Pegadaian and KSEI Strengthen Ecosystem Through Gold ETF Investment

PT Pegadaian has officially joined KSEI as an Account Holder, marked by the signing of a Cooperation Agreement. This collaboration also signifies a new milestone for the national economy regarding the implementation of Electronic Gold Receipts (EGR) and a Gold Exchange Traded Fund (ETF) in the Indonesian capital market during the second half of 2026. The signing ceremony was conducted by KSEI President Director Samsul Hidayat and PT Pegadaian Director of Marketing, Sales, and Product Development Selfie Dewiyanti at the Main Hall of the Indonesia Stock Exchange on Friday (12/06). Previously, on 27 April 2026, the Financial Services Authority (OJK) granted approval for 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 formation of depository and settlement infrastructure for EGR securities, introduced for the first time in Indonesia. This security will underlie the Gold ETF investment product. After joining as a KSEI Account Holder, Pegadaian gains the authority to directly record EGR into KSEI’s system, The Central Depository and Book-Entry Settlement System (C-BEST). An EGR is digital proof of gold ownership guaranteed by physical gold and recorded electronically in the KSEI system, based on physical gold traded, stored, and administered by Pegadaian, which acts as the gold provider and depository institution licensed by OJK to conduct bullion business activities. The transformation of EGR into securities tradable on the capital market is a strategic step in building a modern and integrated gold investment ecosystem. PT Pegadaian Director of Marketing, Sales and Product Development Selfie Dewiyanti stated that this strategic and collaborative step is a tangible response to support the strengthening of the Bullion Bank ecosystem in Indonesia through the latest investment innovation in the form of a Gold ETF. Although gold-based financial instruments are relatively new domestically, similar schemes have developed rapidly and proven successful on global exchanges, notably in the United States, which holds the largest share of Gold ETFs worldwide. With the presence of a Gold ETF in the domestic market, investors now have an alternative instrument allowing them to invest in gold easily, securely, and directly through stock exchange trading mechanisms, just like transacting shares. “The synergy between Pegadaian and KSEI is a strategic step that not only strengthens the security governance of investment asset recording but also prepares a robust infrastructure for the Indonesian bullion ecosystem to integrate into the global capital market. We are fully committed to optimising our role as a trusted gold provider and depository, providing full transparency assurance to investors that every gram of digital gold they transact is fully backed by physical gold in our vaults,” said Selfie in an official statement on Friday (12/6/2026). On the same occasion, KSEI President Director Samsul Hidayat conveyed that KSEI provides full support for the advancement of the Indonesian capital market, including infrastructure development and strategic collaboration with various parties. “Pegadaian joining as a KSEI Account Holder is a relevant step to welcome the development of EGR and Gold ETF as part of efforts to expand the choice of Indonesian capital market investment products. This innovative product is expected to become an investment alternative that connects the characteristics of gold as a widely recognised asset with a transparent and well-administered investment mechanism through KSEI’s existing infrastructure,” said Samsul. PT Pegadaian joining as a KSEI Account Holder in 2026 brings the total number of KSEI Account Holders to 124. This addition positively impacts capital market deepening and the strengthening of the national financial ecosystem, including the potential increase in total assets under management and liquidity in the Indonesian capital market. In line with this growth, KSEI continues to develop its digital system capacity to ensure reliable and adaptive infrastructure in accommodating the future dynamics of the Indonesian capital market. As a KSEI Account Holder and Bullion Bank, PT Pegadaian also has the opportunity to optimise its role in the Indonesian capital market through securities lending and borrowing activities, thereby not only supporting the development of the Gold ETF but also enhancing liquidity, transaction efficiency, and deepening of the Indonesian capital market. Operationally, this strategic partnership encompasses Pegadaian joining as a KSEI Account Holder based on KSEI Board of Directors Decree Number KEP-0014/DIR/KSEI/0224. Through this scheme, Pegadaian has the authority to directly record EGR into the KSEI system, thereby accelerating the book-entry transfer and periodic reconciliation process between electronic records and the existence of physical gold. This mechanism simultaneously serves as risk mitigation to ensure that every EGR creation has a precise physical asset basis and avoids potential recording mismatches. By becoming a KSEI Account Holder, Pegadaian also enables the Gold ETF product feature to be used as collateral through its Pegadaian Gadai Efek product, which has served retail and institutional investor segments since 2019. The Pegadaian Gadai Efek product is a financing product based on the legal concept of pawning with shares and bonds traded on the IDX as collateral, allowing the public to optimise momentum by meeting short-term needs using Gold ETFs or owned shares and bonds as collateral.