BLBI Stalled For Decades, Sri Mulyani: No Need To Wait For Good Intentions, Now Want To Pay Or Not!

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

JAKARTA - The government is increasingly showing its seriousness in pursuing state receivables arising from the case of Bank Indonesia Liquidity Assistance (BLBI) since 1997-1998.

Minister of Finance, Sri Mulyani said that this problem had been stalled for a long time and firmness was needed from the state to get a real solution.

"Because the time has been very long, so now it's more than 20 years, of course, we no longer question the good intentions (of obligors and debtors), just want to pay or not", she said during a virtual press conference with the Coordinating Minister for Political Affairs, Law and Security, Mahfud MD, regarding the inauguration of the BLBI Task Force in Jakarta, Friday, June 4.

According to the Minister of Finance, BLBI is actually liquidity assistance from the government through Bank Indonesia to help national banks to get out of the economic crisis and the funds must be returned to the state.

"This is the state's right of collection to those whose status is the obligor, namely the owners of banks assisted by the state through BLBI, or debtors, namely those who borrow from banks assisted by the state", she said.

The Minister of Finance explained that in the BLBI case, the state suffered a loss of IDR 110.45 trillion. This amount consists of claims to obligors amounting to 40 trillion. While the rest are debtor loans with a value above IDR 25 billion.

"We will collect through the state receivable mechanism, and that is a civil matter", she said.

For information, President Joko Widodo (Jokowi) has just released Presidential Decree Number 6 of 2021 concerning the Task Force for Handling State Collection Rights for the Bank Indonesia Liquidity Assistance Fund (BLBI).

Citing information from the Cabinet Secretariat website, it is stated that the task force is responsible to the President with the task of handling, resolving, and restoring state rights originating from BLBI funds.

In working, the BLBI Task Force consists of a chairman, vice-chairman, secretary, and seven members. Meanwhile, the position of chairman is occupied by the Director-General of State Assets of the Ministry of Finance, Rionald Silaban.

The team also received directions from the Coordinating Minister for Political, Legal and Security Affairs, Coordinating Minister for Economic Affairs, Coordinating Minister for Maritime Affairs and Investment, Minister of Finance, Minister of Law and Human Rights, Attorney General, and National Police Chief.