sector and monetary policy. third, the central bank has the function of lender of last resort. therefore, the central bank must utilise its resources to supply short - term emergency funds during a crisis. bankers are expected the shift their business strategy away from merely surviving the crisis to exploiting the opportunities presented by the global economic recovery. strengthening the banking industry does not imply that its soundness is in doubt, however, it will lead to more efficient banks and a more optimal intermediation function.

industry will be achieved through bank restructuring in harmony with the appropriate business scale and capital requirement, as well as increasing the capacity to absorb business risk. in addition, several regulations will cover, among others, mergers, consolidation, sources of funds for bank acquisition, the terms for bank acquisitions, the role of individual / family owners, as well as the terms and conditions of business development. d. policy to deepen the financial market will encourage the development of financial products that can be used as an alternative by banks for productive channelling and placements to the real sector, especially infrastructure financing. therefore, the financial market is expected to become more liquid with banks becoming less dependent on bi instruments. 2. improving the bank intermediation function through refined regulations and greater availability of supporting infrastructure. the regulations in question include the statutory reserve requirement, optimizing the efficiency of bank operations and simplifying the terms and conditions governing foreign exchange in order to stimulate credit allocation. bi will also help form an institution to supply credit basis data per sector, per region to assist banks asses risk. 3. expanding the role played by sharia banks in the national economy and bolstering resilience. sharia banking policy will become more intensive to raise capital, facilitate the development of sharia business units and facilitate the requirement for competent sharia human resources. 4. improving the role of rural banks in terms of micro finance and strengthening resilience. this policy will become more intensive, among others, to raise capital and facilitate the requirement for competent human resources, as well as assert the position of rural banks as community banks. a need will arise after the global crisis for a systemic regulator that can monitor the soundness and stability of the financial system as a whole. the role of such an institution will be to collate, analyze and report information regarding significant interactions on the markets and inter - institutional risk ; investigate whether an institution is exposing the financial system to systemic risk ; design and implement regulations ; and coordinate with other regulatory institutions, including the fiscal authority, to resolve systemic crises that may emerge. there are three reasons why the central bank may take the role of systemic regulator. first, the central bank has daily contact with market players in its function of implementing monetary policy. second, the responsibility of maintaining macro - economic stability corresponds closely with guaranteeing financial system stability. history has shown that economic crises around the world are always linked to financial crises ; therefore, the central bank naturally has to consider interactions between the financial