Summary

The majority of the 33 industry sectors covered by the Investing Across Sectors indicators are subject to overt statutory ownership restrictions in Indonesia. Presidential Regulations No. 77 and No. 111 of 2007 contain a list of sectors that are closed to foreign equity and impose further limitations on foreign capital participation in additional industries. Sectors such as publishing and newspaper businesses are closed to foreign equity ownership. In several other sectors, including forestry, fixed-line telecommunications, and transportation, foreign ownership is limited to a less-than-50% stake. Further sectors, such as the pharmaceutical industry, financial services, construction, and health care, are subject to foreign equity limits, but foreign investors are allowed to obtain a majority stake.