Shinhan becomes 1st Korean financial group to establish holding company in Indonesia

Shinhan Financial Group, a prominent Korean financial institution, has made history by becoming the first Korean financial group to establish a holding company in Indonesia. The company announced the formation of Shinhan Financial Group Indonesia on Tuesday, marking a significant strategic move in the Southeast Asian market.

The launch ceremony took place in Jakarta on Monday, where Shinhan Financial Group Chairman Jin Ok-dong, along with local financial authorities, marked the occasion. The new structure centers around Shinhan Indonesia Bank, which will not only operate within the group's Indonesian operations but also serve as the holding company overseeing its local card and securities businesses.

This restructuring is a direct response to a requirement set forth by the Indonesian government in December 2024. Shinhan had begun reorganizing its local governance structure in anticipation of this requirement and received approval from Indonesian financial authorities in September 2025. The transition to the new structure was completed on September 16, following the transfer of stakes in the group's local affiliates, as reported by the company.

With this move, Shinhan Financial Group Indonesia has effectively taken a leading role in the Indonesian banking landscape, positioning itself as a key player in the region's financial sector. The new holding company structure is expected to enhance the group's operational efficiency and strategic oversight of its Indonesian ventures.