No Compliance, No Construction: Business Standards and Administrative Sanctions Introduced for Housing and Shopping Center Developers

Following the issuance of Regulation of the Government No. 28 of 2025 (“ Regulation 28/2025 ”) [1] on the Organization of Risk-Based Business Licensing (Perizinan Berusaha Berbasis Risiko– “ PBBR ”), the Minister of Housing and Settlement Areas (“ Minister ”) has now issued Regulation No. 18 of 2025 on Business Activity Standards, Supervision and the Imposition of Sanctions Relating to the Organization of Risk-Based Business Licensing Within the Housing Sector (“ Regulation 18/2025 ”), which has been in force since 31 December 2025. [2]