OJK Reveals 7 Commitments to Face Challenges in the World of Indonesian Banking

Financial Services Authority (OJK). (Between-Aditya P P P)

JAKARTA - In general, Indonesian banking transactions are becoming increasingly massive and important while still being closely monitored by regulators. In the midst of macroeconomic conditions that are fragile, volatile and full of uncertainty, banking conditions are increasingly being paid attention to so that systemic risks can be suppressed as early as possible.

According to Bank Indonesia (BI) Regulations on Systemic Risk Macroprudential Regulation and Supervision, there is potential for instability as a result of contagious disruption in parts or the entire financial system due to the interaction of size factors, business complexity, linkages in financial markets, as well as tendencies for excessive behavior from actors. or financial institutions to follow the economic cycle.

Responding to this, Chief Executive of Banking Supervision at the Financial Services Authority (OJK) Dian Ediana Rae said that his party had seven commitments to face these challenges, from 2022-2027.

"We continue to support various innovations in banking business operations in order to provide the best service," said Dian in an online event entitled "Persisting in Financial Stability with Prioritizing Service Quality" in Jakarta, written on Sunday, September 10.

The seven commitments are building a banking structure with integrity, developing sharia banking, strengthening the OJK's organization and human resources (HR) in the banking sector, and strengthening governance and human resource development.

Next, strengthening and consolidating banks for conventional commercial banks, sharia commercial banks, especially regional development banks (BPD), sharia business units, and BPR/BPRS, developing and supporting the sustainable finance industry, as well as strengthening the handling of banking crimes.

"It is hoped that these main programs can spur Indonesian banking performance to be even better, as well as make a positive contribution to supporting the country's economic growth amidst the challenges and dynamics of the global economy," he said.

Apart from that, Dian again reminded the banking industry to always be alert and prepared to anticipate potential risks that may arise at any time.

"Banks (are expected) to continue to accelerate the digitalization of products and services so that they can meet public expectations and continue to pay attention to the management of risks that may arise in the use of information technology in order to create a stable and sustainable financial system," he concluded.