PT Bank Negara Indonesia (Persero) Tbk (BNI) has reaffirmed its commitment to environmental conservation and sustainable development through a mangrove reforestation program in Pangpang Bay, Banyuwangi. In line with the spirit of Earth Day on April 22, the program has successfully rehabilitated 50 hectares of degraded land while providing economic benefits to approximately 5,000 coastal communities.
BNI Corporate Secretary Okki Rushartomo said that the Pangpang Bay area is a coastal region with important ecological functions that had previously suffered degradation due to environmental pressures and land-use changes.
“BNI's concrete actions in the area reflect the company's commitment to restoring the ecological functions of the mangroves while creating sustainable economic value that directly benefits the local community,” he said in a written statement.
The program, implemented through the BNI Berbagi initiative, is carried out through a collaborative approach involving local communities, coastal monitoring groups, and local governments. Activities include mangrove planting in affected areas, three years of maintenance, and community-based area development.
As a result, the rehabilitated mangrove area now serves once again as a natural coastal barrier capable of reducing the risk of coastal erosion and tidal flooding, particularly for the community in Tegalpare Village. In addition to its ecological benefits, the program also creates new economic opportunities through the development of ecotourism, blue crab farming, mangrove nurseries, and other related products.
From an economic impact perspective, BNI notes that this program provides significant added value. Based on a Social Return on Investment (SROI) analysis, every IDR1 invested is projected to generate benefits of IDR3.35 by the end of 2025. This figure is projected to rise to IDR7.23 during the 2026–2027 period as the mangrove ecosystem matures.
“This result shows that well-designed sustainability programs can have a tangible multiplier effect on communities and the environment,” said Okki.
BNI believes that investments in the environmental sector not only contribute to ecosystem conservation but also strengthen the economic resilience of coastal communities. Moving forward, the company plans to expand similar initiatives by collaborating with more stakeholders to increase the scale and impact of these programs.
Through this program, BNI proves that environmental conservation efforts can go hand in hand with improving community well-being, while also supporting inclusive and sustainable economic development.