Bank Jago Focuses on Expanding Scale Before Spinning Off Its Shariah Business Unit

JAKARTA — PT Bank Jago Tbk (ARTO) has reiterated that the separation or spin-off of its Shariah business unit (UUS) will not be realised in the near term. The bank will focus on expanding its business before meeting the separation obligation under regulator rules. Waasi Sumintardja, Head of Shariah Business at Bank Jago, said Bank Jago and its Shariah unit are still relatively young. Bank Jago began operating as a digital bank in 2021, while Bank Jago Shariah was launched in 2022. However, he noted that growth should not be measured solely by asset size. Therefore, the group’s main priority is to expand scale first by strengthening the user base of Bank Jago Shariah and customer satisfaction levels. By December 2025, total Jago Shariah users reached almost 2.4 million, up 16.5 percent from the previous year. “For Bank Jago and Bank Jago Shariah, this is one of the most important aspects. Because if the numbers follow. More funds deposited, more financing or loan utilisation, that comes later. Once customers truly trust Bank Jago and Jago Shariah,” he said. After the business base of Bank Jago and Bank Jago Shariah is strong, they will be ready to implement the spin-off in line with the Financial Services Authority (OJK) regulations. “The rule is (UUS assets) Rp 50 trillion or 50 percent (of the parent company). Well from us, whatever the rule, when it applies, we will follow. We comply,” he added. For information, in H1 2025, Bank Jago’s net profit after tax reached Rp 127 billion, up 154 percent versus the same period last year (Rp 50 billion). Bank Jago recorded loan disbursements of Rp 21.4 trillion by end-June 2025, up 37 percent from June 2024 (Rp 15.7 trillion). As of June 2025, total Bank Jago customers reached 17.2 million, including 13.7 million customers using the Jago and Jago Shariah apps. The number of app users rose by more than 3 million from last year’s level of 10 million customers.