SUMMARY
There has been a change in the government system from the New Order regime to the Reformation Order since 1998, then consequently the juridical consequences have had a change in the system of government that has been running to date. In real terms and the ongoing changes in the system of government in the constitutional order as referred to in Article 18 of the 1945 Constitution of the Republic of Indonesia have given autonomy to autonomous regions. Therefore, each autonomous region has the rights, authorities and obligations of the autonomous region to regulate and manage all matters under its authority. Regional-owned enterprises in reconstructing the authority to appoint and determine directors of regional bank companies must comply with the mandate of Law Number 23 of 2014 as amended by Law Number 9 of 2015 concerning Regional Government and taking into account Government Regulation Number 54 of 2017 concerning Business Entities Regional Owned.