Indonesia

The Republic of Indonesia experienced the longtime rule of the government of Sukarno and Suharto following its independence in 1950. Since 1999, it has been implementing democratic general elections, and, in recent years, its growth potential has attracted attention against the backdrop of its stable politics, abundant natural resources and robust domestic demand. Also, its potential market value is highly regarded in light of its population of more than 200 million (ranked 4th in the world).

In Indonesia, foreign-affiliated companies cannot conduct business unless they establish a joint-stock company (PT PMA). There are also other restrictions on foreign investments, and certain ratios of foreign investment are prescribed for each category of business. In addition, foreign-affiliated companies cannot acquire land ownership. Corruption, including bribery, has long been noted, and the government has recently strengthened countermeasures against corruption by organizing the Indonesian Corruption Eradication Commission and through other means.

Experience

We are broadly experienced in cases such as the establishment of local representative's offices and subsidiaries in Indonesia, business expansion including M&A and joint ventures in Indonesia, drafting of various agreements with Indonesian companies including trade agreements, license agreements and lease agreements, the involvement in the proceedings of the recognition and enforcement of arbitral awards and in insolvency proceedings, and other support and assistance in judicial proceedings in Indonesia.

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