Government Amends Regulations on Derivative Assets of BUMN Law

The government will prepare derivative regulations on provisions related to assets in Law No. 1 of 2025 on the Third Amendment to Law No, 19 of 2003 (“Law 1/2025”) on State-Owned Enterprises (Badan Usaha Milik Negara - “BUMN”).

“We are waiting for the Regulation of the Government. It is an implementing regulation. After the Regulation of the Government is issued, Decree of the President and Regulation of the Minister will also be issued,” said Nasril Bahar, a member of Commission VI of the House of Representatives (“DPR”), to Hukumonline.

Under Law 1/2025, the management of BUMN assets is affirmed to be in accordance with the principles of good corporate governance, namely that it is conducted in an accountable manner and refers to laws and regulations. The government will also issue a Regulation of the Government on the governance of implementing regulations.