BOP BSS Micro Loan (IFC-40848)

Countries
  • Indonesia
Geographic location where the impacts of the investment may be experienced.
Financial Institutions
  • International Finance Corporation (IFC)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Proposed
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
B
Environmental and social categorization assessed by the development bank as a measure of the planned project’s environmental and social impacts. A higher risk rating may require more due diligence to limit or avoid harm to people and the environment. For example, "A" or "B" are risk categories where "A" represents the highest amount of risk. Results will include projects that specifically recorded a rating, all other projects are marked ‘U’ for "Undisclosed."
Borrower
BANK SAHABAT SAMPOERNA, PT
A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.
Sectors
  • Finance
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Loan
The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
$ 40.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Loan Amount (USD)
$ 40.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Primary Source

Original disclosure @ IFC website

Updated in EWS May 15, 2024

Disclosed by Bank Jul 19, 2022

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Project Description
If provided by the financial institution, the Early Warning System Team writes a short summary describing the purported development objective of the project and project components. Review the complete project documentation for a detailed description.

According to the bank's website, the project "consists of a 3-year secured senior loan facility/social bond for up to US$40 million in IDR equivalent; provided for PT Bank Sahabat Sampoerna (“BSS”, or the “Bank”) – under the “Base of the Pyramid Program” (“BOP Program”), part of Fast Track COVID-19 Facility. The BOP Program is designed to support lending to micro, small and medium enterprises (“MSMEs”) by financial institutions in emerging markets in response to the COVID-19 pandemic.The proceeds from the proposed secured senior loan facility/ social bond will be utilized by BSS to support lending to MSMEs, which are underserved and significantly impacted by COVID-19 pandemic. BSS is a private bank sponsored by the PT Sampoerna Strategic Group (“SSG”, the “Group”, or the “Sponsor”) which is a large conglomerate established by Sampoerna family in Indonesia. The Bank is controlled by SSG through PT Sampoerna Investama, which currently holds 64.24% stake in the Bank. The Bank has exhibited a strong and proven track record in the MSMEs segment, which constitutes more than 70% of the Bank’s loan portfolio through a network of 21 branches. To boost its business, BSS also developed a loan acquisition scheme whereby it partnered with its affiliated cooperative partner, Koperasi Simpan Pinjam Sahabat Mitra Sejati since 2011."                                                 

Investment Description
Here you can find a list of individual development financial institutions that finance the project.
Financial Intermediary
A financial intermediary is a bank or financial institution that receives funds from a development bank. A financial intermediary then lends these funds to their clients (private actors) in the form of loans, bonds, guarantees and equity shares. Financial intermediaries include insurance, pension and equity funds. The direct financial relationship is between the development bank and the financial intermediary.
Private Actors Description
A Private Actor is a non-governmental body or entity that is the borrower or client of a development project, which can include corporations, private equity and banks. This describes the private actors and their roles in relation to the project, when private actor information is disclosed or has been further researched.

According to the IFC, BANK SAHABAT SAMPOERNA, PT (BSS) is controlled by SSG through PT Sampoerna Investama, which currently holds 64.24 % stake in the Bank, with the remaining 35.76% stake held by other institutional and individual investors. SSG is amongst the most highly reputable business groups in Indonesia and is presently involved in five industry sectors -- agriculture, finance, property, telecommunications and timber. The group is owned by Sampoerna family with total estimated net worth of US$1.8 billion by 2021


Contact Information
This section aims to support the local communities and local CSO to get to know which stakeholders are involved in a project with their roles and responsibilities. If available, there may be a complaint office for the respective bank which operates independently to receive and determine violations in policy and practice. Independent Accountability Mechanisms receive and respond to complaints. Most Independent Accountability Mechanisms offer two functions for addressing complaints: dispute resolution and compliance review.

PT Bank Sahabat Sampoerna
Sjianata
Finance
(+6221) 5795 1234
Sjianata@banksampoerna.com
Sampoerna Strategic Square, North Tower, Mezzanine Floor,Jl.Jend. Sudirman Kav. 45-46, Jakarta,1293
https://www.banksampoerna.com/en/home/

 

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ACCOUNTABILITY MECHANISM OF IFC/MIGA

The Compliance Advisor Ombudsman (CAO) is the independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by an IFC or MIGA- financed project. If you submit a complaint to the CAO, they may assist you in resolving a dispute with the company and/or investigate to assess whether the IFC is following its own policies and procedures for preventing harm to people or the environment. If you want to submit a complaint electronically, you can email the CAO at CAO@worldbankgroup.org You can learn more about the CAO and how to file a complaint at http://www.cao-ombudsman.org

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How it works