Kemenkumham Efforts To Increase Ease Of Business In Indonesia

Menkumham Yasonna H. Laoly. (Photo: Kemenkumham)

JAKARTA - Minister of Law and Human Rights (Menkumham) Yasonna H. Laoly Yasonna said that the Directorate General of Public Legal Administration (Ditjen AHU) is the echelon I unit with the most public services in the Ministry of Law and Human Rights (Kemenkumham) with 97 services.

The Directorate General of AHU, continued Yasonna, is also at the forefront of efforts to increase Indonesia's ease of doing business (EODB) ranking, both directly and indirectly. Especially, said Yasonna, in services for the establishment of a business entity, fiduciary security, registration of curators and the appointment of a state curator in handling bankruptcy.

"The Directorate General of AHU also has a big role in supporting the drafting of the Job Creation Bill and the ease of doing business in the form of the omnibus law. Especially in the cluster of ease of doing business and empowerment of Micro and Small Enterprises (UMK), namely the formation of rural enterprises (BUMdes) and individual legal entities, "said Yasonna, in a statement received by VOI, Saturday, January 18.

Yasonna said that the EODB rating upgrade and the drafting of the Job Creation Bill could open up investment both from outside and within the country. This increase can be done in various ways, such as simplifying the flow of PT approval, increasing the validity of legal products through a certified digital signature and simplifying the process of legalizing public documents through access to the Apostille Convention.

"We can also consider adopting a law model that will support the preparation of the Job Creation Bill. Like UNCITRAL, the law model is related to secured transactions, small micro enterprises (SMEs) and cross border insolvency, "he said.

He explained that an increase in the intensity of investment flows in Indonesia is important, but this increase must also be accompanied by efforts to ensure security so that Indonesia is not exploited by the perpetrators of Money Laundering (TPPU) and Terrorism Funding (TPPT). One of them is by becoming a member of the Financial Action Task Force (FATF).

"In the near future, the FATF assessor team will carry out an on site visit. For that, the Directorate General of AHU needs to prepare itself to fulfill the FATF recommendations which are implemented in 46 action plans, "said Yasonna.

He asked for actions that are the responsibility of the Directorate General of AHU, such as those related to Mutual Legal Assistance (MLA), coaching and supervision of notaries and regulation of legal entities including supervision of beneficial ownership (BO). In addition, Indonesia through the AHU Directorate General also needs to strengthen cooperation with member countries of the anti-corruption convention (United Nations Convention Against Corruption), the United Nations Convention Against Transnational Organized Crime and the Drugs Convention.

"To maximize the work plan, it is necessary to support the quality of superior Human Resources (HR) who are placed in the right position (the right man in the right place) and have specific competencies. Thus, the current government policy to encourage the transfer of functional positions is appropriate in order to create a professional ASN, "he explained.

In 2020, there are several performance targets that the Directorate General of AHU wants to achieve, such as building a data security system that is certified by the use of a digital signature in the SK and a certificate issued by the Directorate General of AHU, prioritizing the preparation of regulations that can support the development of the business world, such as the Omnibus Law, the RUU Badan Business, the Fiduciary Bill, and the Bankruptcy Bill, as well as the revitalization of the BHP as a forum for state curators.