Indonesia's Financial Services Authority reports creation of financial welfare council and IDR 400 trillion financing plan

Indonesia’s Financial Services Authority (OJK) reported the establishment of the National Financial Welfare Council (DNKK) at the 2026 national coordination meeting of Regional Financial Access Acceleration Teams (TPAKD). Inaugurated by President Prabowo Subianto under Government Regulation No. 42/2026, the council replaces the National Council for Financial Inclusion. It shifts the policy focus from account ownership toward households’ ability to meet financial needs, withstand shocks and manage finances securely. This approach is consistent with OJK’s support in 2025 for developing a financial health programme that looks beyond access to financial services. The president chairs DNKK, with the coordinating minister for economic affairs serving as executive chair and OJK, Bank Indonesia and other ministries sharing deputy leadership responsibilities. Regional implementation will draw on 552 TPAKD covering all 38 provinces and 514 regencies and cities. Credit disbursements through collaboration between the financial services sector and TPAKD reached IDR 53.15 trillion for 2,106,401 borrowers during August-October 2026. Separately, OJK reported that the programme providing alternatives to moneylenders had disbursed IDR 64.85 trillion to 2.28 million borrowers. At the meeting, President Prabowo outlined plans to channel IDR 400 trillion in financing in 2027 to farmers, fishers, people in rural, remote and disadvantaged areas, and urban residents with low incomes. TPAKD are also being encouraged to align financing access with government priority programmes so local producers and businesses can participate in supply chains and expand production.