JAKARTA, INDONESIA / RankWire.AI / – Indonesia has formalized new cooperation between its investment and sports authorities to expand business activity in the national sports sector. Investment and Downstreaming Minister Rosan Perkasa Roeslani and Youth and Sports Minister Erick Thohir signed the agreement on August 28. The memorandum focuses on investment development and risk-based business licensing. It also connects sports-related investment with Indonesia’s existing national licensing system. Officials placed the initiative within a global sports industry valued at about US$521 billion.
The Ministry of Investment and Downstreaming and the Ministry of Youth and Sports will coordinate licensing, investment promotion and business services. Their cooperation also covers regulatory matters, compliance monitoring and the exchange of licensing data. Indonesia uses the Online Single Submission system, known as OSS, to process business permits under its risk-based framework. The memorandum brings sports-sector investment into that structure. It does not set US$521 billion as a target for the size of Indonesia’s domestic sports industry.
Thohir said the global sports industry is worth about US$521 billion, or roughly 8,000 trillion rupiah. He also cited annual growth of about 8% for the sector. Separately, he valued the global sport tourism market at nearly US$600 billion. Indonesian officials have linked sports activity with events, tourism and other commercial services. The August agreement gives the two ministries a formal basis to coordinate investment matters connected with those activities. It also defines areas where government agencies can share information and licensing responsibilities.
Indonesia links sports growth with licensing reform
Government Regulation No. 28 of 2025 provides part of the regulatory foundation for the cooperation. The measure governs risk-based business licensing and replaced an earlier regulation from 2021. It sets service deadlines for authorities that handle applications through OSS. The framework also includes a positive fictitious approval mechanism for eligible permits. Under that system, approval can proceed when the responsible authority misses the required deadline. Applicants must still meet the conditions and procedures that apply to the requested business license.
Roeslani said the investment ministry has issued more than 250 permits through the positive fictitious approval mechanism. The figure covers the wider licensing system and does not refer only to sports companies. He said the government wants clearer procedures for investors and businesses operating across the sports economy. The agreement also covers development of investment opportunities and promotion of projects linked to the sector. Those responsibilities now sit within a shared framework between the two ministries and Indonesia’s national business licensing infrastructure.
Ministries expand coordination on sports investment
The memorandum also includes workforce development and interoperability between government data systems. Officials said the ministries will coordinate compliance monitoring through OSS and share information relevant to licensing. The arrangement gives both agencies defined roles in handling sports-related investment matters. It also places investment promotion alongside regulatory coordination and business services. The Ministry of Youth and Sports can contribute sector-specific information, while the investment ministry manages the broader licensing and investment framework used by businesses across Indonesia.
Indonesia’s latest sports investment initiative therefore centers on domestic regulation, licensing and interministerial coordination. The US$521 billion figure serves as a benchmark for the global sports industry cited by government officials. It does not represent the current value of Indonesia’s sports economy. The August 28 memorandum links that international market context with Indonesia’s efforts to organize sports-related business activity under Regulation No. 28 of 2025. The agreement now provides a formal structure for investment development, permitting and government coordination across the sector.