KPPU Sidaks Case Loan IDR 1.650 Trillion

Jakarta – The Business Competition -Supervisory Commission (KPPU) immediately heard the alleged violation of the cartel interest rates in the online loan industry in the provisional inspection session that will be held in the near future. This step is a serious escalation for the findings of indications of collective interest arrangements among technology -based loan companies. The investigation of KPPU revealed the alleged violation of section 5 of the Number 5 of 1999 on the ban on monopoly practices and unfair business competition. “We have found a joint arrangement regarding interest rates among business actors who are members of the association during 2020 to 2023. This could limit the competition space and harm consumers,” KPPU chairman M. Fanshurullah ASA said in a written statement on Wednesday (4/30/2025). Browse to continue with the content of as much as 97 online loan service providers named reported parties, allegedly composes high daily interest ceilings through internal agreements (exclusive) made by the Industrial Association, Association of Joint Funding Fintech (AFPI). They were found to determine the loan interest rate (which included loan costs and other costs) that could not exceed the fixed interest rate of 0.8 % per day, calculated from the actual amount of loans received by the loan receiver, which was then changed to 0.4 % per day in 2021. The majority of the online loan business model in Indonesia uses a peer-to-peer (P2P) loan pattern, connecting the supplier and the recipient of the loan via a digital platform. Based on the regulation of the Financial Services Authority (OJK), all organizers must be registered and become a member of the appointed association, namely AFPI. However, market structures have shown enough high concentration levels. From July 2023, there were 97 active organizers, with a centralized market domination to several major players, including: Creditpintar (13%market share), assets (11%), Modalku (9%), Credifazz (7%), EasyCash (6%) and Adakami (5%). The rest is spread to players with a minor share. The market concentration is allegedly becoming stronger with the connection of their ownership or relationship with the e-commerce platform. Based on the results of the investigation and filing, on April 25, 2025, the KPPU decided by a commission meeting to increase the matter to the stage of the provisional examination meeting. The agenda of this session aims to convey and test the validity of the findings, as well as to open further evidence. If it is proven to be breached, business actors may be subject to administrative sanctions in the form of a fine of up to 50% of the gains from offenses or up to 10% of sales in the market concerned and during the period of offense. KPPU emphasized that dealing with this case is part of an attempt to maintain a healthy business competition ecosystem in the digital financial sector. The fintech industry is considered a strategic role in encouraging financial inclusion, so that anti-study practices of an early age must be stopped and prevented because it has an extraordinary influence on the community, especially for small and medium communities. This can be seen from the size of this market, which is very important, in which there were 1.38 million active lenders until mid -2023, 125.51 million registered loan accounts, with the accumulation of loans laid to 829.18 billion. Even according to the World Bank, Indonesia has a credit gap (credit gap) or financing needs that do not meet traditional financial institutions, which reached RP 1,650 trillion in 2024. This is one of the factors that encourages the growth of the online loan industry in Indonesia. KPPU estimates that the escalation of this matter has the potential to have major consequences for the online loan landscape in Indonesia. Fanshurullah said through this law enforcement that KPPU requested that regulators could improve the revision of industrial standards, tighten control of associations, change the pattern of loan companies, to cause a decrease in loan interest to a more competitive level. “From the consumer side, this law enforcement becomes a positive signal for the protection of loan rights and the effectiveness of the cost of digital financial services,” Fanshurullah explained. Until now, the KPPU has still scheduled the composition of the meeting team that will investigate and schedule the first trial of the case. Also watch Video: OJK Call Gen Z-Milenial Domination of Bad Credit Dominance in Loan (HNU/Ega) HOEGENG Awards 2025 Read the inspiring story of exemplary police candidates here