Indonesiaâ€˜s financial system gradually has been restructured since the late 1990s, resulting in a reduction to about 130 banking institutions. Subsequently, the efficiency of the banking system has increased.
Various regulations hinder the freedom to start, run, and close a business. Starting a business takes 47 days, getting a business license requires a total of 14 procedures, and closing a business is both complicated and costly.
While restrictive labour regulations keep the non-salary cost of an employee at an average, they also make his dismissal costly.