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Indonesia’s Financial Services Aggregation under POJK 4/2025: Regulatory Requirements and Implications

2025.08.07

Introduction 
 
Responding to the proliferation of financial products and the increasing digitalization of financial markets, Indonesia's financial regulatory authority, Otoritas Jasa Keuangan (OJK), recently enacted Financial Services Regulation No. 4 of 2025 (hereinafter as "POJK 4/2025").  Effective immediately, the regulation establishes comprehensive guidelines and mandatory compliance requirements for Financial Services Aggregation Providers (PAJK), significantly impacting entities engaged in the aggregation of financial services through electronic systems.  This regulation aims to offer greater certainty for both domestic and foregin investors operating in Indonesia.  
 
 
1. Definition and Scope of Financial Services Aggregation 
 
POJK 4/2025 provides a clear statutory definition of financial services aggregation.  Under Article 1(4), “aggregation” is a “business activity that involves the collection, filtering, and/or comparison of information on financial products and/or services between financial services institutions and/or other parties engaged in the financial services sector.”  Furthermore, Article 1(5) defines a PAJK as a provider of financial sector technology innovation that conducts aggregation business activities through electronic systems using the internet.  The scope of Financial Aggregators are as follows: 
  
<ul>
	<li>Displaying financial product information and consumer options;1)</li>
	<li>Forwarding prospective consumer information to financial services institutions and/or other parties engaged in the financial services sector;2)</li>
	<li>Distributing financial products and/or services to consumers;3)</li>
	<li>Administrating documents related to financial products and/or services for the benefit of consumers and financial services institutions or other parties engaged in the financial services sector;4) and/or</li>
	<li>Performing other business activities after obtaining business license from OJK.5)</li>
</ul>

The products and services offered through PAJK come from licensed financial institutions and include activities such as collecting funds, distributing funds, and other financial products approved by the OJK.6)  
 
In essence, this means that financial services aggregation, as regulated by POJK 4/2025, formalizes and standardizes how technology-based providers collect and present financial product information from licensed institutions to consumers in Indonesia.  For foreign investors, this enhances market transparency, ensures consumer protection, and introduces clearer regulatory oversight. 
 
 
2. Institutional and Regulatory Requirements 
 
A. Capital Requirements 
 
Under POJK 4/2025, a PAJK must operate as a limited liability company with a minimum paid-up capital of IDR 500 million.7)  Sources of this capital must strictly avoid illicit activities, such as money laundering, terrorism financing, financing of the proliferation of weapons of mass destruction, loans, and other activities that are in violation of the prevailing laws and regulations.8)  Notably, foreign capital investment companies (hereinafter as “PT PMAs”)9)  must adhere to separate regulatory standards under the Minister of Investment/Capital Investment Coordinating Board Regulation No. 4 of 2021, requiring a minimum issued capital of IDR 10 billion. 
 
B. Ownership Structures 
 
Ownership of PAJK entities is open to Indonesian nationals, Indonesian legal entities, foreign nationals, and foreign corporations.  However, foreign entities' equity participation is capped at 85% of total paid-up capital,10) except for publicly traded PAJK entities listed on the stock exchange.11) 
 
C. Corporate Governance and Management 
 
Corporate governance provisions stipulate a minimum board composition of two directors and one commissioner.12)  In addition, at least one director must possess knowledge and/or experience in the aggregation sectors, IT sectors, or relevant financial sectors, supplemented by a minimum of three years of relevant professional experience.13) 
 
 
3. Licensing and Regulatory Compliance 
 
Licensing applications for PAJK operations must be submitted via OJK's online system, complete with necessary corporate documentation, such as the registration form, deed of establishment, shareholders information, and business process.  The business license will be granted no later than 20 business days after all the required documents have been completely received by OJK.14)  Additionally, PAJK that has obtained business license from OJK must be registered as electronic system provider and the application for such registration is made to the Ministry of Communication and Digital (MOCD) no later than 30 calendar days from the issuance of business license from OJK.15)  Articles in PAJK 4/2025 further require any party having significance influence over PAJK go through the fit and proper test as well.16) 
 
 
4. Operational Framework for Aggregation Activities
The electronic system used for aggregation must be a website and/or an app that consumers can easily access.  It should include, at a minimum, the following features and information:17) 
 
<ul>
	<li>Information on the profile of PAJK;</li>
	<li>Products and/or financial services being aggregated and/or compared;</li>
	<li>Information relating to the products and/or services by PAJK;</li>
	<li>Privacy policy;</li>
	<li>Information that PAJK is supervised by the OJK;</li>
	<li>Consumer information service; and </li>
	<li>Statement that the products and/or financial services being offered are not products and/or financial services by PAJK and that PAJK is not responsible for the risk associated with such products and/or financial services.</li>
</ul>
 
Additionally, the comparison between the products and/or financial services must at least cover:18)  
 
<ul>
	<li>Name and type of product and/or services;</li>
	<li>Name of the issuers;</li>
	<li>Main feature;</li>
	<li>Risk;</li>
	<li>Procedures and requirements;</li>
	<li>Fee; and </li>
	<li>Simulations/illustrations and/or historical/actual performance data for products and/or services involving fund collection, fund distribution, and/or fund management activities.</li>
</ul>
 
The comparison of financial services products and/or services shall be conducted on the same type of financial services products and/or services and must be comparable in an accurate, honest, clear, objective, and transparent manner.19) 
 
 
5. Cooperation with the Financial Services Institutions 
 
PAJK must cooperate with the financial services institutions to carry out aggregation and ensure that:20) 
 
<ul>
	<li>the products being aggregated abide by OJK regulations;</li>
	<li>the financial services institution has a statement letter that the product and/or services can be marketed digitally; and</li>
	<li>the financial services institutions are not being sanctioned by OJK. </li>
</ul>
 
Furthermore, the cooperation between PAJK and the financial services institutions must be made under a cooperation agreement which shall contain:21) 
 
<ul>
	<li>Period of the agreement;</li>
	<li>Duty and responsibility of each of the parties;</li>
	<li>Detailed commission;</li>
	<li>Mechanism for the change of product information;</li>
	<li>Mechanism for the distribution of data from and/or to the financial services institutions;</li>
	<li>Mechanism for internal and external complaint handling;</li>
	<li>Mechanism for the use, exchange, and protection of personal data, if any; and</li>
	<li>Statement that the financial services institutions are responsible for the entire process related to the financial services products owned by the financial services institutions.</li>
</ul>
 
 
6. Obligations and Restrictions of PAJK 
 
In carrying out its business activities, PAJK must:22) 
 
<ul>
	<li>be responsible for all actions related to the aggregation in accordance with the cooperation agreement with the financial services institution;</li>
	<li>disclose to consumers that the PAJK only performs aggregation and is not responsible for the financial services products and/or services provided by the financial services institutions;</li>
	<li>provide access to the OJK to supervise the aggregation activities conducted by the PAJK;</li>
	<li>ensure the reliability and security of the electronic system used by the PAJK in accordance with the prevailing laws and regulations; and</li>
	<li>cooperate with more than one LJK and/or parties conducting activities in the same financial services sector. </li>
</ul>
 
and PAJK is prohibited from:23) 
 
<ul>
	<li>any activities related to funds collection, funds distribution, funds saving, and/or the management of funds of the consumers;</li>
	<li>providing aggregation services without the cooperation from the financial services institutions and/or parties conducting activities in the financial services sector;</li>
	<li>providing false explanations and exaggerated statements regarding financial services products offered by the financial services institutions;</li>
	<li>guaranteeing or promising investment returns and/or specific benefits from financial services products;</li>
	<li>accepting a power of attorney to conduct transactions on behalf of consumers; and</li>
	<li>disclosing and/or misuse consumers' personal data and/or other data unlawfully.</li>
</ul>
 
 
 7. Approval from OJK for Certain Corporate Actions 
 
PAJK is required to obtain approval from the OJK if:24) 
 
<ul>
	<li>there are changes in ownership that result in a change of control;</li>
	<li>PAJK carries out a merger and consolidation; or</li>
	<li>PAJK is acquired by another PAJK.</li>
</ul>
 
The application for obtaining the approval shall be submitted in writing by PAJK to the OJK, together with data on the proposed changes in ownership resulting in a change of control, merger, consolidation, or acquisition.25) 
 
 
8. Reporting 
 
PAJK must submit periodic report and incidental report to OJK as detailed below:26) 
 
<table cellpadding="8px" style="width:100%; text-align:center; border:1px solid #bbb; border-collapse:collapse;" width="100%">
	<tbody>
		<tr>
			<td colspan="3" rowspan="1" style="border: 1px solid rgb(187, 187, 187); background-color: rgb(242, 242, 242);border-top: 2px solid #cc0000; ;padding-right: 12px; padding-left: 12px;" valign="middle" width="75%">Types of Report</td>
			<td style="border: 1px solid rgb(187, 187, 187); background-color: rgb(242, 242, 242);border-top: 2px solid #cc0000; ;padding-right: 12px; padding-left: 12px;" valign="middle" width="25%">Deadline</td>
		</tr>
		<tr>
			<td colspan="1" rowspan="5" style="border: 1px solid rgb(187, 187, 187); padding-right: 12px; padding-left: 12px; font-size: 16px; line-height: 25px;">Periodic report</td>
			<td colspan="1" rowspan="3" style="border: 1px solid rgb(187, 187, 187); padding-right: 12px; padding-left: 12px; font-size: 16px; line-height: 25px; text-align: left;">Semi-annual</td>
			<td style="border: 1px solid rgb(187, 187, 187); padding-right: 12px; padding-left: 12px; font-size: 16px; line-height: 25px; text-align: left;">Financial data</td>
			<td colspan="1" rowspan="3" style="border: 1px solid rgb(187, 187, 187); padding-right: 12px; padding-left: 12px; text-align: left; vertical-align: middle;font-size:16px; line-height: 25px">No later than July 31 of the current year for the first semester and January 31 of the following year for the second semester.</td>
		</tr>
		<tr>
			<td style="border: 1px solid rgb(187, 187, 187); padding-right: 12px; padding-left: 12px; text-align: left; vertical-align: center;font-size:16px;line-height: 25px">Realization of business plan</td>
		</tr>
		<tr>
			<td style="border: 1px solid rgb(187, 187, 187); padding-right: 12px; padding-left: 12px; text-align: left; vertical-align: center;font-size:16px;line-height: 25px">Implementation of risk management </td>
		</tr>
		<tr>
			<td colspan="1" rowspan="2" style="border: 1px solid rgb(187, 187, 187); padding-right: 12px; padding-left: 12px; text-align: left; vertical-align: center;font-size:16px;line-height: 25px">Annual</td>
			<td style="border: 1px solid rgb(187, 187, 187); padding-right: 12px; padding-left: 12px; text-align: left; vertical-align: center;font-size:16px;line-height: 25px">Audited financial report</td>
			<td colspan="1" rowspan="2" style="border: 1px solid rgb(187, 187, 187); padding-right: 12px; padding-left: 12px; text-align: left; ; vertical-align: middle;font-size:16px; line-height: 25px">No later than April 30 of the next year. </td>
		</tr>
		<tr>
			<td style="border: 1px solid rgb(187, 187, 187); padding-right: 12px; padding-left: 12px; text-align: left; vertical-align: center;font-size:16px;line-height: 25px">Corporate governance report</td>
		</tr>
		<tr>
			<td colspan="1" rowspan="5" style="border: 1px solid rgb(187, 187, 187); padding-right: 12px; padding-left: 12px; font-size: 16px; line-height: 25px;">Incidental report 27)</td>
			<td style="border: 1px solid rgb(187, 187, 187); padding-right: 12px; padding-left: 12px; text-align: left; vertical-align: center;font-size:16px;line-height: 25px">Report on the capital increase</td>
			<td colspan="1" rowspan="5" style="border: 1px solid rgb(187, 187, 187); padding-right: 12px; padding-left: 12px; text-align: left; vertical-align: center;font-size:16px;line-height: 25px"></td>
			<td colspan="1" rowspan="5" style="border: 1px solid rgb(187, 187, 187); padding-right: 12px; padding-left: 12px; text-align: left; ; vertical-align: middle;font-size:16px; line-height: 25px">No later than 5 working days from the occurrence of the incident.28) </td>
		</tr>
		<tr>
			<td style="border: 1px solid rgb(187, 187, 187); padding-right: 12px; padding-left: 12px; text-align: left; vertical-align: center;font-size:16px;line-height: 25px">Report on the change of share composition</td>
		</tr>
		<tr>
			<td style="border: 1px solid rgb(187, 187, 187); padding-right: 12px; padding-left: 12px; text-align: left; vertical-align: center;font-size:16px;line-height: 25px">Report on the change of business group structure</td>
		</tr>
		<tr>
			<td style="border: 1px solid rgb(187, 187, 187); padding-right: 12px; padding-left: 12px; text-align: left; vertical-align: center;font-size:16px;line-height: 25px">Report on the appointment of board of directors and board of commissioners</td>
		</tr>
		<tr>
			<td style="border: 1px solid rgb(187, 187, 187); padding-right: 12px; padding-left: 12px; text-align: left; vertical-align: center;font-size:16px;line-height: 25px">Report on the merger, acquisition, and consolidation</td>
		</tr>
	</tbody>
</table>
 
 
9. Administrative Sanctions 
 
Administrative sanctions for violation of POJK 4/2025 are as follows:29) 
 
<ul>
	<li>Written reprimand;</li>
	<li>Temporary termination of part or all of the business activity;</li>
	<li>Administrative fine with the amount that may vary depending on the type of violation;</li>
	<li>Inclusion of Primary Party as the in the list of disreputable individuals in the financial sector; and</li>
	<li>Revocation of business license.</li>
</ul>
  
  
Conclusion 
 
POJK 4/2025 establishes a clearly structured and comprehensive regulatory framework for financial services aggregation providers in Indonesia.  It mandates rigorous compliance measures including capital requirements, governance standards, licensing, operational transparency, cooperation with licensed financial institutions, and ongoing reporting.  The regulation also emphasizes consumer protection by enforcing clear disclosures and limiting PAJK's responsibilities regarding financial product risks.  For entities operating in this sector, proactive adherence to these rules is critical to ensure lawful operation and build consumer trust.  International investors and domestic players alike must carefully evaluate their strategies and seek legal consultation to navigate the requirements in Indonesia’s growing digital financial market.     
 
<hr align="left" background-color="#cc0000" size="1" width="33%" />
<div style="margin-bottom: 8px; font-size: 16px; line-height: normal;">1) Article 3 (1) (a) of POJK 4/2025.</div>

<div style="margin-bottom: 8px; font-size: 16px; line-height: normal;">2) Article 3 (1) (b) of POJK 4/2025.</div>

<div style="margin-bottom: 8px; font-size: 16px; line-height: normal;">3) Article 3 (3) of POJK 4/2025.</div>

<div style="margin-bottom: 8px; font-size: 16px; line-height: normal;">4) Article 3 (5) and (7) of POJK 4/2025.</div>

<div style="margin-bottom: 8px; font-size: 16px; line-height: normal;">5) Article 3 (3) of POJK 4/2025.</div>

<div style="margin-bottom: 8px; font-size: 16px; line-height: normal;">6) Article 3 (5) and (7) of POJK 4/2025.</div>

<div style="margin-bottom: 8px; font-size: 16px; line-height: normal;">7) Article 4 (1), (2), and (3) of POJK 4/2025.</div>

<div style="margin-bottom: 8px; font-size: 16px; line-height: normal;">8) Article 4 (5) of POJK 4/2025.</div>

<div style="margin-bottom: 8px; font-size: 16px; line-height: normal;">9) PT PMA stands for Perseroan Terbatas Penanaman Modal Asing, which translates to a Limited Liability Company established for foreign investment in Indonesia.  It is the recognized legal entity structure through which foreign investors can conduct business in Indonesia.</div>

<div style="margin-bottom: 8px; font-size: 16px; line-height: normal;">10) Article 5 (1), (2) of POJK 4/2025.</div>

<div style="margin-bottom: 8px; font-size: 16px; line-height: normal;">11) Article 5 (4) of POJK 4/2025.</div>

<div style="margin-bottom: 8px; font-size: 16px; line-height: normal;">12) Article 6 (1) of POJK 4/2025.</div>

<div style="margin-bottom: 8px; font-size: 16px; line-height: normal;">13) Article 6 (3) of POJK 4/2025.</div>

<div style="margin-bottom: 8px; font-size: 16px; line-height: normal;">14) Article 9 (1) and (2) of POJK 4/2025.</div>

<div style="margin-bottom: 8px; font-size: 16px; line-height: normal;">15) Article 12 (1) and (2) of POJK 4/2025.</div>

<div style="margin-bottom: 8px; font-size: 16px; line-height: normal;">16) Article 13 (1), (2), and (4) of POJK 4/2025.</div>

<div style="margin-bottom: 8px; font-size: 16px; line-height: normal;">17) Article 25 (1), (2) of POJK 4/2025.</div>

<div style="margin-bottom: 8px; font-size: 16px; line-height: normal;">18) Article 25 (3) (a) and (b) of POJK 4/2025.</div>

<div style="margin-bottom: 8px; font-size: 16px; line-height: normal;">19) Article 25 (4) of POJK 4/2025.</div>

<div style="margin-bottom: 8px; font-size: 16px; line-height: normal;">20) Article 28 (1), (2) of POJK 4/2025.</div>

<div style="margin-bottom: 8px; font-size: 16px; line-height: normal;">21) Article 28 (3), (4) of POJK 4/2025.</div>

<div style="margin-bottom: 8px; font-size: 16px; line-height: normal;">22) Article 29 of POJK 4/2025.</div>

<div style="margin-bottom: 8px; font-size: 16px; line-height: normal;">23) Article 32 of POJK 4/2025.</div>

<div style="margin-bottom: 8px; font-size: 16px; line-height: normal;">24) Article 20 (1) of POJK 4/2025.</div>

<div style="margin-bottom: 8px; font-size: 16px; line-height: normal;">25) Article 20 (3) of POJK 4/2025.</div>

<div style="margin-bottom: 8px; font-size: 16px; line-height: normal;">26) Article 38 and 39 of POJK 4/2025.</div>

<div style="margin-bottom: 8px; font-size: 16px; line-height: normal;">27) Article 21 (1) of POJK 4/2025.</div>

<div style="margin-bottom: 8px; font-size: 16px; line-height: normal;">28) Article 41 of POJK 4/2025.</div>

<div style="margin-bottom: 8px; font-size: 16px; line-height: normal;">29) Article 22, 37, 43, 50 of POJK 4/2025.</div>

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