The rise in the use of the Indonesian language in commercial and retail transactions can be attributed to growing national pride. There is no end to the debate over the true rationale in this requirement.
In Indonesia, one should be aware that there is a plethora of laws and regulations that impose a requirement to use the Indonesian language.
Below is a list of regulations that foreign businesses should be aware of when targeting the Indonesian market.
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1 |
Law No. 8 of 1999 on Consumer Protection ("Law 8/1999") |
Article 8 paragraph (1) letter j of Law 8/1999 (1) Business actors must not produce and/or trade goods and/or services that: j. do not provide information and/or direction for the use of goods in the Indonesian language in accordance with the provisions of prevailing laws and regulations. |
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2 |
Law No. 24 of 2009 on the Official Flag, Language and Emblem as well as the National Anthem ("Law 24/2009") |
Article 39 of Law 24/2009 (1) Indonesian must be used in information via mass media |
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3 |
Minister of Communication and Informatics Regulation No. 20 of 2016 on Personal Data Protection in Electronic Systems ("MOCI 20/2016") |
Article 6 of MOCI 20/2016 Electronic System Organizers who carries out the process referred to in Article 3 are required to provide an approval form in Indonesian language in order to obtain an approval from the Personal Data Owner in question. |
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4 |
President Regulation No. 63 of 2019 on Usage of Indonesian Language ("PR 63/2019") |
Article 26 paragraph (3) and (4) of PR 63/2019 (3) The national language of the foreign party and/or English as referred to in paragraph (2) shall be used as the equivalent or translation of the Indonesian Language to unify the understandings upon the memorandum of understanding or agreements with foreign parties. In the event that there is a difference in interpretation toward the equivalent or translation as referred to in paragraph (3), then the language to be used shall be the language agreed upon in the memorandum of understanding or agreements. |
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5 |
Government Regulation No. 71 of 2019 on the Organization of Electronic Systems and Transactions ("GR 71/2019") |
Article 4 letter d of GR 71/2019 Insofar that it is not stated otherwise by separate laws and regulations, any Electronic System Provider must operate Electronic System which fulfils the minimum requirements as follows: d. is equipped with procedures or guidelines which are announced with a language, information, or symbol which may be understood by the relevant party with the organization of such Electronic System; |
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Article 19 paragraph (2) letter a of GR 71/2019 (2) The governance as referred to in paragraph (1) shall at least fulfil the following requirements: a. the availability of procedures and guidelines in the organization of Electronic System which is documented and/or announced with a language, information, or symbol which is understood by the party who is in relation to the organization of such Electronic System. |
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Article 47 paragraph (1) of GR 71/2019 (1) The Electronic Contract and other contractual forms as referred to in Article 46 paragraph (1) which is addressed to Indonesian citizens shall be drawn up in Bahasa Indonesia. |
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6 |
Government Regulation No. 80 of 2019 on Trade Through Electronic Systems ("GR 80/2019") |
Article 55 of GR 80/2019 (4) Electronic Contracts that are addressed to Consumers in Indonesia must use the Indonesian language. |
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Minister of Communication and Informatics Regulation No. 5 of 2020 on Electronic System Provider in the Private Sector ("MOCI 5/2020") |
Article 9 paragraph (2) of MOCI 5/2020 (2) PSE in the Private Sector must provide user guidelines in Indonesian language in accordance with the provisions of laws and regulations. |
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Law No. 27 of 2022 on Personal Data Protection ("Law 27/2022") |
Article 22 paragraph (4) letter c of Law 27/2022 (4) In the event that the approval as referred to in paragraph (1) contains other purposes, the request for approval must meet the following conditions: c. use simple and clear language Elucidation of Article 22 paragraph (4) letter (c) "Language" shall refer to the Indonesian Language. |
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9 |
Law No. 1 of 2024 on the Second Amendment to Law Number 11 of 2008 on Electronic Information and Transaction ("Law 1/2024") |
Article 18A paragraph (2) of Law 1/2024 (2) The Electronic Contract as referred to in paragraph (1) shall use simple, clear, and easily understood language, as well as uphold the principles of good faith and transparency Elucidation of Article 18A "Language" shall refer to Indonesian language. |
See also this link on the Supreme Court ruling on the
consequences of not satisfying the Indonesian language requirement.
In the Supreme Court decision No. 2125 K/Pdt/2017, a civil case was
adjudicated, emphasizing the legal requirement for the use of
Bahasa Indonesia in agreements involving Indonesian entities. This
ruling is grounded in the provisions of Law No. 24 of 2009, which
pertains to the Official Flag, Language, Emblem, and National
Anthem. This decision highlights the necessity of using the
national language in legal agreements to comply with Indonesian
law.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.