Indonesia

Ease of Doing Business in

Palembang - Indonesia

This page summarizes Subnational Doing Business in Indonesia 2012 data for Palembang. The first table shows its rank among 20 cities/regions in Indonesia. The rest of the tables summarize the key indicators for each topic and benchmark against regional and high-income economy (OECD) averages.

Economy Overview

Region East Asia & Pacific
Income Category Lower middle income
Population 252,812,245
GNI Per Capita (US$) 3,650.00
Ease of Doing Business Rank among 20 cities in Indonesia Top city in Indonesia
n.a. n.a.
Topic Rankings Rank among 20 cities in Indonesia Top city in Indonesia
Starting a Business 11 Yogyakarta
Dealing with Construction Permits 3 Balikpapan
Registering Property 3 Bandung, Jakarta

Subnational Data


Starting a Business

X

Starting a Business

The steps of launching a business are shown below. Included are: the number of procedures entrepreneurs can expect to go through to start up and formally operate an industrial or commercial business, as well as the time and cost to complete these procedures and the paid-in minimum capital requirement as a percentage of gross national income (GNI) per capita.

Indicator Palembang East Asia & Pacific OECD
Procedures (number)
X

Procedures (number)

The total number of procedures required to register a firm. A procedure is defined as any interaction of the company founders with external parties (for example, government agencies, lawyers, auditors or notaries).

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10 7.0 4.7
Time (days)
X

Time (days)

The total number of days required to register a firm. The measure captures the median duration that incorporation lawyers indicate is necessary to complete a procedure with minimum follow-up with government agencies and no extra payments.

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34.0 25.9 8.3
Cost (% of income per capita)
X

Cost (% of income per capita)

Cost is recorded as a percentage of the economy’s income per capita. It includes all official fees and fees for legal or professional services if such services are required by law.

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19.0 23.0 3.2
Paid-in min. capital (% of income per capita)
X

Paid-in min. capital (% of income per capita)

The amount that the entrepreneur needs to deposit in a bank or with a notary before registration and up to 3 months following incorporation and is recorded as a percentage of the economy’s income per capita.

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46.6 9.8 9.6
No. Procedure Time to Complete Associated Costs
1 Arrange for a notary; obtain the standard form of the company deed; obtain clearance for the company name electronically from the Ministry of Law and Human Rights 4 days IDR 200,000 (name clearance and reservation)
2 Notarize company documents before a notary public 1 day IDR 3,020,000 (notary fee)
3 Obtain a certificate of company domicile from the local municipality 2 days No cost
4 Pay the State Treasury for the non-tax state revenue (PNBP) fees for legal services at a bank 1 day No cost
5 Apply to the Ministry of Law and Human Rights for approval of the deed of establishment 14 days IDR 1,580,000 (IDR 1,000,000 for validation of company as legal entity + IDR 30,000 for publication in the State Gazette, BNRI + IDR 550,000 for publication in the Supplement to the State Gazette, TBNRI)
6 Obtain a taxpayer registration number (NPWP) and a Value Added Tax (VAT) collector number (NPPKP) from the local Tax Office 3 days No cost
7 Obtain a location permit (SITU) from the Licensing office (Kantor Pelayanan Perijinan Terpadu, KPPT) 3 days IDR 300,000
8 Apply for the permanent business trading license (Surat Izin Usaha Perdagangan, SIUP) and the registration certificate (Tanda Daftar Perusahaan, TDP) at the Licensing office (Kantor Pelayanan Perijinan Terpadu, KPPT) 5 days No cost
* 9 Register with the Ministry of Manpower at the local Manpower Office 2 days No cost
* 10 Apply for the Workers Social Security Program (Jamsostek Program) 4 days No cost
  * Takes place simultaneously with another procedure.

Subnational Data


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