Industrial Bank of Korea has received approval from Indonesia's Financial Services Authority for its proposed acquisition of two Jakarta-based lenders, PT Bank Mitraniaga Tbk and PT Bank Agris Tbk, Yonhap News Agency reported.

The South Korean lender will start merging the banks to create a combined bank in the first half of 2019. The acquisition gives Industrial Bank of Korea access to 36 local branches, as well as a foreign exchange license to offer services to South Korean companies doing business in Indonesia.