Foreign Investment Company (PMA)

A PMA, or Penanaman Modal Asing, refers to a foreign investment company in Indonesia. It is a legal entity that allows foreign investors to conduct business in Indonesia while complying with the country's regulations. PMA companies can be established for various sectors, including manufacturing, trade, and services, and they offer benefits such as:

 

100% Ownership: In certain sectors, foreign investors can hold full ownership of the company, without the need for a local partner.

 

Legal Status: A PMA is recognized by the government, allowing for easier access to permits, licenses, and other legal protections.

 

Investment Incentives: PMA companies may qualify for various incentives, including tax holidays or exemptions.

 

To establish a PMA, foreign investors must meet specific requirements set by the Indonesian Investment Coordinating Board (BKPM), including a minimum investment amount and compliance with local regulations.