Introduces a new capital investment regulation on licensing and facilities

On 13 December 2017, the Indonesian Investment Coordination Board (BKPM) issued a regulation (Reg. 13/2017) that sets out, among other things, new rules governing how to obtain investment approvals. It mainly simplifies the process of obtaining investment licenses. For example, it replaces the Principle License (in Indonesian: Izin Prinsip), which was required to start a new business, by the Investment Registration (Pendaftaran Investasi). The new regulation will take effect on (1) 2 January 2018 for the one-stop service at the central BKPM and (2) at the latest 2 July 2018, for the one-stop service at a provincial/regency/city level.

• Type:

  • Entry and establishment (Approval and admission)
  • Promotion and facilitation (Investment facilitation )

• Industry:

  • Not industry specific

• Sources:

  • ALLEN & OVERY, New Guidelines for Obtaining Investment Licenses and Facilities: BKPM Reg. 13/2017, http://www.allenovery.com/publications/en-gb/Pages/New-Guidelines-for-Obtaining-Investment-Licenses-and-Facilities-BKPM-Reg-132017.aspx, 08 Jan 2018
  • INDONESIA INVESTMENTS, Principle License Replaced by Investment Registration, https://www.indonesia-investments.com/news/todays-headlines/principle-license-replaced-by-investment-registration/item8461?, 03 Jan 2018
  • Akset (Law firm), New Capital Investment Regulation on Licensing and Licensing and Faclilities, http://aksetlaw.com/content/uploads/2017/12/Newsflash20-20Perka20BKPM2013-2017.pdf, 26 Dec 2017