Bank Indonesia (BI) stands as the central bank of the Republic of Indonesia, holding a pivotal role in shaping the country’s monetary policy, maintaining financial stability, and fostering sustainable economic growth. Established on July 1, 1953, BI operates autonomously under the Bank Indonesia Act to execute its mandate effectively.
Monetary Policy and Currency Management
BI’s primary objective revolves around formulating and implementing monetary policy to ensure price stability and support sustainable economic growth. Through mechanisms like interest rate adjustments, open market operations, and reserve requirements, BI aims to manage inflation within a targeted range while promoting economic development.
As the sole issuer of the Indonesian rupiah (IDR), BI oversees currency circulation, striving to maintain its stability and integrity. It monitors exchange rate movements and intervenes in foreign exchange markets when necessary to prevent excessive volatility and safeguard external balance.
Financial System Supervision and Regulation
BI plays a crucial role in supervising and regulating Indonesia’s financial system to foster its stability and resilience. It oversees banks, non-bank financial institutions, payment systems, and financial market infrastructures, ensuring compliance with prudential standards and risk management practices.
Through comprehensive regulatory frameworks and periodic assessments, BI aims to mitigate systemic risks, enhance transparency, and protect the interests of depositors and financial consumers. It also promotes financial inclusion initiatives to broaden access to financial services, particularly among underserved communities.
International Cooperation and Monetary Integration
As an active participant in the global financial community, BI engages in international cooperation and collaboration to address common challenges and promote monetary stability. It participates in various forums and organizations, sharing insights, best practices, and expertise on monetary policy, financial regulation, and economic development. slot88 resmi
BI also plays a vital role in regional monetary integration efforts, contributing to initiatives such as the Association of Southeast Asian Nations (ASEAN) Economic Community and the ASEAN+3 Macroeconomic Research Office (AMRO). These endeavors aim to enhance regional economic resilience and foster greater financial integration among member countries.