OJK Launches OBOX Application to Strengthen Reporting and Supervision
OJK inaugurated the OJK-Box, or OBOX application, in an effort to strengthen "supervision of the information-technology-based financial services sector." According to Chairman of the Board of Commissioners of OJK, Wimboh Santoso, OBOX is an application that allows banks to improve the flow of information to OJK, especially transactional information. This information will complement the existing report so that OJK can increase attention to the potential risks that arise earlier.
The development of the OBOX application was done in two phases. Phase 1 of the OBOX application pilot project is implemented in 10 banks, with the implementation beginning on May 13, 2019. The implementation of Phase 2, which will cover 104 other commercial banks, will be carried out until the end of December 2019. In addition, supervision activities can be more optimally performed because of the availability of historic data and information on OBOX application. In the future, on-site examination activities will focus more on confirmation of the results of the analysis of data and information that has been done previously. This application will benefit the financial services industry because it will reduce the burden and time of on-site inspection services, accelerate response to audit results, accelerate the development of early warnings and action plans, and build trust between supervisors and the financial services industry.
This bank reporting integration is expected to help eliminate informational redundancies in data reported by banks to the authorities; it is also expected to help improve information accuracy for "policy formulation in each authority." The program to strengthen information technology-based supervision is one of the priority programs under the OJK strategic policy for 2019. Strengthening information technology-based supervision is also in line with the development of innovative financial products and services in the financial services industry that are increasingly complex and require a more responsive pattern of supervision to anticipate potential problems that can disrupt the health of the financial services industry.
Related Link (in Indonesian): Press Release
Keywords: Asia Pacific, Indonesia, Banking, Fintech, OBOX, Regtech, Reporting, OJK
Featured Experts
María Cañamero
Skilled market researcher; growth strategist; successful go-to-market campaign developer
Nicolas Degruson
Works with financial institutions, regulatory experts, business analysts, product managers, and software engineers to drive regulatory solutions across the globe.
Scott Dietz
Scott is a Director in the Regulatory and Accounting Solutions team responsible for providing accounting expertise across solutions, products, and services offered by Moody’s Analytics in the US. He has over 15 years of experience leading auditing, consulting and accounting policy initiatives for financial institutions.
Previous Article
EBA Consults on Guidelines for Loan Origination and Monitoring in EUNext Article
EBA Publishes Annual Report for 2018Related Articles
BIS and Central Banks Experiment with GenAI to Assess Climate Risks
A recent report from the Bank for International Settlements (BIS) Innovation Hub details Project Gaia, a collaboration between the BIS Innovation Hub Eurosystem Center and certain central banks in Europe
Nearly 25% G-SIBs Commit to Adopting TNFD Nature-Related Disclosures
Nature-related risks are increasing in severity and frequency, affecting businesses, capital providers, financial systems, and economies.
Singapore to Mandate Climate Disclosures from FY2025
Singapore recently took a significant step toward turning climate ambition into action, with the introduction of mandatory climate-related disclosures for listed and large non-listed companies
SEC Finalizes Climate-Related Disclosures Rule
The U.S. Securities and Exchange Commission (SEC) has finalized the long-awaited rule that mandates climate-related disclosures for domestic and foreign publicly listed companies in the U.S.
EBA Proposes Standards Related to Standardized Credit Risk Approach
The European Banking Authority (EBA) has been taking significant steps toward implementing the Basel III framework and strengthening the regulatory framework for credit institutions in the EU
US Regulators Release Stress Test Scenarios for Banks
The U.S. regulators recently released baseline and severely adverse scenarios, along with other details, for stress testing the banks in 2024. The relevant U.S. banking regulators are the Federal Reserve Bank (FED), the Federal Deposit Insurance Corporation (FDIC), and the Office of the Comptroller of the Currency (OCC).
Asian Governments Aim for Interoperability in AI Governance Frameworks
The regulatory landscape for artificial intelligence (AI), including the generative kind, is evolving rapidly, with governments and regulators aiming to address the challenges and opportunities presented by this transformative technology.
EBA Proposes Operational Risk Standards Under Final Basel III Package
The European Union (EU) has been working on the final elements of Basel III standards, with endorsement of the Banking Package and the publication of the European Banking Authority (EBA) roadmap on Basel III implementation in December 2023.
EFRAG Proposes XBRL Taxonomy and Standard for Listed SMEs Under ESRS
The European Financial Reporting Advisory Group (EFRAG), which plays a crucial role in shaping corporate reporting standards in European Union (EU), is seeking comments, until May 21, 2024, on the Exposure Draft ESRS for listed SMEs.
ECB to Expand Climate Change Work in 2024-2025
Banking regulators worldwide are increasingly focusing on addressing, monitoring, and supervising the institutions' exposure to climate and environmental risks.