Bank of Thailand and  Indonesia`s Financial Services Authority signed a memorandum of understanding (MoU) committing efforts to strengthen banking supervision in both countries.

Antara News reported that the MoU was signed by Chairman of the OJK Commissioner Wimboh Santoso and Governor of the Bank of Thailand Veerathai Santiprabhob on the sidelines of the Annual Meeting of the IMF and World Bank in Bali, Indonesia, on Friday.

The MoU contains efforts to strengthen banking supervision in both countries in accordance with the Basel principles on the effectiveness of banking supervision.

Based on the MoU, some main efforts to strengthen banking supervision will be carried out in both countries, including information exchange, cooperation on banking licensing, on-site checking, inherent supervision, and crisis management.

“We will increase cooperation that we already have in order to strengthen the stability of the financial system in both countries,” Santoso said.

Meanwhile, Governor of Bank of Thailand Veerathai , pointed out that trade and investment cooperation between Indonesia and Thailand definitely needs some efficient cross-border financial service.

“Therefore, this MoU will also enhance the commitment for financial system supervision that will eventually bring benefits to the trade, investment, and economic prosperity of both countries,” he added.