Indonesia, 24 Jun 2025 - Bank DBS Indonesia has allocated SGD2 million worth of funding, or approximately Rp24 billion, under a blended finance scheme, an unsecured funding solution. October 2024 data from the Government Investment Center (PIP, Ministry of Finance) revealed that out of approximately 65 million Micro, Small, and Medium Enterprises (MSMEs) in Indonesia, around 44 million lack access to formal financing. Despite their great potential, MSMEs face numerous challenges, including business legality and access to financing, emphasising the importance of innovative funding solutions.


The first recipient of blended finance from Bank DBS Indonesia is Adena Coffee, a social enterprise that focuses on sustainable coffee production and management. They will use the fund to strengthen and expand their impact. Adena Coffee previously received a grant from the DBS Foundation Grant Programme 2024.


Executive Director, Head of SME Banking, Institutional Banking Group at PT Bank DBS Indonesia Angela Thenaria said, “As a purpose-driven bank, Bank DBS Indonesia presents a blended finance scheme - a mix of grants and soft loans - to address the financing gap that often hinders the growth of social enterprises in the country. In Indonesia, MSMEs account for more than 97 percent of the workforce, yet few have access to formal financing. For social enterprises, the challenge is more complex as their business models often do not meet the bankability criteria. The blended finance scheme is a concrete solution as it minimises risks for banks and drives sustainable growth.”


This blended finance scheme is supported by a rigorous selection process, including thorough due diligence when grantees join the DBS Foundation Grant Program. Bank DBS Indonesia also ensures regular monitoring and transparency at every stage of milestone achievement.


Head of Group Strategic Marketing & Communications PT Bank DBS Indonesia Mona Monika said, “Bank DBS Indonesia fully supports social entrepreneurs like Adena Coffee to empower local economies and communities because we believe that business is not only about profit but also about creating impact on the environment and society. In line with our Impact Beyond Banking sustainability pillar, by combining grant funding from DBS Foundation with the blended finance scheme, we hope this solution can support social enterprises in accelerating their business achievements. Thus, we can remove barriers to funding, encourage cross-sector collaboration, and create an inclusive financing model that can be replicated and expanded for the social enterprise sector or social impact businesses.”


“We feel honoured by the trust placed by Bank DBS Indonesia in us as the first social enterprise to receive support through this blended finance scheme. For us, this support is not just a form of funding, but also a form of appreciation for social enterprises like Adena Coffee in driving change. This support also gives us room to continue to grow, to bring a wider positive impact to the community, especially coffee farmer groups,” said Adena Coffee Founder and CEO Abyatar.


Adena Coffee's steps of action to develop sustainable coffee farming


As an agricultural country with abundant natural resources, Indonesia has several leading commodities in the agricultural sector. Data from the Ministry of Agriculture shows that Indonesia produces around 789,000 tons of coffee annually, making it the world's fourth-largest coffee producer after Brazil, Vietnam, and Colombia.


Therefore, Adena Coffee is determined to be a catalyst for change by fighting for fair wages, empowering local coffee farmers, and supporting sustainable agricultural practices. Starting as a passion-driven community project, Adena Coffee has evolved into a mature and sustainable business. A consistent commitment to quality, community empowerment, and respect for the value of coffee culture are the cornerstones that have allowed Adena Coffee to grow and expand its reach significantly.


Abyatar explained, “What we have learned in almost 10 years of making Adena Coffee is that we are contributing to friends who do not have access to finance. Currently, Adena Coffee works with more than 2,000 coffee farmers in more than 30 villages. Research by Indonesia Investment in 2023 revealed that at least 98 percent of coffee in Indonesia is produced by smallholder families, not by corporations. Therefore, we try as much as possible to build a healthy ecosystem for our coffee-producing friends.”


Adena Coffee's efforts have yielded significant results, with coffee farmers' incomes increasing between 20 and 100 percent. Today, Adena Coffee exports locally grown coffee beans to Japan, France, and the United States. In addition, their empowerment programme also includes preserving the cultural values of indigenous communities through supporting existing traditional facilities and infrastructure.


To expand this positive impact, Adena Coffee will use the proceeds from the blended finance from DBS Foundation and Bank DBS Indonesia to:

Develop software to support compliance with EUDR (European Union Deforestation Regulation)

Establish a Multi-Purpose Production and Training Center

Build a new Wet Mill and fermentation facility to train farmers in the proper application of wet processing and fermentation methods, ensuring consistent and high-quality results.

Conduct six capacity-building sessions for 500 small-scale coffee farmers in Gayo, Flores, Bali, and West Java.


Create impact by improving the lives of vulnerable communities


Since its establishment in 2014, DBS Foundation has allocated more than SGD130 million to support 37 social programmes and 161 impactful businesses across six key markets, including Indonesia. Furthermore, in 2024, DBS Foundation helped reduce 11 million kg of greenhouse gas emissions and managed 8,000 kg of waste through collaboration with Grantees. The initiative also created 45 job opportunities while reinforcing the commitment to making a sustainable, positive impact on the environment and society. Going forward, DBS Foundation will continue to focus on providing basic needs and promoting inclusion in vulnerable communities, as well as the welfare of the elderly.


For more information on DBS Foundation activities and the DBS Foundation Grant programme, please visit: dbs.com/foundation/grants and Instagram @dbsfoundationid.

 

 

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About DBS Foundation

Established in 2014, DBS Foundation is committed to uplifting lives and livelihoods of those in need. It provides essential needs to the underprivileged, and fosters inclusion by equipping the underserved with financial and digital literacy skills. It also nurtures innovative social enterprises that create positive impact. It aims to bring hope to those with less today, so no one is left behind and we can all face the future with confidence.


In 2024, DBS committed up to SGD 1 billion dollars over the next decade to support vulnerable communities. It also pledged to contribute 1.5 million employee volunteer hours over the same period.


Together with an ecosystem of like-minded partners, DBS Foundation seeks to create impact that goes beyond banking, beyond borders, and beyond generations.


For more information, please visit: www.dbs.com/dbsfoundation.


About DBS


DBS is a leading financial services group in Asia with a presence in 19 markets. Headquartered and listed in Singapore, DBS is in the three key Asian axes of growth: Greater China, Southeast Asia and South Asia. The bank's "AA-" and "Aa1" credit ratings are among the highest in the world.


Recognised for its global leadership, DBS has been named “World’s Best Bank” by Global Finance, “World’s Best Bank” by Euromoney and “Global Bank of the Year” by The Banker. The bank is at the forefront of leveraging digital technology to shape the future of banking, having been named “World’s Best Digital Bank” by Euromoney and the world’s “Most Innovative in Digital Banking” by The Banker. In addition, DBS has been accorded the “Safest Bank in Asia” award by Global Finance for 16 consecutive years from 2009 to 2024.


DBS provides a full range of services in consumer, SME and corporate banking. As a bank born and bred in Asia, DBS understands the intricacies of doing business in the region’s most dynamic markets.


Established in 1989 as part of the Singapore-based DBS Group, PT Bank DBS Indonesia (Bank DBS Indonesia) is one of the banks with the longest history in Asia. Currently operating 1 Head Office, 13 Branch Offices, 16 Assistant Offices and 4 Functional Offices and 3,011 active employees in 15 Major Cities in Indonesia, Bank DBS Indonesia provides comprehensive banking services that focus on the customer experience to 'Live more, Bank less'. We also see a purpose beyond banking and are committed to supporting our customers, employees, and the community towards a sustainable future. 


PT Bank DBS Indonesia is licensed and supervised by The Indonesian Financial Services Authority (OJK), and an insured member of Indonesia Deposit Insurance Corporation (LPS).


DBS is committed to building lasting relationships with customers, as it banks the Asian way. Through the DBS Foundation, the bank creates impact beyond banking by supporting businesses for impact: enterprises with a double bottom-line of profit and social and/or environmental impact. DBS Foundation also gives back to society in various ways, including equipping underserved communities with future-ready skills and helping them to build food resilience.


With its extensive network of operations in Asia and emphasis on engaging and empowering its staff, DBS presents exciting career opportunities. For more information, please visit www.dbs.com.