President Jokowi Signs Presidential Decree on BLBI Task Force

In a bid to handle and restore state’s rights in the form of state’s collection rights to the remaining state receivables from Bank Indonesia Liquidity Support (BLBI) funds and property assets, President Joko “Jokowi” Widodo, on 6 April, issued Presidential Decree Number 6 of 2021 on the Task Force for Handling of State’s Collection Rights of BLBI Funds.

The Task Force that is under and responsible to the President aims to effectively and efficiently handle, resolve and restore state’s rights derived from BLBI funds, in the form of legal and/or other efforts at home or abroad, be it for debtors, obligors, company owners and their heirs as well as other parties working with them, and recommend policy treatment for the handling of BLBI funds.

In carrying out its duties, the Task Force can involve and/or coordinate with ministries/non-ministerial government agencies, central and regional government institutions, private parties, and other parties deemed necessary.

The organizational structure of the Task Force consists of steering committee and executing structure.

The duties of the steering committee are as follows:

1. formulating strategic policies in the context of accelerating the handling and restoration of state’s collection rights and BLBI assets;
2. integrating and determining steps for the implementation of strategic policies and breakthroughs needed in the context of accelerating the handling and restoration of state’s collection rights and BLBI assets;
3. providing direction to the executing structure in accelerating the handling and restoration of state’s collection rights and BLBI assets; and
4. monitoring and evaluating the implementation of accelerated handling and restoration of state’s collection rights and BLBI assets.

The steering committee consists of Coordinating Minister for Political, Legal and Security Affairs, Coordinating Minister for Economic Affairs, Coordinating Minister for Maritime Affairs and Investment, Minister of Finance, Minister of Law and Human Rights, Attorney General, and the Indonesian Chief of Police.

Meanwhile, the executing structure has the following duties:

1. making an inventory and mapping of state’s collection rights and BLBI property assets;
2. implementing strategic policies, mitigation measures and breakthroughs required in the context of handling and restoring state’s collection rights and BLBI property assets;
3. in the event that it is necessary to overcome problems that require a breakthrough in the context of resolving the handling and restoration of state’s collection rights and BLBI property assets, submitting recommendations for new policy making to the steering committee;
4. taking legal and/or other measures that are effective and efficient for the settlement, handling, and restoration of state’s collection rights and BLBI property assets;
5. increasing the synergy of policy making between ministries/agencies; and
6. coordinating and taking steps to enforce the law in accordance with the provisions of laws and regulations.

The executing structure consists of chairperson, deputy chairperson, secretary, and seven members.

According to the Presidential Decree, Head of the Task Force shall report the progress of the implementation of duties to the steering committee as needed and to the President through Minister of Finance as the steering committee at least once every six months or from time to time if needed.

The Decree also stated that all costs required in carrying out the task of the Task Force shall be borne by Ministry of Finance’s State Revenue and Expenditure Budget.

The Task Force shall be in charge since the enactment of the Presidential Decree until 31 December 2023. (UN) (FI/MMB)