Indonesian Political, Business & Finance News

14.9 Million Micro-Enterprises Now Have NIB; Land-Based KKPR Procedures Streamlined

| | Source: PERISKOP.ID Translated from Indonesian | Regulation
14.9 Million Micro-Enterprises Now Have NIB; Land-Based KKPR Procedures Streamlined
Image: PERISKOP.ID

periskop.id – The simplification of licensing procedures for micro-enterprises is being accelerated once again. The Ministry of Investment and Downstreaming/BKPM has officially streamlined the procedure for issuing Land-Based Business Activity Conformity Certificates (KKPR) through Circular Letter No. 1.S of 2026, requiring only a self-declaration via the OSS system.

This policy aims to make the business legalisation process faster and simpler, without neglecting the principles of spatial planning and local government oversight.

“We want micro-enterprises to no longer be burdened by complicated procedures. Through self-declarations on the Online Single Submission (OSS), the process becomes faster and simpler, while still maintaining accountability. This is a concrete form of support to enable small business actors to operate legally and productively as soon as possible,” said Deputy Minister of Investment and Downstreaming/Deputy Head of BKPM, Todotua Pasaribu, during a press conference, as quoted on Wednesday (25 February).

Todotua explained that through this policy, the issuance of Land-Based KKPR for micro-enterprises can now be done simply by submitting a self-declaration through the Online Single Submission (OSS) system, making the process simpler, faster, and less burdensome for small business actors.

Business actors only need to fill in the business location data, including administrative information, complete address, land area, one coordinate point, and a photo of the front view of the location. After the data is filled in, business actors submit a self-declaration of the conformity of the business activity location through the OSS system.

According to him, this ease of access still prioritises the principles of spatial planning conformity, as well as oversight by local governments for business activities with high-risk levels.

To date, 14.9 million micro-enterprises have obtained a Business Identification Number (NIB) in the OSS system. This number represents 96.9% of the total number of registered NIBs. This achievement shows the high enthusiasm of micro-enterprises to enter the formal sector.

“With the simplification of Land-Based KKPR, the business legalisation process is becoming increasingly easier and more integrated,” said Todotua.

Furthermore, Todotua affirmed that this policy also provides a solution for business actors who have already submitted applications.

“For micro-enterprises whose applications are still in process before this Circular Letter takes effect, we will provide the opportunity to resubmit through a simpler mechanism. This is part of our commitment to ensure that no micro-enterprises are hindered by transitional policy procedures,” he concluded.

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