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Indonesia Business Legal Guidelines

Standard Indonesian Business Field Classifications

The Definition of KBLI

The KBLI is one of the standard classifications published by the BPS for economic activities.  The KBLI classifies Indonesian economic activities or activities that produce products or outputs in the form of goods or services based on the business fields as a standard and coordination tools, integration, and synchronization of statistics. 

The most recent version is the 2020 KBLI which the BPS has issued through BPS Reg. No. 2/2020, which subsequently revokes the 2015  and 2017 KBLI.  Moreover, the 2020 KBLI has accommodated various types of emerging business models that were not provided for by the 2017 KBLI.

The Importance of KBLI

To understand all types of businesses in Indonesia, including its classifications, potential investors can refer to the KBLI as outlined in the Appendix of BPS Reg. No. 2/2020. The KBLI assists prospective investors in determining their intended business activities.

KBLI determines specific code for every business field, which shall be included and listed in the AoA of the company. Moreover, the business actor will choose the main KBLI as a reference in the issuance of its business licensing, which grants the entrepreneur legal permission to start and undertake business and/or activities, which consists of: 

  • NIB, the registration proof and the identity of entrepreneur to legally undertake their business and/or activities; 

  • A Standard Certificate: the statement or proof of compliance with the standards of business operation; and 

  • A Permit: the approval issued by the Central Government or Regional Government for business operations which must be obtained prior to the commencement of business operations.

The Structure of KBLI

The KBLI has been developed with reference to the International Standard Classification of All Economic Activities (ISIC) system created by the United Nations, to a level of 4 (four) digits and adjusted to the ASEAN Common Industrial Classification (ACIC) and East Asia Manufacturing Statistics (EAMS).  Due to the conditions of economic activities in Indonesia, the 2020 KBLI develops up to the level of 5 (five) digits which is now applicable in Indonesia. The structure of the KBLI numbers in the 2020 KBLI according to the BPS is as follows:

The Structure of KBLI

The Structure of KBLI

Source: Launching and Socialization of KBLI 2020 by BPS

For instance, the structure of KBLI No. 46312 for trading activity of fruits is as follows:


The Structure of KBLI

Source: Launching and Socialization of KBLI 2020 by BPS

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