Full Details of P2SK Law Amendments Following DPR Ratification
Jakarta, CNBC Indonesia - The DPR has officially ratified the Bill on Amendments to Law Number 4 of 2023 concerning the Development and Strengthening of the Financial Sector (P2SK) as a new Law. During the plenary session, the ratification process was witnessed by several ministers representing the government, including Finance Minister Purbaya Yudhi Sadewa and the Minister of State Apparatus Empowerment and Bureaucratic Reform (PANRB) Rini Widyantini.
“On behalf of the government, allow us to express our gratitude and appreciation to all members of the DPR RI, particularly the Chair and Vice Chairs of Commission XI, who initiated this Bill and cooperated with the government,” said P2sva during his speech at the DPR Plenary Session in Jakarta on Thursday (4/6/2026).
Purbaya stated that the drafting of the P2SK Law amendments is a strategic step towards strengthening and creating harmony within the financial sector’s regulatory framework, as well as enhancing synergy and coordination between institutions to maintain financial system stability. The amendments consist of 17 main points of change.
The 17 new provisions contained in the P2SK Law are as follows:
LPS Institutional Structure
OJK Institutional Structure
Bank Indonesia (BI) Institutional Structure
Performance evaluation of LPS, OJK, and Bank Indonesia by the DPR
Expansion of banking and Sharia banking business scope
Demutualisation of the Stock Exchange in the Capital Market
Margin transfers in financial market transactions
Danantara Debt Securities
Insurance and Sharia insurance companies in resolution
Mandatory traffic accident insurance funds
Mineral and strategic commodity exchange
Crypto assets
Task force for the prevention and handling of online loans and online gambling
Indonesia’s International Financial Centre
Handling of bad debts for MSMEs
Investigation and prosecution in the financial services sector and restorative justice mechanisms
Banks under rehabilitation
Regarding the changes to the LPS (Deposit Insurance Corporation) institution, Finance Minister Purbaya Yudhi Sadewa detailed that changes were made to strengthen the institution, governance, and the effectiveness of the LPS mandate in maintaining financial stability. These include refining the definition of the LPS and strengthening its status as an independent legal entity and state institution. Furthermore, regulations regarding the composition, requirements, selection process, dismissal, and replacement of Board of Commissioners members have been refined. In terms of accountability and budget management, the revision strengthens the mechanism for preparing and approving the LPS annual work plan and budget through DPR involvement.
Regarding the OJK (Financial Services Authority) institution, the strengthening agreed upon by the government and DPR includes expanding OJK’s duties to regulate and supervise financial services activities in the capital market, derivatives, carbon exchanges, as well as mineral and strategic commodity exchanges. Additionally, OJK is tasked with regulating and supervising other public fund management activities, including Hajj funds and public housing savings, in accordance with laws and regulations.
The government and DPR also agreed on adjusting OJK’s authority regarding crypto assets and adding authority to establish further regulations and policies for financial services industries that may directly impact risks or benefits to customers and the public, or potentially affect financial system stability. Institutional aspects also include refining the OJK Board of Commissioners structure, including the addition of an Executive Head for the Supervision of Mineral and Strategic Commodity Exchanges. Governance is further strengthened through legal protection for OJK members, officials, and employees, and the authority of the Board of Commissioners to represent OJK in and out of court.
Regarding the Bank Indonesia (BI) institution, the government and DPR agreed to strengthen BI’s ability to achieve its objectives through policies that create a conducive economic environment for the real sector and job creation. The DPR and government also agreed to strengthen legal protection for the Board of Governors, officials, and employees of Bank Indonesia who perform their duties in accordance with the law and in good faith.