Sri Mulyani Leaks Formation Of Fintech Law

Minister of Finance Sri Mulyani (Photo: Doc. Ministry of Finance)

JAKARTA - Minister of Finance (Menkeu) Sri Mulyani said that currently the government and the DPR are involved in discussing regulations governing the existence of financial technology companies or fintech companies. According to the Minister of Finance, this policy will be in the form of a law which is claimed to be a driving force in strengthening the national financial industry.

"The government and the DPR plan to change the term financial technology into technological innovation with the aim of getting a wider industry coverage," he said while speaking at the 2021 Fintech Summit forum, Saturday, December 11.

The Minister of Finance added that several main points that were discussed in the law included regulation and supervision, licensing, associations, legal entities, including consumer protection issues.

The Minister of Finance ensures that in the formation of this belief, the government considers the aspects of all stakeholders. This is evidenced by the open attitude of state officials in accepting input on the draft law that is being discussed.

"By building fintech and digital technology, we have the opportunity to provide the maximum benefit to society," he said.

For information, in the previous VOI report, the Financial Services Authority (OJK) continues to support the government to immediately issue a law-level regulation that regulates the existence of financial technology companies in Indonesia. This was stated by the Head of OJK Innovation Maskum in a webinar some time ago.

“The development of fintech is very helpful in efforts to increase financial inclusion in society. For this reason, the collaboration of many parties in improving people's financial literacy is needed while arranging formal instruments to suppress the movement of illegal fintech institutions," he said.

To note, fintech continues to grow along with the increasing adoption of information technology with a transaction value of Rp19.2 trillion throughout 2021.

Then, more than 12 million MSME merchants have become fintech partners, which are dominated by MSMEs. Meanwhile, as of October 2021, the number of fintech lending that has been registered and licensed by the OJK is 104 companies with accumulated fund distributions reaching Rp262.93 trillion, an increase of 104.30 percent year-on-year.