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Exa: businesshubasia.com
Exa: businesshubasia.com
Bali Zero handles visas, company setup, tax and property compliance in Indonesia. Ask us directly on WhatsApp.
Chat with Bali Zero on WhatsAppIndonesia's Central Statistics Agency (Badan Pusat Statistik, BPS) periodically updates the Klasifikasi Baku Lapangan Usaha Indonesia — the national s
Indonesia's Central Statistics Agency (Badan Pusat Statistik, BPS) periodically updates the Klasifikasi Baku Lapangan Usaha Indonesia — the national standard business activity classification, known as KBLI — to reflect shifts in the economy, new industries, and international classification standards. The most recent revision, KBLI 2025, introduces changes to hundreds of business activity codes, merging some categories, splitting others, and creating entirely new classifications to accommodate emerging sectors including digital platforms, green energy, and advanced manufacturing.
The Indonesian government set June 2026 as the transition-window close for registered business entities to ensure their NIB (Nomor Induk Berusaha, or Business Identification Number) and OSS (Online Single Submission) registered activities reflect the updated KBLI 2025 codes. That window has now closed, so companies should verify the codes currently recorded in OSS rather than assume automatic conversion resolved every mismatch. The OSS system, managed by the Investment Coordinating Board (BKPM, now BKPI), is the central portal through which all business licensing in Indonesia flows. Any mismatch between a company's actual operations and its registered KBLI codes can result in compliance flags during inspections, renewal delays, or difficulty obtaining sector-specific permits.
For PT PMA entities — the primary vehicle used by foreign investors — the KBLI code directly determines what activities are permitted under the Negative Investment List (Daftar Negatif Investasi) framework and its successor, the risk-based licensing regime introduced under the Job Creation Law (Omnibus Law) of 2020 and its subsequent implementing regulations. A wrong or outdated code can inadvertently restrict a company to activities it no longer pursues, or fail to cover activities it has since expanded into.
The reclassification exercise under KBLI 2025 is particularly consequential for companies in the services sector — including hospitality, digital commerce, health and wellness, and professional consulting — where the boundaries between activity codes have historically been blurry. New codes introduced in the 2025 revision aim to provide greater granularity, but the transition also requires companies to conduct a careful internal audit: mapping what they actually do against what their current registration says, then identifying the correct 2025 equivalent codes.
Compliance with KBLI 2025 is not merely administrative. In Indonesia's risk-based licensing system, the KBLI code assigned to a business activity determines the risk tier — low, medium-low, medium-high, or high — which in turn governs the type and frequency of regulatory oversight the company faces. A code migration that shifts a business into a higher risk tier triggers additional permit requirements. Companies that verified their codes before the transition window closed are better positioned; companies that did not should treat remediation as overdue and document each correction before the next licensing or tax touchpoint.
The KBLI 2025 deadline is one of the most consequential compliance events for foreign-owned businesses in Indonesia since the OSS system launched. At Bali Zero, we have seen firsthand how KBLI mismatc
hes accumulate quietly over time — companies add services, pivot their model, or expand into adjacent activities without updating their NIB, and the discrepancy only surfaces during a permit renewal o
r a government inspection at the worst possible moment.
The June 2026 transition window created a rare, government-sanctioned opportunity to clean the slate. Now that it has closed, it also creates risk for companies that treated it as a formality. The mapping from KBLI 2020 to KBLI 2025 is not always one-to-one. Some legacy codes have been split into two or three new codes; others have been merged or renamed. Choosing the wrong 2025 equivalent — or simply carrying over the old code without review — can shift a company into a different risk tier, triggering permit requirements that did not previously apply.
Our strong recommendation: run the internal audit now if you have not already done so. Do not assume OSS auto-conversion solved every code mismatch. The OSS amendment process, particularly for PT PMA entities that also need to notify BKPI, can still take several weeks, and post-window corrections are easier to defend when the company can show a documented remediation trail.
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