Jakarta – The government has issued a new regulation on incentives and facilities for investment in Indonesia's regions (provinces, cities, regencies) in an effort to boost economic growth across the country.
Government Regulation No. 24/2019 on incentives and facilities for investment in regions was issued on April 2, kontan.co.id reported Monday. The new regulation provides more details than the previous one, Government Regulation No. 45/2008.
The incentives could be in the form of a regional levy reduction or even exemption. The new regulation also offers incentives in the form of a soft loan for research and development or vocational training for micro, small and medium enterprises and cooperatives.
Article 6 of the updated regulation includes 13 points on facilities for investment, providing much more information than the previous regulation, which only included five points.
Under the new regulation, for example, investors can access data and information about investments, infrastructure, land acquisition assistance, technical assistance, license arrangements, market access, promotions, strategic areas, certifications, standardization processes, raw materials and human resources.
The regulation also requires regional administrations to issue a bylaw that at the very least elaborates on criteria of investment, types of businesses, types of facilities, the procedure for obtaining incentives and the period of validity for such incentives. (bbn)