OJKs New Regulation on Bank Report Transparency to the Public

The Financial Services Authority (“OJK”) is finalizing a Draft Regulation of OJK (“RPOJK”) on Bank Report Transparency and Disclosure. OJK’s Chief Executive of Banking Supervision, Dian Ediana Rae, stated that this regulation serves as an umbrella framework for banks in meeting the standards published by the Basel Committee on Banking Supervision ("BCBS").

“The drafting of this RPOJK is expected to strengthen reporting integrity, enhance market discipline, and reinforce public trust in the banking sector,” said Dian to Hukumonline.

The provisions in this RPOJK are expected to enhance the governance of reporting by commercial banks by minimizing redundancy and distinguishing between the requirements for publication and the submission of reports of OJK. The implementation of risk management for banks includes the publication of performance information, the bank’s role as an issuer and public company, the bank’s role in consumer protection, and other relevant aspects. These provisions are intended to serve as an integrated source of information for the public.

"Please stay tuned, as it is currently undergoing the rule-making rules harmonization process," Dian added.