House to formulate draft bill on capital investment

Jakarta (Antara News) - The House of Representatives (DPR) will formulate the draft bill on capital investment to provide legal embralla to foreign investors wishing to put their capital in Indonesia.

"We actually want a profound discussion and approval of the draft bill in order to make it as one stop service. It also means that the draft bill will be described in detail and obvious, so that the process of permit issuance for investment in Indonesia can be made simple," Vice Chairman of the House`s Commission IV Lili Asdjudiredja, here, Tuesday.

He said that in each house hearing with many parties such as chairman of the chamber of commerce and industry (Kadin), accademicians, legal experts, economic analysts, authorities of regional government and others, they principally desired a "Lex Specialist" draft bill on investment.

Furthermore, Lili pointed out that 16 chapters in the draft bill was considered too common, so that more details are badly needed.

He took as example of chapter pertaining to the general right of land use which only described that general right of land use was to be provided in line with existing provisions and regulations.

According to him, as a matter of fact, the chapter on general right of land use should directly touch on a period of permit for land use to be provided to investors, so that it might give more certainty on the length of time for investment.

In addition, Lili also hinted that the issue on authority between the central and regional governments will be described in order not to make it overlap with the spirit of regional autonomy.

To make the draft bill more detail, his side will refer to law No 1, 1967 on foreign investment and law No 5, 1968 on domestic investment. "We will try to adop the two laws, as they are lex specialist in nature," he said.

Lili further stressed that at present the discussion on draft bill has been in the level of problem investory and hopefully the discussion could be eventually finalized.(*)
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