Overview

It is clear that Corona Virus Disease 2019 (COVID-19) is having a hugely negative effect upon the global economy, including in Indonesia. With the economy heading downhill, the risk of non-performing loans is rising.[1] In an effort to improve the situation, the government has issued Regulation of the Financial Services Authority (Otoritas Jasa Keuangan – “OJK”) No. 11/POJK.03/2020 of 2020 on National Economic Stimulus as a Countercyclical Policy to Mitigate the Impact of Corona Virus Disease 2019,[2] as well as Regulation of the OJK No. 14/POJK.05/2020 of 2020 on Countercyclical Policy to Mitigate the Impact of Corona Virus Disease 2019 upon Non-Bank Financial Service Institutions,[3] both of which address the relaxation of debts through restructuring mechanisms.