Government Measures to Mitigate Covid-19 Risk
Investment Priority List in the Presidential Regulation for the
Investment Business Sector
The government provides positive sentiment to the business world by establishing policies for
regulating business sectors that are more open (positive) and priority.
PRESIDENTIAL REGULATION OF INVESTMENT BUSINESS FIELDS
AREAS OF
46
BUSINESS FIELDS
WITH SPECIFIC
REQUIREMENTS
246 PRIORITY
BUSINESS FIELDS
given fiscal incentives and
and non-fiscal, a.l. Tax
Allowance and Tax Holiday
90
BUSINESS FIELDS
OR PARTNERSHIP
WITH COOPERATIONS
AND MSMEs
> 1700 OTHER
OPEN FIELDS OF
BUSINESS
(domestic/foreign / joint
venture) without
conditions
With a positive approach, the Government provides assurance that in principle all business
fields are open to investment, which is declared closed by law. The investment value for
Mandatory PMA is> IDR 10 billion.
This openness takes into account the protection and empowerment of MSMEs.
The government also provides information on the direction of investment policy in Indonesia by
determining business fields that are the Government's priorities.
Priority Business Field Criteria
National Strategic Programs/Projects;
Capital Intensive;
Labor intensive;
High technology;
Pioneer Industry;
Export Orientation; and / or
Orientation in Research, Development
and Innovation Activities.
Incentives provided
Tax Incentives:
o Tax Holiday;
o Tax Allowance;
o Investment Allowance
Customs and excise incentives (free of
import duty on industrial construction
machinery and materials)
Non-fiscal incentives (ease of business
licensing, provision of supporting
infrastructure, guaranteed energy
availability, raw materials, immigration,
labor, etc.)
Other incentives according to regulations
Source: Coordinating Ministry for Economic Affairs
37
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