The fate of 7 multi-financial companies hangs in the balance, OJK is getting involved

Jakarta –

The Financial Services Authority (OJK) noted that 7 out of 147 total multi-financial companies had not met the minimum capital of IDR 100 billion as of June 2024. In addition, 28 of the 98 fintech loans from peers (P2P) providers had not met the minimum capital of IDR 7. 5 billion.

Head for the Management of Funding Institutions, Venture Capital Companies, Microfinance Institutions and Other Financial Services Institutions OJK Agusman, this situation is caused by the process of capital injection or capital increase that was not done according to relevant regulations.

“As of June 2024, 7 out of 147 PPs have not met the minimum equity obligations. At the same time, currently 28 out of 98 operators have not met the minimum equity obligations of IDR 7.5 billion,” Agusman said in a statement. written statement, announced on Tuesday (6/8/2024).

As a result of this condition, OJK continues to take the necessary steps regarding the progress of the action plan to meet the minimum equity obligations, in the form of capital injections from shareholders and from trusted strategic investors.

“This includes alternatives to returning business licenses,” he said.

The value of multi-currency receivables as of June 2024 was recorded at IDR 492.17 trillion, or grew 10.72% year-on-year (YoY). This figure decreased from the previous month of 11.21% YoY.

“Looking at the trend in funding distribution, it is expected that PP funding will continue to increase by 10-12% until the end of 2024,” explained Agusman.

Agusman said that a decline in the performance of several financial companies is expected, among other things, due to a decline in the sale of cars and motorcycles in the first semester of 2024.

Funding companies are still encouraged to diversify the distribution of new financing products, including financing for productive sectors such as investment financing and working capital for
support MSE businesses.

(sc/hns)