Against this background, Bank Indonesia also implemented Crisis Management Protocol (CMP). However, the CMP needs to be equipped with proper guidance and legal basis which regulate crisis prevention and resolution process in a systematic and integrated way on a national scale, through Financial Safety Net Law.
Financial crisis generally starts with liquidity squeeze in the interbank market, market interest rate hike, and exchange rate pressure. For that reason, we intensify monitoring on financial market transactions, especially to scrutinize vulnerabilities that would lead to financial crisis.