Indonesia Financial Services Authority issues conduct rules for financial influencers including licensing expectations for recommendations

The Indonesia Financial Services Authority has issued a regulation on the conduct of financial sector information providers, or financial influencers, to strengthen consumer protection and reduce the risk of misleading information about financial products and services. The framework is intended to ensure that information distributed to the public is clear, accurate, honest, accessible and not misleading, and applies to parties other than financial services firms that provide financial sector information either to improve financial literacy or to influence consumers' use of products and services. The regulation covers baseline conduct standards and three main types of activity: financial education, marketing and recommendations. It also addresses use of a financial education learning management system, supervisory guidance by the authority, written orders to information providers and termination of access on electronic media. Where financial influencers cooperate with financial services firms in marketing, the firms remain obliged and responsible for the information communicated. For recommendations, the rule makes clear that any activity requiring a licence under existing laws must be licensed, including an investment adviser licence for recommendations on capital market products. Recommendations on digital financial asset products or services require competency certification and knowledge of the financial services sector.