Opening a Corporate Bank Account in Indonesia

If you are in the process of setting up a company in Indonesia or have just finished doing so, opening a corporate bank account is your next big step. It is a mandatory part of the company incorporation process. 

However, the process of establishing banking operations in Indonesia can be difficult without on-the-ground experience.

In this article, we will walk you through the process of opening a bank account for your company in detail.

How to Open a Corporate Bank Account in Indonesia

Opening a corporate bank account in Indonesia is easy compared to countries such as Dubai and Hong Kong. The Indonesian government has implemented a simplified banking system. It aims to attract foreign investment and facilitate business growth.

Once your company is registered, you can go to the bank the next day and open your account.

List of required documents to open a company bank account in Indonesia

Here are the documents you need to present in nearly all banks once your company registration is complete:

• Deed of Establishment (AKTA)
• Tax card (NPWP)
• PT Domicile letter
• BKPM Investment Registration Letter (SIUP)
• A copy of the ID card of all board of directors, shareholders, and authorized signers
• A copy of KITAS for foreigners
• Company registration letter (TDP)
• Deed of establishment’s approval from Ministry of Law and Human Rights (Pengesahan KEPMENHUMHAM)
• Minimum deposit amount of IDR 1,000,000 or $100 depending upon bank and account currency

There are no minimum turnover requirements to open a corporate bank account in Indonesia. However, some banks have minimum monthly balance requirements that you should also consider before opening your account.

Process for opening a corporate bank account in Indonesia

The process of opening a corporate bank account in Indonesia varies slightly from bank to bank. Still, here is a general process to open a corporate bank account in Indonesia:

1. Once your business registration is complete, gather all the required documents and visit your preferred bank.
2. Submit the necessary documents for review along with the Board Resolution and application form.
3. If all documents are in order, the bank will open your company account and ask you to make the initial deposit. This amount can be $100 for a USD account or IDR 1,000,000 for a local currency account.
4. Collect your corporate account number and other necessary documents and activate internet banking.

Keep in mind that it can take anywhere from one day to a few weeks depending on the completeness and accuracy of provided documents.

Opening a corporate bank account before your PMA registration is complete

It is also possible for companies to open a corporate bank account before the company registration is complete. However, not all banks allow that. 

To open a bank account before your PT PMA registration, here are the documents you will need:

• PT Tax card (NPWP)
• PT Domicile letter
• BKPM Investment Registration Letter (SIUP)
• Deed of Establishment (AKTA)
• Copy of ID card or KITAS of all board of directors, shareholders, and authorized signers depending upon their nationality
• Letter of Attorney from all shareholders, board of directors, and all commissioners to all authorized signers. All documents for opening the bank account need to be signed by shareholders, the board of directors, and the commissioner (each page)
• A cover note from your notary mentioning that: The Approval of the company deed of the establishment is still in progress at the Ministry of Law and Human Rights

You should present the following documents to the bank no later than a month after applying for a bank account:

• PT deed of establishment’s approval from the Ministry of Law and Human Rights (KEPMENHUMHAM)
• BKPM Investment registration letter (SIUP)
• Copy of company registration letter (TDP)

All the steps above are general requirements from most of the banks in Indonesia. Some banks have other specific requirements depending on the field of operations and residency status of shareholders. 

Opening a bank account for a representative office

A representative office can open a corporate bank account in Indonesia and most banks need to see these three documents to make it happen:

• Business License (in the form of SIUP or other forms of license from the government authority related to the business of the company)
• Copy of Company Registration Certificate – TDP (if any)
• Copy of Tax ID – NPWP

Major Banks in Indonesia

There are well over a hundred banks in Indonesia – many of them with a tiny market share and niche financial products.

Despite the slight cooling of the economy, major banks have been robust and provide sufficient loss-absorption buffers against rising challenges, according to the rating agency Fitch.

Talking about specific banks, here are the biggest three banks in Indonesia (depending on your means of measurement):

1. Bank Mandiri

Largest by several measures, Mandiri was born out of the 1997-1998 Asian Financial Crisis (AFC). The government fused four failed banks that required state bailouts.

2. Bank BRI

BRI was founded in 1895 as Priyayi Bank of Purwokerto, gained its current name in 1946, and became a state-owned bank in 1950.

Thanks to the rural units that the bank established in the 1970s, the lender has established an identity based on its national presence, microfinance, and loans to small and medium-sized companies.

3. Bank BCA

BCA is Indonesia’s third-largest bank by assets and biggest by market value. It is also one of the two privately owned lenders among the top five banks in Indonesia. The institution came under public control after the AFC but made a quick recovery and was again privatized.

“Recommended reading: Guide for selecting a bank at Living in Indonesia”.

Recap of Opening a Corporate Bank Account in Indonesia

Opening a bank account for your company is a straightforward and quick process. However, the accuracy of required documents can make the process a bit difficult and time-consuming. 
Emerhub can take away the hassle for you and help you open a bank account whether you are overseas or in Indonesia. Furthermore, if you are still planning to register your business in Indonesia, our experts can assist you with everything from start to end.