Indonesian Political, Business & Finance News

Prabowo Requests State Secretary to Form Special Task Force to Simplify Regulations and Permits

| Source: DETIK Translated from Indonesian | Regulation
Prabowo Requests State Secretary to Form Special Task Force to Simplify Regulations and Permits
Image: DETIK

President Prabowo Subianto made these remarks during a speech at the handover of confiscated funds to the state treasury at the Attorney General’s Office building in South Jakarta on Wednesday (13/5/2026). He urged all ministries and agencies (K/L) to find ways to enhance efficiency in regulations and permitting. Prabowo emphasised that Indonesia must learn from neighbouring countries, which are perceived as faster in issuing business permits. According to him, the prolonged permitting process causes investors, including those from abroad, to complain about the business climate in Indonesia. “Ease permitting, do not complicate it. Entrepreneurs are also complaining. They want to work and invest, but sometimes they wait for permits for one year, two years. Whereas in other countries, two weeks. We must refer to our neighbours. If they can issue permits in two weeks, why do we take two years?” said Prabowo. Prabowo also touched on the proliferation of derivative regulations that continue to emerge despite the government’s efforts to simplify rules. He suspected that some regulations are created to open opportunities for deviations. “Simplify regulations. The tendency of regulations is the initiative of bureaucrats to… frankly, I will say… to seek opportunities. There are those who later ask for kickbacks, ask for money so that the permit is expedited,” he stated. “We have already simplified them, but there are ministries and agencies that make ministerial regulations again, technical regulations, these regulations,” Prabowo continued. Therefore, Prabowo requested State Secretary Prasetyo Hadi to gather experts to form a special task force for deregulation. The task force is tasked with simplifying rules and speeding up permitting. “Yes, colleagues, I request the State Secretary to later gather experts to form a special task force to accelerate deregulation. Simplify, do not complicate,” he said. Prabowo stressed that the government must assist serious entrepreneurs who want to work and invest. Meanwhile, parties committing violations will be disciplined. “Entrepreneurs must be helped, must be supported. The naughty ones we will discipline, but those who are good, who really want to work, must be helped. Many foreign investors also complain that in Indonesia the permitting is very long and numerous, colleagues,” he said. Prabowo cited the issue of gas import permits for hospitals, which he said once hindered supplies. He assessed that the problem occurred only due to convoluted permitting processes. “Permitting sometimes has things that don’t make sense. I monitor the import issue, if I’m not mistaken, gas for hospitals. It’s questioned this and that, this and that, finally… finally our gas supply is very thin for hospitals. Only about permits,” he stated.

View JSON | Print