Penulis: Muhammad Haikal Adha
For decades, Indonesia’s intellectual property (IP) landscape was defined by its struggle with “Priority Watch Lists” and a reputation for inconsistent enforcement. However, as of 2026, the narrative is shifting. From the historic implementation of the New Criminal Code (KUHP) to the ambitious IDR 10 trillion IP-based financing scheme, Indonesia is finally moving from a defensive posture to a strategic, proactive one. To ensure this momentum leads to a truly world-class IP system, the development of Indonesian IP law must focus on three pillars: institutional transparency, digital-first legislation, and the commercialization of intangible assets.
Modernizing Enforcement: The KUHP and Beyond
The full implementation of the New Criminal Code on January 2, 2026, is a turning point. By shifting toward a restorative justice framework, the law now treats criminal sanctions as an ultimum remedium (last resort), encouraging mediation and civil settlements first. This is a sophisticated evolution that keeps the criminal justice system from becoming bogged down in minor disputes while toughening the stance against large-scale syndicates.
Corporations are now explicitly recognized as subjects of criminal offenses in the revised KUHP, they may bear criminal liability for IP violations by employees, subsidiaries, or third parties. They are now responsible for everything that happens when management only acts on behalf of the corporation. But if actions are taken for personal gain, the company and its leaders may be held responsible. For this to work, the judiciary must remain consistent. Strengthening the specialized Commercial Courts (Pengadilan Niaga) is essential to ensure that “restorative justice” does not become a loophole for chronic infringers to avoid accountability.
Bridging the Gap to the Digital Economy
The 2026 National Legislative Program (Prolegnas) has prioritized the revision of the Copyright Law (No. 28 of 2014). This is not just necessary, it is urgent. In an era where generative AI can synthesize music and text in seconds, our laws must move faster than the algorithms they regulate.
The proposed “Digital-First” copyright protection, including mandatory “takedown” protocols for platforms and real-time digital monitoring, is the right direction. To truly improve, Indonesia must also lead in AI-related IP. We need clear statutory definitions on whether AI-generated works can be protected and who holds the liability when AI scrapes protected data. Without this clarity, tech investors will remain hesitant.
From Paper Rights to Economic Power
Perhaps the most transformative development is the IDR 10 trillion (approx. USD 593 million) IP-based financing platform launched by the Ministry of Law this year. For the first time, an Indonesian musician’s catalog or a startup’s patent can serve as formal collateral for bank loans.
This shifts IP from a legal burden into a financial asset. To ensure this succeeds, the government must:
- Standardize Valuation: Establish a certified body of IP appraisers so banks can trust the “value” of a patent.
- Encourage Filings: While IP filings grew by 20% in 2025, reaching over 152,000 registrations, the majority remain in copyrights and trademarks. We must incentivize patent filings in green tech and downstream industries to fuel long-term industrial growth.
Indonesia is no longer a passive observer of global IP trends. By joining the WIPO Treaty on Genetic Resources and Traditional Knowledge (2024) and aligning with the “Indonesia Emas 2045” roadmap, the nation has signaled its intent to protect its unique cultural and biological heritage. The road ahead requires moving beyond merely passing laws to building a culture of respect for innovation. If Indonesia can pair its new financial incentives with rigorous, technology-driven enforcement, it will not only protect the “Creative Economy,” it will become the primary engine of the nation’s future prosperity.
