Currently, Indonesia has approximately 2,400 startups and is ranked 6th in the world by the number of startups
Jakarta (Armfalcon.com) – Deputy Commissioner of the Financial Services Authority (OJK) Bambang W Budiawan provided three pillars of strategy for strengthening the Non-Bank Financial Industry (IKNB), particularly in the banking sector. financial technology (fintech) to drive digital economic growth.
The first strategy is internal strengthening of Non-Bank Financial Services Institutions (LJKNB). Strengthening can be done by implementing good bank governance or Good Corporate Governanceimplementation of effective risk management, implementation of mechanisms checks and balances, as well as implementation of consensus deliberation or Internal Dispute Resolution (IDR).
Second, strengthening in the aspects of profession and association. The strategy begins with strengthening the supporting professions in the IKNB sector such as public accountants and actuaries.
“We ask associations and several supporting professions to also help financial service providers to have minimum standards that meet financial requirements reliable can be trusted, then special techniques, such as the accounting profession, IT monitors, actuaries, we encourage them to become second mind of defense,” said Bambang in Jakarta, Tuesday.
He conveyed this at the 2023 Fintech Policy Forum organized by the Indonesian Fintech Society (Ifsoc) and the Center for Strategic and International Studies (CSIS).
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Third, the strengthening of OJK itself. Strengthening the role of OJK in carrying out regulatory and supervisory functions through internal management to be able to carry out more effective regulation, licensing and supervision. In conducting supervision, OJK optimizes information technology support (sup-tech) as well as increasing HR capacity.
The implementation of these strategies is assisted by the existence of the Financial Sector Development and Strengthening Act (UU PPSK) as a strong legal basis for fintech growth and competition in the market.
Furthermore, Bambang explained, Indonesia is currently one of the countries in Asia with high potential for digital economic growth.
Based on data from the Association of Indonesian Internet Service Providers (APJII), penetration of Indonesian internet users continues to increase, reaching 215.6 million users as of March 2023. This figure is up 2.67 percent on an annual basis.
Then sector growth e-commerce Indonesia reached US$59 billion or 76 percent of the value of Indonesia’s digital economy. OJK projects this figure will continue to grow to US$130 billion in 2025.
“Currently, Indonesia has approximately 2,400 startups and is ranked 6th in the world by the number of startups,” said Bambang.
Demographically, Indonesia has a large market potential. It is recorded that 270 million people are classified as Gen-Z: 27.95 percent, Gen-Y: 25.87 percent, and Gen-X: 21.88 percent. This figure makes it easier for the Indonesian people to be able to easily adapt along with technological advances.
Also read: OJK is optimistic that the prospects for IKNB in 2023 will remain good
Reporter: Bayu Saputra
Editor: Ahmad Wijaya
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