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Regulatory Update: Joint Circular Letter on the Implementation of KBLI 2025 in the Risk-Based Business Licensing (PBBR) System
By Setyawati Fitrianggraeni, June 2, 2026
by Setyawati Fitrianggraeni and Tiara Amanda Putri
Overview
The Government officially issued a Joint Circular Letter (Surat Edaran Bersama or SEB) on 25 March 2026 to regulate the implementation of the 2025 Indonesian Standard Industrial Classification (Klasifikasi Baku Lapangan Usaha Indonesia or KBLI 2025) within the Risk-Based Business Licensing system (Perizinan Berusaha Berbasis Risiko or PBBR), aiming to strengthen legal certainty and improve national data integration. This regulation responds to changes in Indonesia’s economic structure, including the rise of the digital and creative economy sectors,(1) and also addresses concerns from the logistics industry regarding operational cost efficiency and improved ease of doing business.(2)
This SEB is intended to provide a clear reference for stakeholders in applying KBLI 2025 across multiple platforms, including the OSS (Online Single Submission) system, the Directorate General of General Legal Administration (Administrasi Hukum Umum or AHU) database, and other interconnected systems. As of today, OSS has recorded the issuance of over 15.7 million Business Identification Numbers (Nomor Induk Berusaha or NIB), highlighting the rapid expansion and high level of business activity in Indonesia. (3)
Key Highlights
- Conversion Mechanism and Integrated System Synchronization
This provision regulates the adjustment of KBLI 2020 codes to KBLI 2025 through an electronically integrated conversion table within the national licensing system.(4) The parties involved include the Ministry of Investment/BKPM, the Ministry of Law, and all business actors.(3) The conversion mechanism applies three mapping models: one-to-one (automatic direct mapping), many-to-one (multiple old codes merged into one new code, also automatic), and one-to-many (one old code split into several more specific new codes), where additional attention is required.(1)
- Validity of Existing Licenses and Transition Timeline
This provision ensures the continued legal validity of existing licensing documents and sets a deadline for system adjustments across institutions. It applies to all ministries/agencies, regional governments, special economic zone authorities, notaries, and business actors nationwide as the main stakeholders in the transition process.(3) The implementation ensures that all Basic Requirements, Business Licenses (Perizinan Berusaha or PB), and Perizinan Berusaha Untuk Menunjang Kegiatan Usaha (PB-UMKU) issued or verified prior to the implementation period remain legally valid. Relevant institutions are required to complete system integration no later than 18 June 2026.(4) - Legal Basis and Cross-Agency Guidance for KBLI 2025 Implementation
Under Section 5 of SEB, the Government confirms that the implementation of KBLI 2025 in the Risk-Based Business Licensing (PBBR) system will be carried out through an integrated approach across OSS, the Directorate General of AHU system, and other connected platforms, based on the legal mandate under PP No. 28/2025 and BPS Regulation No. 7/2025, with implementation led by the Ministry of Investment/BKPM, the Ministry of Law, and Statistics Indonesia (Badan Pusat Statistik or BPS) to ensure consistent business classification and accurate risk determination nationwide.
References
1. Munawarah M. UKMINDONESIA.ID. 2026. KBLI 2025 Mulai Berlaku: Apa Implikasinya bagi Perizinan Berusaha UMKM di Sistem OSS? Available from: https://ukmindonesia.id/baca-deskripsi-posts/kbli-2025-mulai-berlaku-apa-implikasinya-bagi-perizinan-berusaha-umkm-di-sistem-oss#google_vignette
2.Mustika CT, Ramadhani MRS. Implikasi Hukum terhadap Notaris dan Klien Pasca Diterbitkan Peraturan Klasifikasi Baku Lapangan Usaha Indonesia (KBLI) Tahun 2025. Notary Law Journal. 2026 Mar 14;5(1):1–24. Available from: https://notarylaw.journal.ulm.ac.id/index.php/nolaj/article/view/130
3. Kementerian Investasi dan Hilirisasi/BKPM. Siaran Pers Kementerian Investasi dan Hilirisasi/BKPM. 2026. Pemerintah Terbitkan Surat Edaran Bersama Implementasi KBLI 2025. Available from: https://www.bkpm.go.id/id/info/siaran-pers/pemerintah-terbitkan-surat-edaran-bersama-implementasi-kbli-2025-2
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