To mitigate and reduce the impact of markets that fluctuate significantly and have the potential to put pressure on capital market stability, including the performance of the key players in the capital market industry, it is necessary to regulate the mechanism to maintain the financial system stability and the performance of the capital market industry.
In this regard, Financial Service Authority/Otoritas Jasa Keuangan (OJK) as the regulator in the financial services sector, issued the Financial Services Authority Regulation Number 13 of 2023 on the Policies for Maintaining Capital Market Performance and Stability in Significantly Fluctuating Market Conditions (OJK Reg. 13/2023) as the framework to maintain the good governance in determining policies and accelerating the process of determining policies in the event of market conditions that fluctuate significantly while referring to the principles of openness, prudence, risk management, good corporate governance and in accordance with latest capital market conditions. Find out more about our insights on this topic in our Legal Brief publication.