Obtain Investment License in Indonesia is Getting Faster and Easier Right Now

Is that true ?

The answer is: “if it is general licensing, it is true that it is faster and easier than before”, but if it is related to the “investment process” then the process can be very wide and requires specific permits and cross-sectoral coordination.

So, are you interested in investing in Indonesia? if the answer is yes or just think about it, you should consider the following objective reviews:

In choosing investment in some country, especially in Indonesia by foreign investors, some of the main things that are almost always considered are:

  1. Manpower (availability, ability, working relationship system, wages, and working time);
  2. Raw materials (availability, convenience, and cost);
  3. Place of business (strategic, rent or price, and ownership);
  4. Facilities & Infrastructure (availability, ease of access, and cost);
  5. Licensing (convenience);
  6. Government incentives (Taxes and policies); and
  7. Local culture (democracy, openness, and social acceptance).

All of the points above seem look like economic issues that should be analyzed by economists, but it should be noted that all of the above aspects are governed by legal provisions in Indonesia. Therefore, if you are going to analyze in terms of profit or loss, then please analyze it from an economic point of view, but if you are going to analyze it from the RISK side, it is obligatory to look at it from a legal point of view.

Legal analysis will answer questions about:

  1. Is it okay or not?;
  2. Is it possible or not?;
  3. Is it risky or not?;
  4. Is it right or not?
  5. Is it recognized or not?
  6. And the most important thing is “what is the right way?” or “is that legal?”

To find out the answers to these questions, it is necessary to analyze each issue that forms the basis of the question. For this series of articles on investing in Indonesia, we will outline each of the seven main factors to consider when investing in the aforementioned sections.

After discussing the factors that must be considered, then we will discuss the investment PROCESS.

The Indonesian government provides consulting services for potential investors in Indonesia through the BKPM, so that foreign investors can take advantage of these services by contacting the BKPM directly or find out local consultant for your business interest.


By admin

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