PT Bank Tabungan Negara (Persero) Tbk leads in technology and operations at ABF Wholesale Banking Awards 2024

BTN's strategic IT advancements and operational efficiencies secure top honours, affirming its role as a pioneer in the Indonesian banking industry.

PT Bank Tabungan Negara (Persero) Tbk (BTN) has been honoured with the prestigious Indonesia Domestic Technology & Operations Bank of the Year title at the ABF Wholesale Banking Awards 2024, recognising its robust IT strategies and operational excellence. This accolade underscores BTN's commitment to integrating cutting-edge technology to enhance its banking operations, aligning with its vision to become the Best Mortgage Bank in Southeast Asia by 2025.

BTN’s strategic focus on Information Technology is encapsulated in its Information Technology Strategic Plan (RSTI) spanning 2021 to 2025, which revolves around enhancing infrastructure and security for data processing. This strategy is founded on four pivotal pillars, including aligning IT initiatives with business objectives, designing scalable technology stacks, establishing a versatile IT operating model, and developing an IT transformation roadmap that integrates human capital, processes, and technology.

Throughout 2022, BTN undertook significant preparations for a large-scale transformation. This included revising critical systems for enhancement or replacement, adopting an agile-based multi-speed IT operating model, and concentrating on elevating IT maturity. These efforts are part of a broader agenda to develop a digital mortgage ecosystem through digital channel development, merchant system improvements, and business process automation, all aimed at bolstering efficiency and regulatory compliance.

Moreover, BTN has taken proactive steps to revitalise and standardise its IT infrastructure, encompassing both hardware and network enhancements, which include increasing infrastructure capacity and implementing advanced security technologies to safeguard the systems.

BTN’s strategic IT initiatives extend to transforming banking experiences for its customers and achieving financial inclusivity. For instance, the bank has revamped its channel capabilities to serve over three million lending customers more effectively, enhancing transactional volume and fee-based income. In its pursuit to democratise housing, BTN has committed to financing one million subsidised houses from a government program catering to the mass segment, alongside developing new channels for the mass-affluent segment.

Additionally, BTN is dedicated to creating a comprehensive one-stop financial solution for housing-related businesses, aiming to double its non-mortgage portfolio to IDR 150Tn and increase product holdings from the emerging affluent segment. This strategy is supported by the development of data and analytics capabilities to enable targeted marketing and cross-sales.

BTN is also focused on becoming a hub for digital innovation and top talent by digitalising processes to streamline operations and attract top-notch talent by repositioning its IT organisation from a traditional IT service provider to a strategic business partner. Utilising technologies like Cloud, DevOps, AI/ML, and RPA, BTN supports innovation and enhances its service delivery.

In line with these advancements, BTN has also strengthened its risk management processes, utilising technology to develop an integrated and stringent risk management framework that maintains Non-Performing Loans (NPLs) sustainably below 3%. This comprehensive approach not only ensures robust financial health but also enhances BTN’s capacity to manage risks effectively.

BTN's commitment to integrating innovative technologies and refining operational processes has not only fortified its position in the Indonesian banking sector but has also set a benchmark for excellence in digital banking operations, as recognised by the ABF Wholesale Banking Awards 2024. This achievement is a testament to BTN's relentless pursuit of excellence and innovation in serving its clients and enhancing its industry standing.

The ABF Wholesale Banking Awards is presented by Asian Banking & Finance Magazine. To view the full list of winners, click here. If you want to join the 2025 awards programme and be recognised for your company's innovative solutions, products, services, and deals that impacted the banking and finance industry, please contact Julie Anne Nuñez at julie@charltonmediamail.com.