OJK: Indonesia's Financial Sector Stability Remains Intact Amid Global Turbulence
JAKARTA, KOMPAS.com - The Financial Services Authority (OJK) assesses that the stability of Indonesia’s financial services sector remains intact amid escalating global pressures due to geopolitical uncertainties.
OJK Commissioner Chairperson Friderica Widyasari Dewi stated that the domestic financial sector’s condition is still resilient amid unrelenting global dynamics.
In April 2026, the global economy faces ongoing geopolitical uncertainties despite a ceasefire agreement between Iran, the United States (US), and Israel.
As a result, the closure of the Strait of Hormuz persists due to blockades by both parties, meaning disruptions to global energy distribution have not fully subsided.
“The Monthly Commissioners’ Meeting of the Financial Services Authority on 30 April 2026 assessed that the stability of the financial services sector remains maintained,” said the woman familiarly known as Kiki during a press conference on the results of the OJK Monthly Commissioners’ Meeting for April 2026 in Jakarta on Tuesday (5/5/2026).
Inflationary pressures have risen again, primarily triggered by increases in commodity and energy prices, while the US economy weakens with first-quarter 2026 growth projected to decline.
Meanwhile, inflationary pressures have intensified, mainly driven by rising commodity and energy prices.
The Federal Reserve (The Fed) also decided to maintain its benchmark interest rate, the Fed Funds Rate (FFR), at 3.5-3.75% during the April 2026 FOMC meeting.
Meanwhile, China’s economic growth in the first quarter of 2026 stood at 5%, in line with targets, supported by exports and the manufacturing sector.
However, the growth momentum is beginning to weaken.
Domestically, Indonesia’s economy remains solid with 5.61% growth in the first quarter of 2026.
This growth is supported by contributions from household consumption and increased government expenditure.
“From the demand indicators perspective, the consumer confidence index remains in the optimistic zone although moderated. Retail sales growth reached 2.4% year-on-year, while motor vehicle sales contracted annually,” she added.
In response to these global conditions, Kiki said OJK is strengthening oversight of the financial services sector through intensive monitoring and the implementation of stress tests with various scenarios.
OJK also urges financial services institutions to enhance risk management, including strengthening assessments of market and credit risk exposures and conducting periodic stress testing.
To anticipate future market dynamics, OJK, together with self-regulatory organisations, continuously monitors market developments and takes necessary policy responses.
“A number of policy instruments to maintain stock market stability are deemed still relevant and their validity periods have been extended,” she stated.