Bank Indonesia (abbreviated as Bank Indonesia in Chinese; Indonesian: Bank Indonesia, abbreviated as BI) is the central bank of the Republic of Indonesia, established in 1953 and headquartered in the capital, Jakarta. Bank Indonesia is legally established as an independent public legal entity and a state agency to handle its own statutory affairs. The current governor is former Finance Minister Agus Madowadojo, who succeeded former Dalmin Nasution on May 24, 2013.

Mission and Functions

Mission

The goal of Bank Indonesia is to become the best central bank and most credible institution in the region through the grasp and strengthening of strategic value, as well as to achieve low inflation and currency exchange rate stability. To achieve this goal, the Bank of Indonesia's statutory tasks are:

• to achieve exchange rate stability of the Indonesian rupiah and to maintain the effectiveness of monetary policy transmission in order to improve the quality of national economic growth;
• to establish an effective and efficient national financial system to support private capital flows and financing activities, and to enable it to withstand internal and external shocks in order to maintain the stable growth of the national economy;
• to establish and maintain a safe, efficient and stable payment system to maintain the stability of the monetary and financial system in order to maximize the expansion of national interests;
• to establish and maintain the organizational structure and human resources of the Bank of Indonesia, and to maintain the performance and honor of the central bank.

Functions

In order to fulfill its statutory tasks, Bank Indonesia is responsible for:

• Strengthening the control of inflation from the perspective of supply and demand;
• Maintaining the stability of the Indonesian rupiah exchange rate;
• Promoting the deep and efficient development of financial marekt;
• Maintaining the stability of the financial system, maintaining and supervising the payment system;
• Leading and achieving the efficiency and synergy of inclusive finance;
• Maintaining a safe, efficient and undamaged payment system;
• Strengthening the financial management of Bank Indonesia;
• Establish an effective and efficient information system;
• Improve the efficiency of Indonesian bank staff;
• Strengthen the strategic collaboration between the public and Indonesian banks;
• Ensure a smooth transition of the supervisory function to the Financial Services Authority.