Indonesia's Financial Services Authority (OJK) published a press release summarising remarks by Audit Board Chair and Commissioner Sophia Wattimena, emphasising that high-quality, standards-compliant financial statements are the primary input for supervising the financial services sector. She warned that misstatements can create scope for window dressing that harms stakeholders. The remarks highlighted pressure on the accounting profession from technological change, cyber risk, potential misuse of artificial intelligence, and rising sustainability reporting expectations, arguing that accountants must combine technical capability with ethics, insight, and decision support. OJK pointed to its requirements on professional certification and competence development, citing OJK Regulation Number 34 of 2024, and referenced strengthened rules on the use of public accountants and audit reporting, including OJK Regulation Number 9 on the use of public accountants and public accounting firms in financial services activities and OJK Regulation Number 30 of 2023 on communicating key audit matters in audited financial statements for capital markets. On sustainability reporting, the release noted OJK’s encouragement of the Indonesian Sustainable Finance Taxonomy and its preparation to adopt IFRS Sustainability Disclosure Standards S1 and S2 through a planned revision of OJK Regulation 51/2017.
OJK 2025-05-27
Indonesia's Financial Services Authority stresses reliable financial reporting and stronger accountant governance to underpin supervision
Indonesia's Financial Services Authority (OJK) stressed the need for high-quality financial statements to prevent window dressing. OJK noted pressures on accounting from technological changes and sustainability reporting, emphasizing technical and ethical competence. It also referenced regulations on professional certification, audit reporting, and adopting IFRS Sustainability Disclosure Standards.