OJK Will Boost Integrated Financial Services

Jakarta, Sept 29 (Antara) - The Financial Services Authority (OJK) will encourage integrated financial services to increase financial inclusion in the country. "The OJK will promote all financial products including savings, investments, and insurance," Firdaus Djaelani, the OJK commissioner overseeing the non-banking financial industry, remarked here on Monday. Firdaus was optimistic that the services of the financial sector will not only target the upper- and middle-class society but also the lower class. An integrated micro service could be one of the key strategies to increase the level of financial literacy. "Among the Indonesian population, the middle class and the lower class are highest in number," he affirmed. He remarked that an integrated micro service should not solely be directed to accrue funds from the public through savings but should also promote financial education in areas such as insurance and investment. "When we sell (financial products) in these areas, it is not part of our efforts to siphon out funds from the lower community but instead, to educate them on savings, investments, and insurance. Then we distribute the credit," he noted. Firdaus considered that the interest rates of micro credit were too high for small and medium enterprises. He hopes that the interest rates can be lower, so that it can also boost the growth of small and medium enterprises that contribute to the domestic economy. "It is because small and medium enterprises are less bankable, not necessarily even if the interest rates are high. If we impose high interest rates on small and medium enterprises then they will not grow, and the banks too will not grow," Firdaus added.