"Agus is a figure whose integrity is unquestionable."
Jakarta (ANTARA News) - The Indonesian Banks Association (Perbanas) hopes Agus Martowardojo`s election as the new central bank governor would bring a positive stimulus to national economy and increase central bank`s understanding of the national banking industry.

"With the positive stimulus investment atmosphere is expected to be brighter and as Agus hails from banking industry he is expected to be able to improve Bank Indonesia`s understanding of the industry," Perbanas`s general chairman Sigit Pramono said when asked for his response to Agus Martowardojo`s election as the next Bank Indonesia governor here on Wednesday.

He said he hoped Bank Indonesia under Agus Martowardojo, the former president director of state-owned Bank Mandiri, could produce effective macro-prudential policies useful for national economic development.

"Agus is a figure whose integrity is unquestionable. But who ever would be as BI governor he must be able to meet the challenges which are different from the ones faced by the previous governor," he said.

Pramono said there are three big challenges that the new governor would have to meet.

The first challenge is linked to BI`s task following the establishment of the new Financial Service Authorities (OJK) which will certainly be different, he said.

"Since the presence of the OJK BI will focus on dealing with macro-prudential problems and will no longer regulate and monitor banks," he added.

The second challenge is, he said, the BI governor along with the finance minister, the OJK chief and the head of the Deposit Insurance Agency (LPS) would be responsible for maintaining the stability of the financial system through the Financial System Stability Forum (FKSSK).

"The task is held during normal situation and financial crisis. The task of the BI governor has been confirmed in the OJK law," he added.

Pramono said the third challenge would be securing the transition process of Bank Indonesia`s tasks to OJK.

Agus Martowardojo who is currently finance minister was elected by the parliament through a vote on Monday with 46 votes in favor, seven abstaining and one against.

He would replace current BI governor Darmin Nasution would end his term next May.

(Reporting by Azis Kurmala; editing by Yoseph Hariyadi)

Editor: Priyambodo RH
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