Indonesia financial sector growth and digital evolution

Indonesia’s financial sector is undergoing significant expansion and technological adaptation. In the banking sector, Bank Central Asia (BCA) reported a substantial increase in sustainable financing, with its portfolio reaching IDR 267 trillion by June 2026. This growth was driven largely by renewable energy and electric-vehicle financing. However, this digital evolution has introduced new risks, as financial institutions face adaptive cyber-crime exploiting artificial intelligence. In response, the Financial Services Authority (OJK) has issued new governance guidelines focusing on accountability and human oversight.

Simultaneously, the fintech lending industry is growing rapidly to address a national credit gap, with outstanding financing reaching approximately Rp 105.14 trillion in June 2026. To improve financial inclusion for lower-income populations, fintech companies are increasingly adopting alternative credit scoring methods, such as utilizing telecommunications data. As the sector expands, there is an increased emphasis on consumer protection and transparency regarding repayment terms and costs.