Knowledge Highlights 18 June 2026
Regulatory framework for hospitals overhauled
On 12 June 2026, the Minister of Health brought into effect the Minister of Health Regulation No. 6 of 2026 on Hospitals (“Regulation 6”), which was issued on 4 June 2026. Regulation 6 consolidates and supersedes several fragmented regulations, including Minister of Health Regulation No. 3 of 2020 on Hospital Classification and Licensing (“Regulation 3”). Regulation 6 also implements the provisions of Government Regulation No. 28 of 2025 on Risk-Based Business Licensing (“Regulation 28”) and Government Regulation No. 28 of 2024 on Health.
Hospitals must comply with the provisions of Regulation 6 by 12 June 2028.
The following are key highlights of Regulation 6.
Definition of “hospital”
Regulation 6 defines a hospital as a health service facility that provides comprehensive healthcare services to individuals including promotive, preventive, curative, rehabilitative, and/or palliative care, through inpatient, outpatient, and emergency services (“Services”).
Operational forms
Hospitals must be legal entities whose business activities are exclusively dedicated to healthcare. Healthcare includes direct medical care provided to the public, including through clinics, pharmacies, and laboratories.
Hospitals may be stationary or mobile. A stationary hospital operates from a fixed, permanent location to provide Services. A mobile hospital provides Services from facilities designed to be relocated between locations within specified timeframes and transported by bus, aircraft, ship, caravan, train, or other mobile units.
A field hospital may be established during emergency situations or for specific activities. It may operate temporarily from tents, containers, or existing permanent structures that are adapted for use as a hospital.
Classification
Regulation 6 introduces a new hospital classification system based on service capability, comprising four levels: basic, intermediate, advanced, and premier. Service capability refers to the capacity of a service group delivered by medical personnel and healthcare workers who are competent in their respective fields, including specialist and subspecialist care. Service groups include cardiovascular services, ophthalmology, dental and oral care, and hematology services. Service capability also encompasses the availability of facilities, infrastructure, medical equipment, and human resources.
This classification system replaces the system under Regulation 3, which categorised hospitals into Classes A, B, C, and D which was based primarily on bed capacity rather than service capability. Regulation 6 does not define the four levels, and further provisions are expected to be issued by the Minister of Health. However, according to a presentation by the Ministry of Health on 22 July 2025, the levels may be described as follows:
- Basic: Requires specialist medical personnel who are competent in one or more disciplines. In the event of a shortage of specialist medical personnel, general practitioners may provide the relevant services.
- Intermediate: Requires specialist medical personnel who are competent in one or more disciplines.
- Advanced: Requires subspecialist medical personnel and/or specialist medical personnel who are competent in one or more disciplines and practicing in highly complex multidisciplinary areas.
- Premier: Requires subspecialist medical personnel who are competent in one or more disciplines and practicing in multidisciplinary areas of the highest complexity.
Licencing and operational requirements
Regulation 28 requires hospitals to obtain a business licence, and a licence will only be granted upon meeting requirements relating to: (i) location, including environmental and spatial planning requirements; (ii) facilities and infrastructure, including technical building and construction requirements; (iii) medical equipment, including service standards, quality requirements, security, safety, and fitness for use; and (iv) healthcare human resources, including medical personnel, healthcare workers, and health support or ancillary personnel.
Hospitals may be established through either domestic investment or foreign investment. Regulation 6 requires a hospital established through domestic investment to have at least 50 inpatient beds and provide at least two types of Services at the basic level. These requirements were not specifically required under Regulation 3.
Regulation 6 requires a hospital established through foreign investment to have at least either: (i) 50 inpatient beds and provide at least one type of Service at the premier level; or (ii) 200 inpatient beds and provide at least two types of Services at the premier level. The requirement for at least 50 inpatient beds is a new requirement which was not previously found in Regulation 3.
Under Regulation 28, businesses seeking to establish a hospital, whether through domestic or foreign investment, must obtain a business licence through the Online Single Submission (OSS) system at https://oss.go.id/en. To obtain the licence, applicants must submit, among other things, legal entity documents, a feasibility study, detailed engineering design and hospital master plan documents, and a list of buildings, infrastructure, and equipment. The business licence will be issued within 28 days.
In addition, a hospital must obtain a hospital registration number. After two years of operation, it must obtain hospital accreditation to validate the quality of its services and patient safety standards. A hospital is also required to measure its internal quality indicators annually.
