Indonesian Political, Business & Finance News

Telkomsel plans to simplify billing

Telkomsel plans to simplify billing

JAKARTA (JP): Subscribers to the global system of mobile
telecommunications (GSM) run by PT Telkomsel can now pay their
bills through Visa and MasterCard credit cards following an
agreement signed yesterday by Telkomsel and Bank Duta.

Under the agreement signed by Telkomsel president Koesmarihati
Sugondo and Bank Duta president Muchtar Mandala, the bank would
handle all payments through Visa and MasterCard cards --
including those issued by other domestic banks -- by directly
debiting them.

Telkomsel director of finance Hulman Sidjabat said the
agreement would further strengthen his company's billing
collection system.

"Now that we have this agreement with Bank Duta, our customers
have maximum flexibility and convenience in the way they wish to
pay their phone bills. Payment is already possible by cash, bank
transfer, direct debit/auto debit and automatic teller machines,"
he said.

Telkomsel is cooperating with Bank BCA and Bank BNI 1946 to
help subscribers pay their monthly bills.

Koesmarihati said Telkomsel operated in 186 cities nationwide
and had about 180,000 subscribers.

"The country's cellular operators compete on service and
customer satisfaction, so we are trying to provide more
facilities," she said, adding that Telkomsel would enter East
Timor on Thursday.

Telkomsel, incorporated in May 1995, is one of the country's
three GSM operators. The other GSM operators are PT Satelindo and
PT Excelcomindo.

Koesmarihati said Telkomsel would improve its infrastructure
by using fiber-optic and microwave networks installed by state-
owned domestic telecommunications operator PT Telkom.

Telkomsel is owned by Telkom, PT Indosat, PT Setdco Megacell
Asia and PTT Telecom of the Netherlands.

"Telkom, for example, has installed four main networks in Java
island, including the northern and southern fiber-optic routes
and the microwave networks supplied by NEC of Japan,"
Koesmarihati said.

She said Telkomsel would set up its own networks in other
areas with poor basic telecommunications infrastructure.

Infrastructure is a major element which allows cellular
operators to provide better service.

Excelcomindo plans to set up fiber-optic networks in Java.
Kompas daily reported yesterday that Excelcomindo would install
fiber-optic cables along Java's railway tracks, owned by state
railway firm Perumka.

Muchtar Mandala said yesterday Bank Duta would make Rp 70
billion (US$29.63 million) in profit this year, up 75 percent
from Rp 40 billion in 1995.

He said the higher profit was caused by a more than 20 percent
credit expansion.

"Our assets will reach Rp 5 trillion this year, from about Rp
3.1 trillion last year," he said.

Publicly listed Bank Duta's management changed last year when
timber tycoon Mohammad Hasan became its chief commissioner and
Minister of Industry and Trade Tunky Ariwibowo and Head of the
National Logistics Agency Beddu Amang joined its board of
advisors.

Mandala said Bank Duta, the first domestic bank to issue
credit cards, had about 120,000 MasterCard and 80,000 Visa card
holders.

A director of MasterCard International in Indonesia, Iwan
Notowidigdo, said there were about 1.9 million MasterCard and
900,000 Visa card holders in Indonesia. (icn)

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