THE RISE OF FINANCIAL TECHNOLOGY IN INDONESIA

In order to meet public demand, especially the accessibility of financial services for non-banking customers, financial technology continues to develop and information systems continue generating innovations. These phenomena have had given a positive impact both for consumers and businesses, especially small and medium enterprises. On the other hand, certain aspects of financial technology (“Fintech”) present a potential risk to the financial system and an adverse effect on consumer protection if they cannot be regulated and controlled properly, especially in payment system services.

NEW REGULATION ON CAPITAL INVESTMENT LICENSING AND FACILITIES

The Head of the Investment Coordinating Board (Badan Koordinasi Penanaman Modal/”BKPM”) issued two new sets of regulations on investment, i.e. Regulation No. 13 of 2017 on The Guidelines and Procedure for Capital Investment Licensing and Facilities (“Reg 13/2017”) and Regulation No. 14 of 2017 on The Guidelines and Procedure for Capital Investment Supervision (“Reg 14/2017”).