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LKPM Report

Periodical Investment Activities Report

Laporan Kegiatan Penanaman Modal (LKPM)

When you have a plan to set up company in Indonesia and start doing business in indonesia, you need to understand about Laporan Kegiatan Penanaman Modal (LKPM). In Indonesia, when you set up a company you need to report LKPM to government periodically. Indo-Ned Consultancy has made an explanation about LKPM report, and if you need more informations feel free to contact us anytime.

 

What is LKPM?

LKPM is a periodical report that consist of the data concerning the development of investment realization and the problems faced by investors.

Why do you need to deliver LKPM?

According to Article 15 of Indonesian Investment Act and Article 11 (1) of the BKPM Regulation No. 14/2017, every investor has an obligation to deliver LKPM report to the Investment Coordinating Board of Indonesia (Badan Koordinasi Penanaman Modal or ‘BKPM’).

In addition, investor who failed to fulfil this obligation cannot apply for particular licenses. According to Article 35 (6) paragraph 4 of the BKPM Regulation No. 13/2017, the receipt of LKPM submission is one of the requirement to apply for operational license and permanent business permit.

When do you need to deliver LKPM?

    • a. Construction Phase

Within this phase, the investor must deliver LKPM every 3 months. According to Article 11 (3) (a) of BKPM Regulation No. 14/2017, the investor need to deliver quarterly report on January, April, July and October. Obligation to deliver LKPM report start from the date of issuance of the principal permit.

    • b. Production Phase

If the company already have operational license and ready to operate, the company only need to deliver twice a year. The report should be delivered on January and July (Article 11 (3) (b) of BKPM Regulation No. 14/2017).

The government requires each company to report periodical investment in Indonesia. IndoNed Consultancy has helped many of our clients who do business in Indonesia in making a periodical investment report (LKPM). We always follow every update of regulations from the Government in Indonesia, because we work with all relevant departments such as the Badan Koordinasi Penanaman Modal or BKPM (Investment Coordinating Board). Our experience in helping our clients makes us work faster and precisely in meeting the needs of our clients and if you need assistance or need more informations, feel free to contact us anytime.

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