OJK: UUS Separation Aims To Strengthen Indonesian Sharia Banking

Chief Executive of Banking Supervision of the Financial Services Authority (OJK) Dian Ediana Rae. (Special Photo)

JAKARTA - Chief Executive of Banking Supervision of the Financial Services Authority (OJK) Dian Ediana Rae said that the separation of sharia business units (UUS) has a goal in the context of developing and strengthening Islamic banking in Indonesia.

This is in line with the vision contained in the Roadmap for the Development and Strengthening of Indonesian Sharia Banking 2023-2027, namely developing healthy, efficient, integrity, and competitive Islamic banking, and contributing significantly to the national economy to achieve the benefit of the community. The separation of UUS is a manifestation of achieving this vision.

"So there is acceleration of strengthening the identity of Islamic banking and synergy of the sharia economic ecosystem, which in turn can achieve the Islamic banking industry which is growing in a healthy, efficient and sustainable manner," said Dian in Jakarta, quoted from Antara, Friday, May 17.

Dian added that this effort is also in line with the background for the issuance of OJK Regulation (POJK) No. 12 of 2023 concerning UUS, namely creating a national Islamic banking industry that is stable and competitive so that it is able to respond to the challenges of the development of the banking industry which is increasingly dynamic and complex.

"The market share of the Islamic banking industry towards the banking industry is still relatively low in providing space for the development of the Islamic banking industry, which is certainly an opportunity for players in the Islamic banking industry," he said.

Thus, Dian added, sustainable business scale development so that reaching a business scale affected by the corporate separation obligation (spin off) is a necessity for sharia banking industry players who are committed to still taking market opportunities in developing Islamic banking.

According to Dian, the Islamic banking industry is currently making various preparations to respond to the provisions regarding the spin off. This is done starting from infrastructure preparation to setting a more appropriate business model, so that in the future it can accelerate growth better.