Indonesia sets foreign investment limitsThe Indonesian government has enacted regulations that cap foreign ownership in mobile and fixed-line communications providers. Foreign ownership in mobile operators is set at a maximum of 65 percent and in fixed-line operators at 49 percent. The regulations are not retroactive but foreign investors will not be allowed to raise existing stakes in operators if those stakes are already over the new limits. Earlier regulations were ambiguous and at least two mobile operators have foreign ownership that exceeds 65 percent: Excelcomindo Pratama (XL), which is 66.98 owned by Telekom Malaysia, and Telepon Seluler (NTS), which is 95 percent owned by Malaysian firm Maxis Communications. Foreign ownership caps were also set for other industries.
