Bank Rakyat Indonesia (BRI) is planning a remittance partnership with Bank Kerjasama Rakyat Malaysia (Bank Rakyat) with plans to expand its services.
BRI president director Asmawi Syam said: "That’s the most feasible partnership to do within a short period. It will widen our remittance coverage to cater to the needs of Indonesian workers there."
The collaboration will enable both banks to provide banking services to customers in the two countries.
Bank Rakyat president Datuk Mustafha Abd Razak told Bernama: "For example, Indonesian workers in Malaysia can become BRI’s customers and use services offered by Bank Rakyat in Malaysia for remittances and withdrawals."
The cooperation will enable Indonesian workers in Malaysia to open accounts with BRI and facilitate the transfer of their wages to families through money remittance services, which in turn will generate fee-based income for Bank Rakyat in Malaysia.
The partnership with Bank Rakyat will also allow BRI to use the former’s 147 branches to channel services, said The Jakarta Post.
Syam said: "If we opened our own branch there, we may have been able to establish one branch only. So instead of doing that, we’ve established this partnership that will allow us to use all of those [Bank Rakyat] branches."