The Good Corporate Governance (GCG) regulation will be issued in order to bring standards up to the level of neighboring countries, Muliaman Hadad, head of the Commissioner Council of the Financial Services Authority (OJK), said here on Monday.
"We will release [the GCG] tomorrow. It will comprise two-year initiatives to improve the regulation of our stock market," Muliaman said.
According to Muliaman, one aspect of the GCG will be the obligation to create an official website for announcing delisted companies, as is standard practice in other countries.
Besides the regulation of companies, the OJK will also review the concurrent position of independent commissioners at the bourse.
"We have received many requests from the industry to review the regulations concerning independent commissioners," Muliaman said.
"If an independent commissioner stays too long in a post, he or she tends to lose their independence. Hence, there should be a time limit," he explained.
The OJK will also examine the banking sector and stock markets commitments ahead of joining the ASEAN Economic Community in 2015, Muliaman noted.
"ASEAN financial integration is not only about banking but also the stock exchange; hence, we are now reviewing the related regulations," he said.
"This integration should bring benefits for Indonesia," he added.
ASEAN financial integration was agreed upon by ASEAN central banks in April 2013 and will cover areas such as financial services, capital flow, payment systems and stock markets.
(Uu.A060/INE/a014)
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