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Unlocking the Nexus Between Green Financing, Net Zero Roadmaps, and Science-Based Targets Initiatives in Indonesia's Infrastructure Sector Nathania Adella Panjaitan; Yunieta Anny Nainggolan
Journal Integration of Management Studies Vol. 3 No. 3 (2025)
Publisher : Integrasi Sains Media

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.58229/jims.v3i3.352

Abstract

Infrastructure sectors, especially energy, construction, and transport, are pivotal to Indonesia's net-zero transition due to their emissions intensity and capital demands. This study investigates how Science-Based Targets Initiatives (SBTi) disclosures and financial health affect green finance uptake. Using a mixed-method approach and logistic regression on 65 IDX-listed infrastructure firms within the 2023 fiscal year, this research incorporates firm-level data from annual and sustainability reports. It applies indicators including Return on Equity (ROE), Debt-to-Equity Ratio (DER), Cost of Debt (COD), and SBTi-aligned disclosure scores (CNZSTot). The results show that COD is the only significant financial predictor, while SBTi disclosure scores outperform net-zero roadmap availability in explaining green finance engagement. Disclosure gaps, limited third-party assurance, and sectoral inconsistencies reduce credibility. The findings imply that formal, verifiable climate disclosures aligned with science-based frameworks are pivotal in accessing the green capital, enhancing regulatory incentives, and disclosure standards also become essential to advance Indonesia's infrastructure decarbonization agenda.
Stock Valuation and Financial Performance of PT Indofood Sukses Makmur Tbk Ruliff Harlan; Yunieta Anny Nainggolan
Journal Integration of Management Studies Vol. 3 No. 3 (2025)
Publisher : Integrasi Sains Media

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.58229/jims.v3i3.353

Abstract

In recent years, external factors may have influenced the performance of PT Indofood Sukses Makmur Tbk (INDF). Unusual weather patterns have allegedly disrupted supply chains and caused volatility in global wheat prices. This led to a revenue decline in both the agribusiness and Bogasari segments during 2023 and 2024. These pressures and market sentiment led to a relatively low P/E ratio of 6.34 in early 2025. However, other business segments, such as Consumer Branded Products and Distribution, continue to grow strongly. This raises concerns that INDF's market price may not fully reflect its intrinsic value. This study aims to assess INDF's fundamental condition, estimate its intrinsic price, and provide recommendations for prospective investors. It begins with a macroeconomic assessment, Porter's Five Forces, industry market ratio comparison, financial ratio analysis, and absolute and relative valuation. The findings suggest that INDF has stable fundamentals and a competitive advantage. In addition, the valuation methods estimated that the intrinsic price of INDF shares is IDR 18,328. Compared to the market price of IDR 7,850, the potential upside could be 133.4%. This condition shows an opportunity for future price appreciation and thus is considered a good option for long-term investors.
Financing Low-Carbon Urban Transport through Subnational Green Bonds: A Review in Emerging Economies Edward Liongson; Yunieta Anny Nainggolan
Journal Integration of Management Studies Vol. 3 No. 2 (2025): (Special Issue)
Publisher : Integrasi Sains Media

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.58229/jims.v3i2.362

Abstract

Subnational green bonds offer promising potential to finance low-carbon urban transport in emerging economies but remain underutilized due to a range of systemic barriers. This study uses a narrative literature review to examine how green bonds have evolved globally and how they are applied at the municipal level in the transport sector. Drawing from academic literature, multilateral reports, and real-world case studies, it identifies six persistent challenges: fragmented project pipelines, weak MRV systems, difficulties with ESG integration, legal and regulatory hurdles, low municipal credit ratings, and limited investor appetite. Despite the growth of the global green bond market, only a small share supports subnational urban transport projects. Cases such as Mexico City and Johannesburg demonstrate that the absence of enabling frameworks hinders feasibility but broader replication. This review contributes to the climate finance literature by advancing its scholarship by shifting attention from national-level instruments to local institutional realities and proposing five future research directions to support more inclusive and viable green bond mechanisms for sustainable transport in emerging markets.
Sustainable Banking in Practice: Stakeholder Responses and Implementation Challenges in a Regional Bank Hadi Prabowo; Yunieta Anny Nainggolan
Journal Integration of Management Studies Vol. 3 No. 2 (2025): (Special Issue)
Publisher : Integrasi Sains Media

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.58229/jims.v3i2.377

Abstract

This study analyses the adoption of Environmental, Social, and Governance (ESG) principles in a regional development bank in Indonesia via the perspective of Stakeholder Theory. Using a qualitative approach, the research analyses how the bank connects with and responds to its internal and external stakeholders within the framework of national rules, particularly POJK 51/2017 and the Indonesian Green Taxonomy. Although the bank has demonstrated formal compliance, as evidenced by submitting Sustainable Finance Action Plans and releasing GRI-based sustainability reports, findings indicate that ESG integration remains inconsistent across units and functions. Major problems include insufficient ESG literacy among employees, the absence of stakeholder-oriented performance metrics, fragmented ESG-related data systems, and a lack of organised engagement tools that facilitate dialogue and responsiveness. Despite these impediments, positive indications from stakeholders, such as increased public awareness and substantial investor interest in sustainability bonds, reflect the growing reputational value of ESG commitments. However, the study reveals that stakeholder engagement strategies are primarily one-directional, with limited institutional frameworks for co-creation, feedback, or collaborative governance. To address these shortcomings, the report advises constructing inclusive stakeholder forums, embedding ESG indicators into key performance metrics, centralizing ESG data infrastructure, and conducting organised capacity-building programs. This study contributes to the growing discourse on stakeholder-responsive ESG implementation in regional banking, providing strategic insights for enhancing trust, inclusion, and long-term sustainability performance.
Profitability Impact Of Reducing Coal Lending Exposure: A Scenario Analysis of Bank Permata's Sample Loan Portfolio Aditya Nugraha; Yunieta Anny Nainggolan
Journal Integration of Management Studies Vol. 3 No. 2 (2025): (Special Issue)
Publisher : Integrasi Sains Media

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.58229/jims.v3i2.399

Abstract

The global shift toward a low-carbon economy has intensified regulatory, market, investor, and societal pressures on banks to align lending portfolios with sustainable finance principles. In Indonesia, where coal remains central to the energy mix, banks face a strategic trade-off between sustaining profitability from coal financing and complying with green taxonomy requirements. This study evaluates the profitability implications of the coal sector phase-out for Bank Permata, a leading Indonesian commercial bank, and examines mitigation strategies. The analysis integrates Signaling Theory, Resource Dependence Theory, Stakeholder Theory, and Sustainable Finance to frame the strategic, risk, and stakeholder considerations in portfolio reallocation. A quantitative scenario analysis was applied to four publicly listed coal companies with existing credit facilities at Bank Permata, which were selected as a sample. Using a profit planning approach, financial projections were developed for income statements, balance sheets, and cash flows based on public disclosures and validated assumptions. Results were compared across a baseline (no phase out) and three phase out scenarios, with the most stringent targeting zero exposure by 2030. Findings indicate that phasing out in the short term will affect declines in interest income, driven by reduced loan balances and yields, but highlight long-term benefits through reduced regulatory non-compliance risk and lower reputational exposure to transition risks. Potential losses can also be mitigated by reallocating to green taxonomy-aligned sectors with competitive yields. The research offers a replicable scenario-based modeling framework for quantifying the financial effects of coal phase-out strategies in emerging market banking. It underscores the importance of strategic portfolio realignment, diversification into sustainable sectors, and strengthened ESG risk assessments to maintain profitability while supporting national and global sustainability goals.
Co-Authors Abieza, Talitha Rhea Adam Aliya Silmi Aditya Nugraha Aditya Pratama Afgani, Kurnia Fajar Akbar Grady Serano, Dillon Ariando, Heribertus Arie Widyastuti Arifani, Yusnia Talitha AGnes Asep Darmansyah Bastaman, Irsyad Muhammad Cahyono, Tomy Dwi Christian, Nicolas Rendy Dadang Suryana Dematria Pringgabayu Dermawan, Dicky Dhea Rakhmatika Utami Edward Liongson Eko Susanto El Gibran, Pangeran Alif Endang Dwi Astuti Esa, Abrori Ahmad Noor Fahriandi, Dwika Ghea Revina Wigantini Hadi Prabowo Hanna Pramadhia, Jasmine Isrochmani Murtaqi Khairunnisa, Carla Latif Alfiyan Zuhri Mandra Lazuardi Kitri Marlene Matsuura, Yoshiyuki Mega Fitriani Adiwarna Prawira Meliana Meliana Muh. Alif Rumansyah, A. Muhammad Dzaki Naufal, Muhammad Dzaki Muhammad, Zikri Mulyati, Widia Mumtaz Muzaffar Nagoro, Damar Panuluh Natama, Jennifer Magdalena Nathania Adella Panjaitan Nita, Arfenia Octaviani Ratnasari Santoso Pane, Josua Febrico Renaldo Patrick Demario Purbayati, Radia Puri Alodia Davirza Putri Pradana, Dian Putri, Yolli Eka Putro, Lucky Wahyu Pratomo Raden Aswin Rahadi Rahmatsyah Putranto, Nur Arief Rifka Indi Robert Chowiendo RR. Ella Evrita Hestiandari Ruliff Harlan Santosa, Jason Gamaliel Septyandi, Chandra Budhi Sita Deliyana Firmialy Sitorus, Ganda Glen Michael Subaryata, Subaryata Subiakto Soekarno Subiakto Soekarno Sudarso Kaderi Wiryono Sulestiowidagdo, Ignatius Dwi Sumirat, Erman Arif Syaputri, Annisa Rizkia Syifaa Novianti Trihermanto, Febi Verdana, Faza Vichsanzy, Falahariq Wiryono , Sudarso Kaderi Wiryono, Sudarso Kaderi Witjaksono, Aryo Dimas Yansil, Eko Thio Ady