ANNOUNCEMENT 31 Oct 2014

In October 2014, the government of Indonesia announced changed rules for foreign investors.

NUMBER OF INTERVENTIONS

1

  • 1 harmful
  • 0 neutral
  • 0 liberalising

SOURCE



Regulation 12/POJK.05/2014 (in Bahasa Indonesia):
http://ojk.go.id/dl.php?i=3688

Secondary Source:
http://blog.ssek.com/wp-content/uploads/2015/02/Legal-Alert_January-2015.pdf

List of FDIs by national bank in Indonesia in 2013:
http://www.bi.go.id/seki/tabel/TABEL5_37_2.pdf


Inception date: 08 Jan 2015 | Removal date: open ended
Still in force

FDI: Entry and ownership rule

 On 31 October 2014, the Indonesian Financial Services Authority (OJK) announced regulation 12/POJK.05/2014 introducing new regulations on microfinance institutions. From there on, these institutions have to be registered as limited liability companies (PT) with 60 percent of the shares held by the local government or regency. The remaining shares have to be held by Indonesian nationals. (art. 2 of the regulation)
The regulation came into force on 8 January 2015.
The list of affected trading partners is based on the FDI flows over 10 million USD in Indonesia for 2013 in the sector "Financial Intermediation", as calculated by the Indonesian national bank.

AFFECTED SECTORS

 
N/A

AFFECTED PRODUCTS

 
N/A