The Financial Services Authority (OJK), the Indonesian government agency that regulates and supervises the country's financial services sector, expects credit growth in Indonesia to expand by a bleak 6 - 7 percent (y/y) in 2016, far below the initial growth forecast of 12 - 14 percent (y/y). OJK Chairman Muliaman D. Hadad said credit growth is slowing in Indonesia amid sluggish global and domestic economic growth as well as the strategy of companies to settle debts rather than seek credit for business expansion, while individual credit demand remains bleak as well.

Lanjut baca ›

Credit disbursement in Indonesia's banking sector grew at its slowest pace in six years in the first quarter of 2016. This weak performance is attributed to the slowdown in the country's real sector. Muliaman D. Hadad, Chairman of Indonesia's Financial Services Authority (OJK), said credit expansion grew 10 percent (y/y) to IDR 4,084 billion (approx. USD $300 billion) in Q1-2016. However, Hadad remains optimistic that credit expansion will accelerate in the second half of the year in line with forecasts for accelerating GDP growth. This will be a better context for businesses to expand.

Lanjut baca ›

One of the leading banks in Indonesia, Bank Rakyat Indonesia (BRI), opened its first branch in Singapore on Wednesday (29/07), located in the heart of the Lion City at OUE Bayfront, 50 Collyer Quay (near Marina Bay). Today, the new office of BRI was inaugurated by Indonesian Coordinating Minister for Economic Affairs Sofyan Djalil, and the opening ceremony was witnessed by Minister of State-Owned Enterprises Rini Soemarno, and Chairman of the Board of Commissioners of the Financial Services Authority (OJK) Muliaman D. Hadad.

Lanjut baca ›

Indonesian President Joko Widodo stated during the launch of the “I Love Sharia Finance Program” that Indonesia should become the global center for Islamic finance (also known as sharia banking). The program, initiated by the country’s Financial Services Authority (OJK), was launched in Jakarta on Sunday (14/06). Islamic finance is a form of banking or banking activity that is consistent with the principles of sharia (Islamic law). In recent years, the global market for sharia-compliant financial instruments has risen robustly.

Lanjut baca ›

State-controlled Bank Mandiri, the leading bank in Indonesia in terms of asset size, will be allowed to open 20 branches in Malaysia after financial authorities in Indonesia and Malaysia signed an agreement. Although Muliaman D Hadad, Chief Commissioner at Indonesia’s Financial Services Authority (OJK), said that the government of Malaysia still needs to ratify the agreement, it is expected that Bank Mandiri will be able to open its Malaysian branches before the end of the year.

Lanjut baca ›

Indonesia’s Financial Services Authority (OJK) issued a new regulation that simplifies the opening of a foreign currency bank account by a foreign national (expat). A circular, S-246/S.01/2015 (dated 15 September 2015 and signed by OJK Chairman Muliaman D. Hadad), has been sent to all directors of Indonesian commercial banks that conduct business in foreign currencies. This new rule, part of the economic policy package that was released by the Indonesian government on 9 September, aims to boost foreign currency funds in Indonesia and support the rupiah.

Lanjut baca ›

Soon it will be easier for foreigners (expats) to have a foreign currency bank account (non-rupiah) in Indonesia. Muliaman D. Hadad, Chairman of the Financial Services Authority (OJK), stated it is bound to issue a new regulation that allows for easier banking in foreign currencies in Indonesia. This regulation is made in an effort to raise the country’s foreign exchange reserves and support the ailing rupiah.

Lanjut baca ›

Perbankan syariah atau jasa keuagan syariah adalah potensi besar yang belum banyak dimanfaatkan di Indonesia, negara tempat tinggal 13% dari total populasi umat Muslim dunia. Mengingat hampir 90% dari 250 juta orang di Indonesia memeluk agama Islam, pangsa pasar jasa keuangan syariah masih sangat rendah sekarang. Dengan asetnya sebesar 24 miliar dollar Amerika Serikat (AS), bank-bank syariah di Indonesia hanya memiliki 4,9% dari jumlah total aset perbankan di 2013. Hal ini membuat Otoritas Jasa Keuangan (OJK) berencana meluncurkan roadmap lima tahun untuk mendongkrak perbankan syariah.

Lanjut baca ›

Today (31/12), the central bank of Indonesia (Bank Indonesia) officially transfers its authority to regulate and supervise the banking sector to the Financial Services Authority (Otoritas Jasa Keuangan, abbreviated OJK). Muliaman D. Hadad, Chairman of the Board of the OJK, said that all functions, duties as well as powers of regulation and banking supervision, licensing, inspection, investigation and consumer protection have been transferred to the 35 (regional) offices of the OJK.

Lanjut baca ›