Client Update: Indonesia’s Legal Framework on Music Royalties


3rd September 2025

OVERVIEW

The controversy regarding the payment of royalties has recently become a public attention. Many business actors remain unaware of the regulations on music royalties. In fact, the provisions regarding royalties have been regulated since Law No. 28 of 2014 on Copyright and were further elaborated in Government Regulation No. 56 of 2021 on the Management of Royalties for Copyright in Songs and/or Music, and most recently refined by Minister of Law Regulation No. 27 of 2025 on Management of Royalties for Copyright in Songs and/or Music.

Based on the regulations mentioned above, the Indonesian government has formulated laws regarding royalty payments, ranging from who is required to pay royalties, how royalties are distributed to creators, copyright holders, and/or related rights owners, and the amount of royalties payable by the business owner or event organizer in commercial public services.

To help clarify these provisions, IMCOLaw presents this legal article in a Q&A format, where Cecilia I. (Senior Associate) and Faris-al-hakim (Associate) address the most essential questions regarding the regulation of royalties.