Welcoming Indonesia's E-Commerce Regulation: A Snapshot

To close 2019, the Indonesian government enacted the much-anticipated e-commerce regulation¹ ("Regulation") in late November. Being an implementing regulation to the Trade Law,² the Regulation regulates not only the typical actors in e-commerce transaction (i.e. merchants and consumers), but also e-commerce service providers (penyelenggara perdagangan melalui sistem elektronik) and intermediary service providers (penyelenggara sarana perantara). In addition, the Regulation, among others, regulates e-contracts, online advertisements and personal data protection.

While the Regulation is undoubtedly welcomed, especially in clarifying the many existing uncertainties in the market, some provisions raise issues as it overlaps and contradicts the regulation on electronic systems and transactions,³ which was issued shortly before the Regulation.