Indonesia is passing a suite of new laws to regulate commercial and criminal activity in the online space.
In what appears to be a move to increase tax revenues, a draft regulation that will require the registration of online businesses is expected to be issued by February 2016 (see here). The regulation will require all e-commerce businesses to obtain permits from the Communication and Information Ministry. It is said to apply to both local and foreign businesses, though it is not clear how the regulation will be enforced against businesses based overseas.
In an effort to address criminal activity, it is expected that the House of Representatives will pass a new law on cyber security later this year (see here). It will deal with hacking, scams, and identity theft - which have been featuring in news reports recently, with numerous cases of international criminal networks basing themselves in Indonesia to take advantage of weak enforcement.
And the Financial Services Authority (Otoritas Jasa Keuangan) has issued a regulation on 26 June 2015 (No. 8/POJK.04/2015) that requires all listed companies to have a website. It prescribes minimum requirements for content, and heavy sanctions apply for non-compliance - including revocation of business licenses.
That authorities are turning attention to the online space is no surprise, given the number of Indonesian users that are now online, and commercial activity taking place. All eyes will be on how the new laws are implemented and enforced.