OJK Adds Systemic Banks to 15
Translator
Editor
Kamis, 1 Januari 1970 07:00 WIB
TEMPO.CO, Jakarta - The Financial Services Authority (OJK) has increased the number of systemic banks from 11 to 15 in April 2018. This is a mandate of the Law on the Prevention and Handling of Financial System Crisis (UUPKSK).
OJK deputy commissioner of strategic and logistics management Anto Prabowo said on Friday, May 4, that banks are required to create Recovery Plans, known as bail-ins. Owners and managers have a responsibility to maintain the business continuity of their banks.
"This is to—as much as possible—avoid using public funds [to bail-out banks]," he said.
When the PPKSK law was issued in March 2016, there were 12 banks listed. In September 2017, the number was down to 11, and now it is increased to 15 banks.
"The condition of the banking industry as a whole, including the fifteen banks, is healthy and safe," he added.
These banks, he said, are those that can contribute to the national economy. The assessment of this systemic bank is done by OJK in coordination with Bank Indonesia.
Dewi Nurita
