Pefindo Company Profile

PT PEFINDO BIRO KREDIT

Indonesia’s Trusted Private Credit Bureau COMPANY PROFILE

www.pefindobirokredit.com

PEFINDO Credit Bureau will play a significant role in modernizing credit-granting for financial institutions in Indonesia.�

Djoko Sarwono, President Commissioner of PCB

Indonesia’s Trusted Private Credit Bureau

History of the Bureau Pefindo Credit Bureau (“PCB”), was established after Bank Indonesia issued Regulation No. 15/1/PBI/2013 concerning Credit Bureau and its implementing regulation, Circular Letter No. 15/49/DPKL, issued in 2013 as well. By law, as of 31 December 2013, these regulations became regulations of Otoritas Jasa Keuangan (“OJK”, Financial Services Authority). In the same year, PT Pemeringkat Efek Indonesia (Pefindo) initiated the establishment of the first Private Credit Bureau in Indonesia, PCB. The initiative attracted support from several prestigious organizations in their industry, which are: Indonesian Financial Services Association (APPI), PT Pegadaian (Persero), PT Sigma Cipta Caraka (Telkomsigma) and PT Consumer Information Consulting (an Indonesian subsidiary of CIC, the oldest and biggest Credit Bureau in Japan).

PCB applied an application for Principal License to establish a Credit Bureau to OJK in April 2014. The Principal License was obtained in August 2014. Then in November 2014, PCB was legally established under the name of PT PEFINDO Biro Kredit.

4 / History of The Bureau

Indonesia’s Trusted Private Credit Bureau

Contents Background

08 10

About PCB Vision and Mission Message from the CEO Ronald T. Andi Kasim

Product Overview

14 16 18 20 22

Why you should choose us Four Benefits PCB Score Credit Report and Score PCB Alert Early Warning System PCB Profiling Market Profiling Service PCB SME Grading SME In-Depth Report

PCB’s Partner and Shareholders

26

PCB’s Strategic Partner PCB’s Shareholders

Join Us

29

Application Form Detailed information enclosed

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GRADE b3

688 Low Risk

GRADE C1

GRADE C2

GRADE b1

653

708

669 Average Risk

Average Risk

Low Risk

GRADE d2

610 High Risk

6 / Imagine

PCB Score

PCB Alert

A comprehensive credit report of an individual or a company which displays all relevant information along with a score.

A 24/7 monitoring service that alerts the client of any significant changes in the debtor’s credit profile.

Indonesia’s Trusted Private Credit Bureau

Imagine if you had access to comprehensive credit information at the tip of your fingers...

GRADE C3

GRADE A1

GRADE A2

721

648

850

Average Risk

Very Low Risk

GRADE E1

543

Very Low Risk

Very High Risk

PCB Profiling

PCB SME Grading

An on-demand, aggregated statistical report based on pre-defined specifications to provide the client with extensive market insight.

An advanced report on SMEs providing the client with in-depth credit risk information.

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PEFINDO CREDIT BUREAU

About PCB PCB is Indonesia’s first private credit bureau that produces comprehensive, reliable, and value-added credit information. PCB helps financial institutions, non-financial institutions, and individuals to obtain valuable data in a timely and cost-efficient manner.

PCB At A Glance Founded 2014

CEO Ronald T. Andi Kasim

Headquarters Jakarta, IDN

Industry Private Credit Bureau

Employees 25

Established based on PBI 15/1/PBI/2013

According to the International Finance Corporation (A member of the World Bank Group), credit reporting systems are essential to create sound financial infrastructures that facilitate lending and help expand access to credit to a significant share of individuals, microfinance, and small and medium enterprises. Moreover, they help satisfy lenders' need for accurate, credible information that reduces the risk of lending and the cost of loan losses.

PCB is created to answer those needs.

Essentially, the two main roles of PCB are as follow: First, to promote more prudent credit risk practices for the financial sectors. PCB does this by collecting data from various data sources and providing valuable credit information. Second, to increase efficiency in credit application and credit monitoring activities through the use of cutting-edge technologies.

In its operations, PCB works side by side with its strategic partners: Creditinfo, Telkomsigma (PT Sigma Cipta Caraka), and PT Pegadaian (Persero). Creditinfo provides PCB with end-to-end credit bureau systems. Telkomsigma serves PCB with its IT infrastructure and managed services. Lastly, Pegadaian caters to PCB with a vast office network to expand its services.

8 / About PCB

Indonesia’s Trusted Private Credit Bureau

How PCB Works DATA SOURCE

CREDIT BUREAU

CREDIT INFORMATION

DISTRIBUTION

Financial Institutions Financial Institutions SID Member

OJK / BI

Standard Information

Society

Financial Institutions

Financial Institutions Non SID Member

Society Non-Financial Institutions

PCB

Comprehensive and Value-Added Information

Non-Financial Institutions

Public Institutions

Public Institutions

Note: PCB will collect all sources of valuable and relevant data. These include data sources from, but not limited to: E-KTP, National Public Procurement Agency (LKPP), Telkom, The Social Security Administrative Body for Workers (BPJS Ketenagakerjaan), State-Owned Pension Insurance Firm (Taspen), the Ministry of Justice and Human Rights, and Tax Authority.

Jean H. Reksodiputro, CIO of PCB

“PCB provides instant and automated information for better credit decision-making.”

Our Vision

Our Mission

To become the chosen private credit bureau in Indonesia, by

• To manage the most complete and accurate credit,

adopting international best practices in its operations.

financing, and other relevant data in Indonesia.

• Provide trustworthy credit information and other value-added services to its members and customers.

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PEFINDO CREDIT BUREAU

Message from the CEO Ronald T. Andi Kasim

My name is Ronald T. Andi Kasim, and I proudly announce the establishment of the Pefindo Credit Bureau (PCB). PCB is the first private credit bureau in Indonesia that provides advanced credit information. As an independent bureau, PCB supplies reliable, integrated, and value added credit information. Our ultimate aim as a bureau is to help institutions and individuals perform better risk management.

As someone who has been in the rating analysis industry for over two decades, I can truly attest that superior and accurate data is the backbone of all excellent financial decisions. At PCB, we help companies, institutions, and

10 / Message from the CEO

Indonesia’s Trusted Private Credit Bureau

Ronald T. Andi Kasim CEO of PCB

individuals obtain credit data that is comprehensive, independent, and accurate. Moreover, we do this in a timely and cost-efficient manner. Through our integrity and independency, we strive to provide the most accurate credit knowledge for our clients.

“In summary, there are two main roles of the entity.

First, to promote more prudent credit risk practices for the financial sectors by collecting data from various data sources and providing valuable credit information. Second, to increase efficiency in credit application and credit monitoring activities by adopting state-of-the-art technologies.�

Finally, our vision is to become the chosen private credit bureau in Indonesia, by adopting international best practice in its operations.

We look forward to working with you!

The PCB in Indonesia functions similarly to those in countries like Japan, Malaysia, Singapore, South Korea and the United States, which provide credit-risk profiles of people and companies.

PCB intends to play a significant role in the credit checking, credit fraud, and credit management areas for financial institutions and Indonesian debtors.

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We provide more comprehensive credit data; enriching the current Sistem Informasi Debitur (SID)

12 / We have more

Indonesia’s Trusted Private Credit Bureau

"PEFINDO Credit Bureau offers comprehensive and reliable credit information collected from its sources with integrity and credibility, two values that definitely will bring success and progress for its users."

Burhanuddin Abdullah, Senior Advisor of PCB

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PEFINDO CREDIT BUREAU

PRODUCT OVERVIEW

Why You Should Choose Us

As the first private credit bureau in Indonesia with the goal of being the credit bureau of choice, we have distilled our products to provide you with two core advantages:

Save your money PCB’s products will enable you to: • Reduce non-performing loans (NPLs) through a more proactive, preventive, and responsive credit risk management system.

• Have more prudent and objective

Target Market Creditors Country Indonesia Objective Optimal Risk Management

14 / Product Overview

decision-making through an early screening of the credit process.

• Lower operational costs in the credit-granting process.

Indonesia’s Trusted Private Credit Bureau

The Four Benefits of PCB

1

PCB Score The result of calculated mathematical algorithm against credit report and various sources of information to represent the creditworthiness of the person.

2

PCB Alert An early warning or Monitoring System for any significant changes in the debtor’s credit risk profile.

3

PCB Profiling An on-demand aggregated analysis based on portfolio risk parameters such as market segment, demography, and credit facility.

4

PCB SME Grading An advanced credit risk report for SMEs which incorporate business, financial, and management assessments.

Save your time By using PCB’s products, you will also: • Be able to accelerate the credit– granting process and credit risk management process.

• Be more effective in achieving your business targets.

• Be able to serve your debtors better.

According to the International Finance Corporation (A member of the World Bank Group), credit reporting systems are essential to create sound financial infrastructures that facilitate lending and help expand access to credit to a significant share of individuals, microfinance, and small and medium enterprises.

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PEFINDO CREDIT BUREAU

Output Credit Report & Score

We provide you with these advantages through our four core products:

System CBS5

PRODUCT #1

Objective Determine creditworthiness

PCB Score is a comprehensive report of a subject (individual or company) that displays all credit information related to the subject.

This detailed report includes all credit facilities and information that a subject has obtained from financial and non-financial institutions.

To enrich the report, PCB Score also includes public information obtained from government agencies. This includes e-KTP data (for individual debtors), as well as company data from the Ministry of Justice and Human Rights (for company debtors). This comprehensive report also includes a credit score that reflects the ability of a debtor to pay all of its financial obligations within a 12-month period.

The PCB Score includes:

+ Subject Information + Credit and other Facilities + Fulfillment of Credit and other Financial Obligations + Credit Score

16 / PCB Score

PCB Score

Indonesia’s Trusted Private Credit Bureau

PCB’s clients will gain comprehensive identity and credit information, as well as the credit score of the debtor.

The higher the score, the lower the risk.

What you essentially get from this product: + The ability to assist, automate, and streamline credit analysis and lending processes. + The ability to conduct risk-based pricing. + The ability to enforce operational risk management.

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PEFINDO CREDIT BUREAU

PRODUCT #2

PCB Alert Automatically notifies clients about critical changes in credit data related to their portfolio.

This function is dedicated to members who want to automate their customer monitoring processes.

18 / PCB Alert

Output Online Notification System Monitoring Platform Objective Protection

Indonesia’s Trusted Private Credit Bureau

What you essentially get from this product: + Simplified and automated customer-monitoring process for any changes in the credit quality of the debtor. + Effective risk management in a proactive, preventive, and responsive manner.

PCB Alert is an early warning system for monitoring any significant changes in the debtor’s credit risk profile. Staying on top of your credit portfolio can mean big savings over time, because quick and actionable information provides the intelligence necessary for better decisions.

PCB Alert automatically alerts

The PCB Alert mechanism does this

members about critical changes

by comparing new and previously-

in credit data or important events

uploaded snapshots of various

related to their clients’ portfolios.

contracts. This can refer to a

In short, this product enables you to

negative status, or termination of

monitor your client’s credit decisions.

the contract. To ensure accurate monitoring, the PCB Alert conducts these evaluations periodically.

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PEFINDO CREDIT BUREAU

CPO industry

PRODUCT #3

PCB Profiling

Output Research Report System Credit Database

PCB Profiling is an on-demand market analysis based on your portfolio risk specifications. These profiling criteria include aspects such as market segment, demography, and credit facility.

20 / PCB Profiling

Objective Market Profiling

What you essentially get from this product: + Comprehensive and custommade reporting for credit risk management. + Valuable insight based on extensive market research to support your business expansion plans.

Indonesia’s Trusted Private Credit Bureau

PCB’s extensive database, encompassing various sources, enables the Bureau to provide comprehensive and tailormade information for its clients. PCB’s Master Database includes data from various financial and non-financial institutions, public utility companies, and relevant government institutions.

Moreover, these various aggregated data sets are compiled and analyzed to provide the client with a clear insight of market conditions in a swift manner.

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PEFINDO CREDIT BUREAU

PRODUCT #4

PCB SME Grading PCB SME Grading measures the ability of Small and Medium Enterprises (SMEs) to meet their financial obligations with respect to management, business, and financial aspects.

Output SME Report

What you essentially get from this product:

System SME Rating Methodology

+ The ability to obtain in-depth

Objective Determine Financial Capability

information about SMEs that usually would not be available. + The ability to verify information which will enable the client to minimize asymmetric information on the SMEs. + The ability to increase lending volume and boost creditworthiness of SMEs.

22 / PCB SMEs Grading

Indonesia’s Trusted Private Credit Bureau

ADVANTAGES

What Distinguishes PCB

from the Debtor Information System (SID) and other credit bureaus in general: + PCB provides a Scoring that is created based on proven methodology and the aggregate report of the debtor + PCB has the ability to show credit data up to the last 10 years + PCB has the ability to track the subject’s historical identity, as well as individuals or organizations related to the subject + PCB allows unlimited number of users and is easily accessible using any devices (desktops, laptops, and even mobile phones) + PCB has the ability to provide rapid response time to any inquiry from the client + PCB records all inquiries regarding the debtor, and makes it one of the indicators for scoring + PCB has the ability to provide real-time warning mechanism to inform the client of any significant changes related to the debtor + PCB’s system is easily integrated to the client’s Loan Origination System (LOS) + PCB gathers its intelligence from more sources of data (Among others Telkom, State-Owned Pawn Shop Pegadaian, and the Directorate General of Demographic and Civil Registration) + PCB is an independent body with a lean ownership structure, and bearing no affiliation with any political parties

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Helios B. Head of

Kurniadi Network

Argi H. Product

Engineer

IT Security Division

Manager

Eko S. Head of

IT Operation & Appl. Dev. Division

24 / The Team

Listya S. Relationship Manager

Desy C. Business

Operation Staff

Risna A. M. Accounting Officer

Faizal A. GA Officer Indira G. HRD Officer

Teguh S. Database

Administrator

Indonesia’s Trusted Private Credit Bureau

Indra B. Project Manager

Rini Y. Secretary

Erwin W. Account Agus S. Head of

Manager

Business Operation Division

Rininta F. Relationship Manager

Heri H. Sr. Application Developer

Eko C. IT Support Officer

Johny T. Head of Office

Administration Division

Meet The Team

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PEFINDO CREDIT BUREAU

PCB’s Strategic Partner Creditinfo

PCB’s Shareholders PT Pemeringkat Efek Indonesia (Pefindo)

In running its operations, PCB works side

PT Pemeringkat Efek Indonesia (Pefindo),

by side with its strategic partner, Creditinfo.

was established on December 21, 1993 under

Creditinfo is an Iceland-based leading service

the initiative of Badan Pengawas Pasar Modal

provider for credit information and risk

(BAPEPAM), the Capital Market Supervisory

management solutions worldwide. It has

Agency, which is now known as OJK, and

developed numerous products and services

Bank Indonesia.

to facilitate best practice decisions in credit risk management. Creditinfo has won awards

PEFINDO is a local credit rating agency who

in several procurements supported by World

rates entities and debt instruments listed in

Bank, IFC, Millenium Challenge Corporation

the Indonesia Stock Exchange. As of today,

and other international organizations.

PEFINDO has rated more than 500 companies

Creditinfo’s strength lies in working with credit

and regional governments.

bureaus in emerging countries.

Asosiasi Perusahaan Pembiayaan Indonesia (Indonesian Financial Services Association) Asosiasi Perusahaan Pembiayaan Indonesia (APPI) is an organization that was established to unite, promote and provide services to its members, with the purpose of improving the quality of financial services business in accordance with its capacity and the prevailing regulations in Indonesia.

PT Pegadaian (Persero) PT Pegadaian (Persero) is a State-owned Pawnshop. The vision of this organization is to become a pawn-based integrated business solution provider, with a particular focus on small and medium enterprises (SMEs).

26 / Partners

Indonesia’s Trusted Private Credit Bureau

PT Consumer Information Consulting PT Consumer Information Consulting is an Indonesian subsidiary of CIC (Credit Information Center), the oldest and biggest Credit Bureau in Japan.

PT Sigma Cipta Caraka (Telkomsigma) PT Sigma Cipta Caraka (telkomsigma) is a leading integrated end-to-end ICT Solutions company for more than 27 years in Indonesia. Telkomsigma currently employs more than 1,200 personnel, including internationallycertified IT professionals. The organization is at the forefront of innovative IT solutions, development, and operations.

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Joining us is easy!

Simply fill out the following form.

T (6221) 7884 0100 F (6221) 7884 0700 W www.pefindobirokredit.com

MEMBERSHIP APPLICATION Company Name

:

Type of Business

:

Bank

Savings and Loan Cooperative

Multi-Finance Company

Other Financial Institutions :

People’s Credit Bank (BPR)

Non-Financial Institutions

Year Established

:

Company Address

:

City

:

Postal Code

:

Telephone

:

Province :

-

Fax :

-

Person in Charge Name : Division/Department

: Business / Risk Management /

Operation*

Position : Telephone & Extension :

-

Mobile phone

-

:

Ext : -

E-mail : Name : Division/Department

: Information Technology

Position : Telephone & Extension :

-

Mobile phone

-

:

Ext :

-

E-mail : We hereby submit our application to become a Member of the Pefindo Credit Bureau (PCB). ,

20

Please send the form to:

Marketing Director PEFINDO CREDIT BUREAU (PCB) AD Premiere Building 2nd Fl. Jalan TB Simatupang Kav. 5 Jakarta 12550 Indonesia attn. Marketing & Business Development Division e-mail: info@pefindobirokredit.co.id

Director

Indonesia’s Trusted Private Credit Bureau

This cooperation (between Indonesian Government and PCB through citizen’s ID number accessibility) will improve public service to become better and faster.”

Tjahjo Kumolo, Minister of Home Affairs of the Republic of Indonesia Source: Bisnis.com, July 7, 2015.

PT PEFINDO BIRO KREDIT AD Premier Building, 2nd Fl. Jalan T.B. Simatupang No. 5 Jakarta 12550, INDONESIA T: +6221 78 84 0100 F: +6221 78 84 0700 E: info@pefindobirokredit.co.id

www.pefindobirokredit.com