New Era for Sharia Banking Industry Following Issuance of POJK 4/2026 - Financial Business

Bisnis.com, JAKARTA — The Financial Services Authority (OJK) Regulation No. 4/2026, which governs the implementation of Sharia banking investment products, represents a crucial step in affirming a clear separation between deposit and investment products in Sharia banks. For context, through this policy, OJK defines Sharia banking investment products as funds entrusted by customers to Sharia banks based on contracts compliant with Sharia principles, with the risks borne by the investor customers. Through this regulation, Sharia banking investment products consistently apply profit-sharing and risk principles that reflect the true characteristics of investments, using contracts such as mudarabah or other contracts that do not contradict Sharia principles. The regulation takes effect from the date of its promulgation, namely 29 April 2026. Sharia banks that already have Sharia investment products before this POJK comes into force must adjust their products to the new rules at the latest two years from the implementation of the POJK or until the contract period ends. Meanwhile, OJK will process applications for Sharia banking investment product permits submitted before this regulation takes effect in accordance with the provisions in the latest POJK. Sharia Financial Observer Sutan Emir Hidayat stated that this policy is an important step to affirm the mandate of Law No. 4/2023 on the Development and Strengthening of the Financial Sector (UU P2SK), separating them according to the respective contract characteristics. The regulation is also seen as restoring the function of Sharia contracts, namely deposits for security and liquidity, while investments are intended for profit-sharing with risks acknowledged by customers. With this separation, the potential for gharar and disputes can be minimised. “From a Sharia perspective, this policy straightens out the nature of contracts—deposits for security and liquidity, investments for profit-sharing and acknowledged risks, thereby reducing gharar and potential disputes,” Sutan told Bisnis on Friday (8/5/2026). Impact on Sharia Banks From a business model perspective, Sutan assesses that this new regulation encourages Sharia banks to refocus on two main lines, namely deposit fund mobilisation and investment product management. Fund mobilisation strategies are expected to become more segmented. Customers prioritising security and liquidity will be directed to deposit products, while customers willing to bear risks for higher returns will be offered investment products with explanations of risks and the business sectors financed. Furthermore, Sutan views that Sharia banks need to strengthen the Sharia investment narrative by linking customer funds directly to the real sector such as SMEs, halal value chains, and renewable energy. “…so that customers truly feel like business partners, not just savers,” Sutan said. In addition, education through service officers and digital channels becomes an important factor so that the public understands the differences between deposit and investment products simply, thus preventing confusion among customers due to product changes. On the other hand, in the next one to two years, Sutan predicts that Sharia banks will face additional operational and compliance burdens, starting from adjusting internal policies, SOPs, product designs, IT systems and core banking, to reporting formats. Although in the short term it appears to increase operational and compliance costs, in the medium to long term, Sutan states that this step is an investment that will reduce dispute risks and improve transparency. “Ultimately making Sharia banking business more sustainable,” he said. Meanwhile, PT Bank Syariah Indonesia Tbk. (BRIS) is still coordinating with the regulator regarding the policy. Nevertheless, Corporate Secretary Wisnu Sunandar stated that the presence of this regulation makes the distinction between deposit and investment products even more emphatic. “The approach to customers will become more segmented according to their needs profile, risk appetite, and financial goals,” Wisnu explained to Bisnis on Friday (8/5/2026). For BSI, Wisnu mentioned that this regulation becomes a momentum to strengthen positioning as a modern Sharia bank that not only focuses on fund mobilisation but also the development of more diverse Sharia investment solutions tailored to customer needs. In addition, this policy also presents an opportunity for Indonesia’s largest Sharia bank to boost the quality of advisory and financial planning services to customers. Thus, the bank’s relationship with customers is not merely transactional but also as a long-term Sharia financial management partner. In line with that, the company is committed to continuing to provide comprehensive, competitive Sharia financial solutions that add value for the public and support the growth of the national Sharia financial industry.