada Tanggal Tersebut (Disajikan dalam jutaan Rupiah, kecuali dinyatakan lain) PT BANK BNI SYARIAH NOTES TO THE FINANCIAL STATEMENTS As of December 31, 2017 and for the Year Then Ended (Expressed in millions of Rupiah, unless otherwise stated) 54. STANDAR AKUNTANSI BARU (lanjutan) • 54. NEW ACCOUNTING STANDARDS (continued) • Amandemen PSAK 15 – Investasi pada Entias Asosiasi dan Ventura Bersama, berlaku efektif 1 Januari 2020 dengan penerapan dini diperkenankan. The amendment of SFAS 15-adds paragraph 14A so as to provide that the enterprise also applies SFAS 71 to financial instruments to an associate or joint venture in which the equity method is not applied. This includes long-term interests that substantially form an integral part of the entity's investment in an associate or joint venture. Effective 28 December 2018. Amandemen PSAK 15 menambahkan paragraf 14A sehingga mengatur bahwa entitas juga menerapkan PSAK 71 atas instrumen keuangan pada entitas asosiasi atau ventura bersama di mana metode ekuitas tidak diterapkan. Hal ini termasuk kepentingan jangka panjang yang secara substansi membentuk bagian investasi neto entitas pada entitas asosiasi atau ventura bersama. Efektif pada tanggal 28 Desember 2018. • • Amandemen PSAK 71 – Instrumen Keuangan berlaku efektif 1 Jan 2020 SFAS Amendment 71 - Financial Instruments are effective 1 Jan 2020 This amendment provides that financial assets with accelerated repayment features that may result in negative compensation qualify as contractual cash flows derived solely from principal and interest payments of principal amounts measured at amortized cost or fair value through other comprehensive income. Effective 28 December 2018. Amandemen ini mengatur bahwa aset keuangan dengan fitur percepatan pelunasan yang dapat menghasilkan kompensasi negatif memenuhi kualifikasi sebagai arus kas kontraktual yang berasal semata dari pembayaran pokok dan bunga dari jumlah pokok terutang yang diukur pada biaya perolehan diamortisasi atau nilai wajar melalui penghasilan komprehensif lain. Efektif pada tanggal 28 Desember 2018. • Amendments to SFAS 15 - Investments in Joint Venture and Associate Entitas, effective January 1, 2020 with early application is permitted. • PSAK 111 : Akuntansi Wa’d berlaku efektif 1 Jan 2018. SFAS 111: Wa’d Accounting is effective 1 Jan 2018 SFAS 111 generally regulates entities that give or receive wa'd not recognize assets and liabilities to be incurred from wa'd when they become contracts. This SFAS 111 is supplemented by examples of the application of wa'd on hedging transactions and sharia repo. PSAK 111 secara umum mengatur entitas yang memberi atau menerima wa'd tidak mengakui aset dan liabilitas yang akan terjadi dari wa'd ketika menjadi akad. PSAK 111 ini dilengkapi dengan contoh penerapan wa’d pada transaksi lindung nilai dan repo syariah 133 Hasanah Banking Partner 588 Annual Report 2017
589. Cross Reference of Bapepam-LK Regulation No X .K.6 No Criteria Explanation Hal I General 1 The annual report is presented in good and correct Indonesian and also recommended in English 2 Annual reports is printed in good quality fand use easy-toread type and letter sizes Name of company and year of annual report shown on: 1. Front cover; 2. Side; 3. Back cover; and 4. Every page. √ 3 The annual report clearly identifies the identity of the company Includes the latest annual report and at least the last 4 (four) years. √ 4 Information on the Company Website Including the latest annual report and at least for the last 4 years. √ II Summary Of Important Financial Data Information includes among others: 1. Sales / operating revenues; 2. Profit and loss): 3. Gross profit 4. Attributed to the owner of the parent; and 5. Attributed to non-controlling interests; 6. Comprehensive income for the current period: 7. Attributed to the owner of the parent; and 8. Attributed to non-controlling interests; and 9. Earnings (loss) per share. 10 Information on business results of the company in the form of comparison for 3 (three) financial years, or since starting business if the Company’s business activities are less than 3 (three) years √ Note: If the company does not have a subsidiary, the company presents the total current profit (loss) and total income for the current year. 2 Company’s financial position information in the form of comparison for 3 (three) financial years, or since starting business if the Company’s business activities are less than 3 (three) years Information includes among others: 1. Amount of investment in associate entity; 2. Total assets; 3. Amount of liabilities; and 4. Total equity. 10 3 Financial ratios in the form of comparisons for 3 (three) fiscal years or since the start of business business if the the Company’s business activities are less than 3 (three) years Information contains 5 (five) financial ratios that are common and relevant to the company’s industry. 11 4 Stock price information in tables and graphs 1) Number of shares outstanding; 2) Information in tabular form which contains: a. Market capitalization based on the price at the Stock Exchange where the shares are listed; b. The highest, lowest, and closing prices are based on the price at the Stock Exchange where the shares are listed; and c. Stock trading volume on the Stock Exchange where the shares are listed. 3) Information in graphical form containing at least: a. The closing price based on the price at the Stock Exchange where the shares are listed; and b. Stock trading volume on the Stock Exchange where the shares are listed. 12 for each quarter for the last 2 (two) fiscal years. Note: if the company does not have market capitalization, stock price information, and stock trading volume, to be disclosed. Hasanah Banking Partner 589 Annual Report 2017
590. No 5 Criteria Information on bonds , sukuk or convertible bonds outstanding in the last 2 (two) fiscal years Explanation Information includes: 1) Number of bonds / sukuk / bonds of conversion in circulation (outstanding); 2) Interest rate / reward; 3) Due date; and 4) Rating for bonds / sukuk in 2015 and 2016 Hal 13 Note: if the company does not have bonds / sukuk / convertible bonds, to be disclosed. III Board of Commissioners And Board Of Directors Report 1 Board of Commissioners Report Including the following: 1) Assessment of the Board of Directors’ performance on the management of the company and scoring basis; 2) A view of the business prospects of the company drawn up by the Board of Directors and the basis for their consideration; 3) The views on the whistleblowing system (WBS) in the company and the role of the Board of Commissioners in the WBS; and 4) Changes in the composition of the Board of Commissioners (if any) and reasons for the change. 26 - 31 2 Board of Directors Report Including the following: 1) An analysis of the company’s performance, which includes among others: a. strategic policy; b. comparison between results achieved and targeted; and c. constraints faced by the company and its settlement measures; 2) Analysis of business prospects; 3) The development of corporate governance in the fiscal year; and 4) Changes in the composition of the Board of Directors members (if any) and reasons for the change. 32 - 39 3 Signatures of members of the Board of Commissioners and members of the Board of Directors Including the following: 1) The signaturea are contained on a separate sheet; 2) A statement that the Board of Commissioners and the Board of Directors are fully responsible for the accuracy of the contents of the annual report; 3) Signed by all members of the Board of Commissioners and members of the Board of Directors by stating their names and positions; and 4) A written explanation in a separate letter from individuals in the event that there are members of the Board of Commissioners or members of the Board of Directors who do not sign the annual report, or written explanation in separate letters from other members in the absence of written explanation from the concerned. 40 - 41 Hasanah Banking Partner 590 Annual Report 2017
591. No Criteria Explanation Hal IV Company Profile 1 The full name and address of the company The information includes : name and address, zip code, no. Tel, no. Fax, email, and website. 45 2 Company brief history Includes: date / year of establishment, name, change of company name (if any), and effective date of change of company name. 46 Note: if the company has never changes its name, to disclose it 3 Business fields Description of: 1) Company’s business activities according to the latest articles of association; 2) Business activities carried out; and 3) Products and / or services produced. 50 - 55 4 Organizational structure In the form of a chart, including the names and positions, at least up to 1 (one) level below the board of directors. 58 - 59 5 Vision, Mission, and Corporate Culture Includes: 1) Company vision; 2) Company Mission; 3) Information that the vision and mission have been reviewed and approved by the Board of Directors / Board of Commissioners in the fiscal year; and 4) Statement about corporate culture owned by the company. 56 - 57 6 Identity and brief biography of members of the Board of Commissioners Information includes: 1) Name; 2) Position and term of office (including position in company or other institution); 3) Age; 4) Domicile; 5) Education (Field of Study and Educational Institution); 6) Work experience (Position, Institution, and Period of Service); and 7) The history of appointment (period and position) as a member of the Board of Commissioners in the Company since first appointed. 62 - 65 7 Identity and brief biography of members of the Board of Directors Information includes: 1) Name; 2) Position (including position in company orother institution); 3) Age; 4) Domicile; 5) Education (Field of Study and Educational Institution 6) Work experience (Position, Institution, and Period of Service); and 7) The history of appointment (period and position) as a member of the Board of Directors in the Company since first appointed. 66 - 69 Hasanah Banking Partner 591 Annual Report 2017
592. No Criteria Explanation Hal 8 Number of employees (2 years comparative) and employee competency development data reflecting the opportunities at each level of organization Information includes: 1) Number of employees for each level of organization; 2) Number of employees for each level of education; 3) Number of employees by employment status; 4) Data of employee competency development that has been done in the fiscal year consisting of position levels for those who participated in training, type of training, and training objectives; and 5) Employee competency development costs incurred during the fiscal year. 78 - 80 9 Shareholder Composition Includes: 1) Details of the shareholder’s name including the 20 largest shareholders and the percentage of ownership; 2) Shareholder details and percentage of ownership include: 3) Name of shareholder owning 5% or more shares; and 4) Groups of public shareholders with share ownership of less than 5% each. 5) Name of Directors and Commissioners as well as the percentage of ownership of shares directly and indirectly. 81 - 82 Note: if the Director and Commissioner have no direct and indirect shares to disclose. 10 List of subsidiaries and / or associates In the form of the table containing information, including: 1) Name of subsidiary and / or associate; 2) Percentage of share ownership; 3) Description of the business of the subsidiary and / or associate; and 4) Description of the operating status of the subsidiary and / or associate entity (already in operation or not yet operating). 84 11 Company group structure The group structure of the company in the form of a chart showing subsidiaries, associates, joint ventures, and special purpose vehicles (SPV). 85 12 Chronology of shares issuance (including private placement) and / or stock listing from initial offering up to the end of the fiscal year Includes: 1) Year of issuance, number of shares, par value of shares, and stock quotation price for each corporate action; 2) Number of shares registered after each corporate action; and 3) The name of the stock where the company’s shares are listed. 83 Note: if the company does not have a share listing chronology, it should be disclosed. Hasanah Banking Partner 592 Annual Report 2017
593. No 13 Criteria The chronology of the issuance and / or listing of other securities from the initial publication until the end of the fiscal year Explanation Includes: 1) Other securities name, other issuance year, other securities interest rate / reward, and maturity date of the securities; 2) The value of other securities offerings; 3) Name of exchange where other securities are listed; and 4) Securities Ranking. Hal 83 Note: if the company does not have a chronology for other securities listing, to be disclosed. 86 14 Name and address of supporting institutions and / or professions Information includes: 1) Name and address of BAE / party administering shares of the company; 2) Name and address of Public Accounting Firm; and 3) Name and address of the rating agency. 15 Awards received in the last fiscal year and / or certification that is still valid in the last fiscal year both nationally and internationally Information includes: 1) Name of award and / or certificate; 2) Year of acquisition; 3) Awarding bodies and / or certificates; and 4) Validity period (for certification). 14 - 16 16 Names and addresses of subsidiaries and / or branch offices or representative offices (if any) Information includes: 1) Name and address the subsidiaries; and 2) Name and address of branch offices / representatives. 92 - 93 Note: if the company does not have subsidiaries / branches / representatives, to be disclosed. 17 Information on the Company Website Hasanah Banking Partner Information includes: 1) Shareholder information up to the individual end owner; 2) Code of Ethics Content; 3) General Meeting of Shareholders (GMS) at least includes the agenda items discussed in the GMS, summaries of minutes of the GMS, and important information, namely the date of the GMS announcement, the date of the GMS call, the GMS, the date of the minutes of the GMS; 4) Separate annual financial statements (last 5 years); 5) Profile of Board of Commissioners and Board of Directors; and 6) Board of Commissioners, Directors, Committees, and Internal Audit Unit Charter. 593 Annual Report 2017 87
594. No 18 Criteria Education and / or training for the Board of Commissioners, Directors, Committees, Corporate Secretary, and Internal Audit Unit Explanation Hal Includes at least (types and relevant parties): 1) Education and / or training for the Board of Commissioners; 2) Education and / or training for Directors; 3) Education and / or training for the Audit Committee; 4) Education and / or training for the Nomination and Remuneration Committee; 5) Education and / or training for Other Committees; 6) Education and / or training for Corporate Secretary; and 7) Education and / or training for the Internal Audit Unit. which is followed in the book year. 88 - 91 Note: if there is no education and / or training in the fiscal year, to be disclosed V Management Discussion And Analysis On Company Performance 1 Overview of operations per business segment 2 3 4 Description of the company's financial performance Discussion and analysis of debt ability and collectibility level of the company, by presenting the calculation of relevant ratios according to the type of industrial company Discussion about capital structure and management policy on capital structure policy Hasanah Banking Partner Information includes: 1) Explanation of each business segment. 2) Per business segment performance, including: 3) Production; 4) Increased / decreased production capacity; 5) Sales / operating revenues; and 6) Profitability. 137 - 156 Financial performance analysis which includes comparison between financial performance for the year concerned with previous year and reason for increase / decrease (in the form of narration and table), among others concerning: 1) Current assets, non-current assets, and total assets; 2) Short-term liabilities, long-term liabilities, and total liabilities; 3) Equity; 4) Sales / operating revenue, expenses and profits (loss), other comprehensive income, and total profit (loss) and other comprehensive income; and 5) Cash flow. 157 - 171 Explanation of : 1) The ability to pay the debt, both short-term and longterm; and 2) Collectibility of receivables. xplanation of: 1) Details of capital structure consisting of interest-based / sukuk and equity debts; and 2) Management policy on capital structure policies; and 3) Basic selection of management policies on capital structure. 594 Annual Report 2017 173 174 - 176
595. No 5 Criteria Discussion of material ties to capital investment (not funding ties) in the last fiscal year Explanation Hal Explanation of: 1) Name of the party making the bond; 2) The purpose of the bond; 3) Sources of funds expected to fulfill such commitments; 4) Denominated currency; and 5) Measures planned by the company to protect the risk of foreign currency positions. 175 Note: if the company does not have capital investment related bonds in the last fiscal year to disclose. 6 Discussion on capital goods investment realized in the last fiscal year Explanation of: 1) Type of investment of capital goods; The purpose of investment of capital goods; and 2) The investment value of capital goods issued in the last fiscal year. 175-176 Note: if there is no realization of investment in capital goods, to disclose. 7 8 Comparative information between the targets at the Information includes: beginning of the fiscal year and the results achieved 1) Comparison between targets at the beginning of the (realization), and the target or projection to be achieved fiscal year and the results achieved (realization); and for the coming 1 (one) year for revenue, profits, and others 2) Target or projection to be achieved 1 (one) year ahead. deemed important to the enterprise Material information and facts occurring after the date of the accountant's report Description of important events after the date of the accountant’s report including impact on future performance and business risks. 176 - 178 178 Note: if there are no important events after the date of the accountant’s report, to be disclosed. 9 10 11 A description of the business prospects of the company Description of the company prospects attributed to industry and the economy in general along with quantitative support data from reliable data sources. A description of the marketing aspects Description of the marketing aspects of a company’s products and / or services, among others, marketing strategy and market share. Description on dividend policy and amount of cash dividend per share and the amount of dividend per annum announced or paid during the last 2 (two) Description of: 1) Dividend distribution policy; 2) Total dividends distributed; 3) Amount of cash dividend per share; 4) Payout ratio; and 5) Date of announcement and payment of cash dividend. for each year. Note: if there is no dividend distribution, please disclose the reason. Hasanah Banking Partner 595 Annual Report 2017 179 - 181 181 - 183 186
596. No 12 Criteria Explanation Company 's existing employee and / or management shareholding (ESOP / MSOP) program for the fiscal year Description of: 1) Number of shares of ESOP / MSOP and realization; 2) Time period; 3) Eligible employee and / or management requirements; and 4) Exercise price. Hal 186 Note: if it does not have the intended program, to be disclosed. 13 Use of proceeds from the public offering (in case the company is still required to submit a report on the realization of the use of funds) Description of: 1) Total acquisition of funds; 2) Plan for the use of funds; 3) Details of the use of funds; 4) Fund balance; and 5) Date of AGM / RUPO approval on changes in use of funds (if any). 186 Note: if no realization information on the use of proceeds from the public offering, to be disclosed. 14 Material transaction information containing conflict of interest and / or transaction with affiliates Description of: 1) The name of the transacting party and the nature of the affiliate relationship; 2) Explanation of the fairness of transactions; 3) The reason for the transaction; 4) Actual transactions during the last fiscal year; 5) Company policy related to review mechanism of transaction; and 6) Compliance with relevant rules and regulations. 186 Note: if no such transaction, to be disclosed. 15 A description of legislation changes in the last fiscal year Description of: 1) The name of the changed legislation; and 2) The impact (quantitative and / or qualitative) on the firm (if significant) or the statement that the impact is insignificant. n/a Note: if there is no change in legislation that has any significant effect, to be disclosed. 16 A description of the accounting policy changes adopted by the company in the last fiscal year Description of: 1) Changes in accounting policies; 2) Reasons for changes in accounting policies; and 3) The quantitative impact on the financial statements. Note: if there is no change in accounting policy in the last fiscal year, to disclose. Hasanah Banking Partner 596 Annual Report 2017 192
597. No 17 Criteria Information on business continuity Explanation Information contains : 1) Aspects that hold potentially significant impacts to business continuity in last financial year; 2) Management assessment on aspects intended in point 1 3) Assessment assumptions used by the management Hal 193-195 Note: disclose if there is no aspect that holds potentially significant impacts to business continuity during last financial year; disclose assumptions used by the management that inform the confidence that there is no significant aspects that hold potentially significant impacts to the company’s business during financial year VI 1. 2. 3. 4. Good Corporate Governance Description of the Board of Commissioners Description of: 1) Description of the responsibilities of the Board of Commissioners; 2) Assessment of the performance of each committee under the Board of Commissioners and the basis of its assessment; and 3) Disclosure of Board Charter (Code of Conduct and Board of Commissioners). Independent Commissioners (at least 30% of the total Board of Commissioners) Includes: 1) Criteria for determining Independent Commissioners; and 2) Statement on the independence of each Independent Commissioner. Description of the Board of Directors Description of: 1) The scope of work and responsibilities of each member of the Board of Directors; 2) Assessment of the performance of committees under the Board of Directors (if any); and 3) Disclosure of Board Charter (guidelines and work discipline of the Board of Directors). Assessment of GCG Implementation for the fiscal year 2016 covering at least the aspect of the Board of Commissioners and the Board of Directors Includes: 1) Criteria used in the assessment; 2) The party conducting the assessment; 3) Scoring scores for each criterion; 4) Recommendation of assessment results; and 5) Reason for not yet / not implementing recommendation. Note: if there is no GCG implementation assessment for the fiscal year 2016, to be disclosed. Hasanah Banking Partner 597 Annual Report 2017 270-280 281 282-298 237-247
598. No 5 . Criteria Description of remuneration policy for Board of Commissioners and Board of Directors Explanation Includes: 1) Disclosure of procedure up to the determination of remuneration of the Board of Commissioners; 2) Disclosure of procedure up to the determination of the remuneration of the Board of Directors; 3) Remuneration structure showing remuneration component and nominal amount per component for each member of the Board of Commissioners; 4) Remuneration structure showing remuneration component and nominal amount per component for each member of the Board of Directors; 5) Disclosure of indicators for the Board of Directors’ remuneration; and 6) Disclosure of performance bonuses, non performance bonuses, and / or stock options received by each member of the Board of Commissioners and Board of Directors (if any). Hal 303-304 Note: where there are no performance bonuses, non performance bonuses, and stock options received by each member of the Board of Commissioners and Board of Directors, to be disclosed. 6. Frequency and Attendance by members at Board of Commissioners meetings (at least 1 times in 2 months), Board of Directors Meetings (at least 1 time in 1 month), and Joint Meeting of Board of Commissioners with Board of Directors (minimum 1 time in 4 months) Information includes: 1) Date of Meeting; 2) Meeting participants; and 3) Meeting agenda. 275-278 290-293 293-296 for each meeting of the Board of Commissioners, Board of Directors, and joint meetings. 7. Information on the major and controlling shareholders, either directly or indirectly, to individual owners In the form of schematics or diagrams that separate major shareholders with controlling shareholders. Note: the major shareholder is a party, directly or indirectly, with at least 20% (twenty percent) of the voting rights of all voting shares issued by a Company, but not the controlling shareholder. Hasanah Banking Partner 598 Annual Report 2017 254
599. No 8 . Criteria Explanation Disclosure of affiliate relationships between members of the Board of Directors, the Board of Commissioners, and the Principal and / or controlling Shareholders Includes: 1) Affiliation relationships between members of the Board of Directors and other members of the Board of Directors; 2) Affiliation relationships between members of the Board of Directors and members of the Board of Commissioners; 3) Affiliation relationships between members of the Board of Directors and the Majority and / or Controlling Shareholders; 4) Affiliated relationships between members of the Board of Commissioners and other members of the Board of Commissioners; and 5) Affiliated relationships between members of the Board of Commissioners and the Majority and / or Controlling Shareholders. Hal 305 Note: if it has no such affiliate relationship, it should be disclosed. 9. 10. 11. Audit Committee Includes: 1) Name and position of audit committee members; 2) Education history (Study Field and Educational Institution) and work experience (Position, Institution, and Period of Work) of audit committee members; 3) Independence of audit committee members; 4) Description of duties and responsibilities; 5) Description of the audit committee activities in the fiscal year; and 6) The frequency of meetings and attendance of the audit committee. Nomination and / or Remuneration Committee Functions Includes: 1) Name, position, and brief biography of nomination and / or remuneration committee members; 2) Independence of nomination and / or remuneration committee members; 3) Description of duties and responsibilities; 4) Description of the nomination and / or remuneration committee activities; 5) The frequency of meetings and the attendance of the nomination and / or remuneration committee; 6) Statement of the nomination and / or remuneration committee members guidelines; and 7) Policy on the succession of the Board of Directors. Other Committees under the Board of Commissioners Includes: 1) Name, position, and brief biography of committee members; 2) Independence of committees; 3) Description of duties and responsibilities; 4) Description of the implementation of the activities of committees; and 5) The frequency of meetings and the attendance levels of committees. Hasanah Banking Partner 599 Annual Report 2017 307-311 316-322 311-316
600. No 12 . 13. 14. Criteria Explanation Job Description and Function of Corporate Secretary Includes: 1) Name, and history of the corporate secretary; 2) Domicile; 3) Description of duties and responsibilities; and 4) Description on execution of the tasks of corporate secretary in the fiscal year. Description of the internal audit unit Includes: 1) Name of the head of the internal audit unit; 2) Number of employees (internal auditors) in the internal audit unit; 3) Certification in an internal audit profession; 4) The position of the internal audit unit within the company structure; 5) Description of the internal audit unit activities in the fiscal year; and 6) Parties who appoint and dismiss the chair of the internal audit unit. Public Accountant Information includes: 1) Name and year the public accountant who audited the annual financial statements for the last 5 years; 2) Name and year of the Public Accounting Firm who audited the annual financial statements for the last 5 years; 3) The amount of fee for each type of services provided by the public accountant in the last fiscal year; and 4) Other services provided by the accountant in addition to the annual financial statement audit services in the last fiscal year. Hal 336-345 346-353 354-355 Note: if no other services are provided, to be disclosed. 15. 16. Description of the company's risk management Includes: 1) A description of the company’s risk management system; 2) A description of the evaluation of the effectiveness of the risk management system; 3) A description of the risks facing the company; and 4) Efforts to manage those risks. Description of the internal control system Includes: 1) Brief explanation of the internal control system, including financial and operational controls, among others; 2) Explanation of conformity of internal control system with internationally recognized framework (COSO internal control framework); and 3) An explanation of the results of reviews conducted on the implementation of the internal control system in the financial year. Hasanah Banking Partner 600 Annual Report 2017 356-367 368-370
601. No 17 . 18. 19. 20. 21. Criteria Explanation Description of corporate social responsibility related to the environment Includes: 1) Target / activity plan for 2016 set by management; 2) Activities undertaken and quantitative impact on such activities; and related environmental programs related to the company’s operational activities, such as the use of environmentally friendly and recyclable materials and energy, corporate waste management systems, environmental complaints mechanisms, environmental considerations in lending to clients, and others. 3) Certification in environment owned. A description of corporate social responsibility related to employment, health and safety Includes: 1) Target / activity plan in 2016 set by management; and 2) Activities undertaken and quantitative impacts on such activities related to employment, health and safety practices, such as gender equality and employment, employment and safety, employee turnover rates, occupational accidents, remuneration, employment complaints mechanisms, etc. . A description of corporate social responsibility related to social and community development Includes: 1) Target / activity plan in the year 2016 set by management; 2) Activities undertaken and impacts on such activities; and 3) Costs related to social and community development, such as the use of local labor, empowerment of communities around the company, improvement of social facilities and infrastructure, other forms of donations, communication on anti-corruption policies and procedures, training on anti-corruption, and others. Description of corporate social responsibility related to responsibility to the consumer Includes: 1) Target / activity plan in 2016 set by management; and 2) Activities undertaken and the impact of such activities related to product responsibilities, such as consumer health and safety, product information, means, quantities and remedies for consumer complaints, and so on. Important matters currently faced by the company, subsidiaries, and members of the Board of Commissioners and members of the Board of Directors serving during the annual reporting period Includes: 1) Principal cases / lawsuits; 2) Court settlement / lawsuit status; 3) Risks facing the company and the value of claims; and 4) Administrative sanctions imposed on corporations, members of the Board of Commissioners and the Board of Directors, by the relevant authorities (capital market, banking and others) in the last fiscal year (or there is a statement that it is not subject to administrative sanctions). Note: In the case that a company, subsidiary, member of the Board of Commissioners, and member of the Board of Directors is involved in no important cases, it is disclosed. Hasanah Banking Partner 601 Annual Report 2017 Hal 427-429 430-438 439-445 446-447 402-412
602. No 22 . 23 Criteria Explanation Access to company information and data Description of availability of access to information and corporate data for the public, for example through the website (in Indonesian and English), mass media, mailing lists, newsletters, meetings with analysts, and so forth. Discussion of codes of conduct Description of: 1) Key points of ethics; 2) Disclosure that the code of ethics applies to all levels of the organization; 3) Dissemination of codes of ethics; 4) Sanctions for each type of offense set out in the code of ethics (normative); and 5) Number of code violations and sanctions given in the last fiscal year. Hal 395-401 385-386 Note: if there are no violations of the code of ethics in the last fiscal year, to be disclosed 24. Disclosure of the whistleblowing system Description of the whistleblowing system mechanism: 1) Submission of violation reports; 2) Protection for whistleblowers; 3) The handling of complaints; 4) The party managing the complaint; and 5) Number of incoming and processed complaints in the last fiscal year; and 6) Sanctions / follow-up on complaints that have been processed in the fiscal year. 388-393 Note: if there are no incoming complaints in the last fiscal year, to be disclosed 25. VII 1 2. 3. Policy on the composition of the Board of Commissioners and the Board of Directors Note: if there is no such policy, to disclose the reasons and considerations. 306 Financial Information Letter of the Board of Directors and / or Board of Commissioners on the Responsibility of the Financial Statement Compliance with relevant regulations on Liability to Financial Statements. 453-455 Opinion of independent auditors for financial statements Description of Independent Auditor for Opinion Hasanah Banking Partner 451 Description of: Name & signature; Date of Audit Report; and KAP license number and license number of a Public Accountant. 602 Annual Report 2017 455
603. No 4 . 5. 6. 7. 8. Criteria Explanation Complete financial statements Complete financial statements: 1) Statements of financial position; 2) Income and other comprehensive income statement; 3) Statement of Changes in Equity; 4) Cash flow statement; 5) Notes to the financial statements; 6) Comparative information on previous periods; and 7) The statement of financial position at the beginning of the previous period when the entity applies an accounting policy retrospectively or prepares a restatement of financial statement items, or when the entity reclassifies the items in its financial statements (if relevant). Comparison of profitability levels Comparison of performance / profit (loss) of the current year with the previous year. Cash flow statement Meet the following conditions: 1) Grouping into three categories of activities: operations, investments, and financing; 2) The use of direct method to report cash flows from operating activities; 3) Separation of the presentations between cash receipts and / or cash disbursements during the year for operating, investing and financing activities; and 4) Disclosure of non-cash transactions should be included in the notes to the financial statements. Summary of Accounting Policies Includes: Statement of compliance with SAK; Basis of measurement and preparation of financial statements; Income tax; Employee benefits; and Financial Instruments. Disclosure of related party transactions Matters expressed: The names of related parties, as well as the nature and relationship of related parties; The value of the transaction and its percentage of total revenues and related expenses; and Total balance and percentage of total related assets or liabilities. Hasanah Banking Partner 603 Annual Report 2017 Hal 456-462 461-462 464-465 472-502 546-570
604. No 9 . 10. 11. 12. 13. Criteria Explanation Disclosures related to taxation Matters be Disclosed: 1) Fiscal reconciliation and current tax expense calculation; 2) Explanation of the relationship between tax expense (income) and accounting profit; 3) The statement that the taxable income (LKP) resulted from the reconciliation is used as the basis for filling the Annual Income Tax Return of the Company in 2016; 4) The details of the deferred tax assets and liabilities recognized in the statement of financial position for each presentation period and the total deferred tax expense (income) recognized in the statement of income if the amount is not reflected in the total deferred tax assets or liabilities recognized in the statement of financial position; and 5) Disclosure of no or no tax disputes. Disclosures related to fixed assets Matters to be Disclosed: 1) Method of depreciation used; 2) A description of the selected accounting policies between the revaluation model and the cost model; 3) Significant methods and assumptions used in estimating the fair value of property, plant and equipment (for revaluation model) or disclosure of fair value of property, plant and equipment (for cost model); and 4) Reconciliation of gross carrying amount and accumulated depreciation of property and equipment at the beginning and end of the period by showing: addition, subtraction and reclassification. Disclosures related to operating segments * HMatters to be Disclosed: 1) General information covering factors used to identify reported segments; 2) Information on reported segment of income, assets, and liabilities; 3) Reconciliation of total segment revenues, reported segment loss, segment assets, segment liabilities, and other segment material items to related amounts in the entity; and 4) Disclosure at the entity level, which includes information about products and / or services, geographic areas and key customers. Pengungkapan yang berhubungan dengan Instrumen Keuangan Disclosures related to Financial Instruments Matters to be Disclosed: 1) Details of financial instruments held by their classification; 2) Fair value and hierarchy for each group of financial instruments; 3) Risk management policy; 4) Explanation of risks related to financial instruments: market risk, credit risk and liquidity risk; and 5) The risk analysis associated with financial instruments is quantitative. Issuance of financial statements Matters expressed include: 1) Date of financial statements authorized for publication; and 2) The party responsible for authorizing the financial statements. Hasanah Banking Partner 604 Annual Report 2017 Hal 542-545 534-537 570-571 507-514 451
605. Hasanah Banking Partner 605 Annual Report 2017
606. Annual Report 2017 Head Office BNI Syariah Gedung Tempo Pavilion 1 Jl . HR Rasuna Said Kav. 10-11, Lt. 3-6 Jakarta 12950, Indonesia T.: +62-21 2970 1946 F.: +62-21 2966 7947 www.bnisyariah.co.id