Investment Minister/Head of the Investment Coordinating Board (BKPM) Bahlil Lahadalia said Law Number 11 of 2020 concerning Job Creation had a positive impact on the Indonesian economy, especially in efforts to increase investment realization. Because one of the important points regulated in this regulation is to facilitate business licensing. “One of the substance of the Job Creation Act is licensing for investment. So the Job Creation Law is a gateway to increase our investment realization in 2022," said Bahlil in the 2022 Economic Outlook: 2022 Investment Prospects held by Berita Satu Media Holdings on Tuesday (23/11/2021). He said Article 174 of the Job Creation Law states that the licensing authority that exists in ministries/agencies and regional heads is interpreted as the President's authority delegated to these officials. This authority will be regulated through norms, standards, procedures and criteria (NSPK).
One of the derivative regulations of the Job Creation Law is Government Regulation Number 5 of 2021 concerning the Implementation of Risk-Based Business Licensing, which states that licensing arrangements must be electronically based via online single submission (OSS). All these processes are carried out at the Ministry of Investment and are carried out in a transparent manner. "Later, the Ministry of Investment will sign all the permits on behalf of the technical minister," he said. Decisions regarding the issuance of permits can be made immediately when the required documents are complete. If the file is complete and then there are Ministries or institutions that do not technically agree, the Ministry of Investment can automatically do so by using positive fictitious. "This is all in order to encourage certainty, 18 Ministries/Institutions including the Ministry of Finance. So the fiscal incentives such as tax holidays, tax allowances and then import VAT are all at the Ministry of Investment," said Bahlil.
He did not deny that the implementation of OSS has not run optimally. Because the OSS Risk Based Approach (RBA) will only run on August 9, 2021. "We are targeting that in early 2022 everything will be good, including MSMEs," said Bahlil. But licensing for MSMEs runs optimally. BKPM can issue a Business Identification Number (NIB) for MSMEs in the range of up to 6,000 permits in one day. Currently, the Ministry of Investment continues to integrate with other Ministries/Institutions. “The impact of the increase in investment is due to the speed of permit processing as well. So it's amazing. It takes time to do a deeper synchronization,” he said.
Source: https://www.beritasatu.com/ekonomi/857797/kementerian-investasi-uu-cipta-kerja-permudah-investasi
