TEMPO.CO, Jakarta – Finance Minister Purbaya Yudhi Sadewa stated that the government is preparing a range of incentives to attract investors to the Indonesia International Financial Center (PFII). These facilities include ease of immigration processes, employment permits, residency options, licensing procedures, and tax concessions.
Additionally, the government is proposing the establishment of a specialized court for the PFII to ensure legal certainty for international business players. “One of the most critical elements in the success of an international financial center is the availability of legal certainty alongside a dispute resolution mechanism that is swift, professional, and trusted by international business players,” Purbaya said during a working meeting with Commission XI of the House of Representatives at the Parliament Complex in Jakarta on Thursday, July 2, 2026, as quoted by Antara.
This court will hold the authority to examine, adjudicate, and settle disputes related to business operations within the PFII, as well as broader international commercial disputes linked to the zone.
Purbaya explained that Indonesia possesses robust capital to play a more prominent role in the global financial ecosystem. This leverage includes the scale of the national economy, a massive domestic market, a strategic geographic position, abundant natural resources, and long-term economic growth prospects.
However, Indonesia has yet to establish an international financial zone specifically engineered with governance standards, legal certainty, an institutional framework, and a competitive edge on par with global financial hubs.
Consequently, the government is pushing for the creation of the PFII as a specialized hub tailored to accommodate the demands of the global financial services industry while simultaneously acting as a catalyst to deepen the domestic financial sector.
“The establishment of the PFII is intended to enhance Indonesia’s competitiveness as an international financial hub, accelerate the deepening of the national financial sector, foster financial innovation, boost investment, facilitate financing for the real sector, drive national strategic projects, support sustainable finance, and strengthen the financial sector’s contribution to Indonesia’s overall economic growth,” Purbaya said.
The state treasurer added that the drafting of the PFII Bill is a direct mandate of Article 248A of Law No. 4/2026 on Amendments to Law No. 4/2023 concerning the Development and Strengthening of the Financial Sector (PPSK).
Therefore, the establishment of the PFII rests on a solid legal foundation as part of the country’s broader financial sector transformation agenda.
The PFII Bill remains in the early stages of legislative deliberation. These discussions are being expedited for approval within three months, with a target completion date of August 2026.
Under the proposed bill, the PFII is designed as a dedicated zone within the territory of the Unitary State of the Republic of Indonesia, granted special privileges to bolster financial operations, support financial services, and foster other economic activities essential to developing an international financial center ecosystem.
Read: How Will Indonesia Attract Investors to Its New Financial Center?
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