Following the enactment of Government Regulation in lieu of Law No. 1 of 2020, Indonesia's financial services authority, the OJK, has enacted several regulations designed to safeguard the stability of the financial system and deal with the threat of an economic crisis.
In this update, we will discuss OJK Regulation No. 18/POJK/03/2020 on Written Order to Handle Problematic Banks ("POJK 18/2020") and OJK Regulation No. 12/POJK.03/2020 on the Consolidation of Commercial Banks ("POJK 12/2020") in the context of the banking sector. While POJK 18/2020 was issued in the context of the current coronavirus crisis, POJK 12/2020 has been on OJK's radar before the pandemic.
Approximately two weeks after issuing a circular letter on limiting physical services, the Ministry of Land Affairs (Kementerian ATR-BPN) issues a decree (No. 88.1/SK-HR.01/IV/2020) to relax the validity period of certain land rights. This relaxation is granted to accommodate the heavy limitation imposed by land offices on physical attendance of both officials and applicants, which has created significant interruption in the provision of services by land offices.
Under the decree, the following land rights that will or have expired on 31 March 2020 will remain valid until 31 December 2020:
1. right to build (hak guna bangunan);
2. right to use (hak pakai); and
3. right to cultivate (hak guna usaha).