The Minister of Public Works and Public Housing (PUPR) Basuki Hadimuljono said he would relax business license in construction services to encourage a favorable business climate for the sector.
Hadimuljono said the construction services in public works and public housing are among the sectors that still run well.
“This was shown by the absorption of the ministry’s budget for 2021 that has reached 94.21 percent . Of the total budget of Rp152.09 trillion, the PUPR Ministry has managed to absorb Rp143.29 trillion,” the minister said in a written statement received here, Sunday.
The COVID-19 pandemic that has occurred since 2020 has caused a contraction in economic growth in various countries, including Indonesia. The construction sector is believed to make a major contribution to economic growth since it has a chain impact on other sectors.
To support the development of construction services in Indonesia and increase economic growth, Hadimuljono said his ministry would relax business permits.
“The purpose of creating the Job Creation Act is to increase the ease of doing business. The law was then relegated to a Presidential Regulation (PP) and a Ministerial Regulation. If the difficulty in doing business is in the PUPR Ministerial Regulation, I will do relaxation to facilitate business permits, but I ask not to reduce the quality of work,” he emphasized.
One of the requirements that will be relaxed is the change in asset reference from 3 years to 10 years.
“I think this makes sense because in the last 3 years we are experiencing a pandemic,” he continued.
The Minister also remarked that his ministry was able to meet the infrastructure needs in Indonesia amid the pandemic.
One of them is signing the results of an early auction which will be held on Monday, January 24, 2022. This signing consists of around 800 work packages worth of Rp 20 trillion. The early bidding process has been carried out since October 2021.
Source: Antara News