Frequently Asked Questions: #pma-capital-declaration-or-transfer

Both, at different moments — and the distinction causes more confusion than any other part of PMA establishment.

At licensing (OSS/NIB stage): the paid-up capital of IDR 2.5 billion is evidenced by a self-declaration (pernyataan mandiri) stored electronically with the business identification number. No bank statement is demanded at this point. The declaration commits the company not to move the capital out of its account for twelve months — with exceptions for asset purchases, construction and normal operations, which is to say the money may be used, just not repatriated.

Under company law: at least 25% of authorised capital must be issued and fully paid, with valid proof of deposit filed electronically with the Ministry of Law within 60 days of the deed of establishment. This is a hard deadline with real evidence attached — the money must actually arrive in the company’s account.

The investment plan (more than IDR 10 billion per KBLI per location, excluding land and buildings) is a commitment realised over time and reported through quarterly LKPM filings — it is not a deposit at all.

So the accurate summary: the IDR 2.5 billion is real money that must be deposited and evidenced within the company-law deadline; the IDR 10 billion-plus is a spending commitment, not a transfer. Any adviser telling you the whole thing is “just a declaration” is describing the licensing screen, not the law.

Full analysis in our guide: PMA capital requirements.

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