OJK Urges Young Generation to Be Wiser Amid Digital Financial Threats
The Financial Services Authority (OJK) has urged young people to be wiser in managing their finances, particularly in the current digital era. The ease of accessing financial services can become a future problem if not balanced with adequate literacy.
Head of OJK West Java, Darwisman, explained that strengthening financial literacy for the younger generation is crucial amidst the proliferation of digital economic services. According to him, young people must be prudent in managing their finances to avoid the trap of illegal online loans. Furthermore, he stated that threats such as online gambling and consumptive lifestyles are real dangers for young citizens. “The convenience of digital finance, if not accompanied by good and wise understanding, will become a boomerang,” Darwisman said in Bandung on Thursday.
He reiterated that easy access to digital financial services will be destructive if not accompanied by adequate understanding. Darwisman also reminded the younger generation to always adhere to principles when using financial services. “Ensure every financial service meets the 2L principle: Legal and Logical. Legal means it is licensed and supervised by OJK, while Logical means the benefits, profits, and risks are understandable and reasonable,” he said.
He further explained that the number of OJK-licensed online loans in West Java has reached a fantastic value of IDR 23.94 trillion. This figure is spread across 7,152,687 accounts, with a 90-day default rate of 3.29%. For him, this data serves as an alarm for the younger generation to be more careful. He urged that loans should only be allocated for productive and truly essential needs, such as education costs or business development capital. “Use loans only for productive needs, not to fulfil momentary lifestyles that can potentially cause financial problems in the future,” he stressed.
Furthermore, OJK also highlighted the increasing threat of online gambling and various forms of digital fraud targeting vulnerable groups. “Starting from illegal investments, love scamming, to fraud modes via short messages claiming to be from certain institutions,” he said. Therefore, Darwisman reiterated that financial literacy is very important for young people. “Competent literacy is not just about legality. It is about forming healthy financial behaviour, discipline in managing expenses, and sharpness in distinguishing between needs and wants. With that understanding, our young generation will be able to build strong financial resilience and contribute significantly to realising Golden Indonesia 2045,” he concluded.