Indonesia Mandates Sector-Specific Approvals for Foreign Investors

Key summary

Foreign investors operating in Indonesia must secure sector-specific approvals, licenses, and certifications determined by activity type, product classification, and risk level. Requirements vary according to the Indonesian Standard Industrial Classification (KBLI) 2025 and specific sector regulations. Businesses may need supporting documents such as PB-UMKU certificates, registrations, or product approvals from relevant ministries via the Online Single Submission (OSS) system, which covers sectors including industry, health, food, tourism, transportation, communications, agriculture, and energy. Manufacturing entities face additional mandates for environmental approvals, technical standards, and product registration before production, importation, or sale. Regulated industries, particularly healthcare, pharmaceuticals, and cosmetics, require separate certifications to ensure compliance and safe operation.