Overview

Regulation of the Government No. 28 of 2025 (“Regulation 28/2025”) on Risk-Based Business Licensing (Perizinan Berusaha Berbasis Risiko – “PBBR”) officially came into force on 5 June 2025 and is now serving as Indonesia’s most recent umbrella framework for PBBR. In addition to expanding the official list of PBBR sectors to 22 from the previous 15 originally outlined under the now-revoked framework of Regulation of the Government No. 5 of 2021 (“Regulation 5/2021”), which bore the same title as Regulation 28/2025,[1] this new framework has now introduced a number of fundamental requirements which are precursors for businesses that are looking to secure relevant Business Licenses (Perizinan Berusaha – “PB”).[2]