Woori Bank’s Indonesian unit has received a higher grade in capital requirement imposed by the Southeast Asian country’s market watchdog, bringing it one step forward in expanding its business portfolio in the region, officials said Sunday.

As of December last year, Bank Woori Saudara raised a combined capital of 5.2 trillion rupiah, or approximately 413 billion won, which falls under a BUKU3 rating, the third-highest in Otoritas Jasa Keuangan’s four-tier bank capital classification. The OJK is an Indonesian government agency responsible for supervising the financial services sector.

Having met the OJK’s higher capital standards, the bank is planning to launch securities products and trust services, while strengthening its ongoing bank assurance business, officials said. 

“Despite a prolonged economic fallout amid the COVID-19 crisis, Bank Woori Saudara has diversified its business centered on digital finance, while effectively managing its property portfolio. The bank will continue to place consumer value at the core of its business and strive to offer differentiated banking products,” a Woori Bank official said. 

Bank Woori Saudara was established in 2014, when Bank Woori Indonesia -- an Indonesian subsidiary of Woori Bank -- merged with the local lender Bank Saudara to make inroads into the Southeast Asian market. 

By Choi Jae-hee (cjh@heraldcorp.com)