Streamlined Land-Based KKPR Procedures Enable Micro Enterprises to Obtain Legal Status More Quickly
Ministry of Investment and Downstreaming/BKPM Issues Circular Regarding Land-Based KKPR for Micro Enterprises. (Special Document)
Streamlined Land-Based KKPR Procedures: Micro Enterprises Can Obtain Legal Status More Quickly
Duta Erlangga • 24 February 2026 21:45
Jakarta: The Ministry of Investment and Downstreaming/BKPM has issued a Ministerial Circular from the Minister of Investment and Downstreaming/Head of BKPM Number 1.S Year 2026 concerning the Provisions for Issuing Land-Based Compliance Certificates for Land Use Activities (KKPR) for Micro Enterprises. This mechanism streamlines previously complex procedures, making the process simpler, faster, and less burdensome for small business owners, without neglecting the principles of spatial planning and local government oversight.
“We want micro enterprises to no longer be burdened by complicated procedures. Through a self-declaration on the Online Single Submission (OSS), the process becomes faster and simpler, but remains accountable. This is a form of real support so that small business owners can immediately operate legally and productively,” said Deputy Minister of Investment and Downstreaming/Deputy Head of BKPM, Todotua Pasaribu.
Ministry of Investment and Downstreaming/BKPM Issues Circular Regarding Land-Based KKPR for Micro Enterprises. (Special Document)
Through this policy, the issuance of Land-Based KKPR for micro enterprises can now be done simply by submitting a self-declaration through the Online Single Submission (OSS) system, making the process simpler, faster, and less burdensome for small business owners. This was conveyed by the Deputy Minister of Investment and Downstreaming/Deputy Head of BKPM in a Press Release at the Ministry of Investment and Downstreaming/BKPM Office, Jakarta, Tuesday, February 24, 2026.
Business owners only need to fill in business location data, including administrative information, complete address, land area, one coordinate point, and a photo of the front view of the location. After the data is filled in, business owners submit a self-declaration of compliance of the business location through the OSS system. This convenience still prioritizes the principles of spatial planning compliance, as well as oversight by local governments for business activities with a high level of risk. This press release was also attended by the Deputy Minister of Micro, Small and Medium Enterprises (MSMEs), Helvi Yuni Moraza, and the Director General of Spatial Planning at the Ministry of ATR/BPN, Suyus Windayana.
Ministry of Investment and Downstreaming/BKPM Issues Circular Regarding Land-Based KKPR for Micro Enterprises. (Special Document)
To date, 14.9 million micro-enterprises have obtained a Business Identification Number (NIB) in the OSS system. This number represents 96.9% of the total number of registered NIBs. This achievement shows the high enthusiasm of micro-enterprises to enter the formal sector. With the simplification of Land-Based KKPR, the process of obtaining business legality becomes even easier and more integrated. Furthermore, Deputy Minister Todotua affirmed that this policy also provides a solution for business owners who have previously submitted applications.
“For micro-enterprises whose applications are still in process before this Circular takes effect, we provide the opportunity to resubmit through a simpler mechanism. This is part of our commitment to ensure that no micro-enterprises are hindered by transitional policy procedures,” he added.
This policy is part of the commitment of the Ministry of Investment and Downstreaming/BKPM in strengthening the micro-enterprise ecosystem. The ease of Land-Based KKPR is expected to encourage business formalization, expand access to financing, and increase the competitiveness of micro-enterprises. This step also affirms that ease of licensing is an important instrument in driving inclusive and sustainable economic growth.