RegulationSummaryAttachment
Presidential Regulation No. 9/2021 on Housing Administration Acceleration Body (“PR 9/2021”)• PR 9/2021 establishes the Housing Administration Acceleration Body (“BP3”).

• BP3 serves to accelerate construction and provision of public housing for low-income society and regulates on public and special housing.

• In force.
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Presidential Regulation No. 10/2021 on Business Sectors for Capital Investment (“PR 10/2021”)• PR 10/2021 regulates business sectors that are open for investment; such sectors include sectors allotted for, or open for collaboration with, micro, small and medium-sized enterprises.

• Annex III includes new Business Sector Classification (“KBLI”) that replaces the previous KBLI on Presidential Regulation No. 44/2016 (file attached).

• Will come into force 30 (thirty) days after the PR is enacted.
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Annex I
Annex II
Annex III
Presidential Regulation No. 11/2021 on Cooperation between Central Government and State-Owned Enterprises on Administration of Basic Geospatial Information (“PR 11/2021”)• PR 11/2021 is aimed to provide funding for administration of basic geospatial information, access to such information, and creating investment climate in geospatial information sector to stimulate geospatial industry growth.

• In force.
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Presidential Regulation No. 12/2021 on Amending Presidential Regulation No. 16/2018 on Provision of Government Properties/Services (“PR 12/2021”)• PR 12/2021 regulates methods, modalities and technicalities on Government Properties and Service provisions.

• In force.
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Government Regulation No. 5/2021 on Risk-Based Business Licensing (“GR 5/2021”)• GR 5/2021 aims to implement Risk-Based Business Licensing through simplified licensing mechanism and supervision of business activities.

• Business risk for the purpose of licensing is graded according to risk analysis, which defines what kind of Business License a business shall obtain.

• Article 8 outlines points for risk analysis done by the central government, namely:
- Identification of business activity;
- Assessment on the level of dangerousness;
- Assessment on possibilities for danger;
- Identification of risk level and business scale level; and
- Identification of Business License types.

• In force; Article 566 (2) states that Risk-Based Business Licensing through Online Single Submission ("OSS") shall be implemented in 4 (four) months' time at the latest.
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Government Regulation No. 6/2021 on Regional Business Licensing Administration (“GR 6/2021”)• GR 6/2021 regulates regional government’s role in administering Business Licenses along with the central government.

• Governors and mayors/regents delegate regional government’s authority in Business Licensing through their respective regional head of (provincial/municipal) Single-Window Integrated Service.

• Regional government’s administration of business licensing shall refer to regulation on risk-based business licensing.

• In force; Article 39 (1) obliges regional and regional head of government regulations on business permits shall be adjusted to comply with this GR in 2 (two) months' time at the latest, unless regulated otherwise.
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Government Regulation No. 7/2021 on Relaxation, Protection, and Empowerment of Micro, Small and Medium-Sized Enterprises (“GR 7/2021”)• GR 7/2021 regulates development and granting of facilities as ways to achieve relaxation, protection, and empowerment of Micro, Small and Medium-Sized Enterprises (“MSMEs”).

• Article 35 (3) outlines criteria for MSME in relation to their business capital.
- Micro-sized enterprises: business capital no more than IDR 1,000,000,000 (one billion rupiah), exclusive of land and business site.
- Small-sized enterprises: business capital from IDR 1,000,000,000 (one billion rupiah) to at most IDR 5,000,000,000 (five billion rupiah), exclusive of land and business site; and
- Medium-sized enterprises: business capital from IDR 5,000,000,000 (five billion rupiah) to at most IDR 10,000,000,000 (ten billion rupiah), exclusive of land and business site.

• Article 35 (5) also regulates yearly sale results as another criteria in registering an MSME, namely:
- Micro-sized enterprises: yearly sales at most IDR 2,000,000,000 (two billion rupiah);
- Small-sized enterprises: yearly sales exceed IDR 2,000,000,000 (two billion rupiah) and at most IDR 15,000,000,000 (fifteen billion rupiah);
- Medium-sized enterprises: yearly sales exceed IDR 15,000,000,000 (fifteen billion rupiah) and at most IDR 50,000,000,000 (fifty billion rupiah).

• In force.
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Government Regulation No. 8/2021 on Authorized Capital of Companies and Registration of Establishing, Amending, and Dissolving Companies Fulfilling Requirements for Micro and Small-Sized Enterprises (“GR 8/2021”)• GR 8/2021 regulates authorized capital of companies and single-member limited liability company.

• Single-member limited liability companies may now be established by being legally capable to undertake legal conducts and be at least 17 years of age.

• In force.
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Annex I
Government Regulation No. 9/2021 on Taxation Treatments to Support Ease of Doing Business (“GR 9/2021”)• GR 9/2021 regulates taxation affairs in supporting Ease of Doing Business.

• Scopes of this GR are:
- Income Tax;
- Value-Added Tax; and
- General Regulation and Method on Taxation.

• In force.
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Government Regulation No. 10/2021 on Regional Taxes and Retributions in Supporting Ease of Doing Business and Regional Services (“GR 10/2021”)• GR 10/2021 regulates incentive for regional governments in the event of decreased income from regional taxes and retributions.

• Central government may adjust taxes and/or retribution fees regulated in regional legislations through Presidential Regulation.

• In force.
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Government Regulation No. 11/2021 on Village-Owned Enterprises (“GR 11/2021”)• GR 11/2021 regulates Village-Owned Enterprise (“VOE”) and Joint Village-Owned Enterprise.
• VOEs and Joint VOEs are established as legal bodies after receiving certificate of registration from the Minister of Law and Human Rights.

• Article 9 (2) stipulates that registration of VOEs and Joint VOEs will be integrated with legal body administration system of the Ministry of Law and Human Rights.

• In force.
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Government Regulation No. 12/2021 on Amending Government Regulation No. 14/2016 on Administration of Housings and Housing Complex (“GR 12/2021”)• GR 12/2021 obligates legal corporations handling housing and residential construction to realize Proportional Housing Complex.

• Proportional Housing Complex includes:
- Large-scale housing (at least containing 3,000 (three thousand) houses; and
- Other-scale housing (containing between 100 (one hundred) and 3,000 (three thousand) houses.

- In force.
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Government Regulation No. 13/2021 on Administration of Flats (“GR 13/2021”)• GR 13/2021 obligates Commercial Flat Developers to provide Public Flats with the size of at least 20% of total space used for Commercial Flat.

• In force.
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Government Regulation No. 14/2021 on Amending Government Regulation No. 22/2020 on Implementing Regulation of Act No. 2/2017 on Construction Services (“GR 14/2021”)• GR 14/2021 regulate types of businesses for Construction Services, namely:
- Construction consulting service;
- Construction work; and
- Integrated construction work.

• A construction consulting office cannot acquire construction work and integrated construction work, whereas a construction service cannot acquire construction consulting service and integrated construction work.

• An integrated construction work may acquire both construction consulting service and construction work.

• In force.
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Government Regulation No. 15/2021 on Implementing Regulation of Act No. 6/2021 on Architect (“GR 15/2021”)• GR 15/2021 regulates architect as a profession and technicalities on provision of architect practice service in building and its environment design.

• An architect shall obtain Architect Registration Letter in order to practice architecture.

• In force.
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Government Regulation No. 16/2021 on Implementing Regulation of Act No. 28/2002 on Buildings (“GR 16/2021”)• GR 16/2021 determine buildings according to its function and classification and also concern regulatory, technical aspects on buildings and their construction.
• Building functions include:
- Residential function;
- Religious function;
- Business function;
- Social and cultural function; and
- Special function.

• Buildings shall be built with consideration to surrounding environs and in compliance with Design Plan for Spatial Development (“RDTR”).

• This GR also regulates Building Approval (“PBG”), issued to construct new buildings or related infrastructure, as well as to change, extend, reduce, and/or preserve buildings or its infrastructure.
- Article 253 (4) obliges building owner to request for PBG prior to building construction.
- Article 346 (2) however, also confirms the validity of Building Construction License (“IMB”) that has been acquired prior to enactment of this GR, until its expiry date.

• In force; regency/municipal regional governments shall prepare PBG for issuance in 6 (six) months’ time at the latest after the enactment of this GR.
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Government Regulation No. 17/2021 on Fourth Amendment to Government Regulation No. 15/2005 on Toll Roads (“GR 17/2021”)• GR 17/2021 provides for MSMEs in promoting certain and regional products in rest areas.

• In using rest areas, MSMEs are accommodated through partnership with toll road operating businesses, where 30% (thirty percent) of total rest area space shall be allotted to MSMEs.

• In force.
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Government Regulation No. 18/2021 on Management Rights, Land Rights, Flat Unit and Land Registration (“GR 18/2021”)• GR 18/2021 acknowledges State ownership of land in Article 2 (1).

• Management rights are divided according to ownership (State and Tribal/ulayat), and are given to only tribal societies in terms of management rights of ulayat-owned land.

• Lands from reclamation effort can be given either management or land rights insofar as reclamation permit has been obtained.

• Only Indonesian individuals and Indonesian-incorporated businesses can acquire business use and building rights.

• Foreigners and foreign corporations having representatives in Indonesia may be granted utilization rights under Article 49.

• Foreigners, foreign corporations and representatives of foreign States and international organization having representatives in Indonesia can also obtain Ownership Right of a Flat Unit.

• Article 84 provides for land registration through electronic means.

• In force.
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Government Regulation No. 19/2021 on Administration of Land Provision for Development for Public Interest (“GR 19/2021”)• GR 19/2021 outlines purposes of land development in Land for Public Interest under Article 2.

• Organizations requiring land to be constructed for Public Interests shall create Land Allotment plan based on:
- Spatial development plan; and
- Development priority contained within mid-term development/strategic/the organization/government’s work plan.

• In force.
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Government Regulation No. 20/2021 on Abandoned Land and Zone Regulation (“GR 20/2021”)• GR 20/2021 outlines regulation of abandoned zone objects in Article 6, whereas objects of regulation of abandoned lands are regulated in Article 7.

• Land with Management Rights by tribal societies or are assets of Land Bank are exempt from abandoned land regulation.

• Repeals Government Regulation No. 11/2010 on Regulation and Utilization of Abandoned Land.

• In force.
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Government Regulation No. 21/2021 on Administration of Spatial Development (“GR 21/2021”)• GR 21/2021 regulates administration of regulation on spatial development to include drafting and fixating of guide containing standards, procedures, and criteria on spatial development.

• General spatial development plan as regulated in the GR includes:
- National Spatial Development Plan;
- Provincial spatial development plan;
- Regency-level spatial development plan; and
- Municipal spatial development plan.

• In force.
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Government Regulation No. 22/2021 on Administration of Environmental Protection and Management (“GR 22/2021”)• GR 22/2021 obliges every business and/or activities having important or unimportant effect on environment, to possess Environmental Approval.

• Environmental Approval is obtained through:
- Drafting of Environmental Impact Analysis ("Amdal"), and related due diligence tests; or
- Drafting of Environmental Management Effort Report/Environmental Monitoring Effort Report (“UKL-UPL”) form and its review.

• Article 4 obliges every business and/or activity having an environmental impact to possess:
- Amdal;
- UKL-UPL; or
- Environmental Management and Supervision Statement Letter (“SPPL”).

• In force.
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Government Regulation No. 23/2021 on Forestry Administration (“GR 23/2021”)• GR 23/2021 regulates forestry planning, forestry zones and their functions and use, forestry management and utilization, social management of forestry, forestry protection, supervising measures and related administrative sanctions.

• In force.
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Government Regulation No. 24/2021 on Methods regarding Administrative Sanction Implementation and Non-Tax State Income derived from Administrative Fines in Forestry (“GR 24/2021”)• GR 24/2021 regulates administrative sanctions for business activities without business licensing for operation in Forestry Zone and related administrative fines, including in relation to its calculation and Non-Tax Government Income.

• In force.
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Government Regulation No. 25/2021 on Administration of Energy and Mineral Resources Sector (“GR 25/2021”)• GR 25/2021 regulates licensing and related technicalities, as well as administrative sanctions in relation to undertaking of business activity in these sub-sectors:
- Mineral and coal;
- Geothermal; and
- Electricity.

• In force.
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Government Regulation No. 26/2021 on Administration of Agriculture Sector (“GR 26/2021”)• GR 26/2021 is divided to regulate the following sub-sectors:
- Chapter II: Plantation;
- Chapter III: Request for Plant Variety Protection Right;
- Chapter IV: Food Plantation;
- Chapter V: Horticulture;
- Chapter VI: Animal Husbandry and Health
- Chapter VII: Information System for Agriculture.

• Article 103 prohibits changing of function of a field designated as an agricultural field for the purpose of food plantation (paragraph (1)), unless for public interests and/or national strategic project (paragraph (2)).

• In force.
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Government Regulation No. 27/2021 on Administration of Maritime and Fisheries Sector (“GR 27/2021”)• GR 27/2021 covers the following scopes for regulation:
- Changing of status of Core Zone (a part of Conservation Zone in protected shores and islets for habitation purposes and only can be utilized for scientific purposes);
- Management of fisheries resources;
- Fisheries Quality Standard;
- Catchment and/or Cultivation of Fisheries within Fisheries Management Zone of the Republic of Indonesia not for commercial purposes;
- Fisheries Vessel;
- Fisheries Harbor affairs;
- Operability Worthiness Certificate for Fisheries Vessel; and
- Control of Fisheries import and Salt Commodities Import.

• In force.
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Government Regulation No. 28/2021 on Administration of Industries (“GR 28/2021”)• GR 28/2021 outlines the following regulatory scopes:
- Raw and/or Supporting Material;
- Nurturing and supervision of compliance assessment body;
- Strategic Industry;
- Societal contribution in Industrial development; and
- Methods on supervision and control of Industrial business activity and Industrial Zone business activity.

• In force.
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Government Regulation No. 29/2021 on Administration of Trade (“GR 29/2021”)• GR 29/2021 regulates the following issues relating to trade and its administration:
- Export and Import policy and control;
- Utilization or equipment of labels in Bahasa Indonesia;
- Distribution of Goods;
- Trade facilities;
- Standardization;
- Export development;
- Legal metrology; and
- Supervision of Trade and Goods designated as Goods under Supervision.

• For trade purposes, Exporting and Importing entities shall possess relevant Business Registration Number.

• In force.
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Government Regulation No. 30/2021 on Administration of Road Traffic and Transportation (“GR 30/2021”)• GR 30/2021 now obliges construction activities that may cause security, safety, order and road traffic and transportation concerns, to obtain Traffic Impact Analysis.

• Traffic Impact Analysis is integrated with both Amdal and UKL-UPL and is also intended to fulfill Business Licensing as stated in Article 4.

• Article 3 regulate types of construction warranting a Traffic Impact Analysis, divided into:
- Activities center (paragraph (1));
- Housing (paragraph (2)); and
- Infrastructure (paragraph (3)).

• In force.
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Government Regulation No. 31/2021 on Administration of Shipping (“GR 31/2021”)• GR 31/2021 regulates aspects relating to sea transport, harbor and harbor management and operation, special terminal, as well as vessel construction, registration and operation, as well as navigational aspects (including reclamation).

• Article 147 (1) allows for reclamation for constructing harbors and special ports, provided they have obtained business permit under paragraph (5).

• In force.
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Government Regulation No. 32/2021 on Administration of Aviation (“GR 32/2021”)• GR 32/2021 regulates aspects relating to aircraft and their airworthiness, operation, with Chapter II also regulating airports and maintenance of its environment.

• In force.
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Government Regulation No. 33/2021 on Administration of Railways (“GR 33/2021”)• GR 33/2021 allows not only just State-Owned Enterprise to involve in railways, but also Region-Owned Enterprise or Indonesian legal entities.

• Licenses for administering general rail infrastructures include:
- Business permit;
- Construction permit; and
- Operational permit.

• In force.
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Government Regulation No. 34/2021 on Utilization of Foreign Workforce (“GR 34/2021”)• GR 34/2021 governs foreign workforce/workers and their utilization in Indonesia.

• Article 8 obliges employers of foreign workers to register them to national social guarantee program, where the workers have been working for more than 6 (six) months, or insurance program if they work for less than 6 (six) months.

• Article 9 prohibits individual employers to employ foreigners.

• Will come into force on 1 April 2021.
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Government Regulation No. 35/2021 on Periodical Work Agreement, Outsourcing, Working and Recess Hours, and Severance of Working Relations (“GR 35/2021”)• GR 35/2021 regulates Periodical Work Agreement for certain duration and for uncertain duration, outsourcing company (“perusahaan alih daya”), working and recess hours, as well as severance of working relations (including applicable reasons and severance pay issue).

• Outsourcing companies shall be responsible for their workers’ welfare and they shall possess business permit as issued by the central government.

• In force.
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Government Regulation No. 36/2021 on Salary (“GR 36/2021”)• GR 36/2021 regulates salary types and their provision as an obligation for employers.

• Chapter XI provides for Salary Commission, which is formed at both national and regional level.

• Article 71 outlines Salary Commission’s task to provide input and advice for policies related to salary and salary system, as well as fixation of minimum salary at regional level.

• In force.
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Government Regulation No. 37/2021 on Administration of Job Loss Guarantee (“GR 37/2021”)• GR 37/2021 obliges entrepreneurs to register their workers as members of Job Loss Guarantee program.

• Article 3 authorizes the Manpower Social Guarantee Organizing Body (“BPJS Ketenagakerjaan”) and the central government in conducting and administering the Job Loss Guarantee program.

• Article 18 outline benefits of Job Loss Guarantee program, namely:
- Cash money;
- Access to information on job market; and
- Job training.

• In force.
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Government Regulation No. 38/2021 on Deposit Account for Umra Pilgrimage (“GR 38/2021”)• GR 38/2021 regulates deposit of fees relating to umra pilgrimage, where umra pilgrimage organizing agency (“PPIU”) shall maintain a deposit account for such pilgrimage.

• In force.
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Government Regulation No. 39/2021 on Administration of Halal Product Warranty (“GR 39/2021”)• GR 39/2021 obliges all products that are present, circulated, and marketed in Indonesia, to possess halal certificate (excepting products with haram materials).

• Article 3 regulates halal certificate is to be given to products containing halal material and have fulfilled Halal Product Process (“PPH”).

• This regulation authorizes the creation of:
- Administering Body for Halal Product Warranty (“BPJPH”);
- Halal Supervisory Body (“LPH”).

• In force.
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Government Regulation No. 40/2021 on Administration of Special Economic Zone (“GR 40/2021”)• GR 40/2021 allows for creation of Special Economic Zone (“SEZ”) in the following locations, namely:
- New area;
- Extension of existing SEZ; or
- Entire or parts of Free Trade and Free Port Zone (“KPBPB”).
 Article 13 provides for establishment of SEZ in all or parts of Batam, Bintan,and Karimun KPBPB, taking their respective Zone Council’s recommendation into account.

• Article 9 (5) provides for MSMEs and cooperatives as both businesses and supporting entities for businesses situated in the SEZ.

• Central and regional governments (both at provincial and regency/municipal level) shall support designated and approved SEZs through provision of incentives and related infrastructures, as elaborated in Article 28.

• In force.
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Government Regulation No. 41/2021 on Administration of Free Trade Zone and Free Port (“GR 41/2021”)• GR 41/2021 authorizes a KPKPB Managing Body to issue business permits for businesses within such zone, and to issue entry permit for Goods for Consumption relative to its designated types and total amount.

• Article 27 (1) list the following fields for incentives regarding business activity in KPBPB:
- Entry and exit of goods;
- Taxation;
- Revenue;
- Customs;
- Immigration;
- Prohibitions and limitations; and
- Other facilities and relaxations.

• Article 67 provides for creation of main plan for development of Batam, Bintan, and Karimun KPBPB.

• In force.
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Government Regulation No. 42/2021 on Relaxation for National Strategic Project (“GR 42/2021”)• GR 42/2021 allows for the following to obtain Relaxation Facilities regarding National Strategic Project (“NSP”):
- Central government;
- Regional government, and/or;
- Business Entities.

• In implementing relaxations for NSP, Article 4 provides for Minister responsible for coordinating economic affairs to:
- Coordinate planning and funding between ministries, bodies, regional governments, Business Entities, and/or other parties regarding tasks and functions for accelerating provision of NSP;’
- Designate strategy and plan for acceleration of NSP;
- Organize NSP priorities;
- Facilitate for preparation of NSP;
- Supervise and control implementing strategies and policies for accelerating provisions for NSP;
- Facilitate for increasing capacity of apparatuses and organization regarding provision for NSP;
- Facilitate for mitigation of problems relating to business permits and land allotment for NSP;
- Coordinate optimization for utilization of NSP;
- Coordinate designation of strategy relating to policies and approval for controlling social issues as proposed by minister/head of a body, governor, and regent/mayor;
- Evaluate and nurture implementation of Consultant and Business Entities Panels formed by ministry/body;
- Coordinate planning, development, and alternative funding scheme designation for NSP; and/or
- Report development of NSP implementation to the President.

• In force.
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Government Regulation No. 43/2021 on Mitigation of Incompatibility on Spatial Development, Forestry Zone, Permit, and/or Land Rights (“GR 43/2021”)• GR 43/2021 regulates mitigation of incompatibility issues relating to Spatial Planning, Forestry Zone, Permit, Concession, Land, and/or Managing Right, occurring in relation with or within:
- Regional Limit;
- Forestry Zone;
- Zonal Spatial Development Plan (“RTRW”);
- Permit;
- Concession;
- Land and/or Management Right;
- Shoreline;
- Marine Spatial Development Plan (“RTRL”), Zonation Plan for Certain National Strategic Zone (“RZ KSNT”), Zonation Plan for Inter-regional Zone (“RZ KAW”), and/or Zonation Plan for Shore Areas and Islets (“RZWP-3-K”); and/or
- Permit relating to Activities utilizing Marine Space.

• In force.
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Government Regulation No. 44/2021 on Implementation of Ban on Monopoly and Unhealthy Business Competition (“GR 44/2021”)• GR 44/2021 regulates:
- Authorities of Supervisory Commission on Business Competition (“Commission”);
- Sanctions, including their criteria, types, and amounts; and
- Investigation of objection and cassation against the Commission’s decision.

• In imposing sanctions, they are administrative in nature and:
- Are equivalent to the level or effect from violations done by the related business;
- Takes the business’ activity continuity into account;
- Are based with clear grounds and reasoning.

• In force.
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Government Regulation No. 45/2021 on Administration of Geospatial Information (“GR 45/2021”)• GR 45/2021 covers the following scope of regulations:
- Types of geospatial information;
- Administrator of geospatial information;
- Administration of geospatial information;
- Implementing entities on geospatial information sector;
- Administration and updating of Basic Geospatial Information;
- Nurturing of geospatial information; and
- Administrative sanctions relating to geospatial information.

• In force.
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Government Regulation No. 46/2021 on Post, Telecommunications, and Broadcasting (“GR 46/2021”)• GR 46/2021 regulates on the following aspects:
- Administration of Post;
- Administration of Telecommunications;
- Utilization of Radio Frequency Spectrum; and
- Administration of Broadcasting.

• Article 7 provides for foreign postal administration to conduct postal activities in Indonesia under these conditions:
- Mandatory cooperation with domestic postal administrator through joint venture; and
- Cooperation between foreign and domestic postal administrators are limited to operation within provincial capitals.
 Foreign postal administrators cooperating with domestic postal administrator through joint venture cannot conduct intercity deliveries.

• In regulating digital television, Article 85 provides for government to assist in providing set top boxes for low-income households to receive terrestrial digital television services.

• In force.
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Government Regulation No. 47/2021 on Administration of Hospitals (“GR 47/2021”)• GR 47/2021 regulates technicalities of hospital, including its classification, its duties, and its accreditation.

• In force.
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Government Regulation No. 48/2021 on Third Amendment to Government Regulation No. 31/2013 on Implementing Regulation of Act No.6/2011 on Immigrations (“GR 48/2021”)• GR 48/2021 regulates issuance of travel, limited stay visas, visa-on-arrival and stay permits for foreigners in Indonesia, as well as guarantor of foreigners under Article 171A.

• In force.
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Government Regulation No. 49/2021 on Tax Treatment for Transactions Involving Indonesian Investment Authority and/or Its Entities (“GR 49/2021”)• GR 49/2021 regulates that Indonesian Investment Authority (“IIA”) is a domestic body tax subject.

• IIA’s entities may be either domestic or foreign tax subjects.

• IIA and its entities shall register as taxable subjects.

• In force.
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Government Regulation No. 73 of 2020 on Starting Capital of the Indonesian Investment Authority (“GR 73/2020”)• GR 73/2020 is issued as the implementing regulation of Act No 9 of 2018 Job Creation (“Act 11/2020”).

• GR 73/2020 outlines Indonesia’s starting capital for its LPI to be at IDR 15,000,000.00 (fifteen trillion, Indonesian rupiah).

• In force.
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Government Regulation No. 74 of 2020 on Indonesian Investment Authority (“GR 74/2020”)• GR 74/2020 is issued as the implementing regulation of Act No 9 of 2018 Job Creation (“Act 11/2020”).

• GR 74/2020 establishes Investment Authority (“LPI”). and outlines its functions, authorities, and organization.

• In force.
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Minister of Manpower Regulation No. 2/2021 on Implementing Salary Payment for Certain Labour-Intensive Industries during Corona Virus Disease 2019 (COVID-19) Pandemic (“MOMR 2/2021”)• MOMR 2/2021 regulates salary payment mechanism for certain labour-intensive industries during COVID-19 pandemic.

• Article 2 (1): The criteria for ‘certain labour-intensive industries’ are as follows:
a) Possess at least 200 workers.
b) Percentage of employee fee within production fee is at least 15%.

• ‘Labour-intensive industries’ as mentioned in Article 2 (1) are further specified to include:
a) Food, beverage and tobacco industry;
b) Textile and clothing industry;
c) Leather and leather goods industry;
d) Footwear industry;
e) Children toy industry; and
f) Furniture industry.

• Industries covered by the regulation may adjust the amount and method of salary payment for employees, based on an agreement between the Entrepreneur and the employees.

• Article 7 (2): the agreement must contain at least:
a) Amount of salary;
b) Method of salary payment; and
c) Duration of applicability, lasting until at the latest on 31 December 2021.

• In force until 31 December 2021.
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Presidential Regulation No. 2/2021 of 2021 on Ratification of the Convention Abolishing the Requirement of Legalisation for Foreign Public Documents (“PR 2/2021”)• PR 2/2021 ratifies the Convention Abolishing the Requirement of Legalisation for Foreign Public Documents (“the Convention”).

• PR 2/2021 include two annexes covering Indonesian translation of the Convention and the combined French-English version of the Convention.

• PR 2/2021 binds Indonesia as a party to the Convention, where Indonesia shall exempt certain other party’s public documents from legalisation in Indonesia.

• Documents of other State parties to the Convention that shall be exempted from legalisation in Indonesia include:
a) documents emanating from a State’s court/tribunal (including from public prosecutor, clerk, process-server/huissier de justice);
b) administrative documents;
c) notarial acts; and
d) official certificates on documents signed by persons in private capacity.

• In force.
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Minister of Communications and Information Regulation No. 1/2021 of 2021 on Second Amendment of Minister of Communications and Information No. 13/2019 on Provision of Telecommunication Services ("MoCI 01/2021")• MoCI 01/2021 now regulate types of telecommunication services that might exist in the future (including Other Value-Added Telephony Services and Other Multimedia Services).
• Other forms of telecommunications services can be regulated in the future, depending on technological advances and healthiness of telecommunications industry.

• Telecommunication services provider (TSP) shall begin commercial operation 120 days after obtaining Business License (as opposed to Minister of Communications and Information Regulation No 13/2019, where such operation shall commence after the license is effectively applicable).

• TSPs have to comply with Business License requirements according to Indonesian regulations (as opposed to complying with Provider License requirements provided by the Minister of Communications and Information in the previous regulation).

• In force.
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Minister of Finance Regulation No. 3/PMK.08/2021 of 2021 on Amending Minister of Finance Regulation No. 149/PMK.08/2018 on Buyback of Government Bonds (“MoFR 03/PMK.08/2021”)• MoFR 03/PMK.08/2021 allows for buyback of government bonds through debt switching in creating ‘new issuance’ series of government bonds and/or ‘reopening’ of bonds as replacement government bond series.

• The Bank of Indonesia (“BI”) is now included as parties to which the government can exercise buyback of government bonds. BI’s sale of government bonds can only be offered directly to the government without going through the Main Dealer.

• New addition Article 21A regarding adjusting/setting of price for buyback of government bonds; to be regulated through a Decision of the Directorate-General of Funding and Risk Management.

• In force.
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Minister of Agrarian and Spatial Affairs/Head of the National Land Agency Regulation No. 1/2021 of 2021 on Electronic Land Certificate ("MoASA/HNLAR 01/2021")• MoASA/HNLAR 01/2021 regulates the issuance of electronic land certificate for both first-time spatial/land registration and transition from original (printed) land certificate.

• In force.
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Decision of the Minister of Energy and Mineral Resources No. 22.K/MG.03/MEM.M/2021 on Indonesian Crude Oil Price Promulgation for January 2021 (“MoED 22.K/MG.03/MEM.M/2021”)• MoED 22.K/MG.03/MEM.M/2021 serves to set prices for Indonesian primary and secondary crude oil produces.

• The rate of Indonesian crude oil price under this regulation is set at US$ 53.17/barrel.

• In force.
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Minister of Finance Regulation No. 09/PMK.03/2021 of 2021 on Tax Incentive for Taxpayers Affected by Coronavirus Disease 2019 (“MoFR 09/PMK.03/2021”)• MoFR 09/PMK.03/2021 regulates that taxpayers are subjected to a final income tax of 0.5% from gross total circulation, and is borne by the government.

• Incentives are given for the duration of January 2021 until June 2021, which also includes exemption from income tax for imported goods.

• In force.
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Minister of Finance Regulation No. 06/PMK.03/2021 of 2021 on the Calculation and Collection of Value-Added Tax and Income Tax on Submission/Income for Sales on Mobile Phone Balance, SIM Card, Token and Voucher (“MoFR 06/PMK.03/2021”)• MoFR 06/PMK.03/2021 is issued as an implementation regulation of several Acts (namely, Act No. 8/1983 on Income Tax (as amended by Act No. 36/2008), Act No. 8/1983 on Value-Added Tax for Goods and Services and Luxury Goods Sales Tax (as amended by Act No. 42/2009), Act No. 39/2008 on State Ministries, and Act No. 11/2020 on Job Creation), as well as two regulations (Presidential Regulation No. 57/2020 on Ministry of Finance, and Minister of Finance Regulation No. 217/PMK.01/2018 on Organization and Working Outline of the Ministry of Finance (as amended by Minister of Finance Regulation No. 229/PMK.01/2019).

• Mobile phone balances and SIM cards, as well as electricity tokens, are subjected to value-added tax under this regulation.

• Additionally, rewards such as voucher, points, or cash money are subjected to income tax, which also apply to sales of mobile phone balances and SIM cards.

• In force.
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Minister of Finance Regulation No. 04/PMK.03/2021 of 2021 on Payment of Stamp Duty, General and Specific Characteristics of Adhesive Stamp Duty, Stamp Duty in Other Forms, and Determination of Validity of Stamp Duty, and Post-Dated Stamp Duty (“MoFR 04/PMK.03/2021”)• MoFR 04/PMK.03/2021 regulates that stamp duty is set at a fixed rate of IDR 10,000.00 (ten thousand rupiah).

• Stamps made pursuant to Minister of Finance Regulation No. 65/PMK.03/2014 are still valid until 31 December 2021, where such stamps (of adhesive nature) are attached to documents valued at least IDR 9,000.00 (nine thousand rupiah).

• In force.
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Government Regulation No. 01 of 2021 on Assessment Method for Non-Tax-Derived Government Incomes (“GR 01/2021”)• GR 01/2021 is issued as the implementing regulation of Act No 9 of 2018 on Non-Tax-Derived Government Incomes (“Act 09/2018”).

• This Government Regulation deals with issues pertaining to explanation of methods in assessing Non-Tax-Derived Government Incomes (“PNBP”).

• GR 01/2021 was promulgated on 4 January 2021 and will come into force on 5 February 2021.
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Act No. 11 of 2020 on Job Creation (“Act 11/2020”)• Act No. 11/2020 serves the main purpose of job creation, as well as easing investments and business conducts in Indonesia.

• Divided into several chapters and sectors, which amend multiple acts in one regulation.
• Act No. 11/2020 also establishes LPI.

• In force.
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