Indonesian Standard Industrial Classification transitioning to KBLI 2025

Transitioning to KBLI 2025

What you need to know

To support the transition, the Minister for Investment and Downstream Industry, the Minister of Justice and the Head of the Indonesian Central Statistics Agency (“BPS”) issued a joint circular (the “Circular”) in March 2026, setting out guidelines for implementation on the relevant government platforms – primarily the online submission system (“OSS system”) for business registration and the system of the Directorate General of General Legal Administration (“AHU system”) for corporate data.

During the transition period, the KBLI 2020 will remain valid until the system migration is complete.

Conversion patterns

The changes between KBLI 2020 and KBLI 2025 can be divided into three main categories:

• One-to-one — An old code is replaced by a new code. In this category, the numerical code changes, whilst the economic activity remains essentially the same.
• One-to-many — An old code is split into several new codes. In this category, several economic activities that were grouped under a single code in KBLI 2020 are now distributed across several codes.
• Many-to-one — Several old codes are combined into a single new code. In this category, several economic activities that were distributed across several codes in KBLI 2020 are now grouped under a single code.

To help business actors identify the category their business falls into, the BPS has published a conversion table that maps the revised codes from KBLI 2020 to the corresponding codes in KBLI 2025.

Practical implications

In principle, all business licenses issued prior to the introduction of KBLI 2025 remain legally valid. There is no automatic revocation solely on the basis of a change in the KBLI code.

However, business actors must assess their own business activities themselves to determine whether they are subject to automatic or manual adjustment. In summary:

• Automatic adjustment – If the change does not expand or alter the existing scope of business, no action is required, as the OSS system and the AHU system will automatically adjust the KBLI code.
• Manual adjustment – If the company carries out a corporate action that changes its purpose and objectives, or if its business activities change, or if the conversion introduces business activities not already covered by the company’s existing Articles of Association (AOA), an amendment to the articles of association is required to align the company documents with the new classification. Although the circular does not go into detail regarding the OSS mechanism, in practice the business operator must update their data in the OSS system separately to ensure consistency between their company documents and their business license.

Furthermore, the circular does not provide any information on the further consequences of such adjustments – for example, whether additional minimum investment obligations apply if the conversion leads to a change in the company’s scope of business and therefore requires an additional KBLI.

Practical note

In practice, mapping KBLI 2020 to KBLI 2025 is not always straightforward – particularly where the change goes beyond the numerical code. In some cases, the new classification may not clearly reflect the original business activity, which can lead to uncertainty as to whether a company needs to amend its articles of association.

To address this, companies are advised to review their relevant KBLI 2025 classifications on a case-by-case basis to identify any potential implications and determine whether further updates are required.

We are monitoring this development closely and are happy to assist you with further analysis if required.

If you have any questions, please contact your usual contact at RÖDL or refer to Veranica Astri.