Jakarta. State-controlled Bank Rakyat Indonesia, the country's second-largest lender by assets, has raised its capital expenditure to Rp 5 trillion ($373 million) to beef up information technology systems, and it has set aside another Rp 4 trillion for acquisitions and capital injections into its subsidiaries in 2017.

Rp 2.4 trillion of the capex budget will go towards upgrading BRI's IT systems, which is a 20 percent increase from this year, BRI finance director Haru Koesmahargyo said on Saturday (17/12), as quoted by Antaranews.com.

Haru said the remainder of the capital expenditure will go towards expanding the lender's branch office network and operations.

Total capital expenditure is up 11 percent from Rp 4.5 trillion this year.

BRI launched its own satellite in June, being the first lender in the world to do so, to support its long-term expansion across the archipelago and the Southeast Asia region at a cheaper cost compared to having to rent a satellite.

On top of the capital expenditure, BRI has also set aside up to Rp 4 trillion for acquisitions and capital injections into its subsidiaries.

BRI plans to acquire a securities brokerage company, which it has yet to identified, for Rp 2 trillion, Haru said. The lender has been in acquisition mode for the last two years, with the aim to add a small lender, an insurance company and a security brokerage to its sprawling business.

However, it has so far only managed to acquire life insurer Asuransi Jiwa Bringin Sejahtera for Rp 1.6 trillion in 2015. Next year, the lender seeks to inject between Rp 500 billion and Rp 1 trillion into the life insurer, which is also known as "Bringin Life."

BRI Syariah, the lender's Islamic banking subsidiary, will get Rp 500 billion in new capital, with the same amount going towards BRI Multifinance, its financing arm.

"For BRI Multifinance, we will expand its business from transportation, printing and heavy equipment today to motor vehicles, medical devices and the consumer sector," Haru said.

BRI target overall loan growth of between 15 percent and 17 percent next year, compared to an estimated 15 percent this year, he said.