TaxSavvyID

Foreign investor checking if a business field is open

Can a foreigner own a company that runs a small restaurant?

The situation

The positive investment list sets which fields are open, limited or reserved. Some fields are reserved for MSMEs or cooperatives, and others have foreign ownership caps.

The law

  • Perpres 10/2021 on investment business fields, as amended by Perpres 49/2021: The positive investment list: which fields are open, reserved or limited for foreign investors
  • Ministry of Investment and Downstreaming/BKPM Regulation 5/2025: PT PMA: investment above IDR 10 billion per 5 digit KBLI per location excluding land and buildings; issued and paid up capital of at least IDR 2.5 billion

What it means for you

Check the KBLI in OSS, which shows whether foreign capital is allowed and any conditions. Even when open, a PT PMA must plan investment above IDR 10 billion per KBLI per location, and some food and beverage rules tie the location to the city or regency. A small restaurant may not justify that size.

What to do

  1. Find the exact KBLI for the activity.
  2. Check foreign ownership status in OSS.
  3. Test the IDR 10 billion investment plan per location.
  4. Decide structure before the notary drafts the deed.

Nominee shareholding to get around limits is void.

We can do this for youBusiness licence (NIB) through OSS RBA: choosing KBLI codes and meeting the risk level: IDR 2.500.000

Related