Apindo Talks of Business Impact of Indonesia's OECD Bid

2 hours ago 1

December 15, 2025 | 12:25 pm

TEMPO.COJakarta - The Indonesian Employers' Association (Apindo) asserts that the process of joining the Organisation for Economic Co-operation and Development (OECD) will necessitate significant policy and governance changes across Indonesia. According to Apindo Chairperson Shinta Kamdani, OECD membership will streamline the national business climate, bringing it in line with rigorous international standards.

However, Shinta emphasizes that these changes extend beyond mere administrative work; they must be implemented according to functional OECD standards. This presents a challenge for businesses, as they will be required to adopt responsible business conduct practices.

"Business entities are expected to implement various aspects of responsible business practices in terms of labor and the environment," Shinta told Tempo on Monday, December 15, 2025.

Consequently, Shinta notes that successful OECD accession requires strong political will and consistent support from all relevant parties. Without this commitment, she warns, the accession process could face significant delays or difficulties. A prolonged process, she added, would diminish the ultimate benefits for the Indonesian business sector.

Indonesia's OECD accession is currently in the technical review phase. Coordinating Minister for Economic Affairs Airlangga Hartarto confirmed that the OECD is scrutinizing three key sectors: the environment, trade, and digital policies.

Airlangga announced that Indonesia aims to achieve full OECD membership during the first term of President Prabowo's administration. "We have built momentum. We just need to ensure that all ministries and institutions move in sync with global standards," Airlangga said in Jakarta on Thursday, December 11, 2025, according to a press release.

The OECD is an international body comprising 38 member countries, functioning as a multilateral platform for economic development policies. Indonesia’s formal relationship with the organization began in 2007 when it became a Key Partner. Indonesia’s status was officially elevated to a candidate accession country in March 2024.

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