OJK REGULATION NO. 4 OF 2026

ON THE IMPLEMENTATION OF ISLAMIC BANKING INVESTMENT PRODUCTS

IN THE NAME OF THE SUPREME GOD

THE COMMISSIONERS' COUNCIL OF THE FINANCIAL SERVICES AUTHORITY,

Considering: a. that the implementation of Islamic banking investment products must fulfill Sharia principles based on justice, balance, transparency, and profit-sharing and proportional risk distribution principles in accordance with the characteristics of investments in Islamic banking; b. that the regulation of Islamic banking investment products before the enactment of Law Number 4 of 2023 concerning the Development and Strengthening of the Financial Sector still applied principles similar to those of deposit products;
c. that in line with the policy direction for the development and strengthening of Islamic banking based on Law Number 4 of 2023 concerning the Development and Strengthening of the Financial Sector, there has been a clear separation between deposit products and investment products in Islamic banking, thus requiring regulations regarding the implementation of investment products in Islamic banking;
d. that based on the considerations referred to in letters a, b, and c, it is necessary to establish a Financial Services Authority Regulation concerning the Implementation of Islamic Banking Investment Products;

Recalling:

1. Law Number 21 of 2008 concerning Islamic Banking (State Gazette of the Republic of Indonesia Year 2008 Number 94, Supplement to the State Gazette of the Republic of Indonesia Number 4867) as amended several times, lastly with Law Number 4 of 2023 concerning the Development and Strengthening of the Financial Sector (State Gazette of the Republic of Indonesia Year 2023 Number 4, Supplement to the State Gazette of the Republic of Indonesia Number 6845);

2. Law Number 21 of 2011 concerning the Financial Services Authority (State Gazette of the Republic of Indonesia Year 2011 Number 111, Supplement to the State Gazette of the Republic of Indonesia Number 5253) as amended, lastly with Law Number 4 of 2023 concerning the Development and Strengthening of the Financial Sector (State Gazette of the Republic of Indonesia Year 2023 Number 4, Supplement to the State Gazette of the Republic of Indonesia Number 6845);

DECIDES:

Establishes: A FINANCIAL SERVICES AUTHABILITY REGULATION CONCERNING THE IMPLEMENTATION OF ISLAMIC BANKING INVESTMENT PRODUCTS.

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CHAPTER I

GENERAL PROVISIONS

Article 1

In this Financial Services Authority Regulation, the following terms are defined:

1. Bank means Sharia General Bank, Sharia People's Economy Bank, and Sharia Business Unit.
2. Sharia General Bank, hereinafter abbreviated as BUS, is a bank that conducts business activities based on Sharia principles which, in its activities, provides services in the payment circulation.
3. Conventional General Bank, hereinafter abbreviated as BUK, is a bank that conducts business activities conventionally which, in its activities, provides services in the payment circulation.
4. Sharia Business Unit, hereinafter abbreviated as UUS, is a work unit of the BUK headquarters functioning as the parent office of offices or units conducting business activities based on Sharia principles, or a work unit at the branch office of a Bank located abroad that conducts conventional business activities functioning as the parent office of Sharia assisting branches and/or Sharia units.
5. Sharia People's Economy Bank, hereinafter referred to as BPR Syariah, is a type of Sharia bank that does not provide services in giral circulation directly in its activities.
6. Sharia Principle is the principle of Islamic law based on fatwa and/or Sharia conformity statements issued by an institution having authority in determining fatwas in the Sharia field.
7. Investment is funds entrusted by Investor Customers to the Bank based on a Mudarabah contract or other contracts that do not contradict the Sharia Principle, the risks of which are borne by the Investor Customer.
8. Investor Customer is a customer who places their funds in the Bank in the form of Investment based on a contract between the Bank and the relevant customer.
9. Islamic Banking Investment Product is a business activity conducted by the Bank in the form of gathering Investment funds that are channeled to a supporting asset for the benefit of the Investor Customer.
10. Supporting Asset is a productive asset used as the basis for the Islamic Banking Investment Product.
11. Mudarabah Contract is a business cooperation contract between the capital owner (malik/shahib al-mal) who provides all the capital and the manager ('amil/mudharib), and business profits are divided among them according to the ratio agreed upon in the contract.

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CHAPTER II

ISLAMIC BANKING INVESTMENT PRODUCTS

Article 2

(1) Islamic Banking Investment Products are established as follow-up Bank products based on this Financial Services Authority Regulation.

(2) The procedures for the implementation and cessation of Islamic Banking Investment Products as referred to in paragraph (1) are carried out in accordance with the Financial Services Authority Regulation concerning the implementation of general bank products and the Financial Services Authority Regulation concerning the implementation of people's credit bank and Sharia retail financing bank products.

(3) Islamic Banking Investment Products as referred to in paragraph (1) are linked Investment products.

(4) Banks are required to record Islamic Banking Investment Products as referred to in paragraph (1) in the Bank's financial position reports.

Article 3

(1) Islamic Banking Investment Products as referred to in Article 2 must have basic features at least covering:
a. 2 (two) stages of contract execution, namely:
1. the Investment fund placement contract between the Bank and the Investor Customer; and
2. the fund channeling contract to the Supporting Asset between the Bank and customers or other parties regarding the Supporting Asset;
b. types of Investment fund placement contracts include Mudarabah Contracts or other contracts that do not contradict the Sharia Principle;
c. Supporting Assets can consist of financing and/or Sharia securities owned by the Bank;
d. types of fund channeling contracts to Supporting Assets include all types of contracts suitable with the Sharia Principle; e. profit sharing on profits/losses from Supporting Assets or other returns according to the contract used as the basis for the return of Investments received by Investor Customers; f. the placement period of Investment funds is the same as the channeling period of funds to Supporting Assets; g. the nominal amount of gathered Investment funds is the same as the nominal amount of Supporting Assets channeled; h. the purpose of placing Investment funds is to hold until maturity and not to be traded;
i. losses due to the risk of channeling funds to Supporting Assets are borne by Investor Customers;
j. the management of Investment funds is done separately from liabilities; k. Investments are not guaranteed by the Deposit Insurance Agency; and
l. the results of the settlement of Supporting Assets can only be used to return Investment funds to Investor Customers.

(2) In addition to the basic features as referred to in paragraph (1), Islamic Banking Investment Products may have additional features in the form of:
a. withdrawal of Investment funds by Investor Customers before maturity (early redemption) for Supporting Assets consisting of financing, provided that:
1. another Investor Customer serving as a replacement meeting the requirements as an Investor Customer at the Bank is available; and
2. the replacement of the said Investment funds does not use Bank funds;
b. withdrawal of Investment funds by Investor Customers before maturity (early redemption) for Supporting Assets consisting of Sharia securities, provided that:
1. according to the Bank's assessment, there is potential depreciation of the Sharia securities and approved by the Investor Customer; and/or
2. the replacement of the said Investment funds can use Bank funds, provided that market price is used;
c. the placement period of Investment funds may differ from the contractual period of the Supporting Asset, provided that the remaining period of the Supporting Asset is equal to the placement period of Investment funds; and
d. in the event of accelerated repayment of Supporting Assets, then:
1. the Islamic Banking Investment Product will end if there is full repayment; or
2. the Islamic Banking Investment Product decreases proportionally if there is partial repayment.

(3) In the event that the Bank has additional features that do not comply with the provisions as referred to in paragraph (2), the Financial Services Authority orders the Bank to cease the Islamic Banking Investment Product.

(4) Banks may have features different from the basic features as referred to in paragraph (1) and additional features as referred to in paragraph (2), in the event that such features are required by statutory regulations.

Article 4

(1) Banks violating provisions as referred to in Article 2 paragraph (4) and/or Article 3 paragraph (1) shall be subject to administrative sanctions in the form of written reprimands.

(2) In the event that the Bank has been subjected to administrative sanctions as referred to in paragraph (1), and continues to violate provisions as referred to in Article 2 paragraph (4) and/or Article 3 paragraph (1), the Bank shall be subject to administrative sanctions in the form of:
a. prohibition to issue new Bank products; b. suspension of certain Bank business activities;
c. prohibition to expand business activities;
d. prohibition to conduct new business activities; and/or e. reduction of the governance factor assessment in the Bank's health level assessment.

(3) In the event that the Bank has been subjected to administrative sanctions as referred to in paragraph (1) and/or paragraph (2), the principal party of the Bank may be subject to administrative sanctions in the form of prohibition as a principal party in accordance with the Financial Services Authority Regulation concerning reassessment for principal parties of financial service institutions.

(4) In addition to administrative sanctions as referred to in paragraph (1), paragraph (2), and/or paragraph (3), BUS and UUS may be subject to administrative sanctions in the form of fines of at least IDR 2,000,000,000.00 (two billion rupiah) and at most IDR 50,000,000,000.00 (fifty billion rupiah) for each violation committed.

(5) In addition to administrative sanctions as referred to in paragraph (1), paragraph (2), and/or paragraph (3), BPR Syariah may be subject to administrative sanctions in the form of fines of at least IDR 10,000,000.00 (ten million rupiah) and at most IDR 100,000,000.00 (one hundred million rupiah) for each violation committed.

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CHAPTER III

IMPLEMENTATION OF ISLAMIC BANKING INVESTMENT PRODUCTS

First Section

Principles of Implementation of Islamic Banking Investment Products

Article 5

(1) Banks are required to apply governance and risk management in the implementation of Islamic Banking Investment Products, which is an inseparable part of the application of general governance and risk management.

(2) The application of governance as referred to in paragraph (1) is carried out in accordance with Financial Services Authority regulations concerning Bank governance.

(3) The application of risk management as referred to in paragraph (1) is carried out in accordance with Financial Services Authority regulations concerning the application of Bank risk management.

(4) Banks are required to manage Supporting Assets based on prudence principles and Sharia Principles for the benefit of Investor Customers in order to fulfill fiduciary duties.

(5) Provisions concerning the application of governance and risk management in the implementation of Islamic Banking Investment Products as referred to in paragraph (1) are established by the Financial Services Authority.

Article 6

(1) Banks implementing Islamic Banking Investment Products are required to have policies and procedures for the implementation of Islamic Banking Investment Products in accordance with the Financial Services Authority Regulation concerning the implementation of general bank products and the Financial Services Authority Regulation concerning the implementation of people's credit bank and Sharia retail financing bank products.

(2) In addition to the policies and procedures for the implementation of Islamic Banking Investment Products as referred to in paragraph (1), Banks are required to have policies and procedures regarding:
a. suitability assessment mechanisms between the needs and capabilities of Investor Customers and Islamic Banking Investment Products, at least by conducting profiling that ensures the Investor Customer profile matches the investment objectives, risk tolerance, financial profile, and investment experience; b. disclosure standards for Islamic Banking Investment Products;
c. mechanisms for determining Supporting Assets to be offered to Investor Customers; and
d. the implementation of active and periodic engagement with Investor Customers.

(3) Provisions concerning policies and procedures for the implementation of Islamic Banking Investment Products as referred to in paragraph (2) are established by the Financial Services Authority.

Article 7

(1) Banks implementing Islamic Banking Investment Products are required to ensure the separation of management and recording of:
a. Investment funds from third-party deposit funds; and b. Supporting Assets from other productive assets managed by the Bank.

(2) Separation as referred to in paragraph (1), including the separation of rate of return calculations for deposits from Investment funds upon distribution of profit sharing from Supporting Assets with other productive assets.

(3) Banks implementing Islamic Banking Investment Products are required to have adequate internal control systems to ensure separation as referred to in paragraph (1), including reliable information systems for the preparation of financial information for Islamic Banking Investment Products.

Second Section

Application of Prudence Principles for Banks Implementing Islamic Banking Investment Products

Article 8

(1) The calculation of risk-weighted assets for banks implementing Islamic Banking Investment Products is carried out in accordance with Financial Services Authority regulations concerning risk-weighted assets for Banks.

(2) For UUS implementing Islamic Banking Investment Products that have included a spin-off plan or change of business activities to become BUS in the bank's business plan and/or corporate plan, the calculation of risk-weighted assets is carried out in accordance with Financial Services Authority regulations concerning risk-weighted assets for BUS.

(3) The calculation of the maximum limit for channeling funds of banks implementing Islamic Banking Investment Products is carried out in accordance with Financial Services Authority regulations concerning the maximum limit for channeling Bank funds.

(4) The calculation of the quality of Supporting Assets for Islamic Banking Investment Products is carried out in accordance with Financial Services Authority regulations concerning Bank asset quality.

(5) Banks implementing Islamic Banking Investment Products record value impairment reserves according to the type of Supporting Asset contract based on applicable accounting standards.

(6) Investment funds and Supporting Assets are not included in the components for calculating the Financing to Deposit Ratio (FDR) of banks implementing Islamic Banking Investment Products.

Third Section

Application of Prudence Principles for Financial Service Institutions as Investor Customers of Islamic Banking Investment Products

Article 9

(1) The calculation of risk weights for Supporting Assets for Investor Customers that are financial service institutions is carried out in accordance with Financial Services Authority regulations concerning risk weight calculations for each respective financial service institution.

(2) The calculation of the maximum Investment limit for Investor Customers that are financial service institutions uses the look-through approach method calculated proportionally based on the proportion of Supporting Assets of Islamic Banking Investment Products.

(3) The calculation of asset quality for Islamic Banking Investment Products for Investor Customers that are financial service institutions uses the Realization of Investment Return/Projected Investment Return (RPI/PPI) ratio, contained in the appendix which is an integral part of this Financial Services Authority Regulation.

(4) Value impairment reserves for Islamic Banking Investment Products become expenses for Investor Customers that are financial service institutions.

Fourth Section

Application of Consumer Protection in the Implementation of Islamic Banking Investment Products

Article 10

(1) Banks implementing Islamic Banking Investment Products are required to apply consumer and community protection principles in accordance with the Financial Services Authority Regulation concerning consumer and community protection in the financial services sector.

(2) Banks are required to ensure the suitability of Investor Customers with the Islamic Banking Investment Products offered by the Bank.

(3) Banks are required to convey information about Islamic Banking Investment Products to Investor Customers transparently.

(4) Provisions concerning the assessment of suitability of Investor Customers with Islamic Banking Investment Products as referred to in paragraph (2) and the conveyance of information about Islamic Banking Investment Products to Investor Customers as referred to in paragraph (3) are established by the Financial Services Authority.

Fifth Section

Administrative Sanctions

Article 11

(1) Banks violating provisions as referred to in Article 5 paragraph (1), paragraph (4), Article 6 paragraph (2), Article 7 paragraph (1), and/or paragraph (3), shall be subject to administrative sanctions in the form of written reprimands.

(2) In the event that the Bank has been subjected to administrative sanctions as referred to in paragraph (1), and continues to violate provisions as referred to in Article 5 paragraph (1), paragraph (4), Article 6 paragraph (2), Article 7 paragraph (1), and/or paragraph (3), the Bank shall be subject to administrative sanctions in the form of:
a. prohibition to issue new Bank products; b. suspension of certain Bank business activities;
c. prohibition to expand business activities;
d. prohibition to conduct new business activities; and/or e. reduction of the governance factor assessment in the Bank's health level assessment.

(3) In the event that the Bank has been subjected to administrative sanctions as referred to in paragraph (1) and/or paragraph (2), the principal party of the Bank may be subject to administrative sanctions in the form of prohibition as a principal party in accordance with the Financial Services Authority Regulation concerning reassessment for principal parties of financial service institutions.

(4) In addition to administrative sanctions as referred to in paragraph (1), paragraph (2), and/or paragraph (3), BUS and UUS may be subject to administrative sanctions in the form of fines of at least IDR 2,000,000,000.00 (two billion rupiah) and at most IDR 50,000,000,000.00 (fifty billion rupiah) for each violation committed.

(5) In addition to administrative sanctions as referred to in paragraph (1), paragraph (2), and/or paragraph (3), BPR Syariah may be subject to administrative sanctions in the form of fines of at least IDR 10,000,000.00 (ten million rupiah) and at most IDR 100,000,000.00 (one hundred million rupiah) for each violation committed.

(6) Banks violating provisions as referred to in Article 6 paragraph (1) shall be subject to administrative sanctions in accordance with the Financial Services Authority Regulation concerning the implementation of general bank products and the Financial Services Authority Regulation concerning the implementation of people's credit bank and Sharia retail financing bank products.

(7) Banks violating provisions as referred to in Article 10 paragraph (1), paragraph (2), and/or paragraph (3) shall be subject to administrative sanctions in accordance with the Financial Services Authority Regulation concerning consumer and community protection in the financial services sector.

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CHAPTER IV

TRANSITIONAL PROVISIONS

Article 12

At the time this Financial Services Authority Regulation takes effect:
a. Banks that already have Islamic banking investment products before the effectiveness of this Financial Services Authority Regulation must adjust these products in accordance with the provisions in this Financial Services Authority Regulation no later than 2 (two) years from the effectiveness of this Financial Services Authority Regulation and/or until the expiration of the contract period; and b. applications for permits for the implementation of Islamic banking investment products submitted before the effectiveness of this Financial Services Authority Regulation shall be processed in accordance with the provisions in this Financial Services Authority Regulation.

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CHAPTER V

CLOSING PROVISIONS

Article 13

This Financial Services Authority Regulation takes effect on the date of its promulgation.

To ensure that everyone knows it, it is ordered to promulgate this Financial Services Authority Regulation by placing it in the State Gazette of the Republic of Indonesia.

Determined in Jakarta on April 1, 2026

THE CHAIRMAN OF THE COMMISSIONERS' COUNCIL
FINANCIAL SERVICES AUTHORITY
REPUBLIC OF INDONESIA,

FRIDERICA WIDYASARI DEWI

Promulgated in Jakarta on [Date]

THE MINISTER OF LAW OF THE REPUBLIC OF INDONESIA,

SUPRATMAN ANDI AGTAS

STATE GAZETTE OF THE REPUBLIC OF INDONESIA YEAR 2026 NUMBER [Number]

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EXPLANATION

OF
FINANCIAL SERVICES AUTHORITY REGULATION
REPUBLIC OF INDONESIA
NUMBER 4 OF 2026
CONCERNING
THE IMPLEMENTATION OF ISLAMIC BANKING INVESTMENT PRODUCTS

I. GENERAL

Business activities in Islamic banking prioritize equality and partnership manifested through profit-sharing and risk principles proportionally. Through business activities based on justice, balance, and transparency, it is hoped that Islamic banking can promote sustainable economic development while achieving national economic equity. The aforementioned basic principles align with the economic democracy in Indonesia.

To support the achievement of Islamic banking goals, Law Number 21 of 2008 concerning Islamic Banking has regulated deposit products and investment products based on profit-sharing principles. However, the aforementioned law did not clearly separate these two products, so their implementation tended to be similar and did not fully reflect profit-sharing and risk principles.

In its development, Law Number 21 of 2008 concerning Islamic Banking was improved through Law Number 4 of 2023 concerning the Development and Strengthening of the Financial Sector, wherein there is a separation between deposit products and Investment products in Islamic banking. Investment is funds entrusted by Investor Customers to Sharia banks based on a Mudarabah Contract or other contracts that do not contradict the Sharia Principle, the risks of which are borne by the Investor Customer, so the scope of Investment differs from deposit products.

In order to implement the policy direction for the development and strengthening of Islamic banking, Investment products in Islamic banking need to apply basic Investment principles while still reflecting the characteristics of Islamic banking so as to add value and competitiveness to increase the contribution of Islamic banking to the national economy.

Generally, this Financial Services Authority Regulation contains main materials including product classification, main characteristics (basic features and additional features), product implementation principles (minimum standards for applying governance and risk management, policies and procedures, separation of management and recording, application of prudence principles, and application of consumer protection).

consumers), as well as guidelines for determining the quality of Underlying Assets for financial service institutions as Investor Customers.

In light of this, to realize Investment products in Sharia banking that are in accordance with the mandate of the laws but remain in line with the policy direction for the development and strengthening of Sharia banking to realize the implementation of trusted, responsible, sustainable, contributive, and inclusive Investment products, regulations regarding the implementation of Sharia Banking Investment Products are needed.

II. ARTICLE BY ARTICLE

Article 1
It is clear enough.

Article 2
Paragraph (1)
What is meant by "advanced Bank products" is advanced Bank products in accordance with the Financial Services Authority Regulation regarding the implementation of commercial bank products and the Financial Services Authority Regulation regarding the implementation of rural credit bank products and Sharia people's financing banks.

Paragraph (2)
It is clear enough.

Paragraph (3)
What is meant by "linked Investment products" is a type of Investment product where Investment restrictions:
a. have been determined in advance; or b. as agreed, between the Investor Customer and the Bank at the time the contract is made.

Examples of Investment restrictions include restrictions on business types and/or time periods.

Paragraph (4)
The Bank records Sharia Banking Investment Products as follows:
a. Investments from Investor Customers are recorded as "Investment funds" items, presented separately from "liabilities" items and "equity" items; and b. Underlying Assets are recorded in items based on the type of asset item for their disbursement, in accordance with Financial Accounting Standards (SAK) and/or Indonesian Sharia Banking Accounting Guidelines (PAPSI).

Article 3
Paragraph (1)
Basic features are the main characteristics of Sharia Banking Investment Products.
Letter a
Underlying Assets are also called underlying assets.

Example 1:
Investor Customer "Y" places Investment funds in Bank "X", which are then disbursed to financing "Z".
There are 2 (two) contracts, namely the contract for placing Investment funds from Investor Customer "Y" to Bank "X" and the contract

disbursement of financing from Bank "X" to customer "Z".

Example 2:
Investor Customer "Y" places Investment funds in Bank "X", which are then disbursed to Sharia securities "W". There are 2 (two) contracts, namely the contract for placing Investment funds from Investor Customer "Y" to Bank "X" and the contract for purchasing Sharia securities "W" between Bank "X" and the issuer of Sharia securities "W".

Letter b
It is clear enough.

Letter c
What is meant by "owned by the Bank" is productive assets that have been owned or will be owned by the Bank in accordance with risk acceptance criteria.

Letter d
Examples of types of fund disbursement contracts in accordance with Sharia Principles, including:

1. sales transactions using murabahah, istishna, or salam contracts;
2. profit-sharing transactions using Mudarabah and musyarakah contracts; and
3. lease transactions using ijarah contracts.

Letter e
It is clear enough.

Letter f
"Time period" is the period from the "start date" and "maturity date" of a contract.

Letter g
The nominal amount of Investment funds collected can come from 1 (one) or more Investor Customers.
The nominal amount of Underlying Assets can consist of 1 (one) or more productive Bank assets.

Example:
Productive assets consisting of 2 (two) financing projects valued at Rp70,000,000.00 (seventy million rupiah) and Rp30,000,000.00 (thirty million rupiah) are financed with Investment funds from investor A valued at Rp80,000,000.00 (eighty million rupiah) and Investment funds from investor B valued at Rp20,000,000.00 (twenty million rupiah). The nominal amount of Investment funds is valued at Rp100,000,000.00 (one hundred million rupiah) and the nominal amount of Underlying Assets is valued at Rp100,000,000.00 (one hundred million rupiah).

Letter h
The placement of Investment funds is intended to be held until maturity (held to maturity) in accordance with the contract between the Bank and the Investor Customer.

Letter i
Losses from the risk of fund disbursement on Underlying Assets are borne by the Investor Customer as long as there is no error, negligence, and acts that contravene the provisions of legislation in the financial services sector and/or the contract conducted by the Bank, in accordance with the Financial Services Authority Regulation regarding consumer and community protection in the financial services sector.

Letter j
The management of Investment funds is separated from the pool of liabilities (pool of fund) originating from third-party fund savings products and/or other liabilities.

Letter k
It is clear enough.

Letter l
It is clear enough.

Paragraph (2)
Letter a
It is clear enough.

Letter b
It is clear enough.

Letter c
Example:
Investor Customer "ABC" plans to place Investment funds in Bank "XYZ" on February 1, 2026 for a period of 1 (one) year. Bank "XYZ" has already owned productive asset "PQR" of high quality which has a maturity period of 3 (three) years but will mature on February 1, 2027. Bank "XYZ" can offer Sharia Banking Investment Products with Underlying Assets in the form of "PQR" mentioned to Investor Customer "ABC" because the remaining time period of the Underlying Asset is the same as the time period for placing Investment funds, namely 1 (one) year which will mature on February 1, 2027.

Letter d
Example 1:
Investor Customer "ABC" has placed Investment funds in Bank "XYZ" valued at Rp100,000,000.00 (one hundred million rupiah) on February 1, 2026 for a period of 1 (one) year, with Underlying Assets consisting of financing "PQR" which will mature on February 1, 2027. However, on June 1, 2026 financing "PQR" was fully settled by the financing customer with a debit balance position of financing valued at Rp85,000,000 (eighty-five million rupiah), then the Sharia Banking Investment Product between Bank "XYZ" and Investor Customer "ABC" becomes terminated.

Example 2:
Investor Customer "ABC" has placed Investment funds in Bank "XYZ" valued at Rp100,000,000.00 (one hundred million rupiah) on February 1, 2026 for a period of 1 (one) year, with Underlying Assets consisting of financing "PQR" which will mature on February 1
2027. However, on August 1, 2026
financing "PQR" was partially settled by 50% by the financing customer with a debit balance position of financing valued at Rp60,000,000.00 (sixty million rupiah), so there is a partial settlement valued at Rp30,000,000.00 (thirty million rupiah), then the balance of Investment funds for the Sharia Banking Investment Product between Bank "XYZ" and Investor Customer "ABC"

becomes valued at Rp30,000,000.00 (thirty million rupiah).
Thus, there is a return of Investment funds to Investor Customer valued at the partial settlement mentioned.

Paragraph (3)
The termination of Sharia Banking Investment Products is carried out in accordance with the product termination mechanism of banks in accordance with the Financial Services Authority Regulation regarding the implementation of commercial bank products and the Financial Services Authority Regulation regarding the implementation of rural credit bank products and Sharia people's financing banks.

Paragraph (4)
It is clear enough.

Article 4
It is clear enough.

Article 5
Paragraph (1)
What is meant by "governance" includes Sharia governance.
The application of risk management at the Bank includes ensuring the suitability of the Bank's human resources (HR) competence and internal controls.

Paragraph (2)
What is meant by "Financial Services Authority regulations regarding Bank governance" are:

1. Financial Services Authority Regulation regarding the application of governance for commercial banks;
2. Financial Services Authority Regulation regarding the application of governance for rural economy banks and Sharia Rural Banks (BPR Syariah);
3. Financial Services Authority Regulation regarding the application of Sharia governance for BUS and UUS; and
4. Financial Services Authority Regulation regarding the application of Sharia governance for Sharia Rural Banks (BPR Syariah),
   along with its implementing regulations.

Paragraph (3)
What is meant by "Financial Services Authority regulations regarding the application of Bank risk management" are:

1. Financial Services Authority Regulation regarding the application of risk management for BUS and UUS; and
2. Financial Services Authority Regulation regarding the application of risk management for Sharia people's financing banks,
   along with its implementing regulations.

Paragraph (4)
Fulfillment of fiduciary duties includes acting professionally, acting in good faith, being fully responsible, and transparent, as well as avoiding conflicts of interest in accordance with the provisions of legislation and the fulfillment of Sharia Principles.

Paragraph (5)
It is clear enough.

Article 6
Paragraph (1)
It is clear enough.

Paragraph (2)
Letter a
It is clear enough.

Letter b
It is clear enough.

Letter c
In determining the Underlying Assets to be offered to Investor Customers, the Bank ensures the suitability of the complexity of the Underlying Assets and its risks with the profile of the Investor Customer through a suitability assessment mechanism as referred to in letter a.

Letter d
The engagement management mentioned includes, among others, written communication, via electronic mail, and/or direct communication with Investor Customers both offline and online.

Paragraph (3)
It is clear enough.

Article 7
It is clear enough.

Article 8
Paragraph (1)
What is meant by "Financial Services Authority regulations regarding risk-weighted assets of Banks" are:

1. for BUS:
   a. Financial Services Authority Regulation regarding minimum capital adequacy requirements for BUS; and b. Financial Services Authority Circular Letter regarding the calculation of risk-weighted assets for credit risk using the standard approach for BUS;
2. for Sharia Rural Banks (BPR Syariah):
   a. Financial Services Authority Regulation regarding minimum capital adequacy requirements and minimum core capital fulfillment for Sharia people's financing banks; and b. Financial Services Authority Circular Letter regarding minimum capital adequacy requirements and minimum core capital fulfillment for Sharia people's financing banks; and
3. for UUS:
   a. Financial Services Authority Regulation regarding minimum capital adequacy requirements for commercial banks; and b. Financial Services Authority Circular Letter regarding the calculation of risk-weighted assets for credit risk using the standard approach for commercial banks.

Paragraph (2)
What is meant by "Financial Services Authority regulations regarding risk-weighted assets of BUS" are:

1. Financial Services Authority Regulation regarding minimum capital adequacy requirements for BUS; and
2. Financial Services Authority Circular Letter regarding the calculation of risk-weighted assets for credit risk using the standard approach for BUS.

Paragraph (3)
What is meant by "Financial Services Authority regulations regarding maximum limits for Bank fund disbursement" are:

1. for BUS, namely the Financial Services Authority Regulation regarding maximum limits for fund disbursement and large fund disbursement for BUS;
2. for Sharia Rural Banks (BPR Syariah):
   a. Financial Services Authority Regulation regarding maximum limits for credit grants for rural credit banks and maximum limits for fund disbursement for Sharia people's financing banks; and b. Financial Services Authority Circular Letter regarding maximum limits for credit grants for rural economy banks and maximum limits for fund disbursement for Sharia Rural Banks (BPR Syariah); and
3. for UUS:
   a. Financial Services Authority Regulation regarding maximum limits for credit grants and large fund provision for commercial banks; and b. Financial Services Authority Regulation regarding maximum limits for fund disbursement and large fund disbursement for BUS.

Paragraph (4)
What is meant by "Financial Services Authority regulations regarding Bank asset quality" are:

1. for BUS and UUS, namely the Financial Services Authority Regulation regarding asset quality for BUS and UUS; and
2. for Sharia Rural Banks (BPR Syariah), namely the Financial Services Authority Regulation regarding asset quality for Sharia Rural Banks (BPR Syariah).

Paragraph (5)
It is clear enough.

Paragraph (6)
It is clear enough.

Article 9
Paragraph (1)
What is meant by "financial service institution" is a financial service institution in accordance with the Law regarding the Financial Services Authority.

Example of calculating risk-weighted assets at a financial service institution that is a BUK:
BUK "Y" is an Investor Customer of an Investment product at BUS "X". The Underlying Assets of that Investment product are financing "J" and Sharia securities "K". Thus, BUK "Y" calculates the risk weight for BUK "Y" based on the Financial Services Authority regulations regarding risk-weighted assets for credit risk with using the standard approach for commercial banks, for the Investment product of BUS "X" based on risk-weighted financing "J" and Sharia securities "K".

Paragraph (2)
What is meant by the look-through approach method is an approach where a financial service institution determines the risk of a financial instrument/investment that has underlying assets, as if the Underlying Assets were directly owned by the financial service institution.

Example:

1. Investor Customer of a BUK "ABC" has placed Investment funds in BUS "XYZ" with Underlying Assets "PQR". The calculation of the maximum investment limit for BUK "ABC" is the calculation of the maximum credit grant limit for BUK, namely based on the Underlying Assets "PQR".
2. Investor Customer of an insurance company "DEF" has placed Investment funds in UUS "XYZ" with Underlying Assets "KLM". The calculation of the maximum investment limit for the insurance company "DEF" is based on the Underlying Assets "KLM".
3. Investor Customer of a financing company "ASP" has placed Investment funds in Sharia Rural Bank "GLH" with Underlying Assets "SLM". The calculation of the maximum investment limit for the financing company "ASP" is the calculation of the maximum financing disbursement limit for the financing company "ASP", namely based on the Underlying Assets "SLM".

Paragraph (3)
What is meant by "Investment Return Projection" is the estimated income that will be received by the Investor Customer from the performance of the Underlying Assets in the Sharia Banking Investment Product. What is meant by "Investment Return Realization" is the income received by the Investor Customer from the performance of the Underlying Assets in the Sharia Banking Investment Product.

Paragraph (4)
Provisions for impairment of Sharia Banking Investment Products for Investor Customers will reduce the value of the Investment.

Article 10
It is clear enough.

Article 11
It is clear enough.

Article 12
It is clear enough.

Article 13
It is clear enough.

SUPPLEMENT TO THE STATE GAZETTE OF THE REPUBLIC OF INDONESIA NUMBER ⸙

APPENDIX
FINANCIAL SERVICES AUTHORITY REGULATION OF THE REPUBLIC OF INDONESIA NUMBER 4 OF 2026 REGARDING THE IMPLEMENTATION OF SHARIA BANKING INVESTMENT PRODUCTS

FORMAT FOR DETERMINING THE QUALITY OF UNDERLYING ASSETS FOR INVESTOR CUSTOMERS

Month PPI
(full unit)
RPI
(full unit)
RPI/PPI
(%) Asset Quality
1 … … … …
2 … … … …
3 … … … …
4 … … … …
… … … … … n … … … …

EXAMPLE OF DETERMINING THE QUALITY OF UNDERLYING ASSETS FOR INVESTOR CUSTOMERS

Month PPI RPI RPI/PPI Asset Quality
1 Rp150,000,000 Rp150,000,000 100% Smooth
2 Rp150,000,000 Rp100,000,000 83% Smooth
3 Rp100,000,000 Rp100,000,000 88% Smooth
4 Rp200,000,000 Rp120,000,000 78% Special Attention 5 Rp250,000,000 Rp220,000,000 81% Smooth

ASSET QUALITY CRITERIA

Asset Quality Criteria

• RPI ≥ 80% of PPI Smooth
• 50% < RPI/PPI < 80% Special Attention
• 50% < RPI/PPI < 80% for a period of
  more than 1 (one) period up to 6
  (six) accumulated payment periods; or
• RPI ≤ 50% of PPI up to 3 (three) periods
  accumulated payment periods.
  Less Smooth
• 50% < RPI/PPI < 80% for a period of
  more than 6 (six) periods up to 9
  (nine) accumulated payment periods; or
• RPI ≤ 50% of PPI for a period of more than
  3 (three) periods up to 6 (six) accumulated payment periods.
  Doubtful
• 50% < RPI/PPI < 80% for a period of
  more than 9 (nine) accumulated payment periods; or
• RPI ≤ 50% of PPI for a period of more than
  6 (six) accumulated payment periods.
  Bad

The Asset Quality Approach is recorded at the Bank as an Investor Customer with the Realization of Investment Return/Projection of Investment Return (RPI/PPI) method.
The calculation of RPI achievement against PPI is carried out based on accumulation during the Investment period that has run. Accumulation during the Investment period that has run is the sum of RPI or PPI from the beginning of Investment until the position of the assessment month.

Filling Instructions
This format is used to assess asset quality for Investment funds from Investor Customers based on the realization of returns against the projected returns promised. Supervision is carried out periodically by the Sharia Supervisory Board (DPS) in accordance with the Financial Services Authority regulations regarding the application of Sharia governance for BUS and UUS and the Financial Services Authority regulations regarding the application of Sharia governance for Sharia Rural Banks (BPR Syariah).

CHAIRMAN OF THE BOARD OF COMMISSIONERS
FINANCIAL SERVICES AUTHORITY
REPUBLIC OF INDONESIA, signature,
FRIDERICA WIDYASARI DEWI