Several dynamics and realities in global and national economic condition; the yet to be established tax incentives for mergers; as well as cultural differences among banks should not hinder steps to consolidation considering that this is for the greater good of the Indonesian banking industry when confronting future challenges in the era of financial globalization.
In crises, extreme solutions – activism with full discretion on the one hand, and total lack of action on the other – may seem easy to some, but such solutions are mistaken. A central bank buying government securities non-stop might appear to be useful, especially for the public finance authority, but it merely postpones the problem and may create inflation.