BKPM Threatens to Revoke Thousands of Principal Permits

TEMPO.CO, Jakarta – Banten Provincial Investment and Integrated Services Coordinating Board (BKPMPT) has threatened to revoke permits of 169 companies, comprising both domestic and foreign companies, who have yet to submit their Capital Investment Activity Reports (LKPM). 

Investment Coordinating Board (BKPM) deputy director for monitoring and implementation Azhar Lubis said the move was to follow up the warning given by the BKPM in January 2015. 

“We sent letters to those companies and gave them a month's deadline. We also asked the provincial BKPM to check and tell them to report their activities. Or else, we will revoke [their permits],” Azhar said on Thursday, February 26, 2015. 

Azhar revealed that in January 2015 the BKPM found 15,528 principal permit holders who had yet to submit their activity reports. The permit revocation was a part of government’s efforts to oversee domestic and foreign investors. 

“Companies have rights and duties. We want them to comply [with the regulations],” Azhar said. 

The BKPM recorded about US$84.98 billion worth of foreign investments and Rp316,29 trillion (US$26.3 billion) worth of domestic investments that have yet to be reported. Meanwhile, the realization of foreign investment plan of US$68.15 billion and domestic investment plan of Rp429.30 trillion (US$35.7 billion) have been reported. 

BERNADETTE CHRISTINA MUNTHE