Govt Introduces Omnibus Law to U.S. Officials, Businesses

TEMPO.CO, Jakarta - Coordinating Minister for Economic Affairs Airlangga Hartarto has introduced Omnibus Law to United State's officials and businesses today, November 21. Airlangga said the law is the Indonesian government’s effort to attract high-quality investment.

“President has announced Omnibus Law, as the tax reform in a bid to ease business,” said Airlangga during the 7th US-Indonesia Investment Summit at Mandarin Oriental Hotel, Central Jakarta, Thursday, November 21.

One of the contents of the law is the removal of the country’s negative investment list. As a replacement, the government will issue a positive investment list. “This is vital to create employment,” said Airlangga.

Omnibus Law is one of the ways to simplify over 70 regulations to boost investment. And the government will release two new regulations, namely on employment and on micro, small, medium enterprises (MSMEs) empowerment.

Deputy of macroeconomic and finance at Coordinating Ministry for Economy, Iskandar Simorangkir, ensured that the draft bill was being finalized. “We target it to be submitted before the House of Representatives’ (DPR) recess period on December 12,” said Iskandar last week.

The U.S. Ambassador to Indonesia Joseph R. Donovan Jr. claimed he had acknowledged the Indonesian government’s plan. However, he said he still faced difficulties in investing in the archipelago, starting from regulations that were often revised up to the long list of the country’s negative investment. Thus, Donovan positively welcomed the passage of the law.

FAJAR PEBRIANTO