Indonesia

With a legal viewpoint from OBG partner, Todung Mulya Lubis, Senior Partner, Lubis Santosa & Maramis, this chapter navigates Indonesia’s legal framework, with focus on anti-corruption measures and other updates that may affect businesses and potential investors.

Featuring a tax viewpoint from OBG partner, Ay-Tjhing Phan, Tax Leader, PwC Indonesia, this chapter gives an overview of the tax system in Indonesia, with focus on changes to the tax system in recent years and regulations for potential investors.

In 2002, a new amendment to the constitution required that central and local authorities spend 20% of their budgets on education, a level achieved in only one year, 2009. The Indonesian education system is large, well-funded, fast growing and quickly improving. Despite some difficult years as a result of the 1997-98 Asian financial crisis and some ineffective policies instituted in its aftermath...

In 2013 the agriculture sector accounted for 14.4% of total GDP. Food crops represented the largest segment, with more than half of the industry’s value. Tasked with providing sustenance for the country’s nearly 250m citizens while contributing a steady stream of export revenue, the Indonesian agriculture sector remains an indispensable industry with an influence that extends across a broad...

Boasting some of the world’s greatest biodiversity and dynamic landscapes, Indonesia has long been a popular destination amongst tourists. The development of an Islamic heritage niche has seen an increase in arrivals from Gulf countries. Arrivals from the UAE and Saudi Arabia increased 122.4% and 34.2%, respectively, in 2013. The number of air travellers to Indonesia rose 15% in 2012, reaching 72...

There is a growing sense that the telecoms market is evolving and becoming more segmented, with increased differentiation among players. This is helping the industry to move beyond the commodity stage, as customers begin to pick and choose and are no longer seeing all carriers as being the same. The merger between XL Axiata and Axis Telekom Indonesia received approval from the Ministry of...