CIMB Niaga Islamic 2018 REPORT ON BENEVOLENT FUNDING
Qard al-Hasan 2018
It is a commitment of CIMB Niaga Syariah to grow mutually with people. One way to meet this commitment is by channeling benevolent funds. It aims to benefit the general public in all aspects of their lives.
CIMB Niaga Islamic has 5-pronged benevolent funding scheme.
- Economic Empowerment
Providing working capital to underprivileged communities - Education
Awarding scholarships, building schools, handing out school supplies - Healthcare
Providing healthcare treatments and covering hospital bills for poor people - Infrastructure
Supporting construction projects: mosques, prayer houses and homes for the underprivileged - Social
Handing out money and food packages to underprivileged villagers
For each sector money is funneled into, the bank hopes that all parties concerned, both the supported communities and stakeholders, can enjoy a blessed life and the benefits of all the funded initiatives.
2018 Qard al Hasan Financial Report
In 2018, CIMB Niaga Islamic managed to raise a total of Rp 27.54 billion in benevolent fund. Funds came in from various sources, a.o. Fines and Returns on Installment, and these were given as Donations, which amounted to Rp14.83 billion, and as other categories of aid, totaling Rp 309 million.
| NO. | DESCRIPTION | AMOUNT |
|---|---|---|
| 1 | Benevolent fund total at start of period | 27,207 |
| 2 | Benevolent funds received | |
| a. Infaq | - | |
| b. Shadaqah | - | |
| c. Returns on productive benevolent funds | - | |
| d. Fines | 15,440 | |
| e. Non-halal funds received | - | |
| f. Returns on installments | 35 | |
| Total Received | 15,475 | |
| 3 | Benevolent funds used | |
| a. Loans | - | |
| b. Donations | 14,832 | |
| c. Others | 309 | |
| Total Used | 15.141 | |
| 4 | Benevolent fund total at end of period | 27,541 |
Distribution by Sector in 2018
With 5 sectors set for distribution, CIMB Niaga Islamic extended to designated communities in 2018 benevolent funds reaching Rp 14.8 billion in value. The sums different sectors received varied: Rp 948 million was spent for Economic Empowerment initiatives; Rp 4.9 billion for Education; Rp 3.9 billion for Healthcare; Rp 2.4 billion went to Infrastructure Development projects; and Rp 2.5 billion budgeted for the Social sector. The objective was to make sure that CIMB Niaga Islamic would be able to develop a positive synergy with its work partners and the assisted stakeholders.
Partners Assigned for Distributing Benevolent Funds in 2018
CIMB Niaga Islamic has listed a number of partners to work with for the distribution of its benevolent funds: its own Islamic Business Banking, Islamic Consumer & Business Management and CIMB Niaga CSR Units, as well as partner institutions of CIMB Niaga and the general public. Through these internal and expernal partners, Rp 14.8 billion had been channeled to different projects in 2018.
| Distributing Partners | Distributed |
|---|---|
| Syariah Business Banking | |
| Syariah Wholesale Funding | 595 |
| Commercial & MSME | 185 |
| Syariah Consumer & Business Management | |
| Jakarta Region | 1,206 |
| Out Region | 3,097 |
| Syariah Hajj | 204 |
| Consumer Financing | 160 |
| Corcom | 380 |
| Partner Institutions | 3,249 |
| General Public | 4,713 |
| CIMB Niaga CSR | 1,043 |
| Total | 14,832 |
Funds distributed in 2018 to most sectors and by the majority of partners reportedly increased in percentage, compared with those in 2017.
The amount allocated for the Economic sector was up to Rp 948 million from only Rp 30 million in 2017.
The total of benevolent fund extended in 2018 by a partner, i.e. CIMB Niaga CSR, lowered to Rp 1.04 billion from Rp 2.3 billion recorded in 2017.
Distribution by Sector in 2017 & 2018
Distribution by Partner in 2017 & 2018
Percentage in Increase by Distribution Partner 2017 vs 2018
| Business Banking | 259% |
| Consumer Financing | 213% |
| Marcom | 23% |
| CIMB Niaga CSR | -55% |
| Partner Institutions | 374% |
| General Public | 183% |
Education, another sector under the scheme, was also a target, with funds channeled to 18 universities and 242 students in Indonesian major cities: Bandung, Semarang, Malang, Surabaya and Makassar. They were all involved in the CIMB Niaga Islamic's CIMB@Campus series of initiatives
This year also saw CIMB Niaga Islamic budgeting Rp 3.89 billion to support beneficiaries in 17 provinces across the archipelago with the help from 10 partner institutions.
| No | Lembaga Mitra | Nominal |
|---|---|---|
| 1 | PPPA-Daarul Quran Nusantara | 920,000,000.00 |
| 2 | Al-Azhar Peduli Ummat | 350,000,000.00 |
| 3 | BMH-Baitul Mal Hidayatullah | 60,000,000.00 |
| 4 | DT-Peduli | 1,026,000,000.00 |
| 5 | Inisiatif Zakat Indonesia | 174,000,000.00 |
| 6 | Lazis Dewan Dakwah | 50,000,000.00 |
| 7 | Dompet Dhuafa | 450,000,000.00 |
| 8 | BAZNAS | 192,500,000.00 |
| 9 | Badan Wakaf Al-Quran | 250,000,000.00 |
| 10 | Aksi Cepat Tanggap | 424,500,000.00 |
| Total | 3,897,000,000.00 | |
These partners' outreach projects allowed community members to start up a range of enterprises. A partner --Al Azhar Peduli Ummat-- initiated the 'Program Modal Kerja Bergilir', a revolving loan initiative run to benefit 40 trading and service-provision business owners in Pacet, Bandung, by providing them with working capital.
Part of the benevolent funds went also to the Infrastructure sector. In Cirengrang, a village standing on a rocky hill, a water well was installed for local residents, who for many years had no sources of clean water to supply their sanitary facilities and for ritual ablution or body washing before prayers.
CIMB Niaga Islamic was assisted by DT-Peduli Ummat for the disbursement of funds needed for constructing Islamic schools in remote regions of Papua. These developments targeted local children living in the areas, the group which deserves proper schooling and education.
Benevolent funds were also channeled to aid earthquake survivors in Palu. A total of 8 partners (the Ministry of Villages, Disadvantaged Regions and Transmigration; PPPA Daarul Qur'an Nusantara; Al-Azhar Peduli Ummat; Aksi Cepat Tanggap; DT-Peduli; Lazis Dewan Dakwah; CNAF; and OJK) lent a helping hand, distributing Rp 890 million in donation to buy sleeping tents, blankets, clothes, foods, drinks, medicines, female sanitary napkins and baby needs, and also to cover the services of medical assistants.
When Lombok suffered from the recent natural disaster, CIMB Niaga Islamic was on hand to give financial aid. With the support from 6 partner channeling institutions (Asbisindo, Azhar Peduli Ummat, Aksi Cepat Tanggap, DT-Peduli, Lazis Dewan Dakwah and PPPA Daarul Qur'an Nusantara), the bank donated Rp550 million which was used to buy tarpaulin tents, blankets, food items and beverages, medicines and basic necessities for infants and preschoolers. A part of the donation was also allocated for fees for assisting medical practitioners.
ZIS 2018 FINANCIAL STATEMENTS
In 2018, CIMB Niaga Islamic reported an initial fund total of Rp 1.04 billion sourced from Zakat, and Rp 969 million of ZIS (zakat, infaq and shadaqah) collected from external sources. Zakat distributed in 2018 totaled Rp 1.11 billion, with the following breakdown: Rp1.05 billion by amil zakat agencies and Rp 65 million through other channels. A decrease in zakat fund was posted at Rp 146 million, making the final balance of 2018 Rp 901 million. With the total amount of zakat disbursed standing at Rp 1.05 billion in 2018, the sum channeled through appointed partners was Rp 900 million while the remaining Rp 150 million was funneled through the public.
| NO. | DESCRIPTION | AMOUNT |
|---|---|---|
| 1 | Zakat funds sourced - initial | 1,047 |
| 2 | ZIS funds sourced | |
| a. Internal - UUS | - | |
| b. External - UUS | 969 | |
| Total Funds Sourced | 969 | |
| 3 | Zakat funds channeled and used by zakat management entities | |
| a. Amil Zakat agencies | 1,050 | |
| b. Amil Zakat institutions | - | |
| c. Others | 65 | |
| Total Used | 1.115 | |
| 4 | Increase (decrease) in zakat funds | (146) |
| 5 | Zakat fund balance | 901 |
CIMB Niaga Islamic worked with Badan Wakaf Al Qur'an in distributing its ZIS fund; this year to a fishing community on a coastal region on the Island of Adonara in East Nusa Tenggara under an Economic Empowerment initiative. In order for members of the community to bring home bigger catches, the partner agency had 5 new ketinting (traditional fishing) boats built for them. These fishermen can now take turns taking the boats to the sea.
