24 Feb 2021
Major Liberalization of FDI Rules Heralds New Paradigm in Indonesia
Acting on the mandate provided by Law No. 25 of 2007 on Investment (the “Investment Law”), as amended by Law No. 11 of 2020 on Job Creation (the “Job Creation Law”), the Government of Indonesia has issued a new implementing regulation for the Investment Law: Presidential Regulation No. 10 of 2021 on Investment and Business Lines(the “New List”). This New List replaces…
23 Feb 2021
Indonesias FSA Tightens Up Its Supervision of Finance Companies
1. Introduction The Financial Services Authority (“OJK”) issued Regulation No. 47/POJK.05/2020 of 2020 on Business Licensing and Institutional Aspects of Finance Companies and Sharia Financing Companies (the “New Regulation”)[1] in November 2020. This seeks to increase industry competitiveness and support the development of conventional and sharia finance companies (“Finance…
23 Feb 2021
Indonesias New State Investment Fund Likely to Be Up and Running Soon
The Indonesian Government is pushing ahead quickly with its plans to bridge the gaps in existing infrastructure financing sources through the setting up of a new state investment fund known as the Indonesia Investment Authority (abbreviated in Bahasa Indonesia as “INA”). The fund, whose establishment is mandated by Government Regulation No. 74 of 2020 (“Regulation 74”) on the…
16 Feb 2021
Indonesias Ratification of Apostille Convention Should Boost Ease of Doing Business
After almost sixty years since its adoption, Indonesia finally ratified the Convention to Abolish the Requirement for Legalisation of Foreign Public Documents (the “Convention”) via Presidential Regulation No. 2 of 2021 (“PR 2/2021”), on 4 January 2021. The ratification sends a positive signal to Indonesia’s legal community in particular amid the Covid-19 pandemic; and…
15 Feb 2021
Indonesian Competition Law: Draft Govt Regulation to Introduce Profit / Turnover-based Fines
As reported in an earlier competition law update, the reformist Job Creation Law (“JCL”), which was enacted on 3 November 2020, gives the Commercial Courts jurisdiction in appeals against decisions of the Indonesian Competition Commission (“KPPU”) and overhauls sanctions that may be imposed by the KPPU on violation of the Indonesian Competition Law (“ICL”). As part…
11 Feb 2021
After Period of Confusion, IDERA Protection in Indonesia Now Extends to Offshore Lenders
With the aviation industry around the world continuing to reel from the impact of COVID-19, many airlines are struggling to meet their obligations under aircraft leasing and financing agreements. Given the current uncertainties, in this ABNR Legal Update we look at the position in Indonesia as regards a key protection for creditors under the Cape Town Convention (CTC), namely, the IDERA mechanism…
11 Feb 2021
Indonesian Central Bank Regulation Introduces New FDI Restrictions in Payments Sector
Shortly before the New Year, Indonesia’s central bank, Bank Indonesia (“BI”), issued Regulation No. 22/23/PBI 2020 on payment systems (the “Regulation”), which stipulates a reduction in the level of foreign participation permitted in payment system operators. The new provision will have an impact on businesses providing remittance, payment gateway, acquiring, and other…
04 Feb 2021
ABNR Ranked as Tier-1 Firm for 11 Practice Areas by Legal 500 Asia Pacific
ABNR’s position as one of Indonesia’s top-3 law firms has been confirmed by the latest edition of Legal 500 Asia Pacific, which accords 11 Tier-1 rankings to ABNR this year, making us one of just three Indonesian law firms ranked as Tier-1 firms for so many practice areas. No other Indonesian firms are ranked so highly. ABNR’s top-tier recognitions are for: Competition, Aviation,…