Local adoption of IFRS S1 / S2 (ISSB Standards)
Indonesia's IAI issued national Sustainability Disclosure Standards based on IFRS S1 and S2 (PSPK 1 and PSPK 2) on 1 July 2025, effective 1 January 2027. OJK consulted in February and March 2026 on a regulation that would require certain financial institutions, issuers and public companies to prepare sustainability reports under these standards; the final rule is pending.
- Enforcement
- Voluntary or under development
- Effective date
- PSPK 1 and PSPK 2 effective 1 January 2027. Which entities must apply them depends on the pending OJK regulation.
- Covered entities
- To be set by OJK. The draft OJK regulation (February 2026) covers financial services institutions, issuers and public companies. The IAI roadmap proposed climate disclosures first, with other sustainability topics voluntary in the initial period.