Ride-sharing app Uber plans to officially open a unit in Indonesia sometime this year.
Uber’s plan to establish a formal presence in Southeast Asia’s largest economy comes after Indonesian authorities began a probe into its operations, which is currently run by a representative office in the capital Jakarta.
By formalising its business in the country, it will be liable to pay taxes.
Uber began operating in Indonesia in 2013 and currently covers the cities of Jakarta and Bandung and the holiday island of Bali.
"We’re currently in the process of preparing documents to submit to the Investment Coordinating Board (BKPM). Growth in Indonesia has been tremendous and it’s a key market for us," said Alan Jiang, acting general manager of Uber Indonesia.
"We’ve been talking to all key regulators in Jakarta for Uber to exist and create regulations to ensure the safety of drivers and riders," Jiang added.
Uber faces stiff competition from the likes of Grab Taxi and Gojek.
Gojek is a increasingly popular ride hailing app that focuses on ‘ojek’ rides – motorcycle taxis that ferry single passengers on short journeys in cities throughout Indonesia.
