OJK Admits The Pinjol Phenomenon Is Increasingly Rising Every Year

PVML OJK Chief Executive Agusman (left second). (Photo: Aris Nurjani/VOI)

JAKARTA - The Financial Services Authority (OJK) states that every year there is still widespread use of online loan products (pinjol) or Buy Now Pay Later (BNPL) in the community.

Chief Executive of the Supervision of the Financing Institution, Ventura Capital Company, Micro Financial Institution and Financial Services Institution (PVML) OJK Agusman said, based on data from the 2022 national literacy and inclusion survey, the level of inclusion and public literacy regarding the industry and product of Information Technology-Based Joint Funding Services is still very low.

"This condition is in line with the rampant cases of people who are entangled in illegal loans. OJK data also shows complaints are increasing every year," he explained at the launch of the Roadmap for the Development and Strengthening of Information Technology-Based Joint Funding Services, Friday, November 10.

Therefore, Agusman conveyed that the OJK released a circular letter from the OJK or SEOJK No.19/SEOJK.06/2023 regarding the Implementation of Information Technology-Based Joint Funding Services (LPBBTI).

As for the SEOJK circular, one of the things that is being discussed is the setting of the maximum economic benefit limit or interest on peer-to-peer lending industry, aka online loans (pinjol).

Agusman said that with the issuance of the SEOJK regarding the development and strengthening of the financial sector or the P2SK law, LPBBTI has a strong basis for organizing this business activity.

In addition, Agusman said he was very confident that in the future he would be able to develop a healthy, efficient, with integrity financial services industry and strengthen consumer protection.

As well as strengthening the community in the context of deepening financial markets, increasing financial inclusion and stability in the financial sector.

So that a roadmap is needed to clarify the direction of development and strengthening in the future from the LPBBTI industry.

According to Agusman, the presence of this roadmaps is needed to fix and encourage the contribution of this industry to the national economy, especially in the context of financing the productive sector and MSMEs.

"This ROadmaps illustrates the efforts that will be carried out by the OJK together with the industry in the 2023-2028 period to realize a common vision, namely the LPBBT industry which is healthy, with integrity and oriented towards financial inclusion and consumer protection, and contributes to national economic growth," he explained.

Agusman conveyed that the implementation of the use of roadmaps will be carried out with 3 phases, first starting with the strengthening phase of the foundation in 2023-2024, followed by a consolidation phase and creating momentum in 2025-2026, and finally the alignment and growth phase in 2027-2028.