Blog Category: Legal Updates

Indonesia Reintroduces Limits on Outsourcing Under New Manpower Regulation

On April 30, 2026, Indonesia’s Ministry of Manpower enacted Regulation No. 7 of 2026 regarding Outsourcing, introducing a significant shift in the country’s labor regime. The new regulation, consisting of 11 articles, marks a departure from the broader flexibility previously seen under the Job Creation Law framework by reimposing clearer limits on outsourcing practices. Return Indonesia Reintroduces Limits on Outsourcing Under New Manpower Regulation

Padel Facilities in Jakarta: Greater Flexibility Paired with Stricter Controls

The surge of padel in Jakarta in recent years has led to a corresponding increase in the development of padel facilities across the city, including in urban areas near residential neighborhoods. This growth has raised concerns, particularly regarding noise pollution and its impact on surrounding communities. In response, the Government of DKI Jakarta, through the Padel Facilities in Jakarta: Greater Flexibility Paired with Stricter Controls

From Boom to Boundaries: DKI Jakarta’s New Padel Restrictions

The rapid development of padel in the Special Capital Region of Jakarta is reflected in a boom in the construction of padel buildings and courts across the capital, including in residential neighborhoods. While this growth reflects rising public interest in the sport, it has also given rise to concerns, particularly regarding noise disturbances and other From Boom to Boundaries: DKI Jakarta’s New Padel Restrictions

Indonesia’s Payment System Reform: Key Changes under BI Regulation No. 10/2025 and MBG Regulation No. 32/2025

Bank Indonesia (“BI”), the country’s central bank, recently issued BI Regulation No. 10 of 2025 regarding the Payment System Industry (“BI Reg. 10/2025”). This regulation revokes BI Regulation No. 22/23/PBI/2020 on Payment Systems and amends provisions of BI Reg. 23/6/PBI/2021 regarding Payment Service Providers (“BI Reg. 23/6”) and BI Reg. 23/7/PBI/2021 on Payment Service Infrastructure Indonesia’s Payment System Reform: Key Changes under BI Regulation No. 10/2025 and MBG Regulation No. 32/2025

Indonesia Introduces a Dedicated BNPL Regulatory Framework

The Indonesian Financial Services Authority (Otoritas Jasa Keuangan or “OJK”) has issued OJK Regulation No. 32 of 2025 on the Organization of Buy Now Pay Later (“OJK Reg. 32/2025”), establishing a dedicated regulatory framework for Buy Now Pay Later (“BNPL”) in Indonesia. Previously, BNPL operated under general financing regulations, without a standalone regime. Clear Definition Indonesia Introduces a Dedicated BNPL Regulatory Framework

Indonesia Introduces New Carbon Trading Framework Under Presidential Regulation No. 110 of 2025

Indonesia has introduced a new carbon trading framework through Presidential Regulation No. 110 of 2025, dated October 10, 2025, on the Implementation of Carbon Economic Value and National Greenhouse Gas Control (“PR 110/2025”). The Regulation sets out the basis for Indonesia’s updated carbon trading regime and reflects the government’s commitment to strengthening market-based mechanisms for Indonesia Introduces New Carbon Trading Framework Under Presidential Regulation No. 110 of 2025

Indonesia Updates Its Import Regime: Key Changes Under Minister of Trade Regulation No. 37 of 2025

Minister of Trade Regulation No. 37 of 2025 (“MOT Reg. 37/2025“) introduces amendments to Minister of Trade Regulation No. 16 of 2025 and sets out updated policies and arrangements governing imports into Indonesia. The regulation was enacted on October 22, 2025, and reflects the Government’s ongoing efforts to recalibrate trade policy in response to evolving Indonesia Updates Its Import Regime: Key Changes Under Minister of Trade Regulation No. 37 of 2025

Indonesia Strengthens Regulatory Framework for Digital Financial Asset Trading: Key Updates under OJK Regulation No. 23 of 2025

The Indonesian Financial Services Authority (Otoritas Jasa Keuangan or “OJK”) recently issued OJK Regulation No. 23 of 2025, which amends OJK Regulation No. 27 of 2024 on the Implementation of Digital Financial Asset Trading, including Crypto Assets (“OJK Reg. 23/2025”). OJK Reg. 23/2025 aims to strengthen Indonesia’s regulatory framework and enhance clarity and investor protection Indonesia Strengthens Regulatory Framework for Digital Financial Asset Trading: Key Updates under OJK Regulation No. 23 of 2025

Indonesia Issues BKPM Regulation No. 5 of 2025 to Implement Updated Risk-Based Business Licensing Framework

Indonesia’s Ministry of Investment and Downstream Industry/Head of the Investment Coordinating Board (“BKPM”) has issued BKPM Regulation No. 5 of 2025 on Guidelines and Procedures for the Implementation of Risk-Based Business Licensing and Investment Facilities through the Electronically Integrated Business Licensing System (Online Single Submission/OSS) (“BKPM Regulation 5/2025”). The regulation was issued on October 1, Indonesia Issues BKPM Regulation No. 5 of 2025 to Implement Updated Risk-Based Business Licensing Framework

Non-Competition Clauses in Indonesia: Insights from an Indonesian Supreme Court Ruling

In late 2023, the Indonesian Supreme Court, in Decision No. 3549 K/Pdt/2023, granted an appeal filed by a company in the elevator industry against a former employee. The decision has attracted much attention as a notable development in the enforceability of non-competition clauses in employment agreements and their treatment as a breach of contract under Non-Competition Clauses in Indonesia: Insights from an Indonesian Supreme Court Ruling