House of Representatives Pushes for Special Law on Financial Center Zone

The House of Representatives (“DPR”) is pushing for the drafting of legislation related to the development of the Indonesia Financial Center (“IFC”). This follows the Revision of Law No. 4 of 2023 (“Law 4/2023”) on the Development and Strengthening of the Financial Sector (“P2SK”), which was agreed upon by the DPR and the Government some time ago. 

“It will be formulated into separate tax regulations, including provisions regarding the handling of civil disputes and area management, as this will become Indonesia’s financial center to serve as an investment hub,” said Chairman of Commission XI of the DPR, Mukhamad Misbakhun.

It is known that the government is currently drafting regulations for the establishment of the IFC to drive the financial sector of the Special Economic Zone (“SEZ”) in Bali as an investment catalyst. The Kura-Kura Bali SEZ has been selected as one of the potential areas for IFC development.

“We aim to complete this within a maximum of three months from the time this Law (PPSK) is finalized,” he added.