OJK: Islamic Finance Industry Continues to Improve in Quality and Competitiveness
The national Islamic finance industry continues to move in a better direction, in line with the implementation of various policy directions established by the authority together with stakeholders, according to Friderica Widyasari Dewi, Chair of the Board of Commissioners of the Financial Services Authority (OJK).
“In line with the implementation of the various policy directions that have been established, the national Islamic finance industry continues to step in a better direction, not only growing quantitatively, but also increasingly improving in terms of quality and competitiveness,” Friderica said in a statement in Jakarta on Thursday.
She said this achievement must be maintained to ensure the financial services sector remains stable amid high global economic uncertainty.
Indonesia’s economic fundamentals remain intact amid global trade fragmentation, economic policy changes in various countries, and rising geopolitical tensions.
In 2025, Indonesia’s economy grew by 5.11 percent, up from 5.03 percent the previous year, providing a strong foundation for the development of the national Islamic finance industry.
In line with these conditions, total assets of the national Islamic finance industry in 2025 reached Rp3,131.02 trillion, growing 8.56 percent year-on-year (yoy), marking the highest asset value in history.
Of that total, Islamic banking assets reached Rp1,067.73 trillion, growing 8.92 percent yoy. Meanwhile, total Islamic capital market assets excluding Islamic share capitalisation reached Rp1,875.25 trillion, growing 8.18 percent yoy.
In the Islamic non-bank financial industry (IKNB) sector, assets of insurance, guarantees, and pension funds (PPDP) were recorded at Rp74.27 trillion, growing 10.59 percent yoy.
Meanwhile, assets of the financing institutions, venture capital companies, microfinance institutions, and other financial services institutions (PVML) sector reached Rp124.51 trillion, growing 10.29 percent yoy, Friderica said.
Dian Ediana Rae, Chief Executive of Banking Supervision at OJK who also serves as Chair of the Islamic Finance Development Committee (KPKS), said OJK will continue to oversee the development of the Islamic finance industry through the implementation of various regulations, sectoral roadmaps, and policies that encourage strengthening industry competitiveness.
According to Dian, the establishment of KPKS since June 2025 has become a strategic platform to strengthen cross-stakeholder coordination, accelerate information exchange, and encourage more integrated policy formulation.
This synergy is expected to strengthen the competitiveness of the Islamic finance industry, maintain financial services sector stability, and support sustainable national economic growth.
OJK has published the 2025 Indonesia Islamic Finance Development Report (LPKSI) as a strategic reference that illustrates the resilience, competitiveness, and development direction of the national Islamic finance industry in supporting sustainable economic growth.
The report carries the theme “Strengthening the Competitiveness of the Islamic Finance Industry in Supporting the Acceleration of National Economic Growth”. According to OJK, the report is part of the authority’s commitment to strengthening the Islamic finance ecosystem through adaptive, integrated, and sustainable policies.
As a report published periodically each year, LPKSI presents comprehensive information on developments, challenges, opportunities, and policy directions for the development of the Islamic finance industry in Indonesia.
The report is expected to serve as a reference for regulators, industry players, academics, investors, and the public in understanding the development and prospects of the national Islamic finance industry.
OJK will continue to strengthen synergy with all stakeholders to accelerate the development of an inclusive, innovative, competitive, and sustainable Islamic finance ecosystem, while supporting the realisation of Indonesia as one of the world’s Islamic finance centres.