BKPM, Indonesia’s Investment Coordinating Board, has announced plans to change its negative investment list. You can read more about the proposed changes here. The current DNI regulations prevent foreign investment in a number of business sectors, and only allow for limited direct investment in many other sectors. With ASEAN now a fact and coming into operation, I agree with BKPM chairman Franky Sibarani:
“relaxing the regulations will open up Indonesia to foreign investors and that can only be good news.”
The changes will only affect businesses with investments totalling more than Rp 10 billion. I understand that certain industries and small to medium-sized businesses require some protectionist policies, and it’s great that BKPM continues to look out for these companies. Let’s hope that the proposed changes come into effect in April and that Indonesia can show the rest of the world What Good Looks Like.