Newsletter
Share Buybacks under Indonesian Company Law: Key Legal Limitations and Considerations
In corporate practice, it is not uncommon for shareholders to decide to relinquish their ownership in a company, whether for business reasons, ownership restructuring, investment realignment, or differences of opinion among shareholders. In such circumstances, one of the options often considered is for the company itself to repurchase the shares held by the exiting shareholder, a mechanism commonly referred to as a share buyback....
Transfer Pricing in Indonesia: Legal Framework and Compliance Obligations
Transfer pricing is commonly associated with taxation. However, from a legal perspective, it is equally a matter of regulatory compliance, corporate governance, and risk management. As business groups increasingly operate across multiple jurisdictions, transactions between affiliated entities have become an ordinary part of commercial operations. These transactions may involve the sale of goods, management services, licensing arrangements, royalty payments, financing transactions, and transfers of intellectual property...
A New Era of Data Protection in Indonesia: Understanding Government Regulation No. 33 of 2026
After nearly four years since the enactment of Law No. 27 of 2022 on Personal Data Protection ("PDP Law"), the Indonesian Government has finally issued Government Regulation No. 33 of 2026 concerning the Implementing Regulation of the PDP Law ("GR 33/2026"). This long-awaited regulation provides greater clarity on various technical aspects that were not comprehensively addressed under the PDP Law, including personal data processing, legal bases for processing, data subject rights, cross-border data transfers, regulatory oversight, and administrative sanctions...
New Non-Halal Labeling Rules in Indonesia: What Businesses Need to Prepare Before 2027
Indonesia's halal regulatory framework continues to develop, and businesses operating in the consumer goods sector need to pay attention not only to halal certification requirements but also to the growing obligation to clearly communicate the halal status of their products. As part of the Government's effort to strengthen consumer protection and transparency, businesses distributing products that are not halal-certified or contain non-halal elements will be required to comply with specific non-halal labelling requirements...
Understanding Withholding Tax on Dividends Paid to Foreign Shareholders in Indonesia
For foreign investors looking to establish or expand their business presence in Indonesia, understanding the tax implications of profit repatriation is an important part of investment planning. While Indonesia offers significant opportunities across various sectors, investors must also consider how returns from their investments will be distributed and what tax obligations may arise. One of the key considerations is the withholding tax on dividends paid to foreign shareholders...
Investing Through Indonesia's Special Economic Zones (KEK): Understanding the KEK Facility Track for Businesses and Investors
When businesses consider expanding into Indonesia, discussions often focus on market size, workforce availability, and investment opportunities. However, one of the most significant advantages available to investors is frequently overlooked: the range of fiscal and non-fiscal incentives available through Indonesia's Special Economic Zones (Kawasan Ekonomi Khusus / KEK)...
Indonesia's Digital Economy is Growing Fast: What Businesses Need to Know About Data Processing, Hosting, and Digital Infrastructure
Over the last decade, Indonesia has emerged as one of the most dynamic digital markets in Asia. From online shopping and digital payments to cloud computing and artificial intelligence (AI), technology has become deeply embedded in the way businesses operate and consumers interact. As digital transformation accelerates across industries, one sector has quietly become the backbone of this growth: data processing, hosting, and related digital infrastructure services...
Priority Access to Mining Business Permit Areas (WIUP): Religious Organizationz and Cooperatives Enter Indonesia's Mineral and Coal Mining Sector
Indonesia's mining sector is undergoing a significant transformation. Traditionally, access to Mineral and Coal Mining Business Permit Areas (Wilayah Izin Usaha Pertambangan / WIUP) was primarily available to state-owned enterprises, regional government-owned enterprises, and private business entities through competitive licensing mechanisms...
Franchising in Indonesia: Building a Strong Business Expansion Strategy with the Right Legal Foundation
For many entrepreneurs, franchising represents one of the fastest and most effective ways to expand a successful business. Instead of opening and operating every new location independently, a business owner can leverage the resources and local market knowledge of franchisees while maintaining control over the brand, business system, and customer experience...
Supply Chain Compliace in Indonesia: Why Businesses Can No Longer Ignore Legal Risks
When people hear the term “supply chain,” they often think about logistics, transportation, inventory, and delivery schedules. However, in today's business environment, supply chain management is no longer just an operational matter...
Buying Land in Bali? Understanding Protected Paddy Fields (Lahan Sawah Dilindungi/LSD) Before Investing
Bali has long been one of Indonesia's most attractive destinations for property and tourism investment. The growing tourism industry and increasing demand for villas, hotels, restaurants, beach clubs, wellness centers, and other commercial developments continue to drive strong demand for land across the island...
Foreign Investment in Indonesia's Digital Economy: Regulatory Challenges in 2026
Indonesia's digital economy continues to attract significant foreign investment, driven by the rapid growth of artificial intelligence (AI), cloud computing, data centres, and digital services. While these sectors offer substantial business opportunities, foreign investors are increasingly required to navigate a more comprehensive regulatory framework that extends beyond investment licensing...
Beauty Clinic License in Bali: Legal Requirements for Advanced Aesthetic Treatments, KBLI, and Operational Compliance
Bali has become one of Southeast Asia's leading destinations for beauty, wellness, and medical tourism. Every year, both local and foreign investors establish new aesthetic businesses to meet the growing demand from residents, expatriates, and international visitors seeking advanced beauty and anti-aging treatments...
Nusantara Bisnis Konsultan Indonesia (NBK) Marks the Opening of Its New Office
Building on incredible years in the field, Nusantara Bisnis Konsultan Indonesia marked the opening of its new office on the 37th floor of Centennial Tower, Jakarta, on 24 July 2026...
OSS Has Automatically Updated Your KBLI — But Is Your Indonesian Company Actually Compliant?
Following the implementation of KBLI 2025, Indonesia’s Online Single Submission system (OSS) has begun converting existing business classification codes to the new standard.
For many companies, the visible result appears reassuring: the Business Identification Number (NIB) remains valid, and existing business licenses have not been marked as expired...
Promoted to Permanent Status and Then Resigned: Do Compensation Rights Under a Fixed-Term Contract Survive?
In industrial relations practice in Indonesia, it is not uncommon for companies to convert employees working under a Fixed-Term Employment Agreement (Perjanjian Kerja Waktu Tertentu or “PKWT”) into employees under a Permanent Employment Agreement (Perjanjian Kerja Waktu Tidak Tertentu or “PKWTT”) before the expiration of their contract period. This step is generally taken due to the company’s business needs or as a form of appreciation for employees whose performance is considered satisfactory...
Ministry of Public Works Strengthens Supervision of Construction Service Business Entities: The Importance of SBU and Construction Licensing Compliance in Indonesia
The Indonesian Government, through the Ministry of Public Works, is currently intensifying its supervision of construction service business entities in Indonesia, particularly concerning the ownership of and compliance with Business Entity Certificates (Sertifikat Badan Usaha or “SBU”), Work Competency Certificates (Sertifikat Kompetensi Kerja or “SKK”), Business Identification Numbers (Nomor Induk Berusaha or “NIB”), Standard Certificates, and other construction-related licenses...