Danamon and MUFG Indonesia Prepare for Merger, Combined Assets to Exceed Rp 482 Trillion
JAKARTA - PT Bank Danamon Indonesia Tbk is exploring an operational merger with MUFG Bank, Ltd., Jakarta Branch, or MUFG Indonesia.
This step is marked by the signing of a memorandum of understanding (MoU) between the two entities on Monday (11/5/2026).
In a written statement, Bank Danamon’s management stated that through this integration, the company can provide financial services with a broader customer reach, add value for all stakeholders, and contribute to the growth of the financial services industry and the Indonesian economy.
“If implemented, the integration will optimally combine the strengths, expertise, and global and national networks of both entities to become one of the leading global financial institutions in Indonesia,” Bank Danamon wrote in the statement on Monday.
In the initial stage, both companies agreed to begin preparatory work with the aim of signing a binding agreement in the next stage.
“We estimate that this integration will be effective within the 2027 timeframe,” Bank Danamon stated.
Until the integration process is completed, Danamon assured that there will be no changes to the operational activities of Danamon or MUFG Indonesia.
Customers of both banks can continue to transact and use financial products and services as usual, without changes to products, services, operating hours, or existing office networks.
In addition, all contractual relationships between Danamon or MUFG Indonesia and business partners, including vendors, contractors, outsourcing companies, and other parties, will remain valid and implemented as usual.
Thus, if the integration process runs smoothly, the entity will have combined assets of Rp 482.7 trillion. This means the company’s assets will surpass those of PT Bank Syariah Indonesia (Persero) Tbk, which has assets of Rp 456.19 trillion at the end of 2025.
For information, Danamon is a private general bank established in 1956 and has been a consolidated subsidiary of MUFG Bank, Ltd. since 2019.
Meanwhile, MUFG Indonesia has been operating in Indonesia since 1968. MUFG Indonesia currently serves large corporate customers, including Indonesian, Japanese, and multinational companies operating in Indonesia.
“If the integration becomes effective, the resulting integrated bank will remain a consolidated subsidiary of MUFG Bank, Ltd.,” Bank Danamon said.
The company also stated that the integration intention aligns with the Financial Services Authority’s (OJK) agenda in promoting the consolidation of general banks in Indonesia.