OJK Explains Strategic Steps To Maintain Financial Services Stability

OJK Press Conference (Photo: DOK VOI)

JAKARTA - The Financial Services Authority (OJK) has prepared strategic steps to maintain financial service stability. One of them is by launching a road map for insurance development in 2023-2027. Chairman of the OJK Board of Commissioners Mahendra Siregar said, OJK has launched a road map for insurance development 2023-2027 with the theme restoring confidence to industrial reform as a guideline for the preparation of development strategies and strengthening the insurance industry. In addition, OJK also issued a series of policies to develop digital financial innovations and improve the function of the Sandbox Regulatory, as well as issue derivative provisions of the P2SK Law relating to Financial Sector Technology Innovation (ITSK) and digital financial assets, including crypto assets. "Coordination with CoFTRA also continues regarding the transfer of duties to regulate and supervise digital financial assets, including crypto assets, as regulated in the P2SK Law," Mahendra said at the Press Conference, Friday, November 3. Mahendra said that the OJK is also currently in the process of drafting several regulations regarding the implementation of Bulion business activities or gold banks to provide guidelines for organizing Bulion business activities, provisions related to strengthening and developing Micro Financial Institutions (LKM). Through the draft regulation, the minimum gold minimum weight limit that will be transacted for the first time is planned for at least 500 grams. Meanwhile, for capital, the organizers of the bullion business activities must have core or equity capital when applying for a permit to the OJK is at least IDR 3 trillion.

In terms of risk management, the organizers of the bullion business activities are prohibited from having a gold financing receivable with the category of quality of non-performing financing after deducting the allowance for the elimination of gold financing receivables, more than 5 percent of total gold financing. Furthermore, improving the provisions regarding insurance products and marketing in line with adjustments to the development of information technology.