The Legal 500

Legal Developments in Indonesia

• Public Private Partnerships Under the 2015 Presidential Regulation

  The President’s Office has issued Presidential Regulation No. 38 of 2015 on the Cooperation Between the Government and Business Entities in the Provision of Infrastructure (“PR No. 38/2015”). PR No. 38/2015 replaces the previous Presidential Regulation on the same issue, Presidential Regulation No. 67 of 2005 as last amended by Presidential Regulation No. 66 of 2013.
  - Lubis Ganie Surowidjojo

• Bank Indonesia's Regulation on the Mandatory Use of Rupiah

  Indonesia’s monetary authority, Bank Indonesia, has issued regulation No. 17/3/PBI/2015 on the Requirement to Use Rupiah Within the Territory of the Republic of Indonesia (the “BI Regulation”). The BI Regulation serves as an implementing regulation to Law No. 7 of 2011 on Currency (the “Currency Law”). Bank Indonesia issued the regulation with a view of easing the pressure on the declining rupiah.
  - Lubis Ganie Surowidjojo

• Indonesia banking bill: proposed restrictions on foreign investment - July 2014

  Indonesia's House of Representatives is currently considering a new draft banking bill (the Banking Bill ) which, if passed into law in its current form, will:
  - Norton Rose Fulbright

• Indonesia's New 2014 Insurance Law

  he House of Representatives ("DPR") recently passed the bill on Insurance. The provisions of the bill will come into force after the president assents to it or at any rate within 30 days of its passage at the DPR. The 2014 Insurance Law will replace Law No. 2 of 1992 on Insurance. Within Indonesia's legislative structure the Insurance Law regulates insurance businesses, core insurance concepts however are largely left to the Civil and Commercial Codes.
  - Lubis Ganie Surowidjojo

• New Indonesian Copyright Law

  On 16 September 2014 the House of Representative revoked Law No. 19 of 2002 (" Old   Copyright Law ") with the Bill on Copyright, which will become law and receive a number upon the earliest of being signed by the President or 30 days (" New Copyright Law "). The New Copyright Law is an effort from the lawmakers to protect the economic and moral rights of creators and owners as the essential element in the development of national creativity.
  - Lubis Ganie Surowidjojo

• Indonesia Under Review - July 2014

  Negative Investment List   
  - Lubis Ganie Surowidjojo

• The 2014 Negative Investment List

  The Government has issued Presidential Regulation No. 39 of 2014 (PR 39/2014), which sets out the new negative investment list containing the business sectors that are closed or are partially open to foreign and domestic investment. The new negative investment list will replace the previous list under PR 36/2010, with a view of integrating Indonesia's economy to ASEAN, as well as accelerating development in the regions.
  - Lubis Ganie Surowidjojo

• The Indonesian Election Process and Contributions to Political Parties and Campaigns

  Article 35 of Law No. 2 of 2008, as amended by No. 2 of 2011, on Political Parties ("Political Party Law") provides for contributions to political parties, Articles 94 to 96 of Law No. 42 of 2008 on Presidential and Vice Presidential Elections ("Presidential Elections Law") provides for contributions to political campaigns, and Law No. 8 of 2012 on the Election of the House of Representatives, the Regional Representative Council and Regional House of Representatives (the "Legislative Elections Law") provides for contributions to House of Representatives campaigns.
  - Lubis Ganie Surowidjojo

• Indonesia Stock Exchange Revises Rule I-A on Share Listing Requirements

  PT Bursa Efek Indonesia has issued Decision of the Board of Directors of the Indonesia Stock Exchange No. Kep-00001/BEI/01-2014 on an amendment of Rule I-A (" Rule "), on 20 January 2014, coming into force on 30 January 2014, except as discussed below. The Rule sets out the IPO and subsequent share offerings requirements and procedures and listing fees. Notably the revised Rule sets out a free float policy and limits independent directors and commissioners to 2 successive terms.
  - Lubis Ganie Surowidjojo

• Indonesia Implements Raw Mineral Export Restriction

  Indonesia's Government Regulation No. 1 of 2014 (" GR 1/2014 ") and Minister of Energy and Mineral Resources Regulation No. 1 of 2014  (" ESDM 1/2014 "), enacted on 11 January 2014, implement the ban on raw mineral exports legislated under Law No. 4 of 2009 on Mineral and Coal Mining (" Mining Law "). The two regulations are currently in force. However, the restriction is not in full effect as ESDM exempts 5 minerals from a higher standard of refinement for a period of three years, on the condition that the exporter owns sufficient reserves for eventual smelting and has a credible plan to construct a smelter or jointly process the ores.
  - Lubis Ganie Surowidjojo