Australian and New Zealand Bank plans to invest as much as $100 million in capital in Indonesia this year as part of its acquisition of the Royal Bank of Scotland's retail and commercial businesses in the country.

"Indonesia's economy has proven to be resilient during the global downturn because of the government's management of the economy, its large domestic market and its relatively low dependence on external trade. Economic growth in Indonesia is expected to reach approximately 5.6 per cent in 2010," Mike Smith, the bank's chief executive officer, was quoted as having said at a press conference in a statement released by the bank.

Australia and Indonesia enjoy a close economic partnership, with the trade flow between the two reaching $8.7 billion in 2008. Given this, Indonesia is seen as one of ANZ's most important markets in its drive to become a super regional bank.

"The RBS acquisition and our own organic growth plans will see us invest up to US$100 million in capital in Indonesia this year and expand our presence to a total to 28 branches across 11 cities and almost 1,000 full time employees," Smith said.

ANZ operates in Indonesia through PT ANZ Panin Bank, where it has an 85 per cent stake.