34
Regional Discussion 34th Trade Expo Indonesia 2019: Export to Asia Lembaga Pembiayaan Ekspor Indonesia (Indonesia Eximbank)
Regional Discussion
34th Trade Expo Indonesia 2019:
Export to AsiaLembaga Pembiayaan Ekspor Indonesia
(Indonesia Eximbank)
Raden Gerald S. Grisanto
Head of Advisory Services Division+62 82126906666
Lembaga Pembiayaan Ekspor Indonesia (Indonesia Eximbank) Head of Advisory Services Division
PT Tuban Petrochemical Industries Vice President (VP), Business Development
PT Perusahaan Pengelola Aset (Persero)Vice President (VP), Investment
Deloitte IndonesiaManager, Advisory Services
Ernst & Young IndonesiaSenior Associate, Assurance
Phd CandidateSchool of Business and Management ITB
Master of AccountingUniversity of Indonesia
Bachelor of EconomicsTrisakti UniversityEdith Cowan University, Australia
Experiences: Qualification:
Certification:
• Chartered Accountant (CA)• Certified Management Accountant (CMA)• Certified Public Accountant (CPA)• Professional Financial Modeler (PFM)
Agenda
2
Indonesia Eximbank Profile
3 Export to Asia
1
2 Financial Performance
Indonesia Eximbank Profile1
3
Indonesia Eximbank at a Glance
4
Special Institution Status
Indonesia Eximbank operates independently, in accordance to Law No. 2 of 2009 (Lex Specialist)
Government Ownership
100% owned by government – the capital of IEB is not divided into shares
International Credit Ratings
idAAA (stable) Pefindo : March, 2019 Baa2 (stable) Moody’s: April, 2019 BBB (stable) Fitch: July, 2019 BBB (stable) S&P: June, 2019
Office Network
Mandate & Responsibilities
To support national export programmes through national export financing; in the form of financing, guarantee and insurance
Indonesia Eximbankwas established
based on Law No. 2 of 2009 concerning
Lembaga PembiayaanEkspor Indonesia
(Indonesia Eximbank)
Main ActivityHistory of Indonesia Eximbank
1999 2009 Present
IEB’s predecessor Bank Ekspor Indonesia (“BEI”) established
IEB officially operated on September 1, 2009to encourage national exports
1. Financing2. Guarantee3. Insurance4. Advisory Services
Governance Structure
“One Board-One Star”
Framework Indonesia Eximbank as an Eximbank/ECA (Policy Bank)In accordance to Law No. 2 Year 2009
5
Become a credible Eximbank in encouraging national exports that are highly competitive at the global level
Vision
Mission
Encouraging good business climate sustainability that is conducive to a sustainable national export growth
Providing national export financing services as well as quality consulting services as a
solution to Indonesia's export needs
Improving the ability of businesses, including small and medium enterprises, to
produce good quality and competitive export-oriented products
1 2 3
Outcome
Implementation of Mandates Institutional Leadership Institutional Positioning
Value Proposition
Providing assistance needed by parties in the framework of exports in order to produce goods and services
and / or other businesses that support exports
(Aticle 13 clause 1a)
Providing financing for transactions or projects that are categorized as non-bankable, but
have prospects in increasing national exports
(Article 13 clause 1b)
Helping to overcome the obstacles faced by banks or financial institutions in
providing financing for exporters who are commercially potential and / or important
in Indonesia's economic development(Article 13 clause 1c)
Providing guidance and consulting services to banks,
financial institutions, exporters, export goods
producers, especially SMEs and Export Oriented SMEs
(Article 13 clause 2a)
National Export Financing(Article 5)
Financing(Article 5 verse 1a)
Guarantee(Article 5 verse 1b and Article 7)
Advisory Services(Pasal 13 verse 2a)
5
In Article 26 Basic Policy of National Export Financing (KD-PEN), it is mentioned that Indonesia Eximbankalso carries out other activities that support its duties, functions and authorities, by providing: (a) Re-guarantee; (b) Joint Guarantee); (c) Financing for Import substitution; (d) Financing for imports of raw materials to meet the
national needs; (e) Facility for trade fee activities; (f) Discounting facilities; (g) Acting as a facilitator, accelerator,aggregator, and arranger to support export activities; (h) Conducting technical assistance; (i) Providing facility forwarehouse receipt financing and/or proofs of collateral management agreement; (j) Conducting marketing, promotion, andcooperation with government and other stakeholders at the export destination countries, while maintaining coordination withother related ministries/institutions; (k) Other activities which are approved by the ministers.
Facilitator Accelerator Aggregator Arranger
Indonesia Eximbankaccommodates exporters
activity and/or interests with related institutions in order to
tacle export obstacles
Indonesia Eximbank conducts activities to simplify export
obstacles (ex: regulations) in export destination countries by
providing facilities
Indonesia Eximbank collects and gathers export information, data, and analysis for
the best interest of the stakeholders, collectors and/or payment managers for
export transaction
Indonesia Eximbankfacilitates syndicates, both with local and foreign banking to
provide financing for overseas projects
Indonesia Eximbank’s Roles on KD-PEN
Financing Guarantee Insurance
Financing (Art. 6) Guarantee (Art. 7) Insurance (Art. 8) Advisory Services (Art.13) Placement (Art.14)
Mandate Implementation and Funding Support
Lembaga Pembiayaan Ekspor Indonesia
7
Source of FundSource of Fund
General Assignment(Commercially
Viable)
Special Assignment
(National Interest Account)
Issuance of securities PMN Grant
Loan (foreign gov, Multilateral agencies, Bank/ FI, Government)
Bank Indonesia’s placement of fund Government Equity Participation
(PMN)
8
Financing
Overseas Financing;
Overseas investment financing
Overseas project financing
Buyer’s Credit
Domestic Financing
Working Capital Export Financing
Investment Export Financing
Warehouse Receipt
Export Bills Purchasing Financing
LC Financing
Trust Receipt
Project Financing
Supplier’s Bills Purchasing
Export-oriented People’s Business
Credit
Export-Oriented SME Financing;
Export Working Capital Financing
Export Investment Financing
Warehouse Receipt Financing
Export Bills Purchasing Financing
L/C Financing
Trust Receipt
Project Financing
Suppliers Bills Purchasing
Export-oriented People’s Business
Credit
Overseas Investment Financing
Overseas Project Financing
Buyer’s Credit
Syariah Financing
Murabahah
Musyarakah
Mudharabah
Istisna
Ijaran/ Ijarah Muntahiya Bittamlik
Salaam
Wakalah
Hawalah
Kafalah
Guarantee
Project Guarantee
Custom Guarantee
Credit Guarantee
for Bank and
Financial Institution
Re-guarantee
Insurance
Account Receivable
Protection
Marine Cargo
Re-insurance
Advisory Services
Coaching Program
for New Exporter
(CPNE)
Capacity Building
Corporate Social
Responsibility (CSR)
Special Assignment
National Interest
Account (NIA)
Business Pillars
8
9LPEI Positioning to Eximbank/ ECA in other Countries
Indonesia EximbankUSD8.398 Juta
JBICUSD169.541 Juta
China EximbankUSD530.393 Juta
Korea EximbankUSD77.481 Juta
Turk EximbankUSD24.652 Juta
India EximbankUSD17.889 Juta
US EximbankUSD28.252 Juta
EFICUSD2.185 Juta
Thailand EximbankUSD3.469 Juta
NEXIUSD15.766 Juta
KFW IPEX BankUSD30.759Juta
Malaysia EximbankUSD3.316 Juta
As of 2017- 2018Age
Assets Against Export Value
LPEI Position on Export Credit Disbursement
10
Share Internal
Bank
Credit Disbursement
(Miliar Rp)
Bank Campuran
Bank Capital Indonesia Bank Chinatrust Indonesia Bank Commonwealth Bank DBS Indonesia Bank KEB Indonesia Bank Maybank Syariah Indonesia Bank Mizuho Indonesia Bank Rabobank International
Indonesia Bank Resona Perdania Bank Sumitomo Mitsui Trust Bank
Limited Bank Windu Kentjana Internasional Bank Woori Indonesia
Bank Asing
Bank of America The Royal Bank of Scotland Bankok Bank Citibank HSBC Bank of China Deutsche Bank JP Morgan Chase Bank The Bank of Tokyo-Mitsubishi UFJ Standard Chartered Bank
Indonesia Eximbank44,9%
Share to total of National Export Credit
(Commercial Banks & LPEI)
Bank Campuran13,5%
Bank Persero13,5%
Bank Asing13,0%
BUSN Devisa14,9%
Sumber : LPEI dan OJK (diolah)
As of 30 April 2019
LPEI Continuously Growing
11
120,1
Trillion
12,9Trillion
Insurance
11,3
Trillion
Guarantee
11,3
Trillion
0,3Trillion
9,2Trillion
Debtors
±1.288Entitas
Employees
136People
New Exporters
23Exporters
Since established in 2009, LPEI has rapidly grown and become the main part of national export development
0Trillion
77Entities
Coaching Program for New
Exporters/ CPNE
Offices
8Offices
4Offices
CorespondenceBank/ FI
384Institutions
200Institutions
473people
Financing
109Trillion
Portion of LPEI’s Direct Exportersin the National Export
12
1.82%
2.46%
3.06%
4.67%4.57%
4.71%
0.00%
0.50%
1.00%
1.50%
2.00%
2.50%
3.00%
3.50%
4.00%
4.50%
5.00%
-
20.00
40.00
60.00
80.00
100.00
120.00
140.00
160.00
180.00
200.00
2012 2013 2014 2015 2016 2017 P
Export of LPEI's Debtors (US$ Juta) National Export (US$ Juta) Share Ekspor Debitur LPEI
13
Contribution to the GovernmentYear 2010 – 2018
From PMN Rp7 T (General Assignment) and Rp4,2 T (Special Assignment), along 2010 – 2018 LPEI has generated:1. Contribution to the Country
(PNBP+Tax+Dividen Rp6,19 T2. Export Financing Rp108,86 T
(leverage 9x), Guarantee & Insurance Rp23 T
3. Equity Rp6,50 T grew to Rp21,19 T 149 198 238 386 543
1,387 1,100 1,189 1,005
6,502 6,9647,550
8,299
10,437
12,362
17,441
21,268 21,189
2010 2011 2012 2013 2014 2015 2016 2017 2018
Jumlah disetor Ekuitas
(dalam Rp Miliar)
Keterangan 2010 2011 2012 2013 2014 2015 2016 2017 2018 Jumlah
1. Dividen/Laba Pemerintah - 4 13 16 22 33 58 65 47 256
2. Pajak 149 194 225 370 503 904 721 806 729 4.602
3. PNBP - - - - 18 451 321 317 229 1.336
Jumlah 149 198 238 386 543 1.387 1.100 1.189 1.005 6.195
Financial Performances2
14
Guarantee
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019-Q2
14 348 1,098
2,033
3,629
6,247
8,126
10,551
11,307 11,723 Billion Rupiah
Financing
Billion Rupiah
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019-Q2
9,279 15,737
20,541 27,054
40,492
55,203
74,829
88,532
101,012
108,859 104,733
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019-Q2
12,972 20,639
26,322 33,333
46,474
60,503
84,971
100,669
110,476
120,071 118,399
Business Development
15
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019-Q2
1 39 149 262 702
1,207
9,434 9,974
11,322
8,461
Insurance
Billion Rupiah
Total Assets
Billion Rupiah
IDR57.26%
USD42.74%
KORPORASI84.79%
UKM15.09%
Financing Portfolio
16
Based on segment
Based on Currency
Based on Economic Sector
Based of Purpose
June 2019
June 2019
June 2019
June 2019
Capital Loan51.26%
Investment Loan
48.63%
Our Debtor’s Top 10 Export Commodity Distribution and Destination Country
17
Financing Distribution June 2019
18
Rp. 19.485 MiliarRp. 988 Miliar
Rp. 6.284 Miliar
Rp. 228 Miliar
Rp. 457 Miliar
Rp. 102 Miliar
Rp. 868 Miliar
Rp. 1.840 Miliar
Rp. 3.913 Miliar
Rp. 1.834 Miliar
Rp. 237 Miliar
Rp. 32.610 Miliar
Rp. 5.820 Miliar
Rp. 9.572 Miliar
Rp. 4.434 Miliar
Rp. 2.097 Miliar
Rp. 3.967 Miliar
Rp. 793 Miliar
Rp. 171 Miliar
Rp. 2.944 Miliar
Rp. 1.545 Miliar
Rp. 1.945 Miliar
Rp. 1.277 Miliar
Rp. 1.003 Miliar
Rp. 152 Miliar
Rp. 54 Miliar
Rp. 28 Miliar
Rp. 36 Miliar
Financing Portfolio
19
(Billion Rp.)
Financing to Corporations Financing to SMEs and Export SMEs(Miliar Rp.) (Miliar Rp.)
RoG
173,2%
RoG
35,3%
RoG
54,0%
RoG
25,0%
RoG
60,3%
RoG
44,5%
RoG
24,5%
RoG
23,4%
RoG
-1,0%
RoG
24,5%
RoG
31,2%
RoG
49,3%
RoG
37,5%
RoG
33,4%
RoG
15,5%
RoG
12,1%
RoG
6,1%
RoG
-4,1%
A Growing SMEs and Export SMEs Financing
20
63 116 145 157 158 171 601 640 665Jumlah debitur
The average
growth of SMEs &
Export SMEs
Financing from
2010 – 2018 is:
49,66%
Billion Rupiah
Definiton of Export SMEs (PP 43 Year 2019 regarding KD PEN article 7 point 2:Rp50 miliar ˂ GAS (Gross Annual Sales) ≤ Rp500 miliar
0637
1,740 2,355
3,627
4,532
7,267
10,503
13,080
15,966
0
2000
4000
6000
8000
10000
12000
14000
16000
18000
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
173,2%
RoG
35,3%
RoG
54,0%
RoG
25,0%
RoG
60,3%
RoG 44,5%
RoG24,5%
RoG23,4%
Economic and Social Impact
21
Manufacture18%
Food Industry15%
Farming14%
Mining10%
Spinning and Textile8%
Transportation and Communication
6%
Construction8%
Petrolium and Chemical
4%
Electricity, Gas, Water
4%
Trade, restaurant, Hotel
4%Jasa dan Lain-lain
4%
Wood Industry3%
Fisheries, livestock2%
Agriculture0%
Financing Portion based on Economic SectorJune 2019
Developmental Impact (Money Multiplier)
Export Increment
3,59x
GDP Increment
2,46x
Job Creation
60Thousand of people per Rp1 triliun of Financing
Mandate Implementation –National Interest Account 2015-2019
22
Target 2019
1) Tourism
2) Export Development to
Prospective Market
3) Other Export Program
Legal Basis
• Act no 2/2009• Minister of Finance
Regulation No. 198/PMK.08/2017
END END
Overseas Project
23
Kinerja Insurance Buyers Country
24
Brazil (7.451)Mexico (2.866)Panaman (859)Peru (286)USA (65.846)
Austria(13.971)Belgium (16.479)Bulgaria (21.495)Denmark (6.735)Ekuador (859)France (716)Georgia (2.866)Germany (14.330)Greece (18.629)Italy (3.725)Latvia (2.292)Lithuania (9.672)Netherlands (30.809)Poland (28.660)Spain (25.794)Sweden (33.940)UK (96.011)Ukraine (2.149)
AFRICAEgypt (14.330)Morocco (3.367)Nigeria (12.180)South Africa (1.934)Tunisia (2.149)
Australia (39.407)New Zealand (25.077)
India (21.781)Kuwait (1.791)Lebanon (70.933)Nepal (20.778)Oman (17.196)Qatar (9.314)Russia (45.139)Saudi Arabia (7.165)Turkey (1.433)UAE (4.442)
China (60.977)Indonesia (600)Japan (21.781)Korea (20.276)Malaysia (29.949)Papua N.G (12.180)Philippines (18.342)Singapore (223.118)Sri Lanka (9.314)Thailand (75.017)Vietnam (1.433)
Outstanding in million RupiahAMERICA
AFRICA
ASIA
EUROPE
AUSTRALIA
High Risk Country Low Risk CountryModerate Risk Country82%
16%
0.38%1%1%
PERINDUSTRIAN KONSTRUKSI
PERDAGANGAN PERTAMBANGAN
PERTANIAN LAIN-LAIN
SECTOR INDUSTRY
The Development of Advisory ServicesCoaching Program for New Exporter (CPNE)
25
New Exporter
33 Exporter
Geographical Distribution
27 Provinces
Scaling Up Training(Becoming a new Exporter)
400 UKM
Basic Training
1.500 SMEs The implementation of the Coaching Program for
New Exporters (CPNE) is intended for export-
oriented SMEs by providing training in the form of
intensive capacity building programme and
mentoring. This program is given in the form of
socialization, training, exhibitions, guidance and other
activities to non-group and group business entities.
With CPNE, we provide comprehensive training
covering aspects of production, finance, and
management of the organization. As such, the SMEs
players will have sufficient knowledge and expertise
to export their products.
Aside from that, they were also given an
understanding of the administrative, targeted market
share, as well as key advantages Indonesia's products.
Achievement on AdvisoryDigital Handholding Program (DHP)
26
Medan(12-13 February 2018)1
Riau(19-20 March 2018)4
Jakarta(25-26 April 2018) 7
2Solo
(22-23 February 2018)
3Surabaya(27-28 February 2018)
Lombok(19-20 March 2018)5
Makassar(14-15 May 2018)6
In 2018 Digital HandholdingProgram joined by
1.100 SME
100 SME Go-Live!
EximStarter Database
1.100 SME
Creating Synergy
Ministries/ Institution
Central Bank University Network for Indonesia
Export Development (UNIED) Business Player Association
IEB Institute
27
Strategic Alliance
28
Export to Asia4
29
Indonesia Export Value
30
Importers Exported value in
2014
Exported value in
2015
Exported value in
2016
Exported value in
2017
Exported value in
2018
World 176.036.194 150.366.281 144.489.796 168.810.043 180.215.034
Asia Aggregation 124.485.464 103.627.048 98.101.922 119.339.899 129.821.764
Indonesia’s export value to Asia has reached up to 72% of its export value to the world and its dominated By China.
0
5,000,000
10,000,000
15,000,000
20,000,000
25,000,000
30,000,000
35,000,000
40,000,000
45,000,000
Mineral fuels,mineral oils and
products oftheir
distillation;bituminoussubstances;mineral ...
Animal orvegetable fatsand oils and
their cleavageproducts;prepared
edible fats;animal ...
Vehicles otherthan railway ortramway rollingstock, and partsand accessories
thereof
Electricalmachinery andequipment andparts thereof;
soundrecorders andreproducers,television ...
Iron and steel
Indonesia's exports to World
Indonesia's exports to Asia
95%
91%69%82%
64%
South Asia as a New Potential Market
31
• South Asia remains World’s FastestGrowing Region with a percentage of9,2% of the Asia’s GDP, most of whichare sustained by India’s solid economy.
• The UN projects that the rate ofpopulation growth in South Asia willcontinue to increase from decade todecade compared to other Asianregions.
• By 2030, around 24% of the world'spopulation is in South Asia. Assumingthe population growth can bemanaged properly, it will support theeconomic growth of South Asia.
Export Potential to South Asia
32
• Comparing among eight South Asian countries, India’simport demand from Indonesia is the highest, with a shareof 91.81%. However, if India is excluded and only 7 othercountries are compared, Pakistan and Bangladesh haveconsiderable demand. Meanwhile, the Maldives continuedto show high import growth.
India Pakistan Bangladesh Sri Lanka Maldives
Potential
Imported
Product
(1) Palm Oil; (2)
Coal; (3) Ore,
crust & metal
ash; (4) Rubber
and Rubber
Products
(especially: Tires
and Natural
Rubber); and (5)
Pulp, paper /
cardboard, books
& other printed
papers.
(1) Palm Oil; (2)
Vehicles and
parts (especially:
Cars and
components); (4)
Fruits; and (5)
Textiles & textile
products.
(1) Palm Oil; (2)
Textiles and
Textile Products
(especially:
artificial staple
fibers); (3) Pulp,
paper /
cardboard, books
& other printed
papers; (4) Coal;
and (5) Plastics
and plastic
products.
(1) Pulp, paper /
cardboard, books
and printed
paper (mainly:
Uncoated Paper /
Cardboard); (2)
Textiles and
textile products;
(3) Rubber and
rubber products;
(4) Plastics and
plastic goods;
and (5) Tobacco.
(1) Furniture and
home lighting; (2)
Cement; (3) Soaps
and cleaners (4)
Wood, articles of
wood; and (5)
Plastics and
plastic goods.
USD 3.5billion
(growing 9.7% per
year)
USD 1.8billion
(growing 9.5% per
year)
USD 496million
(growing 5.9% per
year)
USD 55million
(growing 9.5% per
year)
Import
Value
USD 24.1billion
(growing 10% per
year)
Thank You
Disclaimer: This presentation and the information herein are provided in confidence, for the sole purpose of the disclose materials, and may not be disclosed to any third party or used for any other purpose without the express written permission of the disclosing party
