Indonesia’s central bank, Bank Indonesia, recently issued BI Regulation No. 17/3/PBI/2015 regarding the Mandatory Use of the Rupiah within the Republic of Indonesia, dated March 31, 2015 (BI Reg 17), which restricts the use of foreign currency in domestic transactions conducted within Indonesian territory. With the issuance of BI Reg 17, despite the fact that … Mandatory Use of Rupiah in Indonesia
The Indonesian Government appears to be getting serious about stripping Regents of the authority to issue mining licenses. The Government took the first steps in this direction with Minister of Energy and Mineral Resources (MEMR) Regulation No. 27 of 2013 dated September 13, 2013 regarding Procedures for the Divestment of Shares and Changes to Capital … Regulation Curbs Power of Local Authorities in Mining Sector
As mandated in Law No. 21 of 2011 regarding the Financial Services Authority (OJK Law), supervision of Indonesia’s capital markets and non-bank financial institutions was transferred from the Capital Market and Financial Institution Supervisory Agency (Bapepam-LK), part of the Ministry of Finance, to the OJK as of December 31, 2012. Oversight of the banking industry … Indonesian Financial Services Authority in Review
The Financial Services Authority (Otoritas Jasa Keuangan or OJK), the financial services supervisory body in Indonesia, issued more than 30 regulations in 2014 covering capital markets, banks and non-bank financial institutions. Muliaman Hadad, the chairman of the Board of Commissioners of the OJK, issued a statement that the enactment of the regulations supported the goals … Indonesian Financial Regulation: A Year in Review
In furtherance of Indonesia’s commitment to welcome the implementation of the ASEAN Economic Community (AEC) in 2015, Presidential Regulation Number 39 Year 2014 regarding List of Business Fields Closed to Investment and Business Fields Open, with Conditions, to Investment, dated April 24, 2014 (the 2014 DNI), continues to treat foreign investors from ASEAN countries differently … Indonesian Negative Investment List vs. Cabotage Principle: ASEAN Investors Afloat in a Sea of Uncertainty in Indonesia
By Dewi Mayangsari Foreign parties that wish to invest in Indonesia directly must follow the rules for foreign direct investment in the relevant business sector. The foreign investor must first establish a limited liability company (PMA Company) to engage in business in Indonesia. The PMA Company will be licensed by the Indonesian Capital Investment Coordinating … Investing in Indonesia: Advertising and Marketing Sector
By Syahdan Z. Aziz Public-private partnerships (PPPs) interest infrastructure investors in Indonesia for a number of reasons. PPP sets forth the arrangement for cooperation between the Government and private business entities in infrastructure procurement to accelerate the development of adequate and needed infrastructure. There are advantages to the PPP scheme, including the availability of government … An Eye on PPP in Indonesia
Continued growth in electronic transactions has resulted in electronic signatures, or e-signatures, becoming more common in daily transactions. In this article we discuss the use and applicability of e-signatures in Indonesia and the relevant regulations under Indonesian law. Introduction and definition E-signatures were unregulated in Indonesia until the enactment of Law No. 11 of 2008 … Indonesian Rules on E-Signatures
Compliance is an important issue for foreign investment companies doing business in Indonesia. As international organizations, foreign investment companies are not only required to comply with the laws and regulations of the country of origin of their parent companies but also with relevant laws and regulations in Indonesia. Due to the Capital Investment Coordinating Board … Compliance Road Map for Companies in Indonesia
By Michael S. Carl, Andini Dewi and Bambang Dhanisworo Defamation under Indonesian law involves the issuance of a defamatory statement that causes a person to suffer harm. The term defamation is often used to encompass both slander (penistaan) and libel (penistaan dengan surat). Defamation is governed in the Indonesian Criminal Code under Chapter XVI, which covers … Defamation under Indonesian Law
