Indonesia has a special list approved by the Government, named Negative Investment list. It lists activities from different sectors of the economy that are prohibited fully or partly for foreign companies.
The President is going to reduce this list by six times, out of 300 lines, only 48 left in this decree.
The Government is going to remove all restrictions in sectors such as telecommunications, IT, energy, tourism and everything related to innovation.
The decree must be agreed by ministers and issued early next month. Many foreign investors and foreign companies were waiting for this bill. For some of these gives possibility for safe deployment of capital in the country and others to enter the Indonesian market.
After the authorities approved the Omnibus Bill, the Government has reduced the number of strategic sectors where only local companies can operate. From 20, only 5 are left: medical traffic, gambling, fishing, chemical industry and weapons production.
Full foreign ownership also will be prohibited in transport, media, alcohol production, and foreign banks and other financial institutions will require a special licence from the authorities.
Statistics 2020:
99.9% - the fall of the foreign tourist flow to Bali
74% - total decrease of passenger traffic in Bali
76% - a drop in hotels occupancy rate reducing
70% - average cost per night reducing
30% - a fall in total real estate market
20% - Land and Real Estate Class C
15% - Class B Land and Real Estate
0-5% - Class A properties
20% - increase in sales of residential real estate
95% - of the sellers are willing to provide an extra discount to close the deal