IMPLEMENTATION LEVEL

National

AFFECTED FLOW

Inflow

ANNOUNCED AS TEMPORARY

No

NON-TRADE-RELATED RATIONALE

No

ELIGIBLE FIRMS

all

JUMBO

No

TARIFF PEAK

No
← back to the state act
Inception date: 09 Jul 2018 | Removal date: open ended
Still in force

Import licensing requirement

The president announced a number of policy measures targetted at reducing the burden of the country's vast number of licensing requirements.

Apart from establishing a National Task Force (as well as Regional Task Forces) aimed at resolving obstacles related to the licensing procedure, the measure introduces a "License Checklist" at each Special Economic Area, Free Trade Zone, Industrial Area, and Tourism Area, providing new investors with information regarding the required licenses to operate in the area.

More importantly, however, the economic package also includes the introduction of an Integrated Single Submission Licensing System. According to article 31 of the presidential regulation 91/2017, "all licensing procedures under the authority of ministers/heads of institutions, governors, regents/mayors shall be conducted through the Online Single Submission System" (para.1; own translation). The second paragraph of the article further states that the System "shall become the single reference in the enforcement of business licensing as long as it has not been regulated or not contradictory to the laws and regulations."

Furthermore, the System "shall be integrated with the existing system of government services, at least including: Identity Number, the legal establishment of a business entity, the Indonesian National Single Window, PTSP [the One-Stop Integrated Service Centre for Foreign Investments], and systems from other ministries/agencies."

The underlying Presidential Regulation came into force on 26 September 2017. However, according to the Indonesian SSEK Law Consultancy (cf. Secondary Sources), the Single Submission Licensing System is projected to become operational on 1 January 2018. Eventually, according to the Coordinating Ministry for Economic Affairs, the OSS was launched on 9 July 2018. Hence, this date has been set as the inception date.

AFFECTED COUNTRIES

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