OJK Introduces New Regulations On Bank Secrecy, What Do They Include?

KONTAN/Baihaki/26/3/2024

OJK Introduces New Regulations On Bank Secrecy, What Do They Include?

Wednesday, 12 Feb 2025

The Financial Services Authority (OJK) has issued Regulation Number 44 of 2024 concerning Bank Secrecy (POJK 44/2024) to follow up on the mandate in Article 40A paragraph (2) of Law Number 7 of 1992 on Banking and Article 41A paragraph (2) of Law Number 21 of 2008 on Islamic Banking, as amended by Law Number 4 of 2023 on the Development and Strengthening of the Financial Sector (UU P2SK). This regulation aims to provide further guidelines on Bank Secrecy. M. Ismail Riyadi, the Acting Head of the Department of Financial Literacy, Inclusion, and Communication, stated that this regulation updates previous provisions regarding bank secrecy that were outlined in Bank Indonesia Regulation Number 2/19/PBI/2000, which has been in place for over twenty years. "The issuance of POJK 44/2024 is expected to serve as a guide for all stakeholders, including law enforcement agencies requesting bank secrecy and the banking industry that will provide this information to those who meet the requirements for disclosure," he mentioned in an official statement on Tuesday (February 4, 2025).

He also noted that the Bank Secrecy regulation adjusts the definition of bank secrecy to align with UU P2SK, changing the term from "everything" to "information." Additionally, a new term, "Investor Customers and Their Investments," has been introduced, which was not included in the previous definition of Bank Secrecy in the Bank Indonesia regulation.

This regulation also outlines exceptions to bank secrecy to comply with UU P2SK, including provisions for mutual legal assistance in criminal matters, the interests of other agencies for state administration purposes at the central level, and public interests in accordance with the duties and authorities defined by law.

Additionally, exceptions to bank secrecy include the implementation of intergovernmental cooperation agreements that have been signed reciprocally, as well as the responsibilities related to monetary, macroprudential, and payment system tasks by Bank Indonesia. This also applies to the duties of the Deposit Insurance Corporation (LPS) regarding deposit guarantees and resolutions. Ismail noted that the new OJK regulations require banks and affiliated parties to keep information about depositors and their deposits, as well as investors and their investments confidential. "Banks must have internal procedures for disclosing bank secrecy and must document all requests and disclosures of bank secrecy information," he added. This regulation also outlines the process for disclosing bank secrecy through OJK or directly to the bank, which was not previously covered in the Bank Secrecy Regulation. It includes limits on purposes and general mechanisms for information exchange between banks.

Furthermore, this regulation revokes Bank Indonesia Regulation Number 2/19/PBI/2000 regarding the requirements and procedures for granting written orders or permits to disclose bank secrecy. "This regulation takes effect on the date of its enactment, which is December 27, 2024," he explained. Ismail assured that OJK will continue to monitor and evaluate the implementation of this regulation to ensure it is effective and beneficial for all parties involved. Information about the regulation, FAQs, outreach materials, and summaries of the provisions can be accessed through the SIKEPO application. For a complete overview of the regulations, SIKEPO can be accessed via the browser at sikepo.ojk.go.id or through the mobile application available for download on Google Play Store and Apple App Store.

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