Guidelines for the Calculation of Risk-Weighted Assets for Credit Risk Amended

The Financial Services Authority (“ OJK ”) has issued Circular (“ Amendment ”), which amends Circular on the Calculation of Risk-Weighted Assets for Credit Risk Using the Standard Approach (“ Circular 42/2018 ”).The Amendment was issued in order to promote banking intermediary function through the adjustment of provisions concerning risk-weighted assets for credit risk. It is hoped that this will ultimately give the Indonesian economy a boost and improve national competitiveness. In essence, the Amendment redefines the following areas: