Indonesian govt to announce eleventh economic policy package on Tuesday

Indonesian govt to announce eleventh economic policy package on Tuesday

Darmin Nasution. (ANTARA/Yudhi Mahatma)

In the previous DNI, some 55 percent of foreign shares were required in business areas ..."
Jakarta (ANTARA News) - The Indonesia government will announce the eleventh economic policy package containing five points on Tuesday.

"There are five main points in the eleventh economic policy package. Storage time is one of the main points in the policy, and it is not related to the port but is related to the processing time or time spent there," Coordinating Minister for Economic Affairs Darmin Nasution remarked here on Monday.

The minister said the policy will revise a regulation on the flow of goods.

"There is a green and red lane facility, which will be revised," Nasution stated.

The establishment of the green and red lanes was not the sole responsibility of the Customs and Excise Directorate General but also of other institutions.

"President Joko Widodo has welcomed the contents of the policy," the minister affirmed.

Earlier, the government had released the tenth economic policy package aimed at boosting investment and protecting small and medium enterprises as well as cooperatives.

The government increased 19 reserved business sectors for small and medium enterprises and cooperatives in the revision of Presidential Decree (Perpres) No. 39 in 2014 on the List of Business Fields Closed to Investment and Business Fields Conditionally Open for Investment in the investment sector (Investment Negative List/DNI).

"The nineteenth sector is covered in the activities of business services and construction that use simple or medium technology, with a value Rp10 billion," Nasution noted at a press conference here on Thursday.

"In the previous DNI, some 55 percent of foreign shares were required in business areas such as pre-design and consulting services, architectural design services, and administrative services," the minister pointed out.

The government has expanded the value of 39 reserved businesses in the SMEs sector from Rp1 billion to Rp50 billion.

The activities include the type of construction service business, such as construction work for commercial buildings, health facilities, and others.

The government has simplified the business field as part of its efforts to expand the business activities of SMEs, the minister remarked.

Nineteen business services/construction were merged into one type of business, the minister cited.

"Therefore, the reserved business sector for small and medium enterprises and cooperatives reaches 92 business fields," the minister stated.

With regard to the partnership, as many as 110 business fields of SMEs can receive domestic and foreign direct investment.

The business sector included the seeding plantation business with an area of 25 hectares, retails via mail order, and the internet.

The SMEs could invest in both the areas of business that were not regulated in the DNI and in business fields that are open with conditions.
(Uu.A063/INE/KR-BSR/H-YH)

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