Indonesia is the economic powerhouse of Southeast Asia, representing about 40% of its overall population and GDP, with a strong economic growth. With numerous business opportunities to seize, the Indonesia Investment Coordinating Board provides information to guide businesses and investments in Indonesia.
The Indonesia Investment Coordinating Board – BKPM – (Badan Koordinasi Penanaman Modal) is the official Indonesian agency in charge of gathering information related to opening a company in Indonesia and presenting strategic opportunities to attract investments for the country’s development.
The BKPM also provides services to help local and foreign investors do business in Indonesia and useful administrative and compliance information, as well as sectors and opportunities details. The BKPM website is therefore a handy guide for investing and doing business in Indonesia, such as the ones that exist for investment in the Philippines or the BEDB of Brunei.
Doing business in Indonesia
The core objective of the BKPM website it to inform the public on investing in Indonesia. With an overview of the country and its geographic divisions, success stories and information on the cost of doing business and living in Indonesia, it goes into more details on some of the Indonesia’s key strengths:
- Sound economy
- Political stability
- Investment climate
- Natural resources
- Domestic market
- Global Influence
A quick overview of these strengths can be seen in this video on doing business in Indonesia.
Inside this informative part, one of the most useful part is the statistics section, which gathers several tables and reports on Foreign Direct Investments – FDI – and Domestic Direct Investments – DDI – realized by sector, location, country of origin, etc.
The BKPM also maintains a news feed on the latest activities and developments related to investment and procurement.
Investing in Indonesia
Where the BKPM website really becomes a treasure of useful information is in the investment procedure section where the various aspects of the matter are extensively detailed.
- Investment step by step
- Applicable laws & regulations
- Sop of ministry/institution
- Application forms
- Negative investment list
- Investment incentives
- How to establish a company
- Arbitral procedure
- Disputes proceeding
These various procedures are fairly complex to integrate altogether, so in order to simplify the setting up of a business and realizing investments in Indonesia, the BKPM has recently introduced a one-stop service center to manage everything on behalf of investors.
Through this new system, the BKPM works directly in link with the various ministries and agencies to relieve businesses from the complexity of registration and licensing processes, and limit potential lacks of transparencies and unaccounted delays or fees.
Investment opportunities in Indonesia
Furthermore, the BKPM website regroups information on the country’s most critical areas to be developed, giving rise to interesting investment opportunities.
Key sectoral opportunities
- Infrastructure: prospective and potential projects in transport, energy, sanitation and urban development.
- Agriculture: especially focusing on palm oil, rubber and cacao.
- Energy: regrouping opportunities in oil and gas, electricity, coal and renewables.
- Industry: presenting the 4 petrochemical industrial clusters
Regional Investment potential
With regards to investments in the various islands and region of Indonesia, the BKPM has created a sub-website, available in English, dedicated exclusively regional investment in Indonesia.
This section presents detailed information on the industrial zones of Indonesia with details of the providers and prices of land and utilities, facilities available, etc.
- Center Java
- East Java
- Other Area in West Java
- Riau Island
The BKPM website evidently gathers all the useful contacts information for investors.