Bank Indonesia Autonomy Debate: Finance Minister Addresses Rumors of Ministry Integration

JAKARTA - Amid circulating rumors about Bank Indonesia (BI) potentially falling under the Ministry of Finance and becoming part of the government cabinet, Finance Minister Purbaya Yudhi Sadewa has denied the reports, stating that the source of the information is unclear. When questioned about the news during a press conference following the 2026 KSSK III Periodic Meeting on Monday, August 3, Purbaya asked, "No. Who said?" According to Purbaya, changes to the current institutional system require careful consideration and assessment, and altering the existing framework could potentially create new problems. "Later we will see what kind of development it is, so it's too early. So, when things like this happen, it's not good to change the existing system," he stated. Instead of altering the institutional structure, Purbaya suggested that a more crucial step is to strengthen coordination between the Ministry of Finance, BI, the Financial Services Authority (OJK), and the Indonesia Deposit Insurance Corporation (LPS). He believes that inter-institutional synergy is vital to ensure more coordinated economic and financial sector policies. "The important thing is to improve our performance. We are closer to BI, OJK, LPS, and Finance so that the policy is more synergistic. That's what we're after, maybe," he said. Regarding the issue of BI's independence, Purbaya mentioned receiving input from the House of Representatives (DPR) concerning the need to enhance the central bank's supervisory functions. "So this, I once asked the DPR why is there such a situation. He said this, if the Minister of Finance, the President can only be given a harsh warning by the DPR. Why not the Central Bank, that's all. But if it is run transparently there is no problem with it," he concluded.