JAKARTA - The Financial Services Authority (OJK) urges all financial services institutions (LJK) to be aware of the potential impact of the escalation of the conflict on debtors and the financial sector, following the attacks carried out by the United States and Israel against Iran some time ago.
The Acting Chairman and Deputy Chairman of the OJK Commission Board (DK) Friderica Widyasari Dewi said that until February 2026 the stability of the national financial services sector is still maintained.
He also assessed that the global economy showed a relatively solid performance, supported by improvements in the world's manufacturing sector and the recovery of consumer confidence.
However, he added that the increasing geopolitical tensions and geoeconomic fragmentation since the beginning of 2026, including in the Middle East region, as well as the dynamics of the United States trade policy, have the potential to trigger volatility in global financial markets.
"In connection with the increasing tensions in the Middle East, our financial services institutions ask to continue to monitor the situation and anticipate the impact on debtors and the financial market itself," said the woman, who is familiarly called Kiki, in the RDKB February 2026 press conference, quoted Wednesday, March 4.
He explained that there were three potential impacts if the conflict between Israel and Iran involving the United States continued.
First, a spike in world oil prices if Iran closes the Strait of Hormuz and about 30 percent of global oil supplies and liquefied natural gas (LNG) shipments pass through the route and if the closure lasts a long time, this condition can pose a risk to the economy, including Indonesia.
Second, the increase in global inflation which has the potential to affect the central bank's policy, especially in determining interest rates.
In addition, conflicts in the Middle East can also trigger tightening liquidity in international financial markets and suppress economic growth.
"So we also see how this is a potential for competition for these funds, and that's why we have to ensure our readiness in the country, yes, so that we can face this high global exposure," he said.
Third, the increasing uncertainty can encourage global investors to shift funds to safer instruments (safe haven) and in this situation, emerging market financial markets such as Indonesia are required to maintain integrity, liquidity, and credible governance to remain competitive and attractive for foreign capital flows.
"We will also continue to carry out structural reforms, of course, to strengthen the fundamentals of the financial sector in Indonesia, including continuing to carry out reform programs to improve integrity and liquidity in the market," he said.
Kiki added that OJK will continue to carry out structural reforms to strengthen the fundamentals of the financial sector, including improving market integrity and liquidity.
He also ensured that OJK together with the Self-Regulatory Organization (SRO) had prepared various anticipatory policies if necessary and LJK was asked to strengthen risk management and conduct a resilience test (stress test) with various scenarios.
"We also have very good cooperation and synergy between the KSSK forum, OJK, Ministry of Finance, Bank Indonesia, and LPS to continue to coordinate closely, especially in times like this," he said.
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