Financial Sector Law Reform Is Increasingly Urgent To Deal With Loans And Crypto Cs, OJK: What's Now From 1992

Chairman of the OJK Board of Commissioners Wimboh Santoso (Photo: OJK Youtube screenshot)

JAKARTA - Chairman of the Board of Commissioners of the Financial Services Authority (OJK) Wimboh Santoso said that reform efforts in the financial sector in the country are currently very urgent. Moreover, one of the regulations that become the benchmark today comes from the formation of regulations in the early 90s.

"We know that all banking laws were issued in 1992, especially if we look closely at the capital market law, it could take much longer and the insurance law as well," he said in a seminar held online on Friday, February 11.

According to Wimboh, new regulations are needed to be able to ward off various challenges that continue to develop and cannot be accommodated by the old legal umbrella.

“Well, the current practice of products is not specifically regulated in the law. It's not just online loans (pinjol), lately we are being excited by investment products that have not been firmly regulated, such as cryptocurrencies that promise extraordinary profits," he said.

For this reason, Wimboh welcomes the initiative of the government and the House of Representatives who are currently working on reforms in the regulation of the financial services sector.

"We must not be careless, especially our law, how are we going to perfect this. And OJK welcomes this process to carry out reforms in the financial sector and has become an initiative of the DPR and the government," he said.

As previously reported by VOI, there is currently a discussion on the Draft Law on Development and Strengthening of the Financial Sector (RUU P2SK). The regulation is expected to be a reference for regulators such as the OJK to further emphasize their stance in regulating and supervising the financial industry in the country.