GOVERNMENT URGED TO PREPARE LEGAL UBRELLA TO ANTICIPATE ECONOMIC CRISIS

Chairman of PERBANANAS Bank Association Sigit Pramono asked the Government to immediately set up a legal umbrella to anticipate economic crisis, since the urgency was pressing. The request was made because the Government was regarded as not being serious in preparing the Bill of Financial Safety Net System (JPSK).

Not just the Government, Sigit said, the Parliament was just as not being serious in preparing a legal umbrella to handle economic crisis because discussions on JPSK was still regarded as of second importance. “To the politicians crisis was of no urgency, and therefore placed as secondary priority. It is regretful; that Commission XI was more interested in dissecting the Bill of Bank Indonesia, and postpone JPSK discussion till next year,” he said in Jakarta on Tuesday (9/6).

And yet, Sigit remarked, the threat of economic crisis was growing and more intense. Although it was not known exactly when crisis would happen, now the internal was getting shorter. “Just count, how many crisis has there been since year 2000” Sigit asked.

JPSK Sigit said, would serve its purpose as Legal Umbrella during economic crisis. “If crisis happens, who should define crisis and who pay the bailout? Whose money to be used for rescuing the bank? Everything is not clear. If there was JPSK there would be no such case as Bank Century. The Government is sitting on their laurels in facing crisis” Sigit said.

Furthermore Sigit said that it must be made certain who was supposed to make decision in times of crisis. Soon there would be no executive who was willing to make decision for fear of being criminalized.

Meanwhile Chairman of the Board of Commissioner of the Deposit Insurance (LPS) Heru Budiargo said that the objective of Financial Stability System, was to make sure that the financial system pressure,

As a country of open economy system, Indonesia was vulnerable to economic turbulence at regional or global level. In the past 15 years had been interrupted by crisis or financial crisis at national or global level.

According to Heru Indonesia had several experiences of crisis, starting from regional had several financial crisis in 2997. 1998 to the global crisis of 2008 and the effect of crisis in Europe in 2011. All the crisis were anywhere so strength and readiness was needed to anticipate them. (SS)

Business New - June 12, 2015