Head of the West Java (Jabar) Province Financial Services Authority (OJK) Office Darwisman stated that OJK is ready to support regional governments (pemda) to issue regional bonds as an alternative financing for development programs.
He said that currently the central and regional OJK are focusing on deepening the financial and capital markets, one of which is by encouraging the issuance of regional bonds.
"If possible, each region has regional bonds that can be issued from its projects (development programs). This will provide wider financial access, which is even bigger, (so) the (development) projects can run," said Darwisman, in Jakarta, Thursday.
He said that regional bonds could also be an alternative instrument for the community, while also contributing to the development of their own regions.
"Later, the securities will be purchased by the communities as well. This is called one of the fundraising strategies . So, (the benefits of the funds collected) are directly felt by the surrounding (community) (through development programs)," he said.
Considering this, Darwisman appealed to local governments to start mapping out various strategic development programs and projects that can be developed in their respective regions.
He said that local governments must be careful in choosing which programs they will issue bonds for, especially development projects that are feasible (viable and able to be implemented) and profitable.
