Indonesia has the largest economy in Southeast Asia, predicted to be the fifth-largest economy in the world by 2030. Indonesia has made deregulating its economy a focus and the country jumped 19 places to 72 in the World Bank’s 2018 Ease of Doing Business index.
Indonesia’s construction and projects market is growing and is predicted to continue to strengthen. Infrastructure development has been one of the main focuses of the current administration of President Joko “Jokowi” Widodo.
A franchise, under Indonesian regulations, is defined as a special right owned by an individual or a legal entity to a unique business system that has proven successful in selling goods and/or services, and can be used by another party based on a Franchise Agreement.
The Indonesian government has introduced a new tariff regime for renewable energies. The new regime gives the Indonesian state power company, PLN, greater control over tariffs in the sector through business-to-business negotiations and benchmarking against the applicable Electricity Generation Basic Cost.
Bank Indonesia has issued a long-anticipated regulation on e-money that stipulates a number of requirements and prohibitions that were previously unregulated. The new regulation revokes all existing BI e-money regulations.
The Indonesian government issued Law No. 33 of 2014 concerning Halal Product Assurance (the “Halal Law”) in 2014. This was seen as an important piece of legislation, considering that Indonesia is home to the world’s largest Muslim population and halal refers to what is permissible under Islamic law.
The Indonesian Supreme Court in December issued Circular Letter No. 1 Year 2017 containing new policies to be applied by courts in Indonesia when handling criminal, civil, religious and military matters.