The closed and open business fields category based on Presidential Regulation Number 10 of 2021 concerning the Investment Business Field

The Indonesian government has taken various ways to move the Indonesian economy, one of which is by attracting foreign investors to invest in Indonesia. The Indonesian government through Presidential Regulation No. 10/2021 concerning the Investment Business Sector (Perpres 10/2021) has changed the investment concept to become a Priority Business Sector. Perpres 10/2021 is a derivative regulation of Law Number 11 of 2020 concerning Job Creation (Job Creation Law).

In the previous regulation, the concept of investment was that every investor was obliged to know what fields are open and closed so that investors can find out what business fields they will choose. Whereas in this new regulation the concept is that all fields of investment are open except for those that are closed and with certain conditions.

A. Closed business sector

Closed business fields regulated in the Job Creation Law Article 77 paragraph 2, namely the provisions of Article 12 of Law Number 25 of 2007 concerning Investment are:

1. Narcotics cultivation and industry Category I;

2. All forms of gambling and / or casino activities;

3. Capturing of fish species listed in Appendix I of the Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES);

4. Utilization or extraction of corals and utilization or taking of corals from nature which are used for building materials, calcium limestone, aquariums, and souvenirs / jewelry, as well as live or dead coral (recent death coral) from nature;

5. Chemical weapons manufacturing industry; and

6. Industrial chemicals industry and ozone layer depleting substances industry.

B. Open Business Sector Sector

The open business sector consists of 4 categories, namely:

1. Priority business fields;

2. Allocated business fields or partnerships with cooperatives and SMEs;

3. Business fields with certain requirements; and

4. Business fields that are not included in letter a, letter b and letter c.

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