Jitters over Indonesia's proposed banking bill

PETALING JAYA: Malaysian ownership of Indonesian banks came under the spotlight again following a proposed bill that compels foreign banks to trim their interests to 40%.

Malayan Banking Bhd (Maybank) and CIMB Group Holdings Bhd, which have majority interest in banks there, could come under pressure if the law was applied retrospectively. Maybank has an interest of about 80% in Bank Internasional Indonesia (BII), while the CIMB Group owns a 97.9% stake in CIMB Niaga.