Bank Mandiri continues to establish itself as a major force in Indonesia’s financial technology sector through the rapid growth of its digital platforms, Livin’ by Mandiri and Kopra by Mandiri.

As of March 2025, Livin’ had reached 30.7 million users, registering 1.1 billion transactions in the first quarter alone, a 30% increase from the previous year.

The platform also recorded a transaction value of IDR 1,070 trillion, marking a 16% year-on-year increase.

Kopra by Mandiri, the bank’s wholesale digital solution, managed 349 million transactions with a total value of IDR 6,000 trillion, up 23% YoY.

The combined digital transaction volume across both platforms reached IDR 7,066 trillion by the end of Q1 2025, showing 21.9% growth annually.

“Digitalization is a key pillar in improving Bank Mandiri’s competitiveness while expanding national financial access,” stated Darmawan Junaidi, President Director of Bank Mandiri.

Driving SME Digitalization with Livin’ Merchant

Launched in June 2023, Livin’ Merchant has become a cornerstone in Bank Mandiri’s strategy to digitally empower MSMEs across Indonesia, particularly in non-urban regions.

The platform recorded 2.6 million registered users as of March 2025, up 35% from the previous year. Monthly active users tripled from March 2024, positioning Livin’ Merchant as a major digital enabler for small businesses.

“We continue to accelerate digital innovation to deliver banking services that are relevant and adaptive to customers’ needs in this dynamic era,” said Darmawan.

The expansion of Livin’ Merchant aligns with the bank’s broader push for financial inclusion, particularly by integrating MSMEs into the formal digital financial ecosystem.

Digital Platforms Fuel Non-Interest Income and Operational Efficiency

The fintech-driven momentum also contributed to a 17.3% YoY increase in Bank Mandiri’s non-interest income, which reached IDR 11.24 trillion in March 2025.

This was supported by strong performance in digital transactions, treasury operations, trade finance, and fund management services.

Operational efficiency improved in parallel, with the Cost to Income Ratio (CIR) falling to 38.2% by the end of Q1 2025.

These results reflect the growing cost-efficiency benefits derived from the bank’s digital transformation strategy.

Bank Mandiri reported a consolidated net profit of IDR 13.2 trillion in Q1 2025, a 3.9% increase from the same period last year.

Return on Equity (ROE) stood at a solid 20.8% on a bank-only basis.

Fintech-Backed CASA Growth Supports Strong Liquidity

Bank Mandiri’s digital services have also strengthened its low-cost funding base. The bank’s Third-Party Funds (DPK) reached IDR 1,748 trillion as of March 2025, up 11.2% YoY.

Within this, low-cost funds (CASA) grew 8.89% YoY, making up 77.1% of total bank-only deposits.

Darmawan noted that leveraging digital channels was key: “We are utilizing digitalization to optimize low-cost fund acquisition and enhance funding cost efficiency.”

Sustainable Finance Integrated into Digital and ESG Strategy

Digital transformation at Bank Mandiri is closely tied to its ESG commitments. As of Q1 2025, sustainable financing portfolios reached IDR 294 trillion, up 11.1% from the previous year.

This includes IDR 148 trillion in green financing (up 13.4%) and IDR 146 trillion in social financing (up 9%).

Bank Mandiri continues to expand its fintech-powered ESG initiatives through product development, governance, operational energy efficiency, and financial literacy, all aimed at supporting a national transition toward sustainable economic models.

PHOTO: ANTARA/BANK MANDIRI

This article was created with AI assistance.