Compliance & Regulation

Philippine and Indonesia Regulators announce Deal to Improve Financial Systems and Boost Supervision

Bangko Sentral ng Pilipinas (BSP), the central bank of the Republic of the Philippines, and the Financial Services Authority of Indonesia (OJK) have reportedly inked a deal cementing their collaboration to improve their respective financial systems, share information and bolster supervisory cooperation.

According to an article by Managers of Wealth Asia, the agreement signed between BSP and OJK provides a framework to facilitate the discussion new initiatives and allow for the promotion of “the development of sound financial regulatory mechanisms in both jurisdictions,” according to a statement by BSP.

The regulators will also reportedly discuss the supervisory framework, consumer protection, financial inclusion, financial technology and capacity building, according to an article by Asia Asset.

The memorandum of understanding (MoU) will also facilitate the discussion of policies developed in response to the Covid-19 pandemic, as well as the boosting supervisory cooperation in a virtual bilateral meeting after the September 1 signing, reports Asia Asset.

In February 2020, BSP, OJK and Bank Sentral Republik Indonesia, the Indonesian central bank, signed an MoU to outline their cooperation on payment systems and digital financial innovation.

In August 2020, OJK also signed an MoU with the Securities Commission Malaysia to cooperate on development of financial technology, including sharing information on regulatory developments.