Republic of Indonesia Financial Sector Assessment Program : Implementation of the IOSCO Objectives and Principles of Securities Regulation
The law and related implementing regulations that constitute the regulatory framework affecting the capital markets in Indonesia are largely consistent with the International Organization of Securities Commissions (IOSCO) Objectives and Principles...
| Main Authors: | , |
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| Format: | Report |
| Language: | English en_US |
| Published: |
Washington, DC
2017
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| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/819341468254689208/Indonesia-Implementation-of-the-International-Organization-of-Securities-Commissions-IOSCO-objectives-and-principles-of-securities-regulation-detailed-assessment-of-compliance http://hdl.handle.net/10986/27742 |
| Summary: | The law and related implementing
regulations that constitute the regulatory framework
affecting the capital markets in Indonesia are largely
consistent with the International Organization of Securities
Commissions (IOSCO) Objectives and Principles of Securities
Regulation. Nevertheless this assessment finds that
legislative reforms and other actions that are in the
process of being implemented to clarify and expand the
security regulator's authority and to cure certain
self-acknowledged gaps should be accelerated. Further, the
assessment concludes that attention must be paid to assure
that implementation of the regulatory framework results in a
system that reliably detects, deters, and sanctions
securities violations and reliably identifies and prevents
or mitigates prudential concerns. This may require legal
reforms beyond those necessary to reform the specific
capital markets law, as discussed more extensively by the
separate legal assessor. How significant such further reform
will be to enforcement effectiveness will depend in part on
the manner in which regulatory enforcement powers and
authorities are augmented and enhanced under the capital
markets law revision. Capital markets operations are heavily
dependent on legal certainty, and in particular reliable
application of contract, company, insolvency, and other
legal protections. |
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