##ification in order to boost the role of tax as the source of development financing. these three potentials that emerge in 2016 will, if it is effectively and optimally empowered, strengthen and boost the benefits from the existing domestic resource potential, specifically human and natural resources. in indonesia, the role of tax in the development financing only reached 11 % of gdp in 2015, which is lower compared to that achieved by a number of countries in the region such as singapore and malaysia that achieved around 14 % of gdp. we are the sizeable population represents a huge market potential to support domestic demand through household consumption. moreover, this huge market potential will readily serve to be the driver for more sizeable added value if it is subsequently followed by an increase in domestic production activities. optimizing potential, strengthening resilience bank indonesia ’ s annual meeting 2016 in this context, the demographic bonus that is represented by a larger number of productive - aged population compared to senior citizens and children will serve as potential from the labor perspective and a large consumer base in line with the growth of the middle class in indonesia. this demographic bonus will, if adequately managed, provide opportunities for indonesia to become more prosperous. we also specifically noted the importance of women ’ s participation in economic development. the population of women in the world today comprise of more than a half of the world ’ s population, but their contribution to the economy is still far below their potential. many studies have shown that the performance of the economy will increase when women ’ s potential in the labor market is properly utilized. however, it should be noted that the demographic bonus which will reach its peak in the next fifteen years will lose its momentum after those period, which is in line with the increasing dependency level of the population ( figure 16 ). as a consequence, we are raving against the time in utilizing each aspect of the potential. efforts to increase women ’ s participation in the economy also serves as a challenge for indonesia. data show that female labor participation compared to male labor in 2016 declined and was lower than in neighboring countries ( chart 17 ). this is a challenging figure since the potential of indonesian women to contributing in the economy is quite substantial, especially in reviving the real sector. figure 16. dependency ratio figure 17. ratio of female to male labor force % ratio to male 1. 00 0. 90 0. 80 0. 70 old - age child 0. 60 total source : hayes, adrian and diahhadi setyonaluri. 2015.

dr. sabirin talks about efforts to save indonesian banks presentation by the governor of bank indonesia, dr. syrahil sabirin, at the indonesian executive circle ( iec ) forum in jakarta on 7 april, 1999. _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ 1. it is a great honor for me to be here today to speak before this forum, the indonesian executive circle. this afternoon, i would like to share with you some thoughts on the recent developments of the indonesian banking industry - how the current situation and problems came about, what alternatives were available to deal with them, and how i see the prospect of our banking industry in the coming future. 2. the problems we are currently facing, including the banking problems, came onto the surface after and as a result of the currency crisis beginning in mid 1997. the magnitude of the currency crisis perhaps has not been matched by any other countries in modern time. as you know, from a pre - crisis level of around 2, 430 rupiah per us dollar in early july 1997, the rupiah weakened to reach a low of just under 17, 000 in june 1998. this represents a loss of about 85 % of the rupiah ’ s value at its worst point. clearly, no economy could survive such a hard blow without serious harmful repercussions. and it was only to be realized that a crisis of confidence, which was what indonesia has really been suffering from, could do such a dramatic impact. the sharp decline in national output, massive increase in unemployment, and the deterioration of confidence on indonesia ’ s financial institutions, corporations, and economy in general are among the impact. 3. to the banking sector, the currency crisis, and subsequent events, have produced two major repercussions, directly or indirectly, namely : loss of confidence on banks that resulted in bank runs, loss of deposit base, and liquidity problems. → closing down of 16 banks in november 97. run down of banks ’ capital base. in this case the effects of the crisis were transmitted through the following ways : ½ the sharp depreciation of the ru