Indonesian Political, Business & Finance News

BPS: KBLI Revision Part of Routine Update of Economic Activity Classification

| Source: ANTARA_ID Translated from Indonesian | Regulation
BPS: KBLI Revision Part of Routine Update of Economic Activity Classification
Image: ANTARA_ID

Jakarta (ANTARA) - Head of Statistics Indonesia (BPS) Amalia Adininggar Widyasanti said the revision of the Indonesian Standard Industrial Classification (KBLI) 2025 is part of a periodic update of the classification of economic activities.

“Essentially, we are classifying so that the KBLI codes are tidy, enabling the government and BPS to better calculate economic potential. The Government has absolutely no intention of burdening the business world. We genuinely want to tidy things up,” Amalia said in a joint statement with the Indonesian Logistics and Forwarders Association (ALFI) in Jakarta on Tuesday.

She also stressed that the KBLI revision was drafted with reference to the global classification standard, the International Standard Industrial Classification of All Economic Activities (ISIC), compiled by the United Nations Statistics Division (UNSD).

According to Amalia, the KBLI is updated every five years to align Indonesia’s classification of economic activities with global economic developments.

She said the update is needed to accommodate various changes, ranging from developments in digital technology, the emergence of new business models, to growing attention to environmental issues and climate change.

“The essence is tidying up the classification so that it is orderly and compliant with international standards,” Amalia said.

In addition, she gave business actors certainty regarding corporate administrative matters. According to her, the implementation of KBLI 2025 does not require companies to amend their deeds of incorporation.

This is because a Joint Circular Letter (SEB) has been signed by the Ministry of Law and Human Rights, the Ministry of Investment and Downstream Industry, and BPS, affirming that business actors do not need to make changes to their company deeds.

Amalia said a key point of the circular is that old licences that have been issued, verified, or approved before KBLI 2025 remain valid.

Meanwhile, the Indonesian Logistics and Forwarders Association (ALFI) considered it important to harmonise and thoroughly review the changes to business classification in KBLI 2025 affecting transport arrangement service (JPT) providers.

“ALFI asks the government to conduct a comprehensive review and harmonisation of the regulatory architecture that places Multimodal Transport under KBLI 52291 and JPT under KBLI 52311,” said ALFI Executive Board Chairman Akbar Djohan.

According to him, problems facing the industry include misalignment between the concept of multimodal transport, the classification of economic activities, the regulatory status of Multimodal Transport Operators (MTO), companies’ contractual capacity, the OSS licensing system, and the tax treatment of JPT transactions.

“Therefore, regulation needs to take into account business practices that have developed in the logistics industry,” added ALFI Jakarta Chairman Adil Karim.

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