"It can support resilient economic recovery and long-term growth in Indonesia," said the World Bank in a statement on Friday,"
By removing heavy restrictions on investment and signaling that Indonesia is open for business, it can help attract investors, create jobs and help Indonesia fight poverty.
Nevertheless, consistent implementation of the Law will be critical and will require strong implementing regulations to ensure inclusive and sustainable economic growth as well as concerted efforts by the Indonesian Government and other stakeholders.
"The World Bank is committed to working with the Government of Indonesia on these reforms, towards economic recovery and a brighter future for all Indonesians," the international financial intitution stated.
Earlier this month, the Indonesian House of Representatives (DPR) passed the Omnibus Bill on Job Creation. Except for the Democratic Party and the Prosperous Justice Party (PKS), all parties supported the passing of the historic omnibus bill. However, it was strongly opposed by labor unions and civil society groups.