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THE ULTIMATE GUIDE TO DOING BUSINESS IN INDONESIA

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Blog: Indonesia

Investment in Lombok
– Tourism Business Guide: Bali VS Lombok

Investment in Lombok, Bali, and other islands of Indonesia is not something new to foreign investors, given these islands have a proven record of gaining quick recovery, whenever they were hit with adversity. Not so long ago, Bali’s tourism industry received a heavy blow when the Mount Agung volcano started erupting in November 2017. However, …

Indonesia Positive Investment List Opens Further Opportunities for Foreign Investment into “10 New Bali” Project

The recent enactment of Indonesia’s Positive Investment List (Daftar Positif Investasi – DPI),  has a knock-on effect on its Tourism sector. DPI has opened up wider possibilities for foreign investors to participate in Kawasan Strategis Pariwisata Nasional (KSPN), or commonly referred to as the “10 New Bali”- a nationwide project to expand Indonesia’s tourism investment …

Singapore’s MRA Grant – Market Expansion into Indonesia

In order to support Singapore’s Small and Medium Enterprises (SMEs) to expand their operations into the international market, MRA Grant was introduced by the Government. It aims at providing information, learning opportunities, and financial assistance which helps companies to easily expand their arms into new territories and mitigates the risk of uncertainty. What is Enterprise …

Indonesia Improves Foreign Investment Landscape with a Positive Investment List

Following the enactment of Indonesia’s Omnibus Bill, its Government has released an update of business sectors and lines (also commonly referred to as KBLI) that are now open to foreign investment in Indonesia. Although the revised Negative Investment List was drafted to attract more foreign investors and has been dubbed the “Positive Investment List”, this …

Mergers & Acquisitions Update In Indonesia

Well-capitalized firms looking to expand are currently faced with an aberrant opportunity to make acquisitions and consolidate power. As the pandemic continues to take its toll on the economy, weaker business actors in Indonesia receiving handouts via government support schemes or dipping into their cash reserves could be fast approaching a state of deeper financial …

A Guide to Permanent Establishment in Indonesia

Under the Regulation PMK-35 issued by the Ministry of Finance, a permanent establishment is a fixed and permanent business location where foreign investors conduct business activities in Indonesia. The location of the permanent establishment in Indonesia can be either owned or rented by foreigners as long as the location is permitted to use for the …

Employee vs. Independent Contractor in Indonesia: What’s the Difference?

Running and growing your business requires you to have the right people from the beginning. This is why you have to have sufficient knowledge of the different employment types in Indonesia to decide which one will best serve your organisation. Common Types of Workers in Indonesia Employees and independent contractors are two common types of …

The 2021 Guide to Tax and Payroll Compliance in Indonesia

Regardless of where you are doing business, you are required to stay in 100% compliance. Tax registration, tax payment, and tax reporting are mandatory. In Indonesia, there are many types of taxes and as a foreign investor, it may be challenging to comprehend all, especially when regulations are prone to changes. This is why consulting …

7 Human Resource Management Challenges when Doing Business in Indonesia

Human resource management in Indonesia is a tough job as it requires immense dedication and responsibility towards the organisation. This guide will show you the seven human resource management challenges when doing business in Indonesia. Top 7 HR Management Challenges in Indonesia 1. Compliance Regulations, particularly the ones related to employment, are often adjusted in …

Starting a Business in Indonesia in the Digital Economy Era

In this article, we will give you a full picture of this appealing digital economy in Indonesia and why starting a business can no longer wait. Indonesia is regarded as the largest and fastest-growing digital economy in Southeast Asia. It is estimated that by 2025, Indonesia’s gross merchandise value of its digital economy will grow …

Why Construction Businesses in Indonesia should Leverage Payroll Services

The construction industry in Indonesia has great growth potential due to the sizable infrastructure demand and strong support from the Indonesian government. According to BMI research, the construction industry in Indonesia, especially in the high-value infrastructure sector, will continue to grow sharply up to 2026. If you are interested in opening a construction business in …