Monday May 12 2014

News Source: Global Disclosures

Focus: Foreign Investment

Type: General

Country: Indonesia




The Government of Indonesia has published revisions to the Indonesia Foreign investment negative list. These amendments are stipulated in Presidential Decree No. 39 in 2014 on List of Business Fields Closed and Business Fields Open with Conditions to Investment, that was signed by President Susilo Bambang Yudhoyono on April 23, 2014. The new decree replaces the previous decree, Presidential Decree No. 36 in 2010.

The new decree is divided into the three groups of business areas as below:

  • Closed: foreign investors are prohibited from conducting any investment activities in closed sectors. This includes goods/ services prohibited by Indonesian Law, and those considered dangerous, polluting, strategic for national security or heritage.
  • Open with conditions: these business fields are open in line with the requirement of the business, reserved for Small and Medium Enterprises and Cooperatives, required partnership, and business fields that require certain conditions, such as capital ownership, specific location and specific licensing.
  • Other: Sectors are open to foreign investment without conditions.

Click on the above link for the decree (in Indonesian).