News

Highlight Provision of OJK Regulation No. 13/POJK.02/2018 on Digital Financial Innovations

A. Background & Scope of Regulatory Framework On 16 August 2018, the Financial Services Authority (Otoritas Jasa Keuangan – “OJK”) enacted OJK Regulation No. 13/POJK.02/2018 on Digital Financial Innovations within the Financial Services Sector (“DFI”) (“OJKR 13/2018”),  providing a regulatory framework for DFI. OJKR 13/2018 applies to DFI Operators (“Operators”) conducting the DFI businesses that meet… Read More »

New Indonesian Court Electronic Filing System

On 4 April 2018, the Supreme Court of the Republic of Indonesia (“SC”) issued SC Regulation No. 3 of 2018 concerning Electronic Court Case Administration (“SC Regulation No. 3/2018”). SC Regulation No 3/2018 sets a new landmark in the court filing system in Indonesia by introducing the electronic court filing system. In particular, it significantly… Read More »

BKPM revokes regulation No. 13/2017 and introduces new investment licensing

In line with the mandates of Government Regulation No. 24 of 2018 on Electronic Integrated Licensing Services (“GR 24/2018”) (click here for our previous update on GR 24/2018) to simplify the licensing process for investors, BKPM recently issued BKPM Regulation No. 6 of 2018 on the Guidelines and Procedures for Investment Licensing and Facilities (“BKPM… Read More »

Changes in investment licensing procedures

As part of its commitment to making it easier to run businesses in Indonesia, on 21 June 2018 the Indonesian Government issued the long-awaited Government Regulation No. 24 of 2018 on Electronically Integrated Licensing Services (“GR 24/2018”). GR 24/2018 cuts the red tape and simplifies the previously complex licensing procedures by introducing a new system… Read More »

New Requirements by Indonesian Government on Management of Expiring Oil and Gas Working Areas and Signing Bonus

On 24 April 2018 the Minister of Energy and Mineral Resources of the Republic of Indonesia (“MEMR”) issued MEMR Regulation No. 23 of 2018 (“MEMR Regulation 23/2018”), as further amended by MEMR Regulation No 28 of 2018 dated 7 May 2018 (“MEMR Regulation 28/2018”). Below are the highlights of MEMR Regulation 23/2018: MEMR Regulation 23/2018… Read More »

Major changes to electronic money regulation, including new foreign ownership limit and restriction of holding multiple licenses in two different categories

I. Background Ever since the Indonesian central bank (Bank Indonesia, “BI”) permitted the use of electronic money (e-Money) as a non-cash payment facility and issued Bank Indonesia Regulation No. 11/12/PBI/2009 on Electronic Money (“PBI 2009”), the use of e-Money has significantly increased in Indonesia[1], which in turn indirectly stimulate the advance of fintech transactions. To… Read More »

Stricter Rules On Foreign Ownership In Insurance Companies

After years of waiting, on 18 April 2018, the Indonesian Government finally issued Government Regulation No. 14 of 2018 on Foreign Ownership in Insurance Companies (“GR 14/2018”). The previous regimes of the Indonesian insurance laws and regulations issued during 1992 through 2008 have experienced several changes, one of which is concerned with Foreign Ownership in… Read More »

Simplified New Rules on Foreign Workers (TKA) in Indonesia

President Joko Widodo has officially signed Presidential Regulation No. 20 of 2018 on Foreign Worker Utilization (“PR No. 20/2018”), which will come into force on 29 June 2018. Upon its forthcoming operation, the new regulation will replace and revoke Presidential Regulation No. 72 of 2014 on Utilization of Foreign Workers and Implementation of Education and… Read More »

New Obligations On Post-Operation (Asr) Activities And Reserve Fund Allocation

The Ministry of Energy and Mineral Resources (“MEMR”) recently issued Regulation No. 15 of 2018 regarding the Post-Operation Activities in the Upstream Oil and Gas Industry (“MEMR Regulation No. 15/2018”), imposing new obligations with respect to Abandonment and Site Restoration (ASR) or post-operation activities on contractors. The regulation came into force on 23 February 2018… Read More »

Key Differences Between Existing Indonesian Personal Data Regulations

For the past few years, the Indonesian market has seen the rise of technology-based start-up companies, and this phenomenon stimulates the rapid development of technology-based transactions (including the technology-based “unicorn”[1] companies such as Go-Jek, Tokopedia, and Traveloka[2]). One distinctive characteristic of these technology-based transactions is that consumers are generally required to provide their personal information… Read More »