JAKARTA – The Financial Services Authority (OJK) will provide special treatment for Financial Services Institutions (lit. Lembaga Jasa Keuangan/LJK) in regions that are affected by natural disasters. The legal umbrella is explicitly stated in the OJK Regulations (POJK) No.19/2022 regarding Special Treatment for Disaster Impacts.
Darmansyah, Director of Public Relations of OJK, claimed that said regulation will complement the previous point, POJK No.45/2017 that was only concerned about special treatments for disaster-stricken debtor and banks. “This new regulation will oversee all special treaments for those that are affected by natural or non-natural disaster, including all financial services institutions (LJK),” he explained in the information disclosure earlier today (10/11).
Determining the region or the sector that is affected by the disaster will put several aspects into consideration. For instance, OJK will have to calculate the area of disaster impact, the number of victims, the amount of material loss, the percentage of the credits channelled to the disaster-affected debtors, and the amount of credit limited to IDR 10 billion that is affected by the disaster.
Furthermore, LJK in question will include banks, capital market, and non-bank financial institutions, such as financing and sharia financing companies, conventional and sharia venture capitals, and infrastructure financing companies. (LK/ZH)