2025
15
NOV
Indonesia Cuts Minimum Capital for Foreign-Owned Companies to Rp 2.5 Billion:
Easier OSS Access, but Operational Capital Still Required to Increase.
The Indonesian government has officially reduced the minimum paid-up capital for Foreign Investment Companies (PMA) to Rp 2.5 billion under the newly issued BKPM Regulation No. 5 of 2025. The policy aims to ease entry for foreign investors seeking to establish a PMA and obtain access to the country’s integrated Online Single Submission (OSS) licensing system. However, foreign investors are cautioned that the Rp 2.5 billion requirement is only an initial figure and does not represent the minimum capital expected during the company’s operational phase. Several additional obligations remain in place once the business becomes active.
