OJK issues regulation to provide legal certainty for PVL representative offices

Jakarta – The Financial Services Authority (OJK) has issued OJK Regulation (POJK) No. 41/2025 to provide legal certainty for the establishment of representative offices of financing institutions, venture capital companies, and other financial services providers (PVL).

A PVL Representative Office (KPPVL) is defined as an office of a foreign-incorporated PVL with its headquarters outside Indonesia that functions as a liaison with parties in Indonesia.

M. Ismail Riyadi, Head of the OJK’s Department of Financial Literacy, Inclusion and Communication, stated in Jakarta on Thursday that the regulation also ensures that activities remain within a framework of prudent, transparent, and accountable oversight.

With the issuance of POJK 41/2025, the OJK expects that the presence of foreign financial institution representative offices will contribute positively to the national economy, expand access to international financing, and support the development of priority sectors in Indonesia within a framework of strong and integrity-based supervision.

The OJK recognises that foreign companies or legal entities with headquarters outside Indonesia that do not have branch offices or subsidiaries in Indonesia require an official channel to conduct marketing, information exchange, and business activity coordination.

The presence of PVL representative offices serves as a liaison mechanism between the headquarters outside Indonesia and business partners and customers in Indonesia.

Under POJK 41/2025, PVL encompasses financing companies, infrastructure financing companies, venture capital companies, pawning companies, technology-based peer-to-peer lending organisers, export-import financing institutions, and secondary housing financing companies.