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REGULATORY UPDATES DUE TO THE IMPACT OF COVID-19

Contents:

A. Introduction ................................................................................................................................ 3 B. Taxation ...................................................................................................................................... 3

1) Taxation Policy in Perppu 1/2020 .................................................................................. 3 2) Government Expands Taxation Incentives .................................................................... 4

3) Implementing Regulation for Corporate Income Tax Reduction ........................ 8 4) Tax Holiday .................................................................................................................... 9 5) Income-Tax Facilities in Relation to the Handling of COVID-19 .................................. 10

C. Financial Authority ................................................................................................................... 11 1) Financial Services Stimulus .......................................................................................... 11 2) Financial Sector Policy in Perppu 1/2020 .................................................................... 12 3) OJK issued Implementing Regulation on Written Order for Handling Bank Issues ..... 14

D. Export ....................................................................................................................................... 17 1) Temporary Export Ban for Antiseptic, Mask Raw Material,

Personal Protective Equipment, and Masks ................................................................ 17 E. Import ....................................................................................................................................... 18

1) Exemptions of Customs and Excise for Import Goods Related to COVID-19 Countermeasures ...................................................................... 18

2) Ease of Import on Medical Devices and Personal Protective Equipment ................... 20 F. Investment ................................................................................................................................ 20

1) Ease of Business Licensing for Medical Device Industry and Pharmaceutical Industry .............................................................................................. 20

2) The Investment Command & Guard Center (Pusat Kopi) ........................................... 21

3) BKPM Issues a Letter of Support for the Visit of PT PMA Representatives and Foreign Experts during the COVID-19 ........................................................ 21

G. Manpower ................................................................................................................................ 23 1) Manpower Policy on Wage Protection for Employee

Related to the COVID-19 pandemic ............................................................................ 23 2) Preparedness in Facing the Spread of COVID-19 at the Workplace............................ 24 3) Temporary Suspension of Licensing Services for Foreign Workers............................. 25 4) Govt. Announces Rules for Granting of Religious Holiday Allowance

in Companies during the COVID-19 Pandemic ............................................................ 26 5) Govt. Introduces New Normal Provisions within

Office and Industrial Workplaces ................................................................................ 26 6) Work Hours during New Normal in Jabodetabek Area ............................................... 28

H. Province of DKI Jakarta ............................................................................................................. 29 1) Guidelines for Office Activities in Jakarta .................................................................... 29 2) Sanctions for Breaches of PSBB in DKI Jakarta ............................................................ 29 3) The Governor of DKI Jakarta Regulates Travel Restrictions

to Enter and Exit Jakarta Area ..................................................................................... 31 4) DKI Jakarta Governor Introduces Provisions on PSBB Transition Phase .................... 33

5) Updated Workplace Protocol in Jakarta During New Normal ..................................... 35

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6) Travel Controls Within DKI Jakarta ......................................................................... 36 I. Immigration .............................................................................................................................. 37

1) Temporary Ban for Foreigner to Enter Indonesia Territory ......................................... 37 2) Granting of Entry Permit for Foreigners Regulated in Further Details ........................ 38

3) Govt. Updates Health Protocols for Foreign Citizens Arrival ....................................... 40

4) Health Protocols for Foreign Citizens Arrival Regulated in Further Details ................. 42

5) New Normal Provisions for Immigration Services ....................................................... 44

J. Large-Scale Social Restrictions ................................................................................................. 45 1) Government Introduces Large-Scale Social Restrictions ............................................. 45 2) Public Health Emergency ............................................................................................. 46

K. Public Companies ............................................................................................................................ 46

1) Share Buyback Without First Holding a General Meeting of Shareholders ................ 46

L. Excise ........................................................................................................................................ 47 1) Exemption of Ethyl Alcohol Excise ............................................................................... 47

M. Court Trial ................................................................................................................................. 48 1) Court Trial in the Supreme Court and the Lower Courts ............................................. 48

N. Industry ..................................................................................................................................... 48 1) Factory Operational Requirements during the COVID-19 Pandemic .......................... 48 2) Industrial Activity Permits during the COVID-19 Pandemic......................................... 49 3) Mandatory Weekly Report for Industries Operating during PSBB .............................. 50

4) Relaxation for Industrial Production of Wheat Flour .................................................. 51 5) Relaxation for Industrial Production of Palm Cooking Oil ........................................... 51

O. Transportation .......................................................................................................................... 52 1) Government Introduces Transportation Control

for Annual Homecoming Tradition .............................................................................. 52 P. Land Rights ................................................................................................................................ 57

1) Relaxation for Determination and Registration of Land Rights ........................ 57 Q. The COVID-19 National Task Force ........................................................................................... 57

1) Govt. Issues Criteria and Requirements for Domestic and International Travel Conditions ........................................................ 57

R. Trade ......................................................................................................................................... 58 1) Govt. Introduces New Normal Provisions for Trade Activities .................................... 58

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A. Introduction

Against the background of the impacts and continuous risks of COVID-19 in Indonesia, the Indonesian Government has elaborated and published a series of new regulations to adjust the legal framework conditions to the current challenging situation for all stakeholders of the society. In this overview, EKONID presents and informs about new regulations with relevance to the private sector. Please let us know, in case you have any questions, remarks or require information on one or more areas that have not been covered yet in this document. We will continuously update and further develop the overview according to your needs

B. Taxation

1) Taxation Policy in Perppu 1/2020

To safeguard national economy, President Joko Widodo issued Government Regulation in Lieu of Law Number 1 of 2020 on State Financial Policy and Financial System Stability in Relation to the Handling of Coronavirus 2019 (COVID-19) Pandemic (“Perppu 1/2020”), which came into force on March 31, 2020. One of many substantial policies addressed in Perppu 1/2020 is taxation policy, as follows: Corporate Income Tax Based on the Perppu 1/2020, the Indonesian Government provides a reduction of Corporate Income Tax to 22% (twenty two percent) from the current 25% (twenty five percent) for companies and permanent establishment (BUT), which applies for Tax Year 2020 and 2021. Further, for Tax Year 2022 it will be 20% (twenty percent). Public companies listed on Indonesia Stock Exchange (IDX) that sell more than 40 percent of their shares to the public and meet certain requirements will be eligible for an additional 3% (three percent) reduction. E-Commerce Tax With the issuance of this regulation, domestic and foreign online business practitioners that conduct e-commerce activities in Indonesia will be charged:

value added tax (VAT) on taxable intangible goods and/or services sold through their e-commerce platforms.

income tax or electronic transaction tax on their e-commerce activities. Foreign online business practitioners with a significant economic presence in Indonesia can be treated as permanent establishments, which will be determined by their gross circulation of business group consolidation, sales and/or active users in Indonesia. They will be subject to Indonesian taxation regulations.

Disclaimer: In this Regulatory Update we attempt to provide latest information available on the COVID-19 related regulations issued by the Government of Indonesia. Although we make every effort to ensure the accuracy of such information, we cannot guarantee its correctness and completeness.

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In the event that the Indonesian government not able to determine certain foreign online business practitioners as permanent establishments due to the tax treaty with other countries, then they will be charged an electronic transaction tax on their company sales in Indonesia. Further provisions regarding the rate, object and calculation of the income tax and the electronic transactions tax will be regulated through the Government Regulation (Peraturan Pemerintah - PP). Under the Perppu 1/2020, domestic and foreign online business practitioners that fail to comply with the provisions will be subject to:

administrative sanctions in accordance with prevail Indonesian taxation regulations

termination of companies’ access by the Minister of Communication and Information. Taxation Obligations According to this regulation, due to the COVID-19 pandemic, the Indonesian government provide relaxation to taxpayers that related to the extension of filing an objection to tax payments and returning tax overpayments due to the COVID-19 pandemic. For the submission of objections, the Indonesian government decided that the due date for the submission of the objection was extended to a maximum of 6 months. Meanwhile, the due date for returning tax overpayments has now been extended for a maximum of 1 month. Further, the due date for requesting the return of overpayment of taxes, filing an objection letter, as well as requesting reduction or elimination of administrative sanctions, cancellation of incorrect tax assessments, and cancellation of inspection results will be extended for a maximum of 6 months. The severity period due to the COVID-19 pandemic refers to the determination of the Indonesian government through the Head of the National Disaster Management Agency (Badan Nasional Penanggulangan Bencana - BNPB). Import Duties Exemption The Perppu 1/2020 stipulates that the Minister of Finance has an authority to grant exemptions or relaxations of import duties, which in the context of handling the COVID-19 pandemic and facing threats that endanger the national economy and/or financial system stability. With this authorization, changes to imported goods which are exempted from import duties based on their intended use under the Article 25 Paragraph (1) and Article 26 Paragraph (1) of the Customs Law, will now be regulated through the Regulation of the Minister of Finance (Peraturan Menteri Keuangan - PMK).

2) Government Expands Taxation Incentives

By paying attention to the development of economic conditions in Indonesia, especially with the increasingly widespread impact of the COVID-19 pandemic to other sectors, including Small and Medium-

sized Enterprises (“SMEs”), it is necessary to expand tax incentives.

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Therefore, the Indonesian government through the Ministry of Finance issued Regulation of Minister of Finance No. 44/PMK.03/2020 on Taxation Incentives for Taxpayers Affected by the COVID-19 Pandemic (“PMK 44/2020”), which came into force on April 27, 2020. PMK 44/2020 revokes the Regulation of Minister of Finance No. 23/PMK.03/2020 on Taxation Incentives for Taxpayers Affected by the COVID-19 (“PMK 23/2020”) due to not suitable with current developments in the context of handling the COVID-19 pandemic. Under the PMK 44/2020, the Indonesian government grants the following tax incentives:

Article 21 Income Tax Borne by the Government With the issuance of PMK 44/2020, the list of business classifications code (“KLU code”) that eligible to obtain Article 21 Income Tax borne by the government (“Article 21 Income Tax DTP”) expands to 1.062 business fields, which previously only 440 business fields under PMK 23/2020. The Indonesian government will cover Article 21 Income Tax from employees which was originally cut from the employees’ income. Employees are first required to fulfill the following criteria in order to obtain Article 21 Income Tax DTP:

Employees who receive income from employers: a. that have a KLU code as listed in appendix A of PMK 44/2020; b. are determined as Export-Oriented Import Facilities (“KITE”) companies based on the Decree of

the Minister of Finance; or c. that have obtained a Bonded Zone Operator permit, a Bonded Zone Entrepreneur permit, or a

permit for Entrepreneur in Bonded Zone also acts as Operator in Bonded Zone (“PDKB permit”).

Have a Taxpayer Identification Number (“NPWP”); and

Receive or obtain annual gross income which does not exceed IDR 200 million in the related tax year.

The KLU code as mentioned above in this section is in accordance with the KLU code stated in:

Annual Tax Return (“SPT”) of Income Tax for 2018 that has reported by the employer; or

Masterfile of Taxpayer, for new taxpayers registered after 2018 or for government agencies.

Article 21 Income Tax DTP must be paid in cash by the employers at the time of payment of income to the employees and it will not be calculated as taxable income. Further, this incentive will be granted since the Tax Period of April 2020 until September 2020. In the event that an employee who receives Article 21 Income Tax DTP submits the Annual Personal Income Tax Return for the 2020 Tax Year and declares overpayment, then the overpayment originating from Article 21 Income Tax DTP is non-refundable.

These are procedures to implement incentive of Article 21 Income Tax DTP:

employers must submit notifications using the format as stipulated in appendix C of PMK 44/2020 to the Head of Tax Service Office (“KPP”) where the employers are registered through www.pajak.go.id (“DJP Online”).

For KITE companies, said notifications must be submitted by employers and shall attach the Decree of the Minister of Finance concerning their determination as KITE companies.

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For Bonded Zone Operator, Bonded Zone Entrepreneur or Entrepreneur in Bonded Zone also acts as Operator in Bonded, said notifications must be submitted by employers and shall attach the Decree of the Minister of Finance concerning their permit.

Employers are required to make Tax Payment Slips or Printed Billing Code affixed with official stamp along with the following statement: “PPh PASAL 21 DITANGGUNG PEMERINTAH EKS PMK NOMOR …/PMK.03/2020”.

It should be noted that employers must submit reports on the realization of Article 21 Income Tax DTP using the form under appendix E of PMK 44/2020 through DJP Online, along with the Tax Payment Slips or Billing Codes, no later than the 20th of the following month after the tax period ends. Final Income Tax borne by the Government for SMEs

This incentive is intended for SMEs taxpayers with a turnover of below 4.8 billion rupiah in the form of Final Income Tax of 0.5% borne by the Government (“Final Income Tax DTP”). Thus, said SMEs taxpayers does not need to make a tax payment and the tax collector will not deduct tax. The Final Income Tax DTP received by the taxpayer is not counted as income subject to tax and this incentive is given for the Tax Period of April 2020 until September 2020.

In order to obtain this incentive, said SMEs taxpayers must submit applications using the format as stipulated in appendix G of PMK 44/2020 to the Directorate-General of Tax through DJP Online. The tax collector must make Tax Payment Slips or Printed Billing Code affixed with official stamp along with the following statement: “PPh FINAL DITANGGUNG PEMERINTAH EKS PMK NOMOR …/PMK.03/2020”. SMEs taxpayers must submit reports on the realization of Final Income Tax DTP using the form under appendix H of PMK 44/2020 through DJP Online, along with the Tax Payment Slips or Billing Codes, no later than the 20th of the following month after the tax period ends.

Exemption of Article 22 Income Tax on Import Based on PMK 44/2020, the list of KLU code that entitled to be exempted from the imposition of Article 22 Income Tax on Import expands to 431 business fields, which previously only 102 business fields in PMK 23/2020. The Article 22 Income Tax on import is levied by the Foreign Exchange Bank or the Directorate General of Customs and Excise when the taxpayers import goods. With the issuance of this regulation, these are the criteria of taxpayers who can be exempted from the Article 22 Income Tax on import:

Taxpayers that have a KLU code as listed in appendix I of PMK 44/2020;

Taxpayers are determined as KITE companies based on the Decree of the Minister of Finance; or

Taxpayers that have obtained a Bonded Zone Operator permit, a Bonded Zone Entrepreneur permit, or a PDKB permit.

The KLU code as referred to in this section is in accordance with the KLU code stated in:

Annual SPT of Income Tax for 2018 that has reported by the employer; or

Masterfile of Taxpayer, for new taxpayers registered after 2018.

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These are procedures to obtain this incentive:

taxpayers must submit applications for a Certificate of Exemption of Article 22 Income Tax on Import Collection (“SKB Pemungutan”) through DJP Online by using the form under appendix J of PMK 44/2020. The incentive period is valid from the date of issuance of the Certificate of Exemption until 30 September 2020.

For KITE companies, said applications must be submitted by taxpayers and shall attach the Decree of the Minister of Finance concerning their determination as KITE companies.

For Bonded Zone Operator, Bonded Zone Entrepreneur or Entrepreneur in Bonded Zone also acts as Operator in Bonded, said applications must be submitted by taxpayers and shall attach the Decree of the Minister of Finance concerning their permit.

On a three-monthly basis, taxpayers are required to submit realization reports concerning the exemption of Article 22 Income Tax on Import using the form as set out in appendix M of PMK 44/2020 through DJP Online by no later than:

July 20, 2020, for the Tax Period of April 2020 until June 2020; and

October 20, 2020, for the Tax Period of July 2020 until September 2020.

Deduction of Article 25 Income Tax Installment Under the PMK 44/2020, the government included 846 business fields in the list of KLU code that entitled to obtain 30% deduction to their Article 25 Income Tax installment. The criteria are as follows:

Taxpayers that have a KLU code as listed in appendix N of PMK 44/2020;

Taxpayers are determined as KITE companies based on the Decree of the Minister of Finance; or

Taxpayers that have obtained a Bonded Zone Operator permit, a Bonded Zone Entrepreneur permit, or a PDKB permit.

The aforementioned KLU code in this section is in accordance with the KLU code stated in:

Annual SPT of Income Tax for 2018 that has reported by the employer; or

Masterfile of Taxpayer, for new taxpayers registered after 2018.

The notification for deduction of Article 25 Income Tax installment must be submitted by the taxpayers using the format as stipulated in appendix C of PMK 44/2020 to the Head of KPP where the taxpayers are registered through DJP Online. Further, the taxpayers are obliged to submit realization reports on the deduction of Article 25 Income Tax installments every 3 (three) months through DJP Online, which said reports use the form under appendix P of PMK 44/2020 and no later than:

July 20, 2020, for the Tax Period of April 2020 until June 2020; and

October 20, 2020, for the Tax Period of July 2020 until September 2020. Preliminary Refund of Value Added Tax (VAT) overpayment

The Value Added Tax (VAT) incentive in the form of preliminary refunds of tax overpayments as Low-Risk Taxable Entrepreneur (“Low-Risk PKP”) will be granted by the government to the following criteria of taxpayers:

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fulfill the criteria as referred to in the section of Exemption of Article 22 Income Tax on Import; and

those who have submitted a SPT of VAT for overpaid restitution with a maximum overpayment amount of IDR 5,000,000,000.00 (five billion rupiah).

The Low-Risk PKP will be granted a preliminary refund with the following conditions:

Taxable Entrepreneur are not required to submit any applications for determination as Low-Risk PKP;

The Director-General of Tax will not issue any Decree on determination as Low-Risk PKP; and

Taxable Entrepreneur must be operating within certain business sectors as listed in appendix I of PMK 44/2020, or must still be in possession of valid KITE facilities or valid Bonded Zone permits at the time of submission of the relevant notification of overpayment for restitution.

For employers or taxpayers who have submitted notifications for Article 21 Income Tax DTP and/or deduction of Article 25 Income Tax Installment based on PMK 23/2020, then employers or taxpayers do not need to re-submit notifications. Meanwhile, for employers or taxpayers that have submitted applications for the SKB Pemungutan and/or the SKB Pemungutan has issued based on PMK 23/2020, therefore they do not need to re-submit applications. It should be noted that employers or taxpayers who have been approved to obtain taxation incentives in accordance with PMK 23/2020, then they still entitled to enjoy the tax incentives. However, they must submit the realization reports based on the provisions under PMK 44/2020.

3) Implementing Regulation for Corporate Income Tax Reduction

As follow-up to implement the provisions regarding Corporate Income Tax reduction as regulated in

Government Regulation in Lieu of Law Number 1 of 2020 on State Financial Policy and Financial System

Stability for Mitigation of the COVID-19 Pandemic (“Perppu 1/2020”), then, on April 21, 2020, Directorate

General of Tax issued Regulation of the Director-General of Tax Number PER-08/PJ/2020 of 2020 on the

Calculation of Income Tax Installments for the Current Tax Year in Relation to the Adjustment of Income

Tax Tariff for Corporate Taxpayers (“DGT Regulation 08/2020”).

Under DGT Regulation 08/2020, the calculation of the amount of Article 25 PPh Installment for each month due

to the adjustment of income tax tariff for corporate taxpayers applies for:

General Taxpayers; and

Taxpayers with Periodic Financial Statement Obligations, including:

a. Banks;

b. State-Owned Enterprises;

c. Regionally-Owned Enterprises;

d. publicly listed Taxpayers; and

e. other Taxpayers that are required to make periodic financial statements based on the provisions

of laws and regulations.

The adjustment of income tax tariff which is implemented over taxable income for domestic Corporate

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Taxpayers and permanent establishments shall become:

22% (twenty-two percent), which applies on the 2020 Tax Year and 2021 Tax Year; and

20% (twenty percent), which starts to apply on the 2022 Tax Year.

Domestic Taxpayers that meet the below criteria can obtain a reduction of Income Tax tariff amounting to 3%

(three percent) lower than the Income Tax tariff:

Domestic Taxpayers are in the form of Publicly-Traded Company (Perseroan Terbuka);

Domestic Taxpayers have a total number of shares which are traded in a stock exchange in Indonesia of

at least 40% (forty percent); and

Domestic Taxpayers meet certain requirements.

Therefore, the Income Tax tariff for said Domestic Taxpayers shall become:

19% (nineteen percent), that applies in the 2020 Tax Year and 2021 Tax Year; and

17% (seventeen percent), that starts to apply on the 2022 Tax Year.

4) Tax Holiday To support the achievement of development targets while remaining adaptive in facing economic risks after the dynamics of economic and political uncertainty in 2019, on February 17, 2020, the Indonesia’s Minister of Finance, Mrs. Sri Mulyani announced 18 (eighteen) sectors that could submit tax holidays directly to the Indonesia Investment Coordinating Board (BKPM). For information, the 18 (eighteen) sectors, namely the pioneering industry which includes:

1. the upstream base metal industry; 2. oil and gas refining or refining industry; 3. petrochemical industry based on oil and gas and coal; 4. organic basic chemical industry sourced from agricultural, plantation or forestry products; 5. basic inorganic chemical industry; 6. the main pharmaceutical raw material industry; 7. industrial manufacturing of irradiated, electromedical or electrotherapy equipment; 8. machine manufacturing industry and main engine components; 9. the industry makes major components of electronic / telematics equipment such as semoconductor

wafers, backlights for Liquid Crystal Display (LCD), electrical drivers or displays; 10. industrial robotics manufacturing components supporting manufacturing machinery manufacturing; 11. industrial manufacturing of main components of electric power generation machines; 12. motor vehicle manufacturing industry and major components of motor vehicles; 13. ship's main component manufacturing industry; 14. the main components of the railroad manufacturing industry; 15. the industry of making the main components of an aircraft, and aerospace support activities; 16. processing industries based on agricultural, plantation or forestry producing pulp; 17. economic infrastructure; and 18. digital economy includes data processing, hosting, and activities related to it.

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*It should be noted that this is still in the form of announcement issued by the Indonesia’s Minister of Finance, so far there has been no form of regulation issued.

5) Income-Tax Facilities in Relation to the Handling of COVID-19

In order to provide a number of Income Tax (“PPh”) facilities to various stakeholders who have assisted the government during the handling of the ongoing COVID-19 pandemic, the Indonesian government issued Government Regulation No. 29 of 2020 on Income-Tax Facilities in Relation to the Handling of COVID-19 (“PP 29/2020”), which came into force on June 10, 2020. Various types of income tax facilities are given to certain taxpayers, as follows: Domestic taxpayers who produce medical devices Domestic taxpayers who produce any medical devices and/or household products for the purpose of handling the Corona Virus Disease 2019 (“COVID-19”) pandemic may obtain additional reductions in net income of up to 30% of any costs that are incurred up to 30 September 2020 and which are charged at the same time and in the same tax year that the relevant costs are incurred. Taxpayers who make donations Taxpayers who make donations in the form of money, goods, services and/or asset utilization without receiving any compensation to the following Organizers:

The National Disaster Mitigation Agency (BNPB);

The Regional Disaster Mitigation Agency (BPBD);

The Ministry of Health;

The Ministry of Social Affairs; or

Other organizers collecting donations. Donations that may reduce gross incomes. This facility can be granted if the following requirements have been met:

Supported by a donations receipt; and

Received by organizers that have secured Taxpayer Identification Numbers (NPWP). Individual taxpayers who are working in the health sector Additional income from the government in the form of honoraria or other benefits received or obtained by individual taxpayers who are human resources working within the health sector and who are assigned to handle COVID-19 will be subject to the withholding of Article-21 PPh at a final rate of 0% of total gross income received or obtained prior to 30 September 2020. Taxpayers who lend their land, buildings or other assets to the government Income in the form of compensation and indemnity for the use of assets. This facility will be subject to a 0% final PPh. Share buybacks which are traded through the exchange Domestic taxpayers who:

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Publicly-traded companies;

Have a total number of shares traded via the Indonesia stock exchange amounting to at least 40%; and

Meet certain requirements (i.e. the shares concerned must be owned by at least 300 parties, each party may only own shares which amount to a maximum of 5% of the total amount of shares issued and fully stored shares)

may enjoy tariffs that are 3% lower than the rates which were originally determined under Law No. 2 of 2020 on the Stipulation of Regulation of the Government in Lieu of Law Number 1 of 2020 on State Financial Policies and Policies Aimed at Maintaining the Stability of the Financial System during the COVID-19 Pandemic.

C. Financial Authority

1) Financial Services Stimulus On March 16, 2020, The Indonesian Financial Services Authority (OJK) issued Regulation of OJK Number 11/POJK.03/2020 concerning The National Economic Stimulus as a Countercyclical Policy Impact of The Spread of Coronavirus Disease 2019 (POJK Stimulus Impact COVID-19). This regulation stated that the development of the spread of coronavirus disease 2019 (COVID-19) has a direct or indirect impact on the performance and capacity of debtors including micro, small and medium business debtors, thus potentially disrupting banking performance and financial system stability which can affect economic growth. Therefore, to encourage the optimization of the banking intermediary function, maintain financial system stability, and support economic growth, an economic stimulus policy is needed as a countercyclical impact of the spread of COVID-19. The main points in POJK Stimulus Impact COVID-19 include:

a. This POJK applies to BUK, BUS, UUS, BPR and BPRS. b. Banks can implement policies that support economic growth stimulus for debtors affected by the

spread of COVID-19, including MSME debtors, while still observing the precautionary principle. c. Debtors affected by the spread of COVID-19, including MSME debtors, are debtors who have

difficulty fulfilling obligations to the Bank because debtors or business debtors are directly or indirectly affected by the spread of COVID-19 in the economic sectors including tourism, transportation, hospitality, trade , processing, agriculture and mining.

d. The intended stimulus policy consists of:

Assessment of credit quality / financing / provision of other funds only based on the accuracy of payment of principal and / or interest for credit / financing / other fund provision with a ceiling of up to Rp. 10 billion; and

Improving the quality of credit / financing becomes smooth after being restructured during the validity period of POJK. The terms of this restructuring can be applied by the Bank regardless of the credit / financing ceiling limit or type of debtor.

e. The method of credit / financing restructuring is carried out as stipulated in OJK regulations regarding asset quality assessment, among others by:

decrease in interest rates;

extension of the term;

reduction of principal arrears;

reduction of interest arrears;

addition of credit / financing facilities; and / or

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conversion of credit / financing to Temporary Equity Participation. f. Banks can provide credit / financing / provision of other new funds to debtors who have received

special treatment in accordance with this POJK by determining the quality of credit / financing / provision of other funds carried out separately from the quality of credit / financing / provision of other previous funds.

g. The Bank submits periodic reports on the application of this POJK for Supervisor monitoring since the position data at the end of April 2020.

h. POJK Stimulus Impact COVID-19 came into force since the enactment until March 31, 2021.

2) Financial Sector Policy in Perppu 1/2020

To maintain financial system stability, President Joko Widodo issued Government Regulation in Lieu of Law Number 1 of 2020 on State Financial Policy and Financial System Stability in Relation to the Handling of Coronavirus 2019 (COVID-19) Pandemic (“Perppu 1/2020”), which came into force on March 31, 2020. Perppu 1/2020 stipulates additional authority from the Central Bank of Indonesia (Bank Indonesia - BI), the Indonesia Deposit Insurance Corporation (Lembaga Penjamin Simpanan - LPS), and the Indonesia Financial Services Authority (Otoritas Jasa Keuangan - OJK) to support the implementation of the Financial System Stability Committee (Komite Stabilitas Sistem Keuangan - KSSK) authority in the framework of handling financial system stability issues, as follows:

Central Bank of Indonesia (BI) a. Granting short-term liquidity loans or short-term liquidity financing based on sharia principles to

systemic and non-systemic banks.

b. Granting Special Liquidity Loans to systemic banks that are experiencing liquidity crisis and do not meet the requirements for providing short-term liquidity loans or short-term liquidity financing based on sharia principles.

c. Purchase long-term Government Bonds and / or Government Sharia Bonds within the primary market for handling financial system problems that endanger the national economy, including Government Bonds and / or Government Sharia Bonds issued for specific purposes, especially in the context of the COVID-19 pandemic.

d. Purchase/repurchase of state securities owned by the LPS for the cost of handling the solvency problems of systemic and non-systemic banks.

e. Regulates the obligation to receive and use foreign exchange for residents, including provisions concerning the transfer, repatriation and conversion of foreign exchange in order to maintain macroeconomic and financial system stability, which will be regulated by the Regulation of the Bank of Indonesia (Peraturan Bank Indonesia - PBI).

f. Providing funding access to corporations / private entities through the repurchase of government bonds or state sharia securities owned by corporations / private sector through banks.

Indonesia Deposit Insurance Corporation (LPS)

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a. Preparations for the handling of the crisis and increasing the intensity of joint-preparations with the OJK for handling bank solvency issues.

b. Take action:

Sale / repurchase of Government Securities owned by the BI;

Issuance of debt securities;

Issuance of loans to other parties; and/ or

Issuance of loans to the Government, in the event that the LPS is expected to experience liquidity crisis for handling failed banks;

c. Making a decision to make or not save a bank other than a Systemic Bank which is declared a failed

bank by considering, among others, economic conditions, the complexity of bank problems, the need for handling time, the availability of investors, and / or the effectiveness of handling bank problems and not only considering the estimated costs the lowest (least cost test).

d. Formulate and implement a deposit guarantee policy for a group of customers by considering the source of funds and / or deposit allocation, as well as the amount of value guaranteed for those groups of customers that is regulated by the Government Regulation. Further provisions regarding the implementation of the authority of the LPS in the framework of implementing measures to deal with financial system stability issues are regulated by the Government Regulation. Under the Perppu 1/2020, the Government is granted the authority to provide loans to the LPS, which is carried out in the event that the LPS experiences liquidity problems that endanger the national economy and financial system as a result of the COVID-19 pandemic.

Indonesia Financial Services Authority (OJK) a. Provide written orders to financial service institutions to conduct mergers, consolidations,

expropriations, integration and / or conversions.

b. Determine exemptions for certain parties from the obligation to carry out the transparency principle within the capital market in the context of preventing and handling financial system crisis.

c. Set the provisions regarding the use of information technology in holding General Meeting of Shareholders or other meetings based on the provisions of the legislation that must be carried out by the financial service industry players.

Further provisions regarding the implementation of the authority of the Financial Services Authority in the framework of implementing financial system stability policies are regulated by the OJK Regulation (Peraturan OJK).

Any activities which violate the authorities of the OJK as mentioned above will be subject to criminal sanctions, as follows:

For individual persons: Minimum terms of imprisonment of four years and maximum fines of IDR 10 billion or minimum terms of imprisonment of 12 years and maximum fines of IDR 300 billion; and

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For corporations: Minimum fines of IDR 1 trillion.

3) OJK issued Implementing Regulation on Written Order for Handling Bank Issues

In order to carry out the provision in Article 23 paragraph (2) of Government Regulation in Lieu of Law Number 1 of 2020 on State Financial Policy and Financial System Stability for Mitigation of the COVID-19 Pandemic (“Perppu 1/2020”), the Indonesia Financial Services Authority (“OJK’) issued Regulation of OJK No. 18/POJK.03/2020 on Written Order for Handling Bank Issues (“POJK 18/2020”), which came into force on April 21, 2020. The scope of POJK 18/2020 applies to Banks, namely Conventional Commercial Banks (“BUK”), Sharia Commercial banks (“BUS”), Conventional Rural Banks (“BPR”), Sharia Rural Banks (“BPRS”), and Branch Offices of Banks domiciled overseas. POJK 18/2020 addresses the following matters:

Bank Criteria Based on OJK Assessment

In handling bank issues, the OJK is authorized to give written orders to banks to:

a. conduct Merger, Consolidation, Acquisition, and/or Integration for banks that meet the following

criteria:

• Banks which based on the assessment of the OJK, are experiencing financial problems that

can disrupt business continuity or are deemed incapable of dealing with current or future

pressures; and/or

• Banks with controlling shareholders who do not have the ability to make efforts to

strengthen the Bank.

b. accept Merger, Consolidation, Acquisition, and/or Integration for banks that meet the following

criteria:

• The bank health level of BUK or BUS after receiving Merger, Consolidation, Acquisition,

and/or Integration, the lowest Composite Rating 3 (PK-3);

• BPR's bank health level after receiving the Merger or Consolidation, the lowest is Fairly

Healthy; or

• The bank health level of BPRS after receiving Merger or Consolidation, the lowest Composite

Rating 3 (PK-3).

Corporate Action Plan as Follow-up Written Order

• Banks that are given Written Orders must compile an action plan to follow-up on the Written

Orders, which at least contain a series of processes and timelines for Merger, Consolidation,

Acquisition, and/or Integration until it become effective, as stipulated in the applicable OJK

regulations.

• Banks that are given Written Orders convey information on the progress of the implementation of

the action plan to the Financial Services Authority.

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• Banks that are given Written Orders must carry out and maintain the smooth Merger,

Consolidation, Acquisition, and/or Integration process in accordance with the action plan.

Procedures of Merger, Consolidation, Acquisition, and/or Integration

Requirements and procedures for Merger, Consolidation, Acquisition, and/or Integration are carried out in

accordance with the relevant OJK regulations, unless otherwise stipulated in this POJK 18/2020, as follows:

a. The Bank may make a summary announcement of the draft Merger, Consolidation, Acquisition,

and/or Integration in the Indonesian language daily newspaper and its details on the Bank's

website;

b. Banks can hold RUPS and/or other meetings related to the Merger, Consolidation, Acquisition,

and/or Integration process through face-to-face online;

c. In the event that the GMS and/or other meetings are held through face-to-face online, the Bank

must determine the location of the GMS and/or other meetings related to the Merger,

Consolidation, Acquisition, and/or Integration process in the territory of the Republic of Indonesia;

d. Implementation of clarification for Fit and Proper Test for candidates of controlling shareholders,

board of directors, and board of commissioners (“Main Parties”) of the Bank resulting from the

Merger, Consolidation, Acquisition, and / or Integration, conducted through face-to-face online;

e. Submission of documents and/or administrative requirements in the licensing process and/or

reports on the implementation of the Merger, Consolidation, Acquisition, and/or Integration can

be done by the Bank through official e-mail addressed to the OJK, in the case of the licensing and

reporting system of the OJK is not yet available;

f. Banks are required to administer documents and administrative requirements that have submitted

online to the OJK;

g. Banks are required to submit documents related to Merger, Consolidation, Acquisition, and/or

Integration without attaching a permit application for Merger, Consolidation, Acquisition, and/or

Integration.

Share Valuation and Conversion

The Bank that will conduct and the Bank that receives the Merger, Consolidation, Acquisition, and/or

Integration can consider the share valuation and conversion agreement based on:

• fair market value; or

• the results of the Bank's internal assessment or an independent third party assessment.

In the event that there is no agreement reached, the share valuation and conversion shall be determined

based on a reasonable valuation from the Bank that receiving the Merger, Consolidation, Acquisition,

and/or Integration.

Exception for Conventional and Sharia Commercial Banks

BUK or BUS given Written Orders to conduct or accept Merger, Consolidation, Acquisition, and / or

Integration, can be exempted from the provisions regarding:

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sole ownership in Indonesian banking;

ownership of commercial bank shares; and / or

the deadline to meet minimum core capital, as stipulated in the OJK regulation concerning

consolidation of commercial banks.

Exception for Conventional and Sharia Rural Banks

In the event that BPB or BPRS given a Written Order is located within a province that borders directly, then

the office network of said BPR or BPRS can still be maintained in accordance with the existing office

network.

Exception for Banks with Status as Public Companies

Banks with status as public companies that are given a Written Order to conduct or accept a Merger,

Consolidation, Acquisition, and/or Integration can be exempted from the obligation regarding openness

with the approval of the OJK.

Sanctions in the Corporate Action Plan as Follow-up Written Order

Banks and/or Main Parties of Banks that do not implement the provisions on Corporate Action Plan as

Follow-up Written Order will be subjected to administrative sanctions in the form of a warning letter. In

the event that the Bank and/or Main Parties of Banks have been subjected to administrative sanctions and

still does not implement the provisions, then:

a. Banks are subject to sanctions in the form of:

• for BUK will be determined as BPR or BPRS based on the decree of the OJK.

• for BUS, it will be determined as BPRS based on the decree of the OJK.

• for BPR or BPRS, some business activities will be suspended.

b. The main parties of the Bank may be subject to sanctions in the form of:

prohibition as the Main Parties of Banks in accordance with prevail OJK regulations.

Sanctions in the Procedures of Merger, Consolidation, Acquisition, and/or Integration

Banks and/or Main Parties of Banks that do not carry out the provisions as referred to above in letter f

and/or letter g are subject to sanctions in the form of:

a. For Banks: warning letter;

b. For Main Parties of Banks: prohibition as the Main Parties of Banks in accordance with prevail OJK

regulations.

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D. Export

1) Temporary Export Ban for Antiseptic, Mask Raw Material, Personal Protective Equipment, and Masks

The Ministry of Trade issued Regulation of Minister of Trade Number 34 of 2020 on Second Amendment to Regulation of Minister of Trade Number 23 of 2020 on Temporary Export Ban for Antiseptic, Mask Raw Material, Personal Protective Equipment, and Masks (Regulation 34/2020), which came into force on April 1, 2020 and retroactively effective since March 18, 2020. With the issuance of Regulation 31/2020, Exporters are temporarily banned from exporting:

Tariff Post Description of Goods

A 22.07

Non-denatured ethyl alcohol with an alcohol content of 80% or more by volume; ethyl alcohol and other alcohols, denatured at any level.

2207.10.00

Non-denatured ethyl alcohol with an alcohol content of 80% or more by volume

2207.20 Ethyl alcohol and other alcohols, denatured at any level

2207.20.11 Ethyl alcohol with an alcohol content exceeds 99% by volume

2207.20.19 Etc.

2207.20.90 Etc.

B

30.04

Medicine (not including goods of tariff post 30.02, 30.05 or 30.06) consist of mixed products or not for therapeutic or prophylactic purposes, prepared in certain doses (including in the form of a transdermal distribution system) or in the form or package for retail sale.

3004.90 Etc.

Ex.3004.90.30 Antiseptic hand rub, hand sanitizer and the like which are alcohol based

C

38.08

Insecticides, rodenticides, fungicides, herbicides, anti-sprouting products and plant growth regulators, disinfectants and similar products, prepared in the form or package for retail sale or as preparations or goods (for example ribbons, wicks and candles processed with sulfur, and fly paper ).

3808.94 Disinfectant

Ex.3808.94.10

Hand rub, hand sanitizer and the like contain a mixture of coal tar and alkali acids

Ex.3808.94.20 Hand rub, hand sanitizer and the like in aerosol packaging

Ex.3808.94.90

Hand rub, hand sanitizer and the like other than those containing a mixture of coal tar and alkali acids, and not in aerosol packaging

D 56.03

Nonwovens, whether or not impregnated, coated, covered, laminated or not.

Ex.56.03.11.00

Non-woven meltblown nonwoven fabric is made from artificial filaments weighing not more than 25 g / m2

Ex.56.03.91.00

Non-woven meltblown nonwoven fabric made from materials other than artificial filaments weighing not more than 25 g / m2

E 62.10

Garments, made from fabrics of tariff post 56.02, 56.03, 59.03, 59.06, or 59.07.

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6210.10 Made from fabrics of tariff post 56.02, 56.03

Ex.6210.10.19 Medical protective clothing

F 62.11 Track suits, ski suits and swimwear; other garment

6211.43 From man-made fibers:

6211.43.10 Surgical Wear.

G 63.07 Other finished goods, including clothing patterns.

6307.90 Etc:

6307.90.40 Surgical mask.

Ex.6307.90.90 Other masks of nonwoven material, besides surgical masks.

This temporary export ban is valid until June 30, 2020. Furthermore, Exporters who violate the provisions will be subject to sanctions in accordance with the prevailing regulations. In necessary conditions, the Minister of Trade can determine an exemption to the provisions in this regulation, which is carried out after coordination with the relevant ministries or non-ministerial government institutions. To obtain an exemption, the Exporter must submit an application electronically to the Director-General of Foreign Trade through http://inatrade.kemendag.go.id.

E. Import

1) Exemptions of Customs and Excise for Import Goods Related to COVID-19 Countermeasures

The Directorate General of Customs and Excise (DJBC) of the Ministry of Finance, together with the National Disaster Management Agency (BNPB), have set a joint Standard Operational Procedure to accelerate the import of goods in response to the COVID-19 pandemic. This is regulated in BNPB Decree Number 01/ BNPB/2020 and DJBC Decree Number 113/BC/2020 which came into force on March 20, 2020, and will last until the end of certain emergency situations as determined by the government. The ease of the import of goods relates to COVID-19 countermeasures in the form of exemption from import customs and excise, Value Added Tax (PPN) and/or Sales Tax on Luxury Goods (PPnBM), 22 Import Income Tax (PPh 22), and also import procedure (Tata Niaga Impor) for individuals/private companies that import for commercial activities. Goods related to COVID-19 countermeasures are all items recommended by BNPB including - as mentioned by Minister of Finance Mrs. Sri Mulyani Indrawati in a press conference about APBN on March 18, 2020 - medical devices, Personal Protective Equipment, masks, and hand sanitizer. This import facility can be used by the State Government, Local Government (Pemda), Public Service Agency (BLU) in scheme A, foundations or non-profit institutions in scheme B, and individuals/private parties in scheme C. Moreover, individuals/private parties that import for commercial activities shall follow scheme D. The provisions for each scheme as follows: Scheme A First, the Central Government, Local Government and BLU submit an application for an exception recommendation to the National Disaster Management Agency (BNPB) for imported goods subject to the provisions of the import trading system.

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Secondly, BNPB issues a letter of recommendation for the exclusion of import trading systems. Third, the Ministry/Institution (K/L) submits an application to the Regional Office of the DJBC of the Entry point in accordance with the Regulation of the Minister of Finance (PMK) 171 / PMK.04 / 2019. Fourth, the issuance of the Exemption (SKMK). The fourth step is carried out before the goods arrive. After the goods arrive, or the fifth step, the applicant must submit the Goods Import Notification document (PIB) by filling in the number and date of the SKMK, the number and the date of the recommendation of the BNPB in the case of being subjected to the provisions of the import trading system. Sixth, goods are removed from the port of entry. Scheme B First, the foundation or non-profit organization submits a request for recommendation of exemption from import duty and / or excise as well as an exemption to BNPB for imported goods subject to the provisions of the import trading system. Second, BNPB issues a letter of recommendation for exemption from import duty and / or excise as well as an exception to the provisions of the import trade system. Third, the foundation or non-profit organization submits an application to the Director of Customs Facilities in accordance with PMK 70 / PMK.04 / 2012. The fourth to sixth steps are the same as scheme A. Scheme C This applies to individuals / private entities that import for non-commercial purposes. Applicant(s) may receive the import facilities by proving the gift certificate that the goods are granted to government agencies through BNPB or non-profit foundations / institutions. If the goods are donated to BNPB as the government, BNPB will submit an application in accordance to scheme A. If the goods are donated to a non-profit foundation / institution, the non-profit foundation / institution submits an application in accordance with scheme B. These are followed the issuance of the SKMK. Which means that this is a process that must be fulfilled before the goods arrive. After the goods have arrived, submit the Goods Import Notification document (PIB) by filling in the number and date of SKMK, number and date of recommendation of BNPB in the case of being subjected to the provisions of the import trading system with BNPB or non-profit foundation / institution as the name of the owner of the goods. Then, the goods can be removed from the port of entry. Another step that needs to be taken is to submit reports on the realization of imports and distribution to BNPB in the case of donations to BNPB. Scheme D For an individual / private parties that imports goods for commercial purposes, the individual / private party cannot obtain fiscal facilities and must pay import customs, excise and / or import tax (PDRI). However, the provisions on the import procedure (Tata Niaga Impor) can be done through BNPB.

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2) Ease of Import on Medical Devices and Personal Protective Equipment

The Ministry of Trade, in cooperation with the BNPB, maintains the availability of medical devices and personal protective equipment in the midst of the outbreak of the novel corona virus (COVID-19). One of the steps taken by the Ministry of Trade is to accelerate the importation of medical devices and personal protective equipment by issuing Regulation of the Minister of Trade Number 28 of 2020 concerning the Eighth Amendment to the Regulation of the Minister of Trade Number 87 M-DAG/PER/10/2015 regarding Provisions on Importation of Certain Products. With the issuance of this regulation, the Ministry of Trade provide relaxation of the importation of medical equipment and personal protective products. The relaxation of imports provided is an exception to the provisions of the Surveyor Report (LS) in the country of origin or the port of loading and restrictions on the port of entry so that the import of these products does not require any licensing. This relaxation will be given until June 30, 2020. The shipment of certain products only needs to be proven by the Bill of Loading (B/L). The types of goods that are excluded from the LS provisions are:

Room air freshener preparations containing disinfectants or not; Paper and tissue, impregnated or coated with deodorizers or cosmetics; Antiseptic products containing soap or not; Stocking for varicose sufferers, from synthetic fibers; Medical protective clothing; Clothing used for protection from chemicals or radiation); Surgical clothing; Examination gowns made from man-made fibers; Surgical masks; Other masks made of nonwoven material, other than surgical masks; Infrared thermometer; and Sanitary towels, sanitary tampons, baby diapers and similar articles of material other than textile,

paper or pulp for disposables.

This regulation is a follow up to the issuance of Presidential Decree No. 9 of 2020. Through the Presidential Decree, Indonesian President Joko Widodo stipulates that the import of goods used for handling COVID-19 get special treatment in import regulations.

F. Investment 1) Ease of Business Licensing for Medical Device Industry and Pharmaceutical Industry

In order to support the Indonesian government policy to prevent the COVID-19 outbreak in Indonesia, the Head of Indonesia Investment Coordinating Board (BKPM), Mr. Bahlil Lahadalia issued Decree of the Head of Indonesia Investment Coordinating Board (BKPM) Number 86 of 2020 on Providing of Ease of Business Licensing for Certain Business Fields Related to Handling of the COVID-19 Outbreak (Decree 86/2020).

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Under the Decree 86/2020, certain business fields related to the COVID-19 outbreak include the medical device industry and the pharmaceutical industry. Therefore, for the said business fields are granted the ease of business licensing in the form of:

a. reduction and/or facilitation of business licensing requirements; b. acceleration on the business licensing process; and c. special assistance services.

Decree 86/2020 shall come into force from April 1, 2020 until COVID-19's emergency response status is declared to end based on the Decree of the Head of National Disaster Management Agency.

2) The Investment Command & Guard Center (Pusat Kopi)

On March 23, 2020, in the midst of efforts to prevent the spread of COVID-19, the Head of Indonesia Investment Coordinating Board (BKPM), Mr. Bahlil Lahadalia launched the Investment Command & Guard Center (Pusat Kopi). The Pusat Kopi is intended as a command or monitoring center for decision making in support of the response of important events. Information that can be displayed in the Pusat Kopi, including social media & digital media sentiment, daily statistics on licensing requests through the Online Single Submission (OSS), Regional Investment Potential (PIR), tracking a company's licensing status (end-to-end), licensing monitoring through OSS that is being processed by other ministries or agencies, as well as investment realization. The types of licenses monitored by BKPM include company registration, Business Registration Number (NIB), Business License (IU), and Commercial Operational License (IOK). Another interesting function of the Pusat Kopi is that it can display potential investment data by region on the BKPM Regional Investment Potential (PIR) website www.regionalinvestment.bkpm.go.id. This potential can be aligned with investment realization data in Indonesia on a regular basis that also exists in the Pusat Kopi. The data of the value of this investment realization can be monitored both nationally and provincial / district / city. Then, the data can also be processed up to investment data by sector, country of origin, and business location. In addition, the Pusat Kopi has several other facilities such as presentation rooms, millennial meeting rooms, and Network Operations Center (NOC) rooms. The Pusat Kopi can also be used to conduct video conferences with BKPM representatives abroad as well as the provincial investment agency (DPMPTSP) to coordinate without face to face.

3) BKPM Issues a Letter of Support for the Visit of PT PMA Representatives and Foreign Experts during the COVID-19

On June 11, 2020, the Investment Coordinating Board (“BKPM”) issued the Announcement Number 8 of 2020 on Submission Flow of the Issuance of Letter of Support for the Visit of Foreign Investment Limited Liability Company (“PT PMA”) Representatives and/or Foreign Experts during the COVID-19 (“BKPM Announcement 8/2020”). Based on this announcement, a PT PMA in Indonesia can submit an application to BKPM in the event of a visit from a representative of the company and/or foreign experts from abroad. After fulfilling the requirements, BKPM will verify and then issue a Letter of Support. Further, a Letter of

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Support will be submitted by BKPM to the relevant agencies and can also be taken by the company in the administration section of BKPM. Application Documents The company/applicant submits an Application Document for Visiting Company Representatives and/or Expert TKA in hardcopy to the BKPM Administration (BKPM Office, Ismail Saleh Building 2nd Floor, Jl. Gatot Subroto Kav. 44, South Jakarta) which contains:

Application documents addressed to the Head of BKPM.

The application document is signed by the highest leadership in the company (President Director/Managing Director/Director/CEO).

Submitting contact person/person in charge of application documents (mobile number).

Deliver the purpose of bringing in company representatives and/or expert foreign workers during the COVID-19 pandemic.

Deliver details of the implementation of investment activities (total investment, project location).

Delivering an Indonesian Manpower Absorption Plan.

Submitting data on the list of company representatives and/or TKA experts that contain the name, passport number, nationality, position and/or position in accordance with applicable law.

Willing to meet the provisions of the COVID-19 Health Protocol. then a receipt will be given for the application document received. The Issuance Process

BKPM Administration shall record the application documents in the incoming mail agenda data and store the official script files in hardcopy form by verifying the requirements above.

BKPM Administration will return the application documents upon verification of application documents that do not meet the above requirements to the company/ applicant.

BKPM Administration shall forward the application documents in hardcopy form to the BKPM Chief Administration if it is in accordance with the above requirements.

Administration Section of the Chairman of BKPM submits application documents in the form of softcopy and hardcopy to obtain disposition from the Chairman of BKPM and forward it to the BKPM Evaluation Team.

BKPM Evaluation Team verifies application documents.

BKPM Evaluation Team will contact the person in charge and return the application documents if they do not meet the above requirements.

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BKPM Evaluation Team processes the preparation of a Letter of Support in the form of a complete hardcopy, and submits said letter to be signed by the BKPM Official (Deputy for Investment Climate Development on behalf of the Head of BKPM).

The signed Letter of Support is then submitted to the relevant agencies by the BKPM Evaluation Team and archived by the BKPM Administration.

Letters of Support in the form of copies can be taken by the company/applicant in the BKPM Administration.

G. Manpower

1) Manpower Policy on Wage Protection for Employee Related to the COVID-19 pandemic

The pandemic has forced employers to send their employees to work from home. With work efficiency decreasing, you are wondering how the Manpower Policy on the wage protection. Before jumping on the explanation, let’s go back to 1998. During 1998, many companies experienced difficulties in connection with the monetary crisis. As an effort to save the company, many took the action to temporarily lay off employee. In response to this action, the Ministry of Manpower issued the Circular Letter Number SE-05/M/BW/1998 regarding Employee Wage Lay Off for Non-Termination Reason, issued on 30th June 1998, with the following stipulations on wages:

1. Employers continue to pay wages in full, in the form of basic wages and fixed benefits as long as employees are temporarily laid off, unless otherwise stipulated in a work agreement, company regulations, or collective employment agreement.

2. If the employer will pay the employee’s wages not in full amount, the company shall negotiate with the union and/or the employees regarding the amount of wages for the time being lay off and the length of lay off time.

3. If negotiations through an intermediary doesn’t reach any agreement, an immediate recommendation letter shall be issued. If the recommendation is rejected by one or both of the disputing parties, then the problem should be immediately submitted to the Regional Manpower Dispute Resolution Committee (Panitia Penyelesaian Perselisihan Perburuhan Daerah/P4 Daerah), or to the Central Manpower Dispute Resolution (Panitia Penyelesaian Perselisihan Perburuhan Pusat/P4 Pusat) for Mass Layoffs.

Same spirit also shown during the COVID-19 pandemic, the Ministry of Manpower issued Circular of the Minister of Manpower Number M/3/HK.04/III/2020 concerning Employee/Labor Protection and Business Continuity in the Context of Prevention and Control of COVID-19. This Circular shall be the basis for the employer to give wage to the employee. Aside the points requested to the Governors on the prevention and control of the virus, the Governor are also requested to do the wage control as follow:

a. For employees / laborers who are categorized as People in Monitoring (Orang Dalam Pengawasan/ODP) COVID-19, based on the doctor's statement so that they cannot enter work for a maximum of 14 days or according to Ministry of Health standards, then the wages are paid in full.

b. For employees / laborers who are categorized as suspected COVID-19 cases and are quarantined / isolated according to doctor's statement, the wages will be paid in full during the quarantine / isolation period.

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c. For employees / laborers who do not come to work due to illness caused by COVID-19 and proven by the doctor's statement, the wage is paid according to statutory regulations.

d. For companies that restrict business activities due to government policies in their respective regions for the prevention and control of COVID-19, causing some or all of their employees do not come to work, taking into account business continuity, changes in the amount and method of payment of employees’ wages are made in accordance with the agreement between employers and employees.

So taking into account business continuity, changes in the amount and method of payment of employees' wages are made in accordance with the agreement between the employer and the employee. This is in line with the definition of wage as stipulated by the Government Regulation Number 78 of 2015 on Wage which stated: Wages are employees' rights that are received and expressed in the form of money as return from employers or job giver for employees / laborers which are determined and paid according to a work agreement, deal, or statutory regulation, including benefits for employees/laborers and their families for a job and/or service that has or will be performed. For example, based on the circular letter above, employers can reduce the amount of wages that must be paid to their employees in order to continue to have enough capital to continue their business during the COVID-19 outbreak as long as there is an agreement between the employer and employee. In cased of employers do not implement the above procedure and unilaterally change the amount or method of payment of wages, for example make an installment on wages, this will open the risk of industrial relations disputes, which must be resolved in accordance with the mechanism of Law Number 2 of 2004 concerning Settlement of Industrial Relations Disputes.

2) Preparedness in Facing the Spread of COVID-19 at the Workplace In order to anticipate and minimize the impact of the spread of COVID-19 at the workplace, the Ministry of Manpower issued Circular of the Director General of Manpower Inspection and Occupational Health and Safety No. 5/193/AS.02.02/III/2020 on Preparedness in Facing the Spread of COVID-19 at the Workplace. There are immediate steps to be taken systematically and effectively as an act of preparedness for the occurrence of a pandemic, this circular appealing to the respective head of agency in charge of employment to take the following steps:

1. To provide guidance and supervision on the implementation of laws and regulations in the field of Occupational Safety and Health (K3), especially regarding the prevention of COVID-19 cases at the workplace.

2. Disseminating information to all levels of the organization and to related parties within your area for guidance and supervision regarding COVID-19 cases at work and their impact on the employment sector.

3. Record and report to relevant agencies each case reasonably suspected of COVID-19 at the workplace.

4. Oblige each Company Leader to anticipate potential COVID-19 cases at work by taking precautionary measures on hygiene behavior and health by integrating the Occupational Safety and Health (K3) program, the K3 Empowerment Committee and optimizing the function of occupational health services.

5. Register companies that have taken the actions as referred to in number 4 and 5.

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To every Company Management to: 1. Implement the provisions of Manpower Regulation Number PER.02 / MEN / 1980 concerning

the Examination of Health of Workers in the Implementation of Work Safety and Manpower Regulation Number PER.03 / MEN / 1982 concerning Occupational Health Services as part of the application of the conditions of occupational Health and Safety.

2. Encourage every company management to immediately make a preparedness plan in dealing with the COVID-19 pandemic with the aim of minimizing risks for workers and business continuity by taking actions including: a. Increased manager-level awareness in order to apply preparedness to possibilities of the

onset of the COVID-19 pandemic; b. Anticipating an attendance rate of 30% for a minimum period of 3 (three) months 1 / 2

completing the attendance percentage matrix and determining vulnerable points; c. Determining the most important parties and business activities that are vital or essential in

the framework for maintaining business continuity in the case of COVID-19 pandemic; d. Preparing a simple delegation process for granting approvals;

3. Guide workers / laborers to implement preventive measures: a. Worker education about COVID-19 (causes, symptoms, transmission and prevention); b. Maintaining cleanliness of the work environment; c. Providing access to hand washing facilities in the form of running water and liquid soap or

hand sanitizers in public areas, such as entrances, elevators, toilets etc.; d. Maintaining cleanliness of the hands, especially before touching mouth, nose and eyes as

well as after touching a public installation; e. Washing hands with water and liquid soap and rinse for at least 20 seconds; f. Covering the mouth with a tissue when sneezing or coughing and throwing the tissue in the

trash; g. If there are workers with fever symptoms (38°C) or a history of fever accompanied with one

of the symptoms of respiratory disorders, such as cough, runny nose, sore throat, tightness breathing, holding a risk factor for COVID-19, those workers shall immediately go to the nearest health facility;

h. Informing workers on duty, experiencing health problems, to use masks and seek health services locally;

i. Workers returning from outbreak areas should report to the nearest health facility as well as provide their travel history and bring a certificate of health when entering back work.

4. Prepare a company preparedness plan for dealing with the disease. 5. Coordinate with related parties taking efforts to prevent the spread of COVID-19 at the

workplace.

3) Temporary Suspension of Licensing Services for Foreign Workers

In connection with the issuance of Regulation of the Minister of Law and Human Rights Number 11 of 2020 on Temporary Ban on Foreigners from Entering the Territory of the Republic of Indonesia (“Permenkumham 11/2020”), then the Ministry of Manpower issued Circular of the Minister of Manpower No. M/4/HK.04/IV/2020 concerning Services for the Utilization of Foreign Workers in Relation to the Prevention of COVID-19 (“Circular 4/2020”), which came into force on April 8, 2020 until the COVID-19 pandemic is declared over by the Indonesian government. Under the Circular 4/2020, the Ministry of Manpower regulates the following matters:

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a. Temporary suspend all licensing services for new applications related to the utilization of foreign workers.

b. This temporary suspension is exempted for the following applications:

foreigners who will work on national strategic projects in accordance with prevailing regulations; and

foreigners who hold a stay permit that are still in the territory of the Republic of Indonesia. c. For foreign workers who are still in Indonesia and cannot return to their home countries due to entry

restrictions, then employers can still apply for their work permits extension in order to continue employing them during the COVID-19 pandemic.

4) Govt. Announces Rules for Granting of Religious Holiday Allowance in Companies during the COVID-19 Pandemic

Paying attention to the current economic conditions in Indonesia due to the COVID-19 pandemic which has an impact on business continuity and considering the workers/labors needs upon the payment of Religious Holiday Allowance (Tunjangan Hari Raya - “THR”), then it is necessary an understanding between the employers and workers/labors on this matter. Therefore, on May 6, 2020, the Indonesian government through the Ministry of Manpower issued Circular of the Minister of Manpower No. M/6/HI.00.01/V/2020 on Implementation of the Granting of Religious Holiday Allowance in Companies during the COVID-19 Pandemic (“Circular 6/2020”). Through this circular, the Minister of Manpower urges all Governors to ensure companies in their respective provinces grant a THR for their employees based on the relevant laws and regulations. If the companies are unable to grant a THR in due time, then said companies must carry out a deliberation with their employees, which is based on transparent company financial statements and good faith to agree on the following matters:

THR payment will be given gradually if the companies are unable to grant a full THR in due time;

If the companies totally unable to grant a THR in due time, then THR payment will be postponed and to be provided in other period agreed by the companies and their employees; and

The period and method of imposing fines for delayed THR payment. Further, companies must report the agreements reached between companies and their employees from the deliberation as stated above to the Agency of Manpower (Dinas Ketenagakerjaan) in their respective provinces. It should be noted that agreements regarding the period and method for payment of THR and fines do not eliminate the obligation of employers to pay THR and fines to their employees in accordance with prevail regulations, and remains to be paid in 2020.

5) Govt. Introduces New Normal Provisions within Office and Industrial Workplaces

In an effort to maintain national economic stability amid the ongoing COVID- 2019 pandemic and to prepare mitigation measures for office and industrial workplaces in connection with the new normal, the Indonesian government through the Ministry of Health issued Decree of the Minister of Health Number HK.01.07/MENKES/328/2020 on Guidelines for the Prevention and Control of COVID-19 within Office and

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Industrial Workplaces in Order to Support Business Continuity During the Pandemic Emergency (“Decree 328/2020”), which came into force on May 20, 2020. Decree 328/2020 addresses the following matters: Measures within Office and Industrial Workplaces during the PSBB Period During the PSBB period, workplaces are required to implement the following measures:

Establish a COVID-19 response team to monitor the development of the COVID-19 pandemic;

Establish rules for working from home. Meanwhile, office/industrial workplaces should also implement the following measures:

Implement body temperature checks through the use of thermometer guns;

Schedule fewer overtime hours;

Enforce the wearing of mandatory protective equipment;

Cancel any nightshifts, if possible; and

Ensure a safe and healthy workplace. Measures within Office and Industrial Workplaces during the Post-PSBB Period During the post-PSBB period, workplaces are also required to implement the following measures:

Update any COVID-19 information;

Enforce the mandatory wearing of masks;

Enforce prohibition of entry (or quarantine for workers) for any persons who exhibit COVID-19 symptoms;

Provide areas for the screening of persons with COVID-19 symptoms or isolation/quarantine areas, if required;

Implement workplace hygiene and sanitation measures;

Implement self-assessments of COVID-19 risks one day prior to the resumption of work;

Measure body temperatures prior to entry into workplaces;

Implement physical distancing;

Provide special transportation for workers, if possible; and

Ensure that health officers proactively supervise the health of workers. The COVID-19 Transmission Countermeasures within Office and Industrial Workplaces The COVID-19 transmission countermeasures that must be implemented by workplaces in the event that any employees are categorized as Asymptomatic Persons (Orang Tanpa Gejala – “OTG”), Persons under Surveillance (Orang Dalam Pemantauan – “ODP”), Patients under Supervision (Pasien dalam Pengawasan – “PDP”) or confirmed COVID-19 cases, are as follows:

Reporting and coordinating with local public health centers of health agencies in order to test any persons who are categorized as OTG and ODP;

Referral of workers designated with a PDP status to a referral hospital (the official hospital list is available at: www.covid19.kemkes.go.id);

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Implementation of epidemiology inspections among all employees of PDP status of with confirmed COVID-19 infections;

Workplaces should identify any interaction/contact which is made by employees designated with an ODP, PDP or confirmed COVID-19 status within the workplace environment;

Categorization of any employees who have had any interaction/contact with ODP, PDP or confirmed COVID-19 employees into two groups, based on the distance and intensity of their interaction/contact;

Implementation of rapid testing and self-quarantining for employees who have had any interaction/contact with ODP, PDP or confirmed COVID-19 employees;

Initiation of cleaning and disinfection regimes throughout workrooms/areas which have been contaminated by ODP, PDP or confirmed COVID-19 employees (disinfection guidelines are available at www.covid19.kemkes.go.id).

6) Work Hours during New Normal in Jabodetabek Area

In order to avoid crowds in transportation facilities and infrastructure, as well as the utilization of public facilities at certain times, the COVID-19 National Task Force issued Circular Letter of the Task Force for the Acceleration of the Mitigation of COVID-19 No. 8 of 2020 on the Arrangement of Work Hours during the New Normal Adaptation Period for a Productive Public Safe from COVID-19 within Jakarta-Bogor-Depok-Tangerang-Bekasi (“Jabodetabek”) Area (“Circular 8/2020”), which come into force on June 14, 2020. Companies operating in the Jabodetabek area are required to implement a shift work policy among their employees with a gap of at least three hours between the start of each shift work and also an employee attendance ratio of 50:50 per shift. This shift work is detailed as follows:

First shift: starting from 7.00 to 7.30 am and running until 3.00 to 3.30 pm;

Second shift: starting from 10.00 to 10.30 am and running until 6.00 to 6.30 pm. However, this working hour arrangement is excluded for the type and nature of work carried out continuously. This new shift work must be supported by the following measures:

1) Optimization of the work-from-home policy; 2) Establishment of technical operational procedures for working hours, as well as suitable

transportation infrastructure and facilities; and 3) Download and activate the Peduli Lindugi application on mobile phone devices:

Appstore: https://apps.apple.com/id/app/peduliIindungi/id1504600374

Playstore: https://play.google.com/store/apps/details?id=com.telkom.tracencare The abovementioned policy shall be implemented by companies until the current public health emergency status is revoked.

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H. Province of DKI Jakarta

1) Guidelines for Office Activities in Jakarta

On April 17, 2020, the Government of the Province of DKI Jakarta through the Agency of Manpower, Transmigration and Energy (“DISNAKERTRANS”) of the Province of DKI Jakarta has issued Decree of the Head of DISNAKERTRANS of the Province of DKI Jakarta No. 837 of 2020 on Technical Guidelines of Large-Scale Social Restrictions Implementation for Work Activities at the Office (“Decree 837/2020”). Decree 837/2020 is intended for companies domiciled in Jakarta which are included in the business sector that can still carry out work activities in the office during the COVID-19 pandemic. Therefore, the work activities are carried out under the following provisions:

The company determines the maximum number of workers in a room with regard to the minimum distance between workers in the range of 1 (one) meter;

Maximizing the use of technology to reduce direct contact between workers;

Reducing office operating hours;

Reducing the number of workers present at the office up to the minimum number of workers needed to carry out company operations;

All workers are required at all times to use personal protective equipment as needed while in the workplace environment;

The company is obliged to provide a letter of work order to workers assigned to present at the office during the period of Large-Scale Social Restrictions (“PSBB”);

Every worker who is assigned during the period of PSBB is required to bring a letter of work order, ID Card and wear company uniform for those who use it.

Further, the company must implement protocols to prevent the spread of COVID-19 at the office with reference to Article 10 paragraph (2) letter C of Regulation of the Governor of the Province of DKI Jakarta on Implementation of PSBB in Handling of the COVID-19 in the Province of DKI Jakarta. Moreover, the company required to report the PSBB implementation for work activities at the office through link: bit.ly/psbbkantor-tempatkerja It should be noted that violation to the PSBB implementation for work activities at the office may be subject to sanctions in accordance with prevail regulations. Decree 837/2020 came into force since the date of issuance until the validity period of PSBB implementation in Jakarta ends.

2) Sanctions for Breaches of PSBB in DKI Jakarta

In an effort to ensure legal certainty and the effective implementation of Large-Scale Social Restrictions (Pembatasan Sosial Berskala Besar – “PSBB”) within the area of the Province of DKI Jakarta, then Mr. Anies Baswedan, Governor of the Province of DKI Jakarta, has issued Regulation of the Governor of the Province of DKI Jakarta Number 41 of 2020 on the Implementation of Sanctions for Breaches of PSBB in Relation to the Mitigation of COVID-19 within the Province of DKI Jakarta (“Pergub DKI Jakarta 41/2020”), which came into force on April 30, 2020. The following are various sanctions that are classified based on the type of activities as well as the authorized officials to impose these sanctions.

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Type of Activities

Violation Sanctions Authorized

Officials

Outside the home

Individuals who do not wear face masks when doing activities in public places

1. Written reprimands; 2. Community service in the

form of the cleaning of public facilities (“Community Service”);

3. Administrative fines: IDR 100.000 – IDR 250.000

Municipal Police Units (Satuan Polisi Pamong Praja – “Satpol PP”), and may be accompanied by the Indonesian National Police

Public places/facilities

Individuals who form crowds of more than five persons in public places/facilities

1. Written reprimands; 2. Community Service; 3. Administrative fines: IDR

100.000 – 250.000

House of worship

Individuals who conduct any activities within house of worship.

Written reprimands

Social and cultural activities

Individuals or legal entities who hold social and cultural events which are not exempted and cause crowds

1. For individuals: Community service

2. For legal entities:

Administrative fines: IDR 5 million – IDR 10 million (for legal entities); or

Revocation of business licenses by Regional Agency of Investment and One-Stop Integrated Services (“DPMPTSP”)

School and/or educational institutions

Any Persons in Charge (PIC) of schools and/or educational institutions who violate the temporary suspensions.

Written reprimands

Restaurants activities

Restaurants that are open for reasons other than takeaway deliveries.

1. Temporary suspension of activities in the form of sealing restaurants/hotels and similar businesses; and

2. Administrative fines: IDR 5 million – IDR 10 million

Hotels activities

Hotels that keep opening certain facilities which can cause crowds of people

Businesses that are not exempted

Managements of workplaces that are not exempted which violate temporary suspension orders

1. Temporary suspension of activities in the form of sealing workplaces; and

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2. Administrative fines: IDR 5 million – IDR 10 million

Regional Agency of Manpower, Transmigration and Energy (Dinas Tenaga Kerja, Transmigrasi, dan Energi – “DISNAKERTRANS”)

Exempted Businesses

Managements of exempted workplaces which violate the implementation of the mitigation protocol for the spread of COVID-19.

1. Written reprimands; and 2. Administrative fines: IDR

25 million – IDR 50 million

Private cars passengers who violate the provisions on cars not having occupancies of more than half of their passenger capacities and/or the obligation for passengers to wear face masks inside their cars

1. Administrative fines: IDR 500,000 – IDR 1 million;

2. Community service; or 3. Impounding of vehicles

Satpol PP, and may be accompanied by officers of Regional Agency of Transportation (Dinas Perhubungan – “DISHUB” and the Indonesian National Police

Private motorcycles

Motorcyclists who carry passengers whom they do not share a house with and who do not wear face masks.

1. Administrative fines: IDR 100,000 – IDR 250,000;

2. Community service; 3. Impounding of vehicles Application-

based motorcycle transport drivers (“Ojek Online”)

Ojek Online who transports passengers.

Public transportation businesses

Public transportation businesses that violate provisions on operational hours, the 50% capacity passenger and/or the obligation to wear face masks for passengers

1. Administrative fines: IDR 100,000 – IDR 500,000;

2. Community service; 3. Impounding of vehicles

3) The Governor of DKI Jakarta Regulates Travel Restrictions to Enter and Exit Jakarta Area

In order to increase preparedness and prevent the emergence of new cases of COVID-19, the Governor of the Province of DKI Jakarta, Mr. Anies Baswedan, has just issued Regulation of the Governor of the Province of DKI Jakarta Number 47 of 2020 on Travel Restrictions for Leaving and/or Entering DKI Jakarta in an effort to prevent the spread of COVID-19 (“Pergub DKI Jakarta 47/2020”), which came into force on May 14, 2020.

Travel Prohibition Provisions

Based on Pergub DKI Jakarta 47/2020, every person or business actor is prohibited from traveling outside and/or entering the area of DKI Jakarta Province during the period of Large-Scale Social Restrictions

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(Pembatasan Sosial Berskala Besar – “PSBB”). If there are people or business actors who violate these rules, then they will be subject to the following actions:

If they are domiciled in the Province of DKI Jakarta, they will be directed to return to their homes

If they are domiciled from outside the Province of DKI Jakarta, they will be directed to return to their place of origin or be quarantined for 14 days at the place designated by the relevant authorities.

Exempted Parties

However, the exceptions being granted to the following parties:

Leaders of high state institutions.

Corps of representatives of foreign countries and/or international organizations in accordance with international law.

Members of the Indonesian National Army and the Indonesian National Police.

Toll road officers.

Officers handling the prevention of the spread of COVID-19, including medical personnel.

Firefighters, ambulances and hearses.

Drivers of freight cars with no passengers.

Drivers of vehicles carrying drugs and medical devices.

Patients who need emergency health services and their companions.

Every person, business actors, or foreigners who because of their duties and work have an Entry and Exit Permit (Surat Izin Keluar/Masuk – “SIKM”).

Eligible Parties to Obtain a SIKM SIKM may be granted to the following category of person, business actors, or foreigners:

All government agencies, both national and regional.

Representative Offices of Foreign Countries and/or International Organizations.

State or Regional-Owned Enterprises that participate in handling COVID-19 and/or their business activities to fulfill the basic needs of the community.

Business actors engaged in the sector:

a. Health. b. Food and beverage. c. Energy. d. Communication and information technology. e. Finance. f. Logistics. g. Hospitality. h. Construction. i. Strategic industries. j. Basic services, public utilities and industry determined as national vital objects and certain

objects.

Local and international community organizations engaged in the disaster and/or social sector.

Procedure and Requirements for SIKM Application

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Every person, business actors, or foreigners who meet the category as mentioned above may submit a SIKM application online through the website: corona.jakarta.go.id by attaching the following requirements:

Recommendation Letter from Neighbourhood and Community Association (“RT/RW”)

Health Statement.

Letter of Statement states that working in Jakarta area (repeated SIKM).

Letter of Business Trip from the office.

Color photographs.

KTP that has been scanned.

It should be noted that falsification of letters or manipulation of Electronic Information and/or Electronic Documents may be subject to:

Article 263 of the Indonesia Criminal Code with a maximum penalty of 6 years imprisonment

Article 35 and Article 51 paragraph (1) of ITE Law No. 11 of 2008 with a maximum penalty of 12 years

Types of SIKM

Repeated trips, intended for: a. Employees, business actors, or foreigners domiciled in the Province of DKI Jakarta, but the

workplace or business place is outside the area of Jakarta-Bogor-Depok-Tangerang-Bekasi (“Jabodetabek”); or

b. Employees, business actors, or foreigners domiciled outside Jabodetabek, but the workplace or business place is in the area of Province of DKI Jakarta.

One-time trip, intended for: a. Employees, business actors, or foreigners who is on a business trip outside the area of

Jabodetabek; or b. A person or business actor domiciled outside Jabodetabek, but has:

- Residence or business place in the area of DKI Jakarta Province. - Urgent needs include travel for patients who need emergency health services or travel for

people whose main family members are seriously ill or have died.

4) DKI Jakarta Governor Introduces Provisions on PSBB Transition Phase

In order to maintain public health in their daily activities in connection with the transition phase as the Large-Scale Social Restrictions (“Pembatasan Sosisal Berskala Besar – PSBB”) are relaxed, the Government of DKI Jakarta issued Regulation of the Governor of DKI Jakarta Number 51 of 2020 on the Implementation of Large Scale Social Restrictions during the Transition Period to a Healthy, Safe and Productive Public (“Pergub DKI Jakarta 51/2020”), which came into force on June 4, 2020. Pergub DKI Jakarta 51/2020 regulates the following matters:

Implementation of Clean and Healthy Lifestyle A Clean and Healthy Lifestyle (PHBS) is to be implemented in order to mitigate the spread and infection of COVID-19 by ensuring the quality of public health and environments in which public activities occur (i.e. households, schools and/or educational institutions, houses of worship, workplaces, public facilities and

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various modes of public transportation). Individuals who live in/are domiciled in DKI Jakarta must implement the following measures: 1. Must use masks when outside home; 2. Must implement the following specific PHBS activities:

Limit outdoor activities;

Prioritize indoor activities;

Implement physical distancing with a minimum one meter’s distance being maintained between persons;

Avoid mass gatherings and activities. Further, any Persons in Charge (“PIC”) in locations in which public activities take place must carry out these steps:

Must implement certain health protocols

Must provide infrastructure and facilities capable of supporting PHBS;

Must educate the general public to take responsibility for the implementation of PSHB policy; and

Must implement internal supervisions

Improvement of Healthcare Protocols The PIC in the location of the relevant public activities will be required to implement the following measures:

Report and coordinate with Health Agencies;

Temporarily halt all activities for a period of 24 hours in order to clean and disinfect the relevant location;

Immediately undertake the cleaning and disinfection of the relevant contaminated areas;

Ensure clear air circulation if the air has been contaminated by infected workers; and

Accommodate health checks and self-isolation/quarantine among workers and/or members of the general public who have had any physical contact with any infected persons.

Transportation Controls 1. Reintroduction of the odd-even policy for two-wheeled and four-wheeled vehicles 2. A mandatory 50% maximum of total passenger capacities for public transportation vehicles and private

vehicles:

A maximum of two persons may occupy a given row within passenger cars

Mandatory use of masks and encouraging of regular handwashing which applies to both public transportation and private vehicles; and

Implementation of physical distancing and limitation on operational hours for operators of public transportation.

Workplaces The workplaces must implement the following measures:

The proportion of employees who will work at office has been set at 50% of all employees, while the other 50% will continue to work from home

Implementation of specific health protocols (e.g. mandatory use of masks, provision of handwashing and hand sanitizer facilities, implementation of body temperature checks)

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Implementation of physical distancing (with a minimum distance of 1 meter being maintained between persons)

Ensuring and maintaining the cleanliness of the relevant locations and spraying disinfectant throughout the relevant areas

Establishment and announcement COVID-19 mitigation protocol policies and a COVID-19 task force

Implementation of fluid visitor schedules and ensuring that visitors test negative for COVID-19

Prohibiting the termination of any workers who test positive for COVID-19

Proactively supervising the health of workers

Sanctions: 1. Individuals who do not wear face masks in public places:

Community service in the form of the cleaning of public facilities; or

Administrative fines amounting to IDR 250,000

2. Workplaces:

Written reprimands; or

Administrative fines amounting to IDR 25 million

5) Updated Workplace Protocol in Jakarta During New Normal

The Manpower, Transmigration and Energy Agency (Dinas Tenaga Kerja, Transmigrasi, dan Energi – “Disnakertrans”) of the Province of DKI Jakarta issued Decree of the Head of Disnakertrans No. 1477 of 2020 on Amendment to Decree of the Head of Disnakertrans No. 1363 of 2020 on the Protocol for the Mitigation and Control of COVID-19 within Office Spaces/Workplaces during the Transition Period to a Healthy, Safe and Productive Public (“Decree 1477/2020”), which came into force on June 15, 2020.

Companies are required to implement the Protocol for the Mitigation and Control of COVID-19 within their office spaces/workplaces during the ongoing transition period. The protocol comprises a total of 23 measures, which include:

1. The company's leadership forms the Company's Internal COVID-19 Task Force Team which consists of the Management, Human Resources section, Occupational Health and Safety (Kesehatan dan Keselamatan Kerja – “K3”) section, and health workers;

2. Limiting the number of workers present in offices / workplaces to a maximum of 50 percent of the total number of workers;

3. Adjust working days, working hours, shifts, and work systems to set working hours with a gap of three hours;

4. Make arrangements for the use of worker facilities in offices / workplaces to prevent crowds (religious facilities, canteens, rest areas, sports facilities, entertainment facilities, etc.);

5. All workers and guests / visitors are required at all times to use masks and other personal protective equipment as needed while in the office / workplace environment;

6. Disinfecting the work environment regularly using cleaners and disinfectants as well as maintaining the cleanliness of the work environment, especially door handles and stairs, elevator buttons, office equipment that is shared, areas and other public facilities;

7. Take measurements of body temperature at each entry point of offices / workplaces;

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8. The company is required to provide sanitary hygiene tools, including hand sanitizers in each entrance area and around the building area;

9. Provide facilities and infrastructure for washing hands or cleaning themselves with soap and running water;

10. Not doing termination of employment (PHK) and continue to provide the rights commonly received by workers who are conducting independent quarantine;

11. Conduct COVID-19 Risk Self-Assessment, one day before workers enter the office for all workers to ensure workers are not infected by COVID-19 and require guests / visitors to fill out self-determination sheets;

12. Paying attention to minimum distance between workers in at least one meter; 13. Maximize the use of technology to reduce direct contact between workers; 14. Proactively monitoring worker health; 15. Encourage workers to use private vehicles, preferably bicycles and walking; 16. Provide support facilities for workers cycling to the office; 17. Clean up the office operational vehicles; 18. Carry out contagion engineering, such as installation of barriers or glass screens for workers

serving customers, and others; 19. Provide a separate area / room for guest or visitor observation; 20. The company must provide a work order, employee card / work identity card, and office

uniform if available to the assigned worker; 21. Workplace leaders should always convey the latest information and the central

government and local government appeals and instructions related to COVID-19 in their area, and inform all workers through the most effective infrastructure and media;

22. The company provides coaching for workers who do not implement COVID-19 prevention and control protocols;

23. Stick to integrity pacts in company areas that are easy to read. 6) Travel Controls Within DKI Jakarta

With the increasing number of people traveling in and out of the DKI Jakarta Province, the Government of Province of DKI Jakarta issued Regulation of the Governor of the Province of DKI Jakarta No. 60 of 2020 on Travel Controls within the Province of DKI Jakarta to Prevent the Spread of COVID-19 (“Pergub 60/2020”), which came into force on June 24, 2020. The travel controls under Pergub 60/2020 encompass the following matters: Exit/Entry Travel Permits Exit/Entry Travel Permits (Surat Izin Keluar/Masuk – “SIKM”) are required for any persons who will travel:

From Jakarta to areas other than Bogor, Depok, Tangerang and Bekasi; or

To Jakarta from areas other than Bogor, Depok, Tangerang and Bekasi. The above requirement exempts holders of electronic identity cards (kartu tanda penduduk elektronik – “KTP-electronic”) and foreign citizens who are holders of KTP-elektronic/residency permits for Jakarta, Bogor, Depok, Tangerang and Bekasi and who travel to/from these areas. SIKM Application

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In order to secure an SIKM, the persons concerned must fill out an online form which can be found at the: corona.jakarta.go.id web portal and should also upload the following documents:

KTP-elctronic, permanent residency permit or temporary residency permit;

Passport photograph;

Corona Likelihood Metrics (CLM) test result which has resulted in a safe-to-travel status (it should be noted that this status will only remain valid for seven days and can be reactivated by updating the relevant applicant’s data via: corona.jakarta.go.id) or a RT-PCR letter stating a negative result.

SIKM Application by a Private Entity Private entities may submit their SIKM applications collectively, however, it should be noted that each person to whom the SIKM will apply will still be required to provide the various documents outlined above. Facility Organizer Organizers of the following facilities are required to check the SIKM of any users of their facilities:

Schools and/or educational institutions;

Workplaces/offices/industrial areas;

Places of trade, shopping centers/markets, places of entertainment and hotels;

Recreational/cultural facilities;

Public transportation facilities.

I. Immigration

1) Temporary Ban for Foreigner to Enter Indonesia Territory The Directorate General of Immigration Ministry of Law and Human Rights issued a Press Release on 31st March 2020 with the topic “Ministry of Law and Human Rights has issued the temporary prohibition for foreigner to enter Indonesia territory”. Within the Press Release, announce that the newly issued Ministry of Law and Human Right Regulation number 11 of 2020 on Temporary Prohibition of Foreigners Entering the Territory of the Republic of Indonesia (MoLHR Reg 11/2020) which in turn revokes the previous Ministry of Law and Human Right Regulation number 7 and 8 of 2020. The prohibition applies to all Foreigners with six exceptions:

1. Foreign Holders of Limited Stay Permits and Permanent Stay Permits;

2. Foreign Diplomatic Visa and Service Visa Holders;

3. Foreigners who hold Diplomatic Stay Permits and Official Stay Permits;

4. Medical and food aid and support workers. This is based on reason humanitarian purpose;;

5. Crews of conveyance both sea, air and land;

6. For Foreigners who will work on National Strategic Projects.

The foreigners as excluded above shall meet the following requirements: 1. The existence of a healthy certificate in English issued by health authorities of each country;

2. Has been 14 (fourteen) days in the territory / country that is free of Covid-19;

3. Statement of being prepared to be quarantined for 14 (fourteen) days implemented by the

Government of the Republic of Indonesia.

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The MoLHR 11/2020 also stipulates that for foreigners residing in Indonesia with the following arrangements:

1. Foreign Holders of Visit Permit (including a visa-free visit and Visa on Arrival) which has expired

and/or cannot be extended his residence, will be automatically given emergency stay permit without

have to submit an application to the Immigration Office, free of charge.

2. Foreigners who hold Limited Stay Permits and Permanent Stay Permits which has already expire

and/or cannot be extended anymore, will be given suspension and will be automatically given

emergency stay permit without have to submit an application to the Immigration Office, free of

charge.

This regulation will take effect on April 2, 2020, 00.00 WIB until the Covid-19 pandemic period ends as stated by the Authorized agency.

2) Granting of Entry Permit for Foreigners Regulated in Further Details

Since April 2, 2020, the Ministry of Law and Human Rights had enacted Regulation of the Minister of Law and Human Rights Number 11 of 2020 on Temporary Ban on Foreigners from Entering the Territory of the Republic of Indonesia (“Permenkumham 11/2020”) along with its implementing guidelines, namely Circular of the Director-General of Immigration Number IMI-GR.01.01-2325 of 2020 on Temporary Ban on Foreigners from Entering the Territory of the Republic of Indonesia (“Circular 2325/2020”). In the context of adjustment and harmonization to overcome obstacles in the implementation, then on May 6, 2020, the Directorate General of Immigration issued Circular of the Director-General of Immigration Number IMI-GR.01.01-2493 of 2020 on Expansion of Circular 2325/2020 (“Circular 2493/2020”). Circular 2493/2020 addresses the following matters: Provisions on Emergency Stay Permit to Enter the Territory of the Republic of Indonesia Foreigners who intend to enter the territory of the Republic of Indonesia for the purpose of family reunification may be granted an Emergency Stay Permit to Entry (Izin Tinggal Keadaan Terpaksa Masuk – “ITKT Masuk”). The criteria are as follows:

Holders of Limited Stay Permit (“ITAS”) or Permanent Stay Permit (“ITAP”) for Work/Non-Work/Investor, whose validity period has expired and are currently abroad.

Holders of ITAP for Work/Non-Work/Investor, which its Re-Entry Permit has expired. It should be noted that granting an ITKT Masuk to foreigners who meet the criteria as stated above does not automatically extend their ITAS or ITAP. The following are Immigration Checkpoints (Tempat Pemeriksaan Imigrasi – “TPI”) authorized to grant an ITKT Masuk in the form of hexagon stamp (Cap Segi Enam) without questioning the validity period of ITAS/ITAP/Re-Entry Permit:

TPI Soekarno Hatta-Jakarta;

TPI Juada-Surabaya;

TPI Ngurah Rai-Bali;

TPI Kualanamu-Medan;

TPI Hang Nadim-Batam;

TPI Batam Center-Batam; and

TPI Citra Tritunas-Batam.

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Provisions on Granting of Entry Stamp In essence, the Immigration Officials and/or Landing Check Officers at the Immigration Checkpoints will process the entry of foreigners after going through a medical examination and are deemed fit to enter the territory of the Republic of Indonesia by the Port Health Quarantine Officials. An Entry Stamp will be granted after foreigners fulfill the following requirements:

a health certificate or a fit to fly certificate in English issued by the competent authority in respective country;

statement of willingness to enter quarantine for 14 (fourteen) days that is carried out by the government of the Republic of Indonesia.

This circular stipulates that after the COVID-19 pandemic is declared over by the Indonesian government, an Entry Stamp will be given to foreigners holding any type of visas issued since January 1, 2020. Further, granting an ITAS to foreigners will be carried out at certain Immigration Checkpoints.

Procedures for Telex Visa Re-Activation

a. Telex Visa Re-activation is carried out automatically through the system after the period of COVID-19 pandemic is declared over by the Indonesian government and applies to all Telex Visas issued since January 1, 2020, has expired, and has not taken a visa at the Indonesian Representative;

b. The re-activated telex visa is valid for 60 (sixty) days after the COVID-19 pandemic is declared over by the Indonesian government;

c. For Telex Visa holders referred to in letter a, then foreigners will continue to collect their visa at the Indonesian Representative chosen at the time of submitting the application.

Procedures for Visa Re-Activation

a. Visa Re-activation is carried out automatically through the system after the period of COVID-19 pandemic is declared over by the Indonesian government and applies to all Visas issued since January 1, 2020 by the Indonesian Representative via an application of Immigration Management Information System (“SIMKIM”), has expired, and has not been used to travel to the territory of the Republic of Indonesia;

b. The re-activated visa is valid for 90 (ninety) days after the COVID-19 pandemic is declared over by the Indonesian government;

c. It should be noted that automatic visa re-activation through the system cannot be carried out for issuance of visa issued by the Indonesian Representative that have not applied a SIMKIM application.

Procedures for Guarantors of Foreign Workers For foreign workers whose telex visa or visa is issued through the re-activation procedures as mentioned above, then the guarantors of foreign workers must report the arrival of said foreign workers regarding their notification to the Directorate General of Manpower Placement and Expansion of Employment Opportunities of the Ministry of Manpower.

Procedures for Guarantors of Investors

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For investors whose telex visa or visa is issued through the re-activation procedures as stated above, then the guarantors of investors must report the arrival of said investors to the Indonesia Investment Coordinating Board (“BKPM”). Provisions for Extension of ITAS and ITAP

a. Holders of ITAS/ITAP for Work/Non-Work/Investor who are in Indonesia can be granted an extension after the end of the COVID-19 pandemic period;

b. In order to extend an ITAS/ITAP for Work/Non-Work/Investor, then the guarantors are required to take care of the requirements again in the form of a notification from the Ministry of Manpower or a recommendation from the BKPM;

c. The guarantors are also required to take care of Re-Entry Permit for ITAP holders at the Immigration Office.

3) Govt. Updates Health Protocols for Foreign Citizens Arrival

Previously, the Ministry of Health enacted the Circular of the Minister of Health Number HK.02.01/MENKES/313/2020 on the Health Protocol for Handling Returning Indonesian Citizens and Foreign Citizens Arrival from Foreign Countries at State and Regional Entrances in Situations of Large-Scale Social Restrictions (Pembatasan Sosial Berskala Besar - “PSBB”) (“Circular 313/2020”). By paying attention to the development of current conditions in Indonesia, the Indonesian government considers that Circular 313/2020 needs to be updated so that the implementation of PSBB in the areas can run optimally to be effective in preventing the spread of COVID-19. Therefore, the Indonesian government through the Ministry of Health issued Circular of the Minister of Health Number HK.02.01/MENKES/332/2020 on the Health Protocol for Handling Returning Indonesian Citizens and Foreign Citizens Arrival from Foreign Countries at State and Regional Entrances in Situations of PSBB (“Circular 332/2020”), which came into force on May 20, 2020. With the issuance of Circular 332/2020, then it revokes the Circular 313/2020. The protocols concerning foreign citizens arrival under Circular 332/2020 encompass the following matters:

Applicable Procedures

The handling of foreign citizens arrival from abroad at the national and regional entrances in PSBB areas shall be carried out by following applicable health quarantine procedures and additional health screening

in Indonesia.

The handling of Foreigners Arrivals from Abroad at the National Entrance

Socializing to foreigners to apply the principles of prevention and control of COVID-19 by conducting Physical Distancing, always wearing a mask, and applying Clean and Healthy Behavior (PHBS).

The Port Health Office doctors at the port/airport/state border post (“PLBDN”) on arrival validate the health certificates carried by foreigners. Health certificates shall be in English and valid for a maximum of 7 days from being issued by health facilities from the countries of origin.

Additional health screening, which includes: a. Interview

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b. Examination of temperature, signs and symptoms of COVID-19 c. Oxygen Saturation Check d. Rapid Test

Foreigners with Non-Reactive Rapid Test Results

Given health clearance by health workers in quarantine facilities.

Bring a Health Alert Card that has been given at the entrance.

Can continue the journey to the area of origin or destination by bringing a travel permit from the local COVID Handling Task Force 19, and always applying health protocols, including wearing masks during the trip. The trips to the area of origin can be facilitated by the government.

Conduct self-quarantine at home for 14 days, physical distancing, wear masks, and implement a Clean and Healthy Behavior (“PHBS”).

Health clearance is submitted to the representatives of their countries to be forwarded to the local regency/city health office for monitoring during the self-quarantine period.

In the event that a foreign national does not have a representative of his/her country in Indonesia or his/her destination does not have a representative office of his/her country, the foreigner reports to the local port health office at the destination, for further monitoring by the regency/city health office.

Foreigners with Reactive Rapid Test Results

For foreign citizens with reactive rapid test results, RT-PCR examination is carried out.

If specimens cannot be taken for RT-PCR examination at the entrance, specimens can be taken for RT-PCR examination at the time of entry in the quarantine place/facility by health workers, and specimens are sent to laboratories or health facilities that have RT- PCR exmination capabilities in the local area.

If a negative COVID-19 RT-PCR result is found and no disease and/or risk factors are found in the health check, they can continue their trips to the area of origin or destination by following the provisions as referred to in the section of Foreigners with Non-Reactive Rapid Test Results.

If obtained positive RT-PCR COVID-19 results: a. For foreigners who have comorbidities or have symptoms of fever and/or one of the symptoms

of respiratory disease, they must be referred to the Emergency Hospital/Referral Hospital in the local area by applying the infectious disease referral protocol.

b. For foreigners who do not have comorbidities or do not have symptoms of fever and/or do not have one of the symptoms of respiratory disease, quarantine is conducted at the quarantine place/facility.

Foreign Citizens Vessel/Aircraft Crews The aforementioned provisions also apply to the handling of Foreign Citizens Vessel Crews at the national entrance.

Vessel or Aircraft For transportation equipment found by travelers with a reactive Rapid Test result or preliminary information that there are diseases and/or health risk factors in the vessel/aircraft, the Port Health Office

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will conduct disinfection on it.

4) Health Protocols for Foreign Citizens Arrival Regulated in Further Details

As follow-up to the Circular of the Minister of Health Number HK.02.01/MENKES/332/2020 on the Health Protocol for Handling Returning Indonesian Citizens and Foreign citizens Arrival from Foreign Countries at State and Regional Entrances in Situations of PSBB (“Circular 332/2020”), the Indonesian government through the Ministry of Health issued additional health protocol namely Circular of the Minister of Health Number HK.02.01/MENKES/338/2020 on the Health Protocol for Handling Returning Indonesian Citizens and Foreign citizens Arrivals from Foreign Countries at Soekarno-Hatta Airport and Juanda Airport (“Circular 338/2020”), which came into force on May 22, 2020. In connection with the issuance of Circular 338/2020, on May 26, 2020, the Ministry of Foreign Affairs issued Circular Note No. D/01130/05/2020/64 (“Circular MoFA 01130/2020”) regarding the decision of the meeting from the Indonesia National Task Force for COVID-19 Handling Acceleration. Under Circular 338/2020, the additional health protocols concerning foreign citizens arrival are as follows: The Exception Provisions for Foreign Citizens The exception for foreign citizens, who are permitted to enter Indonesia, still refers to Article 3 paragraph (1) of Regulation of the Minister of Law and Human Rights Number 11 of 2020 on Temporary Ban on Foreigners from Entering the Territory of the Republic of Indonesia (“Permenkumham 11/2020”). Foreign Citizens who carry a Health Certificate For foreigners carrying health certificates with negative COVID-19 PCR results, the following protocol shall be implemented:

a. Additional health checks shall be performed upon the individual(s), except for Rapid Test or PCR,

by the Port Health Authority (KKP). b. If the individual is found with no diseases and/or health risk factors during the health checks, the

Port Health Authority (KKP) shall issue a health clearance and Health Alert Card (HAC) for the individual.

c. The individual shall be allowed to continue their journey to their respective destinations by bringing a travel permit from the local COVID-19 Handling Task Force, and is required to always wearing a mask during the trip.

d. The individual shall be required to perform self-quarantine in their respective residences for 14 days, exercise physical distancing, wear masks, and implement a Clean and Healthy Behavior (“PHBS”).

e. The individual’s health clearance shall be submitted to the respective representative of their country to be forwarded to the District Health Department in order for the District Health Department to monitor the self-quarantine period performed by the individual.

f. If the individual(s)’ do not have any country representatives in Indonesia, or if there are no country representative present at their destination, the individual(s) shall report to the local Port Health Authority (KKP) at their destination, so the local Port Health Authority (KKP) may inform the District Health Department to monitor the self-quarantine period performed by the individual(s).

Foreign Citizens who do not carry a Health Certificate

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For foreign citizens without any health certificate, or that carry health certificates with a validity period of more than 7 days, or health certificates which do not prove negative PCR examination results, the following protocol shall be implemented:

a. Additional health checks shall still be performed upon the individual including Rapid Test by the Port Health Authority (KKP).

b. If the individual shows reactive Rapid Test results, individual who have comorbidities or symptoms of fever and/or one of the respiratory infection symptoms shall be referred to the local emergency hospital or referral hospital by implementing protocol for infectious diseases.

c. If the individual shows non-reactive Rapid Test results, quarantine and PCR test shall be performed upon the individual at the places determined by the COVID-19 Task Force until the PCR test result emerges. Fees incurred shall be borne by the individual.

Quarantine Place It should be noted that quarantine fees will be borne by the individual or respective institutions acting as sponsor for the individual. The places for quarantine as referred to in letter C in the section of Foreign citizens who do not carry a Health Certificate are as follows:

Hotel JS Luwansa Jl. H. R. Rasuna Said No.Kav. C-22, RT.2/RW.5 Karet Kuningan, Kecamatan Setiabudi, Kota Jakarta Selatan Daerah Khusus Ibukota Jakarta 12940

Hotel Borobudur (only 30 rooms available) Jl. Lapangan Banteng Selatan Pasar Baru, Kecamatan Sawah Besar, Kota Jakarta Pusat Daerah Khusus Ibukota Jakarta 10710

Further, Circular MoFA 01130/2020 encompass the following matters:

Provisions for Self-Quarantine Foreign citizens including members of the Foreign Diplomatic Corps, who shall enter Indonesia are advised to bring a Health Certificate stating a negative COVID-19 PCR test result in order to be allowed to perform self-quarantine at their respective residences. Place for the PCR Test Foreign citizens who do not bring Health Certificate stating a negative COVID-19 PCR test result, they shall accordingly be required to take the PCR testing at Wisma Pademangan Quarantine Facility, and shall wait at the appointed hotel until the PCR test results are determined according to the Indonesian prevailing health protocol. Foreign citizens including members of the Foreign Diplomatic Corps who are required to wait for the test results, are allowed to choose from the list of hotels appointed by the National Task Force for COVID-19 Handling Acceleration as have been enlisted above and to contact the aforementioned hotel of their choice. The ministry will update the list of hotels at earliest opportunity. Transportation from Airport to the PCR Test Place

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Foreign citizens who do not bring Health Certificate stating a negative COVID-19 PCR test result and have been directed to take the PCR test at Wisma Pademangan Quarantine Facility, shall be required to take the transportation provided by the National Task Force at the airport while accompanied by officials. Exceptions for transportation arrangement shall only be made for groups of arrivals that arrived in Indonesia in large numbers and has a person in charge of the group accompanying them (e.g. arrival and test for cruise ship crews).

The Travel Permit and Health Clearance At present, the National Task Force is providing the travel permit and health clearance from Wisma Pademangan Quarantine Facility, which in the near future shall be further arranged and provided at the Soekarno-Hatta Airport. The health clearance shall be submitted by the foreign citizens to their respective foreign missions, and to be forwarded by the foreign mission to the District Health Authority where the foreign citizens will be staying in Indonesia. Provisions for Short Visit Foreign citizens staying for a short visit (1-2 days), for instance, businessman/businesswomen holding KITAS/KITAP, and who do not bring PCR negative COVID-19 health certificate, shall be given an alternative solution to take the PCR test at the Siloam Hospitals in Jakarta at their own expense. The test result shall be able to be determined within 12 hours, allowing them to perform self- quarantine. This arrangement shall be carried out by coordinating directly with the Task Force at the airport during the health check performed upon arrival to the foreign citizens. Violation Provisions Foreign citizens who do not comply with the health check and quarantine protocol in Indonesia shall be seen as a violation of the Health Protocol of the Republic of Indonesia according to the Indonesian Law No. 6 Year 2018 regarding Health Quarantine. Holders of ordinary passports who violate this law can be deported.

5) New Normal Provisions for Immigration Services

In order to ensure that immigration services and law enforcement can run effectively in the new normal order period and to reduce the risk of spreading COVID-19 within the immigration work unit environment, the Directorate General of Immigration issued Circular of the Director-General of Immigration No. IMI-GR.01.01-0946 of 2020 on the Implementation of Immigration Duties and Functions during the New Normal Era (“Circular 0946/2020”), which came into force on June 9, 2020. The queue quota for Online Passport Registration Applications (Aplikasi Pendaftaran Paspor Online – “APAPO”) is now open every Friday for working days the following week. As a result, the opening of the queue for June 15 – 19, 2020 application quota will be on June 12, 2020. However, the queuing quota has now been set at 50% of the normal immigration office quota. Further, the Directorate General of Immigration will apply the following measures within the immigration work unit environment:

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The Head of the Immigration Division is required to evaluate the services provided to both Indonesian citizens and foreign citizens.

The Head of the Immigration Office and Head of the Immigration Detention Center are required to prepare Personal Protective Equipment (Alat Pelindung Diri – “APD”) in the form of masks and rubber gloves that will be used by their officers.

The checking of the body temperatures of officers and by officers is now a mandatory procedure prior to entering the Technical Implementation Unit (Unit Pelaksana Teknis – “UPT”). If the body temperature of any visitor exceeds 37.5oc, then said visitor will not be permitted to enter the immigration office.

The Head of the Immigration Office and the Head of the Detention Center must carry out their duties and functions while prioritizing the health and safety of their officers by observing the various health protocol guidelines.

J. Large-Scale Social Restrictions 1) Government Introduces Large-Scale Social Restrictions

With an increasing number of positive cases and deaths due to the COVID-19 in Indonesia, President Joko Widodo issued Government Regulation Number 21 of 2020 on the Large-Scale Social Restrictions in order to Acceleration of Handling Corona Virus Disease 2019 (COVID-19) (Regulation 21/2020), which came into force on March 31, 2020. Regulation 21/2020 is an implementing regulation from Law Number 6 of 2018 on Health Quarantine (Law 6/2018). Under the Regulation 21/2020, the Large-Scale Social Restrictions is the limitation of certain activities of residents in an area suspected of being infected by COVID-19. This aims to prevent the possibility of spreading COVID-I9. With the approval of the minister who carries out government affairs in the health sector, the Regional Government can carry out the Large-Scale Social Restrictions or restrictions on the movement of people and goods for a particular province or district/city. The Large-Scale Social Restrictions must be based on epidemiological considerations, the magnitude of threats, effectiveness, resource support, operational technical, political, economic, social, cultural, defense and security. Based on this regulation, in the circumstances that the number of cases and/or number of deaths due to the COVID-19 has increased and spread significantly and rapidly to several regions and also there are epidemiological links with similar events in other regions or countries, the Large-Scale Social Restrictions must be implemented. Further, the Large-scale Social Restrictions at least include:

a. school and workplace closure; b. restrictions on religious activities; and/or c. restrictions on activities in public places and facilities.

Restrictions on activities as mentioned above in letter a and b must still consider the needs of education, work productivity, and the public worship. The limitation of activities as referred to in letter c shall be carried out by taking into account the fulfillment of the public basic needs.

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In the event that the Large-Scale Social Restrictions have been determined by the minister who carries out government affairs in the health sector, the Regional Government is obliged to implement and pay attention to the provisions as regulated under the Law 6/2018. The Large-scale Social Restrictions shall be implemented in coordination and cooperation with various related parties. These are the procedure to implement the Large-Scale Social Restrictions:

a. The enforcement of the Large-Scale Social Restrictions is proposed by the governor / regent / mayor to the minister who carries out government affairs in the health sector.

b. The minister who conducts government affairs in the health sector determine the Large-Scale Social Restrictions by taking into account the considerations of the Chief of Task Force for the Acceleration of Handling Corona Virus Disease 2019 (COVID-19).

c. The Chief of Task Force for the Acceleration of Handling Corona Virus Disease 2019 (COVID-19) can propose to the minister who carries out government affairs in the health sector to determine the Large-Scale Social Restrictions in certain areas.

d. If the minister who conducts government affairs in the health sector approves the proposal of the Chief of Task Force for the Acceleration of Handling Corona Virus Disease 2019 (COVID-19) as mentioned above in letter c, the Head of Regional Government in certain regions are obliged to implement the Large-Scale Social Restrictions.

2) Public Health Emergency On March 31, 2020, President Joko Widodo issued Presidential Decree Number 11 of 2020 on Determination of Public Health Emergency due to Corona Virus Disease 2019 (COVID-19). The arrangement as follows:

1. Determining COVID-19 as a type of disease that causes Public Health Emergency. 2. Establishing a Public Health Emergency due to COVID-19 in Indonesia, which must be

implemented according to the prevail regulations. 3. This presidential decree shall come into force since the date of enactment.

K. Public Companies

1) Share Buyback Without First Holding a General Meeting of Shareholders The Indonesian Financial Services Authority (OJK) declared that the stock trading conditions in the Indonesia Stock Exchange (IDX) since the beginning of 2020 until March 9, 2020, continue to experience significant pressure, which is indicated from the decrease of IHSG by 18.46%. This happened in line with the slowdown and pressure of the global, regional and national economy as a result of the COVID-19 outbreak. Therefore, on March 9, 2020, the OJK issued Circular of OJK Number 3/SEOJK.04/2020 concerning Other Conditions as Significantly Fluctuating Market Conditions in the Implementation of Shares Buyback Issued by Public Companies.

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With the issuance of this circular, OJK allows all public companies to buy back shares in an effort to provide economic stimulus and reduce the impact of the market that fluctuates significantly by providing relaxation Share Buybacks procedures, as follows:

This circular stipulates that share buybacks can be performed by public companies without first holding a General Meeting of Shareholders (GMS). This will significantly reduce the time required to conduct a buyback.

Further, this circular allows public companies to buy back shares that represent up to 20 percent of their paid-up capital, provided that there must be at least 7.5% of free float.

L. Excise 1) Exemption of Ethyl Alcohol Excise

To provide facilities for social purposes and the manufacture of hand sanitizers, surface sanitizers and antiseptics, on March 17, 20202, the Indonesian Government through the Directorate General of Customs and Excise issued Circular of Director General of Customs and Excise Number SE-04/BC/2020 on Exemption of Ethyl Alcohol Excise in order to Follow-Up Prevention of Coronavirus Disease 2019 (COVID-19). The main provisions as follows:

The object of this circular letter is Ethyl Alcohol

The subject of this circular letter:

a. Ethyl Alcohol Manufacturing companies b. Ethyl Alcohol Storage companies

The companies mention above may be given an excise exemption for social purposes in the context of the precaution and prevention of COVID-19. They can submit an excise exemption request for social purposes in the context of precaution and prevention of COVID-19 based on orders from government agencies and non-governmental organizations related to COVID-19 countermeasures.

Requirements and procedures:

a. Application letter and Statement Letter by the Government Officials of government agencies stating that ethyl alcohol is only used for the precaution and prevention of COVID-19 in the event that orders are made by the government agencies; and

b. Application Letter and Recommendation Letter from government agencies that dealing with disaster management in the case of orders are made by non-governmental organizations.

Application letter is submitted to the Minister of Finance c.q. Director General of Customs and Excise through the Head of Customs and Excise Office using PMCK-3 documents.

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M. Court Trial 1) Court Trial in the Supreme Court and the Lower Courts

On March 23, 2020, the Indonesian Supreme Court (MA) issued Circular of MA Number 1 of 2020 on Guidelines for Implementation of Duties During the Prevention of Coronavirus Disease 2019 (COVID-19) in the Supreme Court and the Lower Courts. This circular letter addresses the court trial in the Supreme Court and the Lower Courts, as follows:

Trials of criminal, military and jinayat cases continue to be carried out specifically against cases where the accused are being detained and their detention cannot be extended further during the period of preventing the spread of COVID-19 within the Supreme Court and the lower Courts.

The trial of criminal, military and jinayat cases against the Defendant who legally detained them still has a reasonable reason to be extended, postponed until the end of the period of preventing the spread of COVID-19 within the Supreme Court and the lower Courts. Postponement of the trial can be carried out with a Sole Judge.

In cases which are limited to the period of examination by statutory provisions, the Judge may postpone the examination even though the time limit for examination is limited by statutory provisions by order to the Substitute Registrar to record in the Minutes of the Session that there are exceptional circumstances based on this circular letter.

In the event that there are cases which must still be heard, then: a. Delays in court proceedings and limitations on visitors to a hearing are the authority of the

panel of judges to determine. b. Judges can limit the number and safe distance between the visitors of hearing (social

distancing). c. The Panel of Judges may order the detection of body temperature and prohibit physical

contact such as shaking hands for parties who will be present or presented at the hearing. d. The Panel of Judges and parties in the hearing may use protective equipment in the form of

masks and medical gloves in accordance with the conditions and situation of the trial.

The justice seekers are encouraged to use an e-litigation application for trial cases of civil law, Islamic civil law and state administrative law.

N. Industry

1) Factory Operational Requirements during the COVID-19 Pandemic

On April 7, 2020, the Minister of Industry has issued Circular of the Minister of Industry No. 4 of 2020 on the Implementation of Factory Operations during the Period of Public Health Emergency of Coronavirus Disease 2019 (“Circular 4/2020”). Circular 4/2020 is intended as a guideline for Industry Association, Industrial Companies and Industrial-Areas Companies in carrying out their activities during the COVID-19 outbreak in Indonesia.

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Under the Circular 4/2020, Industrial Companies and Industrial-Areas Companies may be granted industrial activity permits to continue to carry out their business activities with the condition that they must fulfill the following requirements:

1. Implement early screenings to all workers by measuring their body temperature checks and

detections of employees with respiratory symptoms, including coughs/flu/shortness of breath, when entering factory areas and during shift changes;

2. Prohibit sick workers from participating in any company activity and recommend them to immediately check in to company or government health facilities;

3. Ensure sick workers and workers with travel history from any country or zone/city with known COVID-19 local transmission during the last 14 days are prohibited from entering factory areas. This is informed through a notification in the entrance area. Information on the list of countries with local transmission Covid-19 can be accessed at www.covid19.kkemkes.go.id;

4. Ensure that working areas have proper air circulation and have adequate hand-washing facilities; 5. Ensure the availability of soap and running water or alcohol-based sanitizers for hand-washing, as

well as masks, gloves and clothing that ensure the safety of workers and company products; 6. Increase the routine cleaning frequency with disinfectant fluids within commonly used areas such as

bathrooms, registration and payment counters, dining areas; 7. Limit the number of workers in public facilities such as mosques, canteens, and toilets; 8. Provide multivitamins and nutritional foods for all workers; 9. Prepare guidelines for workers from arrival at factories until they return to their residences; and 10. Participate and socialize the clean and healthy lifestyle, as well as inform about COVID-19, through

the installation of banners/ infographics at strategic locations throughout factory areas.

Further, workers of Industrial Companies and Industrial-Areas Companies required to comply with the following provisions:

1. If there are sick workers in factory areas, then stop any activity in the factory and immediately go to

the company or government health facilities; 2. Workers returning from any country or zone/city with known COVID-19 local transmission during the

last 14 (fourteen) days must inform the company. 3. Wearing masks since leaving home and also gloves once arrived in factory areas; 4. Maintain a minimum distance of 1 (one) meter (physical distancing) and avoid crowds during break

time; 5. All workers must implement the clean and healthy lifestyle such as washing hands regularly using

water and soap or alcohol-based sanitizers for hand-washing and avoid touching unnecessary areas of the face; and

6. Ban any handshake with fellow workers or individuals and consider adopting alternative forms of greeting.

2) Industrial Activity Permits during the COVID-19 Pandemic

In connection with industrial activity permits as referred to in Circular 4/2020, the Minister of Industry has issued Circular No. 7 of 2020 on Guidelines for the Submission of Applications for Industrial Activity Implementation Permits during the Period of Public Health Emergency of Coronavirus Disease 2019 (COVID-19) (“Circular 7/2020”), which came into force on April 9, 2020. Circular 7/2020 stipulates that Industrial Companies and/or Industrial-Areas Companies may continue their business activities by obtaining operational and mobility permits in the form of certificate for industrial

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activities, either for factory operational activities, office administration, or industrial activities mobility related to raw materials, auxiliary materials, finished goods, and/or workers. In order to obtain said certificate, Industrial Companies and/or Industrial-Areas Companies shall submit an application electronically through SIINas portal (siinas.kemenperin.go.id) by complying to the following procedures:

1. log in to the SIINas (siinas.kemenperin.go.id) account; 2. select the “e-services” option; 3. select “Izin Operasional dan Mobilitas”; 4. fill out the form, continued with selecting “Simpan”; and 5. after an application has been validated via the system, the relevant business may print out the

certificate by selecting the “Cetak” option.

The certificate shall be valid during the COVID-19 period and its feature a QR Code which can be scanned to prove the validity. For Industrial Companies and/or Industrial-Areas Companies who encounter technical difficulties during the submission of application, they can complaint to SIINas Helpdesk. It should be noted that the Ministry of Industry may revoke the issued certificate if discrepancy between the data submitted and the actual conditions are found.

3) Mandatory Weekly Report for Industries Operating during PSBB

Previously, to ensure the continuity of industrial activities, the government implemented Large-Scale Social Restrictions (“PSBB”), the Ministry of Industry enacted Circular of the Minister of Industry No. 4 of 2020 on the Implementation of Factory Operations during the Period of Public Health Emergency of Coronavirus Disease 2019 (“Circular 4/2020”) and Circular No. 7 of 2020 on Guidelines for the Submission of Applications for Industrial Activity Implementation Permits during the Period of Public Health Emergency of Coronavirus Disease 2019 (“Circular 7/2020”). In order to ensure that Industrial Companies and/or Industrial-Areas Companies, that have operational and mobility permits, carry out their industrial activities in accordance with the health and safety policies issued by the government during PSBB, the Ministry of Industry has further issued Circular of the Minister of Industry No. 8 of 2020 on Reporting Obligations for Industrial Companies and Industrial-Areas Companies that have Industrial Activities Operational and Mobility Permits (“Circular 8/2020”). This circular became effective on April 24, 2020 and will remain until the COVID-19 pandemic is declared over by the Indonesian government. Circular 8/2020 stipulates that Industrial Companies and/or Industrial-Areas Companies, that have

operational and mobility permits, must:

have a Standard Operational Procedures to implement the health protocol of handling COVID-19 in the operational and mobility of industrial activities;

ensure the implementation of the health protocol of handling COVID-19 in the operational and mobility of industrial activities;

report the implementation of industrial activities operational and mobility periodically every weekend through the SIINas portal (siinas.kemenperin.go.id) with the following procedures:

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1. Log in to SIINas (siinas.kemenperin.go.id) account; 2. Click “e-Services”; 3. Select “Izin Operasional dan Mobilitas”; 4. Select “Laporan Mingguan”; 5. Upload document of Report on Implementation of Industrial Activities Operational and

Mobility with PDF file using the format as stipulated in appendix of Circular 8/2020; 6. After the document is uploaded, click "Send"

In case of workers potentially infected with COVID-19, Industrial Companies and/or Industrial-Areas

Company, that have operational and mobility permits, must conduct a medical examination to those workers, as well as sterilize the work area that has the potential to be a place of transmission of COVID-19.

In the event that Industrial Companies and/or Industrial-Areas Companies do not submit a report 3 (three)

times for the reporting period, said companies will be subject to administrative sanctions in the form of revocation of their operational and mobility permits.

4) Relaxation for Industrial Production of Wheat Flour

In connection with the lock-down policy applied by Malaysia and India due to the COVID-19 pandemic, then it causes the difficulty on fulfillment of premix for fortified substances in wheat flour based on the quality requirements of Indonesian National Standard (“SNI”) 3751:2009 Wheat Flour in Indonesia, which so far the said premix has only been supplied from Malaysia and India. Therefore, the Ministry of Industry issued Circular of the Minister of Industry No. 5 of 2020 on Temporary Exemption for Addition of Fortified Substances in Wheat Flour (“Circular 5/2020”), which came into force on April 7, 2020. Circular 5/2020 stipulates that while waiting for the supply of wheat flour premix to Indonesia, the mandatory implementation of SNI for wheat flour as stipulated under Regulation of the Ministry of Industry No. 59/M-IND/PER/7/2015 on The Implementation of SNI for Wheat Flour as Food Material (“Permenperin 59/2015”), is temporarily exempted for addition of premix to wheat flour, as follows:

• Fe • Zn • Vitamin B1 • Vitamin B2

Folic acid It should be noted that the use of packaging with the label "containing Fe Zn Vitamin B1 Vitamin B2 Folic Acid" is declared to remain in force until 31 December 2020.

5) Relaxation for Industrial Production of Palm Cooking Oil

The COVID-19 pandemic has disrupted international trade and impacted the fulfillment of raw material for palm cooking oil in Indonesia, which is generally fulfilled from imports and currently experiencing continuity constraints. The said raw material is Vitamin A and/or Pro-Vitamin A based on the quality requirements in SNI 7709:2019 Palm cooking oil.

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Therefore, the Ministry of Industry issued Circular of the Minister of Industry No. 6 of 2020 on Temporary Exemption to the Content of Vitamin A and/or Pro-Vitamin A in Palm Cooking Oil (“Circular 6/2020”), which came into force on April 7, 2020 until December 31, 2020. Under the Circular 6/2020, while waiting for the supply of Vitamin A and/or Pro-Vitamin A to Indonesia, the mandatory implementation of SNI for palm cooking oil as stipulate in Regulation of the Ministry of Industry No. 46 of 2019 (“Permenperin 46/2019”), is temporarily exempted to the content of Vitamin A and/or Pro-Vitamin A in palm cooking oil.

O. Transportation

1) Government Introduces Transportation Control for Annual Homecoming Tradition

On April 23, 2020, the Indonesian government through the Ministry of Transportation has issued Regulation of the Minister of Transportation No. 25 of 2020 on Transportation Control During Annual Homecoming Tradition (“Mudik”) of Eid al-Fitr 1441 Hijriah in the context of Preventing the Spread of COVID-19 (“Regulation 25/2020”). The transportation control for mudik period of Eid al-Fitr 1441 Hijriah is carried out through a temporary ban on the use of transportation facilities which came into force on April 24, 2020 until May 31, 2020. In regards of preventing the spread of COVID-19 still needs to be done, then the duration of this temporary ban can be extended as determined by the Minister of Transportation. Regulation 25/2020 addresses a temporary ban on the use of the following transportation facilities: 1. Land Transportation Area Criteria This temporary ban applies to land transportation facilities for the purpose of going out and/or entering the area of:

Large-Scale Social Restrictions (“PSBB”);

red zone spreading COVID-19; and

agglomeration that has been designated as a PSBB zone. Type of Land Transportation The following are the land transportation facilities included in this temporary ban:

a. public motor vehicles (i.e. bus and passenger car types); b. individual motor vehicles (i.e. passenger cars, bus, and motorcycles); c. ferry crossings; and d. river and lake transport vessels.

The Organizers of Land Transportation Facility must return the full or 100% (one hundred percent) ticket costs to prospective passengers who have purchased tickets for travel on the date of this temporary ban period.

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Exception A temporary ban on the use of motor vehicles as mentioned above in letter a and letter b are exempt for:

vehicles of high government institutions of the Republic of Indonesia;

operational service vehicles with Vehicle Number services of the Indonesian National Army and the Indonesian National Police;

toll road officer operational vehicles;

fire engines, ambulances and hearses; and

freight cars with no passengers. Meanwhile, a temporary ban on the use of crossing transportation facilities as referred to in letter c and letter d are excluded for:

logistical transport vehicles or staple goods;

medicine and medical devices transport vehicles;

transport vehicles for government operational officers and officers handling prevention of the spread of COVID-19; and

fire engines, ambulances and hearses; In addition, the temporary ban on the use of land transportation facilities is excluded for land transportation facilities that are within 1 (one) agglomeration area. Sanctions For vehicles that will leave and/or enter the region as stated above in the area criteria on April 24, 2020 until May 7, 2020 will be directed to return to the origin of the trip. Further, for vehicles that will leave and/or enter the region as listed above in the area criteria on May 8, 2020 until May 31, 2020 will be directed to return to the origin of the trip and may be subject to sanctions in accordance with prevail regulations. Inspection The inspection is carried out in the form of coordination post as a check point at the following location:

main access exit and/or entry on toll roads and non-toll roads;

passenger transport terminal;

crossing port; and

harbor rivers and lakes. For public motor vehicles and individual motor vehicles, the supervision is carried out by the Indonesian National Police with the assistance of the Indonesian National Army. Meanwhile, for ferry crossing and river and lake transportation vessels, the inspection will be carried out by the Land Transportation Management Office or Port Operator Unit.

2. Rail Transportation Inter-city Train Travel A temporary ban on inter-city train travel is implemented in the form of cancellation of inter-city train travel for passenger transport.

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The Organizers of Railway Facility must return the ticket fee in full or 100% (one hundred percent) to the prospective passenger who has purchased a ticket for a canceled inter-city train trip. However, the prohibition of inter-city train travel is excluded for inter-city train for goods transportation.

Urban Train Travel A temporary ban on urban train travel is carried out with the following provisions:

a. cancellation of urban train travel for passenger transportation that enter or leave the area of Jakarta, Bogor, Depok, Tangerang and Bekasi;

b. urban train travel for passenger transportation other than areas as referred to in letter a is still operates by implementing the PSBB arrangements.

c. urban train travel for passenger transportation of the Electric Train which serves the area of Jakarta, Bogor, Depok, Tangerang and Bekasi (“KRL Commuterline”) is still continues to operate by implementing the PSBB arrangements.

Extraordinary Train Travel During the period of a temporary ban on the use of rail transportation, the Organizers of Railway Facility may operate the extraordinary train travel with the following conditions:

to serve officers handling prevention of the spread of COVID-19 by carry a letter from the COVID-19 Task Force;

prepare trains for the northern and southern cross operations.

The passenger arrangements at the station and inside the train follows the applicable regulations in relation to prevent the spread of COVID-19.

Sanctions The Organizers of Railway Facility who violate the provisions as referred to in inter-city train travel and urban train travel will be subject to administrative sanctions based on the prevail regulations.

3. Sea Transportation Type of Sea Transportation The temporary ban on the use of sea transportation applies to passenger ships, which includes:

passenger ship operating in the area of provincial, district or sub-district that implement PSBB; and

sailing between provinces, districts or sub-districts with the provisions of origin port, transit, or destination is an area that implements large-scale social restrictions.

Exception The temporary ban on the use of sea transportation is exempt for passenger ships as follows:

• passenger ships serving the repatriation of Indonesian workers, Indonesian migrant workers, and/or Indonesian citizens;

• passenger ships serving the repatriation of Indonesian citizens who work on foreign commercial/cruise ships as crews (“ABK”);

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• passenger ships serving non-mudik routine transportation for limited sailing locations within one agglomeration of provincial, district, and sub-district with the conditions that the area is not determined as PSBB zone or red zone spreading COVID-19;

• passenger ships serving special inter-island transportation for the Indonesian National Army, the Indonesian National Police, government employees, and medical personnel who are carry out their duties; and

• passenger ships may be permitted to operate in order to transport logistic goods which includes staple goods, medicines and medical equipment, and other essential goods needed by the region in the event that the number of cargo ships are insufficient.

Inspection The inspection is carried out by the Syahbandar Office and the COVID-19 Task Force in the form of coordination post as a check point located at the main access exit and/or entry of the passenger terminal at the port.

Sea Transportation Companies The sea transportation companies must return the ticket fee in full or 100% (one hundred percent) to prospective passengers who have purchased tickets for travel on the date of this temporary ban period, by the following methods:

• 100% ticket fee refund in cash; or • re-scheduling for prospective passengers who already have a ticket without being charged extra

fees; or • Changing the sailing route (re-route) for prospective passengers who already have a ticket without

being charged extra fees in the event that the route on the ticket does not aim to exit and/or enter the area as stated above in the area criteria of land transportation section.

Rescheduling and changes to sailing route are valid for 1 (one) year for 1 (one) time re-order. Sanctions For sea transportation companies that violate this provision on the following dates:

• April 24, 2020 until May 7, 2020, will be given a warning letter; and • May 8, 2020 until May 31, 2020, will be subject to administrative sanctions in the form of not being

provided services at the port until the revocation of the SIUPAL permit in accordance with prevail regulations.

4. Air Transportation Type of Air Transportation The temporary ban on the use of air transportation applies to every citizen traveling domestic through airports from and to areas designated as PSBB zone or red zone spreading COVID-19, either by using public or private air transportation. Exception This temporary ban is exempt for air transportation used for:

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the high government officials of the Indonesian government institutions and state guest;

operations of embassies, consulates general, and foreign consulates as well as representatives of international organizations in Indonesia;

special flight operations for repatriation of Indonesian citizens and foreign nationals;

law enforcement and emergency services;

cargo transport operations; and

other operations based on the permission of the Director-General of Civil Aviation. Cargo Transportation

Cargo transportation activities as mentioned above in letter e must still refer to the health protocol.

Flight for cargo transportation activities can be carried out by air transportation companies that operate airplane with passenger configuration and required to have flight approval.

Flight for special cargo transportation activities by air transportation companies that operate cargo-specific airplane in accordance with their approval route and in the case of operating flights outside their approval route, then required to have flight approval.

Airplane crews who carry out cargo transportation activities must have a health certificate issued by a doctor of health facilities or the Port Health Office (KKP) at the Airport.

Airplane with passenger configuration can be used to transport cargo inside the passenger cabin for transporting medical, health, sanitation, and food needs.

Air Transportation Companies The air transportation companies must return the ticket fee in full or 100% (one hundred percent) to prospective passengers who have purchased tickets for travel on the date of this temporary ban period, by the following methods:

• re-scheduling for prospective passengers who already have a ticket without being charged extra fees; or

• Changing the sailing route (re-route) for prospective passengers who already have a ticket without being charged extra fees in the event that the route on the ticket does not aim to exit and/or enter the area as stated above in the area criteria of land transportation section.

• compensates for the value of the tickets cost to points in the membership of air transportation companies so that can be used to purchase products offered;

• provide ticket vouchers for the value of the tickets cost purchased by passengers so that can be used to buy back tickets for other flights and are valid for at least 1 (one) year and can be extended at most 1 (one) time.

Sanctions For air transportation companies that violate this provision will be subject to administrative sanctions in the form of the revocation of the routes permit. With the enactment of Regulation 25/2020, then the provisions regarding the transportation control for mudik 2020 as originally stipulated in Chapter IV of Regulation of the Minister of Transportation No. 18 of

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2020 on Transportation Control in the context of Preventing the Spread of COVID-19 (“Regulation 18/2020”) is revoked.

P. Land Rights

1) Relaxation for Determination and Registration of Land Rights

In order to provide facilities for the service of determining and registering land rights during the COVID-19 pandemic, on April 17, 2020, the Ministry of Agrarian Affairs and Spatial Planning/the National Land Agency issued Circular of the Minister of Agrarian Affairs and Spatial Planning/Head of the National Land Agency No. 7/SE-100.HR.01/IV/2020 on the Relaxation of Services for the Determination and Registration of Land Rights during the COVID-19 Emergency (“Circular 7/2020”).

With the issuance of this circular, the validity periods for the following rights which have already expired or which will expire during the COVID-19 period, which commenced on March 31, 2020, have now been extended to December 31, 2020:

Right-to-Cultivate (Hak Guna Usaha - “HGU”);

Right-to-Build (Hak Guna Bangunan - “HGB”); and

Right-to-Use (Hak Pakai - “HP”).

It should be noted that if a rights holder does not submit a rights extension application by December 31, 2020, then said rights will be deemed to have expired.

Further, the validity periods to the registration of decision letters for the granting, extension or renewal of land rights that have expired or which will expire during the COVID-19 period also now been extended until December 31, 2020. If the relevant rights receiver has not registered their decision letter, extension or renewal of land rights by December 31, 2020, then said decision letter will be deemed null and void.

In the meantime, services related to registering decision letters on granting of land rights or transferring of land rights affected by the obligation to pay Acquisition of Land-and-Building-Rights Duty Fees (Bea Perolehan Hak atas Tanah dan Bangunan – “BPHTB”) and/or Income Tax can still be carried out until December 31, 2020.

Q. The COVID-19 National Task Force

1) Govt. Issues Criteria and Requirements for Domestic and International Travel Conditions

On June 6, 2020, the Indonesian Government through the COVID-19 National Task Force issued Circular Letter of the Task Force for the Acceleration of COVID-19 No. 7 of 2020 on Criteria and Requirements for the Travel of Persons in the Adaptation Period of New Habits Towards Productive and Safe Communities from the COVID-19 (“Circular 7/2020”).

Domestic Travel Conditions

Every individual who travels is obliged to apply and comply with health protocols, namely wearing a mask, keeping a distance, and washing hands regularly. For the domestic travel conditions, every individual who travels in a private vehicle is responsible for their own health and is subject to the applicable terms and

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conditions. Meanwhile, every individual who travels on public transportation by land, railroad, sea and air must meet the requirements, including:

• Showing their personal identity; • Showing a PCR test certificate with a negative result that is valid for seven days or a certificate of rapid

test with nonreactive results that are valid for three days at the time of departure; or • Showing a symptom-free certificate such as influenza issued by a doctor, hospital, or health center for

areas that do not have PCR testing facilities and / or rapid tests.

It should be noted that, Circular 7/2020 states that domestic travel conditions are excluded for commuter trips and people traveling within the agglomeration region.

International Travel Conditions

In addition, this circular regulates travel requirements for persons arriving from abroad. One of the requirements is that every individual who comes from abroad must have a PCR test at the time of arrival if they have not carried out or are unable to show a letter of PCR test results from the country of departure.

This circular confirms that during the waiting period for PCR test results, everyone must undergo quarantine at the special quarantine accommodation provided by the government or utilize quarantine accommodation that has been certified by the Ministry of Health.

R. Trade 1) Govt. Introduces New Normal Provisions for Trade Activities

Paying attention to the directive of the President of the Republic of Indonesia relating to Large-Scale Social Restrictions (Pembatasan Sosial Berskala Besar – “PSBB”) in the Mitigation of COVID-19, as well as to maintain the availability and continuity of the distribution of goods and services for public needs, on May 28, 2020, the Ministry of Trade issued Circular the Minister of Trade Number 12 of 2020 on the Resumption of Trading Activities During the Covid-19 Pandemic and the New Normal (“Circular 12/2020”). Under the Circular 12/2020, the trading activity locations that organizes trading transactions for Staple Goods (Bahan Pokok) and Essential Goods (Barang Penting), Basic Food Necessities (Kebutuhan Pangan), Oil and Gas Fuels and Energy, Healthcare Facilities or Other Facilities in the Framework of the Fulfillment of Healthcare and Tourism Service Facilities must implement new normal provisions among others: Traditional Markets

Ensuring that all Merchants, Market Management and their supporting Organs are negative Covid-19 based on a proof of PCR Test/Rapid Test results facilitated by local Regional-Level Government, and wearing masks, face shields and gloves during activities;

Merchants who trade in Traditional Markets are arranged by rotation with a minimum distance of 1.5 meters between merchants;

Implementing circulation arrangements and time limits for visits, as well as the maximum visitor quota of 30% of the number of visits during normal conditions by implementing strict control at entry and exit points that are set up to prevent crowding in accordance with health protocols;

Convenience Stores (Minimarkets, Supermarkets, Hypermarkets, Department Stores)

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Implementing circulation arrangements and time limits for visits, as well as the maximum visitor quota of 40% of the number of visits during normal conditions by implementing strict control at entry and exit points that are set up to prevent crowding in accordance with health protocols;

Ensuring that all Store Management and Clerks are negative Covid-19 based on a proof of PCR Test/Rapid Test results conducted by Shop Owners/local Health Office and wearing masks, face shields and gloves during activities;

Implementing a distance restriction of 1.5 meters and a maximum of 10 persons when making payment transactions at the cashier, and prioritizing electronic money/non-cash payments;

Restaurants/Diners/Eateries, Cafes;

Implementing circulation arrangements and time limits for visits, as well as the maximum visitor quota of 40% of the number of visits during normal conditions by implementing strict control at entry and exit points that are set up to prevent crowding in accordance with health protocols;

Ensuring that all Staffs, Management, and Waiters/Waitresses of Restaurants/Diners/Eateries are negative Covid-19 based on a proof of PCR Test/Rapid Test results conducted by Restaurant/Diner/Eatery Owners or local Health Office and wearing masks, face shields and gloves during activities;

Implementing a distance restriction of 1 meter and a maximum of 5 persons when making payment transactions at the cashier.

Pharmacies/Drugstores and Medical Equipment Stores;

Implementing circulation arrangements and time limits for visits, as well as the maximum visitor quota of 40% of the number of visits during normal conditions by implementing strict control at entry and exit points that are set up to prevent crowding in accordance with health protocols;

Ensuring that all Clerks and Management of Pharmacies/Drugstores and Healthcare Facility Stores are negative Covid-19 based on a proof of PCR Test/Rapid Test results conducted by Owners of Pharmacies/Drugstores and Healthcare Facility Stores or local Health Office and wearing masks, face shields and gloves during activities;

Maintaining a minimum queuing distance at cashiers of 1 meter and a maximum of 5 persons

Arranging the layout of chairs in waiting lounges and the distance between drug counters and customers of at least 1 meter.

Malls or Shopping Centers;

Implementing circulation arrangements and time limits for visits, as well as the maximum visitor quota of 35% of the number of visits during normal conditions by implementing strict control at entry and exit points that are set up to prevent crowding in accordance with health protocols;

Requiring merchants to wear masks, face shields and gloves;

Requiring buyers to wear masks and wash their hands before entering Malls or Shopping Centers;

Implementing a distance restriction of 1 meter and a maximum of 5 persons when making payment transactions at the cashier;

Separating entry and exit points for visitors.

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