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Jakarta Post

Three years on, risk-based OSS issues 10 million NIBs

Front Row (The Jakarta Post)
Jakarta
Wed, August 28, 2024 Published on Aug. 28, 2024 Published on 2024-08-28T13:45:05+07:00

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Three years on, risk-based OSS issues 10 million NIBs (JP/Dzulfiqar Fathur Rahman)

T

hree years since its inauguration by President Joko Widodo on Aug. 9, 2021, the risk-based Online Single Submission (OSS) system has issued 10 million Business Identification Numbers (NIBs).

As of 3 p.m. Western Indonesian Time (WIB) on Aug. 16, 2024, the risk-based system had issued a total of 10,000,019 NIBs. Of this figure, 9,909,900 NIBs were for micro and small enterprises (UMK), 28,303 NIBs for medium-sized enterprises and 61,816 NIBs for large enterprises.

This achievement underscores the role of the OSS system in simplifying the business licensing process. Compared to the 5 million NIBs issued by the system's second anniversary in August 2023, the significant increase in NIB issuance this year marks another milestone.

The OSS has become increasingly recognized and utilized by the public, which reflects growing awareness among business owners about the importance of legal compliance.

UMK entrepreneurs no longer need to go through the cumbersome process of obtaining separate a Trade Business License (SIUP), Company Registration Certificate (TDP) and Business Certificate (SKU) to set up a new business. Now, they need only to obtain an NIB to commence operations.

This heightened awareness among entrepreneurs can be attributed to the collaboration between the Ministry of Investment/BKPM, state-owned enterprises (BUMNs), private companies and entrepreneur associations in promoting the ease of licensing their business.

The issuance of 10 million NIBs in August alone, which coincided with the 79th anniversary of Indonesian independence, is a special milestone. Rather than resting on its laurels however, the Ministry of Investment/BKPM sees this as a moment for reflection to provide even better services.

Dede is a grocery store owner based in Tangerang, Banten, and member of the Sampoerna Retail Community (SRC), an initiative of PT HM Sampoerna Tbk and a partner of the OSS that has a network of over 250,000 grocery store owners across the nation.

Dede shared how having an NIB had made it easier for him to apply for banks loans to build his business, as well as expressed his appreciation for the streamlined licensing process.

"Before I obtained an NIB, I had to renew my SKU every time a loan [matured]. Now, with an NIB, there’s no need [to apply for] a new SKU because the NIB is valid for an indefinite term. It’s just a matter of extending it," Dede said.

The Ministry of Investment/BKPM remains committed to facilitating business licensing for enterprises of all sizes. It continues to collaborate with the relevant licensing systems of 38 ministries and agencies that are currently integrated with the risk-based OSS system.

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