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UU P2SK Revision: Strengthening Governance or Creating New Vulnerabilities?

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Algo Research Team

Industry | Dec 09, 2025 | Views: 237

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Key Summary:

  • Strengthens Indonesia’s overall financial governance structure
  • Expands authority across key financial regulatory institutions
  • Challenge on preserving independence amid pressures

The Indonesian government and House of Parliament (DPR) plan to revise the Law on the Development and Strengthening of the Financial Sector (UU P2SK).


What’s the highlight? This is done to strengthen the financial system across the Indonesian central bank (Bank Indonesia), the Financial Services Authority (OJK), and the Deposit Insurance Corporation (LPS).

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