Mr Mahatma Hadhi

Mahatma Hadhi

Updates

Company & Commercial

OnDemand: Ring-fencing: avoiding cash drain of companies in a crisis
Indonesia | 01 September 2014

Through ring-fencing, a regulated company legally separates itself from an unregulated parent or holding company, providing companies with a legal financial barrier. As ring-fencing is not specifically regulated under Indonesian law, ring-fencing strategies are best conducted on a bespoke, case-by-case basis.

Energy & Natural Resources

New regulation establishes penalties for failure to repatriate proceeds of natural resources exports
Indonesia | 05 August 2019

The start of 2019 saw a renewed attempt by the government to compel exporters of natural resources-based commodities to repatriate their export earnings and deposit them in the Indonesian financial system with the issuance of new rules in this regard. The minister of finance has now established penalties for non-compliance with these rules.

Repatriation of natural resource export earnings: new regulation signals stricter approach
Indonesia | 11 February 2019

Government Regulation 1/2019 requires exporters in the natural resources sector to repatriate their forex-denominated export earnings to Indonesia. Thus, forex-denominated export proceeds in the mining, plantation, forestry and fisheries sectors must be deposited in the Indonesian financial system. Overall, the regulation is clearly intended to bolster Indonesia's balance of payments situation, which has worsened considerably over the past year.

New mineral export rules and their implications for mining companies
Indonesia | 21 August 2017

A recently promulgated regulation has triggered a major shift in Indonesia's mineral and coal mining industries. Mineral mining companies that depend heavily on mineral exports will be particularly affected by the new policies. Primary changes require all companies operating under a contract of work to transfer to a single licensing regime and introduce stringent mineral export processing standards.

New regulation on export sales of processed and purified minerals
Indonesia | 06 June 2016

The minister of energy and mineral resources recently issued the Regulation on the Procedure for the Issuance of Recommendation for Export Sales of Processed and Purified Minerals. The regulation – which has simplified the mineral export procedure – covers mineral export sales, the recommendation procedure, domestic refining facility construction plans and the issuance of performance bonds.