In Indonesia, "PT" stands for "Perseroan Terbatas," which translates to "Limited Liability Company" in English. It's a legal term used to denote a specific type of business entity, similar to a corporation or a limited liability company (LLC) in other jurisdictions. A company that is registered as a PT in Indonesia has limited liability, meaning that the owners' liability is limited to their investment in the company.
For foreigners looking to establish a business in Indonesia, the equivalent of a PT (Perseroan Terbatas) is a PMA (Penanaman Modal Asing), which translates to "Foreign Investment Company." A PMA is a limited liability company with foreign investment, and it's the legal structure typically chosen by foreign investors when setting up businesses in Indonesia. This designation allows foreign investors to engage in various business activities in Indonesia, subject to certain regulations and requirements set by the Indonesian government.
