SeaBank Indonesia, formerly PT Bank Kesejahteraan Ekonomi (BKE), experienced a significant financial turnaround after being acquired by Sea Group in early 2021. In 2020, the bank reported a loss of Rp 593.37 billion. Following its transformation into a digital bank, losses decreased to Rp 315.33 billion. By October 2022, SeaBank recorded a net profit of Rp 22.71 billion.

President Director Sasmaya Tuhuleley credited this shift to SeaBank’s full digital transformation and product innovation tailored to user needs. “The key is the transformation into a digital bank. We introduced innovations in products and services aligned with what customers want,” he said.

The bank eliminated fees, offered daily interest payments, and developed an easy-to-use app. Integration with Shopee, also under Sea Group, contributed to rapid growth by leveraging its large user base. “A digital bank must collaborate with an ecosystem to grow,” he explained.

SeaBank’s assets rose by 184 percent year-on-year to Rp 23.79 trillion while maintaining strong credit quality and operational efficiency.

Building Trust in Digital Banking Through Simplicity and Security

Tuhuleley acknowledged the difficulty of gaining trust from users unfamiliar with branchless banking. “The biggest challenge is building trust, especially because customers don’t interact with branches or physical offices,” he said.

To address this, SeaBank built a reliable, secure system supported by layered security features such as PINs, passwords, OTPs, and facial authentication for high-risk transactions. “For example, if someone typically transfers one million, but suddenly transfers fifty million, the system will trigger face authentication,” he explained.

The bank is also pursuing ISO27001 certification and emphasizes digital safety through customer education. “Many fraud cases occur not in the bank but from the customer’s side through social engineering. That’s why we educate them regularly via social media,” he added.

Inclusive Banking: Serving the Underserved and Unbankable

SeaBank targets segments often excluded from traditional banking, particularly retail customers and MSMEs. “We serve the underserved and aim to improve the welfare of Indonesians,” said Tuhuleley.

The bank offers services with no minimum balance, no transfer or administration fees, and competitive interest—5 percent for savings and 7 percent for deposits. Interest is calculated daily and credited every night at midnight. “We may be the only bank that provides daily interest payments,” he said.

Customer support is available 24/7 through app-based chat and email. The approach aligns with SeaBank’s strategy to encourage saving among users with smaller balances and limited access to banking services.

Weathering Economic Headwinds with Strong Risk Management

With global economic uncertainty and potential recession in developed countries, Tuhuleley emphasized the importance of preparing for financial turbulence. “Next year, banks must be vigilant. Risk management must improve,” he said.

He highlighted three priorities: increasing credit provisioning, strengthening capital, and maintaining liquidity. “We ensure our risk management governance is solid. It’s reflected in our policies and procedures,” he added.

SeaBank’s business model, which focuses on collaboration within the Sea ecosystem and smaller-scale credit distribution, positions the bank to adapt more easily to monetary tightening. “We monitor business performance and credit quality to remain efficient in times of crisis,” he said.

SeaBank’s 2025 Outlook: Financial Inclusion and Innovation at the Core

SeaBank remains focused on expanding financial access and maintaining business sustainability. As of September 30, 2022, the bank had reached a Macroprudential Inclusive Financing Ratio (RPIM) of around 45 percent, above the 30 percent regulatory minimum.

“We will continue promoting financial inclusion through digital banking features that meet customer needs,” said Tuhuleley. He also emphasized SeaBank’s commitment to serving retail and MSME customers by removing barriers such as the lack of formal financial records.

“Innovation is key for a digital bank. We are enhancing banking features so that customers will stay loyal,” he said.

PHOTO: SEABANK

This article was created with AI assistance.