Indonesia: Central Bank to issue updated online payment regulations

Wednesday 23 April 2014 11:18 CET | News

The Central Bank of Indonesia is revising its regulations governing the nation’s e-payment services in order to boost the market development.

The Central Bank has reported that there are an average of 420,000 daily transactions with total value of USD 762,000 (IDR 8.7 billion) using e-payment tools. There are currently 17 online payment companies in Indonesia.

Indotelko, cited by, has mentioned a couple of significant revisions to the regulations. Thus, e-payment players are no longer allowed to close exclusive partnerships, meaning that companies can cooperate with multiple e-payment tools at the same time.

Another revision deals with the minimum balance that customers need to keep inside an e-payment service when withdrawing the money. That minimum balance has now been reduced to zero, according to the same source.

E-payment and e-money services in Indonesia are allowed to charge users extra for things such as card printing, administration, top-up fees and fees when withdrawing money from banks. The new regulations encourage e-payment companies to allow online top-up between competing services. That interoperability has been implemented by three firms: Telkomsel’s T-Cash, Indosat’s Dompetku, and XL Axiata’s XL Tunai.

The regulatory revision also clarifies some details for e-payment players, such as definitions, legal permissions and responsibilities.

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Keywords: Indonesia, central bank, e-payment, online payment, regulation, e-money
Categories: Payments & Commerce
Countries: World
This article is part of category

Payments & Commerce