Trade Minister reviews e-commerce regulations to strengthen oversight

Jakarta — Indonesia’s Trade Minister Budi Santoso has stated that the government will conduct a comprehensive evaluation of regulations governing electronic commerce systems (PMSE) to strengthen oversight of online transactions and better protect consumers.

The announcement was made by Budi at Rawasari Market in Jakarta on Monday, in response to mounting reports of alleged fraud in goods transactions through social media, including cases where sellers with verified blue account badges fail to deliver goods after receiving payment.

According to Budi, the Ministry of Trade is currently undertaking substantial revisions to regulations governing digital commerce activities, including amendments to ministerial regulations related to e-commerce.

“We are currently working to improve the ministerial regulation on e-commerce. We will review and evaluate it once more, working together with other ministries, agencies and business operators,” Budi stated.

He explained that the evaluation aims to ensure that the oversight system for online commerce operates more effectively, given the rising volume of buying and selling activities through digital platforms.

Beyond regulatory evaluation, Budi emphasised that the government continues to monitor commercial practices, including following up on various public reports concerning suspected online transaction fraud. This oversight is carried out through the Directorate of Consumer Protection and Commercial Order, which handles consumer complaints.

“We continue to address complaints through the Consumer Protection and Commercial Order directorate,” Budi said.

Digital commerce regulations are outlined in Trade Ministry Regulation Number 31 of 2023 concerning business licensing, advertising, guidance and oversight of business actors in electronic commerce systems.

As part of this review, one option being discussed is the provision of greater space and priority for MSME products on digital platforms.