BNI Rehabilitates 50 Hectares of Mangrove in Banyuwangi, Providing Economic Impact to 5,000 Coastal Residents
Banyuwangi, VIVA - PT Bank Negara Indonesia (Persero) Tbk (BNI) is reinforcing its commitment to environmental conservation and sustainable development through a mangrove forest regeneration programme in Teluk Pangpang, Banyuwangi. In line with the spirit of Earth Day on 22 April, the programme has successfully rehabilitated 50 hectares of critical land while providing economic benefits to around 5,000 coastal communities.
BNI Corporate Secretary Okki Rushartomo stated that the Teluk Pangpang area is a coastal region with important ecological functions that previously suffered degradation due to environmental pressures and land-use changes.
“BNI’s concrete actions in the area represent the company’s commitment to restoring the ecological functions of mangroves while creating sustainable economic value that directly benefits the surrounding communities,” he said in a written statement.
The programme, implemented through the BNI Berbagi initiative, adopts a collaborative approach with local communities, coastal monitoring groups, and the regional government. Activities include planting mangroves in affected areas, maintenance for three years, and community-based area development.
As a result, the rehabilitated mangrove area now functions again as a natural coastal barrier capable of reducing the risks of abrasion and tidal flooding, particularly for residents in Dusun Tegalpare. In addition to ecological benefits, the programme opens new economic opportunities through the development of ecotourism, sokah crab cultivation, mangrove seedling nurseries, and derivative products.
From an economic impact perspective, BNI records that the programme provides significant added value. Based on a Social Return on Investment (SROI) study, every Rp1 invested generates benefits of Rp3.35 by the end of 2025. This value is projected to increase to Rp7.23 in the 2026–2027 period as the mangrove ecosystem matures.
“This achievement demonstrates that a well-designed sustainability programme can deliver real multiplier impacts for communities and the environment,” Okki said.
BNI assesses that investments in the environmental sector not only impact ecosystem preservation but also strengthen the economic resilience of coastal communities. Moving forward, the company will expand similar initiatives by engaging more stakeholders to increase the scale and impact of the programmes.
Through this programme, BNI shows that environmental conservation efforts can go hand in hand with improving community welfare, while supporting inclusive and sustainable economic development.