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Monday, May 23, 2011

BI to revise role of bank

The central bank said it would revise the role of a compliance director to make it more efficient in dealing with risk management applied by the banks.

"In implementation, there are many oddities and awkwardness [in the role of compliance director] because they supervise, but they are part of the board [of the banks]," Bank Indonesia (BI) deputy governor Muliaman D. Hadad said after a seminar Monday.

"We want a solution so they can be more effective ... There may be a shift of orientation because of our need to fix the risk management of banks," he said.

Economist Aviliani, also a commissioner of Bank Rakyat Indonesia, said it would be better if a compliance director was a BI official, as at present they were employed by the banks, so they complied with the banks.

Sources : Aditya Suharmoko, The Jakarta Post, Jakarta | Mon, 02/15/2010 2:20 PM |

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