FEB UB Invites Commission XI of the Indonesian Parliament and BSBI in Campus Seminar Activities

25 September 2018
Pekerjaan Masa Depan
27 September 2018

Malang – As a sovereign country, Indonesia certainly has noble ideals that are trying to be realized by leaders in this country. The mandate contained in Article 33 of the 1945 Constitution states that the state has full responsibility to provide welfare for the people of Indonesia without exception. In order to achieve this, state institutions were formed to function as executors and guards so that Indonesia could achieve its goals. One of the state institutions that has this responsibility is Bank Indonesia. As the only central bank, Bank Indonesia has a very strategic role, which is to guard the stability of the value of the Rupiah.

As a means of actualizing science, FEB UB has held a campus seminar entitled “The Role and Governance of Bank Indonesia Representative Offices in Regional Economic Development”. Located in the Hall of the 7th Floor Postgraduate Building FEB UB on Thursday, September 13, 2018, this seminar invited figures who were directly involved in safeguarding the noble ideals of the Indonesian people. Among them are Mr. Andreas Eddy Susetyo and Mrs. Indah Kurnia as Members of the House of Representatives Commission XI, Mr. Ahmad Erani Yustika as Special Staff to the President of the Republic of Indonesia, Mr. M. Fadhil Hasan as Chair of the Bank Indonesia Supervisory Board, Mr. Candra Fajri A. and Mr. M. Edhie Purnawan as a Member of BSBI, Mr. Suyono as Head of Bank Indonesia Kpw Malang, Mr. Drs Nurkholis, M.Buss., Ak., Ph.D as Dean of FEB UB, Mr. Wildan Syafitri, SE., ME., PhD as Chair of the FEB Department of Economics UB, Mr. Setyo Tri Wahyudi, SE., MEc., Ph.D as Chair of the Bachelor of Economics, Finance and Banking Study Program.

In his speech, the Dean of FEB UB, Mr. Nurkholis expressed his great pleasure and thanked all stakeholders for helping to organize this seminar. According to him, this seminar will increase knowledge for the lecturers and students of FEB UB and has been in line with the vision and mission of FEB UB that continues to improve and improve themselves. “Nothing else is its function so that the academic community continues to keep updating and increasingly care about the situation outside the campus”, he added.

Then, the first material was presented by Mr. Candra Fajri A. who discussed the profile of the BSBI. In accordance with Law No. 3 of 2004 concerning Bank Indonesia, the BSBI is an independent institution that has the duty to assist the Indonesian House of Representatives in carrying out the supervisory function of Bank Indonesia in enhancing Bank Indonesia’s accountability, independence, transparency and credibility. BSBI consists of 5 members chosen by the DPR and appointed by the President of the Republic of Indonesia. To carry out its duties the BSBI submits a written report to the DPR at least every 3 months or at any time if requested. The task implementation between BSBI and BI is based on the principle of mutual trust and respect in accordance with the scope of their duties without the intervention of each other. In addition to compiling reports on BI operational activities, the BSBI also conducted a seminar on central governance in various universities as a recommendation for maximizing the role of Bank Indonesia.

Next, Mr. Andreas Eddy Susetyo explained about the role of Bank Indonesia in supporting the regional economy. According to him, the role of BI must be expanded so that it not only establishes and implements monetary policy, but also supports regional economic development. The reason is because of the fragility of Indonesia’s economic structure and labor quality problems, inequality between sectors (agriculture, MSMEs, infrastructure), inequality between regions, and BI that supports a limited economic sector because it is trapped in the task of implementing monetary policy. In fact, monetary policy implemented by BI only focuses on maintaining economic stability, but is not sufficiently capable to promote general welfare. In addition to optimizing BI’s role, BI opened a representative office on several blood in Indonesia. With the presence of this representative office, it is hoped that BI can become a strategic partner and advisor for the Regional Government that supports structural reform efforts. These activities include the delivery of the results of regional economic studies, the submission of survey results, economic statistics, and regional finance. In addition, the BI KPw also routinely sends letters to the Governor every month regarding achieving inflation and future risks.

The third material was presented by Ibu Indah Kurnia. The material presented by him was more focused on discussing the role of BI in the East Java region. According to him, with the existence of BI KPw in East Java has helped the performance of regional exports with market access information facilities. In addition, BI has also helped the growth of new Islamic boarding schools based on Islamic boarding schools in Tapal Kuda, South Malang, Mataraman. Then, BI also helped to facilitate the growth of creative industries from young people by forming creative houses in various regions in East Java. Furthermore, BI has also expanded the scope of cooperation with local governments, especially with the Regional Government with a high level of regional inflation.

The fourth material was delivered by Mr. Ahmad Erani Yustika. This material focuses more on regional economic development. There are at least three regional economic development challenges faced by Indonesia, namely economic transformation, transformation of human development, and transformation of innovation. These three challenges have different focus. The first focus is on strengthening added value through superior commodities in each region, then focusing on strengthening human capacity, and the last is focusing on the emergence of creativity and the use of technology and information systems. In this case the Bank Indonesia Representative Office has an important role in helping to solve three main problems in the region. Because KPw BI can play the role of economic intelligence in resolving the challenges of transformation. The aim can be through awareness of community behavior (education) and policy making at the central BI (policy coordination). Furthermore, KPw BI can help solve the challenges of human transformation and innovation through the development of the real sector. The real form can be through community development and empowerment and the development of superior commodities in each region.

Arvin Sujitno
Arvin Sujitno
Student in Faculty of Economics and Business Universitas Brawijaya

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