Posts Tagged ‘Foreign Investment’

HOW MUCH IS THE MINIMUM CAPITAL INVESTMENT IN A FOREIGN INVESTMENT COMPANY?

HOW-MUCH-IS-THE-MINIMUM-CAPITAL-INVESTMENT-IN-A-FOREIGN-INVESTMENT-COMPANY-rev

To establish a Foreign Investment Company, there is a requirement of minimum investment value as explained in the Indonesia Investment Coordinating Board (BKPM) Regulation. Read more to learn about the minimum investment value of a Foreign Investment Company in Indonesia. An establishment of a Limited Liability Company (“PT”) in Indonesia is conducted through capital injection…

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FOREIGN COMPANY OBLIGATION ON DIVESTMENT

DIVESTMENT-OBLIGATION-FOR-FOREIGN-INVESTMENT-COMPANY-PT-PMA-IN-INDONESIA

Divestment is the releasement, exemption or reduction of shares, which is an obligation for Foreign Direct Investment (Penanaman Modal Asing/PMA) Company who owned 100% shares in the company to gradually shift its share to Indonesian participant(s) (both individual or legal entity) within within 15 year subsequent to its first production through direct ownership or domestic…

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PARTNERSHIP BETWEEN PMA COMPANY AND LOCAL BUSINESSES IN INDONESIA

There are many ways to invest in Indonesia. Foreign investors can establish a PMA company (Perseroan Terbatas Penanaman Modal Asing) which is 100% fully owned by the investors or they can build a partnership with local companies. To invest in Indonesia, foreign investors must refer to the Negative Investment List, which is regulated and periodically…

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An Overview of Import License in Indonesia (2016 Update)

SMART Legal Consulting

Indonesian Government has regulated the specification of commodities that are allowed or not allowed to be imported, the quota for each commodities and the Import Licence (Angka Pengenal Impor or “API”) through the Ministry of Trade Regulation No. No.70/M-Dag/Per/9/2015 on Import Licenses (“Permendag No.70/2015”). This writing will discuss about the types Import License in Indonesia.…

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BKPM Permanent Business License: Let’s Move to Commercial Phase

SMART Legal Consulting

It is a must to Foreign Investment Company (PMA Company) in Indonesia to secure Principle License from the Indonesia Investment Coordinating Board (Badan Koordinasi Penanaman Modal or “BKPM”). However, getting the Principle License does not necessarily grant any permission for PMA Company to start commercial activities, because the Principle License only applies for preparation phase.…

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