OJK Appoints New Commissioners, Commission XI Emphasises Strengthening Financial System Oversight
The Chair of Commission XI of the Indonesian Parliament (DPR RI), Mukhamad Misbakhun, has emphasised that the appointment of five Board Members of the Financial Services Authority (OJK) for the 2026-2031 period must become a momentum to strengthen the quality of oversight of the financial services sector, particularly in maintaining the stability of the national financial system amid increasing complexity of global risks and digital transformation of the financial sector.
He assessed that the responsibilities of the OJK Board going forward will be increasingly heavy, given the expanding scale of the national financial services industry and rising exposure to global risks, including financial market volatility, fintech developments, and increasingly complex consumer protection.
“Our financial services industry is now substantial. The scale of oversight is large and the risks are increasingly complex. Therefore, the OJK going forward must present itself as a firm regulator, but also adaptive to change,” said Misbakhun in a written statement in Jakarta on Friday, 13 March.
He also highlighted the importance of strengthening oversight of the digital financial sector, which is growing very rapidly, including online lending (fintech lending), crypto assets, and other financial technology innovations that require a balance between innovation and risk management.
“The OJK must not merely be a rule maker, but must be a market guardian. Innovation must be protected, but risk discipline cannot be lax. If oversight is weak, the community is the first to be harmed,” he asserted.
Furthermore, Misbakhun also emphasised that consumer protection aspects must become a priority for the new OJK leadership, particularly given the many public complaints regarding financial services practices, ranging from illegal online lending to high-risk investment products that are not fully understood by the community.
According to him, the level of financial literacy among the public, which still hovers around 50 per cent, demonstrates that half of Indonesia’s population remains vulnerable to risks from financial products that are not fully understood. Therefore, the role of education and oversight by the OJK becomes highly strategic.
“If our financial literacy is not evenly distributed, then the regulator must not fall behind business actors. Education must be aggressive, oversight must be progressive, and consumer protection must be tangible,” he continued.
He also stressed the importance of maintaining investor confidence in Indonesia’s financial system, as the perception of regulator quality significantly influences investment flows and the stability of the national financial market.
“The financial market is very sensitive to trust. The OJK must ensure strong governance, consistent oversight, and clear policy communication. If trust is strong, the market will be stable. If trust wavers, pressure can come from anywhere,” said Misbakhun.
Misbakhun conveyed that Commission XI of the DPR RI will closely monitor the performance of the new OJK Board, particularly in ensuring that the implementation of the mandate to strengthen the financial sector runs effectively and has real impact on national economic stability.
“Parliament does not merely select, but will also oversee. We want the OJK in this period to truly demonstrate the quality of strong, independent regulatory leadership that sides with financial system stability and the interests of the broader public,” he concluded.