CORPORATE GOVERANCE 406 Implementation of Corporate Governance Principles 506 Anti Money Laundering and Terrorism Financing C Prevention 406 The Basis Of Corporate Governance Implementation 407 Corporate Governance Guidelines and Policies 508 Whistleblowing and Anti Fraud Reporting System 408 Corporate Governance Principles and Committment 510 Legal/Litigation Issues 2020 409 Quality Improvement of the Implementation of 513 Administrative Sanction Sustainable Good Corporate Governance 514 Internal Audit Working Unit 412 Focus on Corporate Governance Implementation in 518 Investor Relations 2020 519 Risk Management 413 Implementation of Principles of Corporate 521 Profile of the Head of Risk Management Division/Unit Governance in Accordance with Guidelines of 525 Public Accountant/External Auditor Corporate Governance Principles for Banks 527 Internal Control System 415 Environmental, Social, and Governance (ESG) 529 Access to Corporate Data and Roadmap Implementation Initiative in Corporate Information Governance 532 Code of Ethics and Code of Conduct 416 Corporate Governance Roadmap 533 Corporate Culture 417 Bank Corporate Governance Structure 535 Transparency of The Bank’s Financial and Non- 419 General Meeting of Shareholders Financial Conditions Which is not Disclosed in The 428 Board of Commissioners Other Reports 435 Performance Assessment of Committees 537 Provision of Funds To Related Parties And Provision of 436 Committee’s Recommendation to the Board of Large Funds Commissioners 538 Provision of Funds For Social and Political Activities 437 Independent Commissioners 539 Goods & Service Procurement Policy 438 Board of Directors 539 Anti Corruption Policy 446 Meeting Policy and Frequency and Attendance of 540 Customer Protection Policy the Directors and Joint Meetings of the Board of 540 Protection of Creditors’ Rights Commissioners and Board of Directors 541 Dividend Policy 457 Affiliated Relationships between Board of Commissioners, Board of Directors and Major/ 541 Share Ownership, Share Option, and Buy Back Controlling Shareholder Program 458 Result of Self Assessment on Good Governannce 542 Highest and Lowest Salary Ratio and Variable Implementation in 2020 Remuneration Accepted by Employee 459 Board of Commissioners and Board of Directors 543 Implementation of OJK Corporate Governance Performance Assessment Guidelines for Public Listed Companies 461 Information Regarding Major and Controlling 546 Integrated of Good Corporate Governance Report Shareholders 551 Transparency of Bad Corporate Governance Practices 462 Remuneration Policy 552 Implementation of ASEAN Corporate Governence 466 Policy on the Diversity of Composition of the Board of Scorecards Commissioners and the Board of Directors 560 Approval Sheet Good Corporate Governance (GCG) 469 Committees of The Board of Commissioners Report 2020 PT Bank Maybank Indonesia Tbk 488 Committees of The Board of Directors 562 GCG Report Shariah Business Unit 2020 500 Corporate Secretary 504 Compliance Working Unit ONE VISION amidst diversity1 Implementation of Corporate Governance Principles Maybank Indonesia has a vision to become a leading financial service provider in Indonesia, supported by human resources who are fully committed and innovative to create value and serve the community and carry out the mission of Humanizing Financial Services. In order to realize this, Maybank Indonesia understand that the implementation of Good Corporate Governance is an important component in improving the Bank’s performance, protecting the interests of stakeholders, and increasing compliance with laws and regulations and ethical values that are generally accepted in the banking industry. Furthermore, another important element that supports the Bank’s vision and mission is the commitment to implement Good Corporate Governance (GCG) in a sustainable manner and make it a working culture that applies at all levels of Maybank Indonesia organization. This understanding underlies the Bank’s commitment to continue to internalize all GCG principles in every business activity in order to achieve sustainable long-term business goals. The Basis of Corporate Governance Implementation Maybank Indonesia continues to develop GCG in line with best aims to produce satisfactory governance outcomes amidst practices on an ongoing basis to provide adequate protection the challenges of the economy and long-term sustainability and fair treatment to all shareholders and other stakeholders. of the Bank’s business in line with the expectations of the Moreover, the implementation of GCG will encourage Maybank Stakeholders. Indonesia to create maximum value for the Bank (shareholder value). Maybank Indonesia ensures the application of GCG principles in every aspect of the business and in all levels of the Maybank Indonesia believes that the achievement of good organization. This is manifested in various aspects, including the performance can be maintained in a sustainable manner, if implementation of the duties and responsibilities of the Board the Bank can implement GCG principles consistently and of Commissioners and Board of Directors; the completeness continuously. Therefore, Maybank Indonesia implements GCG and implementation of the duties of the committees of the not only as an obligation, it is become an important foundation Board of Commissioners who carry out the oversight function in running a business to maximize benefits and added value for on the effectiveness of GCG implementation; implementation stakeholders and maintain business continuity. of compliance and risk management functions; company strategic plan; as well as various information disclosures Within Maybank Indonesia, the foundation for implementing regarding Bank activities and finance. GCG lies in 3 (three) important aspects which include Governance Structure, Governance Process and Governance Maybank Indonesia will continue to be committed to Outcome. These three aspects of Governance are the focus accelerating performance, increasing value and maintaining and commitment of the Bank in realizing good corporate reputation by strengthening its commitment to banking service governance and providing value for all Bank Stakeholders. excellence and customer satisfaction, Stakeholders and the community through GCG implementation that is in line with Governance structure is related to the adequacy of GCG the Bank’s values of Teamwork, Integrity, Growth, Excellence structure and infrastructure, which aims to ensure that the and Efficiency, and Relationship Building or TIGER. Throughout process of implementing the principles of Good Governance 2020, the Bank strived to continue to grow, one method of can produces outcomes that are in line with the stakeholders which was through the implementation of Good Corporate expectation. Whereas in the governance process, the Bank Governance in a consistent and sustainable manner. carries out structured and systematic procedures and mechanisms to produce policy outcomes that meet governance principles. The overall commitment to implementing an effective governance structure and governance process 406 2020 Annual Report Corporate Governance Corporate Governance Guidelines and Policies With regards to business activities, the management of the 11. ASEAN Corporate Governance (CG) Scorecard; Maybank Indonesia emphasizes the importance of Customer 12. The Company’s Articles of Association and GMS Decisions; Centric principles as DNA for the organization. This is in line 13. Decisions of the Board of Commissioners and/or Directors; with one of the Bank’s business focuses on the retail segment. and Customer Centric is a deep understanding of the behavior 14. Bank internal regulations (Board Manual, Code of Ethics and needs of the customers, translating these into products and Code of Conduct). and solutions that match their behavior and needs. The implementation of GCG can support the Bank to implement GCG implementation standards applied by Maybank Indonesia the Customer Centric principles in order to have synergy with refer to OJK Regulation No. 55/POJK.03/2016 and OJK Circular the Bank’s mission of Humanizing Financial Services, enabling Letter No. 13/SEOJK.03/2017 concerning the Implementation of Maybank Indonesia to provide high quality services according Governance for Commercial Banks, which includes 11 (eleven) to customer needs. factors, namely: 1. Implementation of the Duties and Responsibilities of the Maybank Indonesia implements Good Corporate Governance Board of Commissioners; (GCG) policies which pursuant to national and international 2. Implementation of the Duties and Responsibilities of the rules and regulation, as follows: Board of Directors; 1. Financial Services Authority Regulation-Peraturan Otoritas 3. Completeness and Implementation of the Duties of Jasa Keuangan (POJK) No. 55/POJK.03/2016 dated 7 Committees; December 2016 concerning the Implementation of 4. Handling conflict of interest; Governance for Commercial Banks; 5. Implementation of the Compliance Function; 2. OJK Circular Letter (SE OJK) No. 13/SEOJK.03/2017 dated 17 6. Implementation of the Internal Audit function; March 2017 concerning the Implementation of Governance 7. Implementation of the External Audit function; for Commercial Banks; 8. Implementation of Risk Management including the Internal 3. OJK Regulation No. 29/POJK.04/2016 dated 29 July 2016 Control System; concerning Annual Reports of Issuers or Public Companies; 9. Provision of funds to related parties and provision of large 4. Indonesian Corporate Governance