Jokowi Unveils 1-Stop Permit Service For Investors

Jakarta Globe, Vanesha Manuturi & Ezra Sihite, Jan 26, 2015

President Joko Widodo. (Antara Photo/Noveradika)

Jakarta. Indonesia’s Investment Coordinating Board, or BKPM, has officially launched its one-stop investment licensing service, setting a milestone in the government’s efforts to ease and simplify investment procedures in the country.

President Joko Widodo inaugurated the service at the BKPM headquarters on Monday.

“I will continue to monitor the service for its efficiency … I also hope that [government] ministries step up their efforts to coordinate with each other and assist investors as much as possible,” Joko said. “The economy must continue to grow each year, and the key is in the state budget and investments made in our country.”

The government targets Indonesia’s  economy to grow between 5.6 percent and 5.8 percent this year, compared to an estimated 5.1 percent last year. Investments account for 31 percent of the economy, the second largest contributor after domestic consumption.

The initiative for a one-stop licensing service was launched during the administration of former president Susilo Bambang Yudhoyono. But lack of coordination among ministries, local governments and other state bodies limited the services to several basic permits.

Joko promised to revamp the initiative during his presidential campaign last year, with a pledge to appease business the community.

Twenty-one ministries and government bodies have each delegated licensing representatives, or liaison officers, to the BKPM headquarters, according to an official statement released on Monday.

On Jan. 15, the investment coordinating board rolled out a trial run of the service with 66 liaison officers at BKPM.

“[With the one-door policy], investors won’t need to travel all over Jakarta to the offices of multiple government agencies in order to chase a license,” BKPM chairman Franky Sibarani explained.

GlobeAsia