Indonesia's International Financial Centre May Initially Operate in Jakarta During Transition

During this transition period of perhaps the next two to three years, it may first be established in Jakarta, before later being further developed in both Jakarta and Bali.

Jakarta (ANTARA) - Minister of Investment and Downstream Industry/Head of the Investment Coordinating Board (BKPM) Rosan Perkasa Roeslani said the Indonesian International Financial Centre (PFII) has the potential to operate in Jakarta, requiring two to three years to become an internationally recognised financial hub.

Responding to journalists’ questions at the Presidential Palace Complex in Jakarta on Thursday, the Minister of Investment and Downstream Industry/Head of BKPM said President Prabowo Subianto has asked for the PFII to be swiftly followed up after the House of Representatives approved the bill on the PFII, which was passed into law at a plenary session on Tuesday (21/7).

“The plan is indeed for it to be established in Bali. However, preparations may be needed for perhaps two or three years until it becomes an international-class financial centre,” said Rosan, who also serves as CEO of Danantara Indonesia.

Regarding the initial capital to establish the PFII, he said the centre plans to use the Danareksa building located in Jakarta.

Concerning the establishment of the PFII, Rosan said he has met with a number of investors who have given a positive response to the financial centre.

Previously, Minister of Finance Purbaya Yudhi Sadewa targeted the Indonesian International Financial Centre (PFII) to begin operations in 2026.

Purbaya also said the State Budget (APBN) would only be used as a reserve fund for the operational needs of the Indonesian International Financial Centre (PFII) if required, not as the main source of financing.

Initial funding for the construction of the PFII will primarily come from investors’ own pockets, including Danantara, so the involvement of the state budget is merely anticipatory in nature.