Financial service institutions (Lembaga Jasa Keuangan "LJK") are required to submit three types of documents to the Financial Services Authority (Otoritas Jasa Keuangan "OJK"), specifically documents that address anti-fraud strategies, anti-fraud strategy implementation reports and reports on acts of fraud that have a significant impact (collectively referred to as "Reports"). The timeframes for the submission of these Reports vary based on LJK type. The obligation to submit anti-fraud strategy implementation reports is also dependent on the capital and assets of the relevant LJK, while said reports should be submitted by one of the following dates: 1) 31 January 2025; or 2) 23 July 2025.

Business actors operating within the housing and settlement areas sector who cannot fulfill the balanced housing obligation in other regions are entitled to enjoy several incentives, including: 1) Assistance for housing development programs; 2) Tax relief for simple houses in accordance with applicable Laws; 3) Assistance with infrastructure, facilities and public utilities; 4) Facilitation of land acquisition for housing development and expansion; and 5) Support for accessibility to balanced housing locations within the Capital City of Nusantara (Ibu Kota Nusantara "IKN").

The new framework on the approval and reporting of insurance products introduces detailed provisions on the termination of insurance products, either on the initiative of insurance companies or as ordered by the OJK. Insurance companies must halt marketing and notify policyholders and the OJK if any such terminations occur. Reports must include reasons for termination and data on active policies. These measures are designed to ensure the orderly discontinuation of products and the maintenance of regulatory oversight during transitions.

The outsourcing of drug manufacturing can now be conducted not only by pharmaceutical industries through the securing of Guidelines for Good Manufacturing Practices for Drugs (Cara Pembuatan Obat yang Baik "CPOB") certification but also by accredited research institutions through good laboratory practice accreditation and CPOB certification. Meanwhile, the outsourcing of drug testing can be conducted by CPOB-certified pharmaceutical industry laboratories or by laboratories that have been accredited for a specific testing scope by the relevant authorities.

The Minister of Energy and Mineral Resources (Minister) has significantly revised the framework on Gross-Split Profit-Sharing Contracts (GS-PSC). The GS-PSC scheme has now been categorized into conventional and non-conventional oil-and-gas activities, which are relevant to determinations of base-split calculation methods. While the previous framework provided a strict percentage for base-split calculations for GS-PSC, the new regulation implements more specific factors for base-split calculations, such as reserve amounts and field conditions. Furthermore, it also allows for periodic adjustments that reflect actual field conditions post-commercial production.

The organization of social forestry within Indonesia is carried out through a number of different approvals and stipulations that depend on the types of forests that are being regulated. Of great significance to businesses in this regard is the Forestry Partnership scheme, which ngallows for collaborations between local communities, long-term community organizers and forestry professionals by incorporati profit-sharing agreements and stipulating various obligations that relate to community empowerment and environmental protection.

TKDN rates are categorized based on electrical infrastructure type, in relation to which the rates for components range from 15% up to 65.65%. Furthermore, different officials will have the authority to determine calculation procedures for the fulfillment of the minimum TKDN rate requirements. Said officials are determined based on the types of electrical instruments concerned.

Investment facilities that aim to ensure ease of doing business within the new Capital City of Nusantara (Ibu Kota Nusantara/IKN) will be made available in various forms, including: 1) 0% tariff for duty on land acquisitions until 2035; 2) Approvals for 10-year working periods for foreign workers in certain positions, which may be extended; and 3) Exemptions to the obligation to make compensation payments when employing foreign citizens until 2035.

Broadly speaking, the Draft Regulation revises the business activities of parties that engage in public offerings of securities ("Issuers") and companies that meet the required amounts of shareholders and deposited capital, as outlined under the relevant Financial Services Authority (Otoritas Jasa Keuangan "OJK") regulatory frameworks ("Public Companies"). Of particular relevance here are provisions that specifically address public offerings and registration statements, buybacks of public company shares as a result of the cancellation of securities listings by the stock exchange due to significant conditions or events that have a negative impact on business continuity, changes in company status, disclosures of information or material facts, and the positions of public shareholders during liquidation.

A new OJK Draft Regulation will allow conventional and sharia rural banks (bank perekonomian rakyat "BPR") to engage in capital investment activities. In order to do so, BPR must first secure approvals from the Financial Services Authority (Otoritas Jasa Keuangan "OJK") and fulfill the following requirements: 1) Must meet the minimum capital adequacy ratio; 2) Must have a minimum soundness level ranking of Composite 2 based on the last two consecutive annual period assessments; and 3) Any capital investments that are made must not disrupt the continuity of BPR businesses and must not significantly increase the relevant BPR risk profiles.