Distinguished Guests, Ladies and Gentlemen, The 2007/2008 Global Financial Crisis (GFC) has taught us a valuable lesson that merely depending on monetary policy alone is insufficient to achieve macroeconomic and also financial system stability. We learned that the source of crisis has shifted from macro side (fiscal and monetary) to micro side (financial agents).
Therefore, it is necessary to complement monetary policy with microprudential policy and macroprudential policy. Indonesia has a specific experience on this matter, as we have also been a severe economic crisis in 1997/1998 that brought a wide-range impact with an expensive cost to the economy, social and politics.