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Deregulasi Investasi masih Sisakan Sejumlah Persoalan
Investment Deregulation Still Leaves Several Issues
Media Indonesia | Local Language | News | June 24, 2025 | Regulation
The Indonesian government is pushing to enhance the national investment ecosystem through Government Regulation No. 28/2025, which focuses on the Implementation of Risk-Based Business Licensing (PBBR). Despite the deregulation efforts, economists warn that the policy could fail without strong supervision and institutional readiness. A key concern is the lack of clear and transparent criteria for classifying business risks, which could lead to inconsistent interpretations and legal uncertainty.
Experts also highlight the potential dangers of relaxing risk-based licensing, especially in environmentally and health-sensitive sectors, where precautionary principles risk being overlooked. Post-licensing supervision remains underdeveloped, raising concerns about the sustainability of accelerated investment processes.
Coordination issues between central and regional governments, along with weak licensing validation, are additional challenges. The mining permit revocation incident in Raja Ampat exemplifies the existing problems with transparency and accountability in licensing administration.
The use of the Online Single Submission (OSS) system introduces technological improvements but creates difficulties for micro, small, and medium enterprises (MSMEs) less familiar with digital platforms. Simplified procedures may lead to automatic or premature approvals due to administrative pressures, and notably, the regulation lacks a public complaint mechanism, which is critical for accountability in the licensing process.