Indonesia's Financial Services Authority (OJK) published a press release summarising remarks by its Executive Head of Banking Supervision on strengthening the role of Regional Development Banks (BPD) in regional economic development, both as financial intermediaries and as drivers of local growth. The message to BPDs was to continue transforming to remain competitive as banking becomes increasingly technology-led, while maintaining customer protection. At a discussion hosted by the Regional Banking Association (ASBANDA) attended by 27 BPDs serving all 38 provinces, OJK highlighted BPD sector performance, including average asset growth of 7.29%, loan growth of 6.82%, and deposit growth of 7.30%, alongside maintained credit quality and adequate capital. OJK also promoted the formation of Joint Business Groups (Kelompok Usaha Bersama, KUB) to strengthen resilience and competitiveness through group synergies, and pointed to potential consolidation of local-government-owned Rural Banks (BPR) under BPDs to support micro-level lending and improve governance. The agency anchored these priorities in the four pillars of the 2024–2027 BPD Strengthening Roadmap launched on 14 October 2024, and underscored the need for shareholder and management investment in information technology infrastructure, including cyber security and digital resilience, referencing its Digital Resilience Guide and its Indonesian Banking Artificial Intelligence Governance Guide.

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