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The Republic of Indonesia declared its independence in 17 August 1945 after period of colonization. Current legal system applicable in Indonesia is actually mixed of civil law tradition, customary law, and sharia law which applicable to different types of citizen subject to their race and religion.

The civil law tradition has its roots from the Franco-Napoleon Civil Code codified by Netherlands government into Indonesia during the colonial period in early 19th century. The system has been deemed effective under the Article 1 Transitional Provision of the 1945 Constitution.

While it is originally intended to be applicable only to European citizen and selected Far East people, currently, the civil law tradition apply to mostly all citizen regardless its origin, while for family matters and certain commercial transaction, sharia law and customary law still applicable for some people according to their origins and religion.

According to Law Number 12 Year 2011 on Establishment of Legislation, the apex of Indonesian legal system is the Constitution, which is the 1945 Constitution and all of its amendments, which is then cascaded into People’s Consultative Assembly (MPR) Order, Laws, Government Regulation in Lieu of Laws, Government Regulation, Presidential Regulation, Provincial Regional Regulation and Regency/City Regional Regulation, In addition to legislations in accordance with the abovementioned hierarchy of laws.

In addition to the legislation mentioned under the hierarchy sets by Act Number 12 Year 2011, other regulations issued by Ministries/agencies shall be legally bound, and acknowledged as valid legislation as long as it was issued under the order of more senior level legislation or established in accordance with the authority of the agency.

The colonial regulation is still applicable according to the article I the Transitional Provisions of the Constitution which mention that all existing legislation shall still be applicable until new regulation is issued. This includes among other things, regulation such as Civil Code, and Civil Procedural Code which still use the colonial era regulation.

Laws are jointly discussed by the President and Parliament.

In the same level with the Laws, in certain situation, President without the involvement of the Parliament may issue a Government Regulation in Lieu of Act which have similar power with the Law, with the requirement that such Regulation must be submitted to the Parliament at the next hearing period for parliament approval.

Under the abovementioned legislation, there are Government Regulation which is implementing regulation of the Laws issued by the President, Presidential Regulation and Regional Regulation.

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