Prabowo says Indonesian bureaucracy is embarrassing compared with Malaysia
President Prabowo Subianto has highlighted the complexity of Indonesia’s investment licensing bureaucracy, contrasting it with neighbouring Malaysia. He said the licensing process in the country remains too long and could impede investment inflows.
He made the remarks during the nineteenth plenary meeting of the House of Representatives (DPR RI) in the Plenary Chamber of the MPR/DPR/DPD Complex in Senayan Parliamentary Complex, Jakarta, on Wednesday, 20 May 2026.
Prabowo stressed that the government must create a healthy and business-friendly climate, warning that entrepreneurs should not be burdened by administrative obstacles that slow economic activity.
‘The Institutes our institutions must ensure there is a good business climate. Don’t squeeze entrepreneurs, don’t harass them,’ Prabowo said.
He then compared the speed of Indonesia’s investment licensing process with Malaysia. According to Prabowo, the neighbouring country is able to complete business licences in a much shorter time.
‘If Malaysia can issue licences in two weeks, why is ours two years? Embarrassing,’ he asserted.
Prabowo argued that the problem arises because there are still many derivative regulations and additional provisions that lengthen the bureaucratic path. He said directives from higher levels are often reworked into new rules that end up adding to the administrative process.
‘We must not have too many initiatives. There are presidential orders, ministerial orders; below them they make more. Reworked again. Ministerial regulations, technical regulations, recommendations — all that stuff. It’s all just clever schemes,’ he said.
On the topic of bureaucrats’ working style, Prabowo urged ministers to discipline those below to avoid creating additional rules that could hinder government policy.
‘I remind all ministers, discipline those beneath you,’ he said.
In the same session, Prabowo also touched on what he viewed as bureaucratic working habits in the government environment. He described officials who come to request signatures from leaders in the late afternoon when people are already tired.
‘You’re tired, and he comes to ask for a signature. True? True.’ ‘This is common among Golkar, who smile. It suggests they have a lot of experience,’ the session participants laughed.
Prabowo’s remarks reaffirm his push for a government bureaucracy that is simpler, faster, and more efficient, especially in supporting investment and national economic growth.