Golden Ratio of Law and Social Policy Review (GRLSPR)
Vol. 6 No. 1 (2026): July - December

Fragmentation of Investment Regulations in Indonesia: An Analysis of Normative Disharmony and the Reform Agenda from an Investment Certainty Perspective

Irwan Hasan (Universitas Muslim Indonesia)
La Ode Husen (Universitas Muslim Indonesia)
Abdul Qahar (Universitas Muslim Indonesia)



Article Info

Publish Date
29 Jul 2026

Abstract

This study aims to analyze the fragmentation of investment regulations in Indonesia, emphasizing the identification of forms of normative disharmony and formulating a regulatory reform agenda from an investment certainty perspective. The main focus of the study is to examine the extent to which the lack of synchronization between laws and regulations, both vertically and horizontally, impacts the effectiveness of the national investment legal system. The research method used is normative legal research with a library research approach and a systematic literature review, supported by a regulatory approach, a conceptual approach, and a comparative approach. Data analysis techniques are descriptive-prescriptive to outline legal issues and provide normative recommendations. The results show that regulatory fragmentation occurs due to the complexity of the multi-layered legal system, weak institutional coordination, and inconsistencies in norms across sectors and levels of government. This disharmony gives rise to normative conflicts, overlapping authorities, and unclear legal terminology, which have resulted in increased legal uncertainty, transaction costs, and investment risks. Furthermore, the regulatory reforms that have been implemented have not been fully effective due to obstacles in harmonization and implementation. The research findings confirm the need for comprehensive and integrated regulatory reform through legal harmonization, institutional strengthening, and optimization of technology-based licensing systems to create legal certainty and increase national investment competitiveness.

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Journal Info

Abbrev

grlspr

Publisher

Subject

Law, Crime, Criminology & Criminal Justice

Description

Golden Ratio of Law and Social Policy Review encourages courageous and bold new ideas, focusing on contribution, theoretical, managerial, and social life implications. Golden Ratio of Law and Social Policy Review welcomes papers: Employment, and food, as well as the advantages and disadvantages of ...