The Indonesia Financial Services Authority has introduced selective, case by case regulatory relief for the financing institutions, venture capital, microfinance and other financial services institutions sector, known as PVML. The measures are designed to support industry funding, business continuity and administrative certainty while preserving prudential standards, consumer protection and financial system stability. The relief does not apply generally and is available only on a company’s application, subject to the authority’s assessment of the firm’s condition and compliance with applicable rules. The package covers ownership, capital, business activity and licensing requirements. For foreign ownership limits, firms may receive flexibility to strengthen capital where local shareholders cannot meet funding needs, but they must still bring foreign ownership back into line with the 85 percent limit within three years from the date they report the ownership change to the authority. OJK also allows flexibility on the minimum operating period for controlling shareholders or ultimate controlling shareholders that are legal entities before making an investment, and on adjustments to minimum paid-up capital following an acquisition. In Buy Now Pay Later, non-bank and non-finance company financial institutions are given a transition period to transfer their portfolios and cease BNPL activities by 31 December 2027. For pawnshops applying for business licenses, the authority has eased initial fit and proper requirements by waiving the formal education background requirement and allowing relevant certification to be completed within one year after the license is granted. It has also provided relief on reporting approvals, consents or acknowledgments from competent agencies related to shareholder decisions to dissolve a company for the purpose of returning its business license.

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