TheJakartaPost

Please Update your browser

Your browser is out of date, and may not be compatible with our website. A list of the most popular web browsers can be found below.
Just click on the icons to get to the download page.

Jakarta Post

KPK searches central bank's headquarters

There was no breakdown of or details about the use of the funds.

Reuters
Jakarta
Tue, December 17, 2024 Published on Dec. 17, 2024 Published on 2024-12-17T15:33:18+07:00

Change text size

Gift Premium Articles
to Anyone

Share the best of The Jakarta Post with friends, family, or colleagues. As a subscriber, you can gift 3 to 5 articles each month that anyone can read—no subscription needed!
KPK searches central bank's headquarters Center stage: The Bank Indonesia (BI) office building is seen on Feb. 26, 2020, in Central Jakarta. (JP/Dhoni Setiawan)

T

he Corruption Eradication Commission (KPK) raided the headquarters of the central bank in Jakarta on Monday in relation to a probe into alleged mishandling of a corporate social responsibility programme, the agency and the central bank said.

The office of central bank Governor Perry Warjiyo was among those raided, two sources familiar with the matter told Reuters. They declined to be named because they were not authorised to speak on the issue.

Bank Indonesia's spokesperson did not immediately respond to a request for confirmation that Perry's office was raided. 

A spokesperson for the KPK confirmed the search took place but did not provide further details.

The central bank said it respected the investigation and would cooperate with the anti-graft agency.

The agency in September had said it was investigating CSR programmes run by financial regulators in 2023, including the central bank, for potential misuse of funds for personal gain, according to local media.

Morning Brief

Every Monday, Wednesday and Friday morning.

Delivered straight to your inbox three times weekly, this curated briefing provides a concise overview of the day's most important issues, covering a wide range of topics from politics to culture and society.

By registering, you agree with The Jakarta Post's

Thank You

for signing up our newsletter!

Please check your email for your newsletter subscription.

View More Newsletter

Perry in September said BI had cooperated with the probe, but defended the governance of its CSR funds.

"We can ensure that CSR or BI's social programmes have strong regulatory governance and their decision-making process is through stages," Perry told a press conference at the time. 

BI typically donates to education, social empowerment or religious foundations, instead of individuals.

The beneficiaries are selected following a survey and must meet a set of requirements, Perry said at the time, adding the board of governors decides on the size of such donations.

The central bank allocated Rp 1.6 trillion ($99.66 million) in 2023 for social programmes and projects supporting micro-, small- and medium-enterprises, as well as price stabilisation measures, according to BI budget documents provided to parliament. 

There was no breakdown of or details about the use of the funds.

The raid happened a day before the central bank starts its two-day policy meeting on Tuesday, with its decision due to be announced on Wednesday. It is expected to keep policy rates unchanged, according to a narrow majority of economists polled by Reuters.

Your Opinion Matters

Share your experiences, suggestions, and any issues you've encountered on The Jakarta Post. We're here to listen.

Enter at least 30 characters
0 / 30

Thank You

Thank you for sharing your thoughts. We appreciate your feedback.

Share options

Quickly share this news with your network—keep everyone informed with just a single click!

Change text size options

Customize your reading experience by adjusting the text size to small, medium, or large—find what’s most comfortable for you.

Gift Premium Articles
to Anyone

Share the best of The Jakarta Post with friends, family, or colleagues. As a subscriber, you can gift 3 to 5 articles each month that anyone can read—no subscription needed!

Continue in the app

Get the best experience—faster access, exclusive features, and a seamless way to stay updated.