OJK has issued the Technical Guidelines (Juknis) for the Implementation of Sustainable Finance for Financing Companies (PP) and Sharia Financing Companies (PPS) by 31 December 2024. The issuance of the technical guidelines is the initial steps for big changes in the implementation of sustainable finance for PP and PPS, so that they can support sustainable finance initiatives in accordance with POJK Number 51/POJK.03/2017 concerning the Implementation of Sustainable Finance for Financial Services Institutions, Issuers, and Public Companies (POJK Sustainable Finance).
The presence of the technical guidelines is also an aspiration from the PP and PPS industry so that their sustainable finance initiatives can be aligned with the direction set by the regulator. In addition, the issuance of the technical guidelines is also expected to support the creation of a more well-organised database of sustainable finance implementation in the PP and PPS industry.
The technical guidelines are prepared to provide technical explanations regarding:
a. The practical meaning of Sustainable Finance principles for PP/PPS;
b. Prioritisation of Sustainable Finance programme;
c. Internalisation of Sustainable Finance principles into the financing sector business process;
d. Overview/outline and content of the Sustainable Finance Action Plan (RAKB);
e. Overview/outline and content of the Sustainability Report;
f. Definition, criteria, and categories of sustainable business activities; and
g. Allocation and use of Social and Environmental Responsibility (CSR) funds to support Sustainable Finance implementation activities.
Technical guidelines can be downloaded through the following link.