OJK Claims IKNB Assets Still Growing 7.7 Percent Amid The Pandemic

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MEDAN - In the midst of crisis pressure due to the COVID-19 pandemic, the national Non-Bank Financial Industry (IKNB) has proven to be still able to grow positively with a number of challenges.

Throughout 2021, for example, the Financial Services Authority (OJK) noted that the value of IKNB assets still managed to grow slightly by 7.71 percent on an annual basis (year on year / yoy).

"From 2017 to 2021, IKNB has consistently managed to grow from around Rp. 2,200 trillion to Rp. 2,839 trillion. Year on year from the previous year, there was a growth of 7.71 percent in December 2021," said the Chief Executive of the OJK IKNB Supervisor. , Riswinandi, as reported by Antara, Saturday, March 26.

Based on OJK records, the investment value of IKNB in 2017 was realized at Rp. 1,000 trillion, and grew to Rp. 1,724 trillion at the end of last year. On an annual basis, there was a growth in the value of IKNB assets of 8.53 percent.

Divided again by sector, Riswinandi explained that insurance assets increased from IDR 832.0 trillion to IDR 982.8 trillion for the same period comparison. As for the assets of financial institutions, there was an increase from Rp. 556.9 trillion to Rp. 583.5 trillion. "Then pension fund assets also increased from Rp262.3 trillion in 2017 to Rp329.6 trillion in 2021," said Riswinandi.

Since 2018, OJK called Riswinandi, has transformed IKNB by basing it on the results of the evaluation of regulations and supervision which are still lacking compared to the banking industry and capital market.

Riswinandi explained that the stages of IKNB transformation include strengthening risk management regulations, improving the mechanism for assessing the health level of IKNB, confirming supervisory status, and strengthening regulations by sector including improving regulations for fintech peer to peer lending.

In the next stage, continued Riswinandi, OJK will improve the supervisory mechanism in institutional aspects, application of prudential principles, operational management, reporting and information systems, business operations, conformity of sharia IKNB products with sharia principles. In addition, risk-based NBFI supervision will also be improved.

In order to strengthen the supervisory aspect, OJK also strengthens infrastructure through the use of digital technology in the fields of supervisory technology (suptech) and regulatory technology (regtech) by building licensing applications, reporting applications, and supervisory applications.

"In the future, OJK has prepared a continuation of the IKNB transformation program in the fields of regulation, supervision, infrastructure development, and the pillars of IKNB organization arrangement," said Riswinandi.