OJK, PPATK, and BSSN Unite to Strengthen Financial Sector Security: What Does It Mean?

The Financial Services Authority (OJK) has forged separate cooperation agreements with the Financial Transaction Reports and Analysis Center (PPATK) and the National Cyber and Crypto Agency (BSSN). These strategic partnerships are designed to significantly bolster synergy, safeguard the integrity, and enhance the security of Indonesia’s financial services sector.

Specifically, the Cooperation Agreement (PKS) signed between OJK and PPATK focuses on reinforcing coordination and collaboration for the prevention and eradication of Money Laundering (TPPU), Terrorism Financing (TPPT), and the Proliferation Financing of Weapons of Mass Destruction (PPSPM) within the financial services sector.

Representing OJK for this agreement was Bambang Mukti Riyadi, the Deputy Commissioner for International Relations, Anti-Money Laundering and Counter-Terrorism Financing (APU PPT), and Regional Affairs. Fithriadi Muslim, the Acting Deputy for Strategy and Cooperation at PPATK, signed on behalf of his institution. This particular PKS serves as a direct follow-up to the Memorandum of Understanding (MoU) established between OJK and PPATK on May 15, 2024.

The collaboration between OJK and BSSN involved two distinct Cooperation Agreements. The first PKS specifically addresses the Strengthening of Cyber and Crypto Security across the Technology Innovation Sector, the broader Financial Sector, and Digital Financial Assets, including crucial Crypto Assets. This agreement was formally signed by Luthfy Zain Fuady, OJK’s Deputy Commissioner for Supervision of Technology Innovation in the Financial Sector, Digital Financial Assets, and Crypto Assets, alongside Bondan Widiawan, the Deputy for Cyber and Crypto Security Operations at BSSN.

Concurrently, the second PKS between OJK and BSSN focuses on enhancing synergy for Capacity Building in Cyber and Crypto Security within the Technology Innovation Sector, the Financial Sector, and Digital Financial Assets, including Crypto Assets. This agreement saw Luthfy Zain Fuady sign again, this time alongside Slamet Aji Pamungkas, the Deputy for Cyber and Crypto Security for the Economy at BSSN. Both OJK-BSSN agreements are a continuation of an MoU established on February 28, 2024.

The formal signing ceremony of these pivotal Cooperation Agreements between OJK, PPATK, and BSSN was personally witnessed by prominent leaders: Mahendra Siregar, Chairman of the OJK Board of Commissioners; Ivan Yustiavandana, Chairman of PPATK; and Nugroho Sulistyo Budi, Head of BSSN. The significant event took place at the OJK office in Wisma Mulia 2 Building, Jakarta, on Friday, November 28.

In his address, OJK Chairman Mahendra Siregar underscored the severe threat posed by cyberattacks to data security within the financial services sector. He emphasized that such breaches have the potential to profoundly erode public trust in the financial industry.

“The most significant risk for us,” Mahendra stated, “is if the financial services sector loses its credibility and public confidence. What happens if that occurs? That is the greatest risk of all.”

Mahendra further reiterated OJK’s unwavering readiness to contribute actively to and be an integral part of preventing cybercrime within the financial services sector. He expressed strong hopes that these collaborations would operate effectively and fulfill their intended functions.

During the event, PPATK Chairman Ivan Yustiavandana highlighted the critical need for “extreme synergy and collaboration” among institutions, particularly in combating online gambling, which he warned could lead to “damage future depression.” “If interventions are not conducted with extreme measures,” Ivan explained, “PPATK’s estimates will align exactly with last year’s. Alhamdulillah, with very strong synergy, Komdigi is working, BSSN is working, and as of today, we hope [to reduce it].” He emphasized that the collaboration between OJK, BSSN, and PPATK represents a naturally occurring inter-agency cooperation, which is a shared imperative to shield Indonesia’s financial and economic systems from the detrimental effects of online gambling.

Meanwhile, BSSN Head Nugroho Sulistyo Budi expressed his strong appreciation for the cooperative efforts aimed at strengthening inter-agency coordination, particularly in preventing criminal activities within the financial services sector.

“Without cooperation from ministries and their respective entities, BSSN alone would be unable to succeed,” Nugroho stated. “This is fundamentally a collaborative effort involving all stakeholders. If we all collaborate, every entity holds a distinct function and responsibility, ensuring an institutional distribution of duties and accountability, including for security against cyberattacks.”

The Cooperation Agreement between OJK and PPATK explicitly outlines several key implementation areas:

1. Exchange of data and/or information;
2. Utilization of processed data and/or information from information technology systems;
3. Execution of coordinated audits; and
4. Establishment of correspondence standards.

This comprehensive scope primarily covers efforts for the prevention and eradication of Money Laundering (TPPU), Terrorism Financing (TPPT), and/or the Proliferation Financing of Weapons of Mass Destruction (PPSPM) within the financial services sector.

Meanwhile, the OJK and BSSN Cooperation Agreement focused on Strengthening Cyber and Crypto Security in the Technology Innovation Sector, Financial Sector, and Digital Financial Assets, including Crypto Assets, encompasses:

1. Digital forensics assistance;
2. Cyber incident handling assistance;
3. Implementation of IT Security Assessment (ITSA) services;
4. Detection of cyber security conditions within the Financial Technology Innovation Sector, Digital Financial Assets, including Crypto Assets;
5. Provision, exchange, and/or utilization of data and/or information;
6. Establishment of a Cyber Contact Center; and
7. Registration of Trusted Third Information Sharing (TTIS) Organizations for Digital Financial Asset Innovation (IAKD) providers.

Furthermore, the OJK and BSSN Cooperation Agreement concerning Synergy for Enhancing Cyber and Crypto Security Capacity in the Technology Innovation Sector, Financial Sector, and Digital Financial Assets, including Crypto Assets, outlines the following provisions:

1. Coordination for the formulation of Cyber Security policies, regulations, and standards;
2. Assistance in implementing electronic system protection for Digital Financial Asset Innovation (IAKD) providers;
3. Provision, exchange, and/or utilization of data and/or information;
4. Establishment of Trusted Third Information Sharing (TTIS) Organizations for IAKD providers; and
5. Human resource capacity development.

Summary

The Financial Services Authority (OJK) has forged strategic cooperation agreements with the Financial Transaction Reports and Analysis Center (PPATK) and the National Cyber and Crypto Agency (BSSN). These partnerships are designed to bolster synergy, safeguard the integrity, and enhance the security of Indonesia’s financial services sector. The agreement with PPATK specifically focuses on preventing and eradicating money laundering, terrorism financing, and proliferation financing. Concurrently, OJK’s two agreements with BSSN aim to strengthen cyber and crypto security, and build capacity in these areas, across the technology innovation, financial, and digital financial asset sectors.

The signing ceremony was witnessed by the heads of all three institutions, who underscored the critical importance of these collaborations. OJK Chairman Mahendra Siregar emphasized the severe threat of cyberattacks to public trust in the financial industry. PPATK Chairman Ivan Yustiavandana highlighted the necessity of “extreme synergy” to combat issues such as online gambling, while BSSN Head Nugroho Sulistyo Budi affirmed that inter-agency cooperation is fundamental for success in securing the financial services sector.