The Urgency of RCEP in the Development of Indonesia Investment Law

Abstract

The problem of investment regulation in Indonesia has always been a major obstacle for domestic and foreign investors. This study was conducted to analyze the problem of investment regulation in Indonesia, especially in Law No. 11 of 2020 concerning Job Creation after the ratification of the RCEP Agreement, and the urgency of RCEP particularly for the development of investment law in Indonesia. This is normative research which used descriptive qualitative method to analyze the legal materials. The data was processed systematically based on legal principles. Although Law No. 11 of 2020 has impact on many amendments to the laws, but there are weaknesses in the regulation of investment, which are the lack of transparency, community participation, investment protection, fair and equal treatment implementation, and legal certainty. As long as the response to RCEP is good, the ratification of RCEP will open up opportunities for Indonesia to open market access. Therefore, Indonesian Government needs to remove some restrictions, support ease of doing business, change laws and regulations flexibly, and apply the principle of openness to the public.