JAKARTA (Yosefardi) – The Financial Services Authority (OJK) requires the new multifinance companies, both local and foreign owned, to have minimum capital of Rp100 billion, effective January 1, 2015.
While the existing multifinance firms with capital of less than Rp100 billion are required to have the minimum capital of Rp100 billion by 2019 at the latest.
Currently 83 operating multifinance companies have capital of less than Rp100 billion, representing 40% of total number of multifinance companies.
OJK also limits the foreign ownership on multifinance companies at 85%.