elusive goal, and the depth and breadth of financial markets will invariably be tested in ways that punish the ill - advised and unprepared, the secular trend toward more complete markets is unlikely to abate. cyclical variances, however, are far more difficult to predict with precision. perhaps, then, we should consider the growth in financial innovation as being analogous to moore ’ s law, which has for more than a generation accurately predicted the growth in computing power of a transistor at constant cost. 7 neither moore ’ s law nor the development of new financial products is a mathematical or physical certainty based on some geometric extrapolation or law of the universe. rather, it is an ex post description of that which already transpired, an occurrence caused by a healthy mix of investment in human and technological capital, a culture of capitalism, and sound regulatory and legal policies. as a result, meaningful erosion of any these core elements could impair the future evolution of financial products and jeopardize the continued development of markets. conclusion innovations in financial products and practices, combined with strong liquidity, have accelerated the trend toward more complete markets. these changes have altered the roles of traditional financial intermediaries. in so doing, the products and practices of financial intermediation have, in my view, forever changed. as for the financial intermediaries themselves, they will continue to evolve with changing economic and financial risks. indeed perhaps some may retreat to the practices of an earlier era if liquidity falters. in this case, markets may, for a time, become less complete. however, i believe that the advances of intellectual capital and the culture of capitalism will likely continue to increase the ability of markets to transfer risk even as liquidity fluctuates. as policymakers, we should continually review the changing financial landscape. 8 our regulatory and supervisory responses should be as dynamic as the financial intermediaries and the products they proffer, while adhering to our long - standing objectives to promote financial stability, investor protection, and market integrity. in general, our regulatory frameworks should not be based on a product or class of institutions. rather, we should strive to develop common, principles - based, risk - focused approaches that can adapt as intermediaries makes choices about whether to be originators, distributors or owners of risk ( or all of the above ). among the key elements of such approaches are an emphasis on robust stress testing, enhanced counterparty risk management, and

p l e m e n t a ti o n payment system infrastructures that facilitate retail payment using various real time and 24 / 7 instruments and canals operational hours banks and customers credit transfer implementation various payment instrument bulk, debit transfer implementation fraud detection, aml / cft digital id usage conceptual design development phase 2 development source : bank indonesia international standard money market infrastructure is the focus of bank indonesia ’ s reform policy in 2021. the development of money markets is carried out end - to - end, from trading platforms, clearing and settlement, to the trade repository ( scheme 20a ). for the trading venue, bank indonesia will follow up on the pbi market operator that was enacted in 2019 with the development of an electronic trading platform ( etp ) both in the market, with the availability of a multimatching trading system on the money market in 2021, and modernization of bi - etp for monetary operations in 2022. likewise, following up on the pbi that we have enacted, the central counterparty ( ccp ) infrastructure development is targeted to be operational starting in 2021 ( scheme 20b ). we believe that the development of etp and ccp will increase interest rate derivative transactions, particularly interest rate swaps ( irs ) and sbn repos, as well as exchange rate derivatives, particularly dndf and foreign currency swaps. the money market infrastructure development is also integrated and interconnected with the payment system infrastructures, both bi - rtgs and bi - fast, as well as the bi - ssss infrastructure which will also be modernized and complied with international standards. we believe that such financial market infrastructure ( fmi ) will increase the transaction volume, lower interest rates, and lower transaction costs so that it is more liquid, efficient, developed, and supporting the effectiveness of monetary policy transmission and the provision of financing to the economy. the development of money market instruments will be further expanded to increase the volume, liquidity, and efficiency of transactions, including instruments for hedging. in the money market, instrument development is focused on the repurchase agreement ( repo ) transaction instruments, interest rate derivatives such as overnight index swaps ( ois ) and interest rate swaps ( irs ), as well as financing instruments such as bank indonesia ’ s annual meeting 2020 scheme 20a. the development of financial market infrastructure ecosystem supporting the national economy towards indonesia as an advanced country in 2045 real sector financial sector financial market development that supports monetary policy transmission the development