The new Singapore-Indonesia investment treaty and what it means for your business

The bilateral investment treaty (BIT) between Singapore and Indonesia came into force on 9 March 2021. Following the expiry of the 2005 BIT, the 2021 BIT would be a welcome development for investors, as Singapore has been Indonesia’s top foreign investor since 2014 and Indonesia was one of Singapore’s top 10 trading partners in 2020.

In this update, we highlight the differences between the previous 2005 BIT and the 2021 BIT pertaining to:

1. applicability of the BIT;
2. key protections provided to investors and investments; and
3. key features of the dispute resolution mechanism.

Please click here to read the update.