LPEI's Commitment to Strengthen Governance and Anti-Gratification to Boost National Exports

Jakarta, 17 Maret 2025 - Lembaga Pembiayaan Ekspor Indonesia (LPEI) / Indonesia Eximbank continues the transformation that began in 2020, focusing on three main pillars, namely risk management and asset quality, business models, and good corporate governance (GCG) and human resources (HR) infrastructure. 

The improvements include strengthening the management structure, implementing a financing decision-making system through a committee, identifying potential risks early through an early warning system, and strengthening HR and IT infrastructure. On the business side, LPEI continues prioritizing collaboration in the export ecosystem to support increased national exports, increased foreign exchange villages, and new exporters. 

"The transformation over the past five years has brought LPEI to a significant turning point with positive achievements. This reflects LPEI's progress and readiness to support Indonesia's export growth," said Plt. Chairman of the Board of Directors, concurrently Executive Director of LPEI, Yon Arsal.

LPEI's seriousness in implementing the principles of Good Corporate Governance is reflected in the results of the assessment conducted by the Financial and Development Supervisory Agency (BPKP), which has increased every year. This increase demonstrates LPEI's strong commitment to implementing the principles of transparency, accountability, and integrity.

Regarding the legal issue currently being processed by the Law Enforcement Apparatus (APH), LPEI emphasized that the distribution of the financing occurred in 2012 and is not a new case.

LPEI firmly applies an anti-gratification and bribery policy to all levels of management and employees. Every employee and new management must sign an Integrity Pact to enforce a clean and transparent business process, including being prohibited from conducting transactions that give rise to a conflict of interest.

LPEI also regularly conducts training and counselling related to risk management, code of ethics, anti-fraud, and gratification and implements a whistleblowing system (WBS) that the public can access through the LPEI, KPK and Ministry of Finance websites as one of the efforts to implement good Institutional Governance.

Various LPEI improvement efforts have shown positive results from a business perspective, as reflected in the new Non-Performing Financing (NPF), which has been in the range of 0.02% of onboard debtors since 2020. In 2024, LPEI also succeeded in reducing gross NPL to 29.1% from the previous year, which reached 43.5% and recorded a decrease in net NPL from 14% to only 4.5%, which illustrates a significant improvement in overall portfolio quality.

Not only in terms of financial performance, LPEI also recorded positive performance from the non-financial side with the increasing number of Foreign Exchange Villages reaching 1,845 villages with various leading export commodities, the growth of 1,097 new exporters, training for more than 6,000 export-oriented SMEs, and organizing 85 business matching for Indonesian business actors. Through training, mentoring, and business matching programs, LPEI shows its seriousness in supporting the growth of Indonesian SMEs. 

Overall, LPEI also plays an active role in helping its debtors expand their export markets to more than 180 countries, including non-traditional export markets, thereby reducing dependence on traditional export markets and increasing export market diversification.

In line with that, Yon said that through various work programs, LPEI is committed to supporting Indonesian exports, primarily through empowering SMEs and Foreign Exchange Villages and developing non-traditional export markets.

"Improving performance, both financially and non-financially, continues to be LPEI's main priority in realizing a professional institution with integrity, along with LPEI's ongoing transformation process. LPEI is fully committed to carrying out its duties and functions according to its mandate, prioritizing good corporate governance (GCG) principles and upholding integrity. LPEI consistently strengthens institutional governance, including implementing strict anti-gratification policies, to ensure transparency and a work environment free from fraud," said Yon Arsal.