One of the first questions every foreign investor asks is how much capital a PT PMA actually requires. The figures are often quoted without context, which leads to confusion. This guide explains the minimum capital rules clearly — and why Indonesia sets them.

The headline figure: an IDR 10 billion investment plan

As a general rule, a PT PMA is expected to have a total investment plan of more than IDR 10 billion per business field (KBLI code), excluding land and buildings. This is not an arbitrary barrier. It reflects a deliberate policy: Indonesia welcomes foreign investment that is substantial and genuine, not nominal shell registrations.

Investment plan is not the same as paid-up capital

This is the distinction that confuses most newcomers:

  • Investment plan — the total planned value of the project (capital + financing + assets), above IDR 10 billion
  • Paid-up capital — the equity actually placed into the company, commonly required at a minimum of IDR 10 billion as well

In practice, regulators look for paid-up capital that demonstrates the investor's real commitment, supported by a clear and lawful source of funds.

What the threshold applies to

  • The requirement is generally assessed per KBLI code and per project location
  • Land and buildings are excluded from the IDR 10 billion calculation
  • Some sectors and schemes carry their own specific thresholds
The capital requirement is not a toll to be minimised. It is Indonesia asking, reasonably, that those who invest do so seriously and contribute real value to the economy.

Practical points before you incorporate

  1. Confirm the exact requirement for your specific KBLI code(s) and location
  2. Prepare documentation showing a legitimate source of funds
  3. Plan capital realistically against your business model — under-capitalising invites scrutiny and undermines credibility
  4. Treat the investment plan as a genuine commitment you intend to honour

The minimum capital rule rewards investors who arrive prepared and serious. Meeting it properly — with transparent funds and a realistic plan — sets an investment on solid legal footing from the outset. Grafasco helps inbound investors structure their capital correctly and document it to the standard Indonesian authorities expect.