OJK Keluarkan Aturan Soal IPO BPR & BPRS

Summary

Indonesia's Financial Services Authority (OJK) has introduced a regulation allowing People's Economic Banks (BPR) and Sharia People's Economic Banks (BPRS) to conduct Initial Public Offerings (IPOs) on the Indonesian Stock Exchange. Under POJK number 7 of 2024, BPRs and BPRSs must have a minimum core capital of IDR 80 billion to qualify for an IPO. The regulation aims to strengthen these institutions by ensuring solid governance and risk management. The initiative will help improve competitiveness, promote innovation, and boost the reputation of BPRs, allowing them to thrive in the IPO market.

Takeaways

• 😀 The OJK (Financial Services Authority) issued a regulation allowing People's Economic Banks (BPR) and Sharia People's Economic Banks (BPRS) to hold IPOs on the Indonesian Stock Exchange.
• 😀 The regulation, POJK number 7 of 2024, requires BPR and BPRS to have a minimum core capital of IDR 80 billion to conduct an IPO.
• 😀 The new regulation aims to strengthen the institutional aspects of BPR and BPRS.
• 😀 Dian Ediana R, Chief Executive of Banking Supervision, emphasized that BPRs and BPRSs must meet governance and risk assessment requirements to conduct an IPO.
• 😀 The regulation is part of a mandate by P2SK to encourage BPRs to go public, but not all BPRs will meet the criteria for an IPO.
• 😀 There will be classifications of BPRs based on their capital strength and health level to determine eligibility for IPOs.
• 😀 The reputation of a BPR is at stake when considering an IPO, as it could either help or hinder other BPRs from accessing IPO opportunities in the future.
• 😀 The Indonesian People's Economic Bank Association (Perbarindo) president assured that BPRs and BPRSs need sufficient regulations and strong core capital to be listed on the stock exchange.
• 😀 To succeed in an IPO, BPRs and BPRSs must improve their competitiveness by offering innovative products and services.
• 😀 POJK 1 of 2024 outlines the rules for BPRs and BPRSs, including core capital requirements and eligibility for stock market listing, with an emphasis on regulatory compliance.

Q & A

What new regulation has the Financial Services Authority (OJK) introduced for People's Economic Banks (BPR) and Sharia People's Economic Banks (BPRS)?

The OJK has issued POJK Number 7 of 2024, which allows BPR and BPRS to conduct Initial Public Offerings (IPOs) on the Indonesian Stock Exchange, provided they meet specific conditions, such as having a minimum core capital of IDR 80 billion.

What is the minimum core capital requirement for BPR and BPRS to conduct an IPO according to the new regulation?

According to POJK Number 7 of 2024, BPR and BPRS must have a minimum core capital of IDR 80 billion to be eligible to conduct an IPO.

What is the goal of the new regulation introduced by OJK?

The regulation aims to strengthen the institutional aspects of BPR and BPRS, ensuring they are financially robust enough to participate in the stock market through IPOs.

What are the additional requirements for BPR and BPRS to conduct an IPO besides having the minimum core capital?

In addition to having the required core capital, BPR and BPRS must meet the lowest governance standards and risk assessments to qualify for an IPO.

How will the IPO process for BPR and BPRS be handled?

There will be a classification system for BPRs based on their capital strength and overall health, which will determine whether they are eligible for an IPO. The reputation of these banks is also a key factor in this process.

What did Dian Ediana R, Chief Executive of Banking Supervision, emphasize about BPR's readiness for an IPO?

Dian Ediana R emphasized that not all BPRs will be able to conduct an IPO. There are certain requirements such as capital strength and health levels that must be met for eligibility.

Why is the reputation of BPRs important when considering an IPO?

The reputation of a BPR is crucial because entering the IPO market could impact its standing. A successful IPO could encourage other BPRs to follow suit, while a failed one could hinder future attempts for other banks.

What additional steps are required for BPR and BPRS to list on the stock exchange?

In addition to having adequate capital and meeting governance and risk standards, BPR and BPRS must improve their competitiveness by offering innovative products and services.

What does POJK 1/2024 regulate regarding BPR and BPRS?

POJK 1/2024 sets out regulations on institutions, establishing certain requirements that BPR and BPRS must meet in order to list on the Indonesian Stock Exchange, including core capital and regulatory compliance.

What was the originally proposed core capital requirement for BPR and BPRS before the final regulation was released?

The original proposal for the core capital requirement was IDR 50 billion, but the final regulation set the minimum at IDR 80 billion, as per POJK Number 7 of 2024.