Indonesian Political, Business & Finance News

Chinese Businessmen Fear PKH Task Force, Purbaya: If Legal, Just Relax

| Source: CNBC Translated from Indonesian | Regulation
Chinese Businessmen Fear PKH Task Force, Purbaya: If Legal, Just Relax
Image: CNBC

Jakarta, CNBC Indonesia - Finance Minister Purbaya Yudhi Sadewa has spoken out regarding Chinese businessmen’s fears of the Forest Area Regulation Task Force (Satgas PKH). Purbaya stated that Chinese entrepreneurs, who are members of the Chinese Chamber of Commerce in Indonesia, need not worry as long as the businesses they run are legal and comply with all tax regulations. “But like this, as long as they conduct legal business, it’s fine. If illegal, they must pay to make it legal. They must pay all their obligations, that’s all. If they conduct business legally, there’s no problem, so they don’t have to be afraid,” Purbaya said at the Attorney General’s Office area in Jakarta on Wednesday (13/5/2026). Purbaya also considers it reasonable for the government to be firm in law enforcement. Therefore, if there are no violations by the entrepreneurs, including in fulfilling permitting obligations and tax payments, they will not be acted upon by law enforcement authorities. “Back to earlier, excessive in law if they violate, they must pay according to the existing rules. But if not, just relax and sleep,” Purbaya stated. As is known, the Chinese Chamber of Commerce in Indonesia sent an official letter to President Prabowo Subianto. In the letter, the business actors highlighted various government policies and emerging concerns. The letter contains a series of complaints related to tax and royalty increases, tightening of export proceeds foreign exchange (DHE) regulations, reduction of nickel ore quotas, as well as allegations of excessive law enforcement practices that are deemed to open room for corruption or extortion. The letter mentioned that the Indonesian Forest Area Regulation Task Force imposed a fine of up to US$180 million on a Chinese investment company related to issues of borrowing and using forest areas. In addition, several major projects were reportedly halted by the government. Chinese investors accused authorities of direct intervention in company operations, including on hydroelectric power plant projects accused of damaging forest areas and exacerbating floods. “The government ordered the cessation of work and imposed sanctions,” the letter stated.

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