Good Corporate Governance

IMPLEMENTATION OF GOVERNANCE

The implementation of the principles of Governance in the Bank is based on the following regulations:

1. POJK No. 17/2023 on the Implementation of Governance for Commercial Banks;
2. POJK No.45/POJK.03/2015 on the Implementation of Governance in Providing Remuneration for Commercial Banks;
3. SEOJK No.13/SEOJK.03/2017 dated March 17, 2017 on the Implementation of Governance for Commercial Banks;
4. SEOJK No.40/SEOJK.03/2016 dated September 26, 2016 on the Implementation of Governance in Providing Remuneration for Commercial Banks;
5. POJK No.12/POJK.03/2020 on Consolidation of Commercial Banks.

The implementation of Governance is based on five basic principles of Governance, namely:

1. Transparency, namely openness in presenting material and relevant information and openness in the decision-making process.
2. Accountability, namely clarity of functions and implementation of accountability of organs in the Bank so that the management of the company runs effectively.
3. Responsibility, namely the conformity of the management of the Main Entity and Financial Service Institutions with the laws and regulations and sound management principles.
4. Independency, namely the professional management of the Bank without any influence or pressure from any party.
5. Fairness, namely fairness and equality in fulfilling the rights of stakeholders that arise based on agreements and laws and regulations.

Bank Resona Perdania continuously pays attention to the Bank Governance to create a sustainable implementation. As of the end of 2021, the Bank’s Governance focuses on realizing the following main objectives:

1. Improve the performance of the Bank by elevating the competence of human resources that will ultimately have an impact on improving services to the partiesconcerned, including customers and regulators (the Financial Services Authority/Bank Indonesia), the Government, Employees, and Shareholders.

2. Enhance the active supervision of the Board of Commissioners and the responsibility of the Board of Directors in applying the prudential principle in accordance with the principles of Governance.

3. Intensify the role of all governance organs to protect the Bank from potential lawsuits, sanctions, and reputation risks caused by the Bank’s disobedience
   to applicable regulations.

COMPLIANCE FUNCTION

The Bank is dedicated to assimilating a compliance culture into all levels of the organization and business activities. To that end, the Bank has established the Compliance Departement as an independent unit that is not related to other work units and functions. The division aims to ensure that the compliance principles have been properly implemented at all levels of the organization and to uphold the compliance culture. The Compliance Departement is also responsible to the Director in charge of the Compliance Function. In terms of compliance, the Board of Commissioners is tasked with supervising the implementation of the compliance function through evaluation and providing advice to improve the quality of the compliance function. The following chart presents the Bank’s compliance system workflow: