The Financial Services Authority (OJK) has officially implemented new regulations regarding Buy Now Pay Later (BNPL) services for financing companies. This step was taken as a strategic effort by the regulator to strengthen the quality of credit distribution and maintain risk stability in the non-bank financial industry.
Agusman, Executive Head of PVML Supervision at OJK, explained that the Regulation of the Board of Commissioners (PADK) Number 2 of 2026 serves as a key instrument to suppress bad debt figures. Through this rule, multifinance companies are required to apply prudential principles and strengthen their credit assessment systems or credit scoring more comprehensively.
This policy comes amid a recorded rise in the gross non-performing financing (NPF) ratio for BNPL services. OJK data shows that the NPF for this sector jumped to 3.44 percent in May 2026, up from 2.99 percent in April 2026. Agusman attributes this upward trend to a decline in the repayment ability of several debtors.
Facing these challenges, OJK encourages industry players to not only tighten customer selection but also enhance financing quality monitoring systems. The optimization of measurable collection processes is also a key point emphasized by the regulator to ensure that BNPL business growth remains healthy and sustainable in the future.
