The effects of reforming regulation in resolving insolvency towards EODB rank improvement: Evidence from Indonesia

This article examines the effectiveness of policy reform and implementation in resolving insolvency in Indonesia. The Ease of Doing Business (EODB) in Indonesia has significantly increased over the last 6 years, from ranking 129th in 2012 to 73rd in 2019. Among the 10 EODB indicators, resolving insolvency was identified to be the highest contributing indicator. In 2019, this indicator ranked 36th—far above the overall aforementioned Indonesian EODB score, a 73rd worldwide ranking. This article examines the factors leading to a high bankruptcy settlement score as well as the indicators that must be improved to raise Indonesia's EODB ranking.