The Job Creation Law Will Make The Defense Industry A Dynamic For Investment

Spokesperson for the Minister of Defense (Menhan) Dahnil Anzar Simanjuntak (Photo: @Dahnilanzar)

JAKARTA - Spokesperson for the Minister of Defense (Menhan) Dahnil Anzar Simanjuntak said the Job Creation Law would have an impact on the defense industry sector. This is because in the defense cluster, there are several revised articles of Law No. 16/2012 concerning the Defense Industry.

"This makes the defense sector dynamic and progressive for investment," Dahnil said in a written statement, Wednesday, October 14.

This change is also considered to allow private defense companies to contribute, be creative and invest more in the country.

In addition, the Job Creation Law is deemed appropriate to replace Law 16 of 2012. Given, the law that has been in effect for 8 years was drafted at a time when local private companies in the defense sector were not as dynamic as they are now.

Furthermore, Dahnil said, if there is a change in the Negative Investment List (DNI) it is the government's domain. Even so, the Ministry of Defense will continue to be in control of regulation and supervision.

"Of course the Ministry of Defense firmly stands for the national interest. The defense and security industry from upstream to downstream remains fully controlled," he said.

In an effort to control this industry, later the government will also make derivative regulations such as a Presidential Regulation to a Decree of the Minister of Defense.

"It needs to be understood, the changes to the Defense Industry in the Ciptaker Law are in accordance with the President's instructions in the 75th TNI Anniversary where to master the latest technological leaps we must change defense spending policies into defense investment," he concluded.