Draft P2SK Capai Rate I Rate I Ratification Bill, Sri Mulyani: An Important Institution Of Financial Sector Reform

The working meeting of the P2SK Bill between the government and the DPR (Photo: Capture the Youtube screen of Commission XI DPR)

JAKARTA - The government through the Minister of Finance (Menkeu) Sri Mulyani together with Commission XI of the DPR RI have reached a level I agreement on the Draft Law on the Development and Strengthening of the Financial Sector (RUU P2SK).

According to the Minister of Finance, this momentum is a strategic step for decision making in phase II, namely the decision on the P2SK Bill at the plenary session of the DPR RI.

"The P2SK Bill will be an important milestone for reform in the financial sector and is one of the important foundations to encourage the Indonesian economy towards the vision of the 2045 Golden Indonesia," he said in a press statement quoted on Friday, September 9.

The Minister of Finance explained that the latest regulation will support other reforms that have been carried out through various legislation, such as Law 11 of 2020 concerning job creation, Law Number 7 of 2021 concerning the harmonization of tax regulations, and Law Number 1 of 2022 concerning central and regional financial relations.

The omnibus method used in this bill becomes more effective and comprehensive in financial sector reforms. In the future, it is hoped that it can answer various fundamental challenges in the financial sector, such as high transaction costs, limited financial instruments, low consumer trust and protection, financial literacy issues and increasing financial system stability," he said.

The state treasurer also said that the government and the DPR agreed that this bill would focus on the five main pillars, namely regarding strengthening the institutional institutions of the financial sector authority, strengthening the governance of the financial industry and increasing public confidence in the financial industry.

Then, encourage the accumulation of long-term funds in the financial sector, strengthen state protection against consumers of financial products, and strengthen inclusion and innovation literacy in the financial sector.

"Through this rule, the community is expected to be more protected from illegal practices. In addition, the strengthening area in this bill is strengthening coordination because many parties are involved as supervisors, associations, and as perpetrators," he said.

The Minister of Finance also appreciated the overall process of drafting the P2SK Bill which was considered constructive and open to various inputs from all elements of society. In VOI's notes, the P2SK Bill consists of 27 chapters and 341 articles containing a number of provisions.

"The regulations in the P2SK Bill are expected to be a momentum in strengthening the role of the Indonesian financial sector and can encourage people's welfare and support economic recovery in a sustainable manner," closed the Minister of Finance Sri Mulyani.