Jakarta, Indonesianpost.com – The Financial Services Authority (OJK) will strengthen 53 OJK regulations (POJKs) as a follow-up to Law No. 4 of 2023 on Financial Sector Development and Strengthening (PPSK), the deputy chief of OJK’s board of commissioners said.
There will be regulations that will become priorities so that they can be completed faster based on the stipulations within the PPSK Law, Mirza Adityaswara informed at an online press conference on Monday.
For instance, there are regulations that will need to be strengthened within six months, a year, and even, two years, he elaborated.
“Thus, we work based on the guidance from the law,” he added.
In addition to preparing regulations for the implementation of the PPSK Law, the OJK is also undergoing internal reorganization to strengthen the agency’s monitoring and regulatory function, he informed.
In line with this, the ratification of the PPSK Law has given a more detailed guideline on the reorganization that OJK has to undertake, he said.
“This reorganization is ongoing and has not been completed. For instance, as you may have heard, we created a department for market conduct. Behavior monitoring has its own department,” he informed.
OJK will also add departmental units for monitoring the capital market industry’s functioning. The monitoring strengthening will include separating the function of monitoring investment managers and securities agencies.
Meanwhile, as part of its non-bank financial industry monitoring function, OJK will separate the department for insurance monitoring and pension fund monitoring to produce a more optimal outcome.
“Initially, monitoring of the insurance and pension fund was done by one department, but since it is too heavy, we separate it,” he explained.
Within the banking monitoring function, OJK will establish a department to monitor banking conglomerates.
“This is also the mandate from the PPSK Law,” the former senior deputy governor of Bank Indonesia said.