Regulation of the Board of Commissioners of the Financial Services Authority Number 2 of 2026 Concerning the Implementation of Buy Now Pay Later for Financing Companies and Sharia Financing Companies

The Financial Services Authority (OJK) issued Regulation Number 2 of 2026 to comprehensively regulate Buy Now Pay Later (BNPL) services provided by financing and Sharia financing companies. This regulation establishes detailed requirements for operational approval, prudential principles, consumer protection, data management, credit scoring, and information transparency. It mandates compliance with feasibility analyses regarding borrower age and income, with full implementation for new acquisitions and extensions scheduled by July 1, 2026.

Indonesia

Otoritas Jasa Keuangan (Financial Services Authority)

Regulation of the Board of Commissioners of the Financial Services Authority Number 2 of 2026 Concerning the Implementation of Buy Now Pay Later (Buy Now Pay Later) for Financing Companies and Sharia Financing Companies

Abstract: This Regulation of the Board of Commissioners of the Financial Services Authority is formulated as implementing regulations regarding Digital Financing Services in the form of Buy Now Pay Later activities for Financing Companies and Sharia Financing Companies in carrying out the mandate of Article 2 paragraph (4), Article 14 paragraph (5), Article 15 paragraph (2) of Financial Services Authority Regulation Number 32 of 2025 Concerning the Implementation of Buy Now Pay Later (Buy Now Pay Later) (State Gazette of the Republic of Indonesia Year 2025 Number 44/OJK, Addition to the State Gazette of the Republic of Indonesia Number 173/OJK) as well as to carry out the mandate of Article 19B paragraph (2), Article 19H paragraph (13), Article 19J paragraph (4), and Article 19M paragraph (5) of Financial Services Authority Regulation Number 46 of 2024 Concerning the Development and Strengthening of Financing Companies, Infrastructure Financing Companies, and Venture Capital Companies (State Gazette of the Republic of Indonesia Year 2024 Number 59/OJK, Addition to the State Gazette of the Republic of Indonesia Number 127/OJK) as amended by Financial Services Authority Regulation Number 35 of 2025 Concerning Amendments to Financial Services Authority Regulation Number 46 of 2024 Concerning the Development and Strengthening of Financing Companies, Infrastructure Financing Companies, and Venture Capital Companies (State Gazette of the Republic of Indonesia Year 2025 Number 51/OJK, Addition to the State Gazette Number 179/OJK).

Legal Basis The legal basis for this Regulation of the Board of Commissioners of the Financial Services Authority is: POJK No. 32 of 2025 and POJK No. 46 of 2024 as amended lastly by POJK No. 35 of 2025.

This Regulation of the Board of Commissioners of the Financial Services Authority regulates the Implementation of Buy Now Pay Later (Buy Now Pay Later/BNPL) conducted for financing companies and Sharia financing companies comprehensively, covering approval for implementation, prudential principles, consumer protection, data management (personal data, transaction data, and financial data), feasibility analysis and credit scoring mechanisms, information transparency, debt collection, up to economic benefits.

Note: This Regulation of the Board of Commissioners of the Financial Services Authority takes effect on the date of establishment. This Regulation of the Board of Commissioners of the Financial Services Authority was established on May 4, 2026. Compliance with the feasibility analysis of prospective Debtors and/or Debtors by Financing Companies and Sharia Financing Companies regarding: a. Debtor age limits; and b. Debtor income, takes effect no later than July 1, 2026, regarding the acquisition of prospective Debtors and/or the extension of financing or Sharia financing.