The Indonesian Financial Services Authority (OJK) on Tuesday, May 6, 2025 launched the Regional Financial Access Index, known as Indeks Keuangan Daerah or IKAD, during the Indonesia International Financial Inclusion Summit (IFIS) 2025.
The launch marks a milestone in Indonesia’s financial inclusion efforts, serving as a groundbreaking instrument that paints a more accurate picture of financial inclusion across the archipelago. Drawing mainly on supply-side data — i.e. data sourced from financial service providers — through the OJK and Bank Indonesia, IKAD becomes a proxy indicator for financial inclusion at the provincial and district/city level, and addresses a long-standing data gap that has limited measurement of financial inclusion to only the national level.
“To strengthen financial inclusion nationwide, Indonesia requires a data-driven approach available at regional level, where decision-making happens,” says Caroline Mangowal, Director of RISE Indonesia, the research partner behind the development of IKAD.
“This data should be available periodically, in the most efficient manner possible, to give an accurate picture of the conditions of each region.”
Before IKAD, indicators to measure financial inclusion were only collected through demand-side surveys on a national level, which are costly and do not provide an accurate representation of the local realities on a regional level.
Built on a scientific framework, IKAD comprises three key pillars: the usage of financial services, availability of access points, and the depth of financial products and services available. These pillars are translated into 14 indicators, offering a nuanced picture of each region’s realities.
“Strategically, IKAD is designed to strengthen data-based decisions for TPAKDs (Regional Financial Inclusion Acceleration Teams) and regional governments, helping them design financial inclusion programs that are better targeted and more effective,” says OJK Chief Executive of Market Conduct Supervision, Financial Education, and Consumer Protection Friderica Widyasari Dewi in a speech during the launch at IFIS. She added that IKAD also allows the teams to track progress and effectiveness objectively, ensuring local governments can learn and improve its course of action along the way.
Moreover, she emphasized IKAD has become the link between the national vision and action on the ground, as it ensures that regional communities’ needs are identifiable, and that government efforts match these needs.
The launch event saw the IKAD Policy Brief being officially handed over from Friderica Widyasari to Deputy of Commerce and Digital Economy of the Indonesian Coordinating Ministry for Economic Affairs Ali Murtopo Simbolon (represented by the ministry’s Assistant Deputy of Financial Inclusion Erdiriyo), witnessed by Deputy for Economic Affairs and Digital Transformation Vivi Yulaswati.
With IKAD expected to be a national reference point in tracking progress towards financial inclusion targets, Bappenas hosted a follow-up online socialization session on Friday, May 9 2025. The event—conducted as part of the preparation for the 2025–2029 Regional Medium-Term Development Plan (RPJMD)—was attended by more than 800 participants from a wide range of institutions, particularly Regional Development Planning Agencies (Bappeda) representing all 38 provinces and 513 districts and cities.
“As financial inclusion becomes one of the 45 national development indicators, ensuring its reflection in regional plans is essential,” Vivi stated.
The development of IKAD is the result of cross-sector collaboration involving OJK, the Bappenas), the Coordinating Ministry for Economic Affairs, and RISE Indonesia, with support from the Bill & Melinda Gates Foundation.
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