KBLI 2025 Transition: What It Means for Your Indonesian Business
On June 18, 2026, Indonesia’s updated business classification system became fully enforced under BPS Regulation No. 7 of 2025, officially replacing the previous KBLI 2020 framework.
This transition updates how economic activities are categorized across the archipelago, introducing new codes for emerging industries—such as Carbon Capture and Storage (CCS)—and re-aligning existing business fields.
If your enterprise operates in Indonesia, understanding how KBLI 2025 impacts your company structure, risk-based licensing, and legal documentation is essential for maintaining full regulatory compliance.
The 3 Types of KBLI Adjustments
Under the new regulation, existing classification codes have undergone three structural categories of conversion:
1. One-to-One Adjustment
A single old classification code is directly replaced by one new corresponding code without changing the scope of the business activity.
- Example: Chili Pepper Farming converts directly from 01138 (KBLI 2020) to 01283 (KBLI 2025).
2. One-to-Many Adjustment
A single old code is split into multiple distinct sub-codes to better categorize emerging technologies, specialized services, or environmental practices.
- Example: General Hazardous Waste Remediation (39000) is now divided into specific classifications, including:
- 39001: Carbon Capture Activities
- 39002: Carbon Storage Activities (CCS)
- 39009: Other Remediation Activities
3. Many-to-One Adjustment
Multiple related old codes are consolidated into a single unified business classification code.
- Example: Textile and apparel sub-fields—such as Fabric Finishing (13132), Batik Processing (13133), and Ready-Made Embroidery (14302)—are now consolidated under 13139 (Other Textile Improvements).
Automatic vs. Manual Adjustments: What Does Your Business Need?
Whether your business classification updates automatically through the Online Single Submission (OSS) platform depends on the nature of the structural change and your company’s internal setup:
Automatic System Adjustments
If the scope of your business activities remains unchanged and the transition involves a simple code conversion that does not alter your core license conditions, the OSS RBA system handles the adjustment automatically.
Manual Adjustments Required
A manual update and legal review are required if the transition:
- Directly impacts your core business activities or primary revenue streams.
- Introduces new operational scopes or mandates new sector-specific permits.
- Requires formal updates to your company’s Articles of Association (AOA) or Deed of Establishment (Akta Pendirian).
Navigating Your Business Transition
In practice, converting from KBLI 2020 to KBLI 2025 is rarely a one-size-fits-all process. Because business classifications are tied directly to foreign ownership limits, risk-based licensing tiers, and tax requirements, every corporate entity requires a tailored compliance assessment.
Need Support with Your KBLI 2025 Transition?
Navigating regulatory updates doesn't have to disrupt your operations. IIPC Sydney (Indonesia Investment Promotion Center) provides foreign investors and businesses with guidance to ensure corporate structures remain compliant with Indonesian investment laws.
Connect with us at sydney.bkpm.go.id or reach out directly to our team via email at invest@iipcsydney.com.