Indonesian Political, Business & Finance News

BKPM Assesses Bandung's PTSP Implementation, Mayor Farhan: Licensing is an Investment Network Potential

| | Source: POTENSINETWORK.COM Translated from Indonesian | Investment
BKPM Assesses Bandung's PTSP Implementation, Mayor Farhan: Licensing is an Investment Network Potential
Image: POTENSINETWORK.COM

The Bandung City Government underwent a visitation and spot-check assessment of its One-Stop Integrated Service (PTSP) and Business Implementation Acceleration (PPB) performance for 2026 by the Ministry of Investment and Downstreaming/Investment Coordinating Board (BKPM) at the Bandung City Public Service Mall on Jalan Cianjur No 34, Wednesday 12 August 2026.

Bandung City was previously selected as one of the nominees for Regional Government with Very Good Performance in PTSP and PPB Implementation for 2026. The visitation forms part of the assessment stages to directly observe the regional government’s commitment and service implementation in the field.

Bandung Mayor Muhammad Farhan stated that the spot-check exercise presents an opportunity to demonstrate Bandung City’s openness in receiving investment while resolving various obstacles faced by the business community.

According to him, one issue still frequently raised by business actors is licensing. Therefore, the Bandung City Government wants to ensure that licensing is not viewed as something that complicates matters, but rather provides benefits to the business community.

“Licensing is not something to be regarded as a hindrance, but it also provides significant benefits to the business community,” Farhan said in his remarks.

Farhan stated that Bandung City’s position holds a number of potentials that can support investment development. One of these relates to the reactivation of Husein Sastranegara International Airport in Bandung as part of West Java’s aviation industry ecosystem connected to the development of West Java International Airport (BIJB).

According to him, if BIJB develops as a strategic industry and aviation hub for West Java, Bandung City plays an important role in providing human resources as well as various supporting facilities.

Farhan also assessed that Bandung City’s position, with relatively strong transport access and infrastructure, is an important asset in attracting investment. Therefore, what needs to be ensured is that the service process genuinely helps the business community realise its potential.

“Our value is very high. The only question is whether the process truly helps the business community or actually hinders the realisation of such enormous potential,” he said.

He stressed that investment must not be viewed solely in terms of capital investment value, but also from its impact on society, particularly job absorption.

Farhan said the Bandung City Government wants the reduction in unemployment levels to be accompanied by more people entering the formal employment sector. Therefore, PTSP and PPB services are expected to form part of efforts to encourage business growth while opening employment opportunities.

According to him, the various improvements taking place in Bandung City must also be accompanied by the provision of formal employment opportunities for people who previously depended on the informal sector.

“The benefit of job absorption is very high,” he said.

Farhan also linked licensing services to MSME development. He said Bandung City has MSME centres in every sub-district, while various creative and tourism events held in Bandung City open opportunities for MSME actors to increase their business capacity and volume.

He acknowledged that there remain a number of challenges in service delivery, including the Building Approval (PBG) process which he said is not yet fast enough. However, the Bandung City Government continues to push for acceleration in other licensing services.

In addition to business licensing, Farhan emphasised the importance of basic services that support the needs of investors and workers coming to Bandung City.

He cited education, health, civil administration, and marriage administration services as examples that can provide convenience for company employees living and working in Bandung City.

“That is why the presence of the Ministry together with the Provincial Government and the business community serves as motivation for us to keep moving, utilising all facilities to build better relationships with investors coming to Bandung City,” he said.

Farhan also presented a number of investment potentials being developed, including waste-to-energy management at Legok Nangka.

According to him, the various problems faced by Bandung City can also become opportunities to attract investment while solving urban problems.

He expressed hope that the PTSP and PPB assessment will not merely be a competition between regions, but also a momentum to strengthen services and make Bandung City one of the main investment destinations in Indonesia.

“Licensing is not a barrier but rather support for investment development,” he said.

Therefore, Didi opened space to help regional governments and the business community resolve issues related to licensing.

“Licensing governance should be better and investment will be more orderly and also have an impact for the benefit of us all,” he said.

Didi also appreciated the direct presence of the Bandung Mayor together with heads of regional agencies during the visitation process. According to him, this demonstrates the regional government’s commitment to following the assessment process.

He expressed hope that Bandung City can continue the assessment stages and achieve the best results. However, Didi stressed that the final decision remains within the assessment process and will be reported to the Minister of Investment and Downstreaming/BKPM.

“We cannot make promises because this is not the decision-maker; it will be the Minister,” he said.

Didi added that the assessment results will be compiled based on facts in the field, discussion results, and the entire evaluation process before being submitted to the Minister of Investment and Downstreaming/BKPM.

“In any case, the final outcome will be reported to the Minister,” he said.

During the presentation session, a number of regional agencies presented their service implementation and support for business acceleration in Bandung City.

The Bandung City Population and Civil Registration Agency (Disdukcapil) presented the strengthening of integrity and innovation in civil administration services. One innovation highlighted was the integrated marriage service at the Public Service Mall which integrates administrative services for the community.

Disdukcapil has also developed digital services through the Salaman application, meaning “completed in the palm of your hand”. This service allows the public to process a number of civil administration documents without having to visit the office in person, including family cards as well as birth and death certificates.

In addition, Disdukcapil developed area-based services and the Pelita Hati service to assist with community death administration processes through collaboration with sub-district offices.

The Trade and Industry Agency (Disdagin) presented that Bandung City has significant potential in the trade and industrial sectors. The Bandung City Government continues to strengthen business certainty through regulations and standard operating procedures that support the Online Single Submission (OSS) system.

Disdagin also presented a number of licensing and complaint services for business actors, including services at the Public Service Mall and integrated complaint channels.

The Bandung City Transport Agency (Dishub) presented efforts to accelerate public transport licensing services. One of these is through coordination with DPMPTSP and city transport cooperatives to assist transport owners who have not yet met licensing requirements.

The Bandung City Education Agency presented collaboration in ensuring educational institutions, particularly non-formal education institutions, meet licensing requirements. This measure is linked to efforts to address out-of-school children while ensuring education needs can support workforce requirements.

The Bandung City Manpower Agency presented a number of programmes to reduce unemployment levels and match business needs with job seekers.

The Manpower Agency developed the New Bima application, competency-based training, job fairs, and domestic and overseas apprenticeship programmes. The Bandung City Government has also dispatched 40 Bandung City residents to work or participate in programmes in Japan through collaboration with job training institutions.

In the spatial planning and building sector, the Bandung City Public Works, Construction Development and Spatial Planning Agency (Ciptabintar) presented the integration of spatial planning technical recommendations with risk-based OSS as well as a number of innovations to accelerate PBG and Certificate of Occupancy (SLF) services.

The Ciptabintar Agency also provides free drawing services for low-income residents applying for PBG, free technical assessors for SLF with certain criteria, as well as house drawing prototypes that can be used by the public.

Meanwhile, the Bandung City Culture and Tourism Agency (Disbudpar) presented tourism business licensing services through OSS, including assistance, counselling, training, certification, and supervision carried out collaboratively with DPMPTSP and other regional agencies.

Disbudpar also encourages tourism sector development not only in culinary and fashion, but also sport tourism as well as the utilisation of cultural heritage potential as part of Bandung City’s investment opportunities.

Through this process, the Bandung City Government hopes that the PTSP and PPB evaluation can become a momentum to continue strengthening service quality, accelerating business processes, and ensuring that incoming investment has an impact on economic growth and job creation in Bandung City.

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