BKPM Regulation 5/2025 - Reduction on Paid-Up and Issued Capital for Foreign Direct Investment Company
On 2 October 2025, Indonesia introduced BKPM Regulation No. 5 of 2025, which simplifies the incorporation process for Foreign Direct Investment (PMA) companies. A key highlight of this regulation is the reduction of the minimum issued and paid-up capital requirement from IDR 10 billion to IDR 2.5 billion per company. This change will make it easier for foreign investors to enter or expand their presence in the Indonesian market.