New Regulation on Personal Liabilities of Directors and Commissioners in State-Owned Enterprises

After almost a two-decades-long wait, President Joko Widodo finally issued a government regulation on state-owned enterprises. Issued on 8 June 2022, Government Regulation No. 23 of 2022 on the Amendment of Government Regulation No. 45 of 2005 on the Establishment, Management, Supervision, and Dissolution of State-Owned Enterprises (“Regulation“) regulates, among others, the appointment and discharge of directors and commissioners in a state-owned enterprise (“SOE“). In addition, the Regulation also introduces detailed provisions on the personal liability of the board of directors and board of commissioners of SOE.