House Commission XI Agrees to Bring PFII Bill to Plenary Session

The House of Representatives’ (DPR) Commission XI and the government have agreed to bring the Bill on the International Financial Centre Indonesia (PFII) to the next stage of deliberation, the level II plenary session. The agreement was reached after the working committee completed the bill’s discussion at level I. Mohamad Hekal, chair of the PFII Bill working committee, stated that the discussions resulted in changes to the substance compared to the initial draft. The bill has expanded from the original seven chapters and 53 articles to ten chapters and 73 articles. Hekal noted that the final draft was compiled based on the working committee’s deliberations with the formulation and synchronisation teams. The bill regulates the establishment and operation of the PFII, covering institutional matters, business activities, an arbitration body, a special court, and various supporting facilities. Finance Minister Purbaya Yudhi Sadewa stated that the government views the establishment of the PFII as a strategic step to deepen financial markets, broaden financing sources, increase investment, and strengthen Indonesia’s position in the global financial ecosystem. He added that the government shares the DPR’s view that the PFII will act as a catalyst for financial market deepening. The bill provides for various facilities to attract investment, including tax incentives, customs facilities, golden visas, immigration, employment, licensing, and residency. It also stipulates specific provisions within the PFII zone, such as the use of English for business activities, the use of foreign currencies, and the application of commercial law principles and international standards. The government accepted the results of the working committee’s discussion and agreed to proceed to the level II decision-making stage at the DPR plenary session.