The Asia-Pacific Antitrust Review 2012

Indonesia: Overview

Law No. 5 of 1999 on the Prohibition of Monopoly and Unfair Business Competition Practices (Indonesian Competition Law (ICL)) was introduced in March 1999 and entered into force one year later. Prior to the adoption of this law, there was legislation containing competition rules fragmented in numerous laws or regulations but they lacked enforcement power. Thus, promulgation of the ICL as well as the establishment of the national competition agency, officially known as Komisi Pengawas Persaingan Usaha (KPPU), signifies the commitment and effort of the Indonesian government to strengthen the competitive structure of the Indonesian economy and businesses and to eliminate monopoly or unfair business practices that were widely practised between 1970 and the 1990s.