Indonesia speeds up foreign investment appeal with Vietnam and Singapore 18:23 | 04/05/2021
Indonesia is the largest economy in Southeast Asia
To compete with Vietnam and Singapore, Indonesia is offering plenty of made-to-measure inducements, including the latest programmes accepting carbon offset, according to
Bloomberg newswire.
The 270 million population country is reviewing its carbon-offset programmes to promote investment. The Indonesia Investment Coordinating Board is drawing up a list of peatlands which can store huge volumes of CO2 emissions, and also artificial lakes that could house solar panels, according to Nurul Ichwan, deputy chairman for Investment Planning at the Indonesia Investment Coordinating Board.
Bloomberg stated that the moves aimed to lure in electric vehicle and battery makers who want to source nickel from the country.
Indonesia Establishes New Investment Ministry
Indonesia Establishes New Investment Ministry April 30, 2021 Posted by ASEAN Briefing Written by Ayman Falak Medina Reading Time: 3 minutes
Indonesia’s government has established a new Investment Ministry, as the president initiates another cabinet reshuffle.
The new ministry is the result of upgrading the bureaucratic status of the Investment Coordinating Board (BKPM) a government agency mandated to boost domestic and foreign investments into a fully-fledged government ministry.
The government has targeted a total investment realization of 900 trillion rupiah (US$62.2 billion) for 2021.
On April 28, 2021, Indonesia’s government established a new Ministry of Investment to enhance the ease of doing business in the country. In addition, the Ministry of Education and Culture has now merged with the Ministry of Research and Technology, to form the Ministry of Educat
ACLED Regional Overview – Southeast Asia (17 - 23 April 2021)
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Last week in Southeast Asia, anti-coup demonstrations continued in Myanmar, as demonstrators expressed their support for the newly-formed National Unity Government (NUG) composed of lawmakers elected in the November 2020 elections. Demonstrators also demanded the Association of Southeast Asian Nations (ASEAN) invite NUG representatives to the ASEAN leaders’ meeting convened on 24 April. Meanwhile, the Myanmar military launched deadly offensives against anti-coup demonstrators in Sagaing and Mandalay regions. Fighting between the Myanmar military and Kachin and Kayin rebels also continued throughout the week. Elsewhere, in the Philippines, a diplomatic spat with China continued after Chinese vessels delayed their withdrawal from disputed areas in the Philippines’ Exclusive Economic Zone (EEZ). In Thailand, anti-government demonstrations increased last week as members of the People’s Party rallied across the
Indonesia’s Omnibus Law: Risk Based Business Licensing
Indonesia’s Omnibus Law: Risk Based Business Licensing April 29, 2021 Posted by ASEAN Briefing Written by Ayman Falak Medina Reading Time: 3 minutes
Indonesia’s Regulation 5 of 2021 introduces a risk-based approach to the issuance of business licenses.
Business activities will be assessed on the scale of the hazards they can potentially create (low risk, medium-low risk, medium-high risk, and high risk).
The risk-based business licensing procedure will impact 16 sectors, including defense, energy, and agriculture.
In our fourth article on Indonesia’s Omnibus Law, we analyze Government Regulation 5 of 2021 (GR 5/2021) concerning Risk-Based Business Licensing, which introduces new criteria on how business licenses are issued in the country.
VAT incentives for the housing sector in response to COVID-19
Indonesia’s Minister of Finance (MoF) issued a new Regulation No. 21/PMK.010/2021 (PMK-21) regarding the VAT incentives for the housing sector, which came into effect on March 1 2021, in response to COVID-19.
Under PMK-21, the VAT payable on the delivery of landed houses or flat units between March and August 2021 will be borne by the government. Delivery is considered to occur in the following situations:
The signing of the notarised sale purchase agreement; or
The issuance of payment certificate by the seller,
and the transfer of right, which shall be proven by the affidavit of transfer.