Muliaman Hadad, chairman of the Financial Services Authority (OJK) told a parliamentary hearing that all "systemically important banks" — which he did not define — had to file internal recovery plans to his agency by year-end. He declined a request to provide a list of what banks are deemed "systemically important". For the banks approached to submit recovery plans, their chief executive, main commissioner and controlling shareholder must sign the document to show their commitment to it, Hadad said. Indonesia's parliament last year passed a law that lays out rigid, step-by-step protocols on how authorities should handle a financial crisis. Indonesia's biggest banks by assets are Bank Mandiri , Bank Rakyat Indonesia, Bank Negara Indonesia, which are state-controlled, and Bank Central Asia.

Source: The Edge Markets February 22, 2017 08:48 UTC