Local Banks Ready to Merge
Thursday, 14 December, 2006 | 15:29 WIB

TEMPO Interactive, Jakarta: Deputy Governor of Bank Indonesia Miranda S. Goeltom has stated that local banks are becoming interested in merging as regards the Indonesian banking consolidation regulation, which requires minimum capitalization for banks of Rp80 billion by 2007 and Rp100 billion by 2010.

“We have seen that three or four regional banks have chosen to merge first before perhaps being sold in the future,' said Miranda yesterday (12/13).

According to her, the local banks have announced their plans to the central bank.

Miranda explained that Sri Partha Bank (Bali) and Harfa Bank (Surabaya) are two banks planning to merge.

“Earlier, they intended just to sell. Now, they want to merge. Although it is yet to be realized, there is still an intention to do this,” she said.

SURYANI IKA SARI