With the advent of President Joko Widodo’s policies, the corporate landscape in Indonesia is changing at a far quicker pace than in the last two decades. Following the tax amnesty exercise, the President signed a decree on the beneficial ownership of corporations, a new law which is now in force.
The Indonesian government announced that it has launched the 16th Economic Policy Package. There are three key points to this latest economic package: (i) the revision of the DNI, (ii) the expansion of tax holidays, and (iii) the development of tax incentives for the mandatory saving of export earnings in Indonesian bank accounts.
SSEK managing partner Denny Rahmansyah recently did a Q&A with Asia Law Portal on opportunities and challenges for foreign investors in Indonesia. Denny discussed legal considerations for foreign investors entering Indonesia, capital requirements and the Indonesian real estate sector, among other topics.
The Indonesian Minister of Energy and Mineral Resources has issued Regulation No. 42 of 2018 regarding the Prioritization of the Use of Crude Oil for the Fulfilment of Domestic Demand. This regulation was issued in response to the order by Indonesian President Joko Widodo to implement the program to stabilize the foreign exchange rate in the energy and mineral resources sector.
Indonesia's Ministry of Law and Human Rights and Coordinating Ministry for Economic Affairs have issued a joint announcement requiring limited liability companies (PTs) that were established or expanded their lines of business under the 2015 Standard Classification of Indonesian Business Fields (KBLI) to amend their recorded line or lines of business in accordance with the 2017 KBLI.