Deputy Law Minister Reveals Objectives Behind Indonesia's International Financial Centre

Deputy Minister of Law Edward Omar Sharif Hiariej has revealed the objectives behind the formation of the International Financial Centre Indonesia (PFII) during a working meeting with the House of Representatives’ Legislation Body in Jakarta on Tuesday. In the meeting discussing the Draft Law on PFII, Eddy, as he is familiarly known, stated the first objective is to enhance Indonesia’s competitiveness as an international financial centre. “Second, to encourage deepening and innovation in the financial sector; third, to attract investment and financial sector players, both national and international,” Eddy said. The fourth objective is to facilitate financing for the real sector, national strategic projects, sustainable financing, climate financing, infrastructure financing, and other financing. The fifth objective, he continued, is to strengthen the financial sector’s contribution to the national economy. “These are the main points forming the background for establishing the Law on the International Financial Centre Indonesia as soon as possible,” he said. At the meeting, the government proposed the PFII Bill be included in the 2026 National Legislation Programme. Eddy explained that Law Number 4 of 2026 concerning the Development and Strengthening of the Financial Sector stipulates that the operation of the PFII shall be regulated by law. “The law must be established no later than three months from the enactment of Law Number 4 of 2026, which is from 17 June 2026,” he stated. To ensure public welfare, he continued, sustainable economic growth and the deepening and diversification of the national economy through effective contributions to the financial sector are necessary. He said that to realise this condition, a PFII must be established and granted special authority as a driver of Indonesia’s sustainable economy in the future. “The PFII is a concentration of financial services and a centre for the development of technology and supporting services for finance, and is a trusted financial centre managed based on the principles of efficiency, transparency, and integrity,” he said. Based on the meeting’s outcome, the Legislation Body approved the PFII Bill proposed by the government to be discussed in accordance with statutory regulations. “I urge the government to implement meaningful public participation,” said House Legislation Body Chair Bob Hasan.