Recent Posts by indonesiaforeigninvestmentlaw

Transfer of Ownership of Foreign Shares

Background The application for transfer of ownership of foreign shares can be submitted either by foreign investment company or by domestic investment company. The transfer of ownership of foreign shares shall be conducted whenever there are changes in the company’s capital that cause some or all the company's capital into a foreign capital or domestic…
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Types of Licenses and the Period of Establishment

Background BKPM held 2 (two) types of services on investment activity for the investor in the territory of Indonesia, which is licensing service and non-licensing service. Based on Article 1 paragraph 6 of Peraturan Kepala BKPM No.12 year 2009 (“Perka BKPM 12/2009”), what is included in the licensing services is any type of agreement to…
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Mechanism of the Investment Licenses

Background Mechanism of the investment licenses that is applied by BKPM to the investor covers provisions concerning business sector and business entity that could be managed by the investor in the territory of Indonesia. Principally, provisions on the mechanism of the investment licenses apply the same treatment to all of the investors, either foreign investor…
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Investment Law Dispute Settlement through International Center for Settlement of International Disputes (ICSID)

Background International Center for Settlement of International Dispute (“ICSID”) was established on the basis of the Convention on the Settlement of Investment Disputes between States and Nationals of Other States of 1966 ("ICSID Convention"). This ICSID Convention regulates the settlement of dispute between a country with foreign individual or company who have invested their capital…
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