Seminar with the Australian Treasury: The 2016 Financial system crisis prevention and mitigation Act (UU PPKSK) and what it means for the Indonesian financial sector

On Thursday, 9 August 2018, the ANU Indonesia Project will hold a special seminar in cooperation with the Australian Treasury. The seminar will feature Ms Arif Baharudin, Assistant Minister for Policy and Regulation of Financial Services and Capital Markets, Ministry of Finance, Republic of Indonesia. The topic of the seminar will be is The 2016 Financial System Crisis Prevention and Mitigation Act (UU PPKSK) and What It Means for the Indonesian Financial Sector.

The seminar is free and open to the public, and will be held at 2.00-3.30pm, at Weston Theatre, Level 1, JG Crawford Building 132, Lennox Crossing, Canberra, ANU.

Abstract: To reduce the risks of a 1997-1998 style crisis recurring, Indonesia has implemented significant financial sector reforms. These have included reorganisation of the institutional architecture of  the financial sector. Such institutional arrangements include better detailing of the functions and duties of the Ministry of Finance, Bank Indonesia, the Financial Services Authority (OJK), and the Deposit Insurance Corporation (LPS), as outlined in the 2016 Financial Sector Crisis Prevention and Mitigation Act (UU PPKSK or PPKSK Act). The PPKSK Act is structured to regulate the coordination and decision-making mechanisms among the four institutions mentioned above. Further, to improve institutional coordination, the Act established the Secretariat of Financial System Stability Committee (KSSK), which should be operational by the end of 2018. Going forward, what are the implications of the PPKSK Act and what measures will arise in the short and medium term? What are their likely impacts to Indonesia’s financial and capital markets? More importantly, in today’s climate of global political and economic uncertainty, is the Act sufficient to prevent and mitigate future financial crisis in Indonesia?

About the speaker

Picture Mr Arif Baharudin

Arif Baharudin is Assistant Minister for Financial Services and Market Policy and Regulation, Indonesia Ministry of Finance, and Chair of the Secretariat of Financial System Stability Committee (KSSK). He provides strategic advice to the Minister of Finance on policy and regulation of  Indonesia’s financial services and capital markets. He has held various senior positions in the Ministry of Finance covering fiscal, state asset management, and capital market policies. Prior to his current role, Mr Baharudin was the Executive Secretary of the Fiscal Policy Agency. Mr. Baharudin’s capital market expertise was acquired during his time as Head of the Bureau of Securities Transactions and Institutions, Capital Market Supervisory Agency (BAPEPAM). He holds a Master of Business Administration degree from the Daniels College of Business, University of Denver, USA. Mr Baharudin will lead a delegation of Indonesian senior officials visiting Australia to meet with Australian financial sector counterparts as part of an ongoing sharing of financial sector experiences between the two countries, which commenced after the Asian Financial Crisis.

Other members of the Indonesia delegation includes Ms Ayu Sukorini (Director, Center for Financial Sector Policy, Fiscal Policy Agency), Dr  Boby Wahyu Hernawan (Deputy Director of Financial Industry Development Policy, Center for Financial Sector Policy, Fiscal Policy Agency, MOF),  Dr Deni Ridwan (Director of Risk Management and Legal Affairs, KSSK Secretariat), Mr Indra Gunawan (Director of Financial System Stability Policy and Assessment, KSSK Secretariat), Ms Catur Abadi Nirmalasari (Head of Office Management Division, KSSK Secretariat), Mr Bob Arfan (Head of Legal Affairs, KSSK Secretariat), and Mr Kahlil Rowter (Senior adviser, PROSPERA Project).