KSEI and Pegadaian to Implement Gold ETF in Second Half of 2026

PT Kustodian Sentral Efek Indonesia (KSEI) and PT Pegadaian have signed a cooperation agreement, paving the way for the introduction of electronic gold receipts (EGR) and a gold exchange-traded fund (ETF) in the Indonesian capital market during the second half of 2026. The agreement also formally marks Pegadaian’s entry as a KSEI account holder. KSEI President Director Samsul Hidayat stated that KSEI fully supports the advancement of Indonesia’s capital market, including infrastructure development and strategic collaborations. He noted that Pegadaian joining as an account holder is a relevant step towards welcoming the development of EGR and gold ETFs as part of efforts to expand investment product choices. “This innovative product is expected to become an investment alternative that connects the characteristics of gold, an asset widely recognised by the public, with a transparent and well-administered investment mechanism through KSEI’s existing infrastructure,” Samsul said. PT Pegadaian’s Director of Marketing, Sales, and Product Development, Selfie Dewiyanti, described the collaboration as a tangible response to support the strengthening of Indonesia’s bullion bank ecosystem through the latest investment innovation in the form of a gold ETF. She noted that while gold-based financial instruments are relatively new domestically, similar schemes have developed rapidly and proven successful on global exchanges, particularly in the United States, which holds the world’s largest share of gold ETFs. Through the domestic gold ETF, investors now have an alternative instrument that allows them to invest in gold easily, safely, and directly via the stock exchange trading mechanism, just like transacting shares. She added that the synergy between the two parties is a strategic step that not only strengthens the security governance of investment asset recording but also prepares robust infrastructure for Indonesia’s bullion ecosystem to integrate into the global capital market. “We are fully committed to optimising our role as a trusted gold provider and custodian, providing full transparency assurance to investors that every gram of digital gold they transact is fully backed by physical gold in our vaults,” Selfie said. On 27 April 2026, the Financial Services Authority (OJK) approved PT Pegadaian’s application to become a KSEI account holder. This approval serves as the formal foundation enabling a significant milestone in the Indonesian capital market: the establishment of storage and settlement infrastructure for Electronic Gold Receipts, introduced for the first time in Indonesia as the underlying asset for gold ETF investment products. After joining as a KSEI account holder, Pegadaian gains the authority to directly record EGR in KSEI’s system, The Central Depository and Book-Entry Settlement System (C-BEST). An EGR is proof of digital gold ownership guaranteed by physical gold and recorded electronically in KSEI’s system, based on physical gold stored and administered by PT Pegadaian, which acts as a bullion institution licensed by the OJK. The transformation of EGR into tradable capital market securities is a strategic step in building a modern and integrated gold investment ecosystem. PT Pegadaian’s entry as a KSEI account holder in 2026 brings the total number of account holders to 124, positively impacting capital market deepening and strengthening the national financial ecosystem, including the potential increase in total assets under management and market liquidity. Concurrently, KSEI continues to develop its digital system capacity to ensure reliable and adaptive infrastructure for accommodating future dynamics in the Indonesian capital market. As a KSEI account holder and bullion bank, Pegadaian also has the opportunity to optimise its role in the capital market through securities lending and borrowing activities, thereby supporting not only the development of the gold ETF but also enhancing liquidity, transaction efficiency, and market deepening. Furthermore, Pegadaian’s status enables the gold ETF product to be used as collateral through its Gadai Efek product, which has served retail and institutional investor segments since 2019. The Pegadaian Gadai Efek product is a financing facility based on a pledge agreement using shares and bonds traded on the Indonesia Stock Exchange as collateral, allowing the public to optimise market momentum by meeting short-term needs with gold ETFs, shares, or bonds pledged as collateral.