Financial assistance provisions in the draft bill on Creative Economy reflect more progressive thinking from the Indonesian government, and could help creative economy businesses if implementation follows.
The Regional Representatives Council (Dewan Perwakilan Daerah) has proposed a Draft Bill on the Creative Economy to the House of Representatives (Dewan Perwakilan Rakyat) with the aim of enhancing the nation's productivity. There is a provision in the draft anticipating financial assistance from government for creative economy businesses in the form of grants, international aid, or other legal forms of financing (Article 58). The bill also recognises that intellectual property can be used as collateral in obtaining finance (article 59) and a fiduciary guarantee.
If government does start providing financial assistance, and if a regulatory framework for use of the intellectual property as collateral can be established, the government will have succeeded in establishing useful resources for creative economy businesses.
(Authored by Bagus Lestanto, Associate)