Indonesia Business Legal Guidelines
December 2021 Edition
The Government of Republic of Indonesia continues to strive to increase the economic growth of Indonesia. The efforts which have been done comprise the simplification of regulations and the licensing matters. Notwithstanding such means, there are still many challenges that might be faced by the relevant stakeholders who are involved in the business process in Indonesia. The hurdles are usually misinterpreted provisions specified under the prevailing laws, the complexity of bureaucracy, and other hindrances during operation in the fields.
To support the efforts made by the Government of the Republic of Indonesia, and as part of our attempt to be actively involved in creating legal certainty in doing business in Indonesia, we, AHRP, as an institution engaged in legal advisory, have prepared the guidelines emphasizing the laws and regulations that are generally required to be complied in conducting business in Indonesia.
In providing this publication, we also refer to the rules that are applicable after the enactment of Law Number 11 of 2020 on Job Creation whose provisions render substantial changes in the regulation of many sectors in Indonesia. This publication will be updated periodically as the laws and regulations change rapidly from time to time.
We hope that this publication can be useful for any parties who intend to carry out business activities in Indonesia.
Chapter I
Ease of Doing Business in Indonesia
Overview of Indonesia's business climate and incentives for investors
Chapter III
Business Sectors for Investment in Indonesia
Priority business sectors and conditions for investment
Chapter V
Indonesia's Legal System
Hierarchy, characteristic of regulations and decree, type of government authority
Chapter VII
Incorporation of Limited Liability Company in Indonesia
Requirements, article of association, organs and authorization
Chapter IX
Licensing in General
Business licensing, land, environmental, building construction and utilization
Chapter XIII
Dispute Settlement
Settlement of legal dispute, government-private investment dispute
Chapter XV
Government Policy to Suppress the Spread of COVID-19 in Indonesia
Restriction and mitigation plans
Chapter II
Indonesia’s Development Plan
Long term, medium term and government work plan in national development
Chapter IV
Standard Indonesian Business Field Classifications
Definition, importance and structure of business field classification
Chapter VIII
Merger, Consolidation, and Acquisition in Indonesia
Mechanism and procedures for M&A
Chapter X
Business Compliance
Language, reporting, legalization, taxation, currency, antitrust, domestic component level
Chapter XIV
Anti-Corruption and Good Corporate Governance in
Doing Business
Things to obey in keeping the business clean
