Otoritas Jasa Keuangan (OJK) POJK 12/2024: new fraud rules for Indonesia’s LJKs

Indonesia’s Financial Services Authority (OJK) has introduced POJK 12/2024, a sweeping update to anti-fraud regulations impacting banks, insurers, fintech firms, and other financial institutions (LJKs). This regulation consolidates and strengthens previous rules, introducing stricter reporting requirements, enhanced risk management protocols and severe penalties for non-compliance.

Why this matters for APAC financial firms

With fraud cases rising across Asia-Pacific (APAC) - especially synthetic identity scams, phishing and application fraud—OJK’s move aligns with regional trends like Singapore’s Shared Responsibility Framework (SRF). Financial institutions operating in Indonesia must act now to avoid fines, reputational damage and operational disruptions.

Read our latest report on 2025 APAC Regulatory Changes.

Reporting frequency & penalties under POJK 12/2024

POJK 12/2024 imposes strict deadlines, with escalating fines for delays:

Additional penalties:

• Incorrect data submissions: fines up to IDR 50k per error
• Repeated violations: license suspensions or revocations

Why OJK enforced POJK 12/2024 — and what’s next for APAC

The OJK’s introduction of POJK 12/2024 is a direct response to the escalating threat of financial fraud in Indonesia’s rapidly digitising economy. From 2022 to first quarter of 2024, synthetic identity scams, phishing attacks and loan fraud cost Indonesian banks over IDR 2.5 trillion, exposing critical vulnerabilities in the financial sector. This regulation aims to curb these losses by mandating stricter fraud prevention measures, real-time reporting and enhanced accountability across banks, fintech firms and insurers.

Beyond addressing domestic risks, POJK 12/2024 aligns Indonesia with broader APAC regulatory trends, including Singapore’s Shared Responsibility Framework (SRF) and Australia’s AML/CTF reforms under AUSTRAC. By adopting a harmonised approach, the OJK ensures that Indonesia’s financial institutions remain competitive while meeting international compliance standards.

A key driver behind this regulation is consumer protection. As digital banking adoption surges, maintaining public trust is important. POJK 12/2024 enforces transparency in fraud reporting, requiring financial institutions to disclose incidents promptly and implement stronger safeguards. This not only mitigates financial losses but also reassures customers that their assets are secure in an increasingly digital economy.

Looking ahead, the OJK has collaborated with several industry stakeholders, including the Task Force for the Eradication of Illegal Financial Activities (Satgas PASTI) and various industry players such as payment service providers, e-commerce platforms, and other relevant parties, to launch the Indonesia Anti-Scam Centre (IASC). This initiative aims to respond to fraud reports in accordance with applicable regulations.

The public can report fraud incidents by submitting a report through the official IASC website. Once a report is received, IASC members will verify the information and take appropriate action, including blocking fraudulent transactions. This initiative represents another significant step by OJK in its ongoing efforts to prevent fraud and safeguard customer assets. Additionally, the regulator may soon mandate more sophisticated fraud detection for high-risk transactions, pushing institutions to adopt advanced technologies, such as advanced machine learning detections, real-time risk approach and behavioural analytics or face penalties. These developments signal a broader shift across APAC, where regulators are prioritising the implementation of the latest innovations in fraud prevention to combat financial crime.

For financial institutions, staying ahead means not just complying with POJK 12/2024 but also anticipating future regulatory demands. Proactive adoption of latest technology in fraud prevention will be crucial in navigating Indonesia’s and APAC’s evolving fraud prevention landscape.

Download our latest whitepaper on addressing fraud typologies in Asia.

Is your fraud risk strategy up to standard?

Advanced fraud detection systems are now essential, incorporating real-time transaction monitoring and behavioural analytics to establish customer’s profile and flag suspicious activities. These systems must be complemented by robust internal controls, including fraud awareness training for employees and secure whistleblower channels that encourage staff to report potential violations without fear of retaliation.

The regulation also demands stricter Know Your Customer (KYC) and Anti-Money Laundering (AML) processes, requiring institutions to enhance their verification methods through more rigorous document checks and improved data sharing between organisations. This collaborative approach helps create a stronger defence against financial crimes. Additionally, automated regulatory reporting has become critical to ensure timely and accurate submissions. By integrating specialised compliance solutions, financial institutions can streamline their reporting processes and avoid costly delays that might result in penalties.

Choosing a reliable transaction monitoring solution

In recent years, the landscape of AML compliance has been rapidly evolving, especially for financial institutions in Southeast Asia. For Indonesia banks, where digital transformation and financial crime risks are accelerating, choosing the right transaction monitoring solution is critical.

GBG Predator offers a next-generation transaction monitoring platform designed to meet the complex needs of top-tier banks. With real-time analytics, AI-driven anomaly detection and a flexible rule engine, our solution equips fraud and compliance teams with insights to detect and respond to suspicious activities swiftly.

Unlike traditional systems, our solution leverages a dynamic data model and integrates with multiple data sources to analyse customer’s behaviour, transaction history, device fingerprinting and geolocation patterns. This enables banks to detect anomalies such as unusual transaction volumes, high-risk IP addresses and suspicious device usage—all in real-time.

Key features of GBG Predator for transaction monitoring:

• AI-powered anomaly detection: Uses supervised and unsupervised machine learning models to identify complex fraud patterns, reducing false positives and uncovering emerging threats.
• Behavioural analytics & profiling: Builds individual customer profiles to detect deviations from normal behaviour, improving detection accuracy and reducing alert fatigue.
• Flexible rule configuration: Customise and test over 100+ fraud scenarios tailored to the Indonesian banking environment, including mule activity, synthetic identity, and transaction laundering.
• Integrated case management: Streamlines investigations with built-in case grouping, document generation (e.g., STR reports), and audit-ready workflows.
• Real-time alerts & prioritisation: Enables instant alerting and auto-assignment of high-risk cases, ensuring timely compliance actions and efficient resource allocation.

With a proven track record of serving 5 of the BUKU IV banks in Indonesia, GBG Predator is trusted by leading financial institutions to deliver scalable, intelligent and regulator-ready transaction monitoring solutions. Whether you're combatting money laundering, fraud or terrorism financing, our solution provides the tools to stay compliant and ahead of financial crime.

Getting ahead of APAC’s regulatory shifts

POJK 12/2024 is just apart of APAC’s evolving compliance landscape. Financial institutions must act now—or risk fines, fraud losses and customer distrust.

For a complete analysis of APAC’s latest financial regulatory updates, download our latest report here.

This report includes:

• Best practices and tools for fraud prevention and AML compliance
• Strategies to stay compliant
• Case studies on successful implementation of advanced fraud detection solutions in banks