Can Foreigners serve as Company Commissioners of an Indonesian Company?

Indonesia is home to many foreign-owned companies which have been registered as PT PMA companies.

Many foreign-owned companies are registered as PT PMA companies in Indonesia. These companies must include shareholders, directors, and company commissioners. It is mandatory to have at least two shareholders and a cumulative value of at least 10 million rupiahs for the total shares. The director is responsible for overseeing the daily operations of the company. A company commissioner monitor, inspect, and supervise the activities of the company.  

All PT PMA companies in Indonesia must have at least one company commissioner. Companies can have one or more commissioners, and one of the commissioners will appoint as the president commissioner who will be leading the board of commissioners of the company. Company commissioners are responsible for advising company matters to the directors, approving company annual financial statements, reviewing the company budget. The commissioner can suspend the director if he/she violates the rules and regulations of the company.  

Foreigners Serving as Indonesian Company Commissioners  

Foreigners can become a shareholder, director, and company commissioner as long as they abide rules by the Indonesia government and other regulatory authorities. Foreign company commissioners must obtain a Limited Stay Visa or VTT to take up the position as a company commissioner. 

One of the regulations indicates that foreigners must be allocated a certain number of shares before taking up the position as commissioner or director. The shares must be at least one billion rupiahs, or it is equivalent in US dollars. 

All foreign company commissioners of Indonesian companies are required to apply for a residence permit.  

Foreign company commissioners who work in an Indonesian company must apply for a residence permit to work and live in Indonesia. Residence permit with the new VTT permit allows foreign company commissioners to work and receive a salary from an Indonesian company. They can also open a local bank account and stay in the country beyond a specific period without contacting government departments to the extent of the visa duration.  

To get comprehensive information on this topic, please refer to Are Foreigners allowed to serve as Company Commissioners of an Indonesian Company?

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