agus d w martowardojo : maintaining financial stability amid continued economic growth deceleration keynote speech by mr agus d w martowardojo, governor of bank indonesia, at the discussion and launching of the financial stability review book, jakarta, 10 december 2015. * * * honorable, our predecessors governors of bank indonesia, members of the board of governors of bank indonesia, officials in the ministries and state agencies, banking leaders representatives of industry associations academicians and economic observers attendees and invitees, assalamu ’ alaikum warahmatullahi wabarakatuh, good afternoon and best wishes to us all, first of all, let us pray our praise and gratitude to allah swt, the god almighty for only upon his grace and blessing, we can all gather here in good health to participate in the discussion and launching of the book on financial stability review ( kajian stabilitas keuangan - ksk ) no. 25, september edition year 2015. the development of this ksk constitutes a part of the transparency and accountability of bank indonesia ’ s duty implementation in the field of macro - prudential. as one of the routine semester publications, ksk contains the results of assessment and review of bank indonesia toward the condition of the national financial system. such assessment also covers our monitoring to the sources of vulnerability and imbalance of the financial system that can be found in the financial markets ; financial agencies / institutions, namely households and corporates ; banking ; and non - bank financial institutions ( institusi keuangan non - bank - iknb ) ; and also financial infrastructures. due to the deceleration of economic growth experienced by indonesia, it is critical for bank indonesia as the authority in the field of macro - prudential to continue maintaining the stability of financial system. especially, as the dynamics of the global financial system continue to remain under uncertainties. therefore, the edition of ksk this time takes up the theme of “ maintaining financial stability amid continued economic growth deceleration ” we are convinced that our duty in maintaining the stability of economy will be more challenging. hence, we expect that depth assessment and review on the condition of national financial system will be a valuable reference for us in taking measures in the future. ladies and gentlemen, the condition of indonesia ’ s financial system in 2015 in general is still overwhelmed by various challenges and fluctuations, both sourced from global and domestic. the still weak global economic recovery, the continued declining price of

efforts to control key risks that could potentially pose a systemic risk and maintain the balance of the financial system. attendees, ladies and gentlemen, in the future, the global economy will still be faced with the tough challenges, especially if the deceleration of china ’ s economic structural still continues, commodity prices still experience pressures, and the plan of the fed monetary policy normalization continues to create fluctuation in the global financial market. those three factors will impact significantly to the indonesia ’ s economy and the condition of the financial system. in the midst of those challenges, the policy of financial system stability needs to continue to be strengthened in order to enhance financial system resilience against various risk potentials, and all at once to motivate the function of banking intermediation to be more efficient and equitable to support the financing of the economy. in the effort to maintain the stability of the national financial system, which is our joint responsibility, bank indonesia will always promote coordination and intensive communication with the government and relevant authorities in responding to the existing challenges. we believe that the key to overcome various challenges in the future is to establish a close synergy among all stakeholders in indonesia. ladies and gentlemen, attendees, thereby, what we can convey as an introduction. we, naturally, hope that the book on financial stability review – bank indonesia could become an increasingly quality reference in the future, and so that this discussion forum also contributes in expanding the insight, in building the understanding, and in encouraging constructive measures in the effort to create the stability of financial system in indonesia. in closing, may allah the god almighty always bless us and lighten our steps. thank you, wassalamu ’ alaikum warahmatullahi wabarakatuh. bis central bankers ’ speeches