OJK Urge Foreign VC Firms to Comply with New Licensing Rules POJK 41/2025

JAKARTA, Jakartaweekly.com–The Indonesia’s Financial Services Authority (OJK) continues to coordinate with foreign venture capital firms (foreign VF Firms) to help them meet the requirements stipulated under the regulator’s latest regulation on venture capital companies. 

“Coordination with foreign venture capital firms is ongoing, particularly regarding the registration of Representative Offices for Venture Capital Companies (KPPVL) and compliance with the relevant provisions, in accordance with the activities and mechanisms carried out by each entity,” said Agusman, Chief Executive of the OJK’s Supervisory Board for Financing Institutions, Venture Capital Companies, Microfinance Institutions, and Other Financial Services Institutions (PVML), as quoted on Wednesday, September 17, 2026. 

Agusman further explained that OJK will continue to conduct outreach and socialization programs to ensure that the industry and other stakeholders properly understand the purpose and scope of the regulation. 

He also said that POJK 41/2025 provides legal certainty and several mechanisms for foreign venture capital firms conducting activities in Indonesia. One of these mechanisms is establishing a Representative Office for Venture Capital Companies (KPPVL), which may engage in marketing activities, information exchange, and cooperation with business partners. 

In mid-July 2026, reports circulated that no foreign venture capital firm had yet complied with Indonesia’s new licensing requirements. Broadly speaking, POJK 41/2025 stipulates that foreign capital firms with representative offices in Indonesia must obtain approval from OJK. 

Under the regulation, existing representative offices in Indonesia are required to obtain OJK approval within six months of the regulations’s issuance. The regulations officially took effect on December 22, 2026. This means that existing foreign VC firms should have obtained approval to operate their representative offices in Indonesia by now. 

Agusman further explained the current condition of the venture capital industry. In July 2026, the industry’s non-performing financing (NPF) ratio stood at 2.02%, up from 1.70% in July 2025. The increase was attributed to a decline in the repayment capacity of some investee companies.

“The venture capital industry continues to be encouraged to strengthen its assessment of investee companies’ viability and diversify its portfolios to mitigate the risk of a further increase in NPF going forward,” he added.