Investment Coordinating Board


The Indonesia Investment Coordinating Board was until 2021 a Non-Ministerial Government Body in Indonesia for formulation of government policies in the field of investment, both domestically and abroad. Since 2021, it was elevated into a ministry, the Ministry of Investment.
WWW bkpm.go.id

History

ICB was established in 1973, replacing the function carried out by the Investment Technical Committee which was formed previously in 1968. In 1982, ICB absorbed Ministry of Development for Domestic Product. In 1988, ICB transformed into State Ministry of Investment. In 1998, ICB/State Ministry of Investment was merged into Ministry of State Owned Enterprises. The merging decision was reverted in 2001.
With the enactment of the Law on Investment in 2007, ICB became a Government agency that is the coordinator of investment policy, both among government agencies, the government and Bank Indonesia, as well as the government with regional governments as well as regional governments with regional governments. ICB is also mandated as an advocacy body for investors.

Alcoholic Beverages Investment Controversy

In 2021, president signed the presidential regulation on investment. However, the presidential regulation became controversy as the regulation regulated the investment on alcoholic beverages. The alcoholic beverages investment regulation annex was repealed.

Ministry of Investment

On 30 March 2021, Joko Widodo submitted a Presidential Letter No. R-14/Pres/03/2021 to People's Representative Council contained a proposal for major change his cabinet. In his Presidential Letter, Ministry of Investment, will be spin off from existing Coordinating Ministry for Maritime and Investments Affairs to be independent ministry on its own, but still under its coordination.
On 9 April 2021, People's Representative Council, approved the changes.
The form of the ministry is not yet known at that time of announcement of approval. It was speculated that the new ministry either split off from part of Coordinating Ministry for Maritime and Investments Affairs or elevation of existing Indonesia Investment Coordinating Board. However, it later confirmed that the ministry actually elevation of Indonesia Investment Coordinating Board. If done, this ministry is continuation of previously Suharto era and early Reformasi era's Habibie State Ministry of the Promotion of Investment, which existed during 1993 to 1999, during Sixth Development Cabinet and Development Reform Cabinet, respectively.
On 13 April 2021, Ali Mochtar Ngabalin, spokesperson and expert professional of Deputy IV Presidential Staff Office, announced that the second reshuffle will take place on second week of April 2021. However, due to many reasons, the second reshuffle finally announced at 28 April 2021. Unusual for reshuffle happened in Indonesia, this reshuffle was the first of its kind which not only reshuffled the ministers, but also disbanding ministry institutions during the mid-term. In this reshuffle, Bahlil Lahadalia appointed as the first holder of Minister of Investment. All appointed officials inaugurated and their respective new offices were established with Presidential Decision No. 72/P/2021.

Head of ICB

Main Responsibilities and Functions

BKPM has the task of coordinating policies and services in the investment sector based on the provisions of laws and regulations. In carrying out these main tasks, BKPM carries out the following functions:
  1. Reviewing and proposing a national investment plan
  2. Coordination of the implementation of national policies in the investment sector
  3. Reviewing and proposing investment service policies
  4. Determination of norms, standards and procedures for the implementation of investment service activities
  5. Development of investment opportunities and potential in the region by empowering business entities
  6. Making a map of investment in Indonesia
  7. Coordination of promotion implementation and investment cooperation
  8. Development of the investment business sector through investment development. among others, increasing partnerships, increasing competitiveness, creating fair business competition, and disseminating information as widely as possible within the scope of investment management.
  9. Fostering the implementation of investment, and providing assistance in solving various obstacles and consulting on problems faced by investors in carrying out investment activities
  10. Coordination and implementation of one-stop integrated services
  11. Coordination of domestic investors who carry out their investment activities outside the territory of Indonesia
  12. Providing licensing services and investment facilities
  13. Guidance and general administration services in the fields of general planning, administration, organization and management, personnel, education and training, finance, law, public relations, archives, data and information processing, equipment and household; and
  14. Implementation of other functions in the field of investment in accordance with the provisions of the legislation.

Organization

Based on Presidential Decree Nos. 184/2024 and 185/2024 and Ministry of Investment and Downstreaming Policy Decree No. 2/2024, the agency consisted of:
  1. Office of the Chief of Indonesia Investment Coordinating Board.
  2. Office of the Vice Chief of Indonesia Investment Coordinating Board
  3. Main Secretariat
  4. # Bureau of Funds and Programs Planning
  5. # Bureau of Law Affairs
  6. # Bureau of Human Resources and Organization
  7. # Bureau of Protocols and Public Relations
  8. # Bureau of General Affairs and Finance
  9. Deputy of Investment Planning
  10. # Directorate of Macro-investment
  11. # Directorate of Natural Resources Investment and Manufacture Industries Investment Planning
  12. # Directorate of Services and Regional Investment Planning
  13. # Directorate of Infrastructure Planning
  14. Deputy of Strategic Investment Downstreaming
  15. # Directorate of Investment Strategy and Administration
  16. # Directorate of Investment in Plantation and Forestry Downstreaming
  17. # Directorate of Investment in Fishery and Maritime Downstreaming
  18. # Directorate of Investment in Oil and Gas Downstreaming
  19. # Directorate of Investment in Minerals and Coal Downstreaming
  20. Deputy of Investment Climate Development
  21. # Directorate of Investment Deregulation
  22. # Directorate of Regional Potential Development
  23. # Directorate of Enterprises Empowerment
  24. Deputy of Investment Promotion
  25. # Directorate of Investment Promotion Development
  26. # Directorate of Investment Promotion in America and Europe
  27. # Directorate of Investment Promotion in East Asia, South Asia, Middle East, and Africa
  28. # Directorate of Investment Promotion in Southeast Asia, Australia, New Zealand, and Pacific
  29. Deputy of Investment Cooperation
  30. # Directorate of Bilateral Investment Cooperation
  31. # Directorate of Regional and Multilateral Investment Cooperation
  32. # Directorate of Businesses Cooperation
  33. Deputy of Investment Services
  34. # Directorate of Investment Services in Industrial Sectors
  35. ## Sub-directorate of Investment Services in Agronomical, Chemicals, Pharmaceuticals, and Textile Sectors
  36. ## Sub-directorate of Investment Services in Metals, Machinery, Transportation, and Electronics Sectors
  37. # Directorate of Investment Services in Non-Industrial Sectors
  38. ## Sub-directorate of Investment Services in Natural Resources, Infrastructures, and Transportation Sectors
  39. ## Sub-directorate of Investment Services in Trade, Tourism, and Others
  40. # Directorate of Investment Services in Entrepreneurship Facilitation
  41. ## Sub-directorate of Investment Services in Primary and Tertiary Sectors
  42. ## Sub-directorate of Investment Services in Secondary Sectors
  43. Deputy of Control of Investment Implementation
  44. #Controlling Directorate Region I
  45. #Controlling Directorate Region II
  46. #Controlling Directorate Region III
  47. #Controlling Directorate Region IV
  48. #Controlling Directorate Region V
  49. Deputy of Investment Information and Technology
  50. #Directorate of Business Licensing System
  51. #Directorate of Electronic Services, Infrastructures, and Networking
  52. #Directorate of Data and Information
  53. Centers
  54. # Education and Training Center
  55. # Center for Investment Administrators Fostering
  56. Office of the General Inspectorate