Sharia Fatwa Strengthens Gold ETF Foundation, BRI-MI Gets Closer to Presenting First Product

Jakarta, December 2025 — The Financial Services Authority (OJK) is currently drafting OJK Regulations (POJK) regarding Gold Exchange Traded Funds (ETF) as part of efforts to strengthen regulatory certainty and governance of commodity-based instruments in the Indonesian capital market.

In line with this formulation, Chairman of the BRI Investment Management Sharia Supervisory Board (BRI-MI), Dr. Ir. H. Muhamad Nadratuzzaman Hosen, MS, Mec, Ph.D, or more familiarly known as Prof. Nadra said that the aspect of sharia compliance is also an important foundation in the development of Gold ETFs.

“The issuance of DSN-MUI Fatwa No. 163/DSN-MUI/X/2025 provides a clearer framework for preparing the Gold ETF structure and mechanism that is in line with sharia principles,” said Prof. Nadra.

For the record, the DSN–MUI Fatwa provides comprehensive provisions regarding the preparation of the Gold ETF structure and mechanism, including underlying gold, the process of creating and redeeming investment units, and the contracts used.

Thus, these guidelines can become the main foundation for BRI-MI and strategic partners in completing product designs consistently with sharia principles and capital market governance.

“The support of the ecosystem that has been formed with three large companies in the ETF and Bullion ecosystem, the foundation of this fatwa brings us closer to providing investment options that are relevant to the needs of the community,” added Prof. Nadra.

As for its development, BRI-MI is also collaborating with a number of strategic partners, including PT Pegadaian as a gold provider and custodian, PT Bank CIMB Niaga Tbk as a custodian bank, and PT Mandiri Sekuritas as a participating dealer. All parties are currently entering the advanced harmonization stage with regulators and Self-Regulatory Organizations (SROs) to ensure operational readiness and regulatory compliance.

“With the sharia foundation that has been established, it is hoped that the product finalization process will be more solid so that the Gold ETF can be introduced to the public in an appropriate and sustainable manner,” concluded Prof. Nadra.