Indonesia has introduced a new national business classification system, KBLI Indonesia 2025, prompting companies across the country to review and update their registered business activities.
The updated framework replaces KBLI 2020 and reflects Indonesia’s effort to align economic classification with global standards while capturing emerging industries such as digital platforms, renewable energy, and new creative economy sectors.
For companies operating in Indonesia, particularly those registered through the Online Single Submission (OSS) system, the update may require adjustments to business licences, corporate documents, and tax records.
Businesses are required to review their KBLI codes and complete necessary adjustments within six months following the enactment of the regulation.
For foreign investors and local enterprises alike, the KBLI Indonesia 2025 update highlights the growing importance of ensuring that company structures, licensing data, and operational activities remain aligned within Indonesia’s regulatory framework.
Understanding KBLI in Indonesia
The Klasifikasi Baku Lapangan Usaha Indonesia (KBLI) is the national standard used to classify economic activities across Indonesia.
The system allows the government to organise and analyse economic activity based on the nature of business operations. It also plays an important role in regulatory compliance, including business licensing, tax classification, and sector monitoring.
According to Statistics Indonesia (BPS), KBLI is used to:
- Classify economic activities in Indonesia
- Support economic analysis and policy formulation
- Generate official national statistics
- Identify sectors for regulatory and administrative purposes.
In practice, KBLI codes are embedded in multiple regulatory systems, including:
- OSS business licensing
- taxpayer classification under the Directorate General of Taxes
- industrial sector monitoring
- financial reporting systems.
For this reason, the KBLI Indonesia 2025 update carries implications beyond statistical reporting and may directly affect company compliance obligations.
Why Indonesia Updated the KBLI System
Statistics Indonesia released KBLI 2025 to ensure the classification of economic activities remains relevant amid global economic transformation.
The update reflects the rapid development of digital business models, sustainability-related industries and new technology sectors.
Head of Statistics Indonesia Amalia Adininggar Widyasanti stated that KBLI 2025 was developed with reference to the International Standard Industrial Classification of All Economic Activities (ISIC) Revision 5, which was recommended by the United Nations Statistical Commission (UNSC) in March 2024.
ISIC Revision 5 has also been adopted in several jurisdictions, including the European Union and Singapore, allowing Indonesia’s economic classification framework to remain internationally comparable.
The KBLI system is reviewed approximately every five years, in line with recommendations from the Committee of Experts on International Statistical Classifications (CEISC).
During the development of KBLI 2025, Statistics Indonesia received 1,164 proposals from 30 ministries and government institutions, reflecting strong cross-sector collaboration in shaping the updated classification system. (Source: Statistics Indonesia – BPS)
New Economic Activities Recognised in KBLI Indonesia 2025
One of the key objectives of the KBLI Indonesia update is to capture new types of economic activities that have emerged in recent years.
Among the sectors newly accommodated in KBLI 2025 are:
- digital platform intermediation services
- Factoryless Goods Producers (FGP)
- digital content production industries, including podcasts, gaming, and streaming
- carbon capture and storage activities
- renewable energy industries
- expanded financial service classifications.
These changes reflect the government’s effort to ensure that Indonesia’s economic statistics and regulatory systems remain aligned with modern business practices.
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Changes to the KBLI Category Structure
KBLI 2025 also introduces structural changes to the classification framework.
The number of main categories has increased from 21 categories in KBLI 2020 to 22 categories in KBLI 2025.
The revised structure now includes:
- 87 divisions
- 257 groups
- 519 subgroups
- 1,560 business activity classifications
A new category has been added to better represent industries related to content production, broadcasting, telecommunications, and information technology services.
Some of the key KBLI categories include:
- Agriculture, forestry, and fisheries
- Mining and quarrying
- Manufacturing
- Energy supply and utilities
- Construction
- Wholesale and retail trade
- Transportation and storage
- Accommodation and food services
- Content production and broadcasting
- Telecommunications and information services
- Financial and insurance activities
- Real estate
- Professional and technical services
- Administrative and support services
- Education
- Health and social work
- Arts, entertainment, and recreation.
These updates demonstrate the increasing importance of digital economy sectors and knowledge-based industries within Indonesia’s economic landscape.
Impact of KBLI 2025 on Business Licensing in Indonesia
One of the most important implications of the KBLI Indonesia 2025 update relates to business licensing through the OSS system.
In Indonesia, companies must register their business activities using five-digit KBLI codes when applying for licences through OSS.
These codes determine:
- The type of business licence required
- Risk classification of business activities
- Regulatory requirements that must be fulfilled.
Under Investment Minister Regulation No. 5 of 2025, companies must ensure that the KBLI codes used in OSS correspond with the business activities listed in their Articles of Association.
If discrepancies exist, businesses may face challenges when applying for new licences or updating corporate data.
KBLI and Tax Compliance in Indonesia
The KBLI classification system also affects taxation.
Indonesia’s Directorate General of Taxes uses a related classification known as KLU (Klasifikasi Lapangan Usaha) to categorise taxpayers.
Under the Director General of Taxes Regulation PER-12/PJ/2022, KLU codes are derived from KBLI classifications.
As a result, changes introduced under KBLI Indonesia 2025 may require companies to review their tax classification records.
These classifications can influence:
- eligibility for industry-specific tax incentives
- tax reporting procedures
- The calculation of normative income for certain taxpayers.
If discrepancies arise, taxpayers may need to update their classification data through the Coretax tax administration system.
Mandatory Adjustment Period for Businesses
The implementation of KBLI 2025 has been formalised under Statistics Indonesia Regulation No. 7 of 2025.
The regulation officially revokes KBLI 2020 and replaces it with the updated classification framework.
Companies currently using the older KBLI system are required to adjust their business classification within six months of the enactment of the regulation.
Failure to update business classification data may create complications in licensing processes or corporate administrative procedures.
Potential Issues for Companies with Unchanged Codes
Some companies may find that their five-digit KBLI code remains the same between KBLI 2020 and KBLI 2025.
However, this does not necessarily mean that no action is required.
Even if the numerical code remains unchanged, the scope or description of activities within that classification may have been updated.
Previous transitions between KBLI frameworks have shown that companies may still be required to update their Articles of Association to ensure that the description of business activities aligns with the latest classification.
If inconsistencies arise between corporate documents and OSS licensing records, companies may encounter delays when submitting corporate changes or applying for new licences.
Why Companies Should Review Their KBLI Classification
Given the role of KBLI in multiple regulatory systems, companies operating in Indonesia should conduct a thorough review of their business classification.
This review should include:
- KBLI codes listed in the Articles of Association
- KBLI codes registered in the OSS licensing system
- related KLU tax classifications.
If adjustments are required, companies may need to update their licensing data or amend corporate documents through shareholder approval mechanisms.
Taking early steps to align corporate records with KBLI Indonesia 2025 can help businesses avoid administrative delays and maintain regulatory compliance.
LMI Consultancy: Your Partner for Company Establishment and Business Licensing in Indonesia
For many investors and companies, navigating Indonesia’s regulatory framework—including KBLI classification, OSS licensing, and corporate documentation requirements—can be complex.
LMI Consultancy provides end-to-end advisory services to support businesses establishing and operating in Indonesia.
Our team assists both foreign investors and domestic entrepreneurs with:
- Company establishment in Indonesia (PT and PT PMA)
- Business licensing through the OSS risk-based system
- KBLI classification and regulatory assessment
- Corporate structuring and compliance strategy
- Amendments to Articles of Association
- Ongoing regulatory, immigration, and tax compliance.
With extensive experience supporting businesses across multiple sectors, LMI Consultancy helps ensure that companies entering Indonesia adopt the correct regulatory structure from the outset.
For professional guidance on KBLI Indonesia 2025 updates, business licensing, and company establishment in Indonesia, our consultants are ready to assist your business.
