Under Regulation No. 122/M-IND/PER/12/2014 on Delegation of Authority to Grant Industrial Business Licenses to the Head of the Capital Investment Coordinating Board, the MOT has delegated its authority to issue certain licenses to BKPM.

Business licenses delegated consist:

  1. Industrial Business License and/or Expansion Licenses as a) alcoholic beverages industry; b) valuable paper industry; c) weapons and ammunition industry; d) industry which processes and produces hazardous and toxic materials; e) inter-provincial industry; f) highly prioritized industry with national scale; and g) industry with foreign capital investment.
  2. New industrial business-area licenses or industrial business-area expansion licenses for industries located in more than one province;
  3. Industrial Business Licenses and/or Expansion Licenses to industries which are derived from foreign investment or foreign investors where source of funds are derived from other countries based on agreement between Indonesian Government and other countries.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.