RESTRICTED  WORLD TRADE  
ORGANIZATION  TN/S/O/IDN 
22 April 2005 
 (05-1661) 
Council for Trade in Services 
Special Session Original:   English 
 
 
 
INDONESIA  
 
Conditional Initial Offer  
 
 The following communication, dated 12 April 2005, from the delegation of Indonesia, is 
being circulated to the Members of the Council for Trade in Services. 
 
 
_______________ 
 
INTRODUCTION 
 
1. Pursuant to paragraph 15 of the Ministeria l Declaration of 14 November 2001, Indonesia 
herewith submits its  conditional initial offer of specific commi tments in the framework of the ongoing 
services negotiations under the General Agreement on Tr ade in Services (GATS) and in the context of 
the Doha Development Agenda (DDA). 
2. By means of this offer, Indonesia reiterates its WTO commitments to achieving a gradually 
progressive liberalization taking into account of  its capability as a developing country.  
3. This offer is conditional upon: 
(a) the outcome of the negotiations stipulated by the GATS including negotiations  on 
Emergency Safeguard Meas ures (Article X GATS);  
(b) other WTO Members making substantive offers in sectors and modes of supply 
where Indonesia has interests;  
(c) the balanced outcomes of the DDA negotiations. 
 
4. Indonesia reserves the right to modify, extend, reduce, or withdraw in whole or in part any of 
this offer at any time prior to the conclusion of th e current services negotiations. It also reserves the 
right to submit technical amendments and corrections to rectify any errors, omissions, or inaccuracies 
in this offer and to clarify and interpret the term and conditions of this offer.   
5. In the light of Indonesia’s desire to promote th e gradual progressive liberalization of trade in 
services, this contribution includes, inter alia , offers in the following sectors: professional services 
(legal services), construction services, education services, financial services, health services, maritime 
services, and energy services. 
6. Indonesia drew up this initial offer on the basis of the Services Sectoral Classification List 
(MTN.GNS/W/120) and in accordance with the de finitions in the 1991 United Nations’ Provisional 
Central Product Classification (CPC), unless otherwise specified.  TN/S/O/IDN 
Page 2  
 
7. Indonesia may decide to alter or further refine cl assification on the basis of further analysis or 
any relevant developments in discussion in the Committee on Specific Commitments or other appropriate fora.  
8. The editorial conventions used in this initia l offer follow the guidelines established by the 
WTO Secretariat in JOB(92)/88 : 
• BOLD  – New text 
• STRIKE OUT
 – Deleted text 
• ITALICS  – where any new or deleted text constitu tes merely a technical refinement that 
does not alter the scope or substance of an existing commitment  In addition:  {    }  -  information annotated solely fo r the purposes of explanations and does not form 
part of the proposed commitment. 
 
 
_______________ 
   TN/S/O/IDN
 Page 3INDONESIA – CONDITIONAL INITIAL OFFER 
Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
I. HORIZONTAL COMMITMENTS  
 ALL SECTORS 
INCLUDED IN THIS 
SCHEDULE 
 1), 2)  As specified in each sector  1), 2)  As specified in each sector  
  
 3) Commercial Presence of  the foreign service 
provider(s) may be in the form of joint venture 
and/or representative office, unless mentioned 
otherwise. 
 
 Joint venture should meet the following 
requirements: 3) The Income Tax Law provides that non-
resident taxpayers will be subject to 
withholding tax of 20% if they derive the 
following income from Indonesian source: 
 (a) interest 
 (b) royalties 
 (c) dividend 
 (d) fee from service performed in Indonesia 
  
  (i) should be in the form of Limited Liability 
  Enterprise (Perseroan Terbatas/PT), 
  (ii)  not more than 49% of the capital share of 
 the Limited Liability Enterprise 
 (Perseroan Terbatas/PT), may be owned  by foreign partner(s). 
  Land Acquisition 
 Undang-Undang Pokok Agraria (Land Law) 
No. 5 of 1960 stipulates that no foreigners 
(juridical and natural pe rsons) are allowed to 
own land.  However, a joint venture enterprise 
could hold the right for land use (Hak Guna 
Usaha) and building rights (Hak Guna Bangunan), and they may rent/lease land and 
property. 
  
   Any juridical and natural persons should meet 
professional qualification requirements. 
   TN/S/O/IDN 
Page 4 Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
 4) Subject to Indonesian Labour and Immigration 
Laws and Regulations, only directors, 
managers and technical experts/advisors, 
unless mentioned otherwise, are allowed with a maximum stay of two years subject to one year 
extension.  Manager and technical experts 
(intra corporate transfer) are allowed based on an economic needs test. 
 
The entry and temporary stay of business 
visitor(s) is (are) permitted for a period of 
60 days.  4) Expatriate Charges 
 Any foreign natural persons supplying services 
are subject to charges levied by National. 
Provincial, and Municipal  Government s  
 
 Labour Laws and Regulations.   
 Any expatriate employed by a joint-venture 
enterprise, representatives office, and/or other 
types of juridical person and/or an individual 
services provider must hold a valid working permit issued by the Ministry of Manpower 
and Transmigration. 
 
 Immigration Laws and Regulations.
 
 Any expatriate must meet immigration 
requirements and procedures to e nter the 
territory of the Republic of Indonesia.  
    TN/S/O/IDN
 Page 5Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
Definitions: 
 
"Director":  One or a group of persons entrusted by the shareholders of a services providing entity with the final overall control and dire ction of the enterprise, and legally  
responsible to act on behalf of the enterprises inside and/or outside of the court.  
"Manager":  Senior employee of a service supplier who primarily directs the management of the or ganization, receiving general supervision or direction principally from  
the board of directors of the business, including directing the service supplier or a department or sub-division thereof, super vising or controlling the work of other supervisory, 
professional or managerial employee or having the authority to hire or fire or recommend such or other personnel actions. 
 
"Technical Expert/Advisor":  Person employed by a service supplier who possesses a standard of high or common (i) qualifications referring to a type of wor k or trade 
requiring specific technical knowle dge or (ii) knowledge essential or proprietal to the service, research equipment, techniques  or management. 
 
"Joint Operator":  A joint operation is an undertaking between one or several foreign and Indonesian enterprises of temporary nature, to handle o ne or several 
project/businesses without establishing a new statutory body according to Indonesian laws 
 
"Joint venture Enterprise":  A joint venture enterprise is a legal entity organized under Indonesian law and having its domicile in Indonesia, in the form of cooperation 
between foreign capital and Indonesian ( national) capital. 
 
"Contract Ma nagement":  Contract management is a contract organized under Indonesian law in the form of cooperation on management of temporary nature between 
Indonesian (national) capital and foreign capital. 
 
Business visitor(s) is (are) natu ral person staying in Indonesi a for the purpose of participat ing in business meeting, business  contacts including negotiations for the 
sales of services and/or other similar ac tivities including th ose who prepare for the establishment of a commercial presence in  Indonesia, without acquiring 
remuneration and/or any other direct income fr om within Indonesia, and are not engaged in making direct sales or supplying serv ices to general public. 
  TN/S/O/IDN 
Page 6 Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
II SECTOR-SPECIFIC COMMITMENTS  
1.  BUSINESS SERVICES     
A. Professional Services     
a.  Legal Services    
(Advisory services in home 
country law, and 
international law). 
(CPC 861)  
 1) None 
2) None 
3) Unbound 
4) Unbound except for foreign lawyers 
 (advokat).  
Foreign lawyers (advokat) are allowed to 
work or take part in Indonesian law  firm 
as employees or as experts in International 
Law, but shall not appear in courts and/or undertake legal proceedings under any 
circumstances.  
  1) None 
2) None 
3) Unbound  
4) Unbound except for foreign lawyers 
 (advokat). 
 Foreign lawyers (advokat) are : 
- only allowed as employees or experts in 
Indonesian law firm 
- obliged to transfer legal knowledge and 
professional capabilities to Indonesian 
Lawyers 
- obliged to transfer knowledge to  
education, legal research, or 
government institutions  at least 10 
hours each month free of charge. 
 The share of foreign lawyers (advokat) in 
 Indonesian law  firm must not exceed 20 per 
 cent, and shall be limited to five foreign  lawyers (advokat) per firm. 
  
Definition :  
Lawyer (advokat) is person who has the profession of providing legal service in and outside the court. 
International law means law established by internationa l treaties and conventions as well as customary law. 
   TN/S/O/IDN
 Page 7Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
d. Architectural Services  
(CPC 8671) 
 1) Unbound 
2) None 
3) (a) Joint operation  
  To form a joint operation  by establishing a 
representative office 
 
  Licence for representative office shall be 
valid for 3 years and can be extended. 
 
(b)  Joint venture   
To establish a joint venture  company by 
fulfilling the requirements as specified in 
the Horizontal Measures  Section  and the 
Foreign  Capital Investment Law 
 
  
 
 
 
  
 
4) As specified in th e Horizontal Measures
 Section 
 1) Unbound 
2) Unbound 
3) (a) Joint operation :  
1. Registration   Licenc e fee requirement 
2. Licence for representative office 
shall be valid for 3 years and can be 
extended  
3. 2. Registered foreign company shall 
form a joint operation with local 
partner(s) which is (are) member(s) 
of the Indonesian Consultant 
Association having qualification A   
registered by Construction  Services Development Board and having 
qualification A/Big 
  (b) Joint venture :
 
 Local partner(s) in joint venture shall be 
 member(s) of the Indonesian Consultant 
 Association and having qualification A.  
 registered by Construction  Services 
 Development Board and having 
 qualification A/Big  
4) As specified in th e Horizontal Measures 
Section 
   TN/S/O/IDN 
Page 8 Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
e. Engineering Service 
(CPC 8672 - except CPC 
86721-86725-86726) 1) Unbound 
2) None 
3) (a) Joint operation  
  To form a joint operati on by establishing a 
representative office 
 
  Licence for representative office shall be 
valid for 3 years and can be extended. 
 
(b) Joint venture   
To establish a joint venture  company by 
fulfilling the requirements as specified in 
the Horizontal Measures  Section  and the 
Foreign  Capital Investment Law 
 
  
 
 
 
  
 
4) As specified in th e Horizontal Measures
 Section  1) Unbound 
2) Unbound 
3) (a) Joint operation :  
1. Registration   Licenc e fee requirement 
2. Licence for representative office 
shall be valid for 3 years and c an be 
extended  
3. 2. Registered foreign company shall 
form a joint operation with local 
partner(s) which is (are) member(s) 
of the Indonesian Consultant 
Association having qualification A  
registered by Construction  Services Development Board and having 
qualification A/Big 
  (b) Joint venture :
 
 Local partner(s) in joint venture shall be 
 member(s) of the Indonesian Consultant 
 Association and having qualification A.  
 registered by Construction Services 
 Development Board and having 
 qualification A/Big  
4) As specified in th e Horizontal Measures 
Section 
  
Advisory and Consultative 
(CPC 86721) 1) Unbound for government funded project 
2) Unbound for government funded project 
3) Joint operation through a representative office 
in Indonesia 
 4) Unbound except for director and technical 
expert 
 1) Unbound 
2) Unbound 
3) The Indonesian participant in joint operation 
must be member of Indonesian Consultant 
Association 
4) As specified in th e Horizontal Measures 
Section     TN/S/O/IDN
 Page 9Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
Engineering design services 
for industrial processes and 
production 
 (CPC 86725)  1) Unbound for government funded project 
2) Unbound for government funded project 
3) Joint operation through a representative office 
in Indonesia 
 
4) Unbound except for director and technical 
expert 1) Unbound 
2) Unbound 
3) The Indonesian participant in joint operation 
must be member of Indonesian Consultant Association 
4) As specified in th e Horizontal Measures 
Section 
  
f. Integrated Engineering 
 Services (CPC 8673) 
  
 
 1) Unbound 
2) None 
3)  (a) Joint operation    To fo
rm a joint operation  by establishing a 
representative office 
   Licence for representative office shall be 
valid for 3 years and can be extended. 
 
(b) Joint venture  
To establish a joint venture
 company by 
fulfilling the requirements as specified in the Horizontal Measures
 Section  and the 
Foreign  Capital Investment Law 
  
 
  
 
 
 
 4) As specified in th e Horizontal Measures
 Section 
 1) Unbound 
2) Unbound 
3) (a) Joint operation :  
1. Registration   Licenc e fee requirement 
2. Licence for representative office 
shall be valid  for 3 years and can be 
extended  
3. 2. Registered foreign company shall 
form a joint operation with local partner(s) which is (are) member(s) 
of the Indonesian Consultant 
Association having qualification A  
registered by Construction   Services 
Development Board and having 
qualification A/Big 
 
 (b) Joint venture :  
  Local partner(s) in joint venture shall be 
member(s) of the Indonesian Consultant 
Association and having qualification A.  
registered by Construction  Services 
Development Board and having 
qualification A/Big  
4) As specified in th e Horizontal Measures 
Section    TN/S/O/IDN 
Page 10 Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
g. Urban Planning Services 
(CPC 86742) 1) Unbound 
2) None 
3)  (a) Joint operation  
  To form a joint operation  by establishing a 
representative office 
 
  Licence for representative office shall be 
valid for 3 years and can be extended. 
 
(b) Joint venture  
To establish a joint venture  company by 
fulfilling the requirements as specified in 
the Horizontal Measures  Section  and the 
Foreign  Capital Investment Law 
 
  
 
 
 
  
 
4) As specified in th e Horizontal Measures
 Section  1) Unbound 
2) Unbound 
3) (a) Joint operation :  
1. Registration   Licenc e fee requirement 
2. Licence for representative office 
shall be valid for 3 years and can be 
extended  
3. 2. Registered foreign company shall 
form a joint operation with local 
partner(s) which is (are) member(s) 
of the Indonesian Consultant 
Association having qualification A  
registered by Construction  Services Development Board and having 
qualification A/Big 
  (b) Joint venture :
 
 Local partner(s) in joint venture shall be 
 m ember( s) of the Indonesian Consultant  
 Association and having qualification A.  
 registered by Construction  Services 
 Development Board and having 
 qualification A/Big  
4) As specified in th e Horizontal Measures 
Section 
    TN/S/O/IDN
 Page 11Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
B.  Computer and Related 
Services     
a. Consultancy Services 
 related to the installation of 
 computer hardware 
 (CPC 841)  1) Unbound for government funded project 
2) Unbound for government funded project 
3) Joint operation through a representative office 
in Indonesia 
 
4) Unbound except for director and technical 
expert 
 1) Unbound 
2) Unbound 
3) The Indonesian participant in joint operation 
must be member of Indonesian Consultant Association 
4) As specified in th e Horizontal Measures 
Section  
  
b.  Software 
 implementation  
 Services (CPC 842) 
 1) Unbound for government funded project 
2) Unbound for government funded project 
3) Joint operation through a representative office 
in Indonesia 
 
4) Unbound except for director and technical 
expert 
 1) Unbound 
2) Unbound 
3) The Indonesian participant in joint operation 
must be member of Indonesian Consultant Association 
4) As specified in th e Horizontal Measures 
Section  
  
C.  Research and Development 
Services     
c. Interdisciplinary R & D 
 (CPC 853, limited to 
 industrial activities)  1) Unbound for government funded project 
2) Unbound for government funded project 
3) Joint operation through a representative office 
in Indonesia 
 
4) Unbound except for director and technical 
expert 
 1) Unbound 
2) Unbound 
3) The Indonesian participant in joint operation 
must be member of Indonesian Consultant 
Association 
4) As specified in th e Horizontal Measures 
 
Section 
  
F.  Other Business Services     
d. Project management 
 services other than for 
 construction  
 (CPC 86601)  1) Unbound for government funded project 
2) Unbound for government funded project 
3) Joint operation through a representative office 
in Indonesia 
 
4) Unbound except for director and technical 
expert 
 1) Unbound 
2) Unbound 
3) The Indonesian participant in joint operation 
must be member of Indonesian Consultant Association 
4) As specified in the Ho rizontal  Measures 
Section  
   TN/S/O/IDN 
Page 12 Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
e. Technical Testing and 
 Analysis Services 
 (CPC 8676) 
 1) Unbound for government funded project 
2) Unbound for government funded project 
3) Joint operation through a representative office 
in Indonesia 
 
4) Unbound except for director and technical 
expert 1) Unbound 
2) Unbound 
3) The Indonesian participant in joint operation 
must be member of Indonesian Consultant Association 
4) As specified in th e Horizontal Measures 
Section  
  
i. Services incidental of 
manufacturing  
 (CPC 884 & 885)  1) Unbound for government funded project 
2) Unbound for government funded project 
3) Joint operation through a representative office 
in Indonesia 
 
4) Unbound except for director and technical 
expert 
 1) Unbound 
2) Unbound 
3) The Indonesian participant in joint operation 
must be member of Indonesian Consultant 
Association 
4) As specified in th e Horizontal Measures 
Section  
  
n. Maintenance and repair of 
equipment (not including 
maritime vessels, aircraft or 
other transport equipment)  
 (CPC 633+8861+8866) 1) Unbound for government funded project 
2) Unbound for government funded project 
3) Joint operation through a representative office 
in Indonesia 
 
4) Unbound except for director and technical 
expert 
 1) Unbound 
2) Unbound 
3) The Indonesian participant in a joint operation 
must be member of the Indonesian Consultant Association. 
4) As specified in th e Horizontal Measures 
Section  
    TN/S/O/IDN
 Page 13Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
2. COMMUNICATION 
 SERVICES  
    
C. Telecommunication 
 Services     
 All Sub-sectors 
   (i) Indonesia undertakes 
additional commitments 
as per reference paper 
attached 
(ii) The foreign service 
supplier must be a world class operator 
with extensive 
international experience. 
(iii) Type approval 
mechanism is in place 
(iv) Basic 
telecommunication 
service tariff is decided by the government; 
 
Local service:  
 
- Public switched telephone 
service (CPC 7521) 
- Circuit switched public data 
network services (CPC 
7523**) 
- Teleconferencing services 
(CPC 75292) 
 1) None 
2) None 
3) Local services are provided exclusively by PT 
Telkom and 5 regional joint operation scheme operators. 
 Type of legal entity required: 
 - Joint venture, 
 - Joint operation, or 
 - Contract management  Foreign equity participation is limited to 35 per 
cent. 
4) Natural person for management and technical 
expert for a JVC is limited to 20 persons. 1) Unbound 
2) Unbound 
3) None 
  
 
 
 
  
 
4) As specified in th e Horizontal Measures 
Section 
  The period of exclusivity 
 for local services expires 
 in 2011.  The 
 Government will conduct  a review of policy with 
 respect to whether to 
 permit additional 
 suppliers of such services 
 upon the expiry of this  period. 
  TN/S/O/IDN 
Page 14 Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
Long distance : 
 
- Public switched telephone 
service (CPC 7521) 
- Circuit switched public data 
network services 
(CPC 7523**) 
- Teleconferencing services 
(CPC 75292) 
 1) None 
2) None 
3) Long distance services are provided by PT 
Telkom exclusively 
 Type of legal entity required: 
 - Joint venture 
 - Joint operation or  - Contract management 
 Foreign equity participation is limited to 35 per 
cent. 
4) Natural person for management and technical 
expert for a JVC is limited to 20 persons. 
 1) Unbound 
2) Unbound 
3) None 
  
 
  
 
 4) As specified in th e Horizontal Measures 
Section  
  The period of exclusivity 
for long distance services 
expires in 2006.  The 
Government will conduct a review of policy with 
respect to whether to 
permit  additional suppliers of such services 
upon the expiry of this 
period. 
 
International : 
 
- Public switched telephone 
service (CPC 7521) 
- Circuit switched public data 
network services (CPC 
7523**) 
- Teleconferencing services 
(CPC 75292) 
 1) Only through networks of  PT Indosat and PT 
Satelindo. Callback is not permitted. 
2) Callback is not permitted. 
3) International services are provided exclusively 
by PT Indosat and PT Satelindo (duopoly). 
 Type of legal entity required: 
 - Joint venture  - Joint operation or 
 - Contract management 
 Foreign equity participation is limited to 35 per 
cent. 
4) Natural person for management and technical 
expert  is limited to 20 persons. 
 1) Unbound 
 
2) Unbound 
3) None  
 
  
 
  
4) As specified in th e Horizontal Measures 
Section  
  The period of exclusivity  
 for international services 
 expires in 2005.  The 
 Government will conduct  a review of policy with 
 respect to whether to 
 permit additional  suppliers of such services 
 upon the expiry of this 
 period.  
Packet-switched public data network services 
(CPC 7523**) 
 - X. 25 
- Frame relay 
- Local - Local distance 
- International 
 1) Only through networks of PT Indosat and PT 
Satelindo 
2) None 
3) Three service suppliers are now operating on a 
non-exclusive basis 
 Type of legal entity required: 
 - Joint venture or  - Joint operation  
 Foreign equity participation is limited to 35 per 
cent. 
4) Natural person for management and technical 
expert is limited to 20 persons. 
 1) Unbound 
 
2) Unbound 
3) None  
 
  
 
 4) As specified in th e Horizontal Measures 
Section     TN/S/O/IDN
 Page 15Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
Telex services 
 1) Only through networks of  PT Indosat and PT 
Satelindo 
2) None 
3) Type of legal entity required:  - Joint venture or 
 - Joint operation  
 Foreign equity participation is limited to 35 per 
cent. 
4) Natural person for management and technical 
expert limited to 20 persons. 
 1) Unbound 
 
2) Unbound 
3) Foreign service supplier should be a world 
class operator. 
 
  
4) As specified in th e Horizontal Measures 
 
Section 
  
Telegraph services 
 1) Only through networks of PT Indosat and PT 
Satelindo 
2) None 3) Type of legal entity required: 
 - Joint venture or 
 - Joint operation   Foreign equity participation is limited to 35 per 
cent. 
4) Natural person for management and technical 
expert limited to 20 persons 
 1) Unbound 
 
2) Unbound 3) Foreign service supplier should be a world 
class operator. 
  
 
4) As specified in th e Horizontal Measures 
Section  
  
Domestic : 
Mobile cellular telephone  
services 
(CPC 75213)  1) None 
2) None 
3) Seven operators are now providing service 
 Type of legal entity required: Joint venture   Foreign equity participation is limited to 35 per 
cent 
4) Natural person for management and technical 
expert for a JVC is limited to 20 persons 1) Unbound 
2) Unbound 
3) None 
  
 
4) As specified in th e Horizontal Measures 
Section  
   TN/S/O/IDN 
Page 16 Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
Domestic : 
Personal Mobile Cellular 
Communication Services 
 1) None 
2) None 
3) New entry only through a joint venture with 
state-owned company 
 Foreign equity participation is limited to 35 per 
cent 
4) Natural person for management and technical 
expert for a JVC is limited to 20 persons. 
 1) Unbound 
2) Unbound 
3) None 
  
 
4) As specified in th e Horizontal Measures 
Section  
  
Internet Access Services 
 1) Until 2005, only through networks of PT 
Indosat and PT Satelindo for international access 
2) None 
3) More than 30 licences have been issued  Type of legal entity required: 
 - Joint venture or 
 - Joint operation   Foreign equity participation is limited to 35 per 
cent. 
4) Natural person for management and technical 
expert limited to 20 persons 
 1) Unbound 
  
2) Unbound 
3) None  
 
  
 
4) As specified in th e Horizontal Measures 
Section  
  
Domestic : 
Regional and National Paging  
Services 
(CPC 75291)  1) None 
2) None 
3) Currently there are 10 national operators and 
over 70 local operators.  
 Type of legal entity required 
 - Joint venture or 
 - Joint operation  
 Foreign equity participation is limited to 35 per 
cent 
4) Natural person for management and technical 
expert limited to 20 persons 1) Unbound 
2) Unbound 
3) None 
  
 
 
 
 4) As specified in th e Horizontal Measures 
Section  
    TN/S/O/IDN
 Page 17Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
Domestic : 
Public payphone services 
 1) None 
2) None 
3) Provision and management of terminal 
equipment for public payphone services are now carried out by several local companies. 
 Type of legal entity required: 
 - Joint venture,  - Joint operation, or 
 - Contract management  
 Foreign equity participation is  limited to 35 
per cent. 
4) Natural person for management and technical 
expert limited to 20 persons 
 1) Unbound 
2) Unbound 
3) None 
  
 
  
 
  
4) As specified in th e Horizontal Measures 
Section  - Division of revenue 
between the payphone 
operator and PT Telkom 
is determined by the government 
 
Voice mail service (CPC 7523) 
 1) None 
2) None 
3) Access granted for five foreign service 
provider companies, in addition to existing 
companies 
  
4) Unbound except for director and technical 
expert 
 1) None 
2) None 
3) Higher paid-up capital is required of foreign 
service suppliers than of domestic service 
suppliers.  This measure will be eliminated in 
the year 2020. 
 
4) As specified in th e Horizontal Measures 
Section  
  
Electronic mail services 
(CPC 75232) 
 1) None 
2) None 3) Access granted for five foreign service 
provider companies, in addition to existing 
companies 
 
4) Unbound except for director and technical 
expert 1) None 
2) None 3) Higher paid-up capital is required of foreign 
service suppliers than of domestic service 
suppliers.  This measure will be eliminated in 
the year 2020. 
4) As specified in the Horizontal Measu
res 
Section  
   TN/S/O/IDN 
Page 18 Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
 Computer time sharing 
services (CPC 84330) 
 1) None 
2) None 
3) Access granted for five foreign service 
provider companies, in addition to existing companies 
 
4) Unbound except for director and technical 
expert 
 1) None 
2) None 
3) Higher paid-up capital is required of foreign 
service suppliers than of domestic service suppliers.  This measure will be eliminated in 
the year 2020. 
4) As specified in th e Horizontal Measures 
Section   
 Videotex services 
 (CPC 75229)  1) None 
2) None 3) Access granted for five foreign service 
provider companies, in addition to existing 
companies 
 
4) Unbound except for director and technical 
expert 
 1) None 
2) None 3) Higher paid-up capital is required of foreign 
service suppliers than of domestic service 
suppliers.  This measure will be eliminated in the year 2020. 
4) As specified in th e Horizontal Measures 
Section  
  
 Electronic mail box 
 (CPC 75232)  1) None 
2) None 3) Access granted for five foreign service 
provider companies, in addition to existing 
companies 
 
4) Unbound except for di rector and technical  
expert 
 1) None 
2) None 3) Higher paid-up capital is required of foreign 
service suppliers than of domestic service 
suppliers.  This measure will be eliminated in the year 2020. 
4) As specified in th e Horizontal Measures 
Section  
  
 File transfer services 
 (CPC 75299) 
 1) None 
2) None 
3) Access granted for five foreign service 
provider companies, in addition to existing companies 
 
4) Unbound except for director and technical 
expert 
 1) None 
2) None 
3) Higher paid-up capital is required of foreign 
service suppliers than of domestic service suppliers.  This measure will be eliminated in 
the year 2020. 
4) As specified in th e Horizontal Measures 
Section     TN/S/O/IDN
 Page 19Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
Home telemetering alarm 
(CPC 75299) 
 1) None 
2) None 
3) Access granted for five foreign service 
provider companies, in addition to existing companies 
 
4) Unbound except for director and technical 
expert. 
 1) None 
2) None 
3) Higher paid-up capital is required of foreign 
service suppliers than of domestic service suppliers.  This measure will be eliminated in 
the year 2020. 
4) As specified in th e Horizontal Measures 
Section   
Entertainment services 
 (CPC 75299)  1) None 
2) None 3) Access granted for five foreign service 
provider companies, in addition to existing 
companies 
 
4) Unbound except for di rector and technical  
expert 
 1) None 
2) None 3) Higher paid-up capital is required of foreign 
service suppliers than of domestic service 
suppliers.  This measure will be eliminated in the year 2020. 
4) As specified in th e Horizontal Measures 
Section   
Management information 
services (CPC75299) 1) None 
2) None 3) Access granted for five foreign service 
provider companies, in addition to existing 
companies 
 
4) Unbound except for di rector and technical  
expert 
 1) None 
2) None 3) Higher paid-up capital is required of foreign 
service suppliers than of domestic service 
suppliers.  This measure will be eliminated in the year 2020. 
4) As specified in th e Horizontal Measures 
Section    TN/S/O/IDN 
Page 20 Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
3.  CONSTRUCTION AND 
RELATED 
ENGINEERING 
SERVICES  
    
A.  General construction work 
for building     
 Construction work for 
building 
 (CPC 512 except 
CPC 51210) 1) Unbound* 
2) None 
3) (a) Joint operation  
  To form a joint operation  by establishing a 
representative office in Indonesia. 
 
  Licence for representative office shall be 
valid for 3 years and can be extended 
 
 (b) Joint venture  
To establish a joint venture  company by 
fulfilling the requirements as specified in 
the Horizontal Measures  Section  and the 
Foreign Capital Investment Law 
 
Not  more than  55% of the capital share 
of the Limited Liability Enterprise 
(Perseroan Terbatas/PT) may be owned 
by foreign partner(s) 
 
 
 
 
4) As specified in th e Horizontal Measures 
Section 1) Unbound* 
2) Unbound 
3) (a) Joint operation :  
1. Registration   Licence  fee 
requirement 
2. Licence  for representative office 
shall be valid for 3 years and can be 
extended  
 3  2. Registered foreign company shall 
 form a joint operation with local  partner(s) which is (are)  member(s) 
 of the Indonesian  Contractors 
 Association having  qual ification A 
 registered by Construction Services 
 Development Board and having 
 qualification A/Big  
 (b) Joint venture :  
  Local partner(s) in joint venture shall be 
  member(s) of the Indonesian  Contractors 
  Association  and having  qualification A  
  registered by Construction Services   Development Board and having  
  qualification A/Big 
4) As specified in th e Horizontal Measures
 
Section 
    TN/S/O/IDN
 Page 21Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
B. General construction work 
 for civil engineering   
 
 Construction work for civil  engineering  
 (CPC 513)  
 
 
1) Unbound* 2) None 
3) (a) Joint operation  
  To form a joint operation
 by establishing a 
representative office in Indonesia. 
 
  Licence for representative office shall be 
valid for 3 years and can be extended 
 
 (b) Joint venture  
To establish a joint ventu re company by 
fulfilling the requirements as specified in 
the Horizontal Measures  Section  and the 
Foreign Capital Investment Law 
 
Not  more than  55% of the capital share 
of the Limited Liability Enterprise 
(Perseroan Terbatas/PT) may be owned by foreign partner(s) 
 
  
 
 
4) As specified in th e Horizontal Measures 
Section 
  
 
 
1) Unbound* 2) Unbound 
3) (a) Joint operation :
 
1. Registration    Licence  fee 
requirement 
2. Licence  for representative office 
shall be valid for 3 years and can be 
extended  
3. 2. Registered foreign company shall 
form a joint operation with local partner(s) which is (are)  member(s) 
of the Indonesian  Contractors 
Association having  qualification A 
registered by Construction Services 
Development Board and having 
qualification A/Big  
 
(b) Joint ve nture :  
  Local partner(s) in joint venture shall be 
  member(s) of the Indonesian  Contractors 
  Association  and having  qualification A  
  registered by Construction Services   Development Board and having  
  qualification A/Big 4) As specified in th e Horizontal Measures
 
Section    TN/S/O/IDN 
Page 22 Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
C.  Installation and assembly 
work  
 
 Assembly and erection of   prefabricated construction 
 (CPC 514 - 5140) 
  
 
 
1) Unbound* 2) None 
3) (a) Joint operation  
  To form a joint operation
 by establishing a 
representative office in Indonesia.  
 
  Licence for representative office shall be 
valid for 3 years and can be extended 
 
 (b) Joint venture  
To establish a joint venture  company by 
fulfilling the requirements as specified in 
the Horizontal Measures  Section  and the 
Foreign Capital Investment Law 
 
Not  more than  55% of the capital share 
of the Limited Liability Enterprise 
(Perseroan Terbatas/PT) may be owned by foreign partner(s) 
 
  
 
 
4) As specified in th e Horizontal Measures 
Section 
  
 
 
1) Unbound* 2) Unbound 
3) (a) Joint operat
ion : 
1. Registration   Licence  fee 
requirement 
2. Licence  for representative office 
shall be valid for 3 years and can be 
extended  
 3 2. Registered foreign company shall 
form a joint operation with local partner(s) which is (are)  
member(s) of the Indonesian  
Contractors Association having  
qualification A registered by 
Construction Services Development 
Board and having qualification 
A/Big  
 (b) Joint venture :  
  Local partner(s) in joint venture shall be 
  member(s) of the Indonesian  Contractors 
  Association  and having  qualification A  
  registered by Construction Services   Development Board and having  
  qualification A/Big 4) As specified in th e Horizontal Measures
 
Section     TN/S/O/IDN
 Page 23Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
E. Other  
 
 - Pre-erection work at 
construction system  
  (CPC 511 except CPC     
51110 and 51113) 
  
 
1) Unbound* 
2) None 3) (a) Joint operation  
  To form a joint operation
 by establishing a 
representative office in Indonesia.  
 
  Licence for representative office shall be 
valid for 3 years and can be extended 
 
 (b) Joint venture  
To establish a joint venture  company by 
fulfilling the requirements as specified in 
the Horizontal Measures  Section  and the 
Foreign Capital Investment Law 
 
Not  more than  55% of the capital share 
of the Limited Liability Enterprise 
(Perseroan Terbatas/PT) may be owned 
by foreign partner(s) 
 
 
  
4) As specified in th e Horizontal Measures 
Section 
  
 
1) Unbound* 
2) Unbound 3) (a) Joint operation :
 
1. Registration   Licence  fee 
requirement 
2. Licence  for representative office 
shall be valid for 3 years and can be 
extended   
 3 2. Registered foreign company shall 
form a joint operation with local 
partner(s) which is (are)  member(s) 
of the Indonesian  Contractors 
Association having  qualification A 
registered by Construction Services Development Board and having 
qualification A/Big  
(b)   Joint venture : 
Local partner(s) in joint venture shall be 
member(s) of the Indonesian  
Contractors Association  and having  
qualification A  registered by 
Construction Services Development Board and having qualification A/Big 
4) As specified in th e Horizontal Measures
 
Section    TN/S/O/IDN 
Page 24 Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
  - Special trade  
  construction work  
  (CPC 515 - 5155) 1) Unbound* 
2) None 
3) (a) Joint operation  
  To form a joint operation  by establishing a 
representative office in Indonesia. 
 
  Licence for representative office shall be 
valid for 3 years and can be extended 
 
 (b) Joint venture  
To establish a joint venture  company by 
fulfilling the requirements as specified in 
the Horizontal Measures  Section  and the 
Foreign Capital Investment Law 
 
Not  more than  55% of the capital share 
of the Limited Liability Enterprise 
(Perseroan Terbatas/PT) may be owned 
by foreign partner(s) 
 
  
 
4) As specified in th e Horizontal Measures 
Section 
 1) Unbound* 
2) Unbound 
3) (a) Joint operation :  
1. Registration   Licence fee 
requirement 
2. Licence  for representative office 
shall be valid for 3 years and can be 
extended  
  3.  2. Registered foreign company shall 
form a joint operation with local partner(s) which is (are)  member(s) 
of the Indonesian  Contractors 
Association having  qualification A 
registered by Construction Services 
Development Board and having 
qualification A/Big  
 (b) Joint venture :  
Local partner(s) in joint venture shall be 
member(s) of the Indonesian  
Contractors Association  and having  
qualification A  registered by 
Construction Services Development 
Board and having qualification A/Big 
4) As specified in th e Horizontal Measures  
Section     TN/S/O/IDN
 Page 25Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
 - Renting Services  
  related to equipment 
  for construction or 
  demolition of building   or civil engineering 
  works, with operator  
  (CPC 518)  1) Unbound* 
2) None 
3) (a) Joint operation  
  To form a joint operation
 by establishing a 
representative office in Indonesia. 
 
  Licence for representative office shall be 
valid for 3 years and can be extended 
 
 (b) Joint venture  
To establish a joi nt venture  company by 
fulfilling the requirements as specified in 
the Horizontal Measures  Section  and the 
Foreign Capital Investment Law 
 
Not more than 55% of the capital share 
of the Limited Liability Enterprise 
(Perseroan Terbatas/PT) may be owned 
by foreign partner(s) 
 
  
 
4) As specified in th e Horizontal Measures 
Section 
 1) Unbound* 
2) Unbound 
3) (a) Joint operation :  
1. Registration   Licence fee 
requirement 
2. Licence  for representative office 
shall be valid for 3 years and can be 
extended  
3.  2.  Registered foreign company shall 
form a joint operation with local partner(s) which is (are)  member(s) 
of the Indonesian  Contractors 
Association having  qualification A 
registered by Construction Services 
Development Board and having 
qualification A/Big  
 (b) Jo int venture :  
  Local partner(s) in joint venture shall be 
  member(s) of the Indonesian  Contractors 
  Association  and having  qualification A  
  registered by Construction Services   Development Board and having  
  qualification A/Big 
4) As specified in th e Horizontal Measures
 
Section    TN/S/O/IDN 
Page 26 Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
 - Foundation work 
  including pile driving 
  (CPC 51510) 
 1) Unbound* 
2) None 
3) (a) Joint operation by establishing a 
representative office in Indonesia. 
 
  Licence for representative office shall be 
valid for 3 years and can be extended 
 
(b) Joint venture compan y by fulfilling the 
requirements as specified in the Horizontal  Section and the Foreign 
Capital Investment Law 
 
Not  more than  55% of the capital share 
of the Limited Liability Enterprise 
(Perseroan Terbatas/PT) may be owned by foreign partner(s) 
4) As specified in the Horizontal Section 
 1) Unbound* 
2) Unbound 
3) (a) 1. Licence  fee requirement 
 2. Registered forei gn company shall 
  form a joint operation with local 
  partner(s) which is (are)  registered by 
  Construction Services Development   Board and having qualification A/Big  
 (b) Local partner(s) in joint venture shall 
be registered by Construction Services Development Board and having 
qualification A/Big 
  
 
  
4) As specified in the Horizontal Section  
- Gas fitting 
 construction work 
 (CPC 51630) 
 1) Unbound* 
2) None 
3) (a) Joint operation by establishing a 
representative office in Indonesia. 
 
  Licence for representative office shall be 
valid for 3 years and can be extended 
 
 (b)Joint venture co mpany by fulfilling the 
  requirements as specified in the  
  Horizontal Section and the Foreign 
  Capital Investment Law 
 
Not more than 55% of the capital share 
of the Limited Liability Enterprise (Perseroan Terbatas/PT) may be owned 
by foreign partner(s) 
4) As specified in the Horizontal Section  1) Unbound* 
2) Unbound 
3) (a) 1.  Licence  fee requirement 
 2.  Registered foreign company shall   form a joint operation with local 
  partner(s) which is (are)  registered 
  by Construction Services    Development Board and having 
  qualification A/Big  
 (b) Local partner(s) in joint venture shall 
be registered by Construction Services 
Development Board and having qualification A/Big 
 
  
 
4) As specified in the Horizontal Section    TN/S/O/IDN
 Page 27Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
- Fire alarm 
 construction work 
 (CPC 51642) 
 1) Unbound* 
2) None 
3) (a) Joint operation by establishing a 
representative office in Indonesia. 
 
  Licence for representative office shall be 
valid for 3 years and can be extended 
 
 (b) Joint venture co mpany by fulfilling the 
  requirements as specified in the    Horizontal Section and the Foreign 
  Capital Investment Law 
 
Not more than 55% of the capital share 
of the Limited Liability Enterprise 
(Perseroan Terbatas/PT) may be owned by foreign partner(s) 
4) As specified in the Horizontal Section 
 1) Unbound* 
2) Unbound 
3) (a) 1. Licence  fee requirement 
 2. Registered foreign company shall   form a joint operation with local 
  partner(s) which is (are) registered 
  by Construction Services    Development Board and having 
  qualification A/Big  
 (b) Local partner(s) in joint venture shall 
be registered by Construction Services 
Development Board and having 
qualification A/Big  
 
  
4) As specified in the Horizontal Section  
- Burglar alarm system 
  construction work 
  (CPC 51643) 
 1) Unbound* 
2) None 
3) (a) Joint operation by establishing a 
representative office in Indonesia. 
 
  Licence for representative office shall be 
valid for 3 years and can be extended 
 
(c) Joint venture compan y by fulfilling the 
requirements as specified in the 
Horizontal  Section and the Foreign 
Capital Investment Law 
 
Not more than 55% of the capital share 
of the Limited Liability Enterprise (Perseroan Terbatas/PT) may be owned 
by foreign partner(s) 
4) As specified in the Horizontal Section  1) Unbound* 
2) Unbound 
3) (a) 1.  Licence  fee requirement 
 2. Registered foreign company shall   form a joint operation with local 
  partner(s) which is (are)  registered 
  by Construction Services    Development Board and having 
  qualification A/Big  
 (b) Local partner(s) in joint venture shall 
   be registered by Construction Services 
   Development Board and having     qualification A/Big 
 
  
 
4) As specified in the Horizontal Section    TN/S/O/IDN 
Page 28 Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
 - Lift and escalator 
  construction work 
  (CPC 51691) 1) Unbound* 
2) None 
3) (a) Joint operation by establishing a 
representative office in Indonesia. 
 
  Licence for representative office shall be 
valid for 3 years and can be extended 
 
 (b) Joint venture co mpany by fulfilling the 
  requirements as specified in the    Horizontal Section and the Foreign 
  Capital Investment Law 
 
Not  more than  55% of the capital share 
of the Limited Liability Enterprise 
(Perseroan Terbatas/PT) may be owned by foreign partner(s) 
4) As specified in the Horizontal Section 
 1) Unbound* 
2) Unbound 
3) (a) 1. Licence  fee requirement 
 2.  Registered foreign company shall    form a joint operation with local 
   partner(s) which is (are)  registered 
   by Construction Services     Development Board and having 
   qualification A/Big  
 (b) Local partner(s) in joint venture shall 
be registered by Construction Services 
Development Board and having 
qualification A/Big  
 
  
4) As specified in the Horizontal Section    TN/S/O/IDN
 Page 29Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
5.  EDUCATIONAL 
SERVICES  
    
General conditions on education services  
 
Commercial presence of the foreign service provider is permitted on ly through an education instit ution which is registered in I ndonesia and must meet the following 
conditions : 
 
1. Mutual recognition arrangement between relevant institutions on credits, prog rams, and certifications is required. 
2. Foreign education institution providing servi ces must establish partnership with local partner.  Foreign language instructors m ust be native speakers. 
3. Foreign education institution must be liste d in the Ministry of Education’s List of  Accredited Foreign Education and its local partner must be accredited. 
4. Foreign education institution in cooperation with local partner may open education inst itution in the cities  of Jakarta, Bogor,  Bandung, Yogyakarta, and Medan. 
5. Temporary entry for natural persons engaged in  education activities in Indonesia is subj ect to approval by the Ministry of Nati onal Education. Approval is 
granted on case-by-case basis. 
 
B. Secondary education 
services :     
 Technical and vocational 
 secondary education 
 services (electronic, 
 automotive)  
 (CPC 92230) 
  1) None 
2) None 3) See Horizontal Section and General 
 Conditions 
4) Unbound except as indicated in the 
 Horizontal Section and General Conditions 1) None 
2) None 3) Unbound 
 
4) As indicated in the Horizontal  Section and  General Conditions 
  
C.  Higher education services 
 (CPC 923)  
 
 1) None 
2) None 
3) See Horizontal Section and General 
 Conditions 
4) Unbound except as indicated in the 
 Horizontal Section and General Conditions  1) None 
2) None 
3) Unbound 
 4) Unbound  
 Post secondary technical 
 and vocational education 
 services (Polytechnique 
 Machine and Electrical) 
 (CPC 92310) 
 1) None 
2) None 
3) See Horizontal Sectio n and General 
 Conditions 
4) Unbound except as indicated in the 
 Horizontal Section and General Conditions 
 1) None 
2) None 
3) Unbound 
 
4) Unbound   TN/S/O/IDN 
Page 30 Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
D.  Adult education  
 (CPC 924)  
 Language courses and 
 training  1) None 
2) None 
3) See Horizontal Sectio n and General 
 Conditions  
4) Unbound except as indicated in the 
 Horizontal Section and General Conditions  
 1) None 
2) None 
3) Unbound 
 4) Unbound  
E.   Other education services 
  (CPC 92900)     
 Football and chess only 
 1) None 
2) None 3) See Horizontal Section and General 
 Conditions 
4) Unbound except as indicated in the 
 Horizontal Section and General Conditions 
 1) None 
2) None 3) Unbound 
 
4) Unbound    TN/S/O/IDN
 Page 31Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
FINANCIAL SERVICES  
 
 General condition on Non Banking Financial Services Sub-sector : 
 
1) All market access and national treatment li mitations specified in the Non Banking Fi nancial Services Sub-sectors will be eli minated by the year 2020 subject to similar 
 commitment by other members. 
 2) The share ownership of foreign services supplier s is bound at the prevailing laws and regulations. The cond itions of ownership and the pe rcentage share of ownership 
 as stipulated in the respective shareholder agreement establishing the existing individual joint venture in non banking financ ial services shall be respected. No transfer 
 of ownership shall take place without the consent of all parties in the joint venture concerned. 
 
3) Limitation on national treatment in terms of taxation which is specified in the Horizontal Measures is not applied on the No n Banking Financial Services Sub-sector. 
 4) In addition to the Horizontal Measures, temporary entry will be granted to technical expert(s )/advisor(s) for no longer than  3 (three) months per person for any given 
 year.  
 5) Share of non-bank financial companies listed in the stock exchange may be 100% owned by foreign investors. 
 
6) In relation to the presence of natural person, only directors,  managers, and experts/advisors can be assumed by expatriates with maximum stay of 3 (three) years and 
 can be extended. 
 7) All joint venture companies shall provide training for their employee s. 
 
8)
 Limitation on national treatment in te rms of difference in paid up capi tal requirement will be eliminated in the year 1998.  
  TN/S/O/IDN 
Page 32 Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
 Non-Life Insurance Services  
(CPC 8129)  1) Unbound 
2) Unbound except if: 
(a) There is no insurance company in 
Indonesia, either individually or group, which could handle the insurance risks of 
the object in question. 
(b) There is no insurance company in 
Indonesia which want to carry out an 
insurance coverage of the object in 
question. 
(c) The owners of insurance objects in 
question are not Indonesian citizens or 
Indonesian legal entities. 
3) As specified in th e Horizontal Measures 
 Section  and General Conditions. 
4) Unbound except for director and technical 
 advisor/expert. 
 1) Unbound 
2) Unbound 
 
  
 
  
 
  
 
 3) As specified in the General Conditions. 
 
4) As specified in th e Horizontal Measures 
 Section.  
  
Reinsurance Services 
 1) Reinsurance service suppliers from other 
 Members must be rated minimum as BBB by  Standard and Poor or equivalent. 
2) Reinsurance service suppliers from other 
 Members must be rated minimum as BBB by  Standard and Poor or equivalent. 
3) As specified in th e Horizontal Measures
 
 Section  and General Conditions. 
4) Unbound except for director and technical 
 advisor/expert.  1) None 
  
2) Unbound 
  
3) As specified in the General Conditions. 
 4) As specified in th e Horizontal Measures 
Section . 
    TN/S/O/IDN
 Page 33Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
Life Insurance Services 
(CPC 8121) 
 1) Unbound 
2) Unbound except if: 
 (a) There is no insurance company in 
 Indonesia, either individually or group,  which could handle the insurance risks of 
 the object in question. 
 (b) There is no insurance company in 
 Indonesia which wants to carry out an 
 insurance coverage of the object in 
 question. 
 (c) The owners of insurance objects in 
 question are not Indonesian citizens or 
 Indonesian legal entities. 
3) As specified in th e Horizontal Measures
 
Section  and General Conditions. 
4) Unbound except for director and technical 
advisor/expert. 
 1) Unbound 
2) Unbound 
 
  
 
  
 
  
 
 3) As specified in the General Conditions. 
 
4) As specified in th e Horizontal Measures 
Section . 
  
Insurance Brokerage Services  
(CPC 8140)  1) Unbound 
2) None 3) As specified in the Horizontal Section and 
 General Conditions. 
4) Unbound except for director and technical 
 advisor/expert. 
 1) None 
2) None 3) As specified in the General Conditions. 
 
4) As specified in th e Horizontal Section.  
Reinsurance Brokerage Services  
(CPC 8140) 
 1) Unbound 
2) None 
3) As specified in th e Horizontal Measures 
Section and General Conditions. 
4) Unbound except for director and technical 
advisor/expert. 
 1) None 
2) None 
3) As specified in the General Conditions. 
 
4) As specified in th e Horizontal Measures 
Section . 
  
Financial Lease Services 
(CPC 81120)  1) None 
2) None 3) As specified in th e Horizontal Measures
 
Section  and General Conditions. 
4) Unbound except as indicated in the Horizontal 
Measures  Section . 
 1) None 
2) None 3) As specified in the General Conditions. 
 
4) As specified in th e Horizontal Measures 
Section.  
   TN/S/O/IDN 
Page 34 Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
Factoring Services 
(CPC 8113)  
 1) Unbound except for international factoring  
 transaction. 
2) None 
3) As specified in th e Horizontal Measures 
Section  and General Conditions. 
4) Unbound except as indicated in the Horizontal 
Measures Section.  1) Unbound 
 
2) None 
3) As specified in the General Conditions.  
4) As specified in th e Horizontal Measures 
Section . 
  
b. Credit Card Business 
(Issuer and Agent of Credit 
Card) 
 (CPC 8113) 
 1) None 
2) None 
3) As specified in th e Horizontal Measures 
Section  and General Conditions. 
4) Unbound except as indicated in the Horizontal 
Measures Section . 
 1) None 
2) None 
3) As specified in the General Conditions.  
4) As specified in th e Horizontal Measures 
Section.   
Consumers Finance Services 
(CPC 8113)  1) None 
2) None 3) As specified in th e Horizontal Measures 
Section  and General Conditions. 
4) Unbound except as indicated in the Horizontal 
Measures Section. 
 1) None 
2) None 3) As specified in the General Conditions. 
 
4) As specified in th e Horizontal Measures 
Section .  
Securities Business 
- Trading for own account or 
for account of customers, on 
an exchange or over-the counter market 
 
- Listed shares 
 
- Bonds 
 1) Unbound 
2) None 
3) Through establishment of a securities 
broker/dealer. 
4) Unbound except as indicated in the Horizontal 
Measures 
Section.  
 1) Unbound 
2) None 
3) As specified in the General Conditions. 
 4) As specified in th e Horizontal Measures 
Section . 
  
Participation in issues of 
securities, including underwriting and placement as 
agent (whether publicly or 
privately), and provision of services related to such issues 
 1) Unbound 
2) None 3) Through establishment of a securities 
underwriter company. 
4) Unbound except as indicated in the Horizontal 
Measures 
Section.  1) Unbound 
2) None 3) As specified in the General Conditions. 
 
4) As specified in th e Horizontal Measures 
Section.     TN/S/O/IDN
 Page 35Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
Portfolio management, all forms 
of collective investment 
management 
 1) Unbound 
2) None 
3) Through establishment of an investment 
management company. 
4) Unbound except for directors. 
 1) Unbound 
2) None 
3) As specified in the General Conditions. 
 4) As specified in th e Horizontal Measures 
Section .  
Asset Management limited only 
to investment fund management 
 1) Unbound 
2) None 
3) Through establishment of an investment 
management company. 
4) Unbound except for directors.  1) Unbound 
2) None 
3) As specified in the General Conditions. 
 
4) As specified in th e Horizontal Measures 
Section. 
  
Investment Advisory Services 
limited only to investment 
advisory in capital market 
  
 1) Unbound 
2) None 
3) Through establishment of an investment 
management company. 
4) Unbound except for directors. 1) Unbound 
2) None 
3) As specified in the General Conditions. 
 4) As specified in th e Horizontal Measures 
Section . 
   TN/S/O/IDN 
Page 36 Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
Banking Sub-sector : General Conditions on Banking Sub-sector. 
 
1. All Market Access and National Treatment limitation specified in  the banking sub-sector will be eliminated by the year 2020 subject to similar commitment by other 
members. 
 
2. With the exception of the existing branches of foreign banks, foreign services provider shall be in the form of joint ventur e bank locally incorporated in Indonesia with the 
following requirements: 
 
 (a) Unbound for new license 
 (b) Only bank  financial  institutions are permitted to establish joint venture banks. 
 
3. The share ownership of foreign services supplier in the joint venture bank is bound at prevailing laws and regulation.  The conditions of ownership and the percentage 
share of ownership as stipulated in the respective shareholder agreement establishing the existing individual joint venture ban k shall be respected as the basis of ownership 
of the foreign service provider(s) and their Indonesian partner(s). No transfer of ownership shall take place without the conse nt of all parties in the joint venture bank 
concerned. 
 4. Acquisition of local existing banks is allowed through the purchase of up to 49%
  51%   of the shares of locally incorporated bank listed in the stock exchange. 
 
5. Limitation on national treatment in terms of difference in pa id up capital requirement will be eliminated in the year 1998 . 
 
6. Foreign bank and joint ventures bank may open their offices in the cities of Jakarta, Sura baya, Semarang, Bandung, Medan, Ujun Pandang  Makasar , Denpasar , and  
Batam Island, Padang, Manado, and Ambon  
 
7. With respect to the presence of natural persons no economic ne eds test will apply. A non Indonesian employed as manager or a s technical expert shall have at least two 
Indonesian under studies during his/her term. 
 
8. In addition to the Horizontal Measures, temporary entry will be  granted to technical expert(s)/advisor(s) of branch office o f the foreign bank and joint venture bank for no 
longer than 3 (three) months per person for any given year. 
 
9. Limitation on national treatment in terms of taxation which is specified in Horizontal Measures is not applied on the Bankin g Sub-sector. 
   TN/S/O/IDN
 Page 37Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
Commercial Banking Business 
    
(i) Acceptance of deposits and 
other repayable funds from 
the public 
 1) None 
2) None 
3) (a) Bound only 1 (one)  2 (two) sub-branches 
 and 1 (one)  2 (two)  auxiliary offices for 
 foreign bank's  branch office. 
 
 (b) Bound only 1 (one)  2 (two)   branches and 
 1 (one)  2 (two)  sub-branches for joint 
 venture bank. 
 
4) Unbound except as indicated in the Horizontal 
Measures Section  and General Conditions on 
Banking Sub-sector. 
 1) None 
2) None 
3) (a) For foreign bank branch, only executive 
 position can be assumed by expatriates  with limitation that at least one of them 
 shall be Indonesian national. 
 (b) For the joint venture bank, only for the 
 director can be assumed by the expatriates 
 in proportion to the ownership sharing. 
4) Unbound except as indicated in the Horizontal 
Measures 
Section  and General Conditions on 
Banking Sub-sector. 
 
  
(ii) Lending of all types, 
including consumer credit, 
mortgage, credit, factoring, 
and financing of commercial transaction 
 
  
 
  
 
 1) None 
2) None 
3) (a) Bound only 1 (one)
 2 (two) sub-branches 
 and 1 (one)  2 (two)  auxiliary offices for 
 foreign bank's  branch office. 
 
 (b) Bound only 1 (one)  2 (two)   branches and 
 1 (one)  2 (two)  sub-branches for joint 
 venture bank. 
4) Unbound except as indicated in the Horizontal 
Measures Section  and General Conditions on 
Banking Sub-sector. 
 1) None 
2) None 
3) (a) For foreign bank branch, only executive 
 position can be assumed by expatriates  with limitation that at least one of them 
 shall be Indonesian national. 
 (b) For the joint venture bank, only for the 
 director can be assumed by the expatriates 
 in proportion to the ownership sharing. 
4) Unbound except as indicated in the Horizontal 
Measures 
Section  and General  Conditions on 
Banking Sub-sector.   TN/S/O/IDN 
Page 38 Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
(iii) All payment and money 
transmission services 
including credit, charge and 
debit cards, travellers cheques and bankers drafts 
 1) None 
2) None 
3) (a) Bound only 1 (one)
 2 (two) sub-branches 
 and 1 (one)  2 (two)  auxiliary offices for 
 foreign bank's branch office. 
 
 (b) Bound only 1 (one)  2 (two)  branches and 1 
 (one)  2 (two)  sub-branches for joint 
 venture bank. 
4) Unbound except as indicated in the Horizontal 
Measures Section  and General Conditions on 
Banking Sub-sector. 
 1) None 
2) None 
3) (a) For foreign bank branch, only executive 
 position can be assumed by expatriates  with limitation that at least one of them 
 shall be Indonesian national. 
 (b) For the joint venture bank, only for the 
 director can be assumed by the expatriates 
 in proportion to the ownership sharing. 
4) Unbound except as indicated in the Horizontal 
Measures 
Section  and General Conditions on 
Banking Sub-sector. 
  
(iv) Guarantees and 
Commitments 
 1) None 
2) None 
3) (a) Bound only 1 (one)  2 (two) sub-branches 
and 1 (one)  2 (two)  auxiliary offices for 
foreign bank's  branch office. 
 
 (b) Bound only 1 (one)  2 (two)   branches and 
1 (one)  2 (two)  sub-branches for joint venture 
bank. 
 4) Unbound except as indicated in the Horizontal 
Measures 
Section  and General Conditions on 
Banking Sub-sector. 
 1) None 
2) None 
3) (a) For foreign bank branch, only executive 
position can be assumed by expatriates with limitation that at least one of them shall be 
Indonesian national. 
 (b) For the joint venture bank, only for the 
director can be assumed by the expatriates in 
proportion to the ownership sharing. 
 4) Unbound except as indicated in the Horizontal 
Measures 
Section  and General Conditions on 
Banking Sub-sector.    TN/S/O/IDN
 Page 39Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
(v) Trading for own account or 
for account of customers, 
whether on an exchange, in 
an over-the-counter market or otherwise, the following: 
- Money market 
instruments (including cheques, bills, 
certificates of  
deposits) 
 
 
 1) None 
2) None 
3) (a) Bound only 1 (one)
 2 (two)  sub-branches 
 and 1 (one)  2 (two)  auxiliary offices for 
 foreign bank's  branch office. 
 (b) Bound only 1 (one ) 2 (two)  branches and 1 
 (one)  2 (two)  sub-branches for joint 
 venture bank. 
 
4) Unbound except as indicated in the Horizontal  Measures 
Section  and General Conditions on 
 Banking Sub-sector. 
 1) None 
2) None 
3) (a) For foreign bank branch, only executive 
  position can be assumed by expatriates   with limitation that at least one of them 
  shall be Indonesian national.  
 (b) For the joint venture bank, only for the   director can be assumed by the expatriates 
  in proportion to the ownership sharing. 
4) Unbound except as indicated in the Horizontal  Measures 
Section  and General Conditions on 
 Banking Sub-sector.  
 - Foreign Exchange 
 1) None 
2) None 
3) (a) Bound only 1 (one)  2 (two) sub-branches 
 and 1 (one)  2 (two)  auxiliary offices for 
 foreign bank's  branch office. 
 
 (b) Bound only 1 (one)  2 (two)   branches and 
 1 (one)  2 (two)  sub-branches for joint 
 venture bank. 
4) Unbound except as indicated in the Horizontal 
Measures Section  and General Conditions on 
Banking Sub-sector. 
 1) None 
2) None 
3) (a) For foreign bank branch, only executive 
 position can be assumed by expatriates  with limitation that at least one of them 
 shall be Indonesian national. 
 (b) For the joint venture bank, only for the 
 director can be assumed by the expatriates 
 in proportion to the ownership sharing. 
4) Unbound except as indicated in the Horizontal 
Measures 
Section  and General Conditions on 
Banking Sub-sector. 
  
 - Exchange rate and 
interest rate 
instruments, including 
products such as 
swaps, forward rate agreements 
 1) None 
2) None 
3) (a) Bound only 1 (one)
 2 (two) sub-branches 
and 1 (one)  2 (two)  auxiliary offices for 
foreign bank's  branch office. 
 
 (b) Bound only 1 (one)  2 (two)  branches and 1 
(one)  2 (two)  sub-branches for joint venture 
bank. 
4) Unbound except as indicated in the Horizontal 
Measures Section  and General Conditions on 
Banking Sub-sector. 
 1) None 
2) None 
3) (a) For foreign bank branch, only executive 
position can be assumed by expatriates 
with limitation that at least one of them shall be Indonesian national. 
 (b) For the joint venture bank, only for the 
director can be assumed by the expatriates in proportion to the ownership sharing. 
4) Unbound except as indicated in the Horizontal 
Measures 
Section  and General Conditions on 
Banking Sub-sector. 
   TN/S/O/IDN 
Page 40 Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
 - Transferable securities 
 issued in the money 
 market 
 1) None 
2) None 
3) (a) Bound only 1 (one)  2 (two) sub-branches 
and 1 (one)  2 (two)  auxiliary offices for 
foreign bank's branch office. 
 
 (b) Bound only 1 (one)  2 (two)  branches and 1 
(one)  2 (two)  sub-branches for joint venture 
bank. 
4) Unbound except as indicated in the Horizontal 
Measures Section  and General Conditions on 
Banking Sub-sector. 
 1) None 
2) None 
3) (a) For foreign bank branch, only executive 
 position can be assumed by expatriates  with limitation that at least one of them 
 shall be Indonesian national. 
 (b) For the joint venture bank, only for the 
 director can be assumed by the expatriates 
 in proportion to the ownership sharing. 
4) Unbound except as indicated in the Horizontal 
Measures 
Section  and General Conditions on 
Banking Sub-sector. 
  
(vi) Cash management, 
custodial and depository 
services 
 1) None 
2) None 
3) (a) Bound only 1 (one)  2 (two) sub-branches 
 and 1 (one)  2 (two)  auxiliary offices for 
 foreign bank's branch office. 
 (b) Bound only 1 (one)  2 (two)  branches and 1 
 (one)  2 (two)  sub-branches for joint 
 venture bank. 
 
4) Unbound except as indicated in the Horizontal 
Measures Section  and General Conditions on 
Banking Sub-sector. 
 1) None 
2) None 
3) (a) For foreign bank branch, only executive 
 position can be assumed by expatriates  with limitation that at least one of them 
 shall be Indonesian national. 
 (b) For the joint venture bank, only for the 
 director can be assumed by the expatriates 
 in proportion to the ownership sharing. 
4) Unbound except as indicated in the Horizontal 
Measures 
Section  and General Conditions on 
Banking Sub-sector.  
9. HEALTH RELATED AND SOCIAL  SERVICES  
 
General conditions on health related and social services : 
 
Commercial presence of the foreign service provider is permitted on ly through health institution which is registered in Indones ia and must establish partnership with 
local partner.  Establishment limited to the cities of Medan and Surabaya. 
   TN/S/O/IDN
 Page 41Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
Hospital services (only for 
specialistic and super 
specialistic medical care/more 
specific than specialistic  
medical  care, provided by 
hospital of more than  400 
beds) 
(CPC 9311) 
 1) None  
2) None 
3) As indicated in the Horizontal Section and 
 General Conditions : 
-  The hospital shall be managed by 
Board of Directors chaired by 
Indonesian medical doctor 
-  Approval subject to the social 
function of hospital services offered 
-  The medical services shall be 
provided by persons with medical 
licenses issued by Ministry of Health 
and Health professional organization/council 
4) Unbound 
 1) None  
2) None  
3) The health professionals shall be  
 Indonesian. 
 
 
  
 
  
 
  
4) Unbound 
   TN/S/O/IDN 
Page 42 Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
9. TOURISM AND TRAVEL 
RELATED SERVICES     
 Hotels1 
 ( 3, 4 and 5 star hotels ) 1),2) None 
3) In eastern part of Indonesia, Kalimantan, 
Bengkulu, Jambi and Sulawesi, 100 % of capital 
share can be owned by foreign investor  
 
 
4) a) Unbound except for: 
  1. Top Management Level in Hotel    business comprised of: 
   i) General Manager 
   ii) Food and Beverage Manager    iii)  Resident Manager 
  iv)  Comptroller 
   v) Marketing Director   2. Highly Skilled Professionals  
   comprised of: 
   i) Exécutive Chef    ii) Sous Chef 
   iii) Speciality Cook 
 1),2) None 
3) a)
 Higher paid-up capital is required of 
foreign service suppliers than of domestic 
service suppliers.  This measure will be eliminated in the year 2020 
 b)
 Only 3,4 or 5 starred hotels are permitted  
  
4) As specified in th e Horizontal Measures  
Section   
B. Travel Agent and Tour 
Operator (TA & TO)  
 (CPC 74710) 
 1) None 
2) None 
3) Maximum service providers 30 TA & TO 
 4) Unbound except fo r technical advisor 
 1) None 
2) None 
3) Tour operator must be  Travel Agent located in 
Jakarta and Bali 
4) As specified in th e Horizontal Measures
 
Section  
  
                                                      
1 Starred Hotel is a service business whic h provides accommodation and food and bevera ges facilities and other services, except casino and other activities 
prohibited by law; against  for reasons of  public moral, religion, security and public order. 
   TN/S/O/IDN
 Page 43Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
 Tourist Resorts Include2 
  
 - Hotel ( 3, 4 and 5 stars ) 
 - Marinas 
- Golf Courses and other 
Sport facilities 
 1),2) None 
3) In eastern part of Indonesia, Kalimantan, 
 Bengkulu, Jambi and Sulawesi, 100% of 
 capital share can be owned by foreign investor  
 
 4) Unbound except for Resort Manager 
 1),2) None 
3) a)
 Higher paid-up capital is required of 
foreign service suppliers than of domestic 
service suppliers.  This measure will be eliminated in the year 2020 
 b)
 Only 3,4 or 5 starred hotels are permitted  
  4) As specified in th e Horizontal Measures
 
Section 
  
                                                      
2 Tourist Resort is an area built to accommoda te the facilities needed for the tourist such as hotels, marinas, golf courses, cu ltural open stage and 
other  facilities, except casino and other activities prohibited by law; against  for reasons of  public moral, religion, security and public order.  TN/S/O/IDN 
Page 44 Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
11. TRANSPORT SERVICES     
A. Maritime Transport  
 Services *) 
    
(a) International Passenger 
 transport (CPC 7211) 
 1) None 
 
  
2) None 
3) Foreign Shipping Companies may established 
 Owner’s Representative **) 
 
4) a) Joint venture: As specified in the     Horizontal Measures
 Section   
 b) Owner’s Representative: Unbound except 
   for manager. 
 1) Foreign Shipping Company is obliged to 
 appoint Indonesian Shipping Company or joint 
 venture Shipping Company as its General  Agent ***) 
**) 
2) None 
3) As specified in th e Horizontal Measures   
 Section   
4) As specified in th e Horizontal Measures  
 Section   
 
 Access to and use of port 
facilities in the port which is 
opened for international shipping, including but not 
limited to ****): 
Tanjung Priok, Tanjung 
Perak, Belawan, Makassar, 
Semarang, Dumai, Panjang, Batam, Balikpapan, 
Banjarmasin, Bitung, 
Pontianak, Ambon, Sorong.  
   TN/S/O/IDN
 Page 45Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
(b) International Freight 
 Transport (CPC 7212)  
 1) None 
 
 
  
2) None 
3) Foreign Shipping Companies may established  Owner’s Representative **) 
 
4) a) Joint venture: As specified in the  
   Horizontal Measures  Section   
 b) Owner’s Representative: Unbound except 
   for manager. 
 1) a) Foreign Shipping Company is obliged to 
   appoint Indonesian Shipping Company or 
   joint venture Shipping Company as its 
   General Agent ***) **) 
 b) Government’ Cargo ****)  ***) 
2) None 
3) As specified in th e Horizontal Measures  
 Section   
4) As specified in th e Horizontal Measures  
 Section   
 
 Access to and use of port 
facilities in the port which is 
opened for international 
shipping, including but not limited to ****): 
Tanjung Priok, Tanjung 
Perak, Belawan, Makassar, Semarang, Dumai, Panjang, 
Batam, Balikpapan, 
Banjarmasin, Bitung, Pontianak, Ambon, Sorong.  
 
 
Maritime Auxiliary Services  
  a. Maritime cargo  
   handling services 
 1) Unbound1 except for-no limitation on 
 transhipment  (board to board or via the 
 quay) and/or on the use of on-board cargo 
 handling 2) None 
 
3) a. Only through joint venture corporation:   as specified in the Horizontal Section 
 b. Allowed to operate only in main ports, 
   such as : Tanjung Priok, Tanjung    Perak, Belawan, Semarang, and  
   Makasar. 
4) As indicated in the Horizontal Section  1) Unbound
1 except for-no limitation on 
 transhipment  (board to board or via the 
 quay) and/or on the use of on-board cargo 
 handling 2) None 
 
3) As indicated in the Horizontal Section  
 
  
 
4) As indicated in the Horizontal Section  
                                                      
1 A commitment on this mode of delivery is not feasible 
  TN/S/O/IDN 
Page 46 Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
  Notes (Maritime) :  
 
  *): Passenger and freight transportation excluding cabotage and auxiliary services 
  **) : Owner’s representative appointed by foreign s hipping company has the following tasks :  
  a)  to monitor his vessels during operational activities in Indonesian ports;  
  b)  to supervise activities done by its General Agent in servicing of its vessels, calling in Indonesia;  
  c)  to make direct contact with cargo owner’s.  
 
  ***) : The tasks of General Agents in Indonesia inter alia are as follows: 
  **): a) o make arrangement in order to get all necessary port services as required by the foreign vessel concerned during the ir stay in Indonesia ports; 
   b) to appoint stevedoring company for cargo loading and unloading on behalf of its principal; 
   c) to arrange cargo booking and canvassing; 
   d) to collect freight on behalf of the principal;    e) to issue Bill of Lading on behalf of the principal; 
   f) to settle the disbursement and claim (if any); 
   g) to give information as required by its principal;  
 ****)
: Government’s Cargo is cargo originated from the other countries (import cargoes) purchased by the Government Agencies or base d on loan/credit  
 ***): agreemen t with the other countries. 
 
 ****): These ports are curren tly opened  for international trade and may be added or reduce in the future. 
   TN/S/O/IDN
 Page 47Modes of supply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence of natural persons 
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
12.   OTHER SERVICES NOT  
INCLUDE ELSEWHERE     
 Energy Services     
General condition on energy services 
- Indonesia’s Schedule of Specific Commitments on energy services sector based on Indonesian proposal of energy services classi fication 
 
Core analysis and other Lab 
Test, only for Isotop Analysis 
(1A.2.7.3) 
 1) Unbound for government funded project  
2) Unbound for government funded project  
3) Joint operation through a representative 
 office in Indonesia  
4) Unbound, except fo r directors and technical 
 experts. 
 1) Unbound  
2) Unbound  
3) As specified in the Horizontal Section 
 
4) As specified in the Horizontal Section  
Geological and geophysical 
services, only for seismic data 
acquisition (1A.1.4.1.1)  1) Unbound for government funded project  
2) Unbound for government funded project  
3) Joint operation through a representative  office in Indonesia  
4) Unbound, except fo r directors and technical 
 experts. 
 1) Unbound  
2) Unbound  
3) As specified in the Horizontal Section   
4) As specified in the Horizontal Section  
Liquefaction and gasification 
only for coal (2.2.2) 
 1) Unbound for government funded project  
2) Unbound for government funded project  
3) Joint operation through a representative 
 office in Indonesia  4) Unbound, except fo r directors and technical 
 experts. 
 1) None 
2) None 
3) As specified in the Horizontal Section  
 4) As specified in the Horizontal Section  
 TN/S/O/IDN 
Page 48  
 
 
ATTACHMENT TO THE REPUBLIC OF INDONESIA 
SCHEDULE ON BASIC TELECOMMUNICATIONS 
 
REFERENCE PAPER
 
 Scope
 
 
The following are definitions and principles on the regulatory framework for th e basic telecommunications 
services.    Definitions
 
 
Users  mean service consumers and service suppliers.   
 Essential facilities
 mean facilities of a public telecommunica tions transport network or service that 
  (a) are exclusively or predominantly provided by a single or limited number of suppliers;  and 
 
 (b) cannot feasibly be economically or technica lly substituted in order to provide a service. 
 A major supplier
 is a supplier which has the ability to material ly affect the terms of participation (having 
regard to price and supply) in the relevant market for basic telecommunications services as a result of: 
 
 (a) control over essential facilities;  or 
  (b) use of its position in the market.   
1. Competitive safeguards
 
 1.1 Prevention of anti-competitive practices in telecommunications
 
  Appropriate measures shall be maintained for the purpose of pr eventing suppliers who, alone or 
together, are a major supplier  from engaging in or continui ng anti-competitive practices. 
 
1.2 Safeguards
 
  The anti-competitive practices referred to above shall include in particular:  
 (a) engaging in anti-competitive cross-subsidization;  
  (b) using information obtained from competitors with anti-competitive results;  and   (c) not making available to other servic es suppliers on a time ly basis technical  information 
about essential facilities and commercially re levant information which are necessary for 
them to provide services.  
   TN/S/O/IDN 
 Page 49 
 
 
2. Interconnection  
 2.1 This section applies to linki ng with suppliers providing public  telecommunications transport 
networks or services in order to allow the users of  one supplier to communicate with users of another 
supplier and  to access serv ices provided by another supplier, wher e specific commitments are undertaken. 
 2.2 Interconnection to be ensured
 
  Interconnection with a major supplier will be ensu red at any technically feasible point in the 
network.  Such interc onnection is provided. 
 
 (a) under non-discriminatory terms, cond itions (including technical standards and 
specifications) and rates and of a quality no le ss favourable than that provided for its own 
like services or for like services  of non-affiliated serv ice suppliers or for its subsidiaries or 
other affiliates; 
 
 (b) in a timely fashion, on terms, conditions (including technical standards and specifications) 
and cost-oriented rates that are transparen t, reasonable, having regard to economic 
feasibility, and sufficiently unbundled so th at the supplier need not pay for network 
components or facilities that it does not requi re for the service to be provided;  and 
 
 (c) upon request, at points in addition to the ne twork termination points offered to the majority 
of users, subject to charges that reflect the cost of construction of necessary additional 
facilities. 
  
2.3 Public availability of the procedures for interconnection negotiations
 
  The procedures applicable for interconnection to a major supplier will be ma de publicly available. 
  
2.4 Transparency of interconnection arrangements
 
  It is ensured that a major supplier will make publi cly available either its interconnection agreements 
or a reference inte rconnection offer. 
  
2.5 Interconnection:  dispute settlement
 
  A service supplier requesting in terconnection with a major supplie r will have recourse, either: 
  (a) at any time or 
 
 (b) after a reasonable period of time  which has been made publicly known 
 to an independent domestic body, which may be a regulato ry authority as referred to in paragraph 5 below, to 
resolve disputes regarding appropria te terms, conditions and rates for interconnection within a reasonable 
period of time, to the extent that thes e have not been established previously. 
  TN/S/O/IDN 
Page 50  
 
3. Universal service
 
  Any Member has the right to define the kind of uni versal service obligation it wishes to maintain.  
Such obligations will not be regarded as anti-competitive per se , provided they are administered in a 
transparent, non-discriminatory and competitively ne utral manner and are not more burdensome than 
necessary for the kind of universal service defined by the Member.  4. Public availability of licensing criteria
 
  Where a licence is required, the following will be made publicly available: 
 
 (a) all the licensing criteria and the period of time normally require d to reach a decision 
concerning an application for a licence  and 
  (b) the terms and conditions of  individual licences. 
 
 The reasons for the denial of a licence w ill be made known to the applicant upon request. 
  5. Regulatory Authority
 
 
 The regulatory Authority is not accountable to, an y supplier of basic telecommunications services. 
The decisions of and the procedures used by regulators shall be impa rtial with respect to all market 
participants.   
6. Allocation and use of scarce resources
 
 
 Any procedures for the allocation and use of scar ce resources, including frequencies, numbers and 
rights of way, will be carried out in an objective,  timely and transparent manner. The current state of 
allocated frequency bands wi ll be made publicly available, but de tailed identification of frequencies 
allocated for specific governm ent uses is not required. 
 
_________________ 
   TN/S/O/IDN
 Page 51  INDONESIA – LIST OF ARTICLE II (MFN) EXEMPTIONS  
 
 
Sector or Subsector Description of measure 
indicating its inconsistency  
with Article II Countries to which the 
measure applies Intended duration Conditions creating the need for 
the exemption 
 Movement  of 
 Personnel (semi -
 skilled workers)  
 Low level occupations are 
reserved for Indonesian citizens.  
Based on Government Policy, 
limited exemptions may be 
granted to citizens of certain 
countries.  
 Nationals of Malaysia, 
Singapore, Brunei Darussalam, 
Papua  New Guinea and 
Australia have been granted 
limited access to low level 
occupations  
 Indefinite  
 Development of the region is being 
undertaken and for the confirmation 
of this programme, it is decided to 
grant limited access to low level 
occupations to cit izens at a limited 
number of countries  
 
3. CONSTRUCTION  SERVICES     
 Construction Services 
 (government funded 
 projects)  
 Measures relating to preferential 
shortlisting in international 
competitive bidding  
 Nationals of Brunei 
Darussalam, Malaysia, Th e 
Philippines, Singapore and 
Thailand have been granted 
special treatment  
 These measures shall be 
maintained as long as the 
treaties of Asean remain in 
force  
 The implementation of a 
preferential shortlisting scheme for 
Asean contractors enhances the 
adva ncement of civil works, 
industrial construction and the 
economic development of the 
Asean region  
  TN/S/O/IDN 
Page 52 Sector or Subsector Description of measure 
indicating its inconsistency  
with Article II Countries to which the 
measure applies Intended duration Conditions creating the need for 
the exemption 
7. FINANCIAL 
 SERVICES 
     
 Banking Services  
 Measures relating to a  
joint-venture bank of national and 
foreign origin under which entry 
of a foreign bank in Indonesia is 
allowed on a reciprocity basis  
(pursuant to Articles 14(3) of the 
Ministry of Finance Decrees No.  
220/KMK.017/1993 dated  
26 February 1993).  
 
With respect to joint -venture 
banks, licenses can only be 
granted to foreign banks of 
countries wh ich adopt reciprocal 
policies regarding Indonesian 
banks.  
 All countries which adopt 
reciprocal policies regarding 
Indonesian banks . 
 Suspended until the end of 
the period of 60 days 
beginning on 1 November 
1997 as stipulated in the 
Second Decision on 
Financial Services adopted 
by the Council for Trade in 
Services on 21 July 1995.  
 To guarantee equal treatment to 
Indonesian nationals wishing to 
establish and operate banks abroad . 
 
 
 
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