Purbaya Targets PFII to Operate This Year, Location Still Under Review

Finance Minister Purbaya Yudhi Sadewa is targeting the Indonesian International Financial Centre (PFII) to begin operations this year. The Government Regulation (PP) governing the operations of the international financial centre is still being drafted. The PFII Law was ratified in a plenary session of the House of Representatives today. “The PP and everything else have not been drafted yet, we are trying to do it as quickly as possible. We can try to get it done this year,” said Purbaya after a State Budget press conference at the Ministry of Finance office in Jakarta, Tuesday, 21 July 2026. The State Treasurer explained that now is the right moment for the PFII to commence operations. Amid high global uncertainty, investment interest in international financial centres is also increasing. “Because uncertainty is currently high. That is when demand for a financial centre increases. When everything is calm, it will be harder for us to compete,” he said. Under the PFII Law, the Minister of Finance has the authority to determine the location for the financial centre. According to Purbaya, no location has been decided yet. He is still reviewing submitted proposals. Purbaya stated that several proposals have been received, such as the Kura Kura Special Economic Zone (KEK) or the Sanur KEK in Bali. A team will later select based on criteria of which can be implemented the fastest, at the lowest cost, and which is most capable of attracting foreign investors to place their funds there. “But basically, we will see which is the best. The key is that the infrastructure there must be easy to build or already partially in place, and the location must be attractive for wealthy foreign investors to come,” he said. Previously, Deputy Chairman of Commission XI from the Gerindra Party faction and Chairman of the PFII Bill Working Committee, Mohamad Hekal, stated that the government is currently reviewing several area options to become the financial centre. “I heard that in Bali there are maybe two or three areas being considered, and this does not rule out the possibility of more being added later,” he said.