Sustainable banking puts purpose beyond profit

When total the Temburong Bridge in Brunei will be 30km very long&nbsp

Creator: Ti Eng Hui, CEO, Baiduri Bank

July 22, 2021

Founded in 1994, Baiduri Bank is a entire-support bank serving men and women, enterprise, company and institutional customers in Brunei – although its wholly owned subsidiaries Baiduri Finance and Baiduri Money specialise in shopper financing and expenditure remedies respectively. With a Common & Poor’s score of BBB+/A-2 with stable outlook, Baiduri Financial institution is recognised as the leading conventional financial institution in Brunei and just one of the strongest in the region.

2020 was an unprecedented calendar year, with the COVID-19 pandemic bringing forth a large human, social and financial disaster on a global scale. Owing to the helpful complete-of-country tactic in combating the pandemic, Brunei recorded favourable GDP advancement of 1.2 % in spite of the troubles. In accordance to the Autoriti Monetari Brunei Darussalam (AMBD), a statutory physique acting as the central bank of Brunei, the banking sector is liquid and effectively capitalised. Sector profitability fell by 4.8 % primarily as a result of the world reduced interest charge ecosystem, which has adversely impacted interest/revenue money on offshore placements with banking institutions and economical establishments.

From this backdrop, Baiduri Bank demonstrated superior resilience and a stable performance. Despite the tough functioning surroundings, its market share in assets grew by 21.98 percent although internet profit grew by 1.09 % to BND56.2m ($42.1m). With strong credit history threat management, loan impairment observed a significant reduction of 51.19 p.c even immediately after factoring in supplemental allowances in anticipation of greater defaults prompted by the pandemic. Return on Equity (ROE) was marginally reduced, in line with the bank’s path to maintain increased tier 1 capital, which has increased by 7.98 %. Subsidiaries Baiduri Finance and Baiduri Capital also shown solid business enterprise momentum through the exact interval.

Talking to Environment Finance, Ti Eng Hui, Chief Executive Officer of Baiduri Financial institution said, “Overall the lender demonstrated a solid efficiency in 2020 amid the uncertainties of COVID-19. The truth that we have been the only big lender in Brunei that recorded an increase in gain in 2020 attests to the power of our company model and the excellent of our execution.” In the past 12 months, Baiduri Bank reached various essential milestones in its initiatives to adapt to the modifying economic landscape and situation for expansion. “We have increased our electronic choices, relocated to our new headquarters, launched our refreshed brand, solid new strategic partnerships, invested greatly in persons development and reinvigorated our company social responsibility (CSR) programme,” Ti commented.

 

Improved electronic choices
In March 2020, the bank introduced Baiduri b.Electronic Private, a digital banking platform obtainable for desktop as very well as a cellular application variation. Recognised as the ‘Best Cellular Banking App for Brunei in 2020’ by Planet Finance, Baiduri b.Electronic Personal offers increased UI/UX, new and enhanced features including biometric login, one-check out account dashboard, in-app calculators and additional. The app provides whole functionalities to cater for the most widespread retail banking transactions. Adopting cellular-1st layout logic, it is a pre-requisite to download the application in get to transact utilizing the desktop variation, as the app serves as a electronic token for authentication.

“Since the launch, we saw a 40 per cent year-on-12 months improve in normal month to month transaction quantity and a 43 p.c maximize in lively user foundation amongst March and November 2020. Definitely, the pandemic has accelerated digital adoption and the start of our refreshed offerings was not only well timed, but also met a big need for ‘contact-free’ solutions to access banking products and services,” Ti elaborated.

 

Relocation to new headquarters
In June 2020, the bank relocated to its new headquarters at Jalan Gadong, the hub of professional and retail functions in Brunei. The new headquarters options an eight-storey constructing with an adjourning multi-storey auto park. Motivated by hospitality design and style to provide greatest-in-course company, the bank’s new headquarters are intended utilizing modern day materials with distinguishing touches of modern day architecture and integrate green features that are centered on the necessities of the BCA Green Mark Scheme, an international benchmark for ideal practices in environmental layout and efficiency.

The new headquarters are geared up to provide an enhanced shopper knowledge with the introduction of numerous new attributes, one particular of which is the placement of a entrance desk reception to greet and aid all wander-in clients, sellers and attendees. A digital queuing method was also launched, wherever prospects can join a digital queue by scanning a QR code and keep track of their queuing status right from their mobile gadget. Other capabilities involve a spacious status centre for significant-web-worth customers, a devoted electronic hub to showcase the bank’s suite of digital offerings, as well as an onsite café for economical session in a additional calm placing.

 

Manufacturer refresh
In September 2020, Baiduri Financial institution released its refreshed manufacturer pursuing an intense 12 months-extensive procedure of arranging, investigate and assessment in partnership with an international team of brand consultants. At the heart of the new model assure, ‘co-making your future’, is a renewed target on getting client-centric and financially inclusive.

A complete brand name refresh campaign was released, which noticed the introduction of a refreshed brand, collaterals, frontline uniform and a new appear and experience throughout several buyer touchpoints. A brand name new, cellular optimised website was also launched, alongside with an artificial intelligence (AI) chatbot, Emmi.

“With our new manufacturer guarantee, we will proceed to discover a lot more platforms and initiatives to fulfil our mission to enrich, empower and interact the communities we serve, adopting a collaborative method by doing the job closely with different stakeholders,” Ti emphasised.

 

Forging strategic small business partnerships
In October 2020, the bank partnered with Brunei’s flagship carrier, Royal Brunei Airways, to start the 1st co-branded Visa vacation cards in the nation, equipped with the most recent contactless payment systems. Though vacation has appear to a temporary halt in lots of elements of the earth which include Brunei owing to the pandemic, each manufacturers determined to continue with the start, repositioning the proposition to aim on how cardholders could start off earning and accumulating Royal Skies miles from each day paying, in order to redeem absolutely free flights or vacations the moment journey restrictions are lifted.

 

Investing in persons
Considering that 2019, the lender has been functioning on a major initiative to digitalise its human source management and support supply with the implementation of SAP SuccessFactors, a single of the greatest cloud-based mostly human funds administration techniques. Aspiring in the direction of getting a learning organisation, the bank also partnered with international discovering suppliers these as Moody Analytics and Instinct Awareness Provider (IKS) to enrich its studying curricula for personnel.

In February 2021, Baiduri Lender released the graduate apprentice programme (Gap). Hole is a 6-thirty day period holistic development programme aimed at delivering new graduates with the needed expertise, competencies and encounter that will raise their employability in the regional position market. Eleven effective apprentices joined the financial institution in the direction of the conclusion of March 2021, embarking on a collection of functions designed to introduce them to the banking planet and aid them achieve thorough awareness of a variety of economic products and solutions and providers. At the stop of the six-month programme, apprentices may well use for any suited vacancies within Baiduri Bank or its subsidiaries, or go after their professions with other organisations in the market.

Ti stated, “GAP is a testomony to Baiduri Bank’s commitment to help recent graduates by serving to them acquire employability techniques and a discovering state of mind. This is also in assist of purpose one for Wawasan Brunei 2035, reflecting the nationwide aspiration to be commonly recognised for an educated, remarkably proficient and achieved workforce.”

 

Empowering the group
Aligning to the bank’s refreshed manufacturer, a few main pillars have been discovered for its company social obligation programme: aid for social local community (social), creating the financial state (economic) and marketing environmental sustainability (environmental).

In latest months, Baiduri Bank has properly implemented a number of crucial initiatives in the CSR room. In April 2021, the financial institution launched its personnel volunteer programme named ‘Baiduri cares,’ a platform that enables its workers to give again to the neighborhood by becoming immediately concerned in numerous volunteering pursuits focusing on the bank’s CSR pillars.

“Aligning with our new brand name promise, we have determined new brand name values for our staff which include things like trustworthiness, getting inclusive, empathic and enterprising. By ‘Baiduri cares,’ we hope to place these values into apply as we request to make a favourable influence in our neighborhood,” Ti even further spelled out.

In the very same month, Baiduri Lender also partnered with the Ministry of Residence Affairs to start a food items truck entrepreneurship initiative, ‘urban bites by Baiduri.’ It also inked an arrangement with the Ministry of Society, Youth and Athletics for the advancement of the nation’s first indigenous mobile volunteer application named ‘Mengalinga’ (translated as ‘caring’). Each initiatives are a solid testament to Baiduri Bank’s commitment to support the demands of the group in collaboration with its stakeholders.

 

Carrying out nicely by doing great
With the expanding emphasis on triple base line and sustainability, businesses all-around the entire world are embracing corporate accountability in their business enterprise operations, location forth and staying correct to their reason – in individual, objective further than financial gain. “At Baiduri Bank, we believe that safeguarding the passions of employees, communities and the public at big is not automatically at odds with the critical of earnings. On the contrary, the adage of ‘doing very well by doing good’ retains a good deal of reality now. The COVID-19 pandemic has illuminated vulnerabilities in the current socio-financial systems and underlined the relevance of the sustainability agenda. Company social obligation is, and will proceed to be, the basis of sustainable growth.”

“As we request to supply increased worth to our clients and shareholders, we will also embed sustainability and responsible banking in our organization tactic. By providing on our function, and assisting people and firms realize accomplishment, we improve as a small business and we can assist meet the wants of the local community much too,” Ti concluded.

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