Designing an Integrated Financial Supervision Agency: Selected Lessons and Challenges for Indonesia

Abstract

Having initiated reforms in its financial sector in late 1997, the government of Indonesia introduced a new central bank independence act in early 1999. The next task for the government of Indonesia is to devise a safety net system for the financial sector. This study draws essential lessons from the experiences of other countries to highlight a number of key challenges facing Indonesia, especially at early stages of designing its unified financial sector supervisory agency.Unified Financial Sector Supervisory Agency, Bancassurance Central Bank, Indonesia.