ANNOUNCEMENT 06 Mar 2012In March 2012, the government of Indonesia announced changed rules for foreign investors.
NUMBER OF INTERVENTIONS
Financial Times. (7 March 2012). Indonesia limits foreign ownership of mines. Available at http://www.ft.com/intl/cms/s/0/e9d9e570-684f-11e1-a6cc-00144feabdc0.html
Wall Street Journal. (7 March 2012). Indonesia to Pare Foreign Investors' Mining Stakes. Available at http://online.wsj.com/article/SB10001424052970203961204577267154219230034.html
According to consistent press reports, the government of Indonesia has decreased its cap on foreign ownership in the mining sector by 6 March 2012.
Under the new regulation, foreign investors may only own up to 49 percent of a mining company. Foreign companies currently holding higher stakes shall reduce them accordingly within the next 10 years. Prior to the change, foreign investors were allowed to hold up to 80 percent of a mining company in Indonesia.