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INDONESIA: Major Overhaul of Investment Incentives Looms

The country is to review its range of FDI-related incentive schemes amid concerns that many of its current offerings are either too complex for potential investors or out-of-step with the contemporary commercial climate. At present, would-be investors are entitled to a number of corporate income tax exemptions, which vary in duration depending on business sector and operational locale.

While no date for the implementation of the revised incentive regime has been announced, it is expected that any required legislation will be fast-tracked. Overall, the move is seen as a logical extension of the country’s 16th Economic Policy Package (EPP), a set of measures designed to improve the domestic investment environment, which were unveiled in the August 2017.

For further information, please see: INDONESIA: New Economic Policy Package Set to Streamline Investment Procedures.

Content provided by Picture: HKTDC Research
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