Amid the rapid pace of globalization, the mobility of citizens, foreign investment, mixed-nationality marriages, and cross-border employment continue to rise. Ironically, the provisions of International Private Law (IPL) in Indonesia remain scattered across various regulations, and most still refer to colonial-era laws—namely the Algemene Bepalingen van Wetgeving (AB) Staatsblad 1847 No. 23, specifically Articles 16, 17, and 18, which remain strictly limited to territorial aspects.
It is this situation that has prompted the People’s Representative Council (DPR) of the Republic of Indonesia, through the Special Committee (Pansus) on the International Civil Law Bill, to continue drafting a comprehensive and codified law to address the complexity of cross-border legal issues.
Why Is the HPI Bill Needed?
The urgency of this bill is clearly illustrated by the latest data:
Approximately 1.9 million Indonesian citizens are registered as living abroad (Source: Ministry of Foreign Affairs, 2024)
5.3 million Indonesian migrant workers are spread across various countries (Source: BP2MI, 2024)
Rp900.9 trillion in foreign investment flowing into Indonesia (Source: Ministry of Investment/BKPM, 2025)
These three figures underscore one thing: cross-border legal relationships are no longer a matter affecting just a handful of people, but rather one that impacts millions of citizens and trillions of rupiah in economic value—thereby necessitating a clear and codified legal framework.
Real-World Challenges
During the Special Committee on the HPI Bill’s working visits to various regions—including Banten, Batam, Semarang, and Surabaya—a number of specific issues came to light, including:
Mixed-marriage couples. These situations give rise to protracted disputes over joint property, inheritance, divorce, children’s status, and even citizenship, due to the lack of clear legal guidelines.
A child’s citizenship status. The age limit of 18 for determining the citizenship of children born to parents of different nationalities is considered too early and does not take into account the actual conditions on the ground.
Migrant workers in the maritime sector. There remains a legal vacuum regarding the protection of Indonesian workers employed on foreign vessels on the high seas.
Cross-border inheritances. Inheritance matters involving assets located in different countries are often difficult to resolve because there are no clear rules governing the choice of law.
Harris Arthur Hedar, Chairman of PERADI Profesional, also emphasized that, to date, provisions regarding HPI in Indonesia remain scattered across various regulations, case law, and judicial practices—thereby potentially creating legal uncertainty for parties involved in cross-border disputes.
Risks If Regulations Are Not Enacted
Without clear regulations, the public and businesses may face:
Legal uncertainty — foreign court decisions are not automatically enforceable in Indonesia.
Risks for families—from child custody disputes and citizenship status to the division of an estate—become more protracted and complicated.
Economic disadvantages — overseas assets are difficult to legally recognize, and the cost of a child’s education can skyrocket if the child is a foreign national.
Protection that is not yet optimal—particularly for migrant workers in the maritime sector, who still lack adequate legal protection.
Recommendations from the House of Representatives
The Special Committee on the HPI Bill is promoting a number of important steps in the drafting of this law:
To establish comprehensive and codified rules so that all issues of international private law have a single, clear point of reference.
Taking into account input from the public, local governments, and experts—including on the age limit for children’s citizenship, the protection of migrant workers at sea, and transnational inheritance.
Strengthen protection for Indonesian citizens, both at home and abroad, by ensuring that the principle of reciprocity among nations is also applied.
Involve stakeholders such as the courts, academics, and legal practitioners to ensure that the resulting regulations truly meet the real-world needs on the ground.
What Does This Mean for You?
For individuals with cross-border spouses or assets, businesspeople with foreign partners or investments, and families with children holding dual citizenship, the passage of the HPI Bill will eventually provide the legal certainty that has long been lacking—ranging from the recognition of foreign court decisions, the determination of applicable law (choice of law), to the protection of inheritance rights and the status of children.