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Indonesian SOE direct appointment regulation stifles competition, antitrust agency says

( November 6, 2024, 02:57 GMT | Official Statement) -- MLex Summary: The Indonesian Competition Commission, or KPPU, has flagged a 2023 regulation from the Ministry of State-Owned Enterprises that allows SOEs to directly appoint subsidiaries or affiliated companies for procurement as a barrier to fair competition. The KPPU said this limits the opportunities available for non-SOE companies, which violates competitive neutrality and stifles fair competition. The regulator has advised the ministry to prioritize open competition, remove the direct appointment clause and consult KPPU before implementing further SOE synergy policies. The ministry has not formally responded to these recommendations. The full statement, in Indonesian, follows: ...

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