New Banking Regulations Unveiled by Bank Indonesia: An Overview

Date: April 22, 2015

Bank Indonesia, the central bank of Indonesia, has recently introduced a series of new regulations to enhance the compliance and transparency of the financial sector. Below is a summary of these new regulations:

1. Bank Indonesia Regulation Number 14/15/PBI/2012: Assessment of Commercial Bank Asset Quality

• Guidelines for assessing commercial bank asset quality
• Ensuring high-quality loans to maintain financial stability

2. Bank Indonesia Regulation Number 12/21/PBI/2011: Bank Business Plan

• Standards for banks to submit their business plans
• Alignment with economic conditions and development goals

3. Bank Indonesia Regulation Number 14/14/PBI/2012: Bank Report Transparency and Publication

• Strengthens transparency and publication requirements
• Valuable information accessible to the public

4. Bank Indonesia Regulation Number 15/1/PBI/2013: Credit Bureau

• Improvements to the credit information system
• Better credit risk management and protection for consumers

5. Bank Indonesia Regulation Number 14/27/PBI/2012: Anti-Money laundering and Combating the Financing of Terrorism Program for Commercial Banks

• Stringent measures for commercial banks
• Maintaining the financial sector’s integrity

6. Bank Indonesia Regulation Number 14/18/PBI/2012: Minimum Capital Adequacy Requirement for Commercial Banks

• Minimum capital requirements for commercial banks
• Safeguards investor confidence and financial stability

7. Bank Indonesia Regulation Number 14/17/PBI/2012: Bank Business Activity in the Form of Trust (dated 23rd November 2012)

• Guidelines for bank business activities in the trust sector
• Promotes efficiency and transparency

8. Bank Indonesia Regulation Number 14/12/PBI/2012: Commercial Bank Head Office Reports

• Enhances reporting requirements for commercial banks’ head offices
• Comprehensive and accurate financial information

9. Bank Indonesia Regulation Number 13/23/PBI/2011: Implementation of Risk Management in Islamic Commercial Banks and Islamic Business Units

• Applicable to Islamic commercial banks and business units
• Guides the implementation of risk management practices

10. Bank Indonesia Regulation Number 13/19/PBI/2011: Amendment to Bank Indonesia Regulation Number 8/12/PBI/2006 Concerning the Periodic Report of Commercial Banks

• Updates to the previous periodic report regulation
• Addresses current financial reporting challenges
• Strengthens supervisory oversight