OJK to Encourage Bank Financing for Government Programmes, Purbaya's Comments
Jakarta, CNBC Indonesia - Finance Minister of the Republic of Indonesia, Purbaya Yudhi Sadewa, assesses that the government’s fiscal support is sufficient to realise its priority programmes. However, support from financial service institutions (LJK) such as banking is deemed important.
This responds to the Financial Services Authority (OJK), which is adjusting the provisions of the Bank Business Plan (RBB) to encourage banking to better support government priority programmes. The adjustment will be stipulated through the Draft Financial Services Authority Regulation (RPOJK) to regulate the direction of bank credit distribution that supports national programmes.
Purbaya stated that banks need to be encouraged to channel financing to development programmes. According to him, banking may have tended to place its funds in the central bank so far.
“That is already sufficient from the government, but there will still be other development programmes where perhaps banks have been lazy, preferring to put their money in the central bank. Perhaps they should be pushed in that direction, towards the real sector and development,” said Purbaya when met by reporters on Friday (10/4/2026).
He assesses that the OJK regulation will be good for encouraging government development programmes. However, Purbaya said he must first see the regulation in full once it is issued.
“That if implemented should be good, but I haven’t seen what the regulation is like yet, later I will assess the regulation first before I can give good comments,” he stated.
Purbaya emphasised that it is important to encourage banking to carry out its intermediation function to drive the economy.
“But what is important is every effort to ensure that banks carry out their intermediation function, which is lending, that is good for the economy,” Purbaya concluded.
Previously, OJK Commissioner Chair Friderica Widyasari Dewi stated that the POJK will direct national banking to channel credit to government priority programmes, such as the Free Nutritious Meals (MBG) programme, three million houses, and the Red-White Village Cooperative (KDMP).
“We are drafting the RPOJK for the adjustment of RBB provisions. In it, how we also support banks to be more involved in government priority programmes,” said Friderica, or familiarly known as Kiki, at the Bank Mega Tower on Tuesday (7/4/2026).
She stated that this policy can encourage the contribution of the financial services sector to economic growth and national development, strengthen the UMKM ecosystem, and increase bank industry credit/financing.
Nevertheless, Kiki stated that the channelling of financing to government priority sectors is not mandatory, depending on the risk management and risk appetite of each bank.
“Not mandatory, but we encourage it. Everything must be in accordance with their risk management and risk appetite (banks). But the main point is how OJK now encourages the financial services sector under OJK to maintain financial system stability,” she added.