Indonesia's Electric Vehicle Financing to Continue Growth in 2026

OJK Predicts Sustained Growth Despite Ended Incentives

The Indonesian government has decided not to extend Electric Vehicle (EV) incentives in 2026, but the Financial Services Authority (OJK) remains optimistic about the continued growth of electric vehicle financing through multifinance companies. According to Agusman, OJK's Head of Executive Supervisor for Financing Institutions, the growth will be driven by increasing public interest in environmentally friendly vehicles, expanding brand choices, and supportive policies.

Key Factors Supporting Growth

1. Growing Environmental Awareness: Public interest in eco-friendly transportation is on the rise
2. Expanding Market Options: More EV brands are entering the Indonesian market
3. Supportive Regulatory Environment: Existing policies continue to encourage EV adoption

Recommendations for Multifinance Companies

To maintain the growth momentum, OJK advises multifinance companies to:

1. Strengthen Risk Management: Adapt to the unique characteristics of EV financing
2. Adjust Financing Schemes: Develop products tailored to electric vehicle market needs
3. Collaborate with Ecosystem Partners: Work with automotive and supporting infrastructure players

Market Outlook

The OJK's confidence in continued growth reflects the maturity of Indonesia's EV ecosystem. While government incentives will end, market forces and supportive regulations are expected to sustain the momentum in the electric vehicle financing sector throughout 2026.