"We are confident that through this collaboration we can fulfill the wide range of banking, insurance and wealth management needs of our customers, deepening our relationship with them, and becoming their preferred bank," said Michellina Tridwardhany, the director for consumer banking at Danamon.

"We foresee a significant growth of our fee-based incomes in the medium to long term from this deal," he added. 

The partnership will be effective from 1 July 2012.

Danamon has a wide customer base in Indonesia and operates some 2,300 branches and points of sales. It is also the sole issuer and acquirer of American Express cards in the country. Manulife has a network of offices in 24 cities across Indonesia. 

According to the latest wealth report by CLSA Asia-Pacific Markets titled "Fast Cars in Fast Lanes: Surge in High Net Worth Individuals," Indonesia will have the fastest increase in high net worth individuals in the region at 25 per cent over the next five years, trumping China's 22 per cent forecast rise. The report defined HNW individuals as those with at least $1 million in investible assets.