ASIATODAY.ID, JAKARTA — The Government of Indonesia is reinforcing its regulatory reform agenda as part of efforts to enhance national economic competitiveness amid its accession process to the Organisation for Economic Co-operation and Development (OECD).
One of the key steps in this process is the implementation of the Regulatory Impact Assessment (RIA) — an evidence-based policy approach designed to ensure that every regulation provides measurable benefits to society, businesses, and the environment.
Indonesia’s economy has remained resilient, maintaining growth of around 5% despite global challenges. To sustain this momentum, the government recognizes the need for a more adaptive, efficient, and internationally aligned regulatory framework.
“RIA implementation is not just a domestic agenda but also has strong international relevance. In Indonesia’s accession process to the OECD, adopting Good Regulatory Practices (GRP), including RIA, serves as a key indicator of our readiness to align with countries that uphold the highest governance standards,” said Evita Manthovani, Expert Staff for Productivity and Economic Competitiveness at the Coordinating Ministry for Economic Affairs, at the RIA Forum 2025 themed “Strengthening Evidence-Based Regulation in Indonesia: Setting Thresholds and Implementing Regulatory Impact Assessment for Better Regulatory Practices,” held in Jakarta on Wednesday, November 12, 2025.
What Is Regulatory Impact Assessment (RIA)?
Regulatory Impact Assessment (RIA) is an analytical framework used by governments to evaluate the economic, social, and environmental effects of proposed policies or regulations. This approach allows policymakers to weigh the potential costs and benefits before implementing a regulation, ensuring that decisions are grounded in data and avoid unnecessary burdens on citizens and businesses.
RIA ensures that regulations are:
Designed efficiently and transparently,
Based on solid evidence and data,
Supportive of sustainable economic growth, and
Developed through public participation and stakeholder engagement.
By institutionalizing RIA, governments can deliver more measurable, impactful, and trusted regulations — fostering a policy environment that attracts investment and strengthens national competitiveness.
Indonesia–UK Collaboration to Advance Regulatory Reform
The RIA Forum 2025 is a joint initiative between the Coordinating Ministry for Economic Affairs of Indonesia and the Government of the United Kingdom, under the ASEAN–UK Economic Integration Programme. The forum serves as a platform for sharing best practices and enhancing institutional capacity in implementing GRP and evidence-based policymaking.
“Through the ASEAN–UK Economic Integration Programme, the UK Government remains committed to strengthening partnerships with ASEAN countries, including Indonesia, to promote transparent and accountable policymaking. RIA Forum 2025 is a concrete example of our collaboration in driving regulatory practices that support sustainable and inclusive economic growth,” stated Helen Fazey, UK Ambassador to ASEAN.
The program focuses on three main areas — regulatory reform, open trade promotion, and inclusive financial services — while also integrating cross-cutting priorities such as digitalization, and support for MSMEs and women entrepreneurs.
How RIA Strengthens Investment Climate and Business Competitiveness
The implementation of RIA is a strategic step toward building a more predictable, fair, and competitive investment climate. Through a systematic evaluation process, the government can assess how each proposed regulation impacts business costs, competitiveness, and overall investment opportunities.
RIA provides businesses with greater legal certainty and regulatory stability, encouraging both domestic and foreign investment. The public consultation element within RIA also fosters open dialogue between the government and private sector, ensuring that new policies do not hinder innovation or productivity.
Economists note that consistent implementation of RIA can help eliminate overlapping regulations, reduce compliance costs, and strengthen global investor confidence in Indonesia’s commitment to good governance.
In the broader context of Indonesia’s OECD accession, the successful adoption of RIA sends a strong signal to the international community that Indonesia is ready to join a global economic system grounded in transparency, accountability, and policy efficiency.
Toward Efficient, Evidence-Based Regulation
According to Evita, RIA plays a crucial role in ensuring that every regulation is backed by clear and measurable analysis — covering its potential economic, social, and environmental impacts. Through this process, policymaking is expected to be more effective and inclusive.
“I hope this forum generates concrete recommendations to strengthen Indonesia’s national RIA guidelines — particularly in setting economic impact thresholds, enhancing institutional capacity, and harmonizing RIA practices across ministries and agencies,” Evita concluded.
Also present at the forum were Raden Pardede (Senior Advisor to the Coordinating Minister for Economic Affairs) as speaker and Ichsan Zulkarnaen (Assistant Deputy for Investment Acceleration and Downstream Industry) as moderator of the first discussion session.
With the nationwide implementation of RIA, Indonesia reaffirms its commitment to fostering efficient, transparent, participatory, and results-oriented governance, aligning with its long-term vision of becoming a competitive and credible OECD member state. (AT Network)
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