16 P2P Lenders Have High Bad Credit, OJK Flags Risks

Jakarta - The Financial Services Authority (OJK) has recorded that 16 peer-to-peer (P2P) lending platforms had a 90-day default rate (TWP90) above 5% in June 2026. Chief Executive of Supervision of Financing Institutions, Venture Capital Companies, Microfinance Institutions, and Other Financial Services Institutions at OJK, Agusman, said that most P2P lenders with high TWP90 levels are characterised by productive financing.

Based on supervisory findings, a number of platforms have also recorded improvements in funding quality, reflected in declining TWP90 levels. The figure improved from 18 platforms in May 2026. “OJK has instructed platforms with TWP90 above 5% to implement corrective measures and continues to conduct strict supervision of their implementation,” Agusman said in an official statement.

OJK may also place such platforms under Intensive Supervision or Special Supervision status in accordance with applicable regulations. Agusman explained that TWP90 levels are influenced by various factors, including borrowers’ repayment capacity and the quality of risk management implementation by the platforms. Therefore, platforms are continuously encouraged to strengthen credit scoring and risk management in their lending processes.

Meanwhile, outstanding P2P lending financing grew 25.88% year-on-year to Rp105.14 trillion in June 2026, a slight increase from 25.60% year-on-year growth in May 2026. At the same time, the aggregate credit risk level, or TWP90, actually improved. The P2P lending industry’s TWP90 was recorded at 4.26% in June 2026, down from 4.42% in May 2026.

Nevertheless, the high level of non-performing financing at some platforms could put pressure on company profitability. Financing quality is an important factor to monitor because an increase in bad credit can raise costs and suppress platform earnings performance. As of June 2026, the P2P lending industry’s profit was still able to grow amid these risks. Industry profit increased 10.14% year-on-year to Rp1.15 trillion in June 2026.

“The level of non-performing financing can put pressure on platform profitability. However, as of June 2026, the P2P lending industry has still managed to record profit growth in line with the growth in lending distribution,” he said.