Indonesia has introduced a revised national business classification system through the 2025 KBLI (Klasifikasi Baku Lapangan Usaha Indonesia), issued by the Central Statistics Agency (BPS) on 19 December 2025.
The updated framework aligns with international standards and reflects structural economic shifts, including digitalization, evolving business models, and sustainability-focused activities. KBLI classifications remain central to licensing, risk categorization, and investment regulation.
Scope and Timeline
The 2025 KBLI applies to all companies operating in Indonesia, including foreign-invested entities.
Companies are required to complete their review and implement any necessary updates by 17 June 2026.
Existing KBLI codes will not be automatically updated. Companies must take proactive steps to ensure alignment with the revised classifications.
Core Compliance Requirement
Companies should undertake a targeted review to confirm that their registered KBLI codes accurately reflect current business activities under the 2025 framework.
At a minimum, this includes:
- Reviewing existing KBLI classifications
- Identifying any required changes under the revised structure
- Documenting the outcome of the review
- Updating licences, OSS records, and constitutional documents where applicable
Foreign Investment Considerations
Foreign-invested companies should additionally:
- Assess updated KBLI codes against the Investment List
- Confirm compliance with foreign ownership limits
- Evaluate any impact on existing structures or approvals
Key Risks of Non-Alignment
Failure to update KBLI classifications may result in:
- Regulatory disruption: delays in NIB issuance and licensing processes
- Licensing misalignment: inconsistencies between permitted and actual activities
- Risk classification errors: incorrect categorization under the risk-based regime
- Investment restrictions: potential breaches of foreign ownership limits or loss of incentives
Next Steps
Given the regulatory implications, the business should make a structured review of its KBLI classifications ahead of the June 2026 deadline.
