Special Economic Zone in Indonesia
Special Economic Zone Indonesia: Your Gateway to Growth
Navigating the complexities of Indonesia’s Kawasan Ekonomi Khusus (KEK) requires more than just local knowledge, it requires technical precision. Foreign investors trust our Special Economic Zone Indonesia licensing services because we bridge the gap between complex GR 28/2025 regulations and operational reality. We ensure your Business License Indonesia is secured quickly, leveraging our deep ties with the National SEZ Council.
Free ConsultationKey Features
OSS RBA Technical Integration
We manage the entire Risk-Based Approach (OSS RBA) registration, ensuring your NIB (Business Identification Number) is correctly coded for SEZ-specific incentives and priority investment status.
Fiscal & Customs Facility Activation
Beyond the basic license, we facilitate the activation of Corporate Tax Holidays (up to 20 years), VAT exemptions, and Customs-Free Zone permits essential for export-oriented manufacturing.
Specific Sectoral Certifications
From medical device distribution licenses in Sanur to digital data center permits in Nongsa, we secure the technical certificates (PB-UMKU) required for specialized SEZ operations.
Environmental & Spatial Compliance
We handle the essential "Basic Requirements" (KKPR and Environmental Approvals) that are mandatory before any physical construction or industrial activity can commence within the zone.
Minimum Requirements
Legal Entity
Must be established as a PT PMA (Foreign Investment Company).
Capital Threshold
Minimum paid-up capital of IDR 2.5 Billion (approx. $156,000) under the new 2025/2026 easing, with a total investment plan exceeding IDR 10 Billion.
Location
Proof of land lease or ownership agreement within the designated SEZ boundary.
Special Economic Zone Regions & Industry Focus
Java
Gresik, Kendal, Lido
Metal & Copper, Tech/Manufacturing, MICE & Tourism
Sumatra
Sei Mangkei, Batam (NDP)
Palm Oil/Rubber, Digital Economy, Logistics
Bali
Sanur, Kura Kura Bali
Medical Tourism, Luxury Hospitality, Education
Sulawesi
Palu, Bitung
Natural Resource Processing, Fisheries
Kalimantan
Mangkupadi, BCIP
Green Energy, Chemical Industry, Petrochemicals
Papua
Sorong
Logistics, Marine Industry, Mining Support
Process and Timeline
1
Company Setup
Incorporating the PT PMA and obtaining the Deed of Establishment. (2–3 Weeks)
2
OSS Registration
Securing the NIB and identifying specific KBLI codes for SEZ facilities. (1 Week)
3
Basic Requirements
Approval of KKPR (Spatial) and Environmental permits. (4–8 Weeks)
4
Sectoral Licensing
Final technical permits (PB-UMKU) and Customs registration.
Important Consideration
- KBLI 2025 Compatibility: Ensure your business activities match the latest 5-digit KBLI codes to qualify for tax holidays.
- Investment Realization (LKPM): SEZ tenants must submit quarterly reports; failure to do so can lead to a suspension of tax facilities.
- Local Labor Ratios: While SEZs offer eased work permit (RPTKA) rules, there are still expectations for local skill transfer programs.
- Minimum Investment Timeframe: Paid-up capital must remain in the company’s account for at least 12 months as per the latest 2026 supervision rules.
Frequently Asked Questions
What is the main benefit of a Special Economic Zone in Indonesia?
The primary benefits include corporate tax holidays of up to 100%, exemption from import duties and VAT, and simplified immigration and labor regulations.
Can a 100% foreign-owned company operate in an Indonesia SEZ?
Yes, most sectors within an SEZ allow 100% foreign ownership (PT PMA), as these zones are designed to bypass many restrictions in the national “Negative Investment List.”
Has the minimum capital requirement changed for 2026?
Yes. While the total investment must still exceed IDR 10 Billion, the upfront paid-up capital requirement has been reduced to IDR 2.5 Billion to lower entry barriers.
How long does the Tax Holiday last?
Depending on the investment value, tax holidays typically range from 10 to 20 years for investments starting from IDR 500 Billion and above.
What is the difference between an Industrial Estate and an SEZ?
An SEZ (KEK) offers much higher fiscal incentives (like VAT and Duty exemptions) and a more specialized administrative “One-Stop Service” compared to a standard Industrial Estate.
Do I need a separate license for import/export in an SEZ?
Your NIB (Business Identification Number) acts as your import license (API-U/P), but you must register with the SEZ Customs Sub-system to activate the duty-free status.
Can I establish a service-based business in a Special Economic Zone?
Absolutely. Many zones, such as Nongsa Digital Park and Sanur, are specifically dedicated to digital services, healthcare, and tourism.
What is the difference between a Free Trade Zone (FTZ) and a Special Economic Zone (SEZ)?
While both offer customs exemptions, an FTZ (like Batam) primarily focuses on logistics and duty-free trade for goods entering/leaving the zone. An SEZ (KEK) offers much broader fiscal incentives, including significant Corporate Tax Holidays (up to 20 years) and simplified labor regulations that are not typically available in a standard FTZ. Additionally, SEZs are often sector-specific (e.g., medical, digital, or green energy), whereas FTZs are more general trade hubs.
Comprehensive Support to Keep Your Business Running Smoothly
From operations to local compliance, our support services are designed to help your business grow sustainably in Indonesia.
Disclaimer
The content provided on this website is published by PT. Bisnis Hub Asia (“we“, or “us“) for general informational purposes only. While every effort is made to ensure the accuracy and timeliness of the information presented, we make no representations or warranties, express or implied, as to the completeness, accuracy, reliability, suitability, or availability of any content, products, or services described on this website. Any reliance placed on such information is strictly at the user’s own risk.
We are a private, independent entity and are not affiliated with, authorized by, or acting on behalf of the Government of the Republic of Indonesia, its ministries, agencies, or any officially appointed representatives. This website does not provide, offer, or promote any official government documents or services, including but not limited to:
-
Business identification numbers (Nomor Induk Berusaha – NIB);
-
Tax refunds or rebates;
-
Stay Permit or electronic travel authorizations;
-
Passports or other immigration-related documents.
Any references to such services are provided solely for general informational purposes and should not be construed as an offer or facilitation of official services.
We are committed to ensuring the protection of your personal data in accordance with Law No. 27 of 2022 on Personal Data Protection. Any personal information collected through this website will be processed for the purposes clearly stated in our [Privacy Statement]. We do not sell or misuse personal data under any circumstances.
By accessing and using this website, you acknowledge and agree to the terms set out in this Disclaimer. You further agree to use this website and the information provided responsibly and in compliance with applicable laws and regulations.
For further information or questions regarding this Disclaimer, please contact us via the channels provided on our Contact page.
Disclaimer
The content provided on this website is published by PT. Bisnis Hub Asia (“we“, or “us“) for general informational purposes only. While every effort is made to ensure the accuracy and timeliness of the information presented, we make no representations or warranties, express or implied, as to the completeness, accuracy, reliability, suitability, or availability of any content, products, or services described on this website. Any reliance placed on such information is strictly at the user’s own risk.
We are a private, independent entity and are not affiliated with, authorized by, or acting on behalf of the Government of the Republic of Indonesia, its ministries, agencies, or any officially appointed representatives. This website does not provide, offer, or promote any official government documents or services, including but not limited to:
-
Business identification numbers (Nomor Induk Berusaha – NIB);
-
Tax refunds or rebates;
-
Visas or electronic travel authorizations (e-Visa, e-VoA);
-
Passports or other immigration-related documents.
Any references to such services are provided solely for general informational purposes and should not be construed as an offer or facilitation of official services.
We are committed to ensuring the protection of your personal data in accordance with Law No. 27 of 2022 on Personal Data Protection. Any personal information collected through this website will be processed for the purposes clearly stated in our [Privacy Statement]. We do not sell or misuse personal data under any circumstances.
By accessing and using this website, you acknowledge and agree to the terms set out in this Disclaimer. You further agree to use this website and the information provided responsibly and in compliance with applicable laws and regulations.
For further information or questions regarding this Disclaimer, please contact us via the channels provided on our Contact page.
Meet the Expert
Meet the Expert
Ing. Michal Wasserbauer, Ph.D., CPA (Australia)
Senior Advisor at Business Hub Asia
Michal is a seasoned entrepreneur and Certified Practising Accountant (CPA Australia) with over 15 years of experience building and scaling companies in Southeast Asia. He is the founder and former CEO of Cekindo (acquired by InCorp Group). As Senior Advisor at Business Hub Asia, he guides international companies on market entry, corporate structuring, and regulatory advisory in Indonesia, Vietnam, and the Philippines.
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