Fixing Regional Banks

PRESIDENT Joko Widodo offered provincial governors and directors of Regional Development Banks (BPD) nationwide the chance to save Rp30 trillion at the State Palace in Jakarta, last Tuesday. All they needed to do was synchronize their banking systems.

During the meeting, Jokowi deplored the fact that regional banks still seemed reluctant to harmonize with each other, allowing private banks with far more capital to finance productive sector projects. "The BPDs, if they can't get their act together, could well end up just being observers. If they do unite, they could be fantastically strong," the President said.

June 2, 2015