Indonesia Financial Services Authority (OJK) officially announced its Regulation No 51/POJK.03/2017 dated 27 July 2017 regarding Implementation of Sustainability Reporting for Financial Services Institutions, Issuers and Public Companies (POJK 51), requiring the above mentioned entities to prepare sustainability reporting in near future.
This is in line with a global consensus that disclosure of sustainability information on environmental, social and governance (ESG) serves as an indicator of good business conduct and compliments financial reporting as a measure of value. As part of Global Initiatives, OJK now published or committed to providing ESG guidance for financial services institutions, issuers and public companies under its supervision.
Under POJK 51, financial services institutions, issuers and public companies are to publish an annual sustainability report, no later than four months after the end of each financial year, covering the following components:
The new requirements will take effect as early from the financial year ending on, or after 31 December 2019 for certain banks, 2020 for certain issuers and public companies, up until 2025 for pension funds.
At Crowe Horwath, we can help your organization embark on your sustainability reporting journey in a simple three-step process that will enable you to adapt more easily to future changes in nonfinancial reporting standards:
Talk to us to find out how we can help you overcome challenges and lay the course for sustainability reporting at your organization. For more information, about Crowe Horwath’s global sustainability services, please contact Munir M. Ali and Yosef Hendrarno.