OJK Supports The Development Of Electric Motor Vehicle Ecosystems, Face Money Can Be 0 Percent

The Financial Services Authority (OJK) has released a policy to support the accelerated Battery-Based Electric Motor Vehicle (KBLBB) program and the development of its upstream industries such as the battery industry, the charging station industry, and the component industry.

Deputy Chairman of the OJK Board of Commissioners Mirza Adityaswara explained that the policy issued by the OJK was in the form of incentives for providing funds to debtors for the production and consumption of KBLBB.

"Face money for the purchase of BB KBL can be applied at least 0 percent (zero percent) of the selling price of the vehicle concerned while still fulfilling the provisions in POJK 35/2018 and POJK 10/2019," Mirza said at a press conference quoted on Tuesday, January 3.

Mirza explained that incentives in the banking sector were also provided by the OJK, namely relaxation of the weight of the risk of weighted assets according to risk (ATMR) to 50 percent which was extended until December 31, 2023.

"Also relaxation of credit quality assessments or financing and exemptions to the Maximum Limit on Providing Credit or Financing (BMPK/BMPP)," he said.

Relaxation from the insurance industry, continued Miza, is in the form of setting premium rates that can be applied at a level lower than the minimum limit.

"Later on, premium rates and the imposition of self-risk (duductible) can be applied at a level lower than the minimum limit as stipulated in OJK Circular Number 6/SEOJK.05/2017," concluded Mirza.

Quoted from the OJK page, the General Insurance Company imposes a minimum Risk Self (Deductible) provision of IDR 300,000.00 per incident, except for two-wheeled vehicles a minimum of IDR 150,000.00.