21 March 2019
INDONESIA: New App Set to Accelerate Regional FDI Approval Process
The government has launched a new app in a bid to improve coordination between regional investment officials with regard to the granting of permits for foreign direct investment (FDI). Billed as Kopi Mantap and said to be both smartphone and tablet compatible, the app will allow investment officials at the district, city and provincial levels to exchange information and secure internal approvals for the granting of FDI permits.
It is expected that the new software, an add-on to the existing Online Single Submission (OSS) system, will help fast-track the approval of FDI applications by reducing administrative bottlenecks. In line with this, the app allows officials to schedule video and audio conference calls as an alternative to face-to-face meetings. In addition, the app’s integration with the OSS system gives the Investment Coordination Board (BKPM), the country’s central investment regulatory body, the facility to monitor FDI approval processes at the regional level.
The software launch follows a recent directive by Indonesian President Joko Widodo that called on regional investment officials to speedily approve FDI-related permits. Widodo’s directive comes in the wake of continuing criticism of many regional authorities for their failure to properly facilitate FDI as evidenced by the low implementation rates of FDI projects in the country compared to the level of funding initially committed by overseas investors.