OJK Regulation No. 19 of 2023 on Human Resource Quality Development for Rural Banks and Sharia Rural Banks

COPY
OJK REGULATION
REPUBLIC OF INDONESIA
NUMBER 19 OF 2023
ON
HUMAN RESOURCE QUALITY DEVELOPMENT
FOR RURAL BANKS AND SHARIA RURAL BANKS
BY THE GRACE OF THE ALMIGHTY GOD
THE COMMISSIONER COUNCIL OF FINANCIAL SERVICES AUTHORITY, Considering: that to support the rural bank and Sharia rural bank industry with good resilience, high competitiveness, and optimal contribution in providing easy access to finance for micro, small, and medium enterprises as well as the community in their region or territory, and to be able to anticipate trends in business development and information technology innovation in the digital era, human resources that are integrity-based, competent, professional, and highly competitive are needed; and to implement the provisions of Article 252 paragraph (4) of Law Number 4 of 2023 concerning the Development and Strengthening of the Financial Sector, it is necessary to establish an OJK Regulation concerning Human Resource Quality Development for Rural Banks and Sharia Rural Banks; Considering: 1. Law Number 7 of 1992 concerning Banking (State Gazette of the Republic of Indonesia Year 1992 Number 31, Supplement to the State Gazette of the Republic of Indonesia Number 3472) as amended several times, lastly with Law Number 4 of 2023 concerning the Development and Strengthening of the Financial Sector (State Gazette of the Republic of Indonesia Year 2023 Number 4, Supplement to the State Gazette of the Republic of Indonesia Number 6845);
2. Law Number 21 of 2008 concerning Sharia Banking (State Gazette of the Republic of Indonesia Year 2008 Number 94, Supplement to the State Gazette of the Republic of Indonesia Number 4867) as amended with Law Number 4 of 2023 concerning the Development and Strengthening of the Financial Sector (State Gazette of the Republic of Indonesia Year 2023 Number 4, Supplement to the State Gazette of the Republic of Indonesia Number 6845);
3. Law Number 21 of 2011 concerning the Financial Services Authority (State Gazette of the Republic of Indonesia Year 2011 Number 111, Supplement to the State Gazette of the Republic of Indonesia Number 5253) as amended with Law Number 4 of 2023 concerning the Development and Strengthening of the Financial Sector (State Gazette of the Republic of Indonesia Year 2023 Number 4, Supplement to the State Gazette of the Republic of Indonesia Number 6845);
4. Law Number 4 of 2023 concerning the Development and Strengthening of the Financial Sector (State Gazette of the Republic of Indonesia Year 2023 Number 4, Supplement to the State Gazette of the Republic of Indonesia Number 6845);
DECIDING:
Establishing: OJK REGULATION CONCERNING HUMAN RESOURCE QUALITY DEVELOPMENT FOR RURAL BANKS AND SHARIA RURAL BANKS.

CHAPTER I
GENERAL PROVISIONS
Article 1
In this OJK Regulation, the following meanings are assigned:

1. Rural Bank, hereinafter abbreviated as BPR, is a conventional bank type that does not provide services in current account transactions directly.
2. Sharia Rural Bank, hereinafter referred to as BPR Syariah, is a Sharia bank type that does not provide services in current account transactions directly.
3. Board of Directors refers to the Board of Directors for BPR and BPR Syariah in the form of a limited liability company, regional public enterprise, regional joint-stock company, regional enterprise, or management for BPR and BPR Syariah in the form of a cooperative legal entity.
4. Board of Commissioners refers to the Board of Commissioners for BPR and BPR Syariah in the form of a limited liability company, Commissioner for BPR and BPR Syariah in the form of a regional joint-stock company, Supervisory Board for BPR and BPR Syariah in the form of a regional public enterprise and regional enterprise, and Supervisor for BPR and BPR Syariah in the form of a cooperative legal entity.
5. Human Resources, hereinafter abbreviated as HR, refers to members of the Board of Directors, members of the Board of Commissioners, permanent employees, and/or non-permanent employees at BPR and BPR Syariah, as well as members of the Sharia Supervisory Board at BPR Syariah.
6. Indonesian National Work Competency Standards, hereinafter abbreviated as SKKNI, is a statement of work competency covering knowledge, skills and/or expertise, and work attitude relevant to the execution of duties and job requirements established in accordance with applicable laws and regulations.
7. Work Competency Certification is the process of issuing work competency certificates conducted systematically and objectively through competency tests in accordance with SKKNI.
8. Professions Certification Body, hereinafter abbreviated as LSP, is an institution that carries out professional certification activities that have met the requirements and have obtained a license from the National Professions Certification Body.
9. Work Competency Maintenance Program, hereinafter referred to as Maintenance Program, is a program to update work competency for members of the Board of Directors and members of the Board of Commissioners of BPR and BPR Syariah holding work competency certificates.

Article 2
(1) BPR and BPR Syariah are required to manage HR and develop HR quality continuously.
(2) HR management as referred to in paragraph (1) is carried out in accordance with the employee cycle at BPR and BPR Syariah.
(3) HR quality development as referred to in paragraph (1) is carried out:
a. through increasing HR work competency; and b. by prioritizing and equalizing HR work competency, which is adjusted to the vision, mission, and business strategy of BPR and BPR Syariah.

Article 3
(1) BPR and BPR Syariah are required to provide funds for HR quality development in every fiscal year.
(2) Funds for HR quality development as referred to in paragraph (1) are used to support the increase of HR work competency.
(3) The amount or nominal provision of funds for HR quality development as referred to in paragraph (1) must be provided by BPR and BPR Syariah for every fiscal year of at least 3% (three percent) of the total labor costs of the previous year. (4) BPR and BPR Syariah are required to realize the entire provision of funds for HR quality development for every fiscal year. (5) Under certain conditions, BPR and BPR Syariah may provide and/or realize funds for HR quality development as referred to in paragraph (3) of less than 3% (three percent) based on approval from the Financial Services Authority. (6) In the event that the provided funds do not reflect sufficiency for HR quality development needs, the Financial Services Authority has the authority to order BPR and BPR Syariah to:
a. provide funds for HR quality development as referred to in paragraph (3) greater than 3% (three percent); and/or b. involve HR executing critical activities or functions in Work Competency Certification.
(7) BPR and BPR Syariah are required to execute the orders of the Financial Services Authority as referred to in paragraph (6).

Article 4
The obligation to develop HR quality as referred to in Article 2 paragraph (1) is carried out by BPR and BPR Syariah by involving HR in competency development in technical and/or non-technical fields through:
a. Work Competency Certification in the field of BPR and BPR Syariah; b. Work Competency Certification other than the field of BPR and BPR Syariah; and/or
c. other competency improvements.

Article 5
(1) HR quality development can be carried out with the following provisions:
a. implemented by BPR and BPR Syariah; b. implemented by BPR and BPR Syariah in cooperation with other parties; and/or
c. BPR and BPR Syariah involve HR in competency improvement programs organized by other parties.
(2) HR quality development as referred to in paragraph (1) is carried out online and/or offline.

Article 6
(1) BPR and BPR Syariah formulate plans for HR quality development in the business plan of BPR and BPR Syariah.
(2) BPR and BPR Syariah submit the realization of the HR quality development plan as referred to in paragraph (1) in the report on the implementation and supervision of the business plan of BPR and BPR Syariah.
(3) BPR and BPR Syariah are required to administer the realization of the HR quality development plan.

Article 7
(1) BPR and BPR Syariah violating the provisions as referred to in Article 2 paragraph (1), Article 3 paragraph (1), paragraph (3), paragraph (4), paragraph (7), and/or Article 6 paragraph (3), are subject to administrative sanctions in the form of written warnings. (2) In the event that BPR and BPR Syariah have been subject to administrative sanctions as referred to in paragraph (1), and have not yet fulfilled the provisions as referred to in Article 2 paragraph (1), Article 3 paragraph (1), paragraph (3), paragraph (4), paragraph (7), and/or Article 6 paragraph (3), BPR and BPR Syariah are subject to administrative sanctions in the form of:
a. downgrade of the health level of BPR and BPR Syariah; and/or b. temporary suspension of part of business activities.
(3) In the event that BPR and BPR Syariah have been subject to administrative sanctions as referred to in paragraph (1), and have not yet fulfilled the provisions as referred to in Article 2 paragraph (1), Article 3 paragraph (1), paragraph (3), paragraph (4), paragraph (7), and/or Article 6 paragraph (3), the principal party of BPR and BPR Syariah may be subject to administrative sanctions in the form of prohibition as a principal party in accordance with the OJK Regulation concerning re-evaluation for principal parties of financial service institutions.

CHAPTER II
SYSTEM AND PROCEDURES FOR HR QUALITY DEVELOPMENT OF BPR AND BPR SYARIAH
Article 8
(1) BPR and BPR Syariah are required to have a system and procedures for HR quality development of BPR and BPR Syariah continuously.
(2) The system and procedures for HR quality development as referred to in paragraph (1) cover at least:
a. planning and analysis of HR quality development program needs for BPR and BPR Syariah; b. design and development of HR quality development programs for BPR and BPR Syariah;
c. implementation of HR quality development programs for BPR and BPR Syariah, including methods of implementation of HR quality development programs for BPR and BPR Syariah; and
d. evaluation of implementation and monitoring of the realization of HR quality development programs for BPR and BPR Syariah.
(3) BPR and BPR Syariah violating the provisions as referred to in paragraph (1) are subject to administrative sanctions in the form of written warnings.
(4) In the event that BPR and BPR Syariah have been subject to administrative sanctions as referred to in paragraph (3), and have not yet fulfilled the provisions as referred to in paragraph (1), BPR and BPR Syariah are subject to administrative sanctions in the form of:
a. downgrade of the health level of BPR and BPR Syariah; and/or b. temporary suspension of part of business activities.
(5) In the event that BPR and BPR Syariah have been subject to administrative sanctions as referred to in paragraph (3), and have not yet fulfilled the provisions as referred to in paragraph (1), the principal party of BPR and BPR Syariah may be subject to administrative sanctions in the form of prohibition as a principal party in accordance with the OJK Regulation concerning re-evaluation for principal parties of financial service institutions.

CHAPTER III
WORK COMPETENCY CERTIFICATION
Article 9
BPR or BPR Syariah are required to have members of the Board of Directors and members of the Board of Commissioners who all hold work competency certificates issued by LSPs registered with the Financial Services Authority.

Article 10
In the event that prospective members of the Board of Directors or members of the Board of Commissioners of BPR Syariah are Directors or Commissioners of:
a. a BPR that changes its business activities to become a BPR Syariah; or b. a commercial bank that changes its business license from a commercial bank to a BPR Syariah, the obligation to hold work competency certificates as referred to in Article 9 in accordance with the SKKNI for the field of BPR Syariah must be fulfilled within a maximum of 2 (two) years from the date of the change of business license or business license to become a BPR Syariah.

Article 11
(1) Work competency certificates for members of the Board of Directors as referred to in Article 9 are established in 2 (two) levels based on the total assets of BPR and BPR Syariah, namely level 1 work competency certificates and level 2 work competency certificates. (2) Work competency certificates for members of the Board of Commissioners as referred to in Article 9 are established in 1 (one) level and do not take into account the total assets of BPR and BPR Syariah.

Article 12
(1) Members of the Board of Directors of BPR and BPR Syariah with total assets of less than IDR 300,000,000,000.00 (three hundred billion rupiah) are required to hold level 1 work competency certificates or level 2 work competency certificates. (2) Members of the Board of Directors of BPR and BPR Syariah with total assets of at least IDR 300,000,000,000.00 (three hundred billion rupiah) are required to hold level 2 work competency certificates.

Article 13
(1) In the event that BPR and BPR Syariah as referred to in Article 12 paragraph (1) experience an increase in total assets to at least IDR 300,000,000,000.00 (three hundred billion rupiah) for 6 (six) consecutive months, the members of the Board of Directors of BPR and BPR Syariah are required to hold level 2 work competency certificates. (2) Members of the Board of Directors of BPR and BPR Syariah are required to hold level 2 work competency certificates no later than 12 (twelve) months after the total assets of BPR and BPR Syariah meet the criteria as referred to in paragraph (1). (3) In the event that there is a difference in the remaining time limit for fulfilling the obligation to hold level 2 work competency certificates for:
a. members of the Board of Directors of BPR Syariah as referred to in paragraph (2); and b. members of the Board of Directors of BPR Syariah who were previously members of the Board of Directors of BPR that changed business activities to become BPR Syariah as referred to in Article 10 letter a, the fulfillment of level 2 work competency certificates for members of the Board of Directors of BPR Syariah can use the longer remaining time limit. (4) The ownership of level 2 work competency certificates by members of the Board of Directors of BPR and BPR Syariah as referred to in paragraph (1) remains valid if BPR and BPR Syariah experience a decrease in total assets.

Article 14
(1) BPR and BPR Syariah violating the provisions as referred to in Article 9 are subject to administrative sanctions in accordance with the OJK Regulation concerning Rural Banks and the OJK Regulation concerning Sharia Rural Banks.
(2) BPR and BPR Syariah violating the provisions as referred to in Article 12, Article 13 paragraph (1) and/or paragraph (2), are subject to administrative sanctions in the form of written warnings.

CHAPTER IV
BANKING SECTOR LSP
Article 15
The banking sector LSP sets requirements to become a competency maintenance provider and/or criteria for each form of activity recognized as competency maintenance.

Article 16
The banking sector LSP conducting Work Competency Certification in the banking sector maintains the quality of competency tests for Work Competency Certification in the banking sector in accordance with the OJK Regulation concerning the management of professions certification bodies in the financial services sector.

CHAPTER V
MONITORING
Article 17
(1) BPR and BPR Syariah are required to:
a. conduct monitoring to ensure that members of the Board of Directors and members of the Board of Commissioners of BPR and BPR Syariah hold work competency certificates, including participating in the Maintenance Program periodically; and b. conduct monitoring of HR quality development programs as referred to in Article 4. (2) Members of the Board of Directors and members of the Board of Commissioners of BPR and BPR Syariah must participate in the Maintenance Program periodically at least 1 (one) time within 3 (three) years since the validity of the work competency certificate. (3) In the event that members of the Board of Directors and members of the Board of Commissioners of BPR and BPR Syariah do not participate in the Maintenance Program within the time limit as referred to in paragraph (2), the work competency certificate becomes unrecognized by the Financial Services Authority.

Article 18
(1) BPR and BPR Syariah violating the provisions as referred to in Article 17 paragraph (1) are subject to administrative sanctions in the form of written warnings.
(2) In the event that BPR and BPR Syariah have been subject to administrative sanctions as referred to in paragraph (1), and have not yet fulfilled the provisions as referred to in Article 17 paragraph (1), BPR and BPR Syariah are subject to administrative sanctions in the form of:
a. downgrade of the health level of BPR and BPR Syariah; and/or b. temporary suspension of part of business activities.

CHAPTER VI
TRANSITIONAL PROVISIONS
Article 19
At the time this OJK Regulation comes into force, BPR and BPR Syariah that do not yet have a system and procedures for HR quality development or have a system and procedures for HR quality development but do not yet meet the scope as referred to in Article 8, are given a time limit of at most 6 (six) months from the time this OJK Regulation comes into force to fulfill the obligations as referred to in Article 8.

Article 20
For members of the Board of Directors and/or members of the Board of Commissioners who already hold valid work competency certificates before this OJK Regulation comes into force, the implementation of the Maintenance Program by members of the Board of Directors and/or members of the Board of Commissioners as referred to in Article 17 paragraph (2) becomes effective from the date of expiration of the work competency certificates of the respective members of the Board of Directors and/or members of the Board of Commissioners.

CHAPTER VII
CLOSING PROVISIONS
Article 21
At the time this OJK Regulation comes into force, OJK Regulation Number 26 of 2022 concerning Sharia Rural Banks (State Gazette of the Republic of Indonesia Year 2022 Number 32/OJK, Supplement to the State Gazette of the Republic of Indonesia Number 23/OJK) remains in force as long as it does not conflict with this OJK Regulation.

Article 22
At the time this OJK Regulation comes into force:
a. OJK Regulation Number 44/POJK.03/2015 concerning Work Competency Certification for Members of the Board of Directors and Members of the Board of Commissioners of Rural Banks and Sharia Rural Banks (State Gazette of the Republic of Indonesia Year 2015 Number 397, Supplement to the State Gazette of the Republic of Indonesia Number 5815); and b. OJK Regulation Number 47/POJK.03/2017 concerning the Obligation to Provide Funds for Education and Training for Human Resource Development of Rural Banks and Sharia Rural Banks (State Gazette of the Republic of Indonesia Year 2017 Number 153, Supplement to the State Gazette of the Republic of Indonesia Number 6096), are revoked and declared invalid.

Article 23
This OJK Regulation comes into force on the date of enactment.

This copy is consistent with the original
Director of Legal Affairs 1
Legal Department signed
Mufli Asmawidjaja

To be known by everyone, ordering the enactment of this OJK Regulation by placing it in the State Gazette of the Republic of Indonesia.
Established in Jakarta on November 1, 2023
CHAIRMAN OF THE COMMISSIONER COUNCIL
FINANCIAL SERVICES AUTHORITY
REPUBLIC OF INDONESIA,
MAHENDRA SIREGAR
Enacted in Jakarta on November 2, 2023
MINISTER OF LAW AND HUMAN RIGHTS
REPUBLIC OF INDONESIA,
YASONNA H. LAOLY
STATE GAZETTE OF THE REPUBLIC OF INDONESIA YEAR 2023 NUMBER 33/OJK signed signed

EXPLANATION
OF
OJK REGULATION
REPUBLIC OF INDONESIA
NUMBER 19 OF 2023
ON
HUMAN RESOURCE QUALITY DEVELOPMENT
FOR RURAL BANKS AND SHARIA RURAL BANKS

I. GENERAL
In order to encourage national economic growth and support the development of dynamic businesses, as well as being able to anticipate trends in information technology innovation in the digital era, the BPR and BPR Syariah industry is needed with good resilience and high competitiveness, so that BPR and BPR Syariah can provide optimal contributions in providing easy access to finance for micro enterprises and the community in their region or territory. To support this, continuous HR management is needed considering that HR is one of the most important assets owned by BPR and BPR Syariah and plays a significant role in supporting business sustainability amidst competition in the financial services sector in the digital era. For BPR and BPR Syariah HR to have good integrity, competency, and professionalism, as well as high competitiveness, the continuous development of BPR and BPR Syariah HR quality must be a priority carried out by BPR and BPR Syariah.

One of the efforts that can be made by BPR and BPR Syariah in supporting the development of BPR and BPR Syariah HR quality is through the provision of funds realized by BPR and BPR Syariah in order to improve work competency or develop other competencies in technical and non-technical fields. In addition, a system and procedure is needed as a guideline for BPR and BPR Syariah in formulating HR quality development strategies continuously, so that BPR and BPR Syariah can compete while still paying attention to prudence aspects.

In relation to this, and to implement laws regarding the development and strengthening of the financial sector, it is necessary to update regulations regarding the development of BPR and BPR Syariah HR quality.

II. ARTICLE BY ARTICLE
Article 1
Clear enough.

Article 2
Paragraph (1)
What is meant by "continuously" is the management and development of HR quality that is carried out continuously, systematically, planned, and objectively to anticipate the development of banking and the financial services sector in the future.

Paragraph (2)
The employee cycle at BPR and BPR Syariah covers various stages passed by HR, including strategy and planning, fulfillment or recruitment, orientation and adaptation (onboard), culture, training and development, performance management and rewards, career development, talent or succession management, termination and pension programs (offboard).

Paragraph (3)
HR quality development adjusted to the vision, mission, and business strategy of BPR and BPR Syariah is intended among others to:
a. support the achievement of BPR and BPR Syariah business; b. anticipate trends in business development and information technology innovation by preparing HR with digital insight; and
c. increase the standard of HR work competency.

Article 3
Paragraph (1)
Funds for HR quality development include all funds provided by BPR and BPR Syariah, including those related to certification programs, training, formal education, mentoring, and/or secondment, including among others travel costs, consumption, application maintenance, handbooks, modules, licenses/software subscriptions, and e-library/journal subscriptions, to support HR quality development activities in technical and/or non-technical fields. Funds not included in the scope are funds that are not directly related to the development of HR quality in technical and/or non-technical fields. For example, capital expenditure on facilities that will be recorded as fixed assets, purchase of inventory, or building rent. What is meant by "fiscal year" is the year starting from January to December.

Paragraph (2)
Clear enough.

Paragraph (3)
What is meant by "labor costs" is labor costs as referred to in the OJK Regulation concerning monthly reports of rural banks and the OJK Regulation concerning monthly reports of Sharia rural banks.

Paragraph (4)
Clear enough.

Paragraph (5)
Certain conditions are force majeure, BPR and BPR Syariah are established as banks under rehabilitation or banks under resolution, or other conditions so that the provision of BPR and BPR Syariah HR quality development funds has a material impact on the capital of BPR and BPR Syariah.

Circumstances of force majeure, namely unavoidable disasters, consist of:
a. natural disasters; b. non-natural disasters; and/or
c. social disasters,
which are approved by the competent official of the local government and/or can be verified for their truthfulness by the Financial Services Authority.

Paragraph (6)
The adequacy of funding for human resource quality development needs is reviewed, among others, based on the results of supervision or examination by the Financial Services Authority.

Letter a
This is sufficiently clear.

Letter b
The term "critical function" refers to the core functions in the operational activities of BPR and Sharia BPR that are strategic or have potential risks that can affect the development of the business activities of BPR and Sharia BPR. Example: officials in the credit or financing field who are responsible for handling high levels of problematic credit or financing issues, including for BPR and Sharia BPR with open company status.

Paragraph (7)
This is sufficiently clear.

Article 4
The term "technical field competence" refers to knowledge, skills, and attitudes or behaviors that can be observed, measured, and developed, related to the technical field in performing functions, jobs, or positions at BPR and Sharia BPR. The term "non-technical field competence" refers to knowledge, skills, and attitudes or behaviors that can be observed, measured, and developed, related to interactions both intrapersonally and interpersonally in performing functions, jobs, or positions at BPR and Sharia BPR, including for leading and/or managing BPR and Sharia BPR and/or BPR and Sharia BPR organizational units.

Letter a
Work Competency Certification in the field of BPR and Sharia BPR is Work Competency Certification implemented in accordance with the National Competency Standards (SKKNI) and the Indonesian National Qualifications Framework (KKNI) for BPR and Sharia BPR which have been established by the competent authority.

Letter b
Work Competency Certification other than in the field of BPR and Sharia BPR is other certifications related to activities in the banking sector, both in the form of international or domestic certification programs, including in the fields of risk management, financial planning, information technology, audit, and Sharia supervision.

Letter c
Other competency improvements are the development of human resource quality through increasing human resource competencies other than competency certification, including through continuing formal education programs, leadership education, communication, and other interpersonal skills, mentoring, internships, socialization, workshops, seminars, and other programs that support the operations of BPR and Sharia BPR.

Article 5
Paragraph (1)
Letter a
The term "implemented by BPR and Sharia BPR" refers to the implementation of human resource quality development using the resources of BPR and Sharia BPR itself. As an example, the implementation of training (in-house training) with instructors from the human resources of BPR and Sharia BPR themselves or external instructors, as well as the implementation of learning or training digitally through a learning management system.

Letter b
The term "implemented by BPR and Sharia BPR in cooperation with other parties" refers to the implementation of human resource quality development carried out by BPR and Sharia BPR with parties outside BPR and Sharia BPR, including BPR or Sharia BPR with other BPR or Sharia BPR, with commercial banks, with non-bank financial service institutions, and/or with other institutions. Other institutions include authorities, ministries or agencies, campuses, consultants, industry associations, certification bodies, and educational institutions.

Letter c
This is sufficiently clear.

Paragraph (2)
This is sufficiently clear.

Article 6
Paragraph (1)
The format for compiling and the procedure for submitting the human resource quality development plan in the business plan is in accordance with:
a. Financial Services Authority Regulation regarding the business plan for rural banks and Sharia rural financing banks; b. Financial Services Authority provisions regarding the business plan for rural banks; and
c. Financial Services Authority provisions regarding the business plan for Sharia rural financing banks.

Paragraph (2)
The format for compiling and the procedure for submitting the realization of the human resource quality development plan in the report on the implementation and supervision of the business plan is in accordance with:
a. Financial Services Authority Regulation regarding the business plan for rural banks and Sharia rural financing banks; b. Financial Services Authority provisions regarding the business plan for rural banks; and
c. Financial Services Authority provisions regarding the business plan for Sharia rural financing banks.

Paragraph (3)
The administration of the realization of the human resource quality development program is carried out, among others, on:
a. proof and/or documents of the implementation of Work Competency Certification in the field of BPR and Sharia BPR, Work Competency Certification other than the field of BPR and Sharia BPR, and the implementation of other competency improvements, including Program Maintenance documents; b. a list of human resources participating in the human resource quality development program; and
c. proof of payment if there are costs in the implementation of the human resource quality development program.

Article 7
This is sufficiently clear.

Article 8
Paragraph (1)
The term "continuously" refers to a system and procedure for human resource quality development that is carried out continuously in a systematic, planned, and objective manner in line with the vision, mission, and business strategy of BPR and Sharia BPR.

Paragraph (2)
The form or method of the system and procedure is based on the internal policy of BPR and Sharia BPR. Systems and procedures are required so that BPR and Sharia BPR can determine the necessary actions so that the implementation of human resource quality development can run according to plan, address existing competency gaps, and align with the vision, mission, and business strategy of BPR and Sharia BPR.

Letter a
Planning and needs analysis are prepared by assessing and identifying gaps or needs for BPR and Sharia BPR human resource competencies that need to be improved. Human resource competency needs are prepared, among others, for the long term and to meet current human resource competency needs. In identifying gaps or human resource competency needs, BPR and Sharia BPR pay attention to, among others, the standards for BPR and Sharia BPR human resource competencies in accordance with the applicable SKKNI and KKNI for BPR and Sharia BPR which have been established by the competent authority.

Letter b
Program design and development are prepared by determining the plan or form of BPR and Sharia BPR human resource quality development programs, including objectives, methods, and program evaluation.

Letter c
The implementation of the human resource quality development program based on the prepared program design and development or other needs considers, among others, time, place, budget, and methods (online or offline).

Letter d
Evaluation of implementation and monitoring of the realization of the BPR and Sharia BPR human resource quality development program, among others, to measure the impact of program implementation on human resource quality improvement, which can be done by analyzing the achievement of planned activities. Evaluation results include conclusions and suggestions for improving future human resource quality development programs.

Paragraph (3)
This is sufficiently clear.

Paragraph (4)
This is sufficiently clear.

Paragraph (5)
This is sufficiently clear.

Article 9
The obligation to hold a work competency certificate for members of the Board of Directors and members of the Board of Commissioners of BPR and Sharia BPR is in accordance with the Financial Services Authority Regulation regarding rural banks and the Financial Services Authority Regulation regarding Sharia rural financing banks. Work competency certificates are implemented in accordance with the competency unit referring to the SKKNI and the qualification level referring to the KKNI applicable to BPR and Sharia BPR.

Article 10
This is sufficiently clear.

Article 11
Paragraph (1)
The difference between Level 1 work competency certificates and Level 2 work competency certificates is determined, among others, based on the scope of competency units in the SKKNI and the application of the KKNI.

Paragraph (2)
The scope and number of competency units for members of the Board of Commissioners differ from the scope and number of competency units for members of the Board of Directors.

Article 12
Paragraph (1)
Members of the Board of Directors of BPR and Sharia BPR can choose Level 1 work competency certificates or Level 2 work competency certificates to fulfill obligations. BPR and Sharia BPR that have chosen to use one of the competency certificates are not required to hold the other work competency certificate.

Paragraph (2)
This is sufficiently clear.

Article 13
Paragraph (1)
The obligation to hold a Level 2 work competency certificate starts from the 7th (seven) month.

Paragraph (2)
The calculation of the time period for the obligation to hold a Level 2 work competency certificate starts in the month following the sixth-month report until 12 (twelve) months later.
Example:
Based on the monthly report submitted by BPR or Sharia BPR to the Financial Services Authority, it is known that from January 2024 to June 2024, BPR or Sharia BPR has total assets above IDR 300,000,000,000 (three hundred billion rupiah). Based on the June 2024 monthly report of BPR or Sharia BPR, members of the Board of Directors of BPR and Sharia BPR are obligated to hold Level 2 work competency certificates from the end of July 2024 until at most the end of June 2025.

Paragraph (3)
Example 1:
BPR Makmur Maju has assets of IDR 250,000,000,000 (two hundred fifty billion rupiah) and effectively changed its business activities to become a Sharia BPR on January 3, 2024. Therefore, the Board of Directors of Sharia BPR Makmur Maju is obligated to hold Level 1 work competency certificates in accordance with the SKKNI for the Sharia BPR field at the latest by January 3, 2026. As of June 30, 2025, it is known that Sharia BPR Makmur Maju has had assets for the last 6 (six) months of more than IDR 300,000,000,000 (three hundred billion rupiah). In this condition, members of the Board of Directors of Sharia BPR Makmur Maju are permitted to hold Level 2 work competency certificates at the latest by June 30, 2026.

Example 2:
BPR Kharisma Jaya as of December 31, 2023 was recorded to have assets of IDR 290,000,000,000 (two hundred ninety billion rupiah). As of September 30, 2024, it is known that BPR Kharisma Jaya has had assets for the last 6 (six) months of more than IDR 300,000,000,000 (three hundred billion rupiah). Therefore, the Board of Directors of BPR Kharisma Jaya is obligated to hold Level 2 work competency certificates at the latest by September 30, 2025. When as of June 30, 2025, BPR Kharisma Jaya effectively changed its business activities to become a Sharia BPR, the Board of Directors of Sharia BPR Kharisma Jaya is obligated to hold Level 2 work competency certificates at the latest by June 30, 2027.

Paragraph (4)
This is sufficiently clear.

Article 14
This is sufficiently clear.

Article 15
The determination of requirements by the Banking Sector LSP is implemented in accordance with applicable standards related to certification practices (common practice) and statutory regulations.

Article 16
This is sufficiently clear.

Article 17
Paragraph (1)
This is sufficiently clear.

Paragraph (2)
The term "from the validity of the work competency certificate" refers to from the date of issuance or from the date of the last renewal of the work competency certificate.

Paragraph (3)
This is sufficiently clear.

Article 18
This is sufficiently clear.

Article 19
This is sufficiently clear.

Article 20
This is sufficiently clear.

Article 21
This is sufficiently clear.

Article 22
This is sufficiently clear.

Article 23
This is sufficiently clear.

SUPPLEMENT TO THE STATE GAZETTE OF THE REPUBLIC OF INDONESIA NUMBER 56/OJK