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Indonesia’s investment board to speed up issuance of investment licenses

Jakarta (ANTARA News) – The Investment Coordinating Board (BKPM) will do its best to accelerate the issuance of investment permits through an integrated one-stop service (PTSP), BKPM Head Franky Sibarani said.

“We have been discussing simplification process for issuing investment permits. I think, in a not too distant time, we will disclose the number of days needed to issue a license,” Franky Sibarani stated at the inauguration of the Jakarta branch of PTSP BKPM here on Monday.

He made the remarks while observing that there are many licenses that take hundreds of days to be issued. A power plant investment permit, for example, requires 52 licenses and 930 days for issuance.

“For the time being, I can assure that only half of the 930 days will be needed for a license to be issued. We are still discussing how to speed up the process,” he added.

Franky noted that in order to speed up and simplify the process of issuing investment permits, his side should coordinate with related technical ministries.

But, it will take longer because after deciding lesser number of days, it will have to be regulated through a letter of decision or a ministers regulation.

“We have indications that 930 days can be reduced and the permit issuance process can be speedier. However, every standard operational procedure must have a ministers letter of decision,” he pointed out.

While inaugurating the Jakarta branch of PTSP BKPM, President Joko Widodo asked to simplify and accelerate the issuance of investment permits in Indonesia.

“The inauguration of PTSP BKPM is only an initial step. Later, I will order its simplification and accelerate the permit issuing process so that it will not be complicated anymore,” he stated.

He also asked PTSP BKPM to optimize the use of information technology in the framework of transparency so that people submitting investment license application can know the permit issuance process.

He observed that with investments, the economic growth of the country in the coming three years is expected to reach 7.0 percent.

“While the economic growth of other countries declined this year, we recorded a 5.1 percent growth. We have set the new target between 5.6 and 5.8 per cent and the key to achieving it is through investments,” he concluded.

Source : www.antaranews.com, Monday 26 January 2015